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Mayor warns of 'scary' tax hike
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/ ?, G o, c* z, T2 eThink your property taxes are high now? You ain't seen nothing yet. * X+ Z4 P' n4 b* M
# W; W9 e* F9 F+ \Edmontonians could face a "scary" tax hike of up to 10% next year, Mayor Stephen Mandel said. That would be the highest property tax increase since the 1980s. 0 m! w# C# X6 Y* _+ Q) N N, y, L
' |" H% i. Q9 h0 G5 q) n2 a8 bMandel tossed out the figure yesterday following a presentation by administration that outlined the intense economic pressures the city is facing as a result of Alberta's economic boom. 3 e6 d8 S1 V6 A- z1 Z
. _5 ?) V, P2 L2 c# g8 n"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. # w0 D- j* `9 R% f b6 D. [3 C+ Y
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
' I3 B5 x+ J6 C w$ R7 c8 A"Given the amount of it, it's going to be scary," the mayor said. + l0 C# m" H( T9 y
$ Z: Y/ ~! K; }( r; b+ OA hike in that range could cost the average homeowner up to $200 a year.
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0 c) i' x$ g) C7 h* p* G9 i"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel. . g9 I: u. W1 g* o# C
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point.
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' C v1 H. N. d, fThe draft budget does not come out until November. ; z4 ~. |3 r2 r
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"I'm not looking for a major increase next year, at least not too much more than we've already approved for this year," Hayter said.
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"It won't be as bad as some people are making it out."
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" _6 B0 v" J6 \1 H% KMaurer said income from investments and various financial strategies could offset a large hike.
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However, he said there aren't really any city programs that could be cut in order to save a few bucks. 0 S3 [. x3 }( h2 S; k% y1 L/ c3 g
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"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program.
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: l; C8 `# K! dScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase. 6 Q8 ^2 J* }, \, {2 ~$ B
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He said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. : [' y4 G6 F3 M# _1 Z6 R" C: h
, I c! a- Q9 i9 g R"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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"I don't know what some of these members of council are going to be able to say to some pensioner who got a 2% hike in their pension." 1 e: X7 c& d4 U# n& [2 p* f( ?
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The average property tax bill in Edmonton will go up 4.95% this year, the city has said.
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V" w; y7 J/ p2 }! h( k! v7 c5 UThe tax on homes will go up higher than average - about 7%. The figures include both municipal tax and the provincial education tax, which the city collects.
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Tax bills will be mailed May 25 and payments are due June 30. |
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