How Are Tax Rates Set and Collected?

Your St. Albert tax notice is comprised of three separate rates – one for municipal services, one for the Servus Credit Union Capital Tax Levy and one for the provincial government's education levy.

The City is responsible for collecting all three portions, but only sets rates for the municipal services and Servus Place levy portions.  The education rate is set by the Province of Alberta and/or the school boards, based on funding requirements for education programs and services.

While City Council has approved the rates for residential and non-residential properties, and for the Servus Place levy, the province has not yet determined the funding requirements for education.  It’s expected the province will announce the rate early in 2010.

The chart below provides preliminary calculations that factor in all three rates.  Based on these figures, if there is no change in the education rate, the overall tax rate increase for residents and business owners could rest at around 2%.

Overall Tax Increase for 2010: Factoring in no change for education tax (based on a home valued at $400,000)

	2009	% Change	$ Change	2010
Municipal Services	$2,574.63	3.12%	$80.27	$2,654.90
Servus Place	$140.64	*-1.21%	-$1.70	$138.95
Total Municipal Tax	$2,715.27	2.89%	$78.58	$2,793.85
Education	$977.20	0.00%	$0.00	$977.20
Total Taxes	$3,692.47	2.13%	$78.58	$3,771.05