SUFFOLK, Va. (WAVY) — Suffolk’s proposed fiscal year 2025 budget as it currently stands calls for no changes in the city’s $1.09 real estate tax rate, though Suffolk City Council wants to look at a possible two-cent decrease in the rate, to $1.07 (per $100 in assessed value).
After a presentation on the proposed budget on Wednesday from Assistant Director of Finance-Budget Charles Meek, council voted unanimously to ask City Manager Albert Moor II to adjust the $888.2 million operating budget/capital improvement program to incorporate the potential rate change. The two-cent decrease would lead to about a $3 million reduction in revenue.
This comes after the city reported more than $21.3 million in increased revenue compared to last year.
Mayor Mike Duman said that growth leaves the city in an “enviable position” to allocate about $83 million this toward capital improvement projects and give city employees a cost-of-living adjustment of 4%, but citizens need some form of tax relief.
There was nearly a 3% increase in residential assessments on average citywide compared to last year.
The current proposed budget meanwhile has no fee changes to refuse ($25.25 per month) and stormwater ($7.50 per month). The city will instead use debt service and money in its refuse fund.
The budget also includes a “modest” increase in the average water/sewer bill for city residents (about $2.95 per month on average for a total of about $109 per month).
In addition to the 4% wage for city employees, Moor’s plan calls for a step plan increase for public safety employees. There’s also funding allocated for 44 new positions citywide, including eight for Suffolk Fire-Rescue, seven at the Suffolk Police Department, six at emergency communications and one for the sheriff’s office.
There’s also more than $4 million in new funding for Suffolk Public Schools operations (totaling $75.3 million) and $28.6 in capital funding for the JFK Middle replacement project ($25M) and Northern Shores Elementary addition ($3.6M).
The city will next hold a public hearing on the proposed budget on April 17 and a public hearing on the real estate rate on May 1.
You can see the full proposed budget here and watch Meek’s presentation here.