WINSLOW — Taxes will stay flat during the next fiscal year after some last-minute juggling by town councilors.

After nearly 25 minutes of debate Monday night, the council approved, 6-1, the first reading of an amended budget for fiscal year 2013. The councilors did not reduce the proposed amount of the budget — $20.6 million — rather, they amended how they would pay for it.

Also at the meeting, councilors selected the least expensive option for a police department renovation.

The original budget proposal called for an average tax increase of $69 per resident based on an average home valuation of $137,500. It would have been the first tax rate increase since 2008, when it was set at 15.50.

Through debate, however, an idea emerged.

First, Chair Gerald Saint Amand acknowledged tough financial circumstances — the town is facing the loss of about $298,000 in state subsidies, he said.

“We’ve never had a year like this, with a loss of revenues of this degree,” he said.

Councilor Raymond Caron said the town needed to hold the line against a tax hike. He suggested the council dip into surplus or reduce the education budget rather than raise property taxes. By keeping taxes flat, it “sends a signal to who want to move into this town that we’re doing due diligence … I think that makes us inviting, ” he said.

Councilor Cathy Nadeau argued that the budget couldn’t be trimmed further without taking a toll on services. Even with an increase, Winslow would remain a low-tax town, she said.

Then, Councilor Kenneth Fletcher made a tentative announcement.

“I think there’s a way we can do it,” he said.

Fletcher asked the council to consider short-term financing of a capital project, instead of paying it outright. The project — a proposed $624,000 expansion of the police department — could be paid over two years instead of one, he said. The first half would come out of the budget, and the second half could be paid from a loan at roughly 3 percent interest, or about $9,000 in additional spending. His reasoning was simple, he said.

“Once we raise the mill (tax) rate, I don’t think we ever take it back down,” he said.

Nadeau said holding taxes steady for another year might result in a drastic increase next year.

“I’d rather hit them a little bit than a lot,” she said

Saint Aumand said Nadeau had a legitimate concern.

“We’ve been in both scenarios before in this town when we’ve refused to raise the mill rate … and had to have a serious increase in the mill rate in the following year,” he said.

Six councilors voted to approve the amended budget. Nadeau was opposed.

The council will take a second vote on the budget on May 14.

Police station upgrade

Earlier in the meeting, councilors debated three options for expansion and renovations to the police department, and opted for most modest proposal.

The first option called for a single-story addition for about $624,000.

The second option, for $645,000, called for the same single-story addition, plus excavation to lower the elevation of the building site, which would allow for a second-story expansion at a later date.

The third option, $728,000, called for a two-story addition, but only the first-floor would be finished and furnished. The second floor would stay unfinished and dormant until funds were available to complete it.

Councilor Paul Manson argued for the third option. It was ultimately the most cost-effective choice, and it is the right thing to do, he said.

“Our town employees deserve a little more respect from us as a council,” he said. “Let’s bite the bullet and go with the second floor.”

Councilor Jerry Quirion questioned whether the proposed design was truly necessary. Chief Jeffrey Fenlason said it was.

“We did not put a lot of exorbitant things into this new station; but, it is a big improvement,” Fenlason said. “I feel we’re going to utilize every square inch of it.”

Fletcher said the council authorized the department in September to seek designs, but some of the options overstepped their intent for modest expansion.

Nadeau said it is better to add the second floor now and leave it unfinished, rather than eliminate the possibility by choosing the lowest-cost option.

Before the vote, Saint Aumand said any decision could prove divisive within the community.

“I think we’ll have both praise and criticism from different members of the public,” he said.

Ultimately, the council voted 4-3 for the first option — a single-story addition for about $624,000, with no room to grow upward. Councilors Manson, Nadeau and Saint Aumand opposed.

Ben McCanna — 861-9239

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