Town Council Trims Proposed Tax Increase to 2 Cents

After months of deliberation and carefully combing through each line item of Town Manager Jessie Levine's proposed municipal budget, the Bedford Town Council has finalized the allocation it will present to residents at two public hearings in January.

Councilors unanimously approved the proposal – which includes the addition of two full-time police officers beginning July 1, 2014 – at Wednesday night's meeting.

If supported without modification at the aforementioned public hearings and approved by voters in March, the budget represents a two-cents increase per $1,000 assessed valuation, less than a half-percent increase over the 2013 municipal tax rate.

The slight tax rate impact, according to a release from the Bedford Town Council and Levine, is largely attributable to contractual costs that will be partially offset by revenues projected to exceed initial estimates. 

For instance, motor vehicle registration revenue has exceeded estimates for the past two years and Meals & Rooms Tax sharing from the State of New Hampshire has increased. Combined with modest health insurance increases and well-planned capital purchases.

Levine described the proposed budget as both progressive and unremarkable. 

“On the one hand, this is a rather unexciting budget," said Levine. "We were able to address the Town’s immediate concerns and even some growth-related needs with very little pain. 

"On the other hand," she added, "given the voter approval that we will seek for a major road reconstruction bond and for the South River Road fire substation, this is the best time to bring forward a conservative operating budget.

Residents will have the opportunity to review the budget and to express thoughts and concerns, at public hearings scheduled for 7 p.m. on both Jan. 8 and Feb. 12. 

Additionally, residents will have their say on proposals to change to the Tax Increment Finance District on South River Road and repeal of a Town ordinance requiring Sunday business license fees, the combination of which would likely lower the municipal tax rate by up to three cents.

A public hearing on the potential $30 million road bond and the town's 4.5 million fire substation proposal will also take place on Feb. 12.

If the Town Council chooses to support both initiatives following the public hearings the two bonds will appear on the ballot on March 11. The budget will be presented at the Budgetary Town Meeting on March 12.