North Brookfield to Host Home Heating Seminar

CROWLEY FUEL TO HOST ‘BRACING FOR THE COLD: A HOME HEATING SEMINAR”

North Brookfield, MA – Crowley Fuel Company, Inc., of North Brookfield, will host a public forum to address the high cost of home heating fuel on Tuesday, September 16, beginning at 7 p.m. in the Haston Public Library in North Brookfield.

“The forecast is difficult to predict because there are so many unknown variables,” said Crowley Fuel owner, Bob LaFlamme. “Some say the cost of home heating fuel may be higher than last year, but the possibility always exists that prices could come down. That’s why it’s important to understand the playing field and plan accordingly.” (The remainder of this post can be read by accessing the READ MORE link below)

Fearing high energy costs could result in local residents having to choose between keeping warm and buying food, LaFlamme wants homeowners to know that options exist. “We can’t exercise much control over the cost of oil per barrel,” says LaFlamme, “but we can make better decisions about how we manage the process and budget our expenses.”

“Bracing for the Cold: A Home Heating Seminar” will bring together a diverse panel of local and regional experts to address the many aspects of home heating, including fundamentals of the oil heat market, a forecast for supply and demand, price cap programs, annual budgets, energy conservation, and energy assistance programs.

The list of panelists includes Jerry Hanna, manager of National Grid’s MassSave energy audit program; energy consultant and oil trader, Rich Larkin, of Hedge Solutions, Manchester, N.H., and Mark Sanborn, director of energy resources at the Worcester Community Action Council (WCAC).

Cindy Shea, of Hearts for Heat, Spencer, along with Thomas Creamer and Scott Garieri, of the Residential Energy Assistance for Seniors (REAS) Foundation, Sturbridge, two new local foundations created to assist area residents in meeting their home heating needs will be on hand to discuss community involvement. Stephen Quink, vice president and senior loan officer at North Brookfield Savings Bank will discuss low interest home heating loans, and East Brookfield selectman and home heating assistance officer, Joseph Fish will be on hand to discuss how to access local assistance programs.

The program is open to the public free of charge and refreshments will be served. For additional information, please contact Crowley Fuel Company, at 508-867-6740 or visit the company website at www.crowleyfuel.com.

SCAM Alert from the Sturbridge Police Department!

From: Detective Mark Saloio - Sturbridge Police Department

August 26, 2008

The Sturbridge Police Department would like to make the public aware of a scam being attempted on area residents. Various residents have received phone calls from an automated system identifying themselves with either the Southbridge Credit Union or the Sturbridge Credit Union, and are asked to enter or provide their respective ATM, debit or credit card information.

THIS IS NOT LEGITIMATE, and is in no way affiliated with any financial institution in Sturbridge. Residents are cautioned not to provide any type of information to this calling party, and are asked to notify the Sturbridge Police at 508-347-2525, or their local police agency if not in Sturbridge, should they receive any calls.

STAR Co-op

Several months back on May 19, 2008 the Board of Selectmen - had some limited discussion in terms of residential tax relief for seniors. Currently, a Sturbridge senior can qualify for a residential tax credit based upon a maximum income level, and their ability to provide services to the town in order to earn the credit. This program referred to as the Senior Municipal Service Program (SMSP), provides an opportunity for those earning less than $35,000 per year ($45,000 per year for a couple), to provide services to the town which earn a monetary value towards a residential tax bill.

During that meeting, the Town Administrator indicated that of the $10,000 set aside each year for the program, "...about $6,500 is the most that has been expended out of that account in any given year". Subsequently, on June 2, 2008, the Town Administrator was able to prepare a spreadsheet, which indicates the following distributions over the last three years from the SMSP.

FY05 $3,695.25
FY06 $2,249.75
FY07 $1,324.00
FY08 $1,118.75

This raises several questions that merit additional discussion by the Board of Selectmen.

