SKOWHEGAN — Residents agreed to raise up to $300,000 for appraisal costs and legal fees at the Town Meeting Monday night for the revaluation of the Sappi Fine Paper North America mill on U.S. Route 201, the town’s biggest taxpayer.

The vote, called a contingency by the town’s assistant to the Board of Assessors, Bill Van Tuinen, was unanimous, but came with considerable discussion. The money may not be needed if the town and the paper company can reach an agreement on what the value of the mill and equipment is worth, but having the money ready is a good idea, residents agreed.

“There’s a disagreement about what the value should be,” Van Tuinen told the audience, which numbered close to 100. “Both sides agree the demand for paper is diminished — the disagreement at this point is a disagreement of degree.”

Van Tuinen said if the current stalemate moves to a point where the paper company asks for an abatement, or refund, on previously paid taxes, the town will have the money to defend its point of view and pay for a fair appraisal of the mill.

He said negotiations are not a matter of public record, but assured taxpayers that the parties are “reasonably far apart” on how much the mill should be assessed.

The money, if approved by voters, would come from the town’s assessing reserve account.

Sappi’s Skowhegan real estate and personal property is currently valued at $567 million, according to town records. The company paid $9.3 million in property taxes last year, or about 53 percent of the entire tax commitment for Skowhegan.

David Summers, of the Board of Assessors, recommended passage of the article.

“We have to be prepared for lawyers from New York,” he said, and for assessors from other states who are coming to Skowhegan on behalf of Sappi.

In earlier voting at the Town Meeting Monday night, residents agreed overwhelmingly to take $1 million from town surplus accounts to offset taxes in the coming year, leaving $2.9 million in surplus to be used when needed.

Town Manager Christine Almand said all of the spending articles Monday night passed as they were written on the Town Meeting warrant. The final municipal budget, not including the county tax or the town’s share of school spending, comes in at $8,978,164.

The fiscal year begins July 1.

Residents voted to spend $1,146,850 for the Police Department and $803,566 for the Fire Department despite recommendations from the town Budget Committee and the selectmen for lower amounts.

Voters also approved $1,307,748 for general government, including the town manager’s office, code enforcement, planning, finance and building maintenance.

The Skowhegan Free Public Library was funded by the amount requested, $97,867, and the Chamber of Commerce received its requested amount, $24,000, in spite of motions to reduce the funding for both.

Skowhegan residents can expect to see the tax rate increase from the current rate of $16.40 per $1,000 valuation to $17.07, according to Almand. Before the Town Meeting Almand stressed that the final tax rate will not be determined until mid-August because of expected changes in this year’s valuations.

Elections are Tuesday. Polls are open from 7 a.m. to 8 p.m. There are 11 candidates for two seats on the Board of Selectmen and four vacant positions on the school board. The school district budget validation vote also is Tuesday in all SAD 54 towns.

Doug Harlow — 612-2367

dharlow@centralmaine.com

Twitter: @Doug_Harlow

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