Tax rate to stay the same for residents, business owners

Nov 9, 2016

Residents and business owners will see some relief from taxes this year compared to last. On Tuesday, Selectmen learned the town’s tax rate would drop slightly, down 11 cents to $11.25 per $1,000 of a property’s assessed value.

Town Assessor Jacqui Nichols informed Selectmen of the change during a public hearing at the board’s meeting. The Selectmen voted unanimously to retain an equal tax rate for residential and commercial/industrial properties, as opposed to splitting the rate. If it were split, residential and commercial property owners would pay different rates.

In Wareham, residential properties account for 82.05 percent of the tax levy while commercial and industrial properties make up 17.94 percent.

Nichols said most communities aim for an 80/20 balance between commercial and residential properties before officials decide to split the tax rate.

"I've put together some numbers to show you where we are in relation to the 'so-called' 80/20 split that people have a tendency to shoot for," Nichols told the board.

By splitting the rate, commercial property owners would pay more compared to residential taxpayers. But in a town that has less than 20 percent commercial/industrial properties, the benefits to residents would be small and the burden would be larger for businesses, explained Nichols.

The ratio has fluctuated since 2012, when the residential properties totaled 83.2 percent. According to Nichols, there was commercial growth last year, including the opening of the Marriott Hotel in Rosebrook Place, pushing the commercial/industrial percent to 18.4, while the residential ratio moved to 81.6.

"As long as it keeps going up," Nichols said of the commercial/industrial percentage, "we're going in the right direction."