NEWPORT – Town officials began the process Wednesday night of finding out exactly what the financing options will be if they choose to borrow the final funding for the Newport Cultural Center.

Town Manager James Ricker explained that the original price tag for the center, which will house the town’s public library and historical society, was $1.4 million when fundraising began four years ago.

But with each passing year, construction costs rise, he said, sometimes at the rate of 28 percent a year.

So far $1,018,000 in pledges, cash and in-kind gifts has been raised. Once the fund topped $1 million, town officials had agreed to look into financing the center as it was built.

“We can never build it any cheaper than today,” Ricker said. The debate, however, centered on whether pledges will dry up if construction begins or if construction will excite people to pledge more.

“I have one person who said that if we start construction, he’ll donate $100,000,” said Ricker.

Chairman Al Worden said he agreed construction should begin. “A lot of people are saying they want to see something happening,” he said.

Ricker said that if the town were to borrow $550,000, the interest would be about $24,000 a year.

“We don’t want the town to have to foot the bill,” Worden said, “but we want this thing to go up. If we wait until we have raised all the money, we will need more money to build it.”

Ricker said that costs are rising at such a rate that “we are dangerously close to having to rewrite our entire budget.”

The board agreed to hold a meeting with a banking representative and the town’s attorney to discuss financing options. A final vote on any financing would have to be taken at a special town meeting.

At the start of the meeting, Worden formally recognized several volunteers who had made a difference in Newport. The Newport Garden Club was honored for its plantings on Main Street and the Main Street Bridge. Scott and Tyler Jakins were recognized for maintaining and mowing the area on Route 7 around the Nokomis Regional High School sign.

Worden also presented a $100 check to 5-year-old Erica Taylor of Pittsfield, who caught the biggest fish – a 9-inch perch – in the Sebasticook River during Summerfest activities last weekend.

In other business, the board agreed to formally request assistance from the Maine Department of Conservation with rebuilding the public boat launch at Sebasticook Lake. Ricker met with George Powell of the DOC at the launch Wednesday afternoon and said Powell made several recommendations, including replacing the concrete launch, making the existing dock handicapped accessible and increasing parking.