Increase in Glastonbury Big List could lead to lower rate per thousand | Newsletters

GLASTONBURY — Total assessments on the city’s big list of taxable properties have risen 3.41 per cent over the past year, more than double the previous largest increase in the past decade, and council chairman municipal, Thomas P. Gullotta, said the rate per mile could decrease in the coming fiscal year.

As in other cities, the increase in the big list is driven by a huge jump in motor vehicle valuations. They are up 32.3 per cent in Glastonbury’s new Big List, which reflects the value of properties on October 1 and will be used to calculate tax bills for the financial year which starts July 1.

The increase in motor vehicle assessments far exceeds increases in the other two categories of taxable property – real estate and “personal property”, i.e. commercial equipment – both in terms of percentage and in terms of dollars.

Increase in motor vehicle assessments totals nearly $107 million, while property assessments are up nearly $38 million, or 1%, and personal property assessments are up nearly $2 million dollars, or 1.03%, according to a report by municipal assessor Nicole Lintereur. .

City Manager Richard J. Johnson said in a letter to council that he asked Lintereur to present the report and answer questions about the big list at Tuesday’s council meeting.

An increase in the large list means the city can collect more tax revenue without increasing the rate per mill.

In his budget presentation at the January 27 annual town hall meeting, Johnson conservatively estimated the Big List increase at 2.75% and said the increase would bring in $4.4 million in new revenue. tax. The actual 3.41% increase is expected to bring in even more money at the current tax rate of 37.32 mills, meaning local ratepayers pay $37.32 for every $1,000 of assessment land of their property.

With new revenue from rising assessments, “we should be able to get a slight drop in the rate per mile,” said Gullotta, a Democrat.

But he added that frugality will remain necessary in budgeting for the coming financial year. He said state lawmakers have expressed an interest in lowering motor vehicle taxes, which would reduce the main new revenue stream from the increase in the big list.

“It’s a blow,” Gullotta said of the sharp rise in vehicle prices. “It’s an anomaly. It’s not going to continue.”

Although real estate is reassessed once every five years, motor vehicles and personal property are reassessed annually. The increase in vehicle valuations reflects an increase in prices for new and used vehicles amid the shortage of computer chips that has limited the supply of new vehicles.

City officials generally welcome large list increases resulting from new construction, because new ratepayers take on some of the tax burden that would otherwise fall on existing ratepayers. But, since most people own vehicles, an increase in vehicle assessments can offset reductions in the rate per mile and could lead to higher bills for some taxpayers.

Republican Councilman Whit Osgood said a larger decrease in the per-mille rate may be needed to counter the effect of valuation increases.

Ratings on the new big list total nearly $4.46 billion. This includes assessments totaling $3.8 billion for real estate, nearly $438 million for motor vehicles and nearly $194 million for personal property. In Connecticut, all taxable property is assessed at 70% of fair market value.

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Harry L. Blanchard