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Mayor warns of 'scary' tax hike5 }1 z( \: ~- c. N1 }& k
5 M& j; F/ T# QThink your property taxes are high now? You ain't seen nothing yet. 1 _, S! C9 V0 l) ~) n& }
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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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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. f$ f) L" U" B8 p
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"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. 4 f4 W) e! J, w0 D6 P6 u6 q" k
8 D* U! M2 ?' n. tCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
; _% [' V6 ]; Y8 \! s# K"Given the amount of it, it's going to be scary," the mayor said. # k& h6 t( T+ x3 A$ o6 k# m
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A hike in that range could cost the average homeowner up to $200 a year.
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1 m+ N: I* c/ Y, e) ]"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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& [7 d8 o- L/ s% C3 [Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point.
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, D0 _" J. D3 V, X+ Q5 Z! F; qThe draft budget does not come out until November. & v7 o* y0 |3 a
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"I'm not looking for a major increase next year, at least not too much more than we've already approved for this year," Hayter said.
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"It won't be as bad as some people are making it out."
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Maurer said income from investments and various financial strategies could offset a large hike.
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However, he said there aren't really any city programs that could be cut in order to save a few bucks.
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"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. ' l. U. c3 t3 W+ [ Y
. v8 d7 I$ P+ {8 O, tScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase.
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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. ' G2 n/ [! X) V
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"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."
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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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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.
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, I2 C) n$ v$ M r+ GTax bills will be mailed May 25 and payments are due June 30. |
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