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County board advertises FY26 tax and fee hearings, authorizes a 1¢ real‑estate tax advertisement amid federal uncertainty

2397362 · February 26, 2025
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Summary

The board voted to advertise the FY26 real‑estate tax rate at $1.043 (a 1¢ advertisement) and a set of fee and tax public hearings for March 27; the 1¢ advertisement passed 4–1 with Mr. Spain voting no. The move gives the board flexibility if federal funding or regional economic conditions change.

The Arlington County Board voted Feb. 25 to advertise a suite of proposed tax and fee hearings for fiscal year 2026, including a calendar‑year 2025 real‑estate tax rate advertisement of $1.043 per $100 of assessed value — 1 cent higher than the current advertised rate. The motion to advertise the 1¢ increase passed 4–1, with Board Member Spain voting no.

Vice Chair DeFerrante said the advertised 1¢ is an insurance policy against fiscal uncertainty created by federal program disruptions and the potential for a reduced regional economic base. The county manager had proposed an FY26 general fund of approximately $1.69 billion, including a 3% increase in the Arlington Public Schools transfer; the advertised rate yields about $9.3 million in additional revenue when shared with schools under current revenue‑sharing principles.

The board also authorized public hearings to consider other proposed fee and rate adjustments: maintaining the current stormwater utility rate; proposed water and sewer rate increases and related service charges effective July 1, 2025; an unchanged household solid‑waste rate; development‑related and permitting fee modifications; and proposals on meals tax, business improvement district levies and other departmental fees. The board will hold the hearings on March 27, 2025, after work sessions and department budget presentations that run through early March.

Board members said they expect to use the upcoming work sessions, budget hearings and public input to refine the proposed budget before final adoption in May. County staff emphasized the county’s strong fiscal position, including AAA bond ratings and an economic stabilization fund, but several members said the federal workforce contraction and other external risks justify retaining flexibility in the advertised tax rate.

Vote: Roll call on the 1¢ real‑estate advertisement recorded 4–1: Chair Tax Carantones — Aye; Vice Chair DeFerrante — Aye; Ms. Coffey — Aye; Ms. Cunningham — Aye; Mr. Spain — No.