MANCHESTER, NH – In addition to voting for candidates this Tuesday, November 4, there will be a separate ballot with the following question:
Amend Section 6.15(4) of the City Charter to permit the City to utilize any additional estimated assessed value since the prior year in establishing a combined municipal budget. Yes or No
That section of the charter currently reads:
4. In establishing a combined municipal budget, the board of mayor and aldermen shall assume estimated property tax revenues only in an amount not to exceed the property tax revenues raised, excluding property tax revenues raised for amounts payable in connection with municipal bond obligations, during the prior fiscal year increased by a factor equal to the average of the changes in the National Consumer Price Index-Urban as published by the United States Department of Labor for the three (3) calendar years immediately preceding the year of the budget adoption. If the average of the changes in the Consumer Price Index-Urban as published by the United States Department of Labor for the three (3) immediately preceding calendar years declines, then the increase in property tax revenues, excluding property tax revenues raised for amounts payable in connection with municipal bond obligations, shall be zero.
Why the city endorses this change
In its unanimous proposal to amend the charter, the Board of Mayor & Aldermen (BoMA) believe this will allow the city to incorporate revenues generated from new economic development in setting the tax rate for the City budget. The revenues come from increases in property valuation from new commercial and residential development as well as significant improvements to existing commercial and residential buildings. The board believes this will provide greater transparency as growth within the city will now be reflected in that year’s budget, therefore promoting and encouraging economic development in Manchester. As a result, the BoMA believes it will be able to more accurately address the needs of the city such as schools, public safety and roads.
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