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Mayor warns of 'scary' tax hike C, g" s' R; ~3 a. a9 e. _) V" L
3 ~ l" B2 ~ S1 vThink your property taxes are high now? You ain't seen nothing yet.
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8 ]. ^4 F+ _/ x# d% r0 YEdmontonians 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. ! p) X8 _$ L( @; E
0 }5 ?) I: Z( H0 \, P; 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. 8 Y" j, i, U4 a
" M' y, i6 W/ i& o! Q"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
5 m! u G ` R9 g# u1 n7 f4 t"Given the amount of it, it's going to be scary," the mayor said.
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' Y) I8 v& j6 y+ v1 [A hike in that range could cost the average homeowner up to $200 a year.
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. 6 _& C" m& b3 ]* s/ r9 U: I
' [+ k, o* X! U; YThe draft budget does not come out until November.
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"I'm not looking for a major increase next year, at least not too much more than we've already approved for this year," Hayter said. ! l# b4 `! k! B5 Y0 U7 O
; k9 V* t7 `9 E! F6 r5 F# ["It won't be as bad as some people are making it out." 4 J6 y; N9 p( l, ^: k0 P3 j5 `; @
& \# H6 V$ u1 Z1 AMaurer said income from investments and various financial strategies could offset a large hike. 9 n3 o& x+ Z0 h/ ]0 _2 N8 n
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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.
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Scott 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.
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4 X& w, l* T" ]8 @( |"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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, ^ p+ S' O. s/ i1 U2 h"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. + B$ x! q: ]8 \; _3 Y- ]5 C! l8 E
" W" m e* x$ c/ s7 JThe 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. $ B7 H4 X$ t, a- j1 Z- |
" H2 z+ K6 W; i" I* T6 yTax bills will be mailed May 25 and payments are due June 30. |
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