LEWISTON – Property values may be up, but declining revenues could lead to higher property taxes.

City Administrator Jim Bennett said current forecasts call for $30 million in new taxable property in Lewiston. The city won’t know its overall value until June.

But that increase is being offset by a drop in nonproperty tax revenues. Those look to be down $567,310 for 2008, compared to the current budget.

The end result could be a 10.9 percent property tax increase.

“It explains how our spending is only up 6 percent, but our taxes look to be up 10 percent,” Bennett told city councilors during a budget review workshop Tuesday night.

Councilors will continue budget discussions at a special Thursday meeting on April 5. Lewiston’s department heads and managers will be on hand to explain their budget requests. Bennett expects councilors to begin looking for ways to trim the budget on April 12. They need to adopt a spending plan for the city by May 22.

Declining highway money leads the nonproperty tax revenue shortfall. Finance Director Dick Metivier said state estimates show Lewiston getting $139,000 less than last year.

“Combined with more expensive road work, that means we’re going to be paying more in property taxes to pave fewer roads this year,” Bennett said.

Metivier also pointed to a $50,000 decrease in state revenue sharing.

City fees and fines are also down. Trash collection fees for apartment buildings should be $170,000 lower than the current year, and traffic fines are down $30,000.

The big question is school aid, and Bennett said he does not expect much help from the state there.

“Based on the estimates I’ve seen, we’re going to have to pay more in property taxes to get our share of aid from the state,” he said.