MEXICO – Selectmen have set aside a significant portion of their meeting Tuesday to look at cuts in the 2004-2005 operating budget.

A deficit of about $300,000 has been estimated, although the board won’t know the precise figure until the final audit is presented.

In past meetings, the board has eliminated selectmen salaries, and cut the purchase of a new police cruiser.

On Tuesday, each department head is expected to present a list of areas where spending freezes can be put into place through the end of the fiscal year on June 30.

David Errington, assistant to the town manager, said heads of the fire, police, highway and recreation departments are expected to make presentations, and there will be a similar presentation for town office spending. Those who can’t be there are expected to present suggestions to Town Manager Joseph Derouche or Errington before the meeting.

Board Chairman Arthur Bordeau said the selectmen are also making a list of potential cuts or spending freezes.

“We hope to have some concrete ideas that we’ll go with in effect no later than Jan. 1,” he said. “We don’t know how much to cut, but we know we need to cut.”

Although no jobs have been slated for elimination during budget discussions at the board’s last few meetings, suggestions about reducing several full-time jobs with benefits to part-time without benefits have been proposed.

Other suggestions, so far, include a reduction in the number of street lights. The board is also looking into starting talks with neighboring Dixfield for a possible merger of the two towns’ police departments.