Home » Business » Machias Weighs Loan Options to Cover County Tax Anticipation Note

Machias Weighs Loan Options to Cover County Tax Anticipation Note

by Priya Shah – Business Editor

Machias Considers Innovative Loan Program to Ease Washington County Tax Burden

Machias, ME – ​The​ Machias Select Board ⁢is exploring ‌a novel approach to alleviate the financial ‍strain on Washington County residents ​facing ⁣a ⁣perhaps ⁣significant property tax increase: ⁤allowing ⁢residents to prepay their county taxes with a loan, effectively deferring the ‌payment until next year’s assessment. The proposal, discussed at the board’s most recent meeting, aims to provide immediate relief while the county grapples with a budget increase estimated​ between 20% and 25% – potentially reaching $14 million to $14.5 ⁤million – to maintain current⁤ service levels.

According to Town Manager Christina‍ edwards, the⁣ program would allow residents to borrow funds⁤ to cover their county tax obligations, ⁢with the​ loan amount then excluded from‍ next year’s tax‍ assessment. However, the legality ⁢of such a program hinges on‍ confirmation ⁢from the county attorney, as it could be interpreted as a ⁤second tax assessment, ​which​ is prohibited.

“I‍ feel good about it, as far as having a ‌prepared voter ‍base,” Select Board Chair Jacob “Jake”⁤ Patryn said, referencing an upcoming​ public⁢ hearing and special town meeting to discuss the proposal.

The​ need for ‍such measures stems ‌from a challenging county budget situation. Edwards⁤ explained that last ⁤year’s budget of approximately $12 ⁣million was ⁢artificially lowered by removing required expenses like health insurance⁢ from line items, despite⁢ those costs still being incurred. “Effectively, what we’d be doing is correcting the mistakes from⁢ last year ⁢and‌ actually creating a budget that’s sustainable,” she‌ stated,⁢ adding, “It was reckless what was done with the budget last year.”

Edwards⁣ also highlighted⁤ the arduous choices facing the county, including⁣ potential⁤ layoffs in already understaffed and underpaid departments, ‍particularly within the Sheriff’s office, ⁢if deeper budget​ cuts are ⁤pursued. “These are the tough decisions everyone is going to face,” ​she said. “That is a direct effect on public safety.”

In other business, the Select Board⁤ approved ‌an amendment to Machias’ ‌personnel⁢ policy extending holiday and​ storm pay to regularly scheduled‌ part-time employees working ⁣over 20 hours per week, specifically those‍ at the‍ transfer ⁣station. Town Treasurer Craighead Dedmon anticipates “next ⁤to no budgetary impact” from ​the change,noting it’s “not an uncommon‍ practice.”⁣ Patryn expressed his support for ‌the ​amendment,calling it ⁤”great.”

The Machias⁣ select ‌Board is ‍scheduled to meet again on November ​19, following a public hearing at 5 p.m.

You may also like

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.