Small towns warn distribution changes could 'crush' municipal budgets; EDIT payments flagged

Aug 18, 2026

Officials from small towns including Selma told the task force that modest LIT reductions would substantially harm operations. Participants noted an existing EDIT distribution that provides $50,000 annually to each small municipality and urged the task force to account for those funds and other local obligations.

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Representatives from small towns cautioned that redistribution under the new LIT system could sharply reduce revenues for small municipalities whose budgets are already tight.

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