http://www.rutlandherald.com/article/20150704/NEWS02/707049935
Springfield’s grand list drops, taxes rise
By Susan Smallheer
Staff Writer | July 04,2015
SPRINGFIELD — Property taxes are going up just over 2 percent in Springfield, which has seen a significant decline in the value of its taxable property.
The Select Board voted unanimously Thursday to set the new tax rate at $2.96 per $100 of assessed value for the “homestead” rate, and slightly lower for the nonresidential tax rate of $2.81.
Jeffrey Mobus, the town comptroller, said that was 2.16 percent higher than last year’s rate of $2.90. In 2014-15, the increase was 2.11 percent. The new rate goes into effect immediately and will be reflected in next month’s quarterly tax bill.
Voters approved a town budget of $10.7 million, requiring $8.7 million in taxes. In March, town officials had estimated the tax rate would go up 2.9 percent.
The school portion of the tax rate was $1.54 for residential, and $1.39 for nonresidential. The town portion was $1.35 per $100 of assessed value.
But the figures that worried town officials most was the decline in the town’s grand list of taxable property.
The grand list dropped from $6,548,027 to $6,493,240.
The grand list, as defined by the state, represents about 1 percent, of the fair market value of all property in the town.
By comparison, in 2011, the list was pegged at $6,660,953, and it has dropped every year since.
“It’s not going in the right direction,” said Selectman Walter Martone. “It’s not a good trend.”
Town Manager Tom Yennerell said there were “lots of reasons, lots of grievances” behind the drop in the total value of property in Springfield.
But he said this year’s drop of $54,787 — which in real dollars translates to about $5.5 million in lost property value in a year — was due to a new law that went into effect Jan. 1 affecting the valuation of “affordable” housing projects that are subject to a covenant.
Yennerell said those properties are now valued at about 65 percent of fair market value, instead of 100 percent.
In all, he said, 75 buildings in town were affected by the new law. Only properties that are subject to a “housing subsidy covenant” and are owner-occupied are eligible for the discount, according to the state Department of Taxes. The law was passed in 2014.
But Yennerell and Mobus said after the meeting that the declining grand list is more proof that the town needs to undertake a townwide reappraisal. The town has been setting aside money every year for the reappraisal, Mobus said.
After the Select Board meeting, the town’s Board of Civil Authority met to consider two property valuation grievances, where property owners were claiming they were over-assessed and thus overtaxed.
The last reappraisal was before the economic downturn in 2008, and since then local real estate agents have said properties usually sell below their assessed value, another indication of the need for a reappraisal.
Thank the Windham/Windsor Housing Trust (previously Rockingham Area Community Land Trust) for this. Don't you love subsidizing what is at the core of Springfield's problem, that its demographics are unhealthy, as in TOO many low income people? Sorry, but it is true.
ReplyDeleteYou should never be sorry for speaking the Truth..
DeleteThe town is afflicted with socialist inspired rot that continues to gnaw away at it like an incurable cancer. The subsidies are just more chemotherapy to keep the patient "viable" for a little while longer and create the illusion of health while hoping that a miracle cure is just around the corner.
ReplyDeleteThis town has been praying for a miracle for 30 years, but has never had the fortitude or foresight to curb its unhealthy dependence on government subsidy. It has become a welfare town that celebrates every announcement of a new subsidy like an addict rejoices at their next fix. What has transpired has become an apparent disdain for and a slow bleeding of the middle class, requiring them to turn over more and more of their waning wealth to the municipal government, in the process leaving them more and more incapable of maintaining their own properties in a high state of repair and appearance or possessing the discretionary income to spend locally.
And there appears to be no end in sight for this self-destructive behavior. Paltry subsidies and greater dependencies on state and federal handouts are thrust into the headlines with the same glee of having declared victory in WWII – but the former is pure propaganda, designed to obscure the town’s perpetually failing management. Meanwhile, the town continues to let itself be courted and exploited by and endless string of "economic developers" and other charlatans who profess to know what the town needs but never seem to know how to obtain it. Instead, they carve out a comfy little niche for themselves, much like a tick burrowing into the fur of a host deer. A new logo here; a thin coat of paint there; and another “grant” announcement over there… And these ticks have no intention of dropping off willingly, nor does the host (the town) appear cognizant enough to forcibly remove them. Instead they just let them continue to gorge.
Folks, the town is mismanaged. It is poorly led. It has been for 30-40 years. What’s your reward for having perennially voted for the mismanagers and feckless leaders, and for continuing to tolerate their inept performance? Higher and higher taxes, declining economic opportunity, eroding quality of life, and all the other detriments that a welfare society provides. Welcome to the not-so-Great Society!
