Blacksburg holds public hearing on roughly $108 million FY2026 budget; adoption set for May 27

Blacksburg — Town staff presented the fiscal 2025–26 recommended budget and the Town Council held a public hearing; adoption is scheduled for May 27.

Staff described the combined budget package (ordinances 2076 and 2077) as "just over a hundred and 8,000,000" including capital and debt, with an overall increase of roughly 2.9% and a larger operating increase when one-time capital and debt are excluded. Staff said the town will keep the real estate tax rate at 26¢ per $100 of assessed value and projected moderate revenue growth driven in part by higher costs for goods and services.

The presentation said the general fund is about $53,000,000 and is increasing approximately 4.4% excluding capital and debt. Staff explained that utility funds (water, sewer, solid waste and recycling, stormwater) make up roughly a quarter of the budget and that the average utility bill would rise about 4.5% for a typical customer under the proposed rates. The presentation said stormwater rates would not change.

Notable budget items discussed included funding for affordable housing incentives, contributions to a passenger-rail station project, debt service for a regional 911 radio upgrade, continuation of the police behavioral health co-response program required by the Marcus Alert law, restoration work at Saint Luke and Odd Fellows Hall, athletic-field and skate-park improvements, and a zoning-ordinance rewrite with consultant funding. Staff also noted planned transit investments: 18 electric buses expected to be in service by the fall and additional on-route charging capacity tied to a new transit center at Virginia Tech.

Staff said personnel and benefits remain the town’s largest expense; the budget adds several positions in finance and transit and reclassifies a budget analyst to budget manager. Several nonprofit and cultural agencies received increased funding following council direction, including literacy programs, the Agency on Aging, the Summer Arts Festival, YMCA Virginia Tech, the Blacksburg Partnership and the Lyric (the council funded $70,000 toward the Lyric’s capital campaign). The presentation also mentioned support for the Imagination Library of Montgomery County and a new Caiambas Institute for Latin American Studies in Music grant request.

No public comments were recorded at the hearing. Council will consider budget adoption at its May 27 meeting.