ZELIENOPLE — Borough council has proposed slight increases to its fire and library taxes as it approved its preliminary budget Monday night.

The fire tax is proposed to increase from 2.36 mills to 3 mills and from 0.39 of a mill to 0.5 of a mill for the library. The general operating fund will remain at 1.81 mills.

The total tax rate, if approved, would now be 5.3 mills, up from this year’s 4.56 mills.

The borough council is expected to finalize the budget at a special meeting to be set near the end of December.

Borough manager Don Pepe said this year’s budget, about $9.6 million, is down from last year’s $9.7 million budget.

He cited lower health care and police department costs as contributing factors to the lower budget amount.

The borough is placing $150,000 in its capital reserve fund for future projects.

Among some of the capital purchases and work planned for next year include additional funding for police cars and equipment replacement along with funding for the replacement of two bridges, the Green Lane and Market Street bridges.

The budget reflects a projected increase in electric rates because the borough’s wholesale supplier of power — AMP — is going to charge the borough 6 percent more in 2014 for the power that the borough resells to its residents. The borough expects to absorb a portion of the added costs, but customers’ bills are expected to rise by 2.6 percent in the first quarter of 2014, Pepe said.

Water rates also are headed up as the water supplier, Beaver Falls Authority, will be charging 4 percent more in 2014. The entire amount is to be passed on to customers, Pepe said.

This increase will be reflected in next year’s first-quarter billing.