OLD SAYBROOK — The town’s grand list took a $20 million hit as a result of the new state law about motor vehicle valuation.
But new home construction and home improvements have made up more than half the revenue drop, says First Selectman Carl Fortuna.
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The town’s total grand list is down .36 percent from $3.315 billion in 2023 to $3.303 billion in 2024.
The new formula for motor vehicles valuation translates to about $320,000 in lost revenue, with motor vehicle assessed value dropping some 13.6% on the grand list, Fortuna said.
Despite the loss, the town is not taking advantage of a recent tweak by state lawmakers that allow towns to opt in and adjust the rate of motor vehicle depreciation from 85% to 90% for new vehicles.
Municipalities could get more tax revenue by using the higher figure.
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“We opted not to do that” Fortuna said.
He said the town is sticking with the 85% rate because this new higher rate for new vehicles is only “a one-time deal for new cars” and the difference in the mill rate would be “miniscule.”
Fortuna added that “When I say we've had $320,000 less in motor vehicle collections, that's $320,000 that's basically not coming to the town and is staying with the taxpayer.”
The increase in home values “mostly driven by home improvements and new construction, and resulting in a grand list growth of $11 million,” Fortuna said, has helped offset the effects of the motor vehicle valuation. This growth means about $167,000 in new revenue, he added.
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Top 15 taxpayers grand list 2024
Connecticut Light & Power Co, $32,681,040
GM Saybrook owner, $30,276,500
Old Saybrook Associates LLC, $19,541,200
Saybrook Point Marina LLC, $18,323,400
Maxs Place LLC, $15,775,000
Cubesmart LP, $9,239,510
Ean Holdings LLC, $8,323,900
Gosin Barry J & Jacqueline S, $7,334,400
Mill Meadow Development LLC, $7,017,590
Shm Ferry Point LLC, $6,901,080
Zubretsky Joseph M Trustee, $6,855,200
Connecticut Water Co, $6,782,310
Eniotna LLP, $5,548,200
Gladeview LLC, $5,534,600
Mill Rock Leasing LLC, $5,444,200
Total of top 15 taxpayers 2024: $185,578,130
Top 15 taxpayers grand list 2023
Connecticut Light & Power Co, $31,151,690
GM Saybrook owner, $30,276,500
Old Saybrook Associates LLC, $19,541,200
Saybrook Point Marina LLC, $18,323,400
Maxs Place LLC, $15,775,000
Ean Holdings LLC, $15,599,310
Cubesmart LP, $9,242,570
M & J Bus Inc, $7,477,363
Gosin Barry J & Jacqueline S, $7,334,400
Mill Meadow Development LLC, $7,024,530
Zubretsky Joseph M Trustee, $6,855,200
Connecticut Water Co, $6,451,870
Eniotna LLP, $5,548,200
Gladeview LLC, $5,534,600
Mill Rock Leasing LLC, 5,444,200
Total of top 15 taxpayers 2023: 191,580,033
“It's a permanent measure, and we're just going to live with it for this year,” Fortuna said about the state’s original law.
The newest version of the law, wouldn’t impact the town budget much, he said.
“It's a one-year minor change. I mean, for us, it would change the mill rate from .42 at this point to .39. If we had a bigger mill rate increase, I might do it or I might recommend it,” he said.
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Instead, Fortuna added, the revenue loss will be “ baked into the mill rate this year.”
Fortuna said most of the River COG towns also opted with the original depreciated schedule, starting at 85 percent. “So, I would say that the majority of towns are not doing it at this point.”
The picture for the grand list next year should look brighter, Fortuna said pointing to two big developments in the works. These include the addition of four buildings at Max’s Place shopping center home to Big Y, set to go before the Architectural Review Board and a new 23,820 square-foot medical office building Ortho Saybrook, LLC at 52 Spencer Plain Road, approved last August.
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Fortuna also noted that the planned 10,000-square-foot addition to the Yale New Haven Health Medical Center, will add considerable money to the town's grand list in the upcoming year.
March 30, 2025
Editor, ShoreLine Times
Susan Braden is the editor of the ShoreLine Times and a frequent contributing staff writer to the New Haven Register. She has been with Hearst Connecticut Media Group since 2016. When not working she devours cozy mysteries and loves scary movies and Scandinavian noir.