1. If maintain a surplus (so to speak) each year in this account, is that in fact beneficial?
2. With a benefit program of this nature, should not the account be depleted at the end of each year?
3. Is the program being accessed by all who qualify?
4. If not, then what are the stumbling blocks?
5. Are we promoting the program well enough, or providing the necessary level of education to seniors who  may qualify?
6. Are some of those who qualify financially, unable to participate in the program because they are physically unable to earn their credit?
7. If this is the case what can we do to make the program more accessible?

To that particular question, there is an answer that I offer for consideration and discussion by the Board of Selectmen. I am proposing (for discussion), the implementation of what I refer to as the STAR Co-Op - Senior Tax Assessment Reduction Co-Op. This program would enable residents to Co-Op or volunteer to perform work on behalf of qualifying seniors who are unable to physically perform services themselves, and to then have their tax relief time credited or Co-Opted to a specific senior.

This cooperative approach to senior tax credits, would help to ensure that we are providing needed assistance to those who qualify, through a community-based effort, centered on local efforts for local residents. The basic highlights of the program might look something like this:

Senior Tax Assessment Reduction Co-Op - STAR Co-Op

Highlights:

• A cooperative community-based approach to providing residential tax relief to Sturbridge Seniors.
• Qualifying seniors would receive a tax credit from the Town of Sturbridge based upon community service. 
• Qualifications are based upon current Sturbridge senior tax relief guidelines
• That community service could be in the form of hours dedicated to the following: 
• Administrative work performed on behalf of the Town
• Volunteer work at the Senior Center
• Volunteer work at Town sponsored functions
• Elections
• Recreation Program
• Etc.
• Physical labor in support of Town services 
• Grass cutting
• Flower plantings
• Etc.

In situations where seniors were unable to perform such services, residents could Co-op or volunteer to perform the work on behalf of a specific senior and have the tax relief time credited to the co-opted senior. This approach would help to create a community-based approach to assisting our seniors. Residents, Youth Groups (i.e. Boy Scouts/Girl Scouts), High School Students, etc. could be encouraged to Co-Op their time in support of this "neighborhood-focused endeavor. This would help strengthen our sense of community and camaraderie while enhancing a sense of responsibility within each of us, for the care of our seniors.

There is obviously, a fair amount of discussion that needs to be undertaken relative to this approach, and a significant amount of work that may be required at the state level for approval. This would perhaps necessitate input, assistance, and guidance from Senator Brewer and Representative Smola, but certainly, it is something that should be discussed and studied to determine the feasibility of such a program.

Regardless however, of the work that may be required at the state level, there is a level of simplicity with this program in that the senior residential tax credit already exists in the form of the SMSP, thus eliminating what could be a significant hurdle. The modification to this program is merely that we are allowing residents to volunteer to perform the required work and Co-Op or donate that time to a qualifying senior of choice.

Clearly, there are issues or questions that may surface, which I have not considered. Perhaps there is something obvious that I have missed which would negate the benefits of this approach. That can only be determined through the appropriate level of dialogue. However, this could well be a program that might truly help to enhance our sense of Community, Cooperation, and Camaraderie. Should we not at least engage in the dialogue?

In reviewing the approaches taken by several communities outside of Massachusetts, it is clear that many offer tax credits based solely upon residence and income levels, with no "tax credit" work required. Those programs may have their merits, but that is not the focus of my proposal here, as I am offering a modification to an already existing program, which arguably should require less time and hopefully less effort to address.  I offer the following examples only as a means of comparing the amount of tax credits available in other communities, as well as their approach to such. Here are a few examples:

Allegheny County, Pennsylvania:

