Radford City Council adopts tax and fee increases, approves hiring freeze and related budget measures

Radford City Council on Monday approved a package of tax and fee increases and a package of budget measures intended to close a projected shortfall in the city’s fiscal 2026 budget. The council voted to raise the real-property tax rate to 82 cents per $100 of assessed value, increase several user fees and utility rates, initiate a hiring freeze for the 2026 budget year, and adopt related ordinances and appropriations.

The tax change and related fees are intended to reduce the city’s projected deficit while also helping cover a spike in employee health-insurance costs. At the 82¢ rate, council members said the city would generate about $363,000; $165,000 of that was designated to help offset employee health-insurance increases and the remainder was directed toward reserves to reduce the budget shortfall. Councilors described the measure as a compromise to protect city services and partially cover rising personnel costs.

Councilors discussed several other revenue and fee adjustments: a proposed increase in the tangible personal property rate from $2.44 to $2.55 per $100 of assessed value (an estimated $80,000, the city said, subject to vehicle…