A pair of bills currently before the General Assembly would allow Johnston to institute a two-tier tax system, Mayor Joseph Polisena told the Sun Rise during an interview last week.
The tiered system would allow for separate residential and business-industrial rates, which Polisena said would create more balance and help ease the burden on homeowners.
He said following this year’s revaluation process, residential property tax values increased between 22 and 26 percent, while business and industrial values only went up 5 percent. Providing an example, he said a business with a 200,000-square-foot building currently pays the same property tax rate as a 1,800-square-foot home.
“Not that we’re going to gouge the businesses, we’re just going to make it a little bit more fair and take the burden off the homeowners,” Polisena said. “It will make it a little bit more fair … I think it’s a positive outcome on the town that the property values have gone up in Johnston, and they’re going up that much higher because this is a desirable town to live in.”
He added, “I’m told that houses are not for sale on the market very long and there’s bidding wars. So I think that says a lot for the administration and the Johnston Town Council and the School Committee, that we all work together and that people want to come to Johnston. I think it’s fantastic.”
The mayor said the legislation is “winding its way” through the legislature. He added that the law would bring Johnston in line with other municipalities that currently use a two-tier system. He said some towns have three-tier systems with business and industrial separated into separate brackets.
Polisena said Rep. Stephen Ucci (D-Dist. 42, Johnston) submitted the bill on the town’s behalf in the House of Representatives. It is also sponsored by Reps. Deborah Fellela (D-Dist. 43, Johnston), Mario Mendez (D-Dist. 13, Johnston, Providence) and Gregory Cosantino (D-Dist. 44, Johnston, Lincoln, Smithfield).
The House bill was scheduled to be heard before the House Municipal Government Committee on June 6.
Sens. Stephen Archaumbault (D-Dist. 22, Smithfield, North Providence, Johnston) and Frank Lombardo III (D-Dist. 25, Johnston) sponsored the legislation in the Senate, where it received Finance Committee approval on May 28 and approval of the full chamber of June 4.
Polisena said he will reach out to Gov. Gina Raimondo regarding the legislation.
“I will place a phone call to make sure she signs it, and as I said, it’s tax relief for the residential homes. Just want to say it, just want to stress, it doesn’t mean the [tax rates for] businesses are going to skyrocket.”
While time is of the essence as the General Assembly’s current session nears its end, Polisena said he does not anticipate any obstacles to the legislation’s approval.
He also again teased what he describes as a significant potential business development for the town, but did not elaborate further.
“This is a very pro-business [town]. They’ve been skating all of these years,” Polisena said with a smile. “Technically, you know. They’ve been getting a good deal. They’re still going to get a good deal, though. We’re in the center of the universe over here. We’re close to [Interstate] 295, to Route 6, Route 10. So businesses do very well.”
Comments
No comments on this item Please log in to comment by clicking here