Norwich - The Charter Revision Commission voted Thursday to retain the current $800,000 city bonding limit without needing a referendum, and to consider extending that limit to leases and lease purchases - a move aimed at preventing the City Council from approving a new leased police station without a referendum.

The commission is winding down its work and must submit its final report to the council March 16.

The charter commission will hold a public hearing on its recommendations at 6:30 p.m. Thursday, March 5, in the Council Chambers at City Hall. Any proposed charter changes approved by the City Council must be forwarded to referendum for voter approval.

Last week, the commission voted 4-1 not to change the controversial dual city fire tax system, which requires property owners in the paid fire department district to pay an additional 7.38 mills to pay for the service, while property owners in the five outlying volunteer districts pay 0.49 mills to pay for volunteer firefighters' pensions.

The commission recommended that city administrators attempt to find ways to provide tax relief to the central city district through the annual budget process.

In the bonding issue, the charter allows the City Council to bond up to $800,000 on any one project without needing voter approval at referendum. City officials asked the commission to consider increasing the limit to 2 percent of the city's annual operating budget.

The commission voted unanimously to keep the current cap. Commission members in previous meetings wrangled with the concept of keeping the cap when used as an incentive to lure private development to the city, while increasing the cap for city infrastructure improvements.

Commission Chairman Les King said he discussed that issue with Corporation Counsel Michael Driscoll, who advised that separating out specific items would be difficult.

Commission member Arthur Lathrop, a former mayor and former member of the 2000 Charter Revision Commission, said that commission recommended increasing the cap on bonding. The provision was the only charter question defeated that year, and it lost by a sound margin.

"Everybody took the lesson from that, that the public did not trust the City Council to have a higher limit and wanted to have some say in the percentage," Lathrop said.

Lathrop also strongly objects to the current council's consideration of three lease proposals for a new police station on the heels of a 2012 referendum defeat of a $33 million downtown police station.

Lathrop said the commission should "protect the public's interest" by requiring referendums on expensive items. He proposed adding "leases, leaseholds and leases with options to purchase" to the bond limit. Lathrop said he specifically was aiming to stop the City Council from avoiding a referendum on the police station.

The commission tabled action on the proposal to a special meeting on Monday and to obtain more information from the corporation counsel and city comptroller on the issue.

Last week, the charter commission did exempt Norwich Public Utilities bonding from the $800,000 limit as long as the bonds would be covered by utility revenues. For example, NPU received voter approval in November for the $9.5 million third natural gas line expansion, with those bonds to be paid through gas line tie-ins paying for the bonds rather than taxpayers.

The charter commission also voted to keep the charter provision that NPU must pay 10 percent of its gross revenues to the city for tax relief, but broadened NPU's reach in other areas. The commission recommended extending the utility's authority to enter into long-term contracts from 10 years to 20 years, allowing NPU to expand its gas and electricity franchises outside Norwich and Preston and allowing the utility to market its newly installed fiber optic network to residents and businesses. The system now is limited to municipal and school use.

The commission in February voted to recommend changing the annual amount the city spends for capital improvement from 1 mill of taxes to 2 percent of the city's operating budget.

The commission in December voted to keep the duties of the four-year mayor essentially the same, while removing language that calls for the mayor to hire an economic development assistant. That position has not been filled by the four mayors elected to date under the current charter.

In earlier decisions regarding city government, the commission voted to change the title of council president pro tempore to deputy mayor and recommended the top vote-getter on the council would win the seat - the new council now appoints the president pro tempore.

The commission recommended changing the two-year Board of Education terms to four years with the nine members having staggered terms.

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