Mount Washington, Massachusetts, could receive an additional $500,000 under a proposal to increase state payments for conservation land, which the town can't tax.
The proposal isn't limited to one town and potentially gives rural communities in the state a substantial boost at little cost to the state.
The rural town received just $42 per acre for eligible state-owned land in 2024, well below the statewide median of $127, due to a formula that favors wealthier areas, according to The Berkshire Eagle.
Here's what to know
Through the payment-in-lieu-of-taxes (PILOT) program, communities receive compensation for tax-exempt state property such as forests, wildlife habitat, and recreation areas. Massachusetts State Auditor Diana DiZoglio is asking legislators to change that system, according to the report.
DiZoglio and George Chichirau, the lead researcher behind the 2025 PILOT report, discussed the proposed changes with local residents at Mount Washington Town Hall.
One proposal would prevent payments from falling below a set amount per acre. According to DiZoglio, a $75 floor would provide Mount Washington with an additional $300,000, while a $100 floor could bring in $500,000.
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Rural towns such as Mount Washington receive far less per acre under the current formula than wealthier eastern Massachusetts communities, an imbalance DiZoglio attributes to the way reimbursements are calculated.
More background
With no property taxes coming from state-owned conservation land, rural towns also have fewer opportunities to raise revenue, Chichirau explained. More developed communities can draw income from taxes on homes and businesses.
The revenue-generating alternatives for Mount Washington's conservation acreage are off the table. The land must remain preserved, leaving the town with a budget challenge.
The proposed minimum payment would add roughly $10 million to the state's $63.4 billion budget. Chichirau described the change as a targeted adjustment rather than an overhaul of the existing formula.
"Politically, this should be relatively easy and doable, because it does not involve any kind of debate over changing the formula. It merely necessitates one small amendment," Chichirau said. "This would make a big difference for a number of communities and a relatively low cost for the state. This recommendation is very narrowly targeted and has a very small budgetary impact."
What's being done?
Beyond the per-acre minimum, the 2025 report offers two additional recommendations to give communities more reliable funding.
One would provide annual payment increases when the total value of state-owned land rises. This would allow rural communities to share in the state's growth. The other would protect each community against annual decreases in reimbursement, making budget planning more predictable.
DiZoglio urged residents at the meeting to contact their legislators and encourage support for legislation implementing the recommendations. She also identified state Sen. Paul Mark and state Rep. Leigh Davis as legislative allies on these issues.
The changes require legislative action. The additional payments discussed are merely a proposal until formal legislation is made.
"We want to make sure, in the Office of the State Auditor, that you are being fairly reimbursed from the state for the greatness you are giving back to the commonwealth," DiZoglio said. "These lands are helping to make sure that we can reach our climate goals, and we need to respect them, preserve them, and protect them."
Where can I learn more?
Other Massachusetts communities are also weighing how to cover local costs through property taxes and service fees. These stories cover proposed tax increases, homeowner relief, assessment questions, and ambulance charges.
• In Adams, Massachusetts, homeowners are set to pay about $130 more in property taxes.
• Cambridge, Massachusetts, proposes a 21% commercial tax increase and a 4% increase for homes.
• Springfield, Massachusetts, has opened a $1 million property-tax relief fund for seniors and disabled homeowners.
• Boston homeowners questioning their property tax bills can press city officials on assessments.
• In Hatfield, Massachusetts, an EMS provider seeks $1,178 per ambulance call, citing insufficient town contributions.
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