AUBURN – A tax-limiting ballot issue could put Maine cities and towns in a time crunch, according to Mayor Normand Guay.

The proposed Taxpayer Bill of Rights would require cities and towns to put many spending issues out for a referendum vote. Waiting for that vote could force some city decisions to be put on hold.

“We don’t always have the information this would require of us by the time we need to pass the budget,” Guay said Monday at a special city council workshop meeting. “We normally adopt a budget in June, and it begins in July. Under this, I could see us not settling on a budget until August.”

Guay and councilors hosted an informational session with Patrick Scully, acting city attorney and general council for the Maine Municipal Association regarding the TABOR. Lewiston Mayor Lionel Guay, Lewiston Councilor Ron Jean and City Administrator Jim Bennett also attended the meeting.

“I think the problem we have is not here, at the municipal level,” Normand Guay said. “I think the problem with taxes is at the state level. I don’t think this addresses the state. It puts the limits on cities.”

Scully outlined his legal interpretation of the tax and spending limiting legislation. It limits both spending and municipal revenue. Cities and towns cannot increase their revenue or tax rate without two votes, under TABOR. The first is a two-thirds majority of the governing body – the city councils in Lewiston’s and Auburn’s cases, or at a town meeting for a small town. Then, voters need to approve the increase at the next general or special election.

Spending increases would be limited to either the amount assessed property values increase or to a combination of population and cost of living increases. A city would be able to change its spending based on whichever is less, Scully said.

Bob Stone, a Lewiston resident and TABOR-backer, disagreed with Scully over whether TABOR could force cuts in city budgets. Scully said it could, if property values increased or populations decreased.

“That’s not the way I see it at all,” Stone said. “The way I understand it, if a city does not increase spending, TABOR is silent. It does not force cuts.”