VEAZIE, Maine — If recent projections hold true, Veazie residents could see their tax rate climb by a little more than 9 percent in the next fiscal year.
Town Manager Joseph Hayes said Friday that he estimates the mill rate will climb from $19 per $1,000 of property valuation to $20.75.
“That’s not very good news,” Hayes said.
Veazie’s proposed school budget for fiscal year 2012-2013 increased $401,000 over the previous year’s.
Hayes said the town has received less money from the state this year, and other revenue streams, such as the excise tax, have dropped off.
The RSU 26 school budget also has increased this year, and the three towns in the district, Veazie, Glenburn and Orono, will have to cover some of that cost.
During a May 29 school district budget meeting attended by about 60 people from the three towns, residents voted to add $265,000 to the board’s recommended budget, making the total budget roughly $21.8 million — an increase of about $480,000 over last year’s budget.
In recent years, Veazie and other communities in the area, such as Old Town and Glenburn, have been dipping into existing fund balances to keep tax rates stable, but those balances have dried up. That means any increase in the budget has to either be paid for through a tax increase or cuts to already slim budgets.