Residents and business owners in Middletown are preparing for a 2 percent uptick in their tax bills come Fiscal Year 2025, as per newly revealed figures presented to the Town Council on Monday night.
The proposed numbers indicate that the median homeowner can anticipate a $100 rise in taxes for the upcoming fiscal year, while commercial property owners might see an increase of $236. These figures incorporate the costs of debt service for the recently acquired middle-high school and open space bonds, without any significant reductions in local services. Notably, there’s also a 4 percent boost in the bottom-line budget for educational spending, surpassing the current inflation rate.
Town Administrator Shawn J. Brown expressed pride in the budget’s formulation, emphasizing its efforts to maintain affordability for Middletown’s residents and businesses while propelling community progress. However, before these figures are enacted, the Fiscal 2025 budget necessitates review and approval by the council, with rates to be set by town tax staff.
Brown highlighted the collaborative effort undertaken to mitigate the impact of new bonds and inflation on taxes without compromising essential services such as police and fire protection, education, and public works. As a result, the proposed Fiscal 2025 residential tax rate stands at $8.65 per $1,000 of assessed value, compared to $11.25 for nonresidents, and $12.98 for commercial property owners.
Implemented in 2022, the Tiered Residential Tax Program (TRTP) aims to enhance Middletown’s affordability for residents. Presently, 58 percent of residential properties participate in the TRTP, with ongoing applications accepted at the assessor’s office.
Commercial property owners, with median assessments of $985,850, can expect a $12,793 tax bill in Fiscal 2025, representing a $236 increase from the current bill.
Town departments were tasked with managing a $20.9 million budget, 2.5 percent higher than the allocation for Fiscal 2024. Educational spending saw an increase to $30.4 million, accompanied by a $200,000 addition to the multi-year deficit reduction plan.
Council President Paul M. Rodrigues commended the efforts of the town administrator and staff in compiling the report. The next budget discussion is scheduled for April 27, followed by public hearings on May 22 and 29, offering residents and business owners the opportunity to voice their opinions on the proposed budget.
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