Edmonton (Alta.) - 19UU-Unknown - 1996 Residential property tax and utility charges survey...

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Agenda Item No.:

1996 Residential Property Tax and Utility Charges Survey of Major Canadian Cities

Recommendation: That the following report be received as information.

Issue Summary •

•

Edmonton's combined property taxes and utility charges for an average single family house ranked among the lowest in the eighteen cities surveyed, although it had relatively higher utility charges as a result of higher water and sewer rates. Edmonton's position for combined total property tax and utility charges improved from 1995.

Edmonton's 1996 total property tax of $1,503 for the single family house was only 82% of the eighteen cities' average tax of $1,830 and 93% of Calgary's tax of $1,613. Edmonton's 1996 combined total property tax and utility charges of $2,747 for the house was only 91% of the eighteen cities' average of $3,009 and 97% of Calgary's $2,838.

Report • The City of Edmonton conducts an annual survey of property tax and utility charges for an average single family house of major Canadian cities to assess the relative burden on Edmonton property taxpayers. The average single family house is defined as a detached three bedroom bungalow with a main floor area of 1,200 square feet, on a 5,500 square foot lot, ten to fifteen years old, having a one car garage and full basement but no recreation room or fireplace.

The City of North York did not provide the data requested for the average single family house; therefore, they could not be included in this survey.

• The property tax information of the 1996 survey was directly provided by the eighteen Canadian cities surveyed. Information on the utility charges was provided by Telus Communication (Edmonton), Edmonton Power, Aqualta and Transportation Department.

Routing: Delegation: Written By: December 20, 1996 File: 97PDP008.doc

Edmonton Ranks Fourth Lowest in Residential Property Taxes • Edmonton ranked fourth lowest among the eighteen cities in total property tax levy for the average single family house, including municipal and school taxes, after deducting homeowner grants. This is an improvement from the sixth lowest position in 1995 (see attachment 1).

• Edmonton's average property tax increase since 1991 was 0.9% per year, similar to the eighteen cities' average (see attachment 2). This increase is very reasonable, considering Edmonton's population increased by 1.0% a year and consumer prices in Edmonton rose by 2.2% a year over the same period.

Edmonton Ranks Fourth Highest in Residential Utility Charges • Edmonton ranked fourth highest among the cities for total utility charges in 1996 (see attachment 3). The total utility charges for

telephone, power, water, sewer and garbage collection for a single detached house in

•

Executive Committee Bob Caldwell Jong Huang Planning and Development Department

Edmonton, excluding surcharges, was $103.67 per month or $1,244 per year. The average rate for the eighteen cities was $98.21 per month or $1,178 per year.

Edmonton's charge for a touch-tone telephone was $14.25 per month, lower than the eighteen cities' average of $16.78. Edmonton's power rate of $44.64 per month for 500 kWh consumption was lower than the eighteen cities' average of $47.13. Edmonton's water rate of $25.22 (excluding surcharge ) and sewer rate of $14.56 (excluding surcharge ) per month for 23 m 3 water consumption were higher than the eighteen cities' averages of $21.53 and $13.72, respectively (see attachment 4). Factors affecting higher water and sewer rates in Edmonton include the application of user pay concept, higher costs of water and sewage treatment and lower fmancing assistance from other levels of government.

1996 Residential Property Tax and Utility Charges Survey of Major Canadian Cities

Edmonton Ranks Among the Lowest in Combined Residential Property Taxes and Utility Charges • Edmonton's combined total property taxes (municipal and school taxes) and utility charges for the average single family house, excluding water mains and sewer upgrading surcharges, were $2,747 in 1996, lower than the eighteen cities' average of $3,009. Edmonton's combined total property tax and utility charges ranked seventh lowest among the cities (see attachment 5). This is a slight improvement from last year's eighth position.

• Edmonton's position compares even more favourably if only municipal residential property taxes are considered (that is, school taxes are excluded). The combined municipal property tax and utility charges for the Edmonton homeowner amounted to $1,978 in 1996, compared to the eighteen cities' average of $2,325. Edmonton ranked sixth lowest among the cities in this comparison (see attachment 6).

