BANGOR – For Sandy Farber, who is 60 and living on a fixed income, paying an extra $100 a year in property taxes is a major financial hit.

Divorced and living with her 91-year-old mother on the city’s west side, Farber saw the value of her 1830s-era home rise $4,400 from last year.

“I don’t know where it’s going to come from,” Farber said Thursday of the higher tax bill prompted by the revaluation of her property, where she has lived since 1986.

Farber will be among those closely watching the progress of three ballot initiatives proposed for the November 2003 ballot seeking to change the tax structure in Maine.

On Thursday, Maine Municipal Association officials outlined their referendum drive aimed at reducing local property taxes by forcing the state to pay 55 percent of public education costs and, within that amount, 100 percent of all special education costs.

“I hope you’ve had enough,” Mechanic Falls Town Manager Dana Lee, a member of the MMA legislative policy committee, told the estimated 200 municipal leaders at the morning session. “I’ve had enough.”

The $700 million the state now pays for education is about 42 percent of the total cost, with local property tax payers making up the difference, about $900 million.

That ratio runs afoul of the state law that now only addresses the “intent” of the Legislature to pay the majority of education costs, according to MMA officials, whose new law would mandate the 55 percent level of state funding.

The MMA plan would shift $200 million in local spending to the state, thus reducing property taxes statewide by 15 percent, according to association officials.

Bangor City Manager Edward Barrett said the change would result in a potential drop in the tax rate of between $2.50 and $3 per $1,000 in valuation, which, citywide, increased more than 7.5 percent, or $116 million, from last year.

While the city’s tax rate dropped a dime to $23.65, those hoping for a lower bill – including Farber – were dismayed with the average property owner in the city seeing about a 4 percent increase.

Bangor City Councilor Dan Tremble said he though the MMA proposals would best help people like Farber, who are struggling to make ends meet as their tax bills rise.

“There no question we need some property tax relief,” said Tremble, a member of the committee that crafted the MMA plan, which would set aside funds to help towns and schools streamline services that result in cost savings.

The other two referendum drives, one headed by anti-tax activist Carol Palesky of Topsham, would either cap property taxes or change the income tax regulations.

The MMA referendum drive – like the other two tax reduction initiatives voters may consider next year – depends on supporters gathering the needed 42,101 signatures before Nov. 5, 2002.

If the signatures come in after that date, petitioners will gave to gather signatures equaling 10 percent of the turnout for this November’s gubernatorial election.

Critics of the MMA proposal contend it doesn’t guarantee tax relief at the local level but, instead, requires the state to raise an additional $200 million.

While the proposed MMA legislation offers no specific plan to raise the added funds, the association’s officials said Thursday that would best be accomplished by applying the state’s sales tax to services not now taxed, such as legal and medical services as well as smaller items such as haircuts, movie tickets and tattoos.

However property taxes are lowered, it would be a welcome change for Farber, who, like about 20 other Bangor residents – mostly fixed income seniors, is allowed to pay taxes monthly rather than twice a year.

“It would make it a lot easier for me,” she said.