Thursday, April 19, 2012

Taxation in the Crowsnest Pass, 2.5% or ????


Well I have spent the better part of a week listening to a lot of people speak about how happy they were with the 2.5% increase in taxes.
Well once you get over the euphoria of "boy were the naysayers wrong, all these positions our leaders are creating at the municipality are not going to drive our taxes up".

Now you get to come back to reality, take a closer look. The real question is if I had a home assessed at $200,000 last year I would have paid  $1663.37 so assuming that home’s value stayed at $200,000 my taxes this year with a 2.5% increase should be $1663.37x2.5%=$1704.95 an increase of $41.58.
Well the residential mill rate went from 8.3168 to 8.8189 which means a $200,000 home today will reflect on your tax bill as $1763.78 an increase of $100.51 which is really a 6% tax increase.

Look at the previous post of how much the municipality as taken in, from General Municipal Revenue.  http://crowsnestpasshome.blogspot.ca/2012/04/taxation-in-crowsnest-pass.html

For example when you look at 2010 the last year of the previous council we only increased General Taxation by $72,806 or 1.1%, and we still managed to put $450,000 into reserves that year.

25 comments:

Anonymous said...

This looks to me like the largest increase in the last five years.
Making progress. LOL

Anonymous said...

This 2.5 per cent appeared pretty suspect from the first day. While it would have taken tremendous administrative and leadership effort to hold the line on taxes - one hoped that the 2.5 was for real. It would be good for the community if the council reviews the numbers before the final vote. This community needs a break.

Crowsnest Pass Home said...

The final vote is done it was passed Tuesday night April 17th.

Anonymous said...

Too bad!

Anonymous said...

I am getting confused my tax bill for last year was $2330. When my bill comes from the municipality if my assessed value is the same. Shouldn't my bill be approximately $2390.
Last years amount plus 2.5%???
Or are you telling me it will be more??? Getting more confused now I have put my thoughts on paper.

Jack

Anonymous said...

Don't be confused the only way your tax will go up more than 2.5% is if your assessed value goes up.

Very simple the tax increase is 2.5%

Anne

Anonymous said...

Assessment should not go up this year, on average. If your assessed value is the same, the tax increase should reflect 2.5 per cent. If it does not, somebody at the town office is not working with the right decimal numbers in their calculators. This will not be this hard to figure out. Hopefully, with all the new hired help, they got this right.

Anonymous said...

According to the Promoter assessments in the CNP will drop by about 25 million total. Should be about 3 -4 % for the average home.This is the only way that property taxes can go up by 2.5%.
The mill rate went up by about 6%, assessment falls by about 3- 4 % and combined they equal out to an average of 2.5%.
If your assessed value stays the same your taxes will go up by 6%.

Crowsnest Pass Home said...

Clarification on the mill rate issue.


The total amount of dollars that will be billed to the residents of the Crowsnest Pass.

For 2012 are $9,800,358 versus $9,301,120 last year an increase of $499,238.

Which is a difference percentage wise of 5.4%.

The assessment base dropped by 2.5% that was for two reasons; one being that the value of properties went down and two there was only eight new homes built in the Pass.

So what that means in real terms is the additional tax revenue of almost $500,000 is going to spilt by roughly the same number of tax payers as the previous year.

Which in a municipality that sends out an average of around 4500 tax notices means an additional $100 per tax notice.

2.5% on the average tax bill of $2000 is $50.

The notices will be in everybody's mailbox next week, it will be very interesting to hear the reaction.

Anonymous said...

Dean I am getting more and more confused. Is the tax rate going up 2.5%, 6%, 5%, what is it? who knows.
Then I read and hear about our assessments are going down.
Is there not a simple way to show what it all means?

Bob

Anonymous said...

While we are in a position that we can afford high priced consultants in addition to a bloated administration.
I personally will not be happy with a zero percent increase let along a 2.5% increase.
I quote Mr Gallant. "Once we have learned to be more diligent, we should then go further and reduce our property taxes."

You guys are half way through your term now is the time to honour your commitments.

CS

Anonymous said...

Everyone has really different ideas and ways of calculating.
I think I will wait to get my assessment from the Municipality....

Anonymous said...

The municipal office is so bloated now with staff that soon you will hear about them starting to fill other municipal buildings with the excess staff.

Then a year or two from now the argument will be made that we need to centralize staff.(To be more efficient of course) So a new municipal office will be proposed.

Anonymous said...

Only 8 new homes built; it's no wonder it's famine time for my family!

Anonymous said...

Only 8 homes built. I am not quite sure what you would expect. We are not a city. I guess if you want to be a big builder that is where you go.

People, keep things in perspective.

Anonymous said...

Well the pass herald confirmed it today. Taxes on a $200,000 home are going up $117.57, a $300,000 home $177.69.

Strange that seems like a bit more than 2.5%

Anonymous said...

I am quite surprised the 2 councilors with blogs have not posted about the property tax increase of only 2.5%. This number is quite reasonable and they should be able to say we kept taxes at about the inflation rate.However if they are trying to trick us or fool us or lie to us and the number is closer to 6% and then they come out with the excuse that the 2.5% is the municipal portion and the rest is from the province, then what.Never before has a council told the public that there taxes are going up a certain % when they know full well that the increase will be way greater.Do they really think we are that stupid. I beleive this council is so bad that they have actually, intentionaly lied to the public.

Anonymous said...

The number of house starts is a gage of economic conditions and an indicator of Well-being in Canada. Eight house starts is low in my opinion. When I conducted my research for my business plan back in 1996, the economic development officer indicated that there were around 18 house starts in the Crowsnest Pass. Maybe the info I got was incorrect and that is why "8 houses" is so alarming to me.

I count at least 6 new subdivisions in the Pass, so that's like 1 house in a division +2. Some lucky local builder might get two houses.

Never ,in the last 20 years, have I heard or seen so many local trade construction companies, laying off their employees as I have over the last 2 years. Just because you don't read about it in the newspaper doesn't mean it isn't happening.

In 2008, average RURAL house starts in Canada were 52 per 10,000 people. If we have 70% of that population then that would put our "Wish Average of House Starts" at 36 houses per year. I think that makes us 80% below the Rural national average.

I don't think building over 8 houses will make us a city and quite frankly, who cares if we grew that large as third of the people don't even live here regularly anyways.

Anonymous said...

Anyone who has eyes can see that the level of the local economic activity is extremely low - most likely the lowest we have seen in years. Perhaps the council can bring In some smart out of town people, preferably a few distinguished and well meaning educators, and strike up an economic development task force. Just a thought.

Anonymous said...

8 new houses !!!

Good thing we have a full-time Building Inspector.

Anonymous said...

You cannot plan housing from year to year let alone take things from 15 years ago. I also find tradespeople very expensive in the CNP. You would think they want to take a job just to keep working, but no, they would rather do nothing than take a little less. Just saying....

Anonymous said...

Anon 11:06 - You got to be kidding. Anyone can see that we are stuck in what appears to be a policy making vortex that only an election can get us out of.

Anonymous said...

Keeping in mind that the only people who will comment are the people who want to complain. The usual. Everyone sees things differently. Depending if you are negative or positive. Really don't think negative comments help anything.

Anonymous said...

CNP seems the same to me as it did 20 years ago. Not much different really.....It is what it is.

Anonymous said...

Need less "in camera" meetings and more positive action. Positive attitude Is a good thing - positive action is even better. Local papers have been very kind to this council - despite what some on the council think about the media. Perhaps someone is trying to work out a "correct" media policy.