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From YouTube: Committee on Ways & Means on December 2, 2019
Description
Docket #1624 - Order that pursuant to Chapter 40, section 56, the residential factor in the City of Boston for FY2020 shall be the minimum residential factor as determined by the Commissioner of Revenue pursuant to M. G. L. Chapter 58, section 1A and be it further that pursuant to Chapter 59, section 5C, as amended, a residential exemption in the amount of value equal to thirty five percent (35%) of the average assessed value of all Class One-Residential parcels in the City of Boston be, and hereby is approved for Fiscal Year 2020
A
We
are
here
to
discuss
docket
one
six,
two
four
order
that,
pursuant
to
chapter
forty
section,
56
the
residential
factor
in
the
city
of
Boston
for
fiscal
year,
20
the
minimum
residential
factor
as
determined
by
the
Commissioner
of
Revenue
pursuant
to
Mass
General,
chapter
58,
section
1a
and
be
it
FURTHER
that,
pursuant
to
chapter
59,
section
5c
as
amended.
A
residential
exemption
in
the
amount
of
value
equal
to
35
percent
of
the
average
assessed
value
of
all
class.
One
residential
parcels
in
the
city
of
Boston
be
and
hereby
is
approved
for
fiscal
year
2020.
B
Good
morning
councillors
morning
for
the
record,
my
name
is
Nick
Aaron
Ella
I'm,
the
Commissioner
of
assessing
for
the
city
of
Boston.
We're
here
today,
as
you
so
eloquently
mentioned,
to
discuss
two
matters.
One
is
to
adopt
the
minimum
residential
factor
related
to
classification
and
the
other
is
to
hopefully
adopt
a
residential
exemption
for
the
maximum
percentage
currently
allowed
by
state
law.
So
briefly,
the
minimum
residential
factor
is
related
to
classification.
B
The
residential
exemption
is
a
program
before
owner-occupants
and
it
allows
them
to
also
get
a
significant
discount
off
of
their
property
tax
bills
in
fiscal
year
2017,
the
state
amended
that
statute
to
allow
the
exemption
to
be
up
to
thirty
five
percent
of
the
average
assessed
value
of
property,
and
last
year
that
was
approximately
twenty
seven
hundred
dollars
in
savings
for
tax
bills
for
residential
homeowners,
and
so
this
year
the
administration
also
request
that
we
approve
a
residential
exemption
of
35
percent.
Great.
A
B
B
So
right
now
we
are
in
the
process
for
finalizing
values.
Is
we
currently
have
our
values
submitted
to
the
state
for
certification
of
our
values
and
the
minimum
residential
factor
allowing
for
the
tax
rate
shift,
as
well
as
the
residential
exemption
percentage
are
two
factors
that
go
into
the
state's
final
approval
of
our
tax
rates.
Gotcha.
A
B
The
the
way
currently
it
looks
is
that
property
values
so
we're
we're
valuing
property
based
off
of
January
1st
of
2019
for
fiscal
year
2020,
and
so
that
is
based
on
the
calendar
year.
2018
sales
in
during
calendar
year,
2018,
the
residential
market
and
the
commercial
market,
were
both
doing
reasonably
well
and
so
values
are
appreciating.
A
B
A
Offset
any
potential
increased
appreciation
and
value
would
would
probably
result
in,
and
it's
just
just
further,
this
listening
audience
I
believe
we're
still
the
second
lowest
average
tax
rate
in
the
Greater
Boston
area.
I
think
we
had
that
hearing,
maybe
six
months
ago,
actually
was
probably
during
the
budget,
hearings
and
I.
Believe
Chelsea
is
a
little
below
us
and
we're
second
to
Chelsea
in
in
I
believe
the
Greater
Boston
area
I
think
that
deserves
attention
as
well.
A
B
B
A
Why
very
competitive
right
and
that's
why
a
lot
of
people
are
moving
back
to
the
city?
Quite
honestly,
in
my
building,
I've
just
recently
moved
into
most
of
them
are
from
new
Wellesley
and
over,
and
you
know
empty
nesters,
coming
back,
taking
advantage
of
the
low
tax
rate
that
the
city
of
Boston
offers
residents,
not
necessarily
everyone,
but
residents.
C
C
B
B
C
B
Highest
lab,
which
was
30%
okay,
the
minimum
residential
factor,
which
varies
because
there
are
a
number
of
components
that
go
into
that
calculus,
which
is
why
we
go
with
adopting
the
minimum.
The
lowest
possibly
allowed
by
state.
We've
been
pushing
for
the
lowest
possibly
allowed
by
state
since
1983
great.
C
And
do
we
know
the
when
I,
when
my
wife
and
I
purchased
our
house,
the
prior
owners
did
not
use
the
residential
did
not
take
advantage
of
the
residential
exemption,
even
though
is
their
primary
residence.
So
it
took
us
a
longer
time
before
we
could
obviously
qualify
do
we
know
even
anecdotally
the
percentage
of
Bostonians
who,
for
whatever
reason,
don't
take
advantage
of
this
incredibly
lucrative
money-saving
opportunity
to.
B
C
B
We
do
we
do
an
insert
in
the
third
quarter
bill
every
year,
quite
identifying
some
programs
that
we
have
that
people
might
be
interested
in
taking
advantage
of.
We
also
if
there
are
when
we
pick
up
new
sales,
the
first
year
that
people
are
eligible,
we
proactively
mail
out
exemption
applications
to
them.
So
we
as
in
your
instance
if
there
might
be
a
little
delay,
so
maybe
you're
not
eligible
the
very
first
moment
that
you
move
into
your
home.
But
if
you're
eligible
the
next
year,
we
will
mail
you
an
application
great.