Town Manager Jack Turcotte on March 16 presented councilors his proposed $25 million budget. The budget is 2.49 percent, or $467,323, higher than the current budget and includes an estimated $400,000 increase in the town’s contribution to Regional School Unit 23. The exact contribution to the school district, which encompasses Saco, Dayton and Old Orchard Beach, has not been determined.

The proposed budget would increase the tax rate $1.01 per $1,000 valuation. Turcotte said the council could use $618,000 from the undesignated fund to reduce the impact of taxes.

Turcotte proposed eliminating the assistant town manager position; reducing the finance and planning departments by one position each; eliminating two half-time positions in code enforcement and assessing; and cutting an assistant in public works and receptionist in the recreation department.

The proposal also includes two-thirds reduction of a police administrative position. The assistant finance position could be eliminated and that staff member could become director of human resources and an administrative assistant.

“This budget has fewer employees and more employees multi-tasking,” Turcotte told councilors.

Turcotte’s budget proposal includes the addition of a second-shift night office manager in the police department and $25,000 to the recreation department for salaries to manage Ballpark operations. He did not propose changes to parking enforcement but did include a $17,000 increase for parking lot attendants. He also budgeted for staffing at two public restrooms and suggested the town charge a fee to offset the $52,000 expense paid in the past two years for vandalism repairs.

Turcotte told councilors the revenue side of the budget is “frustrating” and is heavily influenced by a revenue shortfall. The total budget decrease on the revenue side is $1.09 million.

Finance Director Jill Eastman said the revenue shortfall is due in part to decreases in revenue from the state and decreases in the amount of interest earned on investment income. Last year, $519,000 in rescue billing fees was used to cover costs of a new ambulance, two new police cars and debt service on the new police station. This year, $245,000 in rescue billing fees will be used to cover debt service and purchase of one police car, she said.