LEWISTON — Councilors on Tuesday considered the steps they must take to adopt a budget with no tax increase.

Finance Director Heather Hunter outlined budget changes councilors could make that would reduce City Administrator Ed Barrett’s proposed 19-cent tax-rate increase.

Councilors will continue their budget discussions at 6 p.m. Thursday, but on Tuesday they said they appreciated the proposed cuts.

“We have had tax increases over the last couple of years and maybe the time has come to try to hold the line and stay at zero,” Councilor John Butler said. “I hate to say it, but maybe I’m becoming more conservative.”

Barrett presented his draft budget to councilors in March, and they’ve been reviewing department budgets since then. They’re scheduled to wrap up budget discussions by May 1. They have until May 31 to adopt the budget for July 2012 through June 2013, according to the City Charter.

Barrett’s original budget calls for a $1.9 million increase in municipal spending and $762,248 more from property taxes for city operations compared to the current year.

Combined with proposed school and county budgets, it would push property tax collections to $47.6 million and increase the property tax rate by 19 cents per $1,000 of value.

That would increase property taxes by $28.50 on a $150,000 home.

On Tuesday, Hunter showed councilors how to chip away at that increase.

Some changes were simple. New revenue predictions, released since the original budget was presented, show an additional $58,000 coming to the city.

Others involved cuts, including an $8,000 thermal-imaging camera budgeted for the Fire Department, new $5,600 banners for the Lewiston Public Library and cuts to paving projects and other Public Works funding.

Budget work has been complicated by changes in the way the state handles welfare. Cuts to Temporary Aid to Needy Families will send many to the city’s General Assistance program, Barrett said.

Combined with other state policy changes, Barrett said he expects the city to spend an additional $580,000 in General Assistance, with $99,367 paid with property taxes.

“Even without the state’s policy changes, we would have had a moderate increase in the budget,” Barrett said. “But because of those program changes, that amount has been impacted considerably.”

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