Operating Budget > Expenses Debt repayment
Debt Repayment is an expense under the Operating Budget that pays the principal and interest on debt that the City has taken on to partially fund capital projects. Because borrowing almost never makes up the full funding source for any capital project, and because repayment for borrowing is carried over 20 – 30 years, debt repayment costs are a relatively small annual expense. This expense is also relatively low because of historically low interest rates the City has been able to take advantage of over the last six years.
The typical Edmonton household contributes $25.60 per month toward Debt Repayment through property taxes.
For comprehensive information about how the City uses debt, read our debt whitepaper (PDF).