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Roanoke budget study: staff recommends meals‑tax option; Council leans toward 1% increase with restaurant incentive options
Summary
City staff briefed Council on FY2026 budget options, proposing a 1.5% meals (food & beverage) tax increase (advertised up to 2%) to fund overtime, temporary wages and capital maintenance. Council discussion leaned toward a 1% increase with a possible upfront filing incentive for restaurants and periodic reassessment.
City budget staff presented a budget study that included possible revenue options and a recommended allocation tied to a proposed meals (food & beverage) tax increase to help cover operating needs and deferred maintenance.
Budget staff described the city's priorities — stabilizing the budget, addressing deferred maintenance and improving compensation — and proposed a recommended meals tax increase of 1.5% as the basis for their financial plan (staff noted the public notice was advertised up to 2% to preserve…
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