Boscawen Property Tax bills come as a shock. Town seeks to recoup after ‘miscalculation’
Note from the MCA: Why is it a good thing to have a watchdog group like the MCA in your town? Attendance at meetings, questions to our elected officials, letters to the editor, video taping and posting on this website many public meetings goes a long way to avoid surprises like a 20% tax hike.
By Amy Augustine Concord Monitor Staff
Boscawen is giving taxpayers more time to pay up after a big spike in the tax rate appeared in their November bills.
The overall tax rate is $23.58 per $1,000 of assessed property, up from $19.04 in 2007. The town portion of the rate jumped from $4.63 to $6.99. Tax bills were mailed this month, along with a letter explaining the increase from Town Administrator Michael Wright.
In the letter, Wright cited a 2007 "miscalculation" between the town and Department of Revenue, as well as a decrease in town revenue as reasons for the sharp increase. Wright said the town accounted for about $125,000 in state funds for a water and sewer project in its 2007 budget submission, which inflated the amount in the town's general fund.
That made last year's taxes lower than they should have been, he said. That money must be recouped this year.
This week selectmen agreed to give taxpayers a 90-day interest-free grace period if they pay 80 percent of their bill by the Dec. 5 due date. Wright said people should contact the town offices if they want to take advantage of the grace period. ..
He said the town anticipates a "small" decrease in the May 2009 tax bill and a "substantial" reduction in December 2009.
Susan Douglass, who owns the Trainer's Loft tack shop on
She and her husband, Ted, chose Boscawen because of its charm, close location to Interstate 93, and its reasonable tax rate. She's thinking about selling the property because the taxes have
become so high.
"I just can't imagine what people are going to do," said Douglass, who owns a large 10-room farmhouse in
Douglass's property, situated on less than a tenth of an acre, was reappraised last year, with its value decreasing by about $35,000. She said she was expecting an increase in taxes, but not like this.
"They're going to have to sort this out. Now (the town) is saying, 'Because we made this mistake, you have to pay for it.' That's not right."
Virginia Gray, 89, moved to Boscawen four years ago. When she first arrived, her tax bill was about $2,800. It has since jumped to $4,000. She's living on a fixed income and said she'll be able to squeeze by, but it will be tough.
"I was planning on using that money on my fuel bill. It's going to be a bad winter, and I'm worried," Gray said.
At the selectmen's meeting this week, Wright said other factors contributed to the town's tax increase, including the 2006 purchase of a large piece of land. Revenue was down because seven households defaulted on taxes and had to be taken over by the town.
The town is exploring ways to generate more money, Wright said. "We're looking to increase the tax base by encouraging the introduction of more small businesses, and also considering assets we could liquidate to increase our revenue," he said. "We own some property. We have to see if we could market it to anyone who wants to develop or build on it."
The selectmen laid blame for the heavier tax burden on factors outside the town's control: the county and the
"Our taxes won't stop increasing until the other two parts of government are made to be more fiscally responsible," said Selectman Ed Maloof. "It's not going to change until people's attitudes change."
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