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Mayor warns of 'scary' tax hike
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Think your property taxes are high now? You ain't seen nothing yet.
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# b1 o B5 M$ T5 Z. LEdmontonians 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. : w2 ~9 \- A s) r) a
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Mandel 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. , @3 i# d8 W6 ~3 w1 k& E
! r; p( O5 K6 q2 `3 u8 dCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates5 I. k* c) e2 W4 d3 ^+ n
"Given the amount of it, it's going to be scary," the mayor said. % C7 @) V8 b) e1 t: k
F) h5 V3 d' OA hike in that range could cost the average homeowner up to $200 a year.
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point.
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The draft budget does not come out until November. % H# E: M5 C! _9 h f$ |
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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." : e5 ^* M& _( P2 W
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Maurer said income from investments and various financial strategies could offset a large hike. / Z/ m# P) y |, l
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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. & I0 G o i+ B. g" c' t0 b
: T0 W, {+ }' o& {"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. ( u, E' m: T! a! |
) F/ C0 E7 f7 o* S( p2 c8 sScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase. + x+ m: U `2 c% v
6 p' a7 h6 Y# q* jHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city.
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) ], J% J: j4 v; n* [9 i$ L9 Z"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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A) K Y3 ]/ a4 Y3 c"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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- ?( K% _8 Q8 a& J$ N3 a$ ZThe average property tax bill in Edmonton will go up 4.95% this year, the city has said. 8 D( y! i1 g$ R
: ~0 _1 c( j, W! }1 d) `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. 6 ]8 d, j' Z$ }5 x- P
; ~) e7 J2 \0 f. u b& [6 ?; KTax bills will be mailed May 25 and payments are due June 30. |
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