Groton Town Council approves 7.4 percent tax rate increase
Groton — The Town Council on Wednesday approved a tentative tax rate of 23.34 mills for the fiscal year that begins July 1, an increase of 7.4 percent over the current tax rate.
The new rate translates into $2,334 in property taxes owed for every $100,000 of assessed value, or $161 more than the current year.
Councilors approved a $119 million budget, 2.1 percent less than the current spending plan. The council cut $6 million from the town manager's requested budget of $125.1 million. The spending plan goes next to Representative Town Meeting, which convenes its annual budget meeting on Monday.
An open question that remains is how Groton will fare with state aid. The town budget assumes Groton will receive $5 million less in education funding than it received this year. If Groton receives more money from the state than it expects, it would be able to reinstate projects or save the money for future use.
If the town ends up with a deeper cut, it would have to weigh its options. Town Manager Mark Oefinger said the town could send out a supplemental tax bill to cover expenses in the event of deeper cuts, but he wouldn't recommend it.
Alternatively, the council could impose a hiring freeze, cancel capital projects, pull from its reserve, restrain spending by departments or some combination, Oefinger said. Once the final tax rate is set in June, the council can't change it. The council sets the final rate based on the budget approved by Representative Town Meeting.
The final tax rate must be set by June 9, according to the town charter.
Comment threads are monitored for 48 hours after publication and then closed.
