Lanesborough Board Expects $500,000 Tax Shortfall After Berkshire Mall Dispute

LANESBOROUGH — August 11, 2025 — Lanesborough Select Board plans to exclude roughly $500,000 in expected Baker Hill Road District payments from its tax recap, likely raising property tax bills this fall. The board held a joint session Monday with the Finance Committee to address the shortfall stemming from JMJ Holdings' failure to pay Berkshire Mall property taxes for fiscal years 2024 and 2025, with Baker Hill Road District attorney Mark Seeger disclosing active litigation seeking $545,000 for FY24 and a second suit pending for a similar FY25 amount. State Division of Local Services representative Matt Andre told Town Administrator Gina Dario not to count the funds as estimated receipts if collection is uncertain, and town counsel attending remotely concurred: "I think that that is probably the best course of action to believe that you are not going to be able to collect this." The board reached consensus without a vote to exclude the funds from the recap, meaning the gap will be raised through taxation, with any recovered funds flowing back as free cash. In separate action, the board voted unanimously to authorize a formal letter to state Representative John Barrett and state Senator Mark requesting an additional $2.5 million for the proposed $7.4 million joint police and EMS station — a grant that, if secured, would cut the town's projected annual debt service from roughly $370,000 to approximately $198,000.