Franklin's tax rate will decrease to $11.79/thousand for FY 2024 (video)

In about 35 minutes, the Franklin (MA) Town Council heard the tax assessor's update and voted on the series of resolutions to approve setting the tax rate for FY 2024 as $11.79/thousand.

The tax rate is in and of itself a simple calculation: how much revenue do we need to raise from the total assessed value of Franklin? As most folks would realize, the valuations have been rising recently. 

The table here depicts the last 5 years 2020-2024 for assessed value by property classification.

Residential Commercial Industrial Personal Property Total 

2020 4,506,862,400 384,322,107 502,632,510 188,319,520 5,582,136,537

2021 4,684,479,315 385,565,160 515,163,940 188,874,770 5,774,083,185

2022 5,037,676,355 415,756,887 568,964,110 216,250,290 6,238,647,642

2023 5,876,670,670 471,504,398 657,052,300 230,364,400 7,235,591,768

2024 6,473,395,910 523,347,555 734,290,380 259,381,120 7,990,414,965

The combination of new growth and the 'automatic' 2.5% increase allowed provides the revenue allowed to be raised to fund the budget approved by the Town Council. The final adjustment for the FY 2024 budget was approved by the Finance Committee on Nov 8 and then by the Council Nov 15.

The key decision at the tax rate hearing is to maintain the single tax rate or move to a split tax rate. The Board of Assessors memo to the Council lays out the argument distinctly:

"A single tax rate means that all property classes (residential, commercial, industrial and personal) are taxed at the same tax rate. A dual tax rate means the commercial-industrial-personal tax rate is increased while the residential rate is decreased. In other words, some of the residential tax burden is shifted towards commercial, industrial and personal properties.

Please note that a dual tax rate does not produce more tax revenue, it simply shifts the burden." (Bold added for emphasis)

Franklin has historically had an approximate 80-20 split between residential and commercial/industrial as shown in the following chart.

the residential vs. commercial/industrial split has been in the 80-20 range over time

As the assessed valuation increases over time, the tax rate will drop. As the valuation decreases, the tax rate will increase. The tax rate is a good talking point but is simply the result of math driven by the assessed values and the amount to be raised to meet the budget.

as the assessed valuation increases, the rate decreases, and vice versa

The rate means little to the average home owner. Whether the rate goes up or down, it is more important to know what the valuation of the residence is. The chart here shows that over time, the tax rate can go up or down but the average tax bill will continue to increase.

whether the rate goes up or down, the overall tax bill does increase

The Town Council agenda includes the tax rate hearing information from which these charts were created.     https://www.franklinma.gov/sites/g/files/vyhlif10036/f/agendas/november_21_2023_town_council_tax_hearing_agenda.pdf

Download the charts as one PDF ->   https://drive.google.com/file/d/1gJvC5DdCmmeU2tQ_bycWPJETpKvVuMtw/view?usp=drive_link

Franklin TV video link ->  https://www.youtube.com/watch?v=1qrgc2zjfLE

Finance Committee hears of the assessment process which accounts for about 60% of the Town of Franklin revenue (audio)

FM #867 = This is the Franklin Matters radio show, number 867 in the series. 

This session of the radio show shares the Finance Committee meeting held on Wednesday, Oct 26, 2022. 

The meeting was conducted in a hybrid format: 6 members of the Finance Committee were in the Council Chambers along with some of the public, 1 member was remote along with some members the public via conference bridge, all to adhere to the ‘social distancing’ requirements of this pandemic period. 

The primary discussion was with Kevin Doyle, Assessor and Chris Feeley, Chair of the Board of assessors as the assessment process was covered at a high level. How are residential homes assessed? How are commercial/industrial properties assessed? 

Interesting fact, the assessment process produces about 60% of the Town of Franklin revenue.

The meeting recording runs about seventy minutes, so let’s listen to the Finance Committee meeting Oct 26, 2022.

Audio file ->  https://franklin-ma-matters.captivate.fm/episode/fm-867-franklin-ma-finance-cmte-mtg-10-26-22

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Meeting agenda document ->   https://www.franklinma.gov/sites/g/files/vyhlif6896/f/agendas/10-26-22_finance_committee_meeting.pdf

 

My notes ->   https://drive.google.com/file/d/1qvpZtcz3JE529S9wN1tkJJ3FB9w92B8N/view?usp=sharing

Link to Finance Committee => https://www.franklinma.gov/finance-committee 

YouTube recording =>  https://youtu.be/OaibaQ9dOBk 

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We are now producing this in collaboration with Franklin.TV and Franklin Public Radio (wfpr.fm) or 102.9 on the Franklin area radio dial.  

This podcast is my public service effort for Franklin but we can't do it alone. We can always use your help.

 

How can you help?

• If you can use the information that you find here, please tell your friends and neighbors

• If you don't like something here, please let me know

Through this feedback loop we can continue to make improvements. I thank you for listening.

