Municipal property taxes are based on two things: The total assessment and the mil rate.
Each year the value of every property within the municipality is calculated. This calculation is based on the sale of similar properties elsewhere in the municipality. This new way of calculating the value of your property is called Market Value Assessment (MVA). This process was introduced by the provincial government a few years ago. Every Alberta municipality has to use it, they have no choice!
After that process is completed, all those assessments are added up to get the municipality's Total or Overall Assessment.
After going over the proposed budget in great detail, the municipality decides how much money it needs to operate over the next year. It then looks at its Total Assessment to assign the Mil Rate.
The Mil Rate refers to the number of dollars and cents each property owner must pay per thousand dollars of their MVA.
Beiseker's Village Council has steadfastly refused to raise the mil rate. Each year our total assessment goes up as new homes and businesses are built and sold. By keeping the mil rate the same and relying on the increase of the total assessment, taxes are kept at a consistent level year to year.
Studies have shown that Beiseker's property taxes are below the provincial average for a municipality of our size.
Some individual property taxes will increase while others will decrease. Others will stay the same. Overall on average we have managed to keep taxes down. The mil rate is based on the overall total assessment, not on individual property assessments.
Over the next three years I will continue to make sure the people of Beiseker get the "best BANG for their tax buck!".
I am also working on a proposal to allow municipalities to reduce the burden of the MVA on long term homeowners on a fixed income.