Authorize interest rate reduction on real property tax deferrals for qualifying seniors

Petitioner: Selectment's Committee on Senior Tax Policy

Speicial Town Meeting, November 2017

The Senior Real Estate Tax Deferral program allows qualifying seniors to defer the payment of real estate taxes until they move, sell their home or pass away.

This article seeks to change the interest rate charged to participants from the current 5% to a variable rate that, within the limits of state law, will (i) in the near term substantially reduce the interest charged to participating seniors, and (ii) thereafter, vary in a manner that more closely reflect the Town's borrowing costs.

As of August 19, 2017, the benchmark rate cited in the Warrant Article was approximately 2.2%.
Official Town Meeting Vote Select Board Advisory Board

Favorable Action

Favorable Action

Favorable Action

Unanimous

5-0-0

14-5-3
Final Result:

Favorable Action
Community Organization Recommendations
PAX Green Caucus
Official Text of the Article

VOTED That the Town will reduce the rate of interest on real property taxes that are deferred under the provisions of M.G.L. Chapter 59, Section 5 clause Forty-first A from five per cent per annum to the one-year average of the U.S. 10 year treasury constant maturity rate for the calendar year preceding the beginning of any fiscal year the eligible property owner enters into a tax deferral and recovery agreement with the board of assessors as provided in said Section 5 clause Forty-first A; provided that such rate of interest shall not be more than the maximum rate allowed under said clause Forty-First A.


https://www.brooklinema.gov/DocumentCenter/View/13165/Combined-Reports-November…

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