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Note, ,Properly T�Levy
<br />While the assessor is projecting a further decrease in property values of 4-7%, due to the exceptionally
<br />poor economy, for purposes of this projection, the Finance Committee is assuming a decrease of 5.5% in
<br />the total of all property assessments which is resulting in a projected tax rate when it is struck in December
<br />of $8.43/ $1,000 of assessed value, an increase of $0.64 from the current rate of $7.79/ $1,000.
<br />For information purposes, every $44,200 in either decreased revenue or increased expense affects the tax
<br />rate by 1 cent. Said another way, to reduce the projected tax rate from $8.43 to $8.42 requires additional
<br />revenues of $44,200, or decreased expenses of $44,200, or any combination of increased revenues and
<br />decreased expenses equaling $44,200.
<br />Note' 10 �rdperty Taxes on the Average Home
<br />Reflecting the downward trend in residential property values, in 2009 the average single family home in
<br />Mashpee was assessed at $467,482, a drop of $29, 016 from the average 2008 residential assessment.
<br />Multiplying that amount ($467,482) by the tax rate ($8.43/$1,000 of assessed value) will result in a tax
<br />levy of $3,941 for this FY ' 11 budget. This is an increase of $299 a year over the current bill.
<br />Note 1l Property Taws ou the Average Condomunixu
<br />Similarly, condominium values dropped in Mashpee to an average assessment of $321,685, or a $29,873
<br />lower value. Multiplying that amount times the tax rate results in a tax levy of $2,712, or an increase of
<br />$206 a year over the current bill.
<br />C�lY �ESIDENTSAA�?E CONFIDENCE IN �HHEwFINCOM'S PROJECTED,PROPE„ . Ty��F )��T�S?
<br />As part of the Finance Committee's review of the budget, the Charter requires the FinCom to project the
<br />effect the passage of the budget may have on the property tax rate. This is not easy to do, since the
<br />committee is reviewing the budget in March without knowing the town's final revenues for the current
<br />fiscal year, the state's final municipal aid revenues, how much, if any, funds will be appropriated and
<br />approved at the October Town Meeting, what new tax rateables will have been added during the year,
<br />and, most importantly, what the final total of property assessments will be. All these categories have been
<br />finalized and certified when the Assessor presents the tax rate for the year to the Board of Selectmen in
<br />late November.
<br />Given this information, the table below shows the FinCom's tax rate projection made for the May Town
<br />Meeting versus the final tax rate struck in late November.
<br />Year
<br />2010
<br />2009
<br />2008
<br />2007
<br />2006
<br />2005
<br />2004
<br />FinCom Assessor's
<br />Projected Tax Rate Final Tax Rate
<br />$8.43/$1,000
<br />$7.70/$1,000
<br />$7.20/$1,000
<br />$6.15/$1,000
<br />$6.39/$1,000
<br />(1)
<br />(1)
<br />$7.79/$1,000
<br />$6.99/$1,000
<br />$6.58/$1,000
<br />$5.84/$1,000
<br />$6.34/$1,000
<br />$6.49/$1,000
<br />Difference
<br />$0.09
<br />$0.21
<br />$0.43
<br />$0.63
<br />(1) The FinCom began projecting a tax rate for the Town Meeting in May 2006. Note, since 2006
<br />the difference between the projected and final tax rates have gotten closer each succeeding year.
<br />,E>MUNICIPAL APPROPRIATIONS
<br />The following table shows the changes in the Categories of Expense and the major departments and
<br />expenses within those categories for the FY06 through the FYI municipal budgets, and shows the
<br />percentage change in each item over the 6 year period. The Total Property Assessments and Tax
<br />Rates are also shown.
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