SOUTHWEST HARBOR -Town officials found themselves back at square one this week after voters overwhelmingly rejected a proposal to borrow $800,000 to build a new police station on Main Street.

Voters defeated the proposal Tuesday by 387-73, according to Town Manager Robin Bennett. She said Friday that concern about the economy seemed to be the driving factor behind the rejection of borrowing the money.

With the vote, selectmen are expected to reconsider what options they might pursue in renovating the town’s municipal building, according to Bennett. The Police Department’s offices, which town officials say are too small, are located on the building’s first floor next to the space formerly occupied by the Fire Department. The new police station would have been built next to the fire station built in 2006.

Town officials have indicated they would like to renovate the municipal building so it includes fireproof storage, a larger meeting space, and public restrooms.

Residents also voted 274-189 in favor of a $125,000 proposal to extend the municipal dock next to the Coast Guard station 50 feet farther from shore so that it will be easier to use at low tide. They also voted in favor of a $486,000 capital improvement plan, which is the first the town has had that shows all proposed municipal capital projects in one unified plan.

Overall, voters approved a 2008-09 budget of $7.3 million, including school costs. With the approval, the town’s tax rate is expected to increase from $7.95 per $1,000 of each property’s value to $8.39 per $1,000 of each property’s value, according to Bennett.

In elections, incumbent Trudy Bickford was re-elected to the Board of Selectmen with 195 votes, while Ralph Dunbar received 260 votes, winning his bid for the seat being vacated by Whitney Granholm. Neither Sandy Johnson, with 180 votes, nor Vaughn Clark, with 157, received enough votes to get elected to the select board.

Ingrid Kachmar was elected to the school committee with 322 votes, as was Erika Lindquist with 231 votes. Michael Sawyer, who received 199 votes, fell short in his school board bid.

btrotter@bangordailynews.net

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