By Theresa Knapp 

As part of the Select Board meeting on Nov. 13, a tax classification hearing was held and the board agreed with the Board of Assessors’ recommendations to adopt a tax rate of $16.60 for residential properties, and $29.04 for commercial, industrial, and personal property (CIP). 

The board also voted not to adopt a residential exemption or a small commercial exemption. 

In a detailed presentation, Hopedale Principal Assessor Cheryl Hanly explained that the classification hearing “does not determine how much money can be raised nor does it decide the town’s budget. It only determines the distribution of the tax levy among the property class types.” 

Hanly said the average value of a single-family home in Hopedale (based on values as of Jan. 1, 2023) is currently $484,628, which she says is an increase of $36,459 over the prior year. She also noted the changes in specific property class values: residential/single family (8.1% increase), residential/condominium (9.7% increase), and commercial (2.3% increase). 

The Board of Assessors recommended a shift in the tax rate of 1.60. Hanly said that shift “offers the most fair and equitable distribution of the tax levy for all taxpayers” and translates to a residential tax rate of $16.60 and a CIP tax rate of $29.04. This will result in an average tax bill of $8,044.82 for Hopedale residents. 

How it’s calculated 

Hanly provided a breakdown of the average single family tax bill increase of $806.88, which is lower than town officials had predicted earlier this year in discussions related to the $1.35 million override that ultimately passed in June. At that time, it was anticipated the override would add $562 to the average tax bill for the override alone, plus an estimated $268 year-to-year incremental increase. 

“So we forecasted a total impact of $830 for that combined increase for the single family tax bill. The recommended 1.6 shift brings us in line with those projections, a little under actually, you can see it’s $807 and results in an average single family tax bill of about $8,045 for fiscal 2024,” said Hanly. 

Special exemptions

Hopedale does not currently have, nor did it vote to adopt this year, a residential exemption, which shifts the tax burden within the residential class from owners of moderately valued residential properties to the owners of vacation homes, higher valued homes and residential properties not occupied by the owner, including apartments,” according to Hanly’s presentation. The Board of Assessors did not recommend adopting this exemption which applies mostly to resort towns (Nantucket, Provincetown, Wellfleet) and larger municipalities with numerous apartments (Boston, Brookline, Cambridge). 

In addition, Hopedale does not have, nor did it vote to adopt this year, a small commercial exemption which would apply to businesses of no more than 10 employees and the exception would go to the building owner, not the small business itself. The Board of Assessors did not recommend this exemption because “too few businesses are eligible for this exemption as per the Department of Unemployment Assistance.” 

To see the full presentation, visit bit.ly/HopedaleTaxClassHearingNov2023