Red Deer City Council gave first reading to the 2019 Property Tax Bylaw at today’s Council meeting.
If approved, the combined tax increase needed to fund the municipal tax requirement and requisitions for Alberta Education and Piper Creek Foundation would result in a total tax increase of 1.89 per cent for residential and non-residential properties and 4.09 per cent increase for multi-family properties.
“The City is required under legislation to collect education taxes for the Province. Education tax makes up 28 per cent of an average home property tax bill this year,” said Joanne Parkin, Revenue and Assessment Services Manager. "Due to delay of the provincial budget, an estimate for collection of education revenues has been included in the bylaw. This ensures stability and predictability for tax payers when the provincial budget is released later this year."
The 2019 Tax Rate Bylaw will collect $46.3 million in property taxes on behalf of the Government of Alberta to fund education.
In accordance with the approved 2019 Operating Budget, the proposed 2019 Property Tax Bylaw would collect $136.4 million in municipal taxes to fund programs and services.
The proposed tax increase would mean a typical house assessed at $325,000 would increase by $4.26 per month for municipal tax. The education portion would increase by $0.49 per month and the Piper Creek Foundation portion would increase by $0.12 per month bringing the total tax increase to $4.87 per month under the proposed bylaw. This would equate to an annual tax bill of $3,151 up from $3,092 in 2018, which is an increase of $58.44 per year.
“Our municipal taxes are essential to providing the services The City delivers, everything from maintaining our roads and parks, to police and emergency services,” said Parkin. “It’s about providing necessary services for our growing city.”
The Tax Rate Bylaw will come back for consideration of second and third readings at the Council meeting on April 29. Taxes are due Friday, June 28, 2019.
For more information, please contact:
Revenue & Assessment Services
The City of Red Deer
Communications & Strategic Planning
The City of Red Deer