MINOT — City officials reviewed Monday evening the reassessment process that is expected to result in a tax rate being set later this summer.
The city had paid John E. O’Donnell & Associates Inc. of New Gloucester $150,000 to undertake a citywide reassessment to keep assessed values in line with market values.
The revaluation takes into account new construction and improvements to existing structures and properties in the intervening years as well as changes in market value.
Additionally, in order to secure full public funding for subsidized residential programs, such as the Homestead Exemption, the city’s total value must remain current, City Administrator Danielle Loring said Tuesday.
It had fallen to about 80% of the state’s current market value, she said.
The new evaluation process began last fall.
Selectors began reviewing each property’s new appraised values, looking for outliers or other possible errors, Loring said.
On June 19, Loring will give the New Gloucester Company the go-ahead to make any necessary adjustments to the updated values before hearing notices are sent out on June 27, she said.
“Each property tax bill or account will receive a letter in the mail stating what its current assessed value is and what its new assessed value is,” Loring said. “And then … what the potential tax rate will mean in terms of the change in taxes for them from last year.”
Any owner can request a hearing with the appraisal company to discuss the value of their new property on certain days of the week of July 11 or at another time if they are not available on any of these dates, Loring said.
“We’re hoping to flush out all the numbers and adjust everything, and then we’ll incur taxes on July 25 or August 8,” she said, setting a new tax rate for the coming fiscal year.
Inflation has hit city officials who have had to lock in the purchase of salt this year at $80.10 a ton, up from $57 a ton last year.
The city uses about 1,000 tons of salt a year, she said.
Although the higher price means the city will go over budget for its salt purchase this year, Loring said, “it’s a necessary expense to keep our streets safe.” But we do everything in our power to ensure that we use our resources correctly.
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