POLAND — The Select Board approved a nearly 3-mill tax rate increase Tuesday night in large part to accommodate the education budget.

The 2.89 increase, from 13.64 to 16.53 mills, will result in a tax increase of $289 per $100,000 of valuation in this year’s tax rate, officials said.

A primary reason for the rate hike is Poland’s share in the Regional School Unit 16 proposed budget of $29.3 million, which was voted down in the June 11 referendum after being initially passed at the earlier district budget meeting. The amount is $1.9 million more than the 2023-2024 fiscal year school budget.

According to state law, in order to set the town property tax rate when there is a delay in setting the schools budget, the budget proposed at the district meeting must be used to determine local taxes regardless of if the amount was rejected in the referendum.

Once a final RSU budget is passed, if it is lower than the district budget number used to set the tax rate, the RSU will credit the communities.

The municipal budget of $9.4 million approved by voters June 11 was 7.67% higher than the previous budget. About $6.4 million of that must be raised by property taxes.

Before the Select Board endorsed the tax commitment Tuesday night it agreed to send a letter to the RSU 16 School Directors to see if the district’s cost-sharing formula with Mechanic Falls and Minot could be reviewed.

Poland selectmen had requested a review of the formula, which allocates costs according to an agreement that bases 10% on each town’s student population and 90% on each town’s property valuation.

Poland pays 67% of the school budget that the state requires as a local match.

Select Board Chair Steve Robinson said he had concerns when the 90/10 funding formula is applied to that part of the school budget that the towns raise in addition to what the state requires.

In other business Tuesday night, Selectperson Maryanne Hawkes will hold an organizational meeting later this month with 11 residents who wish to join the Broadband Committee.

The committee members will discuss ways for better broadband for residents and businesses in town.

The board also approved a recommendation by Town Manager Matt Garside to request bids to transport municipal solid waste and recyclable materials to the Maine Waste to Energy facility in Auburn and Casella Recycling in Lewiston.

The board also accepted Cyndi Robbins’ resignation from the Community and Economic Development Committee.