The Tax Classification hearing is Monday October 28, 2024. A Tax Classification is mandated by law and occurs every October.
During the meeting, three issues will be taken up and voted on. It is a Hearing so public comment is welcome.
The tax rate is determined by the state Department of Revenue. How the rate is applied constitute the three issues:
1. Will the Town of Stockbridge split the tax rate or have a single tax rate?
The Board of Assessors supported a single tax rate across commercial, industrial, and residential properties. Advice: vote a residential factor of 1.
The reasons were that (a) it is what Stockbridge has always done because (b) its commercial and industrial tax base is less than 10% of taxes collected whereas the residential taxes account for 90%
2. Will Stockbridge approve the Residential Tax Exemption (RTE) and if so at what level — between the 10% — 35% allowed.
The Board was opposed to RTE citing (a) this is moving too fast (b) perhaps a consultant should be hired to advise (c) should only be used when really needed.
The Assessor opposed it because he did not know how to implement it and it seemed too much work determining who was a part-time or full-time resident.
Doug Goudy made clear the advice of the Board of Assessors, the Finance Committee, or Town employees is not invited or required by law. Only the vote of the Select Board is mandated by the Commonwealth.
3. The Small Commercial Exemption
This is a shift in taxes from Small Commercial to Commercial and Industrial. The definition of a small commercial business one with fewer than 10 employees in a building worth $1,000,000 or less. Last year we had 9 commercial entities that met the definition. This year it is 6. The reduction in tax due would be between $approximately $280 – $680. Advice: do not implement.
Regardless of advice or comments from any Town employee, board or committee, the determination is made by the three-member Select Board.
Editor’s Note: On October 28, 2024, at the Tax Classification Hearing: the Single Tax Rate (#1 above) was adopted. The other two, RTE and the Small Commercial Exemption, were not voted on; they both died for lack of a second. The tax rate last year was $7.37 and for the coming year it is anticipated to be $7.09
