Taxing our patience: The city tax game

Edmonton Journal, 28 May 2010 -- The city tax game. How is it played?

City councillors get together and say we need this much money. How do we sell this budget in such a bad real estate market? Let's let taxpayers realize the reduction in their property assessment. That will make them feel better and show that we are realistic. But wait, that will reduce our revenues. Oh, that's OK, we just increase the actual rates to raise whatever revenue we think we need.

I am looking at a 19.5-per-cent increase in my municipal levy and a 16.5-per-cent increase in the education levy. I don't know of anything else that increased to that extent.

Why not forgo the assessment in the first place and just say that each house in this neighbourhood will pay a set amount of tax. Period. This would save money by simplifying the system, and the city could lower the rates for all. Forget the city tax game. I know of two houses across the street from each other -- one saw its taxes increase by 12 per cent and the other by nine per cent. Go figure.

Maybe the city should cut its spending, and live within its means.