• It is inappropriate to use property tax

5. Combined Total Property Tax and Utility Charges for a Single Family House in 1996 6. Combined Municipal Property Tax and Utility Charges for a Single Family House in 1996 Others Consulted for this Report • • • • •

information contained in this report to compare management efficiency among local governments. Property tax differences among local governments are attributable to many factors such as the structure and sources of local government's operating revenues, the levels and costs of services provided, the use of split mill rates, and the extent of application of the user pay approach. However, property tax differences are a useful measurement of the comparative tax burden.

Background Information Attached

1. Total Property Tax for a Single Family House in 1996 2. Average Annual Property Tax Increase, 19911996 3. Total Monthly Utility Charges for a Single Family House in 1996 4. Average Monthly Utility Charges for a Single Family House, as of October, 1996

• (Page 2 of 2)

Roger Rosychulc, Office of Studies and Budget Dennis Yalcubow, Transportation Department Quinteen Anderson, Telus Communication (Edmonton) ICrystyna Keeler, Edmonton Power• Lorna Mills, Aqualta

•

• Total Property Tax for a Single Family House in 1996

3000 2500 wl

2000

et 1500 1000

10 e4 •• ,tiz• e. ke - •C• c• c% c *.10 ob,cA• k,z • 446 0 *"k• i4"60,- „t 0+ e " 4b q).

0 • * \ c,k. ,ip* + e ,N vi .ic• „sr 0- eie_V4., cy ■F 00 A% 1 c, j *.tb. 4,,e--' 4.T. dkCP • *N- .CP - 0 4o . 44• * 0' -4' IP 4 ; 6> iCY < # il P -le .

.

Prepared by: City of Edmonton, Planning and Development Department, November 1996 Note: Figures include regional taxes and school taxes, net of portion of homeowner grants if applicable.

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500

•

•

• Attachment 1-a

Comparative Property Tax Levy on a Sample House in 1996 (1) City

Homeowner Grants or Credits

Property Tax Levy

Population Municipal

School

Other

Total

Net Property Tax Levy (After Grants)

EDMONTON

634,000

734

769

0

1,503

0

1,503

Calgary Red Deer Medicine Hat Lethbridge Vancouver Victoria Regina Saskatoon Winnipeg Montreal Toronto Ottawa North York Halifax

767,000 59,834 45,892 64,938 521,048 75,000 186,720 201,604 625,305 1,030,678 653,000 319,494 563,285

696

917 794 677 655

0 0 0 0 168 239

1,613 1,526

0 0 0 0

1,613 1,526 1,143 1,284

Saint John

114,455 .

Fredericton

75,000 46,466

St. John's Yellowknife

107,133 17,706

732 466 629 977 1,060

1,027 751 1,032 1,023 1,237 261 1,313 1,407 NA 0

893 673 1,451 2,418 418 428 NA 1,652 1,738

0

1,687 1,100 1,330

0 .

0 961

122 113 0 0 618 921 NA 0 1,672 1,976 0 0 _

1,143 1,284 2,172 2,050 2,047 1,809 2,688 2,679 2,349 2,756 NA 1,652

(2)

470 470 0 0 250 0 0 0 NA 0

(3) (3)

1,702 1,580 2,047 1,809 2,438 2,679 2,349 2,756 NA 1,652

3,410

1,650

(4)

1,760

3,663 1,100 2,291

1,950 0

(4)

1,713 1,100 2,291

0

Prepared by: The City of Edmonton, Planning and Development Department, Planning Services Branch, November 1996.

Notes: 1. The sample house is defined as a detached three bedroom bungalow with a main floor area of 1,200 square feet, on a 5,500 square foot lot, ten to fifteen years old, one car garage, full basement but no recreation room or fireplace.

2. Property tax levy is based on a median single family house which may not correspond to the sample house described above.

