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Mayor warns of 'scary' tax hike# ~8 Q; q; V) |1 Y
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Think your property taxes are high now? You ain't seen nothing yet. . C/ F1 u4 T1 `2 E
" k9 }& P7 p2 j8 Z$ KEdmontonians 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. / K0 _" c9 Z, w! U3 u. N
& P- V3 h, V5 f/ A, o) h"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers.
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9 {4 g8 ~. D8 D9 P2 @1 L% T2 G& zCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates% d1 {/ D. Q3 c9 c3 H
"Given the amount of it, it's going to be scary," the mayor said.
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A hike in that range could cost the average homeowner up to $200 a year. ) p9 t0 q; [7 ~# Z
# {+ H5 z. h7 m2 c"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. ; S! D2 J) W' `1 C& B3 |9 B5 E
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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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The draft budget does not come out until November. / |8 J# M4 s3 d5 j9 j
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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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2 m0 H4 W* M: _7 T2 k"It won't be as bad as some people are making it out." $ `) _) F6 n4 v
9 c7 g2 ?. R) }- O" ~* sMaurer said income from investments and various financial strategies could offset a large hike. 2 Q$ W% I# \5 `! M
1 J4 Z' B/ q+ bHowever, he said there aren't really any city programs that could be cut in order to save a few bucks. . I. t z( S" p& _) m5 h
: i8 `9 ^' i' x"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. 5 g1 Z% { [6 o J2 m/ M
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Scott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase. & j1 w1 n, d. o1 T& ?
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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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"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. - ^) t5 _4 V4 }% z; v) K: i
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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. , x: W5 w6 |7 p0 \/ u- Z& q
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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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9 z; {( U8 H2 P4 B' tTax bills will be mailed May 25 and payments are due June 30. |
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