BELGRADE TOWN HUB | TOWN AUDIT ALERT
Local accountability reporting from The Maine Mirror Network

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The Town of Belgrade received a clean audit opinion for the year ending December 31, 2025, but the annual financial report also raises important questions for taxpayers about rising property taxes, reserve levels, capital spending, and a significant prior-year accounting correction.

According to the town’s independent auditor, the financial statements “present fairly, in all material respects” the financial position of the Town of Belgrade as of December 31, 2025. In other words, auditors found no material issues that would prevent residents from relying on the town’s financial statements. However, a clean audit does not mean there are no important financial trends or questions worth discussing.

One of the most notable findings is the increase in property taxes. According to the audit, Belgrade’s assessed property value increased only slightly, from $1,049,769,900 in 2024 to $1,056,432,450 in 2025. Yet the tax rate increased from $9.50 to $10.60 per $1,000 of assessed value, and the town’s property tax commitment increased from $9,972,815 to $11,198,184.

For many residents, that translates into a larger tax bill at a time when families continue to face inflation, rising utility costs, and economic uncertainty.

The report shows that education and county costs remain among the largest expenditures. Belgrade contributed $7,427,916 toward education and paid $1,300,808 in county taxes during 2025. Together, those two categories account for a significant portion of the town’s annual spending.

At the same time, Belgrade ended the year in a strong financial position. The audit reports:

• $6,607,995 in cash and cash equivalents
• $1,617,332 in investments
• $17,724,728 in total net position
• $2,995,328 in unassigned General Fund balance

The audit specifically notes that the unassigned fund balance was carried forward and “may be used for any purpose.”

While maintaining healthy reserves is generally viewed as responsible financial management, taxpayers may reasonably ask how reserve levels are being evaluated and whether increasing tax burdens are necessary when the town maintains millions in available resources.

The report also highlights that the Town of Belgrade does not currently have a formal fund balance policy. The audit states, “The Town does not have a formal fund balance policy.”

For a municipality managing millions of dollars in reserves, investments, and capital projects, some residents may believe a formal policy would provide additional transparency and guidance regarding reserve targets, future spending, and tax stabilization efforts.

Another noteworthy item is a substantial correction to prior financial statements. Auditors reported that an error was discovered involving accrued sick leave liabilities from a previous year. As a result, beginning net position was adjusted upward by $659,545.

The audit explains:

“In 2025, it was discovered there was an error in the calculation of accrued sick liability included in the accrued compensated absences in the prior year.”

While the correction does not indicate fraud or misuse of funds, it does raise questions that residents may wish to understand better, including how the error occurred, how it was identified, and whether similar reporting issues could exist elsewhere.

The town also invested heavily in infrastructure and long-term projects during 2025. Capital expenditures totaled $2,320,411, including significant investments in roads, infrastructure, equipment, and facilities. Belgrade also issued a $690,000 road bond at a 5.01% interest rate to support road-related improvements and projects.

Additionally, reserves for a future fire department facility grew to $446,555, reflecting the town’s continued planning for future public safety infrastructure.

Overall, the audit paints a picture of a municipality that is financially stable and well-positioned, but also one facing important decisions about taxation, reserve management, long-term planning, and transparency.

A clean audit answers one question: Are the town’s financial statements fairly presented?

For many taxpayers, the larger question remains: How should Belgrade balance rising taxes, growing reserves, and future investments while maintaining public trust and accountability?

Stay Informed About What’s Happening in Belgrade

Town budgets, taxes, development projects, school issues, public meetings, local businesses, community events, and government decisions all directly impact the residents of Belgrade. Staying informed is one of the best ways to ensure transparency, accountability, and community engagement.

For ongoing coverage of Belgrade news, public-interest reporting, community updates, local events, and town government matters, visit and follow the Belgrade Hub on The Maine Mirror:

Belgrade Hub: https://themainemirror.com/belgrade-me-hub/

The Belgrade Hub is part of the larger Maine Mirror Network, a growing network of local community hubs dedicated to connecting residents with reliable local information from towns across Maine.

Explore all active Maine Mirror community hubs here:

Maine Mirror Network: https://themainemirror.com/active-maine-mirror-hubs/

Whether you’re interested in town finances, local government, community happenings, or issues affecting your neighborhood, the Maine Mirror Network is committed to helping Mainers stay informed, engaged, and connected.