Sandwich tax rate increases 2.2%

SANDWICH — The 2025 Sandwich tax rate has a small increase of about 2.2%, after the selectboard decided to use $100,000 from the town’s fund balance, making it $9.25 per $1,000 of assessed value.

According to the state Department of Revenue Administration, from 2024 to 2025, the total tax rate increased from $9.05 to $9.25. Without using the fund balance, the town would have had a $9.35 rate, or an increase of 3.3%.

The fund balance acts as a reserve account a town can use for unanticipated expenses.

Town Administrator Courtney Delaney said the use of the fund balance was due to a miscalculation from to an error associated with an update to the state DRA portal. She said the selectboard approved a tax rate on Nov. 13, at $9.25, but then several days later, unexpected errors were found. While it was out of the town’s control, the amount increased to $9.35, and town leaders didn’t want to tack the extra $0.10 onto the tax bills.

Delaney said it was the board’s wish to keep the approved number at the original amount, and so unanimously voted to use the fund balance to keep the rate at $9.25, on Nov. 17.

The use of the fund balance brings the total of that account to $1.4 million, or 11.76% of the general operating budget expenditures. This keeps the town’s fund balance in good standing, within the DRA recommended percentage of 5% and 17%.

The total tax rate went from $15.42 in 2023, to $9.05 last year, and then up to $9.25 this year. The sharp fall was after a valuation.

From 2020 to 2023, the municipal portion of the tax rate increased from $4.84 to $5.25, then dropped sharply in 2024, to $2.86 due to the revaluation. This year the municipal portion dropped $0.03, or 1%, to $2.83.

The county portion decreased from $0.78 to $0.72, equating to a 7.7% reduction. State education increased by $0.01 to $1.13, and the largest driver was the local school rate increase of 6.5%, going from $4.29 to $4.57.

The town is part of the Inter-Lakes School District.

Delaney said maintaining stability is the main concern of the selectboard regarding the tax rate.

“The current board has been focused over the last five years to stabilize the tax rate,” Delaney said. “I think we are right where we want to be, especially when we see other communities with unexpected rises.”

The tax bills were sent out and due back on Dec. 23.