SOUTH HADLEY — Owners of an average single-family home in Fire District 1 will see a $350 increase in their property tax bills in fiscal 2024, nearly $100 more than the average homeowner will face in Fire District 2.

At a tax classification hearing on Dec. 5, the Select Board and the Prudential committees for each district approved a single tax rate for all property classes in the town and in the districts.

For the typical single-family homeowner in South Hadley, the Select Board’s decision means a $227, or 4.4%, increase in the tax bill, rising from $5,134 in fiscal 2023 to $5,361 in fiscal 2024.

Though the tax rate is dropping to $14.41 per $1,000 of assessed valuation from $15.42 per $1,000, the value of a typical single-family home is going up to $372,100 from $333,000.

Associate Assessor Melissa Couture-Rimbold estimates the community’s property value as a whole grew 11.2% from last year.

In Fire District No. 1, which covers a large section of town that includes the Falls area, a typical resident will pay an additional $124 on their tax bills, with a tax rate increase from $2.13 to $2.24 per $1,000 valuation for the fire, water and ambulance services in the district.

Fire District No. 2 residents, too, will see a tax bill increase of $28, but the tax rate for those single-family properties is dropping from $2.35 to $2.18 per $1,000 valuation for the district services.

“These fluctuations are based on the overarching formula of budget minus available funds and free cash equals your tax levy. Divide by your value and you get a rate,” Couture-Rimbold said.

South Hadley residents in Fire District 1 continually mentioned the budget in that district, questioning the financial responsibility of the Prudential Committee. Multiple comments brought up overstaffing issues and lack of transparency about budgeting.

“So this is where all this transparency is not happening. We’re not getting that information,” resident Mitchel Malinowski said. “I hope we do get that transparency now, and I hope we are taking the questions from the public. You don’t do it. I attend your meetings.”

Fire District 1 Prudential Committee Member John Wojciechowski defended the budget increases with payroll for four new firemen over the past two years and upkeep of equipment.

“The ambulance calls are way up or reimbursement from insurances are way down. Costs are astronomical for specialty need items. The equipment constantly has to be updated,” Wojciechowski said. “We just can’t run stuff as long as the average person or business could run. We have to keep equipment at its best.”

Residents, however, still raised concerns about the 17.5% increase in taxes.

“We have two fire districts here, and I can’t imagine that the second fire district has less importance in vehicle maintenance, in EMT calls and all that good stuff, that they would be able to decrease their [tax levy] while we increase ours,” Holly McLaughlin said.

Chair Bruce Perron was absent from the in-person meeting and could not answer questions.

Shifting to a split tax rate, in which commercial property tax rates are higher than residential properties, would probably harm the town than help it, Couture-Rimbold said. She added that no towns in Hampshire County so far have adopted a split tax rate for the upcoming year.

“I have heard for 51 years ‘We are going to revitalize the Falls.’ I mean, it just isn’t happening. And so I don’t know that shifting your tax rate is going to encourage business to come to this community,” Couture Rimbold said. “I know of businesses that have left communities with a shift in tax rate and come to South Haldey so that they can gain this benefit.”

Property taxes on commercial and industrial properties are estimated at $5,642, a $16 decrease from last year.

Emilee Klein can be reached at eklein@gazettenet.com.