DIXFIELD – Voters will act on a 38-article warrant representing a municipal budget increase of just over 1 percent at the annual town meeting at 6 p.m. May 29 in the T.W. Kelly Dirigo Middle School gymnasium.

The proposed municipal budget of $1.99 million is up about $45,000 from this year’s figure.

Besides proposed budget figures, voters will also be asked to take at least $18,000 from surplus to pay for overdrafts incurred by the highway department during this fiscal year.

At Monday’s board meeting, Selectman Brenda Turbide motioned to place the overdrafts request on the warrant as a way to insure accountability.

As of Monday night, the highway department has spent $18,000 more than was raised at last year’s annual town meeting. That figure will rise because the town’s fiscal year ends on June 30.

Newly appointed Town Manager Thomas Richmond, who attended his first selectmen’s meeting Monday night, was directed to learn why and how the overage occurred.

And although the warrant figure, if everything is approved as recommended by selectmen, will not exceed the state-imposed tax cap, selectmen also agreed to place a question before voters asking for permission to go above the tax cap near the beginning of the warrant.

As the budget stands now, Richmond said it is about $34,000 below what the state would allow. But things could change if voters decide to raise more than is requested at the annual town meeting.

Although Richmond isn’t sure what the tax rate per $1,000 valuation would be if all articles are approved, he said it will likely be about the same as this year’s – $29 per $1,000 valuation.

Besides acting on about three dozen money articles, voters will also elect several Finance Committee members, Ludden Memorial Library trustees, Water Advisory Committee members, and a member of the Ione Harlow Scholarship Committee.

Also set to go before voters is action on a new comprehensive plan and acceptance of a road known as Rocky Ridge, which is part of the Towle House Estates subdivision.

Municipal officers and SAD 21 school board members will be elected during the state referendum balloting on June 12.