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Newport News council adopts FY 2027 budget, sets real‑estate tax rate at $1.18
Summary
The Newport News City Council approved the FY 2027 operating budget and set the real‑estate tax rate at $1.18 in a 7–0 vote May 12; the package funds increased school contributions, pay steps for police and fire and creates a housing‑relief grant program among other items.
The Newport News City Council on May 12 voted unanimously to adopt the city’s FY 2027 operating budget and to set the real‑estate tax rate at $1.18. Council approved the package by a recorded vote of 7–0 after a public hearing and a series of line‑item votes.
City budget staff told the council the assessor found an average rise in assessed values of about 3.56 percent, with an average single‑family assessment increase of roughly 4.5 percent. During the public hearing, Lisa Sabrano said that under the recommended rate many homeowners would see about $46 more in annual taxes; she noted the budget also includes an increase in the city’s school contribution of “over $3,000,000,” roughly a 6.5 percent boost, rising employee retirement costs approaching $53,000,000 and other inflationary pressures.
The budget package incorporated 15 related ordinances and fee changes, including updates to construction and utility fees, creation of a boat‑license fee, establishment of a Resident First housing‑relief grant program and the creation of Departments of Innovation and Housing and Neighborhood Services. Council adopted G1.1 (the real‑estate tax rate) and approved G1.3–G1.14 as a block before approving the final appropriation (G1.15), each motion passing 7–0.
City Manager Alan Archer and budget staff told the council the package aims to align annual spending with the council’s strategic priorities while preserving services. Archer recommended approval of the entire set of G items, noting the package “supports implementation of the city's strategic priorities and the effective operation of government services for fiscal year 2027.”
Councilmembers discussed targeted relief programs and outreach to residents who may not know how to apply for available assistance. Councilmember Cleon Long and others noted existing and newly funded programs — including a housing‑relief pilot, a down‑payment assistance program and facade/neighborhood grants — and said the council will continue work on senior‑oriented property tax relief in future budget cycles.
The meeting record also shows the council approved related appropriations from opioid‑abatement funds: G2 (a $99,854 allocation to support jail‑based medication‑assisted treatment through FY 2026), G3 ($235,131 from the Virginia Opioid Abatement Authority for peer‑recovery center programming), G4 ($248,256.33 for a mobile medical unit) and G5 (approximately $719,331.60 in direct‑distribution funds for cooperative projects). Each of those resolutions was recommended by staff and approved by unanimous vote.
The council adjourned following final acknowledgements from the manager, city attorney and councilmembers.
