Good evening. My name is Helen Anthony. I'm the chair of the committee on finance. I'm calling in order on a regular meeting on Tuesday, February 11 at twenty twenty five at 05:35PM. Madam clerk, would you please call the letter?
Chairwoman Anthony. Present. Vice chairman Taylor is absent. Yes. Councilor Angela.
President. Councilwoman Graves is absent. Councilor Sanchez.
We have three present and two absent. We have one.
Thank you so much. I wanted to thank Ken from the city solicitor's office for joining us, and thank you so much to counselor Bartis for joining us today. And, also, as usual, as always, we're grateful for Carissa and Donna who are our. So thank you very much. So, yeah, with that, I would ask for a moment to take item number agenda item number three at order.
We have the motion. So moved. Second. Motion made by councilor Sanchez, seconded by councilor Anderson. All in favor?
Aye. All opposed. On madam clerk, would you please read item number three?
Resolution authorizing approval of the April 9 by the time of and the Providence Water Supply Board, the enterprise fund of the city Of Providence and the city of Providence relative to the tax agreement for the town of Flosstrek.
Wonderful. Thank you for coming back. We'll swear you again.
We swear on the the testimony of. I do. And please state your names for the record.
Oh, they're all great. Thank you so much for joining us again, and I'm sorry that we continued this matter because my colleagues just had some questions on the presentation on this matter, evaluation of the properties, the foster properties. We just wanted to know basically whether you have to pay that that would, I think, show us that it is a big deal for the city. That, in other words, if this we would be paying less in under this tax agreement than we would if they
were normally taxed. Yeah. So thanks for having us back tonight. Appreciate that. Appreciate the chance to provide you with some additional information.
So we sent over just a brief analysis of the properties and where it's going, but just to walk through it quickly was based on the so with the current proposed agreement, the rate starting for 25 taxes was 4,000 402,000. And then if we looked at for FY 2024, the commercial rate based on the twenty twenty twenty valuation of the 26 properties, that tax rate would be $462,007.98. So it's a difference of $60,000. The valuation of properties based on the 2023 valuation is $22,200,000. Our current agreement, our existing agreement today, we have the 8,400 and paper that we pay.
So our valuation based on our current agreement is only 18.6. So we're already starting with a $3,600,000 reduction in valuation based on that. What this agreement that we're proposing is doing is starting at that starting point of the 18,600,000 evaluation, which is where we take that and we come up 4% for next year, and that is where we're only getting to four zero two. So the benefits to for this agreement are year one. It's a $60,000 reduction in what we've paid.
Going forward, this is a ten year agreement. So any new properties that we acquire, we won't be taxed on. That's gonna stay stagnant. And then any new improvements, those won't be taxed on. So that's gonna stay stagnant.
It can only go up up to 4% unless they go to the legislature to get it higher. Right? So that's the max. Right? It could be less than that if if in future years, they go to 3% and so forth.
Going out, it goes down. So just looking at that. So if today, we were going to pay for FY '24, 162,000. Right? And for f one for '25, we would hit $40.02.
For '27, 400 and 19000. For '28, 435. So we get almost all the way to tax year 2030 before we even get to that 462, which doesn't take into account if properties may have been assessed. Again, we are not affected by that. Ours is flat.
So it's a very good deal for us.
Wonderful. And that that's exactly what we were looking for. Can we can we do that for us? Any questions? No?
Just out of curiosity, so this is the list of of properties that are under your. How many of these have you purchased in the last ten years?
So in the past ten years, there's a so the previous tax agreement, well, we've had the same thing. Any property would be tax exempt. There's only one property on there that's tax exempt that will come into this new agreement. So one.
Okay. You so much for your codiving and providing those information. Okay.
Can we follow I am gonna ask that we mark this as exhibit one for.
Second. A motion. A motion. A A motion. Pastor Vargas, do you have a question?
Yes. I do. Thank you for being here. On this on this property, they they yes. Only or they have buildings in it?
LEN only. They produce water?
They produce water. There is not water yet.
No. So they so we need to protect them to
To not to get the water Exactly. To take the water. Yes. Lake. Yep.
So that's why we're buying all these properties around? Like
meet certain criteria, we'll buy it.
We prefer to get it development rate, but
if they wanna sell it outright, we'll purchase it.
Okay. Alright. Would anyone like to make a motion?
Motion to approve item number three.
Second. Motion to approve made by a defense or Sanchez. Second of my counsel. All in favor? Aye.
All opposed? Thank you so much for taking care.
We appreciate it. Thank you. Okay.
The next one, I'm gonna ask for another motion. Alright. Motion made by council. Let me devolve it by councilor Sanchez. All in favor?
Aye. All opposed? Alright. Madam Clerk, would you please read agenda item number four?
Resolution authorizing approval of the following change order number four, contract award by the Board of Contracts and Supply in accordance with section 21 dash 26 b four of the code of ordinances, omen formally Associates. Three hundred and eighty two thousand eighty seven dollars and twenty five cents. Planning and development.
Wonderful. So then we have here this evening, percent.
Jess Lance, director of special projects for.