1. Property Ownership:
1. Must have owned and occupied a primary residence in Allegheny County continuously for the past 10 years. A property owner who has moved within the past 10 years, and has continued to own and occupy the new property as a primary residence shall be eligible.
2. Age:
1. Must be age 60 or older, or if married either spouse must be age 60.
2. Be a widow or widower age 50 to 60 years.
3. Permanently disabled and age 18 to 60 years.
4. The applicant must meet the required age by December 31, 2008, to qualify for tax relief in 2008.
3. Income:
1. Gross household income must be $30,000 or less.
2. For calculating income use only 50% of your Social Security Benefit, SSI, and Railroad Retirement Tier 1 Benefits (except Medicare benefits).
4. This program entitles all qualified applicants in Allegheny County to a flat 30% discount of the real estate tax on their primary residence for each year they are eligible. Qualified applicants will also receive an additional 2% discount by paying their county taxes in full by March 31st. A second payment option allows eligible taxpayers (if they choose) to pay their gross county taxes in two equal installment payments, the first payment due by April 30th and the second payment by September 30th.

Fairfax County, Virginia:

• To qualify for a Real Estate tax exemption under the Tax Relief Program, the following requirements must be met:
• The applicant must be a resident of Fairfax County as of December 31 of the previous year and reside in the dwelling.
• The applicant must be at least 65 years of age, or permanently and totally disabled. Applicants who turn 65 or become permanently and totally disabled during the year of application may also qualify for tax relief on a prorated basis.
• If the dwelling is jointly owned by an applicant and spouse, either the applicant or the spouse must be at least 65 years of age or older, or permanently and totally disabled.
• The gross income from all sources of the owners of the dwelling and any relatives of the owners who reside in the dwelling may not exceed $72,000. The following income limitations and percentage of relief apply:

  Gross Income                                                                    Amount of Tax Relief
$52,000 or less                                                                              100%
$52,001 to $62,000                                                                        50%
$62,001 to $72,000                                                                        25%

Tax Relief - Frequently Addressed Questions - Fairfax County, Virginia

• For each relative (other than spouse) residing in the dwelling, the first $6,500 of income may be excluded. Disabled applicants may exclude the first $7,500 of income.
• The total combined net assets of owners of the dwelling and of the spouse of any owner who resides in the dwelling may not be greater than $340,000. (Excluding the value of the dwelling and up to one acre of land where it is situated.)
• When the property is jointly-owned and the co-owner is deceased, a certified copy of the death certificate must be provided.

The State of Connecticut:

SUMMARY

The law establishes two state-funded property tax relief programs for qualified elderly and disabled homeowners. The first is the “circuit breaker” program, which provides a property tax credit based on the participant's income and marital status. (CGS § §12-170aa-cc). The second is the Tax Freeze program, which freezes property taxes at 1967 through 1978 levels. The tax freeze program has been closed to new applicants since 1979. (CGS § 12-129b).

In addition, a new law enacted in 2006 (PA 06-176, codified at CGS §12-170v and -w) allows towns, without state reimbursement, to freeze the property taxes for homeowners if they or their spouses are age 70 or older and meet the circuit breaker program's income limits.

The circuit breaker and tax freeze programs have income eligibility requirements, but towns have the option to offer, with certain restrictions, seniors age 65 and over additional “local option” tax relief without income criteria. (CGS § 12-129n) This law allows, but does not require, towns to set maximum income limits. The tax relief can take any form, including freezing tax payments at specified levels. The state does not reimburse towns for these programs.

PROPERTY TAX RELIEF FOR SENIORS 


CIRCUIT BREAKER PROGRAM
The circuit breaker program (formally known as the Elderly and Totally Disabled Tax Relief Program) entitles elderly and disabled people to a property tax reduction or a rent rebate, depending on whether they are homeowners or renters. An applicant must: (1) be 65 years of age or older, have a spouse who is 65 or older, or be at least 50 and a surviving spouse of someone who at the time of death was eligible for the program; (2) occupy the property as his or her home; and (3) have lived in Connecticut at least one year before applying. The annual income limits for the program are currently $ 35,300 for married couples and $ 28,800 for singles and are adjusted annually for inflation (CGS §§ 12-170aa-cc).

