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sub selectify {
    my $values = shift;
...
         }
    } @{$values}];
}

$template->param(foo_loop => selectify(\@values,\@labels,\@selected));

<select name="foo">
<tmpl_loop name="foo_loop">
...
  </option>
</tmpl_loop>
</select>

<select name="foo">
<tmpl_loop name="foo_loop">
  <tmpl_include name="option.tmpl">
</tmpl_loop>
</select>