6 facts about Senior Tax Deferral Warrant Article at June 6 Town Meeting

To the editor:

Those who attend Great Barrington Town Meeting on June 6 (and/or backup on June 9) can vote on Warrant Article 28 “Senior Tax Deferral Program Amendments.” The purpose is to enable senior residents to remain in their homes, keeping neighborhoods and property values stable, without raising anyone’s taxes. Here are six key facts:

1. The Town earns interest on seniors’ deferred tax payments and there’s no cost to other taxpayers.
2. It’s a secure process: Longtime senior residents, age 65 or older with low to moderate incomes, can apply to the Assessor to postpone that fiscal year’s property tax payment. The seniors must provide the Town with secure collateral to ensure payment. The seniors can pay their deferred taxes plus interest at any time, but must pay the taxes plus interest when the house is either sold or the owner passes away.
3. Massachusetts state law already offers a Senior Tax Deferral program. The problem is that this law dates back to the 1970s, when they set maximum qualifying yearly income at $20,000 and interest charged at 8%. Since then, more than 100 towns and cities in Massachusetts have voted to update their regulations. These towns and cities raised qualifying incomes (many to $40,000 and some to $90,000) and reduced interest rates (many to 4% and some as low as 0% to 2%).
4. Our selectboard approved updates in 2021 for long-term senior residents with up to $40,000 annual income and with 5% annual interest when payments are due. Now, Town Meeting will make the final decision on how to amend the state law.
5. Along with the selectboard, many Great Barrington committees reviewed and approved Senior Tax Deferral in 2021: Council on Aging, Finance Committee, Affordable Housing Trust Fund Board and Selectboard & Planning Board Housing Subcommittee.
6. Senior Tax Deferral program amendments voted at this year’s Town Meetings will serve as a one-year trial period. Each year the selectboard gets to review the program’s qualifying income and interest rate levels and can update them as needed.

For more information, please contact: SeniorTaxDeferral@gmail.com

Vivian Orlowski
Great Barrington