Alexandria council adopts $956.4 million FY2026 general fund budget and $2.076 billion CIP

Alexandria City Council adopted the fiscal year 2026 annual general fund operating budget of $956,449,705 and approved a FY2026–FY2035 capital improvement program totaling $2,076,749,836 during a special meeting on Wednesday, April 30.

Council members said the budget preserves core services and funds priorities including schools, affordable housing, climate and stormwater work, and an expansion of the city’s free DASH transit service—items council members and staff said they prioritized amid economic uncertainty.

Vice Mayor Bagley, who moved the budget resolution, said the DASH expansion was a central priority he had championed during the add/delete process and described transit as transformational for residents. “Free, safe, accessible transportation is an absolute game changer in our community,” Vice Mayor Bagley said. Councilman McPike said the adopted package maintained the city’s tax rates while sustaining commitments to affordable housing, climate work and school construction.

City Manager (name not specified in the transcript) thanked council and staff for the “meaningful and sound budget that reflects shared values, priorities, and the collective vision for the future of Alexandria,” and singled out Budget Director Morgan Raut, Deputy Amanda Hamm and the budget team for extended work on the document.

The council’s remarks emphasized fiscal restraint combined with targeted investments. Council members highlighted: maintaining tax rates at last year’s level; additional funding for Alexandria City Public Schools and school construction; continued funding for affordable housing; a continued commitment to climate-change work and stormwater projects; and continued support for DASH as a free service. Several council members also praised staff for avoiding job cuts while making prioritized investments.

The motion to adopt the budget was made by Vice Mayor Bagley and seconded by Councilman Chapman. The city clerk called the roll; all members present voted aye and the measure passed.

The council did not alter the blended real and personal property tax rates in this meeting; the tax-rate ordinance and several fee and rate changes were taken up and passed separately earlier in the docket. The budget resolution adopted at the meeting incorporates the FY2026 operating totals and the capital program approved for FY2026–FY2035.

The adoption completes the council’s formal action on the FY2026 budget at this special session. Council members repeatedly noted that federal and state-level uncertainty could require future adjustments and said staff and the council would revisit the budget if conditions change.