TAX FREEZE PROGRAM
The Tax Freeze Program freezes property taxes for elderly (age 65 or over) homeowners with annual taxable incomes of $ 6,000 or less at the level the person owed when he or she first qualified for the program. It began in 1967, but stopped accepting new participants in 1979. People who were in the program when it closed continue to receive benefits as long as they still qualify. They must re-file for benefits with local assessors every two years (CGS § 12-129b).

NEW LOCAL OPTION SENIOR PROPERTY TAX FREEZE (PA 06-176)
2006 legislation allows towns to freeze property taxes on homes owned by people age 70 or older who have lived in the state at least one year. The freeze can also apply to a surviving spouse who is at least age 62 when the homeowner dies. Homeowners must meet the income limits for the circuit breaker program (see above). Towns may also impose asset limits for eligibility. People whose taxes are frozen can also qualify for other property tax relief programs.

Unlike the circuit breaker and old tax freeze programs, the new law does not provide state reimbursement for revenue a town loses by freezing taxes, but it allows the town to put a lien for the amount of the foregone taxes on the property. OLR report 2006-R-0445 (enclosed) describes this program in greater detail.

LOCAL OPTION TAX RELIEF FOR SENIORS
While the tax freeze and circuit breaker programs require participants to meet certain income levels, towns are able to provide additional optional property tax relief to seniors regardless of income. CGS § 12-129n allows towns, upon approval by the town's legislative body, to provide relief to seniors age 65 or older and disabled people without state reimbursement. It imposes no income criteria and does not require towns to adopt any.

PROPERTY TAX RELIEF FOR SENIORS
The law allows towns to provide relief to homeowners already receiving tax relief under the circuit breaker program as well as to those who do not meet that program's income criteria. The tax relief can take any form, including freezing tax payments at specified levels. But the overall amount of tax relief towns can provide is limited to no more than 10% of the total value of real property in the town in each given year. And the total value of tax relief a homeowner can receive under this and the tax freeze and circuit breaker programs cannot exceed his or her annual tax. The town must put a lien on the property if the amount of tax relief is more than 75% of the tax owed, and the law places several other restrictions on optional, unreimbursed local tax relief (CGS § 12-129n).

The State of Illinois:

Last updated: June 2008
(Chapter 6 Section 3 of Senior Citizens Handbook)

What It Is: A government-funded program which provides a direct cash grant of up to $700.00 to help people over 65 (and people who are totally disabled) to pay property taxes, mobile home taxes, rent or nursing home charges. You can also receive a $54 discount on your license plate fee.
Where to Apply: The Illinois Department on Aging administers the program. It provides the application form and instructions.

Who May Be Eligible: You may be eligible if you are over 65, are under 65 and disabled from working, or you turned 63 or 64 before your spouse's death and your spouse was eligible. You must have lived in an Illinois residence that was subject to property or mobile home tax.

What Is the Circuit Breaker Property Tax Relief Program?

The Circuit Breaker Property Tax Relief Program can provide you with a direct cash grant of up to $700 to help pay property taxes, whether or not you are a homeowner. The Illinois Department on Aging administers this program.

Who Is Eligible?

Non-Financial Eligibility Factors

To be eligible for the Property Tax Relief program, you must fall into one of the following groups:

• You are over 65 years of age at the beginning of the year in which you apply;
• You will turn 65 years of age during the year in which you apply;
• You are the widow or widower of a person eligible under the first two groups, and you turned 63 or 64 before your spouse's death;
• You are between 16 and 65 years of age, and you have a disability which prevents you from working at all, and which is expected to last for 12 months or more.
• In addition, you must have lived during the year in one or more Illinois residences on which property or mobile home taxes must be paid. You must live in Illinois when you apply for the program.

As one can see, tax incentive programs for seniors are varied and available across the nation; some restrictive, others not. As we have a program already in place, the implementation of the STAR Co-Op would allow our community the ability to ensure that no senior is left behind simply because they are unable to contribute physically. I will be asking Scott Garieri this proposal at an upcoming meeting of the Board of Selectmen.