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Blethen Maine News Service Sunday, March 11, 2007

In its second year, a state law aimed at controlling local taxes worked for Palermo -- a little bit.

As soon as voters at Saturday's town meeting approved the $2.1 million school budget, which is not covered by the legislative cap on spending from local property taxes, resident Darryl Mc- Kenney moved to take the article authorizing voters to exceed the spending limit out of order.

Selectman Harry Dean Potter said if voters approved every fund request , they would break the $293,785 limit by $37,873. On a ballot vote, authorization to exceed the limit was denied, 27-34.

Voters then turned down the selectmen's request for $1,000 to start a capital projects fund and reduced other proposed expenditures by small amounts.

Nonetheless, they went over their limit by appropriating $24,000 for insurance, with more spending requests to come, notably contributions to out-of-town social service agencies. That article, totaling $11,672, took 45 minutes. Ultimately, voters gave at least part of the requested contributions to seven agencies, for a total of $6,751.

When the spending limit article was reached again, expenditures were over by $25,766, by Potter's calculation. A motion to reconsider it was approved, 26-16, and the limit was raised by $26,000.