A public hearing has been scheduled for May 10 at the Red Deer County office regarding the 2016 tax rate bylaw.
On April 26 council passed first reading of the bylaw, which calls for a zero per cent increase across the board. The public hearing is to gather public input prior to a vote on second and third reading.
The bylaw proposes a protective service rate of 0.500, a community services rate of 0.400, an environmental services rate of 0.1590, a farmland rate of 7.9460, a residential rate of 2.6816, and a non-residential rate of 9.9465.
If the tax rate bylaw passes as proposed, a non-residential tax bill would, by way of example, be $1,100.55 per $100,000 in assessed value, the same as in 2015.
“Freezing the tax rates will allow the county to collect $45 million in taxation. This will allow us to achieve our budgeted work plans for 2016 and fund our capital work program without the need to draw so heavily upon our reserves,” said county manager Curtis Herzberg.
“Due to the increase in assessment and in consideration of the economic situation, staff is recommending a zero increase to tax rates for 2016.
“Administration is expecting that our reserves will become extremely important in the next couple years due to aging infrastructure, specifically bridges and capital road projects.”
The county's 2016 budget is $76 million. Of that total, approximately $45 million will come from taxes.
Following first reading on April 26, Mayor Jim Wood said: “This budget shows strong management by Red Deer County and a lot of respect for our ratepayers. We are fortunate that business is still growing in the county despite the economic downturn.”
Councillors also passed first reading of a minimum tax bylaw.
“By way of a minimum tax, administration would like to continue to eliminate the tax notices for under $25 as they are a burden on staff time,” said Herzberg. “We are legislated to levy all applicable property regardless of the amount to maintain equity.
“A minimum tax levy of $25 will cover the administration costs of providing the combined assessment and tax notice to county property owners.”
Taxes in Red Deer County are due June 30.
