The Municipal District of Taber will be getting almost $400,000 less in non-residential property taxes this year.
During their regular council meeting on April 26, The M.D. of Taber council performed the first reading of their 2016 Mill Rate Bylaw, and looked over their budget changes and new mill rates.
Council had passed an interim budget last December, since, as per the Alberta Municipal Government Act, they cannot pass their official budget until they receive the numbers for education, which are set in the provincial budget. With the passing of the provincial 2016 budget last month, the M.D. now has the information to set the education rates, and can set their mill rates.
“They (Alberta government) don’t set the rate,” said Bryan Badura, director of cooperate services for the M.D., on setting the education mill rates. “They send us a dollar amount, and depending on what our assessment is, the rate is calculated.”
Some of the changes to non-residential and linear assessments include a reduction of property taxes of $674,980 due to reduced assessment, with an mill rate increase of 2.5 per cent to receive an additional $292,052, making the net decrease in property taxes $382,930.
Changes to residential assessments include an assessment increase and a mill rate increase of 1.5 per cent, leading to a net increase of $95,829 in property taxes.
Changes to farmland assessments have a small assessment increase and mill rate increase of 1.5 per cent amounting to an additional $19,857 in property taxes.
Additionally, under sect. 359(3) of the MGA, the M.D. included an addition $135,110.68 in their budget that will be added to the school mil rate for the school requisition portion of uncollectable property taxes, and an additional $3,660 to the Taber & District Housing requisition for the senior housing requisition of uncollectable property taxes. Further changes to the final budget include a reduced staffing budget, increase in Workers Compensation Board premium rate for all departments, Taber Regional Fire Department training and start-up costs and net capital increases to administration and fire budgets of $50,000.
The property tax levy rates will raise a total of $21,024,721.89, and are set as follows;
The rates for properties within the M.D. to produce sums to meet general Municipal Expenses total $15,123,687.74, with mill rates of 7.1131 for farmland properties ($1,226,886.46), 8.2084 for linear properties ($7,032,550.16), machinery and equipment ($2,814,189.36) and non-residential properties ($2,160173.04) and 3.4550 for residential properties ($1,889,888.72).
The rates for properties liable to the Alberta School Foundation Fund Requisition total $5,593,157.69, with mill rates of 2.4224 for residential and farmland properties ($1,624,899) and 3.9786 for non-residential properties ($3,968,258.69).
The rates for properties liable to the Holy Spirit Roman Catholic Separate Regional Division No. 4 Requisition total $123,915.06, with mill rates of 2.4224 for residential and farmland properties ($112,642.39) and 3.9786 for non-residential properties ($11,272.67).
The rates for properties within the M.D. to produce sums to meet the requisition of the Taber & District Housing Board total $183,961.40, with a rate of 0.0843 for farmland properties ($14,540.47), linear properties ($72,224.06), machinery and equipment ($28,901.55), non-residential properties ($22,184.87) and residential properties ($46,110.45).
To calculate property tax, multiply the assessed value of a property by the mill rate, and then divide that amount by 1,000. For example, a property with an assessed value of $50,000 located in a municipality with a mill rate of 20 mills would have a property tax bill of $1,000 per year.