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Mayor warns of 'scary' tax hike6 ^* P* N" ?6 c$ }, W2 H4 W' G; A$ i' O
; \) w K! C! W \$ bThink your property taxes are high now? You ain't seen nothing yet. 4 ?: f+ m( ?1 |2 B+ E/ h
- \) h9 v5 U- R( j) J; k. 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.
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$ t7 Q) u `. `8 [! z# OMandel 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 @1 G" u, E/ e& w; l5 `+ s# ]- |
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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 f; _$ G" C2 W0 f% E
"Given the amount of it, it's going to be scary," the mayor said. , @$ {+ u* s' L: o6 I$ {
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A hike in that range could cost the average homeowner up to $200 a year.
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: k0 V# U% A3 K1 ^5 V$ W"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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& m) ~3 t1 `( B. b$ z) ^0 CThe draft budget does not come out until November.
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% k" a7 D" o8 I$ P% W"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.
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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# Y( s* |"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. ' m' J, L! ^2 h0 M& I4 Y/ 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. , L- Z( f' L% D+ ?/ ~- ^. ]
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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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Tax bills will be mailed May 25 and payments are due June 30. |
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