Seniors, citizens afraid of permanent tax hike
Published on June 9th, 2004
STONEHAM, MA - What we have coming up on June 15 is a textbook case of democracy in action. A special election called together pitting two sides of Stoneham against each other, with a Proposition 2 1/2 bone of contention placed snugly -- and equally -- in between them. On the one side, you have the long-standing old guard of Stoneham: the residents of the town for the last 20-30 years who have raised families within the town lines, paid their taxes, carried the burden of the town's services, and watched their property taxes and house assessments make a rapid climb into the financial stratosphere.
On the other side are the transplants and the nouveau suburbanites; people that have migrated to Stoneham because of the solid school system, reliable town services, and the promise that Stoneham Square holds for the future. Along with those residents are the town employees, the school support staff, and those who see an ever-growing town budget as a way of life.
Which side is right?
When you get down to it, it doesn't really matter which is right or wrong...in true democratic fashion, the majority will rule and the minority will have some decisions to make.
Within the special election hooha, there are some simple facts though. A Proposition 2 1/2 override can't be taken back, and will be a permanent addition to Stoneham residents' tax bill.
"A $2.9 million override would increase our property tax by 10 percent this year, and would continue to increase our taxes at that rate for FY06, FY07 and every year beyond," said Stoneham resident and xxx Gilbert Feke. "Twenty to thirty percent of our population is senior citizen or fixed income, and this override will hurt those people. It will cause hardship in their abilities to pay their bills."
Feke pointed to creative initiatives by school administration and faculty, private fund-raising ventures and volunteerism as ways to help soothe some of the more severe cuts planned.
"Town officials need to take a more serious effort to control costs and make more prudent reductions to control costs," said Feke.
Stoneham resident Elizabeth Walsh painted a
"We all have to live within our means, including the town itself," said Walsh. "I am on a fixed income and I can say with certainty that this will hurt me."
State Rep. candidate and Stoneham resident John Prindiville also spoke against the override, stating that it wasn't logical to "solve a temporary financial problem at the state with a permanent tax burden."
"I have full confidence that our town leaders can give us satisfactory town services with the $52 million budget, and leave the $2.9 million override in the pockets of the working class families of Stoneham."
Listed below are a few numbers to think about before polls close next Tuesday.
Finance and Advisory Board member Richard Gregorio came out with a revenue projection for the new BRMC/Gutierrez proposal. According toGregorio's figures, once approval is gained Stoneham could begin to see a financial shot to the arm in FY05.
Gregorio projects that the town could realize a $292,940 gain from fees and charges next year once the project is underway.
That figure jumps to $599,560 in FY2006, $1,022, 979 in FY2007 and continues to rise to a high water mark of $2,312,496 in FY2015 once the town is receiving property taxes from each of the approximately 600 units.
In addition, Gov. Mitt Romney has proposed a supplemental lottery distribution to the local communities -- it must the House and Senate before it becomes reality -- that could mean another $289,640 in as-of-yet unexpected revenue in Stoneham.
When you start to add up the figures, an approximate raise of $1.48 per $1000 for each Stoneham household on a permanent basis seems a little hasty.
While it's true that there is magic water and sewer fund bullet in the town's financial gun this year, things could change rather dramatically for the town. Town officials have deemed the average household value in Stoneham resides at $315,884, but that value needs to scrutinized given the fact there is a wide chasm between homeowners and condominium owners within the town.
For instance, according to figures provided by the Finance and Advisory Board, homeowners in the $500,000-600,000 range are looking at tax bills of approximately $6,820 -- $8,184 respectively, a raise of $800-$900 over their previous year's tax bill -- and that may not even be counting all debt exclusion additions to next year's tax rate.
And that tax rate would keep going up approximately $1.48 per $1000 of assessed value each and every year. A tough sell for those pinching pennies for sure.
Subscribe and get Home Delivery of The Independent
Save 36% off the newstand price — that's like 18 FREE issues!