East Lyme — Several speakers at a public hearing Monday asked the Board of Finance to restore funding to the proposed library budget, while others wanted the board to cut the overall budget more, given tough financial times.

The board presented a total proposed 2017-18 budget of $70.8 million which is a 2.29 percent increase. That includes $24.2 million for general government, debt and capital projects, a 2.1 percent increase, and $46.6 million, a 2.38 percent increase, for education.

The board voted after the hearing to send the proposed budget, which would create a 0.66-mill tax rate increase, to the annual town meeting, scheduled for 7 p.m. May 8 in the East Lyme High School auditorium.

The board also restored $8,000 to the library budget, using contingency funds.

Public Library Director Lisa Timothy said that with the original cuts to the library's proposed budget, made by the selectmen and finance board, the library would not have been able to fund both rising health insurance costs and Sunday hours.

With the $8,000 in restored funds, she said it is likely the library will not need to close on Sundays.

During the public hearing, Patricia Carey, who serves on the library board, said the library serves a broad cross section of people in town. She said people use the library to look for jobs or to be trained in new technology, calling it a "safety net" for many people.

Resident John Drabik said East Lyme's budget should be built based on the grand list, which he called "living within your means."

"Times are not good," he said. "A lot of people are leaving the state, because it's unaffordable."

According to a presentation by town officials earlier in the hearing, the tax rate increase would mean a homeowner with a home assessed at $250,000 would pay $165 more in taxes next year; a homeowner with a home assessed at $350,000 would pay $231 more; and a homeowner with a home assessed at $450,000 would pay $297 more.

First Selectman Mark Nickerson said that given the uncertainty over how much state aid the town will receive, town officials used last year's state revenue numbers, except for Municipal Revenue Sharing Account funds, to create the budget. 

If the town is hit with significant state aid cuts or mandates that require the town to pay part of teachers' pensions, town officials will need to go back into the budget and scale back services and personnel, he said.

Board of Finance Chairman Camille Alberti said that under Gov. Dannel P. Malloy's budget proposal, the town could see a shortfall of about $7 million, including the proposed mandate for teachers' retirement. She called this a worst-case scenario.

Alberti said that if the town is faced with the state aid cuts, options would be to further reduce the budget, freeze the budget, use funds in the undesignated fund balance, or increase the tax rate.

Superintendent of Schools Jeffrey Newton said school officials are continuing to discuss a $225,000 cut to the proposed schools' budget made by the finance board earlier this month.

At that time, the board also cut general government by $120,176 and capital spending by $132,000.

The annual meeting will adjourn to a referendum slated to be held from 8 a.m. to 8 p.m. on May 18 at the East Lyme Community Center.

k.drelich@theday.com