CHINA -- Selectmen unanimously endorsed the completed parts of the draft 2008-09 budget at the end of a three-hour review Monday.

Town Manager Daniel L'Heureux said a few sections, such as the requests from social service agencies, are not complete.

Most of the proposed budget is at about the same level as in the current fiscal year. L'Heureux called the document a conservative budget, with no requests for additional or expanded services.

The major increase, he said, is in what the town will pay for E-911 dispatching services -- an expected $41,000 that was previously included in China's bill for its share of the Kennebec County budget.

Despite eliminating dispatching of emergency services from the county budget as the new consolidated answering service takes over, China's county tax is also expected to go up, by more than $43,000.

L'Heureux recommended, and selectmen agreed to forward to the Budget Committee and town voters, 2.5 percent pay increases for town employees plus step increases. The step increases are larger for employees who have been with the town longer.

L'Heureux recommended increasing the contingency fund selectmen can spend for emergencies or to avoid overdrafts to $45,000 for 2008-09. It's $20,000 in the current budget.

L'Heureux pointed out that, if selectmen continue to get midyear surprises such as the change in E-911 dispatching, they'll need voters' permission to deal with them.

The manager expects normal increases in town valuation due to new construction will provide enough additional tax revenue to cover most of the recommended municipal expenditures. Other things being equal, the tax rate would increase only slightly due to the municipal budget.

The School Committee is scheduled to begin work on the 2008-09 school budget, which uses the bulk of property tax revenues, at its meeting Monday.

China's townwide revaluation is due to be completed in time to take effect with the 2008-09 tax year, so predicting 2008-09 taxes on an individual property is next to impossible.

At Monday's meeting, Selectman Tiffany Glidden quoted the usual effect of a revaluation: one third of property owners face higher taxes, one third see lower taxes and one third are barely affected.

L'Heureux replied that some China properties, especially around lakes, are valued at half market value and those owners can expect higher tax bills.