The Martha’s Vineyard Commission will vote next month on a $1.2 million budget for the coming year, a 3.1 per cent increase over this year.

The increase stems mainly from an increase in retirement costs.

Town assessments will account for $813,266 of the commission’s budget. The largest jump in assessments is in Edgartown, which threatened to leave the commission altogether last year after a draft budget proposed a 4.5 per cent pay increase for commission staff and increased the town’s assessment more than $15,000. The commission ultimately dropped Edgartown’s increased assessment from its final budget, but this year it proposes an $8,683 increase, from $286,829 to $298,512. Other town assessments, all up from FY 2012, are $30,980 for Aquinnah, $129,376 for Chilmark, $7,252 for Gosnold, $121,286 for Oak Bluffs, $118,487 for Tisbury and $107,373 for West Tisbury. Assessments are computed using a formula based on town property valuations.

The commission proposes only a 0.1 per cent increase in salaries for fiscal year 2013; intead the bulk of the budget increase will go to fund Other Post Employment Benefits (OPEB) after the retirement of two senior commission employees, increasing the commission’s retirement obligations from $7,500 to $38,115 in fiscal year 2013.

Mortgage payments on the commission building are also budgeted $3,000 higher than last year after an anticipated $10,000 reduction from refinancing came in at only $7,000.

Meanwhile administrative and operating expenses will drop $1,762.

Salaries for the 10 commission staff members will total $702,678 with Mr. London scheduled to make $123,261 in fiscal year 2013.