Reversing a two-year trend, Gorham homeowners will have to dig deeper to pay their property tax bills, as the town council Tuesday night passed a $40.4 million budget that represents a 6.7 percent hike.

The figure includes an $11.7 million municipal budget and a $28.7 million school budget.

Town Finance Director Maureen Finger said the estimated tax rate would be $20.71 per $1,000 of valuation. It jumps up $1.31 over the present $19.40 per $1,000. The increase would raise taxes on a home valued at $200,000 by $262 a year.

The tax rate had declined the past two years from $19.50 in 2005-2006 and $20 the previous year.

Sliced from the school budget was $627,730. Superintendent Ted Sharp said he expected a cut before the meeting. But, he said, “no existing personnel” would lose their jobs.

“We have to look at how much people can bear,” said Norm Justice, chairman of the town council.

Advertisement

In a joint workshop with the town council in April, the school department asked for $29.4 million, which represented a $1.7 million increase over the current budget. Gorham schools expect receiving only $172,000 more this year in state subsidy. The proposed increase would have increased the tax rate $1.52 per $1,000.

Jay Daniels of West Gorham spoke at the public hearing Tuesday and urged municipal and school budget cuts. “I’m not interested in absorbing a tax increase,” Daniels said.

Burleigh Loveitt, vice chairman of the town council, said he was uneasy passing the requested school budget without knowing what the future would be. Loveitt feared a $1 million increase each year.

“We’re at the end of the wiggle room on the tax rate,” Loveitt said.

Following a school committee meeting Monday, the department trimmed its earlier request by $506,000, to $28.9 million, which would have added 99 cents to the present tax rate.

But on Tuesday, Town Councilor Mike Phinney made an amendment, further reducing the school department request by $121,000.

Advertisement

Town Councilor Jane Willett thanked the school committee for its reduced request. “I have trouble going beyond that,” Willett said.

Jim Hager, chairman of the school committee, said Wednesday the state is not keeping its promises to support education. “The state has reneged on its obligation to support education in regards to LD 1,” Hager said Wednesday.

But Hager understood the council’s reluctance to further increase the burden on Gorham taxpayers to support education. “There was no discord between the council and school committee as there had been in the past,” Hager said.

Hager expected the request cut to wipe out a $300,000 slate of new initiatives, which would have included $48,000 for a high school social worker and $55,000 for a gifted and talented teacher. Other expected cuts would be $100,000 for textbooks and $110,000 in capital improvements and maintenance.

He said repairs to gym and stage floors at the high school are both out.

On the town side, Town Councilor Brenda Caldwell said Gorham fire and police are understaffed. The town approved $58,000 to hire an additional combined emergency medical technician and firefighter.

Gorham has a committee studying the public safety department, and Loveitt proposed an amendment to add $400,000 for a public safety reserve account. Loveitt wanted the money available to implement findings of the study. But Loveitt’s proposal was first trimmed to $340,000 then to $200,000.

The council also authorized $85,000 to train and equip a new police officer. It would allow an existing officer to be assigned to the federal Drug Enforcement Agency.