For additional information, please visit Franklinmatters.org/ or www.franklin.news/

If you have questions or comments you can reach me directly at shersteve @ gmail dot com

The music for the intro and exit was provided by Michael Clark and the group "East of Shirley". The piece is titled "Ernesto, manana"  c. Michael Clark & Tintype Tunes, 2008 and used with their permission.

I hope you enjoy!

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You can also subscribe and listen to Franklin Matters audio on iTunes or your favorite podcast app; search in "podcasts" for "Franklin Matters"

Finance Committee hears of the assessment process which accounts for about 60% of the Town of Franklin revenue (audio)

Town of Franklin, MA: Finance Committee - Oct 26, 2022 - 7 PM

Finance Committee Meeting

Agenda & Meeting Packet

Wednesday, October 26, 2022 - 7:00 PM

Meeting will be held at the Municipal Building

2nd floor, Council Chambers

Agenda

1. Call to Order

2. Public Comment

3. Approval of Minutes: 9-28-22 & 10-18-22

4. The Bill Dowd “Deep Dive” Series:

a. Presentation: Assessing Department, Kevin Doyle & the Franklin Board of Assessors

5. Future Agenda Items

6. Adjourn

Please find the agenda and links for the October 26th, 2022 Finance Committee meeting posted here: https://t.co/nzAX525RCo 

Shared from Twitter -> https://t.co/yJj0iyvERL

Town of Franklin, MA: Finance Committee - Oct 26, 2022 - 7 PM

Urgent: Public Disclosure of the new FY 2022 Real and Personal Property Valuations - PENDING PRELIMINARY CERTIFICATION

Public Disclosure of the new FY 2022 Real and Personal Property Valuations - PENDING PRELIMINARY CERTIFICATION

Please see the following notice from the Board of Assessors:

The Town of Franklin has completed a revaluation as required by the Department of Revenue and has received permission to disclose the proposed values pending preliminary certification from the DOR.  The Fiscal Year 2022 values are based on the value of property as of January 1, 2021 and were developed analyzing Calendar Year 2020 sales and also income and expense information received for apartment, commercial and industrial properties.  The analysis by the Assessors' Department indicates that over the prior year assessments, single family properties increased in value by about 8%, residential condominiums increased by about 7%, residential vacant land stayed about the same overall, apartments increased by about 22%, commercial property increased by about 11% and industrial property increased by about 10%.

These are preliminary statistical averages.  Some properties increased in value, some properties remained essentially the same in value and some properties decreased in value.  Some properties have a substantial increase in value due to additions and/or renovations to the property or due to corrections in the property data descriptions resulting from a review, a re-measure and/or a re-inspection in the course of our town-wide cyclical review and revaluation programs.

From November 17, 2021 to November 23, 2021 real and personal property values are available for review at the Franklin Municipal Building during normal business hours from 8 AM to 4 PM on Monday, Tuesday and Thursday, 8 AM to 6 PM on Wednesday, and 8 AM to 1 PM on Friday.  A listing alphabetically by street address is available.  Real property values by Location, Owner or Parcel ID are available on the Town's website at www.franklinma.gov under Departments, then Board of Assessors and then select FY 2022 Proposed Real Estate Assessments.

Any taxpayer who is concerned with the accuracy of the valuation of their property should contact the staff at the Assessors' Office at the Franklin Municipal Building (508) 520-4920. Remember in accordance with Massachusetts General Law that these assessed values represent property values as of January 1, 2021 based primarily on Calendar Year 2020 actual market data and not the current or any projected future property market indicators.

At the end of the public disclosure period, we will request final certification of the FY 2022 revaluation assessment program from the Massachusetts Department of Revenue. Please note that this is pending Preliminary Certification from.

Shared from ->  https://www.franklinma.gov/sites/g/files/vyhlif6896/f/alerts/franklin_fiscal_year_2022_public_disclosure_-_press_release.11.16.2021.docx.pdf

Visit the Town of Franklin Assessors page to inquire on your property ->  http://franklin.patriotproperties.com/default.asp?br=exp&vr=6

Urgent: Public Disclosure of the new FY 2022 Real and Personal Property Valuations

Franklin Residents: Pay Your Real Estate, Personal Property, Motor Vehicle Excise & Water/Sewer/Trash Bills Online

Pay Your Real Estate, Personal Property, Motor Vehicle Excise & Water/Sewer/Trash Bills Online

Click here for details

https://unipaygold.unibank.com/customerinfo.aspx

Fiscal Year 2022 First Quarter Real Estate and Personal Property Tax Bills

Treasurer Collector, Kerri Bertone has mailed the Fiscal 2022 first quarter real estate and personal property tax bills.  

Payments are due by August 2, 2021.  

Payments received after the due date are charged 14% interest.

