Officials: Warrant Article 7 Could Save Town Money [Poll]

One of the warrant articles that residents will consider at the October 17th town meeting would exempt commercial property worth less than $2,000 from taxation - an idea that could benefit the town's bottom line as well as business owners.

These taxes are levied on commercial goods owned by local businesses, such as merchandise and equipment, machinery and furniture.

The Board of Assessors has recommended the proposal, and at their Monday night meeting, the selectmen also registered their approval of the idea.

An explanation of the warrant article distributed at the meeting notes that the town currently has 304 personal property accounts, 146 of which would be affected by article 7.

The annual tax revenue generated by these 146 properties amounts to $2,027.86. However, the town's estimated processing cost for each of these accounts is $24, for a total of $3,504. With these figures, the estimated annual savings from the processing cost alone if Warrant Article 7 passes would be$1,476.14.

However, town officials also cited several other areas for potential savings from this warrant article. "Many of these small bills are uncollectable," noted Town Administrator Bill Gustus, adding that when this happens, the town has to charge its overlay account for the sum in question.

Also, the town pays Patriot Properties $50 per taxable personal property account every three years for its recertification process. At that rate, the 146 accounts affected under Article 7 amount to $7,300. But because non-taxable accounts only cost the town $10 each under this setup, the estimated savings every three years would amount to another $5,840.

Supporters of the article also point out that it would free up town workers to devote time to matters  more substantive than processing tiny tax bills. He also noted that another benefit from the warrant article could be increased taxpayer good will. Board of Assessors Chair Dave Nelson also noted at the meeting that passing the measure could help increase goodwill among town taxpayers and business owners.