FERRISBURGH — The Ferrisburgh selectboard on Tuesday, July 10, adopted 2018-2019 tax rates that will increase property taxes for homeowners by 4 percent and for owners of commercial and rental property or second homes by 5.7 percent.
Higher town spending is pushing the municipal portion of the rate up for the first time in several years, by 3.04 cents, or 11.5 percent, to 29.52 cents per $100 of assessed property value.
The homestead school tax rate that applies to homeowners is increasing by 4.29 cents, or 3.69 percent, to $1.6007.
That rate is about 3 cents lower than the Ferrisburgh’s 2016-2017 rate and follows a decrease of almost 14 cents in 2017-2018.
In all, the new overall rate for homeowners (municipal plus school tax) is up by 7.33 cents to $1.8959, a figure that remains about 7 cents lower than the 2016-2017 rate.
Still, it translates to an increase of about $73 per $100,000 to residential taxpayers who pay on the full value of their property. Residents who pay based on their incomes are likely to receive prebates for a portion of their school tax bills. About two-thirds of county residents receive prebates.
Voter-approved Addison Northwest School District unification is knocking 8 cents off tax bills in Ferrisburgh and other ANWSD communities this fiscal year. The state offered that tax break as a benefit to districts that supported district consolidation.
Because of declining ANWSD enrollment district officials had projected higher tax bills even with a level budget. But the Legislature voted to use $20.4 million from a General Fund surplus to offset local residential property taxes this year.
However, Ferrisburgh’s non-residential rate rose more because that same legislation called for a 4.5-cent hike in non-residential rates.
The non-residential rate increased by 6.87 cents to $1.5344, which combined with the municipal levy moved the overall rate to $1.8296.
That combined increase of 9.91 cents means about $99 of additional taxes per $100,000 of assessed non-residential value.
Unlike residential taxpayers, Ferrisburgh’s non-residential property owners will be paying more than they did two years ago as Vermont’s commercial school tax rate has increased. In 2016-2017 the non-residential rate was $1.7389; in 2018-2019 it is about 9 cents higher.