New property tax rates may have Sullivan residents wishing they could step back in time.
Last year the town’s property tax rate dropped nearly 13 percent because of widespread savings on education costs, but this year’s rate spiked by 37.4 percent.
The N.H. Department of Revenue Administration set the town’s latest rate at $29.74 per $1,000 of assessed property value, an increase of $8.10 over last year’s rate of $21.64.
Sullivan’s ratio of assessment is about 86.3 percent, which means a house that could sell for $200,000 would be assessed at $172,600, and the owner would have to pay taxes on that amount.
This means the owner of a house assessed at $200,000 would receive a tax bill this year of $5,948. Last year the same owner paid $4,328.
The local education portion of the tax bill increased by 42.4 percent over last year’s apportionment to support the Monadnock Regional School District, while the town’s state school rate experienced a more subtle increase of 17.2 percent.
The district’s budget rose by $3 million from last year due to new teacher contracts, increased district appropriations, a decline in revenues and an array of other factors.
The town portion of the tax rate is up 33.8 percent from last year, when the rate only increased by 2.5 percent over 2006.
Town revenue from motor vehicle registrations is down because fewer people are buying new cars; the cost of fuel, oil and oil-based products and building supplies is up; and the town is squirreling away more funds in capital reserve accounts that are used to make substantial purchases, such as repairing buildings or replacing highway equipment, according to Fawn G. Woudenberg, the town’s administrative assistant.
“The highway department budget represented the most substantial increase” in the town’s portion of taxes, Woudenberg said. “There was a $32,350 budget increase this year. The overall budget was $671,981. The increase is due to road salt costs and asphalt costs. Basically any repairs that need to be made to the roads cost substantially more now. ”
Other factors include two special warrant articles to purchase new firefighter turnout gear and emergency generators for the town, according to Woudenberg.
The county government also needs more money from Sullivan this year, $44,909 more to be exact. That’s because the county must raise about $5 million more this year, mainly to support the new jail under construction in Keene, County Finance Director Sheryl A. Trombly said in an October interview with The Sentinel.
Of every $29.74 Sullivan collects in taxes:
u $8.15 will go to the town government, up $2.06, or 33.8 percent from last year’s $6.09. This tax will raise $404,993 for the town.
u $16.11 will go to the Monadnock school district, up $4.80, or 42.4 percent from last year’s $11.31. This tax will raise $799,998.
u $2.45 will go to the statewide school tax, up 36 cents, or 17.2 percent from last year’s $2.09. This tax will raise $118,185.
u $3.03 goes to the county government, up 88 cents, or 40.9 percent from last year’s $2.15. This tax will raise $1,468,750 to help pay for the new jail and other services such as the county nursing home.
Tax bills were mailed out earlier this month and are due Dec. 20. Late payments will be penalized with a 12 percent annual percentage rate.