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Mayor warns of 'scary' tax hike9 ]) X. m: W! I! \* P4 x
3 r7 ^) U6 X3 XThink your property taxes are high now? You ain't seen nothing yet.
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Edmontonians 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. / O$ j2 t% p6 o3 Y
- s+ D8 q6 C4 PMandel 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. 4 V/ V+ D- M8 C6 D" T; {. B6 t
7 P0 X8 P, W6 q( H0 r8 q"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. . w1 Y. K$ }# p2 f1 X
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
2 |: m1 X; K6 p"Given the amount of it, it's going to be scary," the mayor said.
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3 g/ }' `8 Q- ]/ z$ eA hike in that range could cost the average homeowner up to $200 a year. : J0 m+ C1 f( \8 V7 X
7 N( B4 S4 j/ R1 _: Z, c"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel. # V# a- E$ o: o4 n
. p: B7 }; ^* \Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. 2 `5 }/ E6 g+ L# P
( b% V0 t! Z0 ~, g$ x8 |5 Z) @3 B; uThe 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.
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) ]- b9 n* w2 ^0 @8 z% X0 `) m"It won't be as bad as some people are making it out." 0 R5 Y* N# h; q: m
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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. 4 g+ j' f* z! T3 y
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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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4 V& E( z' L" U8 }0 `* eScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase.
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$ ?# J, o7 Q) |7 [0 }" NHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. " f% @; f& D1 Y, U: {* E& q0 A8 L( T
$ V" s' e( Z8 r! g4 [7 n" W* z"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. / h. ^# C) D1 _; G9 z
, h' y: v) S: k- g0 E1 D: o: K"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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: e& T2 }; n2 NThe average property tax bill in Edmonton will go up 4.95% this year, the city has said.
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4 q Q+ x& A/ d% 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.
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Tax bills will be mailed May 25 and payments are due June 30. |
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