Maine voters have rejected a referendum that would have placed limits on increases in state and municipal government spending and taxes.

David Crocker, chairman of the Taxpayer Bill of Rights campaign, conceded the race at 10:30 p.m.

The measure would have held government spending increases to the rate of inflation plus population growth, with voter approval required to exceed those limits.

Supporters said government spending needs to be reined in to attract jobs and give people more money in their pockets. Critics said the measure took away local control and would cut funds for schools, roads and police and fire departments.

In unofficial results, the referendum was failing 60 percent to 40 percent with 38 percent of precincts reporting.

Phil Nadeau, acting city administrator for Lewiston, said he was surprised, but pleased with the TABOR vote.

“I think people believed there could be unintended consequences at the local level,” he said.

Chip Morrison, president of the Androscoggin Chamber of Commerce, which supported TABOR, said he wasn’t disappointed by the vote.

“I think we need spending limits, we just haven’t found the right one yet; we will,” he said.

Voters in Lewiston rejected the measure, with 6,964 casting ballots against, and 5,094 in favor. Auburn residents voted 4,848 against, 2,964 in favor.