MADISON — Voters Monday night gave initial approval of a school budget that would come with a 10% tax increase.

The $11.98 million budget proposal for Maine School Administrative District 59 heads next to the ballot for the validation referendum June 9. Polls in Madison will be open that day from 8 a.m. to 8 p.m. at the Old Point Avenue school, 108 Old Point Ave.

About 35 Madison voters made quick work of approving the budget at the validation meeting held at Madison Junior Senior High School. It took 30 minutes to get through the 19 warrant articles.

The proposed $11,976,837.34 spending plan marks an increase of about 1.49%, or $176,337.34, over the current year.

The portion local property taxpayers fund in the proposal, however, would be set to increase about 10.12%, from $5.45 million to $6 million.

Of that total, $2.79 million are required items under the state’s funding formula, while $3.14 million are considered “additional local” funds that support programs and services not covered under the state funding model.

The increase to the locally-funded portion comes as state funding is expected to decrease from $5.01 million to $4.90 million.

The state’s Essential Programs and Services formula, which will be updated for the next budget cycle after the Legislature revised it this spring, factors in several metrics to determine what a town pays for public schools.

MSAD 59 Superintendent of Schools Ryan Arnold said the driving force behind the decrease in the district’s state allocation is that Madison’s state-determined property valuation has increased significantly in recent years. State data shows the town’s valuation has nearly doubled since 2019.

The state uses a three-year average of a municipality’s property valuation as a factor in the EPS formula, intended to be a measure of a municipality’s capacity to fund schools. Arnold said the three-year average used in this year’s budget is about $494 million.

Declining enrollment in Madison has also contributed to the drop in state funding, Arnold said.

Wages and insurance costs have also increased across the board, Arnold said.

The proposed budget includes using $700,000 in fund balance, down from $1 million this year.

The proposal reflects six cuts to teaching positions, but it adds two positions for a new behavioral program at Madison Elementary School and one for a licensed clinical social worker at the high school.