11/28/2016 BOARD OF SELECTMEN Minutes

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4 Board of Selectmen Minutes November 28, 2016 APPOINTMENTS & HEARINGS Public Hearing: Tax Rate Reclassification, Town Assessor: The Board of Selectmen opened the Public Hearing on whether the Town of Mashpee should implement the Classification Act. At the hearing the Board will hear testimony as to what will be the fiscal year 2017 residential factor which will determine the share of taxes each classification of property will pay, what will be the open space factor, and whether there will be a residential exemption and/or a small business exemption. The Hearing notice was read aloud into the record in accordance with posting procedures. Jason Streebel, Director of Assessing was in attendance to facilitate the Public Hearing. Mr. Streebel indicated the total valuation; $4.96 billion in the Town of Mashpee has increased by approximately 4% over last year. Over $81 million has been assessed in new growth which will bring forth $738,000 in tax revenue on new growth only. All proposed values and new growth figures have been approved by the Department of Revenue for fiscal year 2017. The tax rate will remain the same as last year; $9.08 per $1,000 valuation. At their meeting of October 27, 2016, the Board of Assessors voted to recommend that a single tax rate be adopted with no residential exemption and no small business exemption. Mr. Streebel indicated if the tax rate were split, it would create a larger burden with the small commercial population. Generally, towns do not split the tax rate is there is less than 10% commercial, and it is not likely the Town of Mashpee would have over 10% commercial in the next ten years. It was noted that personal property tax; 1.2% is no longer a part of the commercial tax rate. If the burden were shifted between the categories of properties, the larger share of the burden would be placed on the commercial, industrial and personal property tax payers. A residential factor of “1” results in the taxation of all property at the same rate. Utilizing 2.5% in overall calculations this year, the excess levy capacity is $753,000. Discussion followed with regards to setting aside excess funds into a revenue reserve to offset debt implications projected in fiscal year 2022. It was agreed the Financial Team would be consulted regarding the unmet capital burden, and specifics required to reserve any remaining funds that would be earmarked for particular projects only and not general budget operating costs. Due diligence would be bring forth a review and analysis to secure obtainable funding for future expenditures. Motion made by Selectman Sherman to move that the Town of Mashpee adopt a tax rate Factor of “1” for all classes of property with no discount for Open Space, no Residential Exemption and no Small Commercial Exemption. Motion seconded by Selectman Cotton. VOTE: 3-1. Motion carries. Roll Call Vote: Selectman Gottlieb, no Selectman O’Hara, yes Selectman Cotton, yes Selectman Sherman, yes Opposed, (1)