On Nov. 5, Auburn taxpayers opened their projected revaluation notice and were rightfully shocked by the bottom line. This is a document that should have never been mailed without having been proofread.

Mistakes were made. People have complained about the number of rooms being wrong or whether they had or did not have an attached or detached garage. And the projected tax rate was estimated high at $22 per thousand of valuation.

Concerned taxpayers spoke and asked questions at the City Council meeting on Nov. 7. Neighbors and friends met at the New Auburn Legion on Nov. 14.

I would like to share my own revaluation as an example.

My wife, Pat, and I paid $1,640 in taxes under the old valuation of $61,500 on our modest home in New Auburn. It was built in 1946 and has an attached and detached garage. Our new valuation rose to $127,400. The current market value is $146,000. According to the bottom line of the statement, our projected real estate tax would increase by 70 percent to $2,802 in 2006. But if I deduct the Homestead Exemption of $13,000 from our new valuation, our projected tax would drop to $2,516. That’s still a 53 percent increase.

During last spring’s budget deliberations, we were told that the equivalent of the current mill rate of $30.48 would be $19 under the new valuation in 2005 dollars. But somehow a $22 figure was put on this notice statement because city officials felt they needed to show a worst-case scenario for next year.

A citywide revaluation is supposed to be revenue neutral in terms of the total dollar amount needed for taxation. In the last budget, the city had to raise $39 million from property taxes. The city’s old total assessed valuation was $1.28 billion. The new assessed value will rise to $1.8 billion for a 38 percent increase. This automatically translates to a lower mill rate of about $19 per thousand.

The new revaluation notice also failed to list normal exemptions from the proposed assessed valuation that we taxpayers usually see on a real property tax bill.

The homestead ($13,000), veterans ($5,000) and the blind ($4,000) exemptions were not deducted from the new valuation. This would have presented the taxpayer with a more realistic projected property tax estimate.

The homestead exemption is $13,000 with half coming from the state and half coming from the city. Because Auburn was not at 100 percent value this year taxpayers received a $9,100 homestead exemption. The city’s portion of paying for the homestead exemption cost the city $700,000 and added about 55 cents to the mill rate.

The reality of the current situation is that public confidence has been damaged by the contents of the statement they received in the mail. Mistakes have to be corrected. Homeowners need to make an appointment with the assessor’s office to discuss their revaluation numbers. The city needs to deliver better information to the public.

This is a very complex issue that will face many Maine communities in the near future. Recent market valuations for homes have soared compared to commercial real estate. Taxpayers all over the state are watching Auburn and talking about our revaluation.

If cuts are not made to next year’s budget, the city will probably have to raise $41 million in property tax revenue to fund a normal inflationary percentage increase in expenditures. So there’s room to move the mill rate down from the listed $22.

It will be the city council’s job to set a new mill rate next June with citizen input. The city council and school committee need to get a head start on next year’s budget.

Now is the time for the public and city to have a meaningful dialogue. We need to work together in a responsible manner to seek a fair resolution. We need to set a tax rate that people can afford without fear of losing their homes or essential services.

Gerard Dennison served on the Auburn City Council from 1994 to 2000 and was the mayor’s representative to the Auburn School Committee in 1999 and 2000.

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