By Ellie Fellers,Special to the Sun Journal

NEW GLOUCESTER – Only one person attended the town budget hearing Wednesday when a $3,778,952 proposal for fiscal year 2006-07 was presented.

John Randall was told that fuel purchases for the municipality come from a variety of sources, and prices fluctuate from day to day. Heating oil is currently purchased in a two-year contract directly negotiated with Irving Oil Corp.

The budget calls for raising $870,557 from taxpayers, and revenues totaling $2,303,375.

Selectmen authorized using $605,000 from an undesignated fund balance to offset taxes and keep the tax rate down.

The municipality’s assessed value has risen $45 million.

Town Manager Rosemary Kulow said in a report that fixed costs have risen out of control, and there is pressure for town services because of increasing growth.

“We are forced to utilize the town’s undesignated fund balance more than usual,” she said.

“The total municipal budget expenditure for fiscal year 07 increases by 18.1 percent or $654,910 over fiscal year 06. The 11 percent increase in total town valuation, a 5 percent increase in county budget, but no increase in the SAD 15 budget will bring the projected tax rate close to $9 per $1,000 of assessed property value, representing yet another decrease in the town tax rate, Kulow said.

The proposal will go to voters on May 3 at the annual town meeting.

The following requests are proposed: administration, $251,971; general assistance, $21,800; buildings and grounds, $52,800; legal, $25,000; insurance, $205,000; fire department, $137,600; emergency management, $1,900. Also, planning, $46,600; code enforcement, $51,765; tax assessment, $69,150; library, $46,600; recreation, $12,000; cemeteries, $9,000.

Other budgets include animal control at $12,250; tree care, $7,290; capital reserves, $380,000; capital improvements, $839,250; solid waste, $188,610.

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