County board votes to oppose tax cap

HOULTON – With little discussion about the matter on Wednesday evening, Aroostook County commissioners unanimously agreed to support a resolution opposing the 1 percent tax cap referendum.

In voicing their disfavor, the group cited figures showing that the county would lose at least 30 percent of its revenue, leading to “debilitating cuts” in the state’s municipal and school budgets.

The commissioners’ decision comes on the heels of similar resolutions passed by a growing number of school boards and municipal groups decrying the so-called Palesky tax cap. The initiative, named after Topsham tax activist Carol Palesky, would scale back assessed property values to their 1996-97 level and cap property taxes at $10 per $1,000 of valuation if approved Nov. 2. It also would limit assessments to an increase of 2 percent a year while a property remains in a family. State supreme court justices and the state attorney general have advised that the component that would roll back property values to 1996 levels is unconstitutional.

Several collectives have spoken out against the cap, including city councilors in Presque Isle, selectmen in Madawaska and St. Agatha, and school boards in Houlton and Washburn. Houlton leaders are also planning a public forum on Oct. 18 to instruct the public about the projected impact of the cap after town councilors issued their own declaration two weeks ago against the Palesky plan

Supporters of the referendum have accused municipalities of using “scare tactics” when officials release information about the potential impact of the plan. Some backers say that towns and school boards are only putting out “worst-case scenario” financial figures to illustrate what will happen if voters approve the measure.

County Administrator Doug Beaulieu expressed hope that the public is beginning to change its mind about the tax cap.

“About a month ago, it appeared that more people were in favor of the cap than against it,” Beaulieu told commissioners on Wednesday evening. “I heard on the radio the other day that 44 percent of those surveyed are against the referendum now, with 37 percent for it and the balance undecided … opinion seems to be going the other way, but I think it is going to be close.”