3. Grant for homeowner 64 years or under is $470; for senior citizens or handicapped the grant is $745.

4. Provincial government home owners grant for owner occupied dwellings

Rank

6 10 7 2 3 11 8 13 12 15 16 14 17 9 4 5 1

•

•

Average Annual Property Tax Increase 1991-1996

10 8 6 4.4

4

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2 0

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Prepared by: The City of Edmonton, Planning and Development Department, November 1995

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Attachment 2-a

Average Annual Property Tax Increase 1991 - 1996 Property Tax Levy City

1991

1996

($)

($)

Average Annual Increase (%)

Rank

EDMONTON

1,437

1,503

0.90

8

Calgary

1,616

1,613

(0.04)

6

Red Deer

1,482

1,526

0.59

7

Medicine Hat

1,038

1,143

1.95

11

Lethbridge

1,340

1,284

(0.85)

Vancouver

1,102

1,702

9.08

17

Victoria

1,805

1,580

(2.63)

2

Regina

1,855

2,047

1.99

12

Saskatoon

1,697

1,809

1.29

10

Winnipeg

2,558

2,438

(0.96)

3

Montreal

3,507

2,679

(5.24)

1

Toronto

2,039

2,349

2.87

14

Ottawa

2,463

2,756

2.27

13

Halifax

1,728

1,652

(0.90)

4

Saint John

1,422

1,760

4.36

15

Fredericton

1,210

1,713

7.20

16

St. John's

1,045

1,100

1.03

9

1,726

1,803

0.88

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17 City Average

Prepared by: The City of Edmonton, Planning and Development Deptartment.

Planning Services Branch, November 1996.

Note: Percent increases are for net property tax levy on the sample house as defined in Attachment 1-a.

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5_

•

•

•

Total Monthly Utility Charges for a Single Family House in 1996

ODD 200 180 160 140 120 -6"1 100 80 60 40 20 0

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0* C0C ) 4.41 ' ;

c%

t1/41t 0". oo oko ( e ‘ el;e 1/4'.0+.coe,e,4 se.4%to e4qA be<* e Ae‘ cort,# Cfr er,s411:°

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Prepared by: The City of Edmonton, Planning and Development Department, November 1996

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Attachment 4

Average Monthly Utility Charges for a Single Family House (as of October, 1996) (dollars) City

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Telephone(1) Power(2)

Water(3)

Sewer(3) - Garbage 5.00

Total

Rank

103.67 [112.43]

15

EDMONTON

14.25

44.64

25.22 [28.63] [4]

14.56 [19.91] [5]

Calgary

16.93

42.23

25.27

17.63

0

102.06

13

Red Deer

16.02

42.67

18.14

14.39

6.33

97.55

8

Medicine Hat

16.02

30.89

14.28

12.30

6.20

79.69

4

Lethbridge

16.02

46.59

25.06

18.54

7.92

114.13

17

Vancouver

20.30

36.60

16.25

0

0

73.15

2

Victoria

16.10

36.60

11.75

2.32

10.25

77.02

3

Regina

18.30

55.01

18.20

6.20

0

97.71

9

Saskatoon

18.30

55.01

16.50

12.88

0

102.69

14

Winnipeg

14.45

37.84

19.38

20.48

0

92.15

7

Montreal

18.70

39.11

0

0

0

57.81

1

Toronto

19.80

55.00

20.01

12.90

0

107.71

16

Ottawa

15.70

40.56

12.85

11.69

0

80.80

5

Halifax

20.65

57.58

14.70

7.22

0

100.15

11

Saint John

16.70

45.14

16.61

23.28

0

101.73

12

Fredericton

16.70

48.98

16.61

17.01

0

99.30

10'

St. John's

14.80

53.22

13.86

0

0

81.88

6

Yellowknife

12.23

80.74

81.26

14.38

10.00

198.61

18

18 City Average

16.78

47.13

21.53

13.72

7.62

98.21

.

Prepared by: The City of Edmonton, Planning and Development Department, Planning Services Branch.

November, 1996.

Sources: Edmonton Power, Telus Communication (Edmonton), Aqualta and Transportation Department.

Notes: (1) For a touch-tone phone, as of October, 1995 (2) Based on 500 KWH/month power consumption; power rates shown include GST. (3) Based on 23 cubic meter/month water consumption.

(4) Figure in bracket includes surcharge for cast iron water main.

(5) Figure in bracket includes surcharge for sewer upgrading.

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•

•

•

Combined Total Property Tax and Utility Charges for a Single Family House in 1996

5000 4500 4000 3500 3000 Z 2500 2000 1500 1000 500 0

c■

r

k + 0- •(% * * ,e■ el> 44 *,co 4ez• * 40 ,c0 a 41/4 . 60 e:P 00 ti? te .<: to it. 4 t1/4, • 4% 640 0+ op sztzjto . 4‘4" ,co ottc se 4:› lk

lk,

0

,

0

,

6 e

e 4e, n

.

