A controversial proposal to double property tax penalties next year in Medicine Hat will instead be done over three.
City council was prepared to debate a phased-in jump to default fees on Monday, two weeks after members sent the issue back to committee.
The measure would see the penalty on unpaid tax accounts, which is currently 7 per cent, rise to 9.5 per cent in 2020, then 12 per cent in 2021 and eventually 14 per cent in 2022.
When the original proposal arrived at council this month, four of the eight present council members said they would vote it down, calling it too quick in uncertain economic times.
In October, administrators told council’s corporate services committee that they were re-evaluating a host of city fees, rates and charges in an attempt to raise revenue and cover more of the cost of providing the services.
Administrators suggested a new protocol of benchmarking local city fees against four other Alberta cites, stating that the difference represented lost revenue and subsidy provided by other taxpayers.
As well, council was set to debate increases to property tax appeal fees, from $30 to $50 in most cases, but from between $100 and $500 currently to $650 in cases of large commercial properties.
Among other items on the agenda were increases to business licence and building permit fees of, generally, 6 per cent in each of the next two years.
