In a move aimed at helping some of Londonderry’s most vulnerable residents stay in their homes, the Town Council unanimously approved increases to the Elderly and Disability tax exemptions during its most recent public hearing – an adjustment prompted by rising property values and inflation.
Assessor Stephan Hamilton explained that the town recently completed a comprehensive revaluation of properties, which revealed a significant increase in assessed values for homes owned by residents receiving these exemptions.
“The Town has undertaken a revaluation of all property this year, and as reported previously there has been an increase in the assessed value of residential properties occupied by residents that receive Elderly and Disability Exemptions,” Hamilton stated in his memo to the Town Council. “These amounts are set by the Town Council and were last revised in 2023 after the 2023 reassessment.”
Hamilton outlined the four categories of exemptions: Disabled Persons; Elderly aged 65 – 74; Elderly aged 75 – 79; and Elderly aged 80 and older. Eligibility is determined based on specific qualification criteria.
One key factor in recommending adjustments is inflation. “There has been inflation over the past two years,” Hamilton noted during the meeting. To account for this, the town applied a 5.75% CPI inflation rate calculated by the U.S. Bureau of Labor Statistics to update income limits.
Under the new guidelines:
- Single income limits will increase from $48,400 to $51,200.
- Married income limits will rise from $59,600 to $63,000.
- Asset limits will go from $162,300 to $171,600.
Hamilton also recommended increasing the exemption amounts to reflect the approximate 17% rise in property values for recipients. “Analyzing the increase in property values for the recipients reveals that the value of homes owned by them increased approximately 17%,” he wrote. “In order to maintain a similar level of benefit, I am recommending that the exemption amount be increased by that approximate percentage.”
He presented data showing how many recipients currently have all their taxes covered by the exemption and how that number would change under the proposed increases.
The proposed exemption amounts are:
- Disability exemption: from $175,000 to $205,000
- Elderly 65–74: from $175,000 to $205,000
- Elderly 75–79: from $225,000 to $265,000
- Elderly 80+: from $300,000 to $350,000
Hamilton clarified that all assets are counted toward the asset limit except for the value of a person’s primary residence.
During public input, resident Tony DeFrancesco expressed cautious support. “The devil is in the details,” he said, noting concerns about unknown costs and broader economic uncertainty. “I don’t see the need to increase on the CPI. I don’t see the need to decrease the amount that you need to qualify or not qualify.”
DeFrancesco also objected to the term “elderly,” suggesting the 65 – 74 age category is too young and should begin at age 75.
Town Councilor Dan Bouchard voiced his support. “I’m in favor of this,” he said. “It’s a good way to help people stay in their homes.”
Resident Glenn Douglas agreed, emphasizing the importance of recognizing long-time taxpayers. “I’m all for giving people that have paid taxes for their entire life a break. This seems to just be giving a few people a little bit of extra benefit,” he said.
Town Council Chair Ron Dunn added that feedback he’s received from the public has been positive. “The members of the public who have spoken to me about it think it’s a fair program,” he said.
The Council voted 4–0 in favor of the increases, with Councilor Deb Paul recusing herself.