NORWAY — Town Manager David Holt told the selectmen at their Thursday meeting that despite a stable tax rate over the last four years, there is no easy answer to keep that rate stable in the future.

“The tax rate has remained stable for the past four years. Even though revenues have been declining, the selectboard has been able to keep the tax rate very stable. That becomes more and more difficult,” he said.

Holt said declining and unpredictable revenues such as excise taxes, general assistance and revenue sharing have made the future “challenging and difficult” as town officials begin developing a new fiscal year budget that will begin July 1, 2011.

Revenue sharing has decreased nearly $65,000 in the past four months, he said. Excise tax collection has also decreased almost $10,000 from last year, and General Assistance needs have risen $18,000 over last year’s numbers.

“That adds up to $100,000 not in the town’s favor in the past four months. Multiply that times three and that’s why we worry when the economy goes bad,” Holt explained.

Additionally, the town manager said, the Maine Municipal Association is circulating information about mandates — statutorily required municipal services in Maine — towns must adhere to but which come with costs to the town.

They include schools, roads and public works, land use and environmental protection, public health and safety, administrative and general government and others.

Taxes must pay for such programs as No Child Left Behind, a federally required annual student assessment, and Learning Results, a state required assessment. There are also special education mandates, maintaining public roads, inspecting buildings, caring for animals, registering vehicles, complying with the Americans With Disabilities Act and other expenses.

“Our hope now is that a new governor and a new Legislature will look at these mandates with a new eye,” Holt said.

[email protected]