The City proposes property tax decrease for taxpayers in 2021 and surpasses SAVE program financial targets
Today, The City of Calgary released Mid-Cycle Adjustments to the One Calgary Service Plans and Budgets, which are available on the Council Agenda and Minutes page. Through prudent financial management, The City has proposed an overall tax rate decrease of 1.66% for 2021, exceeding Council’s direction for a 0% increase.
Some of the savings found beyond the Council direction for a 0% increase will replace the one-time rebate for 2021 previously directed by Council with permanent reductions. After taking into account the one-time rebate approved by Council for last year’s taxes, the result will be an overall decrease of 0.55% for non-residential and 0.67% for residential taxpayers (including a small one-time rebate in 2021). Specific tax rates for 2021 will vary depending on property type and changes in assessment value.
“We have taken bold action to support Calgary’s economic recovery and COVID-19 response. We have heard Calgarians and Council and have worked incredibly hard to further reduce costs while continuing to modernize services and invest in key priorities to better serve the changing needs of Calgarians,” said City Manager David Duckworth.
Mid-Cycle Adjustments are a regular part of The City’s four-year service plan and budget cycle that enable Council and Administration to respond to the changing needs of Calgarians. The proposed adjustments include those identified by the Solutions for Achieving Value and Excellence (SAVE) program, which was directed by Council to target a reduction in operating budgets of $24 million in 2021 in order to deliver modern and affordable lines of service. “We are pleased that the SAVE program has exceeded its target by identifying $26 million in net base budget savings, $1 million in revenue and additional one-time savings. SAVE is a more strategic approach to our finances that reduces the need for across-the-board reductions and helps drive innovation in our service delivery,” said Chief Financial Officer Carla Male.
The proposed Mid-Cycle Adjustments were informed by the results of previous online public engagement, social media dialogue and research activities. With the release of the proposed adjustments, citizens can provide Council with additional feedback between now and Nov. 23, when Council deliberations begin. The details can be found here.
For more information, please visit calgary.ca/adjustments.