Shared from the Town of Franklin page

https://www.franklinma.gov/home/news/fiscal-year-2022-first-quarter-real-estate-and-personal-property-tax-bills

Fiscal Year 2022 First Quarter Real Estate and Personal Property Tax Bills

Franklin Annual Report - 2020: Board of Assessors

ANNUAL REPORT OF THE BOARD OF ASSESSORS

Interim Revaluation
The interim revaluation of all real and personal property in the Town of Franklin was completed Fall 2019 in preparation for Actual Fiscal Year 2020 3rd quarter tax bills. Following is a brief review of that achievement.

Data Collection
Eighteen years have now passed since we installed the real estate valuation and assessment administration software developed by Patriot Properties, Inc. Because our start-up data was from a different form of valuation system and most of our data had not been refreshed in nearly ten years, it was necessary to complete a town- wide data recollection program prior to finalizing the FY 2005 valuations. Patriot Properties was hired for this task. Over the past 15 years, our appraisal staff has performed the on-going property exterior measuring and interior inspecting for all real estate classes. Such reviews are done for the Department of Revenue (DOR) required cyclical program, as well as for building permitted changes, pre-appraisal, abatement and sales verifications.

Field Review
In addition to individual property on-site review, field reviews are required periodically to check for obvious data accuracy and consistency. This drive-by review provides another level of assurance that when valuation schedules are applied, the results will be “Fair and Equitable”.

Commercial/Industrial/Apartment Valuations 

Annually there are analyses of sales data as well as income & expense market data. The Board contracted Patriot to work with our Director to establish an income approach to value for each property. All requirements of the Massachusetts Department of Revenue were met through final approval of the FY 2020 valuations.

Sales Analysis
The majority of the sales analysis was completed by September 2019, and the interpretation of sales continued through the next two stages of valuation. The town-wide program resulted in a valuation system that was applied uniformly throughout the town, while reflecting all the adjustments warranted individually and by neighborhood, to result in “Full and Fair Cash Values” as per Massachusetts General Law.

Value Generation
A system of valuation was established based on valid property sales and where applicable the income approach to value. These schedules
concluded from the market were then uniformly applied to all taxable and exempt real property.
 
Final Value Review
Final reviews were completed in preparation for the DOR review. These include studies of various computer- generated reports to check for value consistency, final field checks required, and for DOR documentation and its analyses.

DOR Review & Final Approval
Any on-site and statistical reviews by the DOR took place from April to September 2019. The appraisal staff provided files, generated property records, answered questions and addressed any concerns. At the conclusion of the DOR review, we were granted approval authorizing public disclosure.

Public Disclosure
The DOR approved valuations were available for disclosure to the property owners. While the administrative staff provided property record cards and general data reviews, the appraisers conducted informal hearings on valuations.

Personal Property
Business assets and those of utilities are reviewed for valuation as taxable Personal Property. For nineteen fiscal years we have engaged the specialized services of Real Estate Research Consultants (RRC) in the discovery and valuation of these accounts. These services have served us well, resulting in DOR approval and consistently defendable valuations. Also, considerable new growth has been certified annually. Additionally, the RRC Personal Property Software installed in our office has benefited us. The personal property valuation formulas are very straightforward, and the administrative capabilities have met our needs.

Classification Hearing & Tax Commitment
Following some discussion and a few presentations relative to single versus split tax rates, the Council approved a single tax rate at $14.51 per $1,000 of taxable value as calculated by the Board for all property classes. The tax commitment and mailing were timely for an actual 3rd quarter tax bill.

Abatement Reviews
Upon mailing of the tax bills and on or before the due date of the first actual bill, property owners have an opportunity to file an Abatement Application on the basis of overvaluation or misclassification. 60 abatements applications were filed of 11,681 taxable accounts, or just over 1/2 of 1%. Generally those with merit were resolved through our conducting a complete on-site exterior measuring and interior inspection. Usually a valuation discrepancy is the result of a data error or as a result of an inspection appointment not being arranged and thus the property data having been “estimated”.

Continue reading about the Board of Assessors

https://www.franklinma.gov/town-clerk/files/town-franklin-annual-report-2020

Prior Annual Reports can be found online

https://www.franklinma.gov/town-clerk/pages/annual-reports

Franklin Annual Report - 2020: Board of Assessors 

The Town of Franklin is now offering eBill and no fee for ACH!

Now Offering eBill & No Fee for ACH

Just a reminder that we offer our residents the convenience of online payments through UniPay. Take advantage of some great features including scheduling payments, saving payment information, viewing payment history and setting payment reminders.  Best of all, you can now receive your bill, completely paperless!

To pay your taxes, have your bill and checkbook or credit card in hand, and then…

1. Go to: https://www.franklinma.gov/
2. Click on: "Payments and Permits"
3. Select the bill you would like to pay.
4. Complete each screen to process your payment.

For the residents' convenience, the Town is waiving the ACH fee when paying by electronic check. 

UniBank, our banking partner, will charge a nominal processing fee for credit card payments.  A fee schedule is located on the welcome page for your convenience. 

Shared from ->  https://www.franklinma.gov/home/news/town-franklin-now-offering-ebill-and-no-fee-ach

The Town of Franklin is now offering eBill and no fee for ACH