The town board is contemplating a 2009 budget that raises tax rates for fire protection, highway maintenance and drainage services.

The net effect of rate adjustments is a $19.80 increase in the town bill sent on a $100,000 home. The combined tax rate in the proposed budget is up 26 cents from this year’s rate but a per-household refuse fee reduction softens the blow a bit.

The board will hold a public hearing on the budget at 8 tonight at the Town Hall.

Town spending in 2009 is estimated at nearly $4.6 million. That’s about $200,000 more than this year’s projected spending, and according to Supervisor Wright Ellis, increases are driven by the usual culprit: rising cost of the inputs of town services.

“This budget, I think, is the most difficult one I’ve had to put together in a long time,” Ellis said Wednesday. “I hate to say I’m comfortable with it, because I’m not comfortable with a tax increase, but I am comfortable saying the reasons for the increases are valid.”

Fire protection tax will increase almost 9 cents per $1,000 of assessed property value. The tax will rise to $1.30 from $1.21, raising $29,000 more for the Cambria and Pekin Volunteer Fire companies to divvy up in firematics, ambulance/EMS service and firefighters’ service award claims.

Cambria company is to receive $9,900 extra for firematics and ambulance; Pekin is to receive $9,500 for the same. Eighteen thousand dollars is budgeted to cover increased expenses in the firefighters’ service award program. That’s a town-voter sanctioned program in which money is set aside yearly for volunteers who give certain amounts of service, then when they reach age 62 they’re paid the money in a lump sum.

Fire company officials earlier this year pleaded with the board to raise the fire tax rate enough to provide them enough money to begin replacing aged equipment and facilities. These are needs priced into the hundreds of thousands of dollars, however, and Ellis acknowledged the 9-cent hike in the 2009 rate won’t help the goal.

“It’s a step in the right direction but it does not satisfy the (companies’) needs,” he said. “Covering the costs of (fire service) is one of the biggest challenges our town faces.”

The highway tax will rise 14 cents per $1,000 of property value, to $1.61 from $1.49. The drivers are oil prices and an equipment accident that forced emergency borrowing, Ellis said.

Late last year, a town truck was destroyed by fire and had to be replaced. The town borrowed money to pay the $150,000 cost up front and is repaying the loan over five years. At the same time, it already had a $161,000 excavator on order and could not cancel the order to buy the truck instead. It is indebted for both pieces now.

Also, Ellis said, high oil prices caused the town to put off several road projects, include final paving in a subdivision, this year and the projects need to be done in 2009. Oil prices have fallen this autumn, but asphalt prices still have not, he said.

The drainage tax will increase 3 cents per $1,000 of property value, to 11 cents from 8 cents, to cover engineering costs associated with the town’s mandated involvement in stormwater management, Ellis said.

Water and sewer taxes will not increase, and the trash pickup fee will be cut $6, to $180, as a result of the town’s new contract with Modern Disposal.

All told, the town tax rate will be $5.02 per $1,000 of property value with sewer, a 5.4 percent increase over this year; and $4.02 per $1,000 for property without sewer, a 6.9 percent increase over this year.

The board agreed to dip into fund balances to the tune of $683,000 in order to hold down tax rate hikes, Ellis said.

In 2009, total taxable assessed value is up by $11 million, to $411 million.