PRESQUE ISLE, Maine — Property taxpayers in Presque Isle will see at least a 1-mill decrease in their tax rate this year.
The Presque Isle City Council voted 7-0 on July 13 to approve two mill rates pending a confirmation from Versant Power on the valuation of the city’s electric system and transmission lines.
The first rate is 23.84, which is 1 mill lower than the 2021 rate of 24.85. But that could decrease to 21.2 if the figure Versant supplied to the city is correct, said Tax Assessor Lewis Cousins.
Versant reported the system’s value at $95,391,730, an increase of about $75 million from last year’s $20,227,000 figure. That would increase their tax bill by $107 million, Cousins said.
“I would think this year, of all years, they would have the ability to pay it,” said councilor Craig Green, referring to increased electrical rates that have plagued Maine and Aroostook County in recent months.
The Versant report was unclear on what caused such a large increase, Cousins said, and he wondered if the $95 million figure was a mistake. He wants to verify the report with the utility company because it’s such a large difference from last year’s number. Caribou, Mars Hill and Houlton all show smaller increases in electric system valuations, he said.
He recommended councilors approve the two mill rates, with the final figure — 23.8 or 21.2 — to be confirmed when Versant verifies its reporting.
City Manager Martin Puckett said the lower mill rate is largely thanks to the city’s economic growth.
The assessor’s report indicated a hike in Aroostook County taxes of about $51,000 from 2021 to $885,482 this year. Municipal taxes are up $700,000 to $14,961,265. The education appropriation to SAD 1 will rise by around $17,000 from the 2021 figure to $6,297,697 in 2022.
On the plus side, taxable real estate and personal property are up by about $32 million to $516,131,800, with state revenue sharing rising to $1.9 million, an increase of about $600,000.
The council also voted unanimously to approve resolutions including: setting the property tax due date as July 13, the date of the tax commitment vote; the city will pay interest of 3 percent yearly on reimbursements due to tax overpayment; and interest on unpaid property taxes will be 6 percent per year if not paid by Oct. 18.
Council Chairman Kevin Freeman thanked Cousins, Finance Director Bradley Turner and staff for their work.
“We’re going in the right direction,” he said. “Let’s keep that economic growth going.”
