Many in South Portland and across Maine saw increased property valuations and higher tax bills in 2024. The property valuation process is dictated by Maine's Constitution and the resulting case law and state statutes. As a result, cities and towns have almost no discretion in terms of how properties are valued and what property tax relief can be granted to taxpayers. (Read our FAQ.)
South Portland City Council took action in September, calling upon our Legislative Delegation to pursue measures to reduce property taxes at the state level. They asked lawmakers to enact tax relief and/or reform measures to help Maine taxpayers.
In November, the Council followed up with our legislative delegation and discussed these ideas with them. In December, Council formally included these ideas in their biennial legislative priorities list. The City has been successful via its involvement with the Maine Municipal Association, the Mayor's Coalition, and direct discussions with our local legislators to ensure property tax relief/reform bills will be considered this session.
Maine lawmakers will consider several tax relief/reform bills this year, including bills to increase the homestead exemption and, we’ve been informed, a local option sales tax that would reduce SoPo’s tax rate by over $0.50. These two bills alone could save the average taxpayer close to $1,000 each year. Although the deadline for legislators to submit bills was January 10, we still do not have a full list of all the legislation related to property tax relief. Bills will be debated over the next several months. We will do our best to keep you posted on when such bills have public hearings, but it never hurts to contact your legislative delegation. Like you, we hope the state makes meaningful changes to help taxpayers.
Locally, the annual budget is only part of property taxation that the City Council has control over. We highly encourage you to take part in budget discussions coming up this spring. On April 1, 2025, the City Manager will present the proposed budget to the City Council. Three workshops in April and May will follow, where City department budgets will be discussed in more detail, and where the public is encouraged to provide comment. On June 10, voters will be asked to approve the annual school budget, which comprises 61% of your tax bill. City Council values your input and wants to make sure the City budget reflects the needs and desires of our community. Please participate if you can.