Smyth County approves $1.12M budget amendment and a business-tax software contract amid FY27 shortfall forecasts

The Smyth County Board of Supervisors on April 23 approved Budget Amendment #6, which the county administrator said included a Department of Conservation and Recreation Flood Resiliency Grant of $334,000, salary and benefits reimbursement related to the Appalachian Center for Hope, and a request from the local CSA (Comprehensive Services Act) program for $749,572, for a total amendment of $1,120,029.

County Administrator Shawn Utt told the Board CSA spending was under closer review and staff are working to transition eligible cases to Medicaid where possible to transfer costs to the state; Utt said CSA was approximately $749,000 over budget for FY26. The Board discussed potential administrative changes, including moving the CSA Program Coordinator under County Administration for oversight.

Utt also outlined projected revenue and fee measures under consideration for the proposed FY27 budget, saying a real estate tax increase of up to $0.10 per $100 assessed value, a 5% water fee increase, a 10% sewer fee increase and a 5% solid-waste tipping-fee increase still leave an estimated $1.4 million deficit. Utt said the county does not expect a final state budget until later in the fiscal year due to ongoing state-level debates about tax treatment of data centers.

Commissioner of Revenue Bradley Powers asked for and received Board approval for a three-year Business Taxation Software contract intended to find unreported businesses and increase assessments. The contract was approved at $10,500 annually; Powers said it would not increase his office's workload and is expected to improve local tax collections.

The Board approved Budget Amendment #6 and the software contract unanimously.