Dighton Board of Assessors Tackles Leasing Company Abatement Requests and Debates PILOT Agreements
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Meeting Type:
Property Assessment Board
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Meeting Date:
08/07/2024
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Recording Published:
08/07/2024
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Duration:
44 Minutes
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State:
Massachusetts
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County:
Bristol County
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Towns:
Dighton
- Meeting Overview:
The Dighton Board of Assessors meeting on August 7, 2024, focused on issues, including a large number of motor vehicle abatement requests from a leasing company and contentious Payment in Lieu of Taxes (PILOT) agreements with solar companies.
The meeting opened with an important discussion regarding motor vehicle abatements for the years 2021 to 2024. A leasing company had submitted over 300 abatement requests, raising concerns about eligibility and proper procedure. Specifically, for the 2023 motor vehicle abatements valued at $3,479, questions were raised about the nature of the requests and the association of one individual with multiple requests.
Board members noted that leasing companies often file for abatements on vehicles that are turned in or sold before the end of the tax year. The process allows the leasing company, which pays excise taxes on behalf of the lessee, to seek reimbursement when a vehicle is returned. However, the lessee may be eligible for a refund, which the leasing company keeps unless the lessee pursues it. This led to a proposal for legislative amendments to ensure that refunded money is passed on to the lessees. An amendment had been referred to a committee concerning consumer protection, but its current status was unclear.
Concerns were expressed about the lack of accountability from leasing companies, with board members emphasizing that the legislative efforts to protect consumers were not effectively enforced.
The board also noted that the leasing company was submitting a large batch of abatement requests rather than handling them individually, complicating the review process. This raised questions about the company’s operational practices and adherence to established protocols. Clarification was sought on the criteria for processing the abatement requests, particularly whether the vehicles were still owned by the leasing companies.
In another significant topic, the Board discussed a proposed Payment in Lieu of Taxes (PILOT) agreement with a solar company, which had sparked some contention. Issues related to a 20-year payment schedule were addressed, with one member referencing communication about higher-than-anticipated first-year taxes. Despite concerns, the board was disinclined to alter their standard terms for the PILOT agreement. A communication dated July 26 revealed the solar company’s dissatisfaction with the proposal, to which a board member responded skeptically, emphasizing that the agreement was a standard document.
A settlement had been reached, and the board believed the solar company was aware of the terms when they initially requested the PILOT agreement. Without a signed agreement, the company would pay regular taxes. There was speculation that the original company had possibly sold the project to a different entity, 38 North, which might expect the town to honor a non-existent agreement. The board stressed that the current owners needed to sign the PILOT agreement as drafted or be treated like any other taxpayer.
The discussion then transitioned to drafting a new PILOT agreement for an upcoming solar project on Brook Street. The agreement was still in progress and had not been reviewed by the Tax Advisor yet. Conditional approval had been granted by the planning board for a new drainage system related to this project. Brief mentions were made of other solar projects like Blue Wave and Grasshopper on William Street, indicating no outstanding PILOT agreements at that moment, but the Grasshopper project would be the next one brought before the board.
Additionally, the board reviewed a proposal from Daniel Higgins, Chair of the Bon Development Industrial Commission. The proposal recommended allowing the town to exempt personal property from taxation if the total value is below a minimum amount, proposed at $5,000. Higgins outlined that collecting taxes on low-value personal property was financially burdensome for the town and that the exemption would encourage small business development.
Board members discussed the merits of the proposal but were confused about the proposed amount of $5,000 when state law allows for a maximum of $10,000. They debated whether a higher limit, like $10,000, would be more advantageous to help more businesses. Further inquiries focused on whether the bylaw would require business owners to file an annual form to declare their personal property. The board agreed to gather more information before making a decision, aiming to determine whether to proceed with a $5,000 or $10,000 exemption limit.
Michael P. Mullen, Jr.
Property Assessment Board Officials:
Eric Easterday, Nancy Goulart, William Moore, Nicole Mello (Acting Chair), Michael Mullen (Town Administrator), Shara Costa (town Clerk)
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Meeting Type:
Property Assessment Board
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Committee:
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Meeting Date:
08/07/2024
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Recording Published:
08/07/2024
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Duration:
44 Minutes
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Notability Score:
Routine
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State:
Massachusetts
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County:
Bristol County
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Towns:
Dighton
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