Prepared by: City of Edmonton, Planning and Development Department, November 1996 Note: Property taxes include municipal, regional and school taxes, but are net of homeowner grants or credits if applicable

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1:1 1

•

Attachment 5-a

Annual Total Property Tax and Utility Charges for a Single Family House in 1996 City

•

Total (1) Property Tax ($)

Utility (2) Charges ($)

Total ($)

Rank

EDMONTON

1,503

1,244 [1,349] [3]

2,747 [2,852] [3]

7

Calgary

1,613

1,225

2,838

8

Red Deer

1,526

1,171

2,697

Medicine Hat

1,143

956

2,099

2

Lethbridge

1,284

1,370

2,654

5

Montreal

2,679

694

3,373

14

Vancouver

1,702

878

2,580

4

Victoria

1,580

924

2,504

3

Regina

2,047

1,173

3,220

13

Saskatoon

1,809

1,232

3,041

12

Winnipeg

2,438

1,106

3,544

15

Toronto

2,349

1,293

3,642

16

Ottawa

2,756

970

3,726

17

Halifax

1,652

1,202

2,854

9

Saint John

1,760

1,221

2,981

11

Fredericton

1,713

1,192

2,905

10

St. John's

1,100

983

2,083

1

Yellowknife

2,291

2,383

4,674

18

18 City Average

1,830

1,179

3,009

Prepared by: The City of Edmonton, Planning and Development Department, Planning Services Branch.

November 1996

•

Notes: (1) Property tax shown includes municipal, regional and school taxes, but is net of homeowner grants or credits.

(2) Utility charges include telephones, power, water, sewers and garbage collection.

(3) Figure in bracket includes surcharges for cast iron water mains and sewer upgrading.

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•

•

•

Combined Municipal Property Tax and Utility Charges for a Single Family House in 1996

Lfil[1110 4000 3500 3000 wl 2500 = 2000 1500 1000

0 ij> 40• *t gef4so, 0 e •‘a* e ea, , 0 4% eik 1/ 4 o ec • b + c?• c• A.■16 %iS% e eP b0 q> /4.'(;1/4P o 'tite 0+6,,co43 4%, .* ,st• 0 J% AP 0 44% q.ta \ o b ei■ c7 ilk' GP co'1/4"

40

‘

•

0

4

kk

4.\

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Prepared by: City of Edmonton, Planning and Development Department, November 1996 Note: Property taxes include both municipal and regional taxes, but exclude school taxes and net of homeowner grants if applicable

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Attachment 6-a

Annual Municipal Property Tax and Utility Charges for a Single Family House in 1996 City

Municipal (1) Property Tax ($)

Total ($)

Rank

EDMONTON

734

1,244 [1349] [3]

1,978 [2,083] [3]

6

Calgary

696

1,225

1,921

4

Red Deer

732

1,171

1,903

3

Medicine Hat

466

956

1,422

1

629

1,370

1,999

7

897

878

1,775

2

Victoria

1,001

924

1,925

5

Regina

1,015

1,173

2,188

10

786

1,232

2,018

8

Winnipeg

1,316

1,106

2,422

13

Montreal

2,418

694

3,112

17

Toronto

1 036

1,293

2,329

12

Ottawa

1,349

970

2,319

11

Halifax

1,652

1,202

2,854

14

Saint John

1,760

1,221

2,981

16

Fredericton

1,713

1,192

2,905

.15

St. John's

1,100

983

2,083

9

Yellowknife

1,330

2,383

3,713

18

18 City Average

1,146

1,179

2,325

Lethbridge

.

Vancouver

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Utility (2) Charges ($)

Saskatoon

,

Prepared by: The City of Edmonton, Planning and Development Department, Planning Services Branch.

November 1996 Notes: (1) Property tax shown excludes school taxes and is net of homeowner grants or credits.

(2) Utility charges include telephones, power, water, sewer and garbage collection (3) Figure in bracket includes surcha!ges for cast iron water mains and sewer upgrading.

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