Letters/Editor

To the Editor: Greater Westfield Chamber of Commerce

To The Editor:
The Letter to editor believes that it is important for Westfield residents to understand the tax shift and how the shift affects taxes paid by commercial property owners.
First, the commercial tax rate for FY 2015 is $34.69 while the residential tax rate $18.54.  This means that for properties with the same assessed value, the commercial tax payer is paying approximately 87% more than the residential tax payer, again, for properties with the same assessed value.
Second, the current tax shift is 1.63.  This means that the commercial property owner is already paying approximately 63% more for her commercial property than she would pay if Westfield had a single rate for both commercial and residential properties.
Third, the Chamber is not advocating for a single rate system.  In fact, over the years, the Chamber has requested the City Council to gradually move the tax shift in a direction such that there would be a more equitable allocation of the taxes between the residential tax payer and the commercial tax payer.  Most recently, the Chamber requested, unsuccessfully, that the City Council lower the shift to 1.59.  Again, that would mean that the commercial tax payer would still be paying 59% more than the residential tax payer if Westfield were a single rate system.
Fourth, a reduction in the shift to 1.59 would increase the residential rate per $1,000 valuation from $18.54 to $18.71, while reducing the commercial rate from $34.69 to $33.84 based upon last year’s tax levy and property assessment figures.
We believe that if Westfield’s residents understand these real facts about the tax shift, then, even though a modest shift would add a small increment to the residential tax rate, such a shift could substantially help the small business real property owner to be more competitive in a very competitive environment. The Chamber hopes that you will contact the City Councilors and let them know that you support a modest reduction in the tax shift.
Thank you.
GREATER WESTFIELD CHAMBER OF COMMERCE
Kate Phelon, Executive Director

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