Madison voters have once again rejected a proposed town budget—this time by a 295-vote margin—but have approved the education budget. This second defeat of the town budget—a first in recent memory—sends the boards of Selectmen and Finance back into budget talks and "into unchartered waters."

First Selectman Fillmore McPherson said Monday evening that the Board of Selectmen will call a special meeting for Wednesday afternoon to determine its next steps. Had both budgets passed, the Board of Finance was scheduled to meet at 7:30 a.m. Tuesday to set a tax rate. The meeting did not take place. The finance board is likely to wait to hear from the selectmen before taking any further steps.

Monday night, questions remained about how, when, or if tax bills could be generated and mailed to property owners. Although the town does not have a budget, its fiscal year begins July 1 and it will require revenue and operating funds. State statutes make provisions for municipalities to continue operating and collecting taxes until a final budget is reached. Town officials will be researching the statutes over the next several days.

"We are navigating a little here in unchartered waters. We need to regroup," McPherson said. He added that he was not surprised by the vote, "but I am disappointed."

The Board of Finance trimmed a total of $378,320 from the town and school budgets after the referendum defeat in May. In that vote, the town budget was turned aside by a margin of 829 votes. In Monday's referendum the margin of defeat was 295, although voters turned out in greater numbers. This time around, the education budget, which had lost by a slim 49 votes in May, won approval by a comfortable 513-vote margin.

The vote totals were:

Question 1: Shall the town government budget of $20,343,679 be approved?

Yes: 1,964

No: 2,259

Question 2: Shall the

education budget of $50,336,164 be approved?

Yes: 2,370

No: 1,857