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Mayor warns of 'scary' tax hike7 x8 G3 d/ G+ W: [$ k+ ~0 t+ \6 P
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Think your property taxes are high now? You ain't seen nothing yet.
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x" j! A9 E, J5 d+ C# A" m3 |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.
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4 ?2 w3 K- w. C/ L g7 e' \$ RMandel 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. 9 e' j* r& c' K$ }5 F: {+ d" X
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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+ V Y9 F7 j; f4 h8 p6 l
"Given the amount of it, it's going to be scary," the mayor said. : }: N) j5 d! j2 b+ a+ r
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A hike in that range could cost the average homeowner up to $200 a year. . I9 Y. A% O+ o; y% B7 z
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel. 3 D, Y, T& Y% E) s7 b" s7 u
" I4 j' L$ z) r3 m, K: \Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. / [4 b `$ V0 e t7 I3 X
: u8 G% d1 x/ _) k0 a/ rThe draft budget does not come out until November.
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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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! h" M4 K/ j0 B"It won't be as bad as some people are making it out." $ A; {( A% G5 @- [% J* q! B; Y
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Maurer said income from investments and various financial strategies could offset a large hike.
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* I N( g0 @! M4 N+ vHowever, he said there aren't really any city programs that could be cut in order to save a few bucks.
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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. 1 b9 W" m! t. u; r. h! }6 L" t
[2 f' e8 y- H6 ?8 [2 t. LScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase.
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8 F7 L( f8 ]6 e2 y: f0 tHe 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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6 i# X4 Y4 m5 |* F9 L1 M"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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7 l3 l7 }+ _6 Q" @- C( C5 O0 e"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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+ I8 r, u8 s3 o4 f' T5 o4 _7 EThe average property tax bill in Edmonton will go up 4.95% this year, the city has said.
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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. / [! ]$ O9 b. S o4 }
6 Z0 }1 ~. h8 G) r# p+ t& DTax bills will be mailed May 25 and payments are due June 30. |
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