Old Orchard Beach begins budget process

The Old Orchard Beach budget season has begun.

Town Manager Diana Asanza presented a proposed fiscal year 2026 budget at Tuesday night’s Town Council meeting.

The proposed municipal budget, combined with current projections of the school department budget and county taxes, would increase the mil rate an estimated .51, from 10.88 to 11.39.

The suggested municipal operations portion of the budget would increase nearly $1.65 million from nearly $23.8 million to $25.4 million.

The municipal operating budget is what is needed to fund town department operations as well as debt service requirements, the town’s contribution to the Biddeford Saco Old Orchard Beach transit and Libby Memorial Library.

The largest part of the municipal operating budget – wages and benefits – would increase 4.1% to nearly $14.5 million. This includes wage increases and two new positions - a town engineer and a sustainability coordinator.

The suggested capital improvement portion of the budget, for projects and expenditures beyond the scope of day-to-day operations, would increase from about $3.2 million to $3.45 million.

In the proposed budget, non-property tax revenues are projected at $7.9 million, a $335,500 increase from the current year. These revenue streams include licensing, permits, fees, motor vehicle excise taxes, state revenue sharing, parking fees, rescue billing, and interest on delinquent taxes.

The Town Council will deliberate the proposed budget over a series of public workshops and will make the final vote on the municipal budget on June 3. Residents will get the final vote on the school budget on June 10 at the polls.

Saco Bay News Publisher Liz Gotthelf can be reached at newsdesk@sacobaynews.com.