Portsmouth's budget with slight tax increase to be adopted Monday

Spending plan for fiscal 2026 calls for tax rate increase of under 1 percent

By Jim McGaw
Posted 6/18/25

PORTSMOUTH — You know it’s a rare budget season when Larry Fitzmorris, president of the taxpayer watchdog group Portsmouth Concerned Citizens, heaps praise on town officials for its …

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Portsmouth's budget with slight tax increase to be adopted Monday

Spending plan for fiscal 2026 calls for tax rate increase of under 1 percent

Posted

PORTSMOUTH — You know it’s a rare budget season when Larry Fitzmorris, president of the taxpayer watchdog group Portsmouth Concerned Citizens, heaps praise on town officials for its new fiscal spending plan.

But that’s what happened on June 11 during the Town Council’s annual budget hearing. Normally held at the middle school, this year’s session was moved to Town Hall due to previous low turnouts. This year’s hearing was no different as it was attended by only a handful of people, most of them connected to local government.

The budget, which had already been passed provisionally by the council, calls for $76,940,969 in expenditures from the general fund, a 3.48-increase over the current spending plan that ends June 30. The total school budget would be $48,232,127, an increase of 2.78 percent. Of that amount, $39,407,902 would be the local appropriation to be raised by property taxes — an increase of 3.22 percent.

Despite those increases, taxpayers won’t see much of a dent in their wallets should the budget be adopted as presented on Monday, June 23.

The budget package would call for a residential real estate and commercial property tax rate of $13.283 per $1,000 of assessed valuation, compared to the current rate of $13.181 — just a 0.77-percent increase over the current rate, said Town Administrator Richard Rainer, Jr. He noted the inflation rate as of April was 3.1 percent.

It’s possible that the tax rate could be lowered even further, depending on the state budget the General Assembly is expected to pass this Friday. The school department could get an additional $100,000 or so, and the town another $48,000, said Council President Keith Hamilton.

“We’ve got some potentially good news from the State House, but until the (state) budget is passed, we can’t count on those funds coming in,” he said.

Thanks from citizens

Fitzmorris complimented the council on keeping the tax rate increase down.

“This year the taxable property under the cap calculation increased 1.7 percent, which is much below previous years. The current year is 3.76 and the previous year was 3.75, so we have a substantial reduction and that is greatly appreciated,” said Fitzmorris. “This is a very good budget from the taxpayers’ point of view.”

He also praised Rainer and Finance Director Kayla Marsden for making changes to the budget to make it easier for residents to get the information they need. “This is the most readable budget I’ve seen. In the final analysis, you can find what you want in this document if you look for it,” he said.

Pat Lidstone, of Warcam Way, also thanked the council and staff for their efforts in keeping the tax rate down. “That is so unusual, and it comes at a time for me that is good because I lost my husband so therefore the money went down. This just doesn’t happen too often,” she said.

AIPC plea denied

More than half of the 45-minute meeting was spent on a request by Steve Johnson of Wapping Road, the chairman of the Aquidneck Island Planning Commission (AIPC), that the council restore $18,000 in funding for the private group. 

“For 40 years, AIPC has served as a forum for island-wide communication, coordination and consensus-building on issues such as transportation, comprehensive planning, land use, housing and water quality,” said Johnson.

The organization has come under criticism in recent years, however, with some citizens and town officials saying Portsmouth hasn’t received much bang for its buck, and that AIPC has not been forthcoming in sharing information. Although Johnson said there is new leadership at the AIPC, which is still working to help Portsmouth and the other two island communities, Hamilton wasn’t convinced.

“I am still of the mindset at this time that the failures of the AIPC over the roughly past 10 years has not led a warm and fuzzy feeling to the addition of another $18,000 to the organization,” he said, adding that Town Planner Lea Hitchen has previously testified that she and the other island planners have the infrastructure to handle the type of work that the AIPC has done. “So the need for AIPC is not what it used to be.”

Council member Juan Carlos Payero said he would support giving $18,000 to AIPC, but only if Middletown and Newport ponied up the same amount. His motion to that effect, however, died in a 2-5 vote.

Monday’s council meeting, during which the finally budget is expected to be adopted, begins at 7 p.m. at Town Hall.

Portsmouth Town Council, Portsmouth budget

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Jim McGaw

A lifelong Portsmouth resident, Jim graduated from Portsmouth High School in 1982 and earned a journalism degree from the University of Rhode Island in 1986. He's worked two different stints at East Bay Newspapers, for a total of 18 years with the company so far. When not running all over town bringing you the news from Portsmouth, Jim listens to lots and lots and lots of music, watches obscure silent films from the '20s and usually has three books going at once. He also loves to cook crazy New Orleans dishes for his wife of 25 years, Michelle, and their two sons, Jake and Max.