MINOT — Selectmen set the property tax rate Monday at $15.85 per $1,000 of property value, a 45-cent increase from last year.

The new rate was recommended by Town Administrator Danielle Loring and Denis Berube, tax assessor agent from John D. O’Donnell & Associates.

Loring also asked selectmen if a policy for using undesignated fund balance should be created. She said the tax auditor believes the balance should be 10 percent of total town appropriations, plus three months’ worth of expenses.

Selectmen voted to hold a public hearing at 6 p.m. Sept. 10 to discuss the disposition of the Engine 8 pumper. It’s more than 20 years old and needs repairs estimated to cost more than $17,000.

Selectman Daniel Gilpatric said the “dependability” of the pumper will continue to be a concern, even if the repairs are done, because of parts and electronics on such an old truck.

Loring said the amount of Homeland Security grant money available for security devices, town buildings and equipment is only $2,400. The amount of Homeland Security grant money needed for for items on a wish list she and Fire Chief Jim Allen compiled amounted to $21,000.