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Mayor warns of 'scary' tax hike1 Y& }8 ]2 l( x
! U5 W6 x) \1 l5 |: H: u* e7 r( K! tThink your property taxes are high now? You ain't seen nothing yet. , H; {( \5 ]2 F+ R6 K5 C/ y: L& X2 v/ y
, H* V+ H$ ?/ S- S4 |3 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.
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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.
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"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers.
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4 L- \9 n1 U: L- @* DCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates _# K% B: }! G8 X0 P
"Given the amount of it, it's going to be scary," the mayor said. 2 C9 b+ V. O) N# @: v9 ?" ~4 ?8 r4 v
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A hike in that range could cost the average homeowner up to $200 a year.
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel. + w9 N( ]8 f/ i3 Q. c9 G
1 B6 S9 d% ^' xCoun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point.
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! s# e; S, ], ^The draft budget does not come out until November. 3 p* s( g; D9 {" j
6 O' }) T+ H, N6 i, ]$ C"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. * g0 }0 r& f; L$ z; u
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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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0 x" _* [+ o' \) t"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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8 g0 G1 v% L1 d' j6 {, E4 V% jHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. " _! B5 s& |6 Z Q1 O+ e
8 l2 h: X2 W0 E* O; B/ i. {1 B8 P"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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$ {) e0 u# |) s: {% m4 y6 `! H- a"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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3 N; c: K9 f1 q( t/ E }% CThe average property tax bill in Edmonton will go up 4.95% this year, the city has said. M+ s* O$ I. S) ]/ A. N8 y* U
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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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