CLASSIFICATION HEARINGCLASSIFICATION HEARING

Presented byPresented by

John H. NeasJohn H. Neas

Chief AssessorChief Assessor

PROPOSED TAX RATEPROPOSED TAX RATE

The proposed tax rate for Fiscal The proposed tax rate for Fiscal Year 2015 is $17.86 per thousand Year 2015 is $17.86 per thousand of valuation.of valuation.

In general, the different classes of In general, the different classes of property increased from 0% to property increased from 0% to 3.5% + or -.3.5% + or -.

StatisticsStatistics

Type of Property Percentage Change

Residential Property 3.5%

Commercial Property 2%

Industrial Property 0%

But statistics are …

A Sample StreetA Sample Street

Street Fiscal Year 2014 Fiscal Year 2015 PercentageNumber Street Name Map Block Lot Value Value Difference

1 RIDGEFIELD RD 12 62 132 336,200 345,900 2.89%3 RIDGEFIELD RD 12 62 133 377,000 374,300 -0.72%4 RIDGEFIELD RD 12 62 190 360,700 358,400 -0.64%5 RIDGEFIELD RD 12 62 134 437,100 459,500 5.12%7 RIDGEFIELD RD 12 62 135 363,800 361,200 -0.71%8 RIDGEFIELD RD 12 62 141 420,200 422,900 0.64%9 RIDGEFIELD RD 12 62 136 348,900 376,600 7.94%

10 RIDGEFIELD RD 12 62 140 365,100 381,700 4.55%11 RIDGEFIELD RD 12 62 137 375,100 372,500 -0.69%12 RIDGEFIELD RD 12 62 139 382,600 390,600 2.09%15 RIDGEFIELD RD 12 62 138 384,600 475,800 23.71%

4.02%

Statistics from the Warren Statistics from the Warren GroupGroup

Norfolk - Median Sales Price

Year Period Single Family

2014 Jan-Oct $452,5002013 Jan-Dec $438,7502012 Jan-Dec $389,5002011 Jan-Dec $423,2002010 Jan-Dec $416,5002009 Jan-Dec $425,0002008 Jan-Dec $465,0002007 Jan-Dec $437,5002006 Jan-Dec $460,0002005 Jan-Dec $505,000

Change in Assessed ValueChange in Assessed Value

Norfolk Single Family HomesNorfolk Single Family Homes

Fiscal Parcel Total Assessed Value - AverageYear Count Single Family Homes Assessed Value

2015 2,972 1,279,496,200 430,5002014 2,939 1,242,300,500 422,7002013 2,921 1,227,487,400 420,2002012 2,908 1,223,008,100 420,6002011 2,892 1,224,054,600 423,3002010 2,879 1,281,045,100 445,0002009 2,874 1,262,962,000 439,4002008 2,868 1,322,713,800 461,2002007 2,861 1,366,395,300 477,6002006 2,845 1,266,662,900 445,2002005 2,831 1,100,496,100 388,700

Some of the Reasons for Some of the Reasons for Increase or Decrease in Increase or Decrease in Property ValueProperty Value

AdditionAddition Changes to the Property Record CardChanges to the Property Record Card Cyclical InspectionCyclical Inspection DemolitionDemolition Fire DamageFire Damage Market ChangesMarket Changes New ConstructionNew Construction Permit InspectionPermit Inspection RenovationsRenovations

REAL ESTATE REAL ESTATE ASSESSMENTSASSESSMENTS

The average assessment for a single family home The average assessment for a single family home is $430,500.is $430,500.

The average tax bill for this assessment is $7,700.The average tax bill for this assessment is $7,700. The average assessment for a residential The average assessment for a residential

condominium is $375,900.condominium is $375,900. The average tax bill for this assessment is $6,700.The average tax bill for this assessment is $6,700. The average assessment for commercial property The average assessment for commercial property

is $620,900.is $620,900. The average tax bill for this assessment is The average tax bill for this assessment is

$11,100.$11,100. The average assessment for industrial property is The average assessment for industrial property is

$201,000.$201,000. The average tax bill for this assessment is $3,600.The average tax bill for this assessment is $3,600.

Tax Rate RecapTax Rate Recap

Classification OptionsClassification OptionsWhat If Scenarios What If Scenarios

Norfolk - Fiscal Year 2015

Class Value Percent

Residential 1,433,095,220 93.1823% R & OOpen Space 455,900 0.0296% 93.2119%Commercial 63,088,980 4.1022%

Industrial 11,464,000 0.7454% CIPPersonal Property 29,844,380 1.9405% 6.7881%

Total 1,537,948,480 100

Classification Options

Residential Exemption 0Small Commercial Exemption 0

Levy

Estimated Levy 27,467,760Single Tax Rate $17.86

CIP Shift

Range 1.00 to 1.50Increment ( in percentage) 5

Who Determines the Tax Who Determines the Tax RateRate

The responsibility of the Assessor is to fairly The responsibility of the Assessor is to fairly value all of the property in Town. value all of the property in Town.

The Assessor does not set the tax rate.The Assessor does not set the tax rate. The tax rate is determined each year as a result The tax rate is determined each year as a result

of the amount of money the town and the of the amount of money the town and the residents decide to spend at Town Meeting. residents decide to spend at Town Meeting.

The residents choose what services they would The residents choose what services they would like the town to provide and decide whether or like the town to provide and decide whether or not they can afford those services and are partly not they can afford those services and are partly responsible for any increase or decrease in the responsible for any increase or decrease in the total amount of spending and any increase or total amount of spending and any increase or decrease in the tax rate. decrease in the tax rate.

