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North Adams' Commercial Tax Rate Likely to Break $40

Staff ReportsiBerkshires.com
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NORTH ADAMS, Mass. — Mayor Thomas Bernard is recommending the City Council reverse last year's shift in the commercial rate in an effort keep the residential rate from rising higher. 
 
The council will vote on the tax classification for fiscal 2019 on Tuesday. Should the council approve, the commercial, industrial and personal property shift will go from 1.71 back to 1.73, where it had been for several years.
 
The rate was shifted more toward the residential side last year to prevent CIP taxes from exceeding $40 per $1,000 valuation. If approved, the CIP rate would rise from $39.85 to $42.10 per $1,000 valuation.
 
Four communities, all in Western Massachusetts, were close to the $40 mark in fiscal 2018: Springfield ($39.28), Holyoke ($39.69), North Adams ($39.85) and Pittsfield ($39.98).
 
"While I am reluctant to reach this milestone, I believe the 1.73 shift represents the most equitable approach to apportioning tax obligations between residential and commercial taxpayers for this fiscal year," the mayor wrote in his communication to the council. 
 
The tax levy for this year is $17,651,077, an increase in levy of $744,487 order or 4.4 percent from fiscal 2018. There are 2,641 residential parcels and their property taxes account for 40 percent of the revenue to support the city budget. 
 
With a CIP shift of 1.73, the residential rate would rise 58 cents to $18.96 per $1,000 valuation, or just over 3 percent. This translates to about a $90 a year increase for an average single-family home assessed at $138,780, or a total bill of around $2,630.
 
Since 2015, the average home has risen about $2,500 in value and the bill by about $270. 
 
If the shift is kept at 1.71, the residential rate would be $19.11, increasing the average bill be $111, and the CIP rate would be $41.61.
 
"While we continue to manage our budget carefully this proposal represents use of the city's full levy capacity," Bernard wrote. "We remain $482,031 under the city's levy ceiling of $18,133,108. I request that Council adopt the accompanying order as presented."
 
The City Council will also hold a public hearing on the installation of underground gas tanks for the new Cumberland Farms planned for construction at the old City Yard.
 

Tags: fiscal 2019,   tax classification,   

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Clarksburg Students Write in Support of Rural School Aid

By Tammy DanielsiBerkshires Staff

Mason Langenback calculated that Clarksburg would get almost $1 million if the $60 million was allocated equally.
CLARKSBURG, Mass. — Eighth-graders at Clarksburg School took a lesson in civic advocacy this week, researching school funding and writing letters to Beacon Hill that call for fully funding rural school aid. 
 
The students focused on the hardships for small rural schools and their importance to the community — that they struggle with limited funding and teacher shortages, but offer safe and supportive spaces for learning and are a hub for community connections.
 
"They all address the main issue, the funding for rural schools, and how there's a gap, and there's the $4 million gap this year, and then it's about the $40 million next year, and that rural schools need that equitable funding," said social studies teacher Mark Karhan.
 
A rural schools report in 2022 found smaller school districts cost from nearly 17 percent to 23 percent more to operate, and recommended "at least" $60 million be appropriated annually for rural school aid. 
 
Gov. Maura Healey has filed for more Chapter 70 school aid, but that often is little help to small rural schools with declining or static enrollment. For fiscal 2027, she's budgeted $20 million for rural schools, up from around $13 million this year but still far below the hoped for $60 million. 
 
Karhan said the class was broken into four groups and the students were provided a submission letter from Rural Schools Advocacy. The students used the first paragraph, which laid out the funding facts, and then did research and wrote their own letters. 
 
They will submit those with a school picture to the governor. 
 
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