VEAZIE, Maine — If recent projections hold true, Veazie residents could see their tax rate climb by a little more than 9 percent in the next fiscal year.
Town Manager Joseph Hayes said Friday that he estimates the mill rate will climb from $19 per $1,000 of property valuation to $20.75.
“That’s not very good news,” Hayes said.
Veazie’s proposed school budget for fiscal year 2012-2013 increased $401,000 over the previous year’s.
Hayes said the town has received less money from the state this year, and other revenue streams, such as the excise tax, have dropped off.
The RSU 26 school budget also has increased this year, and the three towns in the district, Veazie, Glenburn and Orono, will have to cover some of that cost.
During a May 29 school district budget meeting attended by about 60 people from the three towns, residents voted to add $265,000 to the board’s recommended budget, making the total budget roughly $21.8 million — an increase of about $480,000 over last year’s budget.
In recent years, Veazie and other communities in the area, such as Old Town and Glenburn, have been dipping into existing fund balances to keep tax rates stable, but those balances have dried up. That means any increase in the budget has to either be paid for through a tax increase or cuts to already slim budgets.
I wish my property taxes only went up 15%. Mine jumpe from 15oo to almost 2ooo in one year.
Everyone should get ready to feel the pain locally. When Washington makes cuts to the states, Augusta makes cuts to the counties and towns, you will see the bottom have to make hard decisions. The only rational decision that the towns can make is to tell Washington and Augusta to put up or shut up with their unfunded mandates that are driving the costs of operating our towns so high.
Two years ago, our town’s mil rate went up by 63%.
Thats true!
Unfunded Mandates,The same thing is what happened to the health care system, When Reagan Mandated that no hospital could turn away patients who couldn’t pay the bill, millions of dollars where thrust down the upon the rest of us in the form of premium increases.
The Only Trickle Down that ever worked, is the one that Trickles “costs” down upon us!
Everyone needs to get past the Bum’s Rush story presented by the Town Manager and get the
facts. The town manager at last town council meeting stated tax increase would be 2.25 mils
AND he did not know what the impact on TIF portion of the budget would be as well. Blaming a
$400,000 increase on a $65,000 school budget increase is no more than smoke and mirrors.
The only fact given out so far is the local tax burden is increasing by $400,000 this
year. Here is little more detail of what adds up to $400,000. (from annual town report)
Town budget increased by $95,000 primarily driven by 3 large items – 1) a complete reassessment
of entire town (Town was NOT required to do this by anyone, council voted to spend this
money out of the goodness of thier heart and in full consideration of the taxpayers) 2) repairs
to the community center roof which could be funded out of existing TIF balances if some
paperwork is done by Town. Ironically, primary use of community center is providing rent free
business space to a business frequented by a council member. 3) The final item is continuing
unemployment costs for the former town manager.
RSU budget was 0% increase until some vocal Orono and Glenburn residents voted to add
addtional funds back into the budget last week. Veazie’s share of the additional funds is ~$65,000
and $0 will be spent within Veazie school system.
Town revenues are down by $35,000 – this is excise taxes, license fees, etc.
Town spent over $150,000 last year to pay severance packages, settlement insurance deductibles
and legal fees associated with firing the town manager and code enforcement officer. These funds
where taken from accounts normally used each to reduce local property taxes and keep mil rate
stable. Funny there was no mention of that by the council.
$400,000 total increase
$95,000 town budget increase
$35,000 shortfall in other town revenues
$65,000 increase in school budget
$150,000 in serverance costs (spent last year could have been spent this year)
$55,000 is unaccounted for increase (most likely due to depletion of school reserve funds)
The town council’s dirty little secret (according to town rumor mill) is the second shoe is about
to drop regarding the termination of the former town manager. Due to the way termination was
done, it appears there is a very strong whistle blower case by the town manager which is not even
known if the town’s insurance carrier will even cover liability or defend litigation which could
result in signifcant additional liability to the town. Check the council meeting minutes and see
how many non-descript executive sessions have been had recently.
One of councilors who is responsible for the mess (Dave King) is running for re-election. The
citizens of Veazie have a choice to make – more of the same (Dave King) or vote for change (Chris
Bagley).
I am voting for Chris Bagley because it is time for honesty and integrity to be restored to Veazie’s
local government and begin the process of cleaning up the mess created by the majority of our
town councilors (King, Friedman, Perkins) in the past couple of years.
I wonder when the last time a number of their supplies and services have been competitively bid. Or does the same vendor receive their order because of a “that’s who we’ve always purchased from” mentality? Further, what efficiencies in operations have been explored? Believe it or not, sometimes cuts are not required in order to reduce budgets but rather a little exploration and effort.
