The Town Council got its first look at the Town Budget on March 30 and will begin discussion about it at a workshop on April 5. “Every town department is asking for more help as the town grows,” said Town Manager Ephrem Paraschak, but, “my immediate priority is to keep taxes down while providing reasonable municipal services.”
As property values increase, state education funding can decrease and Gorham expects to lose $1.2 million dollars in state education funding next year. The Town’s property value is approximately $1,623,000,000 and the Town has been adding over $20 million in new property value every year for the last several years. Even though the Town is growing, the added property value will not equal the amount cut by the state in education funding.
This year Paraschak expects to potentially see a small increase on the Town side but expects a substantial increase on the school side with an increasing number of students in town and the cuts in state aid. Along with numerous new homes being built annually, and steady growth, older people may move to smaller homes thereby selling their homes to families with school aged children, further increasing the demand on the school department.
Due to increased enrollment, Gorham High School, and at a minimum one elementary school, will need portables. In addition, an evaluation of the needs of Gorham High School in the coming years shows that extensive work is needed there. Those costs will be paid for by Gorham residents as the State of Maine only subsidizes a limited number of schools, and all of those on the subsidy list are in much worse condition than Gorham High School.
The increasing enrollment issues are not just issues in Gorham. Other area towns are facing similar problems with Falmouth looking at a 5.7% school tax increase, Cape Elizabeth a 3.5% increase, and Yarmouth a 4% increase.
Going forward, Gorham may consider an impact fee for new housing and is looking to expand the business district, particularly in South Gorham, as potential ways of moderating future tax increases.
Voters will go to the polls in early June to approve the school budget.