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Mayor warns of 'scary' tax hike2 P! J) }+ r. a, D
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Think 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.
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. B2 u# M6 H) vMandel 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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) X5 Z3 a) ~: z& Q2 k- |"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. + @7 M) X4 q/ ~ g% @2 K
6 b; a) @1 O7 wCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
- b, ^. ]) z( X"Given the amount of it, it's going to be scary," the mayor said.
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1 ?9 H ]6 J+ `4 e) Y& aA hike in that range could cost the average homeowner up to $200 a year. 5 J8 z p, _* y/ j+ i
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel. . {2 H3 T' e% W2 q/ H. H6 X* A
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point.
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+ T( a: k c+ a/ OThe draft budget does not come out until November.
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5 B" e$ z" N. D"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. : Z# Z% G1 d p) _' e8 d( B/ C
% s) t: T* r9 z: l"It won't be as bad as some people are making it out."
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2 k/ F2 P- N; _Maurer said income from investments and various financial strategies could offset a large hike. : Y: s* x) }8 `- K6 D% {4 [
+ l, [4 e' |: j7 F& _7 uHowever, he said there aren't really any city programs that could be cut in order to save a few bucks.
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, K6 u8 F, x5 Z$ Z0 J"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. s$ F$ D) Y- ?* V$ X/ H
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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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; ]$ M- u4 b, B' W1 {! wHe 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.
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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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1 |8 R$ x3 [ kThe average property tax bill in Edmonton will go up 4.95% this year, the city has said. # G5 Y9 e0 m" n, F) \. P" v
# v/ Y5 z9 H' f: d* l' n3 dThe 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. 4 f: F" q0 ]* b7 \5 e' m# Y/ C
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Tax bills will be mailed May 25 and payments are due June 30. |
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