Division of Local Services Alerts Part 1
Bulletin 2014-03B: FY2015 Budget Issues and Other Related Matters
Important information for FY 15 budgets-
Energy PILOTs
Communities receiving “payment in lieu of taxes” (PILOTs) pursuant to the provisions of G.L. c. 59, §38H(b) must follow the requirements spelled out in IGR 98-403 for tax agreements regarding power plants of generation and wholesale generation companies, which include solar generation facilities that provide electricity to the grid. Note Part I. C. which indicates that:
Agreements should fix values or formulas for determining values (rather than fixing tax payments). These values should be representative of the future full and fair cash values of the plant for the term of the agreement and payments resulting from them will be treated as property taxes for Proposition 21⁄2 and tax classification purposes. The payments are subject to the municipality’s levy limit, and the values will be used to calculate its levy ceiling and minimum residential factor. (emphasis added)
For FY2015 forward, communities will not be allowed to place a negotiated dollar amount as part of PILOT estimated receipts on page 3 of the Tax Rate Recapitulation form. The negotiated payments must be translated into assessed value and applied as indicated in the Guideline.
For more detailed information on the matter, please contact the Bureau of Local Assessment.
Communities receiving “payment in lieu of taxes” (PILOTs) pursuant to the provisions of G.L. c. 59, §38H(b) must follow the requirements spelled out in IGR 98-403 for tax agreements regarding power plants of generation and wholesale generation companies, which include solar generation facilities that provide electricity to the grid. Note Part I. C. which indicates that:
Agreements should fix values or formulas for determining values (rather than fixing tax payments). These values should be representative of the future full and fair cash values of the plant for the term of the agreement and payments resulting from them will be treated as property taxes for Proposition 21⁄2 and tax classification purposes. The payments are subject to the municipality’s levy limit, and the values will be used to calculate its levy ceiling and minimum residential factor. (emphasis added)
For FY2015 forward, communities will not be allowed to place a negotiated dollar amount as part of PILOT estimated receipts on page 3 of the Tax Rate Recapitulation form. The negotiated payments must be translated into assessed value and applied as indicated in the Guideline.
For more detailed information on the matter, please contact the Bureau of Local Assessment.
confused .. with that post ? surly .. just like reading IRC in title 26 need a dam class in who to know every term used ? lets see starting with " assessed value" the where are the " guidelines" . ? what is" municipality levy limite " ? could you just state this as an amount ??
ReplyDeleteseem there is bunch of BS in the folks took lessons in statement to informed here ,,, that leave you only asking more questions ,
look if Templeton L&W is being run practically then enjoing tax exemption status whereby templeton res get no deal what so ever , we can even see the books The books R not transparent nor open so lost of control means simple get rid of this , sell it living with truth is easy we get no deal to the public as an benefit under this so called relationship that we would not better get if we sold it , we should sell for just the reason of time place on this matter by public servants The benefits then under MGL would come to apply to privacy enterprize where disable and over 65 low income may get 35 % off there bills
As told tothe commission last night the assessed value of all TMLWP assets are a process that needs to be done to make ti=his relationship fair to the rate payers and owners of the TMLWP thats us. The DOR has made a path for our select board to follow and are the advisors to all state and regulatory changes and these are a few. Our town needs to do an assessment and the sooner the better. Just as the GM calculated the tax for the TMLWP at a figure he likes to use means nothing to the DOR. They will be cause for change and need to have the new process work for the town like it use to long long ago.I hope you like the reading Dana,John + crew. After all we just want the rules followed,as always it has been about the rules!
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