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Mayor warns of 'scary' tax hike% E R) ~% Q, }& s5 Q
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Think your property taxes are high now? You ain't seen nothing yet.
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1 j( Q! Z& J" ^/ qEdmontonians 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. 3 J; Y( R2 C- G9 O2 H4 n
6 F4 e) g* x% t( R& ?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. . j* w9 n; z* l( M' T8 @
9 X: F5 ]: ?- Q o0 l: F"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers.
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates4 a, Z. I7 t3 i: C: L
"Given the amount of it, it's going to be scary," the mayor said. 8 }, B/ I6 ?5 H
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A hike in that range could cost the average homeowner up to $200 a year.
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. , T: d9 {# q" k6 J% r
( Q6 n! T8 e3 w9 D( `( OThe draft budget does not come out until November. & i4 E( w; j' t" Y. M7 r4 T8 O3 n' |% l
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"I'm not looking for a major increase next year, at least not too much more than we've already approved for this year," Hayter said.
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"It won't be as bad as some people are making it out."
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, ?- I4 n( ~# N8 K+ a* ~& {4 EMaurer said income from investments and various financial strategies could offset a large hike.
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2 `: F1 [* G1 b: }+ Q0 THowever, he said there aren't really any city programs that could be cut in order to save a few bucks. + ^7 ~0 P; K4 O
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"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program.
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* T/ ]5 b. v7 e# O6 r! D, {Scott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase. 9 O# g& J6 L, K, A
" G$ D3 c9 ~9 ^# QHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. 2 v+ M. h9 n! D, H
8 q8 n% R* `! |0 I; ?"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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4 B6 g# f5 s+ O9 _' d1 o"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.
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+ \0 D. z' f( G9 v. OThe 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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) Z5 V! v+ x) A$ x) t* ]' ?8 CTax bills will be mailed May 25 and payments are due June 30. |
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