Town Finance Director Brian Turbot and Town Manager Libby Gibson walked the Advisory Committee of Non‑Voting Taxpayers through the town’s capital‑planning assumptions, current debt profile and the potential tax‑rate implications of pending and out‑year projects on Feb. 15.

The baseline picture: Turbot said the town closed fiscal 2024 with $174,000,000 in general‑fund debt outstanding; roughly $27,000,000 of that is within the Proposition 2 levy limit and about $147,000,000 is funded from debt exclusions. Turbot described how debt amortization lowers annual payments over time and said that, under current assumptions, substantial portions of existing debt will amortize over the next 10 years.

Projected scenarios: Using conservative planning assumptions (25‑year amortization for modeled borrowings and a 4.5% interest rate assumption), Turbot outlined a scenario where projects on the 2025 annual town meeting warrant (Our Island Home, municipal employee housing and Tom Nevers multi‑use path supplemental funding) would increase debt to about $328,103,000 by June 30, 2027 if all were permanently borrowed on the modeled schedule. Adding a proposed DPW facility (an $80,000,000 estimated project that is expected to be considered at a special town meeting) would raise that modeled outstanding debt to roughly $439,000,000 by June 30, 2028, Turbot said.

Tax‑rate tools and residential exemption: Turbot described the town’s online tax‑impact calculator and noted it is built on the most recently certified assessed values. The town manager and finance director also explained the residential exemption (currently set at 25% by the Select Board and approved in the recap by DOR) and how it affects the residential class’s assessed values and the tax rate for all taxpayers. Turbot provided a numeric example: a widely cited media example that used an average residential value of $3,196,000 produced an estimated $700 annual impact; he clarified the number is the average residential example and that a year‑round taxpayer with the residential exemption would see a much lower example impact (he cited $271 for a modeled year‑round home after the exemption is applied).

Key assumptions and risks highlighted: Turbot said the capital projections used conservative interest assumptions and 25‑year amortizations for planning purposes but noted actual market rates and the timing of permanent borrowing will affect final debt service. He flagged a national policy risk: ongoing discussion in Congress about municipal tax‑exempt status could, if changed, increase market interest rates paid by municipalities by an estimated 1.5 to 2 percentage points and would materially raise interest costs on future borrowing. Turbot and Gibson said the town’s historical experience has been to receive competitive bids and sometimes better rates than conservatively modeled, but they cautioned uncertainty in the market.

Other projects discussed in summary: The committee also heard high‑level overviews of other near‑term or out‑year capital projects the town has identified in the 10‑year plan, including a proposed DPW facility (described as a replacement/move of public works functions to a Mid‑Island site with mechanic shop, garage, administrative space and salt shed), municipal employee housing on Waithe Drive (design and construction estimated at $14,000,000 to create nine units), and the Tom Nevers multi‑use path (an approximate $6.85 million estimate that town staff said the DPW and transportation planner vetted).

What the committee asked for: Several members requested more granular or updated tax‑impact runs and asked the town to publish revised figures if GMPs and bid results change. The town said it would post updates and would return to the Finance Committee if a GMP increases after warrant publication so voters and town boards would have current information.

Ending note: Turbot and Gibson emphasized the presentation was a high‑level planning exercise meant to show residents likely large items ahead, not a guarantee of immediate tax bills; they urged taxpayers to use the online tools and watch for updated numbers as bids and borrowing decisions are finalized.