Case Title: Berkshire School v. Town of Reading

Citation: 172 Vt. 440, 781 A.2d 282

Docket Number: 

State: vermont

Court: Vermont Supreme Court

Date: 2001-08-24T00:00:00Z

Document:
Berkshire School v. Town of Reading (2000-398); 172 Vt. 440; 781 A.2d 282

[Filed 24-Aug-2001]

       NOTICE:  This opinion is subject to motions for reargument under
  V.R.A.P. 40 as well as formal  revision before publication in the Vermont
  Reports.  Readers are requested to notify the Reporter of  Decisions,
  Vermont Supreme Court, 109 State Street, Montpelier, Vermont 05609-0801 of
  any  errors in order that corrections may be made before this opinion goes
  to press.

                                No. 2000-398

Berkshire School	                         Supreme Court

                                                 On Appeal from
     v.	                                         Windsor Superior Court

Town of Reading	                                 June Term, 2001 

Alan W. Cheever, J.

Christopher K. Rice of Wilson & White, P.C., Montpelier, for Plaintiff-Appellee.

Kimberly L. Carboneau of Boylan & Richards, P.C., Springfield, for 
  Defendant-Appellant.

PRESENT:  Amestoy, C.J., Morse, Johnson and Skoglund, JJ., and Cook, D.J., 
          Specially Assigned

       JOHNSON, J.   For the second time this term, we are confronted with
  the issue of whether  our property tax exemption statute, 32 V.S.A. §
  3802(4), contains a use requirement.  Appellant  Town of Reading appeals
  from a decision of the Windsor Superior Court granting taxpayer  Berkshire
  School an exemption from property taxes under § 3802(4) for a parcel of
  land the school  owns in the Town of Reading.  The court held that under
  the exemption, ownership by a school is the  only requirement.  We reverse.

       The Berkshire School is a non-profit corporation that operates an
  accredited private high  school in Sheffield, Massachusetts.  In November
  1998, a 212 acre parcel of land in Reading, 

 

  Vermont was donated to the school.  The land is undeveloped.  The parties
  agree that  although the school plans to use the property for a student
  mountain program and environmental  science classes, there is no current
  educational use of the land.

       At issue in this case is the status of the land for the purpose of
  property tax assessments.  The  school argues that the property falls
  within the exemption for "lands owned or leased by colleges,  academies or
  other public schools" in § 3802(4).  The Town contends that this statute
  requires the  land to be used by the school for an educational purpose and
  that mere ownership is not enough to  qualify the parcel for the exemption. 
  The case arose when the Town appraised the property at  approximately
  $250,000.  The school grieved the appraisal to the Board of Listers and
  then to the  Board of Civil Authority, on the grounds that the property was
  tax exempt.  After decisions in both  those bodies reduced the taxes, but
  denied the school the tax exemption, the school brought the case  to
  superior court.  On cross-motions for summary judgment, the court held that
  there was no  educational use requirement in the statute.  Previous
  discussion of a use requirement for the  exemption, in this Court's cases,
  were dicta, according to the court.  On appeal, the Town argues that  the
  court misread our precedent on this exemption, which establishes a use
  requirement, in addition  to an ownership requirement.  Berkshire School
  counters that the plain language of the statute  indicates that ownership
  alone qualifies a property for the exemption.

       In reviewing a motion for summary judgment we apply the same standard
  as the trial court.   Summary judgment is appropriate when the record
  demonstrates that there is no genuine issue as to  material fact, and the
  moving party is entitled to judgment as a matter of law.  Guiel v. Allstate
  Ins.  Co., 170 Vt. 464, 467,