NEW GLOUCESTER – Reviews of the proposed $3,514,688 budget began Monday.

Overall town expenditures for the coming fiscal year are up by less than 1 percent, and non- tax revenues are up by 1 percent, according to projections.

Town Manager Rosemary Kulow told Budget Committee members that $115,000 is included in a new account to pay for a law enforcement contract. If voters approve the new account, it will not raise the town’s share of the tax rate.

The town just completed a townwide revaluation. The Pineland property will be revalued by a commercial firm this spring.

The budget includes no more than a 5 percent raise for employees and cost of living increase on July 1 with additional merit increases available based on performance.

The budget includes $6,000 for recognizing volunteers and $3,000 to recognize employees at a Christmas dinner and a summer picnic.

Also, a new plan calls for paying for contracted services to administer the General Assistance Program.

Roughly $325,000 is expected in taxes from October Corp. as part of the Pineland Tax Increment Financing plan. That TIF, set up by the town, allows all taxes paid by October Corp., the real estate arm of Libra Foundation of Portland, to be sheltered.

More than $50 million was spent turning the sprawling property for former state institution for mentally handicapped people into a privately-owned multipurpose development of commercial, agricultural, educational and recreational enterprises.

Estimated revenues of $2,137,615 are expected to lower taxpayers contribution to $1,179,809.

The budget panel approved the following accounts Monday: selectmen, $21,050; administration, $212,959; general assistance, $18,000; municipal building, $42,560; elections, $3,200; tax assessment, $65,334; code enforcement, $47,310; insurance, $216,000. Also, fire department, $120,100; public safety (dispatch), $21,900; highways, $524,600; paving, $190,740; solid waste, $$166,050; library, $61,713; water resource, $880; Conservation, $200; and Planning at $45,115.

Reviews will continue at 6:30 p.m. March 17 at the Lower Gloucester Fire Station.

Selectmen will hold a public hearing on the budget in April.

Voters will be asked to approve it in early May.