When it comes to Damariscotta's tax base, approximately 17 to 18 percent is off limits.

And soon there will be a discussion about that.

The Damariscotta Board of Selectmen met Wednesday, Dec. 3 to decide whether or not to appoint a member to a board that will look at tax exempt properties and entities.

Rep. Mick Devin, D-Newcastle, will host a forum on Jan. 23 at 8 a.m. at Skidompha Library addressing the issue of non-taxable entities and other properties that have effectively been taken off town tax rolls.

For Damariscotta's 2015 fiscal year, it has a total assessed value of $330 million of which $64.5 million was exempt (source: town of Damariscotta).

The board had previously discussed how several non-taxable entities had used town resources, which are typically paid for by property taxes.

Miles Memorial Hospital used to pay a sum each year in lieu of taxes, but selectman Jim Cosgrove said those payments were curtailed during a tough economic stretch. Several entities involved with Miles still pay taxes.

Town manager Matt Lutkus said several nonprofits and non-taxable entities have used town resources, and in some cases, quite often.

“I think it is an issue, especially when (non-taxed entities) use local government services,” Lutkus said.

In the past, Damariscotta has sent police officers to the hospital campus to deal with unruly patients, which had been brought before the board before.

With more and more properties being used by non-taxable entities, it could eventually mean a higher tax burden, selectmen, David Atwater said.

“One problem we face is that when someone donates a piece of property along the river, or Blue Haven decides to buy a piece of property in town, that erodes our tax base,” Atwater said. “While at the same time, we don't seem to be expanding the tax base.”

Cosgrove urged a patient approach, however, and said that there were other considerations to remember.

“I don't think we can look at this issue as being a black or white situation,” he said. “Think of all the people the hospital employs, and the $2 million in charitable care they give to the community. So it's much more complicated than saying they should pay this amount.”

According to the Maine Center for Workforce Research and Information, LincolnHealth is the only entity in the 500 to 1,000 employee bracket in Lincoln County. That total doesn't include other services at the Miles campus, including Cove's Edge.

Cosgrove, who is the Vice President of Newcastle Square Realty, said the money generated by some of the non-profits was almost intangible to the town, because having access to healthcare positively effected Damariscotta's property values.