March 18, 2019

Essex Town Meeting on Proposed $8.085 Million Bonding Plan Adjourns to December 15 Referendum Without Discussion

ESSEX— Voters Monday adjourned a town meeting on a proposed $8,085,000 bonding plan without discussion, setting the stage for an all day referendum on Dec. 15 on a plan that is expected to result in an increase in property taxes beginning in 2017.

About 40 residents, nearly half of them volunteer firefighters, turned out for the required town meeting on a plan that was first presented at a public hearing on Nov. 19. But the meeting was quickly adjourned to the referendum without questions or discussion. No one expressed opposition to any of the components of the bonding plan that will be presented for approval as five separate ballot questions in the referendum.

The bonding plan, developed over the past year by a building committee chaired by Selectman Bruce Glowac, was first presented at a Nov. 19 public hearing.. The plan includes two bridge replacement projects in the Ivoryton section and replacement of the roof at Essex Elementary School, which were identified as priorities at the start of the process, along with several other projects. The components, each presented as a separate yes-or-no ballot question, include $2,845,000 for replacement of the Walnut and Ivory street bridges, $2,815,000 for improvements at the elementary school, $1.3 million for improvements at town hall, $535,000 for improvements at the town public works garage, and $600,000 for purchase of a new pumper fire truck.

The two bridge projects and the school roof replacement are eligible for state or federal funding reimbursement of $2,055,000, leaving town tax payers to finance bonding of up to $3,030,000. The elementary school project also includes $600,000 for air conditioning at the school.

The town is expected to use bond anticipation notes to fund some of the initial projects, with the full 20-year bonds expected to be issued in late 2016 or early 2017. The highest year for debt service payments is expected to be 2017-2018, when the bonding plan is expected to require a 0.49 mill increase in the property tax rate that is currently set at 21.99 mills.

Town Finance Director Kelly Sterner said at the Nov. 19 hearing the 0.49 mill increase would represent about $147 in additional tax for a residential property assessed at $300,000. Debt service costs would begin to drop in 2021, falling off more steeply beginning in 2027 for a final pay off of the bonds in 2037. Polls will be open Monday at the town hall auditorium from 6 a.m. to 8 p.m.

 

 

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