MADAWASKA – The Maine Revenue Service has informed Madawaska that the local property tax values in the community have dropped below 90 percent, creating a situation where the town will be losing part of its state reimbursement.

The town, according to Assessor Randy Tarr, has been informed that the valuation ratio is at 82 percent.

Tarr and the Madawaska Board of Selectmen must now look at bringing up the ratio above the 90 percent mark.

Assessors may look at increasing the values of some areas of town, where the ratio is low, or a percentage increase to the entire town’s valuation.

Eventually, in the near future, the town will need to have a revaluation. Tarr told selectmen Tuesday night he could not do it until 2009-10.

The last townwide revaluation was done in 1990.

A townwide revaluation could cost $200,000 to $250,000, according to Board of Selectmen Chairman Michael Violette.

If the town were to fall below a ratio of 70 percent, it could be forced to re-evaluate the entire town.

In the meantime, there are alternatives.

Tarr will meet again with selectmen to look at those alternatives.

Until the town can find ways to increase the ratio to a level above 90 percent, the town and residents will be losing 18 percent of state money for certain programs.

For example, residents will be getting 82 percent of the state-allowed $13,500 Homestead Exemption.

Other state reimbursement programs could be affected, too.

In other business, selectmen agreed to include an article in the warrant at the annual town meeting in June to raise $20,000 for the Forever Young Senior Citizens Club. The club needs the money for energy savings projects such as new windows and insulation at its Main Street center.

A request for street lights at a proposed Four Corner Monument and Park was tabled until next year.

Also tabled was the setting of a municipal boundary line between Madawaska and Frenchville, pay scale for ambulance personnel, and the installation of a storm water manhole on private property.