AUBURN – Property taxes will be based on a 100 percent property revaluation this year, councilors agreed Monday.

The decision won’t mean a short-term break for residential taxpayers, most of whom will see tax bills increase an average of $282, but it will keep the city legal.

“I’ll do anything I can to help the taxpayers,” said City Councilor Dick Gleason. “That’s one reason why I was elected. But in the end, we have to comply with state law, and that’s what we are doing now.”

Assessments based on full fair market property values will increase property tax bills by an average of $282 for 76 percent of the city’s homes. Taxes would increase $613 for 12 percent and go down $230 for 12 percent.

More than half of Auburn’s businesses would see tax bills drop by an average of $1,377 under a full revaluation.

City Assessor Cheryl Dubois said she will finish work on the city’s tax assessment by the end of July and tax bills based on it should be mailed toward the end of August.

“It does make my job easier now,” Dubois said. The decision completes the controversial citywide valuation saga that began in the fall 2005.

Councilors unveiled a revaluation in October 2005 that showed property values doubling for many residential homeowners. That ignited a taxpayers’ revolt, with hundreds of citizens attending council meetings for the first time in years.

Councilors decided to soften the revaluation’s effects by phasing it in. They set residential values at 80 percent of market value, but kept nonresidential values near their full market price. Those included large and small businesses, vacant lots and large multifamily residences.

Dubois said that left the city open to complaints that new assessments were unfair, favoring residential taxpayers over businesses.

“The state law requires equity, and that means taxpayers of all kinds are taxed in a fair, equitable manner,” she said. Four Auburn businesses have requested abatements based on that valuation plan.

Dubois said councilors could feel safe setting residential values at 90 percent and business values at 100 percent. Under that plan, homeowners’ taxes would have increased, but less steeply. It would have meant about $170 less on their tax bill this year. Many businesses would have seen their taxes go down compared to last year, but not as much.

But Gleason said he didn’t want to chance further abatements or more formal challenges, such as a lawsuit. Most people attending Monday’s meeting applauded that decision.

“As much as increasing taxes is something I hate to do, it is clear to me that doing anything less means we can be sued,” he said.

Ron Potvin, of 82 Northern Ave., said he talked with many Auburn residents who challenged him for supporting the full revaluation.

“They asked why I supported it, and I told them that it was the right thing to do,” Potvin said.

Councilors were not unanimous, however. Councilors Bob Mennealy and Robert Hayes voted against the full revaluation.

“I agree with anything that gives some help to residential taxpayers,” Mennealy said.