Saco Voters Approve $80.4 Million Budget

Strategic Insights -

Saco voters overwhelmingly approved the proposed $80.4 million combined municipal and school budget during the June 10 municipal election, with 708 in favor and 209 opposed. The budget represents a significant increase of $6.8 million, or 9.2%, over the current budget, driven largely by costs associated with salaries and benefits to employees. The tax rate is expected to increase to $14.20 per $1,000 of property value, resulting in an annual tax increase of $63 for a median single-family residential home valued at $420,000.

Key Takeaways:

  • The $80.4 million budget represents a 9.2% increase over the current budget, driven by a 72% increase in costs associated with salaries and benefits to employees.
  • The tax rate is expected to increase to $14.20 per $1,000 of property value, resulting in an annual tax increase of $63 for a median single-family residential home valued at $420,000.
  • The 15-cent increase is below the rate of inflation and 55 cents lower than the $14.75 property tax rate set in the 2024 fiscal year.
  • The primary cost driver of the new budget is costs associated with salaries and benefits to employees, including adjustments to bring union wages in line with market value, cost of living adjustments for non-union jobs, four new positions, and anticipated increases in benefits costs, such as health insurance premiums.
  • The budget also includes funding for a seacoast resilience project, a Ferry Road culvert replacement, and funding for the Dyer Library and Saco Museum.

Statistics:

  • 708 voters in favor of the budget
  • 209 voters opposed to the budget
  • $6.8 million increase in budget, representing 9.2% over the current budget
  • $14,200 tax rate per $1,000 of property value
  • 63 annual tax increase for a median single-family residential home valued at $420,000
  • 72% of budget allocated to salaries and benefits to employees
  • 15-cent increase in property tax rate, below the rate of inflation
  • Anticipated increases in benefits costs, including health insurance premiums

Sources:

  • City of Saco release
  • Portland Press Herald (Portland, Maine)
  • Tribune Content Agency, LLC (Saco, Maine)