Finance committee approves budget draft with tiered COLA and rollback that reduces millage; sends ordinance to full council

The Chesterfield County Finance Committee on May 7 approved a draft fiscal 2025–26 budget that includes a tiered cost-of-living increase and a millage rollback designed to offset reassessment increases. The committee voted to forward the budget ordinance to the full county council.

Ms. Stanley, budget staff, told the committee the draft includes a COLA of 7% for employees earning $40,000 and under and 4% for salaries above $40,001. Committee members noted the draft had previously considered a 5% across-the-board increase but that the tiered approach was adopted in the current second draft presented to the committee.

The committee also discussed rollback choices tied to the recent reassessment. Staff said they had rolled back 0.32 mills for operations (from 3.44 to 3.26 mills net change referenced during discussion) and made smaller rollbacks in reserves; capital equipment and debt service were not rolled back because they are driven by growth and contractual payments. Staff warned that while the rollback reduces the millage rate, some taxpayers may still see higher bills because of property reassessment.

During final business, a committee member moved to approve the budget as presented and forward the ordinance to the full council. A second was recorded and the committee voted “aye” unanimously on the motion to send the budget to the full council; the committee then adjourned.

The committee also flagged a number of line items to monitor in the full council process, including planned wage increases, small-town municipal fee treatments, and the county’s treatment of NETC millage (discussed separately). Staff and committee members said the final advertised budget ordinance will include planning commission fees and other fee language the committee reviewed during the meeting.