No one doesn't want to be the bad guy, but unless there is reform in welfare and entitlements that are handed out, we will continue as a nation down the path that Greece is currently walking. We need elected officials to get tough and make these reforms but their afraid that they will not get re-elected and they are only out for self interest at the cost of the middle class. Oh I am not afraid of giving someone a helping hand, but to support them the rest of their lives? really? People had pride back in the old days and they did not want a hand out just a helping hand to get them back on their feet. This is a prime example what happens when the Federal and State government takes over these programs. There is lots of fraud. I bet you can find that anyone who has been in politics especially at the federal level didn't start out as a millionaire but is one now. Gee how did this happen. They did it off the backs of the tax payer. What makes them so special that they have their own health care program, not the one forced on the rest of us? the list goes on and on.
DeleteLets take this locally now and the release of the tax rate going up in Springfield. Part of the reason is if I understand this right, is the people buying these houses in Springfield and then renting the rooms out at $400.00 per person per month now have a reduced appraisal of the house? I hope I am wrong on this issue. This is also attracting the undesirables that locally we are forced to deal with putting a strain on our services whether it be fire school police etc. 59% subsidized housing in Springfield for Windsor County. Why do we have more than our fair share? If we don't wake up soon and smell the roses it will be to late for any reform and the hard working people who have saved for their retirement will have their savings dipped into by Government to pay for others. Haven't us hard working people paid for them long enough?
Yeah, those durn socialists who stripped the money out of the Machine Shops and then exported the factories overseas with Trade Agreements. Terrible, just terrible. Why next they will want to tighten the zoning ordinances or something, so we can't make money rentin out rooms to addicts ... its just plain tough on us workin capitalists, I tell you.
DeleteWelcome all to the glorious joys of being a prison town! We need to throw a banquet for our former selectmen (at taxpayer expense of course) who set up this this new, innovative tax regime for hard working middle class homeowners in Springfield. Let's add a new plaque at town hall so that posterity will always remember the great deeds of our former leaders who had such great foresight! By current State of Vermont standards, Springfield is now an industry leader and daily blazes new paths in its quest to attract people to this town who simply want to take and put nothing back!
ReplyDeleteThe decision to host the prison was confirmed by popular vote at town meeting. I like many others was duped into believing the promised, industrial park adjacent to the prison would be a reality and the $3M (?) lump sum would become rainy day nest egg to offset future property taxes. What I never foresaw was the shrew dealings to advert the new business park to protect SRDC realty interests in the North Springfield park. And of course we all know how that nest egg couldn't be squandered fast enough on the financially defunct, Wreck Center.
DeleteWhat the Selectboard is fully culpable of if the continued prolific expansion of low income housing and social services that welcome welfare dependent prison families, and associated vermin. And if that's not bad enough, we now have prolifery of prison release housing further destroying the property values this tax increase reflects.
Just wait for the Hartness House auction this month. It will predictably sell for pennies then stripped for scrap and left to rot just like Parks & Wilson. Yeah Selectboard, that's another one of your community success stories.
The fact is irrefutable. Anyone purchasing a home in Springfield seeking to build equity is is a damn fool.
Government money has always been a road to prosperity throughout history. "Who can doubt the secret hid/ 'Neath Cheops' pyramid/ Is that some contractor did/ Cheops out of several millions?" (Rudyard Kipling). If you don't believe it, look at the history and present circumstances of Big Oil, Big Pharma and Obamacare.
ReplyDeleteSpringfield at this time is a phenomenal opportunity for people with a pioneer spirit. William Lee of San Francisco just got the Odd Fellows building for $20,000. If he decides to put it to use-- and he has the capital to do that, rather than simply pay taxes on it while he waits for a buyer-- he will make unbelievable profits on his initial investment.
As John McClaughry put it in his most recent article (in today's Rutland Herald), the old policy of using taxpayer money to lure industries no longer works. So, we have got to change our way of thinking: What does it take to make Springfield a better town?
For one thing, pocket parks-- but this is a position which is likely to get me thrown off the Planning Commission.
Begging the question Chuck, did anyone ask you to join the planning commission?
Delete140 houses for sale in town, must be a problem
ReplyDeleteMake that 141...out of here.. YEA!!
DeleteThe tax rate in Springfield is outrageous. We want to to encourage businesses and taxpaying residents to come here, but are directly discouraging that with the tax rate. New banners, signage, and a little paint aren't cutting it. I know people who were in the market for houses, were seriously looking at properties in town, but ended up buying in Weathersfield, Bellows Falls, Baltimore etc. once they saw the tax bill. The tax rate is forcing some to try to sell because it's not affordable, and is discouraging people from moving here. Some tough decisions need to be made to try to lower the tax rate and create some incentive for people to want to stay here and more importantly move here.
ReplyDelete