Onset Prudential Committee votes to maintain single tax rate

Nov 24, 2017

The Onset Fire District’s tax rate will remain the same for all property classes following an annual vote of the Onset Prudential Committee on Nov. 21.

Committee members approved the single rate, which is $2.76 per $1,000 of assessed value rate, following a public hearing where Wareham’s Director of Assessment Jacqui Nichols said a split rate would burden businesses.

Splitting the tax rate would increase taxes for commercial/industrial properties and lower them for residential properties. It would not increase tax revenues for Onset.

Currently, the ratio of residential property to commercial and industrial property is 88.1 to 11.9. Nichols said for a split rate to work the residential/commercial ratio should be at least 80/20.

“This is due to the fact that a commercial, industrial and personal property share lower than 20 percent results in a very small benefit to the residential and a larger burden for the commercial, industrial and personal property,” said Nichols. There were other negatives as well, she said. Those include making Onset less attractive to businesses and an increase in billing costs for administering a split rate. She noted that the average value of a commercial/industrial property in Onset is $666,000.

“We’re still predominantly smaller, locally owned businesses,” said Nichols.

Maintaining a single rate also keeps Onset in line with the Wareham Fire District and the town of Wareham. Selectmen voted to maintain a single rate on Nov. 14. Wareham’s rate is $11.25 per $1,000 of assessed property value.