Drop in new business hits Lakeville budget

LAKEVILLE --- The rural character that adds to Lakeville’s charm can also impact its tax bill.

Revenue generated from new properties, known as new growth, has dropped by nearly $400,000 in five years, according to figures presented at a budget discussion on April 14 with Select Board and Finance Committee members.

Lakeville received $522,531 in new growth revenue in 2023. This dropped each subsequent year, from $341,078, to $251,565 to $201,751. The projected figure for next year is $140,000.

“We need some more business,’’ Select Board member Paul Hunt said. 

But that has proven to be a hard sell, he said.

When new proposals are presented, he said, “everybody says no, no, no. We’ve said no some many times, and now we’re paying for it. Everyone wants to be the last person to close the gate.’’

Maintaining the town’s rural environment is regularly cited by residents as a top priority, Finance Committee member Barbara Mancovsky noted.

“So here we are, we don’t have the new growth’’ she said.  But the town has significant nature and open space, which she described as a “privilege.’’

New growth is hardly the only issue impacting the budget. Increased fixed town costs, rises in health insurance and pensions, and a lack of state aid are causing much of the problem, Town Administrator Andrew Sukeforth has said.

Voters will weigh in on the situation next month. An override will be placed on the ballot that will allow current spending levels to continue.

If the tax override is approved for next year’s budget, $2,615,700 would be raised from property taxes.

This would result in a yearly tax increase of $513.26 for the average valued household in Lakeville of $625,000.  

If the override is rejected, Sukeforth said, significant cuts would be required, leaving departments being “severely underfunded.’’ These would lead to “some tough decisions,’’ he said.

About 50 positions at the FreeLake school district could be cut. Programs and services at the Council on Aging and library would be reduced, and seven full-time positions in the general government and public safety departments would also be cut, among other reductions to services presented during earlier discussions.

 Resident Richard LaCamera, who previously served on the Select Board, said that the town needs to identify areas that would be suitable for businesses.

Select board member Lia Fabian shared a similar sentiment.

She noted that Lakeville voters previously rejected a proposed warehouse facility at the site of the former Lakeville Hospital that would have brought in revenue to the town without adding much demand for town services.

“We put in a ton of effort’’ to present that option. “The residents didn’t want it.’’