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Mayor warns of 'scary' tax hike, g% ?, Z, _8 i' n
/ p! K4 K# L8 } ?6 F Q9 A5 cThink your property taxes are high now? You ain't seen nothing yet.
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& v% u: ]6 x6 q/ k7 ?6 [: {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. # `" ?. K! t0 I
a2 T" U% Z3 g9 y# J2 ~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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* }( V- A5 {, O, J"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. . m1 z( z4 q1 F4 a+ R, ~7 v
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates( ?3 P5 _1 E2 Y# J! u- D
"Given the amount of it, it's going to be scary," the mayor said. 3 Z2 c9 F7 z: Q* T
; i6 G6 x# z5 G1 V3 mA hike in that range could cost the average homeowner up to $200 a year. ) R: v' J0 u* X; b5 ]
+ d1 Y$ t: g# |8 [$ i) y* d. q2 K/ ?' P"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. $ l+ v% B5 P$ }. E9 |& s `
$ {; L4 h; G( B; Z2 e) d% YCoun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. ) S* O% v( Y$ V( ]1 `, T
! R5 S8 N P# [' T9 J& O! J2 C) JThe draft budget does not come out until November. ; `* Y3 y$ `+ K2 {3 P" \7 O, a3 x
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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. " K1 ^9 ^% Y. L! s% H" Y4 x$ Z
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"It won't be as bad as some people are making it out." 0 o- D5 {5 R: P* }
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Maurer said income from investments and various financial strategies could offset a large hike. ! M' l- |, \, z
4 l$ B1 Z. h& ~. }; t7 }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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( w6 C3 K6 i( ?0 q+ \Scott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase. . h7 }8 O. x. x, d7 y
6 W1 y j. T" U2 ?0 ?/ UHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. 2 p, P% k; {9 [2 S+ A v9 G- B q
# O' X/ |% i; n0 R/ H* x, [( [3 A( P3 M"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. ' j. m P" \6 \/ v! V! }
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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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0 l* `$ n) S, f) o$ U! A+ X5 VThe average property tax bill in Edmonton will go up 4.95% this year, the city has said.
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9 a8 T0 x. W _% z/ I, `+ Q$ bThe 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. 1 d, ?5 k4 u) f
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Tax bills will be mailed May 25 and payments are due June 30. |
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