BAR HARBOR – Property taxpayers can expect a school budget increase of 4 percent to 6 percent, or as much as $215,000, Conners Emerson School Principal Barbara Neilly told the school committee Monday.

Neilly presented a preliminary budget report showing anticipated increased costs for utilities and fuel oil, transportation, and staff salaries and benefits. The current two-year teacher contract calls for a pay raise of 5.1 percent next year, the final year of the pact.

The school committee will begin the budget review in earnest next month. The new budget will cover fiscal year 2003-04, which begins next July 1. The current budget totals $3.58 million, and school officials estimate a carryover balance of $85,000 for the new budget cycle.

“Our wiggle room in this year’s budget is very slim,” said school committee member Paul Murphy.

Neilly said she thinks the school budget is as frugal as it can be.

“I think we’re running a pretty lean, tight ship,” Neilly said.

Spending priorities that remain on hold for lack of funding include:

. Hiring a full-time world languages teacher.

. Offering all-day kindergarten classes.

. Creating a late bus run for pupils who participate in after-school activities.

. Starting a program for 4-year-olds.

At the recommendation of town Councilor Valerie Scott, who attended the school committee meeting, school officials will approach Town Manager Dana Reed about the possibility of the town and school co-hiring a computer tech to help keep everyone’s computers up and running.

Neilly said Conners Emerson School could use a part-time person, and Scott said she thought Reed and the council would be open to talking about getting the municipal offices some technology help as well.

The single largest spending increase in the new budget is immovable: the school’s current two-year contract with teachers provided a 9.5 percent raise this year and another 5.1 percent next year. The average salary of the teaching staff covered by the contract is $39,200, according to school officials.

The new contract requires teachers to pay 15 percent of their health insurance coverage. Previously, the school department paid the entire cost.