HANOVER – Selectmen on Tuesday night unanimously went on record against the so-called Palesky tax-cap referendum.

Residents will have a chance to discuss the Nov. 2 referendum at the annual town meeting Oct. 26.

Town Clerk Clem Worcester said selectmen estimated a $72,000 reduction in the town’s municipal and school budget if the tax-cap proposal passes. That’s nearly 22 percent of this year’s budget of about $330,000.

Passage of the proposal could mean major reductions in municipal services, such as closure of the new town office, fewer hours for town officials, and the addition of fees for taking garbage and recyclables to the transfer station, Worcester said.

Worcester said that although selectmen recognized a problem with high property taxes, suggestions were made that perhaps some towns could reduce wasteful spending. He said another selectman also objected to having the tax rate set by referendum, adding that each town should be able to set its own tax rate. This year’s rate is $15.80 per $1,000 valuation.

Worcester said selectmen decided to add an article to the annual town meeting warrant that will allow questions and comments by residents and give selectmen a chance to explain the proposal’s impact.