Thank LePage for shifting the cost to towns under the guise of cutting government spending while handing out tax breaks to the richest Mainers. How does Veazie usually vote, Democratic or Teapublican? If they vote for the Teapublicans they clearly voted against their own best interests.
Stop with the party “line” about the ” tax breaks to the richest Mainers”. In Maine the top income tax bracket (8.5%) kicks in at the following income levels:
Single Individuals and Married Persons Filing Separate Returns – $20,350 or more
Unmarried or Legally Separated Individuals who Qualify as Heads-of-Households – $30,500 or more
Married Individuals and Surviving Spouses Filing Joint Returns – $40,700 or more
Source – http://www.maine.gov/revenue/forms/1040/2012/RateSched_12.pdf
So what is “rich” about these income levels Old?
Thats the bottom, what happens to the guy earning $30,000,000.
As the Income level goes up the Tax Capped at the same amount for the 30,000 becomes exponential to the “costs of supporting yourself”.
The “Real” Value of Money in terms of mathmatical amount is meaningless, the power of it is not.
If a 30,000 income supports one man, 1/1 is one– Net is Zero after life support!
a 30,000,000 income supports 1000 Men. 1000 /1 is 1000–Net is 29,970,000 after life support!
Note the exponential value?
Thats why Tax Rates should be progressive.
Dlbrt you don’t answer the basic premise of the question. What is “rich” about the 8.5% income tax bracket? Old says the “Teapublicans” are all about “handing out tax breaks to the richest Mainers”
Well I am sorry but $30,000.00 is NOT rich in Maine on anywhere else in the U.S.. “Progressive” taxes unless you eliminate ALL deductions are regressive because they harm the ones that are supposed to pay the least…those that do not have huge deductions and cannot itemize on their return.
Eliminating deductions and itemization will never happen because it will harm those that pass the laws!
Here are two alternatives that I would propose
1) Eliminate all deductions and itemization’s and go to a flat tax for everyone that is not below the federal poverty level. Anyone that falls below the poverty level pays 50% of what everyone else pays so they pay something. Or,
2) Abolish the IRS and federal income tax completely and go to a national sales tax on all purchases except food and clothing (basic essentials that no one can live without). Everyone pays something based on the purchases they make. Welfare recipients pay, the middle class pays, the wealthy pays. Everyone pays based on what they purchase.
A 15% increase in this economy is astronomical. It’s hard to understand why the leadership in Veazie isn’t exploring a merger with neighboring communities. Veazie is really Bangor. Or Orono.
By the data given in the article, the school budget went up just a bit over 2%. Clearly it is not the central thing driving a 15% increase, yet it gets 1/3 of the article. The $265K that gets a whole paragraph accounts for only about 0.25 of the 1.75 mill. Why does everybody always single out the schools?
Perhaps someone on the BDN’s website should recheck their math. The way I see it is this:
$19.00(.15)= $2.85 $2.85 + $19.00 =$21.85 (!!!!!!!)
It is more like a 10% increase:
$19.00 (.10) =$1.90 $1.90 +$19.00 =$20.90
You are absolutely correct. The true increase (based on the numbers in the article) is 9.2105%.
wow… education at its best… more proof that mathmatics education in the USA is pathetic.
I wonder if any of the residents of Veazie have seen an increase in their wages to pay for the increase in property taxes?
Increase?
They don’t get No stinki’n Increase!
Perhaps if they didn’t fire the previous manager, and give him $100,000 to leave, they would not have to increase taxes as much.
tinyurl.com/73huk6r
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From Wikipedia-The town is named after General Samuel Veazie, an early lumber baron and railroad operator. Originally part of Bangor, Maine, it became a separate town in 1853 because Gen. Veazie, its wealthiest citizen THOUGHT BANGOR’S TAXES WERE TOO HIGH.
Most of the RSUs didnt work because the school steering committees didnt weed out the high paid top heavy admin.they focused on the already low paid teachers and custodial people.Where as if they had cut some of the high paid admin and dept heads as the RSU was supposed to do the school admin people quitely slipped their high paid supers and directors under the table and still paid them their big salarys and then complained the RSUs didnt work take a look at the ones in the district that make over $100000 most town budgets are 51%school dept.and not from the pay of the teachers and custodians
Veazietaxpayer nailed it. The tax RATE is meaningless; whether there has been a tax hike can only be expressed in dollars. If the taxable value goes down 5%, the selectmen vote to increase the rate 5%, that’s not a tax increase. If the taxable value goes up 10% and the selectmen generously vote to lower the rate by 5%, that’s a tax increase, not a tax cut. Wake up, sheeple.
To the Editor: Make sure all future stories about taxes talk dollars, not rate.
Jskool101