RATHDRUM - Rathdrum's tentative city budget includes a 1 percent tax hike, no raises of any kind and no new positions.

The City Council, which has held four budget workshops, will vote on the proposed $4.6 million General Fund budget after a public hearing on Aug. 16 at 6 p.m.

A 1 percent tax increase - cities are allowed to take up to 3 percent each year under law - would add about $18,000 to the budget. For the owner of a $200,000 home, it would mean an increase around $1 per month.

"The city has tried to be very conservative and keep any increase low," said Brett Boyer, city administrator. "Over the past five years, including this year, the increases have totaled 5.82 percent, averaging a little more than 1 percent each year."

Boyer said the tax increase would go toward Majestic Park improvements and projects such as street maintenance and pathways.

Majestic Park is an 11.9-acre site east of Meyer Road next to the water tower. It will be Rathdrum's first park since Stub Myers was built in 1982.

The dirt work, irrigation and grass planting are done. The next phase will be a splash pad, sports fields, pathways and a parking lot.

"Majestic Park is one of our main projects," Boyer said.

The buildout of the park is expected to cost about $1.1 million. About $250,000 has been spent so far.

The city is proposing to spend $300,000 on street maintenance projects, including $225,000 in overlays.

Pathways along Highway 41 and Meyer will cost $60,000 and landscaping and street lights along Second Street to match those of downtown $20,000.

The city has budgeted $100,000 toward continuing to replace old water meters with new automated ones.

The only vacancy that could be filled is a police officer position that would be paid for with a grant the city has applied for.

"We hope to find out about the grant within the next two months," Boyer said. "Otherwise, the position will be left vacant."

The city plans to replace two older police cars with new ones for $42,000 and buy a truck for the parks department for $15,000.

The proposed budget is up from the current $4.4 million budget due to a parks grant, new construction dollars of $29,000 and the tax increase.

Boyer said the city is proposing to not dip into its foregone tax balance and its rainy day fund for the budget.

"We're trying to keep services moving forward, yet be careful due to the economy," Boyer said.