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Mayor warns of 'scary' tax hike
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7 L' N) ^& O2 c/ V. [8 ?& yThink your property taxes are high now? You ain't seen nothing yet. " _9 C1 o# @' B
9 [" y0 M( B8 z* h w$ jEdmontonians 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. / u: d! @2 `4 @4 \, x
' u. g: y0 q7 W2 XMandel 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.
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"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers.
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
9 a: S0 h3 b1 V: E! @"Given the amount of it, it's going to be scary," the mayor said. # p' o2 }0 `+ a, r$ f
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A hike in that range could cost the average homeowner up to $200 a year.
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9 d% `: i1 j" |* v"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel. A, O) ^. p0 {5 R9 P
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. " W# U C$ U) r! q, k
, k& [+ j1 B9 Y0 R6 K7 YThe draft budget does not come out until November. + e& K% Q! {; u
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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. 8 q9 i, n7 A" w! M
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"It won't be as bad as some people are making it out." . n. F4 n, L* n
8 V& G3 p$ {: v& ], z7 F( g& @1 [Maurer said income from investments and various financial strategies could offset a large hike.
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! z G, r: p9 ^ gHowever, he said there aren't really any city programs that could be cut in order to save a few bucks. , J& F; R' U7 t/ A/ f; y. [
- M7 _3 w# z1 H" V1 R& ["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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/ C1 W# Y- S" m! i/ @Scott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase. 9 s9 ]4 P0 h" Z! N- W
. j2 d: r3 ~, C, YHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. , d; q: t$ c% ]
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"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. 4 d8 }: a: M% T
7 g/ {& B5 T1 V3 c5 o& e* l"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."
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The average property tax bill in Edmonton will go up 4.95% this year, the city has said. : a2 E9 L) d. ~3 j- K
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The 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. 1 D4 a; o+ T- u, P
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Tax bills will be mailed May 25 and payments are due June 30. |
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