Roanoke City proposes $421.5 million FY2027 budget with hiring freezes and larger-than-usual debt issuance

City Manager Miss Turner presented a recommended FY2027 general fund budget of $421.5 million to Roanoke City Council on March 23, saying staff "have done the necessary work to balance the budget after starting with a gap of 18.9 million." The proposal would increase the adopted FY2026 base by about $13.75 million (3.37%) while using a mix of targeted revenue adjustments, spending reductions and managed hiring to close the gap.

The recommended package allocates $5.2 million to compensation increases, including a 2% base pay increase and phased public-safety step adjustments, and adds about $1.15 million in recurring funding for Roanoke City Public Schools (RCPS). Staff characterized compensation as the largest ongoing expense, roughly $172 million of the city’s operating budget.

Budget Manager Mr. Casei summarized the revenue work that narrowed the shortfall: "we started at 18.9, we got down to 5.1 on March 2nd, and where we are today with the proposed budget," he said, describing adjustments to property tax assessment growth assumptions, downward revisions to prepared-food and business-license revenues, and conservative…