By THOMAS GRILLO
LYNN — Trying to head off opposition to a $188.5 million school construction project, City Hall is offering more tax relief for seniors.
Under a plan proposed by Mayor Judith Flanagan Kennedy to offset the cost of building two new middle schools, the city plans to boost the real estate tax exemption to seniors by $200 and reduce the eligibility age to 65, from 70.
“We believe adopting these options will provide the necessary relief to seniors who would be most affected by a tax increase,” Kennedy said in a statement. “I have spoken to many seniors who are supportive of the new schools’ proposal, but understandably concerned about the impact on their taxes. Hopefully, this will make them feel more comfortable about a ‘yes’ vote.”
On Tuesday, March 14, voters will be asked to approve a tax hike to pay for a 652-student school to be built near Breeds Pond Reservoir off Parkland Avenue and a second facility to serve 1,008 students on McManus Field on Commercial Street.
If approved, voters will be responsible for $91.4 million of the project cost. The Massachusetts School Building Authority, the quasi-independent state agency that funds school projects, said it will contribute $97.1 million.
School officials said $11 million in contingency funds are included in the overall cost. If those monies are not used, it would reduce the taxpayer portion by that amount, making the taxpayers’ bill about $80 million.
The city said the average homeowner will pay an additional $200 in taxes per year for 25 years.
If voters reject the tax hike, the increased tax exemption would be dropped.
Kennedy said she’s heard the concerns of seniors who are worried about a $200 tax increase if voters approve two new schools. The mayor asked the Board of Assessors to explore options for providing additional tax relief.
The tax exemption is available to income-eligible seniors. A couple can earn no more than $29,804 and have assets of less than $45,974, not including a home and car. A single senior can earn up to $23,792 with assets no more than $42,908.
Today, about 100 seniors receive the $500 deduction, according to Peter Caron, the city’s chief financial officer.
Caron said most seniors who receive the exemption have homes valued around or under the average single-family value of $273,600. As a result, he said, the $200 additional exemption would mitigate the tax increase required to pay for the city’s share of the school building project.
“We have made a concerted effort to answer questions and address concerns related to the new schools,” Kennedy said. “It is critical that we build these schools in order to have the space required for the 20 percent increase in enrollment we will see in the next two years.”
Gary Welch, a member of Protect Our Reservoir — Preserve Pine Grove, a grassroots organization founded to fight the location of the Parkland Avenue school, declined comment. Donald Castle, a founding member of the group, could not be reached for comment.
Thomas Grillo can be reached at [email protected].
