Milford Selectmen voted last night for some substantial tax relief for residents and businesses in the wake of the town's excellent financial condition. The board will recommend using $2.8 million, the highest amount ever to lower the tax rate when it's set this fall. The vote was unanimous. The decision will mean the average homeowner will save approximately $224. It's a decision that could back fire next year if the same amount cannot be duplicated and that's not likely given the town's substantial debt and bills that must be paid this year.
Finance Director Zack Taylor said recently payments of $40 million must be met. The Woodland School, for instance, will be bonded at $28 million this fiscal year and an additional debt of about $3 million will directly increase the fiscal year 2017 operating budget and Taylor warned free cash levels will not be as high as this year moving forward. This year the figure came in at $5.7 million.
As we reported yesterday, Taylor said the town must make up $820 thousand by raising and appropriating this year.
Taylor will meet with he board at their next meeting to review specific finances. Milford's stabilization account is about $15 million but it will be drawn down to help pay off the Woodland School debt.
WMRC's Ed Thompson