The Andover town budgets for 2014 have been finalized by the several annual meetings. The School appropriation is up $88,597 over last year. The Town appropriation (net of pass-throughs) is up $141,188 over last year. The Fire Department appropriations are essentially unchanged. As a result, the total net appropriations for 2014 are up by $230,651 or 3.7% over the total net appropriations for last year.
Current estimates of revenues and surplus funds available to offset taxes are significantly lower this year than last. As a result, it is estimated the tax rates for 2014 will increase approximately 10% over the rates for 2013.
For a property in the Andover Fire District, the total tax rate for 2014 is estimated to be $21.35. For a property in the East Andover Fire Precinct, the total tax rate is estimated to be $21.09. These rates are each up approximately $2.00, or 10% over the total tax rates for 2013.
For a property assessed at $200,000, these total tax rate increases equate to a 2014 tax bill that is approximately $400 higher than last year’s tax bill.
School District Meeting
The Andover School District voted to accept the Budget Committee’s recommended budget of $4,704,553. This is an increase of $88,597 or 1.9% over last year’s appropriation of $4,615,956.
Estimated revenues to offset taxes are assumed to be approximately the same as last year. However, it is unlikely that there will be any fund surplus available this year that could approach the $309,095 that became available to offset taxes last year.
Furthermore, the taxpayers voted at School District Meeting on March 3 to authorize the School Board the option to retain any 2013 fund surplus up to $132,000 for future emergency expenses, rather than return that surplus to reduce taxes. So it is conservatively estimated that no fund surplus will be available for tax reduction this year.
As a result, the estimated School tax rate for 2014 is $13.87. This is an increase of $1.49 or 12.0% over the 2013 School tax rate of $12.38. This will increase the School portion of the total tax bill for a property assessed at $200,000 by $298.
Town Meeting
The annual Town Meeting voted to accept the operating budget recommended by the Budget Committee, with an addition of $2,000 to the cemeteries funding for additional maintenance work. Also approved were warrant articles that appropriated funds for Capital Reserve funds and Expendable Trust funds. The total appropriation (net of pass-throughs that do not affect the tax rate) was $1,630,331. This represents an increase over last year’s net appropriation of $1,489,143 by $141,188, or 9.5%.
Assuming that revenues available to offset taxes in 2014 will be the same as last year, the Town tax rate for 2014 is estimated to be $4.05, up $0.50 or 14.1% over last year’s tax rate of $3.55. This will result increase the Town portion of the total tax bill for a property assessed at $200,000 by $100.
Andover Fire Department
From the point of view of taxes, the Andover Fire Department is still made up of two entities: the Andover Fire District, which voted a net appropriation that will require $66,740 to be raised by taxes on properties in the Andover Fire District; and the East Andover Fire Precinct, which voted a net appropriation that will require $54,800 to be raised by taxes on properties in the East Andover Fire Precinct. Each of those amounts to be raised by taxes is only slightly changed from last year.
2014 Tax Rate Estimates
The total net appropriation voted for 2014 at the various annual meetings is $6,456,424. This is up $230,651 from $6,225,773 appropriated for 2013. Assuming that the Merrimack County charge to Andover this year remains the same as last year, and estimating the amounts of expected offsetting revenues, the total tax rates for this year are estimated to be $21.35 for properties in the Andover Fire District and $21.09 for properties in the East Andover Fire Precinct. Each of these total tax rates is up about $2.00 or 10.3% from last year.
The increase in the total tax bill for a property valued at $200,000 is estimated to be up approximately $400. Of this amount, about $300 will go to increased School taxes, and $100 will go to increased Town taxes.