Fiscal Responsibility and Property Tax Relief
Mike is dedicated to easing Manchester residents' property tax burden by advocating for the adoption of a Town Charter. This change could have saved the town over $700,000 in the past year alone.
Currently, Manchester operates under a general tax statute tied to Vermont’s complex and flawed education finance reform system. This statute requires the town to relinquish more than one-third of the 1% Local Option Taxes collected locally. By adopting a Town Charter similar to those in Burlington and Rutland, Manchester would retain all its Local Option Tax revenues, ensuring these funds are reinvested into our community to address local needs and priorities.
Mike’s focus on creating a fairer and more effective tax structure reflects his commitment to Manchester’s financial health and the well-being of its residents.
The Details:
Proposal: By adopting a Town Charter, we can transition from outsourcing the collection of local option taxes to the Vermont Department of Taxes to locally managing collection and enforcement at a great savings to Manchester.
Issue: Over one-third of local option tax revenue ($784,984.87 in the last 4 Quarters) is lost to the State from our Local Option Tax Revenues. It is the notorious Montpelier “leaky bucket.” By handling collection in-house, we can significantly reduce costs and lessen the property tax burden on Manchester taxpayers.
Additional Benefits: Improved oversight and enforcement of short-term rental taxes through direct access to data that the State does not share with us.
