Overview:
Homeowners in Montague, Massachusetts can expect a $413 increase on their tax bills this year after the Selectboard voted to maintain a similar split residential and commercial tax rate for FY26. The increase in residential tax bills comes from salary increases and health insurance increases, which Town Administrator Walter Ramsey explained were the main drivers. The average value of a residential property is $325,699, up $30,452 from last year's average of $295,247. The Selectboard voted unanimously to accept the $15.13 tax rate for residential properties and $25.07 for commercial, and voted no to an open space discount, residential exemption, and small commercial exemption at the recommendation of the Board of Assessors.
MONTAGUE — Single-family homeowners in Montague can expect an average increase of $413 on their tax bills this year after the Selectboard voted to maintain a similar split residential and commercial tax rate for FY26.
The rate will be $15.13 per $1,000 valuation for residential properties, and a $25.07 per $1,000 rate for commercial, industrial and personal properties (CIP).
For single-family homeowners, this means an average tax bill of $4,927, compared to last year’s average bill of $4,514. The average value of a single-family home is $325,699, up from last year’s average of $295,247.
For commercial properties, this is an increase from last year’s rate of $24.26, bringing the average tax bill for small commercial properties to $3,981 and large industrial properties to $152,094.
Vice Chair Richard Kuklewicz shared that he understands the main source of the increase for residential properties comes from FY26 budget jumps related to salary and health insurance, which Director of Assessing Adam Tocci confirmed as being the main drivers. Town Administrator Walter Ramsey explained that Town Meeting approved using funding from taxation to pay for these increases.
In May, Annual Town Meeting approved a $12.75 million town budget that included salary increases based on recommendations made from a wage and classification study. This budget also included an 18% increase in health insurance costs to the town from its membership with the Hampshire County Group Insurance Trust.
While discussion from the public was limited during the hearing, Selectboard members signaled their desire to make sure Montague remains friendly toward its small businesses while balancing the interests of residents and industrial properties.
“To me, it’s not about leaving, it’s about coming to town,” Kuklewicz said about commercial property owners and their interest in staying in Montague when it comes to tax rates.
“The thing for me, in terms of the commercial shift, is less about attracting new development. It is about keeping who we have and maintaining the main street businesses that we have in the village centers,” Lord shared of his perspective, noting $100 or $200 increases in tax bills can make a difference for small business owners.
After discussing the options on where the burden would change, Lord expressed his desire to keep a similar split from last year, noting how the Selectboard has moved the tax burden toward commercial in the past, and he doesn’t want to shift further.
From the audience, Ariel Elan shared that from the perspective of residents, they are limited in their revenue options when their property values go up, compared to commercial properties that can find options to keep up with rising values.
“I think that’s a really crucial difference, and it’s one reason why residents often do feel so burdened,” she said.
According to the Massachusetts Department of Revenue, the value of a single-family home in Montague has risen 52% between 2017 and 2025. Statewide over the same period, the single-family home value has increased 76.7%, and the average value for a single-family home in 2025 was $702,560. Notably, Montague had the 309th lowest average tax bill out of 351 municipalities in the state for 2025.
The tentative 2026 number for the value of a single-family home statewide is $734,040, but is subject to change as municipalities continue to have their rates certified.
“We continue to see significant increases in the residential sector of real estate market values, not only in Montague but throughout the Commonwealth,” the FY26 Tax Classification Presentation meeting materials packet states about the increases in Montague.
The Selectboard voted unanimously to accept the tax rates, and voted against an open space discount, residential exemption, and small commercial exemption at the recommendation of the Board of Assessors.