ASHLAND, Maine — Ashland’s mill rate will rise by 1.3 following a Monday vote by the town council.
The group also made its first step toward replacing Town Manager Cyr Martin, who will step down from the position on Aug. 8.
About 15 residents turned out for a special town meeting at the Ashland Municipal Building. Martin suggested three options: a 1-mill increase to 26.25 from the current rate of 25.5, a middle option of 26.55, or a 1.6-mill rise to 26.85.
He suggested the town go no lower than 26.25 due to uncertainties arising from subsidies neighboring towns pay Ashland for services.
“We still don’t know if we’re getting the full subsidies from Masardis. We don’t know Garfield,” Martin said. “If they decide not to do that, you need a little bit of overlay to absorb that.”
The towns of Masardis, Portage Lake, Garfield Plantation and Nashville Plantation pay Ashland for a package of town services, including recreation, use of the Ashland Library, and emergency aid like fire and ambulance. Portage and Masardis have their own fire departments.
When subsidy costs rose earlier this year, Portage and Masardis voted against paying for the entire package. Leaders of both towns met with Ashland officials, who later ruled towns could pay only for the services they wanted.
Last month, the Town of Masardis notified Ashland it would pay for recreation and ambulance, and offered a partial library subsidy. During their June meeting Ashland councilors refused Masardis’ partial library offer, saying they should pay the entire amount, according to meeting minutes.
Loss of subsidy funds means Ashland’s taxes will have to rise to make up the difference, Martin said. Adopting a mill rate of 26.25 would mean an overlay of $58,335. With a 26.55 rate, the overlay would be $85,551, and the 26.85 option would result in a $112,000 overlay.
“Now we’re dealing with two communities that might not be paying their subsidies, so that’s where we’re at. I wouldn’t go lower than 26.25,” he said. “If we have anything that goes south, you’re going to be in trouble.”
The town has been discussing the need for highway equipment, and the 26.55 rate would provide more overlay, councilor Gerard “Tom” Raymond said.
With an increase of 1.3 mills, a home valued at $100,000 would pay an additional $1.33 on each $1,000 of assessed value, or about $133 more per year.
Councilors voted to set the mill rate at 26.55.
“I hope those other towns realize there’s more pressure on Ashland now to take up the slack,” Raymond said.
The meeting was Martin’s last as town manager. Last week he announced he would step down Aug. 8 to take a job as executive director of the Aroostook Regional Transportation Service in Presque Isle.
Along with being Ashland’s town manager, Martin has served as police chief for 20 years. He will stay on as police chief until the town can hire a new chief and more officers.
Following an executive session, the council reconvened and voted to have council chair Tyler Michaud reach out to an unnamed person to become interim town manager.
The group also voted to authorize town treasurer Tammy Gagnon to advertise in The Star-Herald, the Maine Municipal Association and the town’s website for the positions of town manager, a highway worker, code enforcement officer and police officers.
In addition, councilors voted to name Stacy Sturgeon highway department foreman upon the coming retirement of current foreman James Laveway, with councilor Chris Bessey abstaining.
