Red Deer city council finalizes 2017 property tax

Rate set at 1.12 per cent

A typical Red Deer homeowner will pay $32 more annually in property taxes in 2017.

On Monday city council unanimously approved a 1.12 per cent increase for residential, multi-family and non-residential properties.

The tax rate is a combination of the municipal rate, education tax set by the province, and the Piper Creek Foundation requisition to fund affordable housing for seniors.

A typical house assessed at $325,000 will pay $2.69 more per month, bringing the total annual tax bill to $2,914 for the homeowner from $2,882 in 2016.

Mayor Tara Veer said the final tax rate shows just how fluid the city’s budget process is.

“When we were first contemplating the projected budget we were looking at 3.5 per cent proposed and where we ultimately ended up landing is 1.12 per cent. Even though it’s a long process in terms of budget, this is the final number,” Veer said.

Coun. Tanya Handley said she was pleased to see the final increase as low as it was, although the community would have preferred no increase.

The reality is there are inflation costs and other increasing costs that have to be dealt with, she said.

“City administration and council worked very hard to get it to that number,” Handley said.

And she said sticking with the same increase across all types of properties was the fair thing to do.

Municipal taxes makes up 71 per cent of the average homeowner’s tax bill. The city is collecting $128.3 million to fund city programs and services. Piper Creek Foundation requisition of almost $400,000 accounts for slightly less than one per cent of the tax bill.

Education tax makes up 29 per cent of the average home property tax bill, and the city will collect more than $44.8 million on behalf of the province for education.

Property tax notices will be mailed on May 19 and taxes are due on June 30.

Property tax payments can be made at City Hall, online, at financial institutions, by mail, or through the city’s TaxInstalment Plan.

More information about property assessment and taxation visit www.reddeer.ca/tax.

szielinski@bprda.wpengine.com

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