CARIBOU, Maine — Upon seeing that Caribou may face up to a two mill increase this year, city councilors took no motion on setting the tax rate during a June 24 meeting, opting to determine a way to reduce municipal expenses before potentially setting the 2019 tax rate.
Assessments for 2019, according to the council packet, are $504,288 for county taxes, $10,052,811 for municipal appropriation, $437,254 for TIF financing, and $3,697,293 for education. Altogether, this adds up to $14,691,646.12 in appropriations.
Tax Assessor Penny Thompson explained via memo in the council packet that the 2019 taxable valuation for both business personal property and real estate in Caribou is lower than it was last year. She wrote that “seventeen business personal property accounts were closed for 2019,” six of which are leasing companies. One case was Rite-Aid closing and re-opening as Walgreens.
For real estate, Thompson wrote that 47 building permits were issued in 2018, and three permits from 2019 had seen significant progress by April 1 of this year. The city also lost a total of $179,000 in assessed value after purchasing four homes on the River Road. Thompson added that other ways the city lost valuation included the closing of the West Gate Villa trailer park and reduction in Tree Growth values on parcels.
Councilor Hugh Kirkpatrick said during the meeting that 0.84 of the two mill increase is due to increases in the County and education budgets, and that city officials could work to eliminate the 1.16 increase on the municipal side.
Councilor Thom Ayer agreed with the suggestion and said “businesses that have been here in Aroostook County for 20-plus years had to make more out of less. It’s tough, and trust me I’ve been there.”
No motion was made during the meeting, but councilors agreed to discuss possible cuts and alternatives during the next scheduled meeting on July 22.
