North Adams Sets Tax Rate, Moves CashBy Tammy Daniels iBerkshires Staff 10:01PM / Tuesday, December 06, 2011

Mayor Richard Alcombright said the meeting was to close out the budget year, not to rehash budget decisions made months ago. |
NORTH ADAMS, Mass. — The City Council on Tuesday approved a split tax classification and the transfer of $166,000 in certified free cash to balance the budget.
The approvals with put to rest more than a week of argument over whether to use more reserves to lower the tax rate, raised by Councilor-elect John Barrett III at last week's special hearing on the tax classification.
The vote was unanimous on the transferring $166,000 but 8-1 with Council President Ronald Boucher voting negative to set a split tax rate.
The Finance Committee took up the issue on Monday after the special meeting last Tuesday was continued. It recommended the council proceed with the figures that Mayor Richard Alcombright had provided and continue with tax differential of 1.75 that put a higher burden on commercial properties.
That sets the residential tax rate at $14.82 or about $112 more a year on the average single family home assessed at $135,000, or a total bill of $2,000.
No councilor moved to amend the amount of free cash, despite calls by resident Mark Trottier for one to "have the moxie." Trottier asked the rate be decreased by 22 cents as a goodwill gesture using some $200,000 in so-called replenishable reserves. That would have reduced the average tax bill by about $35.
Louis Chalifoux claimed the city taxpayers were "paying a premium" relative to the percentage of taxes and Robert Cardimino warned that taxpayers were stressed to max.
The Finance Committee, however, agreed with the mayor that reserves should be sheltered for capital projects and emergencies and that the budgets should more closely align with revenues, including taxation.
Councilors also tried to clarify what they believed was confusion over what was happening because of several references to budgetary items.

President Ronald A. Boucher was the lone negative vote against the tax classification. |
"I want to get out that we approved a budget based on these assumptions and now we're just finalizing them," said Councilor Lisa Blackmer. "It's not that we're doing a new budget or we're adding expenses or new revenues or anything ...
"I think some people are confused. Until this year, we've never had anybody show any interest in this particular meeting."
Boucher asked City Assessor Ross Vivori to explain the process. Vivori said the city takes fees and other revenues, property valuations and other financial items, totals them and submits them to the state for certification.
"There's a ton of math, formulas, calculations and spreadsheets that are in there," he said. "Basically, once we go through everything it establishes what the percentages are what the shift will be."
Alcombright said between the taxation from the allowable levy limit and state aid would bring the total raised to within $400,000 of this year's spending plan. The $166,000 and an extra $271,000 in state aid will fill the hole.
"I, as others, don't like the increases but things do have to get paid and I hope with this raise this will be the end for 2012 if this goes through," said resident Donna Dickinson.
Alcombright assured her "there will be no more increases, that will be the tax rate."
Documents Related to North Adams Tax Rate FY 2012 |