City considers increase to real estate tax rate to balance the budget

Upping the ante

It’s spending season in Charlottesville, and City Manager Sam Sanders presented the draft FY27 budget—totaling more than $327 million between the general fund and capital improvement projects—to City Council on March 2.

If adopted as proposed, the city’s real estate tax rate would increase by $0.02 to $1 per $100 of assessed value. No other rate hikes were recommended in the city manager’s draft budget.

Major investment areas of the budget include education, transportation, and affordable housing. 

Sanders’ recommended budget meets the $2.6 million increase requested by Charlottesville City Schools, for an $81.6 million general fund contribution to the district. An additional $15.7 million in Capital Improvement Program funds are slated for education projects in FY27.

Beyond general fund expenditures of roughly $28.1 million for transportation and infrastructure priorities, more than $2 million of CIP funds are slated for both sidewalk improvements and ADA transition plan implementation.

Investment in affordable housing initiatives totals approximately $11.5 million in the FY27 CIP, with anticipated five-year expenditures coming in at more than $41 million. Projects supported by this year’s budget include the ongoing Westhaven and Kindlewood redevelopments.

Council’s next budget work session, focused on outside agencies and nonprofits, will be held at 6pm on March 12 at City Space. The first tax rate hearing is set for 6:30pm on March 16 in the council chamber.—Catie Ratliff

On the move

Bicyclist and computer engineer Adam Spanberger, Virginia’s first gentleman, appeared as the Friday morning guest speaker at the sixth annual Active Mobility Summit, hosted by the Piedmont Mobility Alliance March 5 and 6 at The Wool Factory. The free event brought together Charlottesville and Albemarle County residents, organizations, and leaders interested in expanding opportunities to walk, bike, and run—and in highlighting the economic and social benefits of public access to the outdoors, which studies show generates $14 billion in value for Virginia, and nearly $1 billion in Charlottesville and Albemarle County.—C-VILLE Writers

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