So in effect the residents of Norfolk that So in effect the residents of Norfolk that participate in the Town Meeting process play a participate in the Town Meeting process play a role in setting the tax rate. role in setting the tax rate.

Formula to Determine the Formula to Determine the Tax RateTax Rate

Tax Levy $27,467,760

Divided By the Real and Personal Property Total Value $1,537,948,480of the Town for Fiscal Year 2015

Proposed Tax Rate $17.86

Classification OptionsClassification Options

CIP Shift Res Factor Res O S Com Ind PP Total

1 100 93.1823 0.0296 4.1022 0.7454 1.9405 100

1.05 99.6359 92.843 0.0295 4.3073 0.7827 2.0376 100

1.1 99.2718 92.5037 0.0294 4.5124 0.8199 2.1346 100

1.15 98.9076 92.1644 0.0293 4.7175 0.8572 2.2316 100

1.2 98.5435 91.8251 0.0292 4.9226 0.8945 2.3286 100

1.25 98.1794 91.4858 0.0291 5.1277 0.9318 2.4257 100

1.3 97.8153 91.1465 0.029 5.3328 0.969 2.5227 100

1.35 97.4511 90.8072 0.0289 5.5379 1.0063 2.6197 100

1.4 97.087 90.4679 0.0288 5.743 1.0436 2.7167 100

1.45 96.7229 90.1286 0.0287 5.9481 1.0808 2.8138 100

1.5 96.3588 89.7893 0.0286 6.1532 1.1181 2.9108 100

Share Percentages

Res O S Com Ind PP Total Res O S Com Ind PP

25,595,081 8,142 1,126,769 204,747 533,021 27,467,760 17.86 17.86 17.86 17.86 17.86

25,501,884 8,113 1,183,108 214,984 559,672 27,467,760 17.79 17.79 18.75 18.75 18.75

25,408,686 8,083 1,239,446 225,222 586,323 27,467,760 17.73 17.73 19.65 19.65 19.65

25,315,489 8,053 1,295,785 235,459 612,974 27,467,760 17.66 17.66 20.54 20.54 20.54

25,222,292 8,024 1,352,123 245,696 639,625 27,467,760 17.6 17.6 21.43 21.43 21.43

25,129,095 7,994 1,408,461 255,934 666,276 27,467,760 17.53 17.53 22.33 22.33 22.33

25,035,898 7,964 1,464,800 266,171 692,927 27,467,760 17.47 17.47 23.22 23.22 23.22

24,942,700 7,935 1,521,138 276,409 719,578 27,467,760 17.4 17.4 24.11 24.11 24.11

24,849,503 7,905 1,577,477 286,646 746,229 27,467,760 17.34 17.34 25 25 25

24,756,306 7,876 1,633,815 296,883 772,880 27,467,760 17.27 17.27 25.9 25.9 25.9

24,663,109 7,846 1,690,154 307,121 799,531 27,467,760 17.21 17.21 26.79 26.79 26.79

Levy Amounts Estimated Tax Rates

125% Split Rate125% Split Rate

A single family house with an average assessment A single family house with an average assessment of $430,500 would save about $150 per year. of $430,500 would save about $150 per year.

A residential condominium with an average A residential condominium with an average assessment of $375,900 would save about $100 assessment of $375,900 would save about $100 per year.per year.

A commercial property with an average assessment A commercial property with an average assessment of $620,900 would pay an additional $2,800 per of $620,900 would pay an additional $2,800 per year.year.

An industrial property with an average assessment An industrial property with an average assessment of $201,000 would pay an additional $900 per year.of $201,000 would pay an additional $900 per year.

150% SPLIT RATE150% SPLIT RATE

A single family house with an average assessment A single family house with an average assessment of $430,500 would save about $300 per year. of $430,500 would save about $300 per year.

A residential condominium with an average A residential condominium with an average assessment of $375,900 would save about $225 assessment of $375,900 would save about $225 per year.per year.

A commercial property with an average assessment A commercial property with an average assessment of $620,900 would pay an additional $5,500 per of $620,900 would pay an additional $5,500 per year.year.

An industrial property with an average assessment An industrial property with an average assessment of $201,000 would pay an additional $1,800 per of $201,000 would pay an additional $1,800 per year.year.

Tax Rate ComparisonTax Rate Comparison

Tax Rate Comparison

Town Residential Tax Rate Residential Tax Rate Percentage Percentage of Percentage of CIP CIP Tax RateFiscal Year 2014 Fiscal Year 2015 Increase or Residential and Commercial, Shift Fiscal Year 2013

Decrease Open Space Industrial andIn Tax Rate Personal Property

Foxborough* $14.99Franklin $14.45 $14.84 2.50% 80.00 20.00 --- ---Holliston $19.88 --- ---

Hopedale* $16.29Hopkinton $17.63 --- ---Medfield $16.12 $16.04 -0.50% 94.50 5.50 --- ---Medway $18.84 $18.24 -3.00% 85.00 15.00 --- ---Mendon $16.02 $16.01 --- 88.50 11.50 --- ---

Millis $17.06 --- ---Norfolk $17.43 Proposed at $17.86 2.50% 93.00 7.00 --- ---Sharon $20.55 --- ---

Southborough $16.18 $16.02 -1.00% 81.50 18.50 --- ---Walpole* $15.76

Wrentham* $15.31

*Communitieswith Split Rate