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Mayor warns of 'scary' tax hike# L7 i9 e. }* E d+ a
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Think your property taxes are high now? You ain't seen nothing yet. - J# w% W: r: `/ q5 h7 S/ V
' j: ^' i1 f, I+ ?! ^+ DEdmontonians 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. " H3 p6 }, [& T- \
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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. @' Y1 q2 R+ V- ?9 K2 K) z$ z
) K; C$ l3 J4 ~- m4 K. J6 J, q( j+ u"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
X: S3 Q& G% p5 q) Z% S2 V( G"Given the amount of it, it's going to be scary," the mayor said. ' x" L$ u9 G- m9 ^+ j6 \
- P2 V4 Q0 U% F( yA hike in that range could cost the average homeowner up to $200 a year. 3 G+ c' `3 p$ V# V1 ]' i# j6 d
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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. * F/ U; q' E: l }* X
" Y5 [" S2 k! G; R. C+ H# HCoun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. - I: ?; K8 a9 ^; o* c" d5 \, ?
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The 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. 4 G, \! W3 d7 [) x9 w% K' ~
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"It won't be as bad as some people are making it out." 3 U+ S& g" J, |" [& `* u
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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. & e$ V h/ ^$ _5 L" m
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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. 0 | a( y! d/ o8 ?' o
1 F" z/ [7 `4 ]! b( V8 m/ _Scott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase.
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# [, _! q$ G' uHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. 9 U: s$ s6 E" \. d. m
" `7 \1 Y% Y; C; p"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. : X, m$ \' c5 N8 j
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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. 7 A- i2 i% s1 U8 y) o' O
( h2 H# G9 V/ _3 A+ Z; E$ l3 D$ Y& YThe 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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: ~* w8 D0 x3 h8 Q7 KTax bills will be mailed May 25 and payments are due June 30. |
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