CANDIDATE BRIEFING ELECTION 2013

PROPERTY TAXES

OVERVIEW

Property taxes are ’s largest source of revenue, and taxes fund the majority of services that residents and businesses expect from their municipal government, such as:  Road construction and maintenance  Infrastructure construction and maintenance  Policing and enforcement services  Garbage and recycling services  Snow removal  Fire services  Recreation amenities and services  Parks and open space creation and maintenance  Planning and permitting operations

Compared to all 13 of the municipalities that border Rocky View, the County has one of the lowest property tax rates for residential properties, and among the most competitive business and industrial property tax rates.

TAX RATE

Each year, County Council sets a tax rate, which is the amount of taxes that will be collected for each dollar of assessed property value. There are three ways that property taxes can increase or decrease: 1. County Council can set a higher or lower tax rate 2. Market conditions can change, with property prices generally going up or down 3. Individual property values can change, such as when a resident adds or removes a garage or stable

Whether an individual property owner’s taxes rise or fall in any given year will depend on the combination of these factors for their particular property.

Rocky View County Page 1 of 6 Tax Levels RESIDENTIAL PROPERTY TAX COMPARISON

Here are the residential property tax rates for Rocky View County and all 13 of its neighbouring communities.1

Community Tax Rate Per $1K of Property Value $8.86 $7.77 Crossfield $5.08 $5.06 Kananaskis I.D. $4.93 Cochrane $4.65 Airdrie $4.32 Wheatland County $3.77 $3.46 $3.04 M.D. of Foothills $2.65 Rocky View County $2.41 $2.38 M.D. of Bighorn $1.63

1 Source: Municipal Affairs, 2012; Rounded to the nearest penny.

Rocky View County Page 2 of 6 Tax Levels BUSINESS / NON-RESIDENTIAL PROPERTY TAX COMPARISON

Rocky View County has a highly competitive business/non-residential property tax structure in comparison with all 13 of its neighbouring communities.2

Community Tax Rate Per $1K of Property Value Calgary $12.31 Mountain View County $9.76 Kneehill County $9.07 Beiseker $9.05 Irricana $8.67 Airdrie $8.00 Wheatland County $7.66 Rocky View County $7.24 Cochrane $7.08 Chestermere $7.06 M.D. of Foothills $6.72 Crossfield $6.27 M.D. of Bighorn $5.64 Kananaskis I.D. $4.93

Additionally, there is no business tax in Rocky View County, which can amount to significant savings for business owners. Calgary’s business tax, for example, adds $75.80 for every $1,000 worth of value of the space a business occupies.

2 Source: Alberta Municipal Affairs, 2012; Rounded to the nearest penny.

Rocky View County Page 3 of 6 Tax Levels SENIORS LODGE TAX RATES

Under the Alberta Housing Act, municipalities have legislated authority to requisition taxes to assist with the costs of the accommodation services the Province provides to eligible senior citizens in the community. Here are the Seniors Lodge Accommodation Tax rates for Rocky View County and our 13 neighbouring communities.3

Community Tax Rate Per $1K of Property Value M.D. of Bighorn $0.17 M.D. of Foothills $0.15 Kananaskis I.D. $0.13 Kneehill County $0.08 Mountain View County $0.07 Wheatland County $0.06 Airdrie $0.04 Beiseker $0.04 Cochrane $0.04 Crossfield $0.04 Irricana $0.04 Rocky View County $0.04 Calgary $0 Chestermere $0

FARM TAXES

In Rocky View County, farmland is taxed at a rate of $5.43 per $1,000 of land value. Farmland represents 92 percent of the County’s land base, and contributes approximately 2 percent of the property taxes.

Provincial legislation sets the maximum amount that Alberta municipalities can assess farmland at $350 per acre.

OTHER TAX REVENUE

Rocky View County also receives revenue from non-residential power generation and taxes on business machinery and equipment. This rate is currently $7.24 per $1,000 of assessed value.

3 Source: Alberta Municipal Affairs, 2012; Rounded to the nearest penny.

Rocky View County Page 4 of 6 Tax Levels TAX BREAKDOWN

Rocky View County works to achieve the proper balance between residential and non- residential taxes. This ensures that taxes reflect the benefits that residents and businesses receive from the County and the costs of providing services.

The following charts show the change in this balance since 2009, which has been achieved by attracting new businesses to Rocky View. Numbers are rounded to the nearest percentile.

2009

Non-Residential Farm 26% 2%

Residential 65%

2013

Non-Residential Farm 47% 2%

Residential 51%

Rocky View County Page 5 of 6 Tax Levels

EDUCATION TAXES

Residents are often confused over Rocky View County’s tax rates, since the County is required to collect education property taxes on behalf of the Province of Alberta.

The education portion of property taxes is established and controlled by the Government of Alberta, and not by Rocky View County. The Province has set these rates at $2.61 per $1,000 of residential property value and $3.45 for business/non-residential.

The spending of education funds is controlled by the elected members of the Rocky View Schools Division, and not by Rocky View County Councillors.

ADDITIONAL INFORMATION

Rocky View County’s 2013 budget and previous audited financial statements are available by visiting www.rockyview.ca and clicking “Government” then “Budget & Finance,” or use this link: http://www.rockyview.ca/Government/BudgetFinance.aspx

Rocky View County Page 6 of 6 Tax Levels