The Newtown Legislative Council met on Wednesday to make another round of cuts, this time $200,000 from the fund balance. The new budget being presented to Newtown residents is $106.6 million.
The tax increase would be 1.07 percent.
When the budget failed for the first time, the Legislative Council cut $1-million from the Board of Education request, but left municipal spending the same. The second vote was defeated by just 77 votes.
A town meeting must be held on the budget according to town charter, now that two referendums have failed.