A bigger population needs more services — and that means the average single-family homeowner will pay an additional $483 in real estate taxes this year in the City of Alexandria.
The Alexandria City Council unanimously adopted the new FY2025 budget this week of $926.4 million — a 4.8% increase from the previous year's budget. The fiscal year runs from July 1 - June 30 every year.
The budget passed with a 2.5-cent increase in the real estate tax rate. "This increase means the average single-family homeowner will pay $483 and the average condominium owner will pay $285 more this year than last year," city officials explained. A few months ago, the City Manager had proposed a budget with no increase in that tax rate, but school and infrastructure needs affected the numbers.
"The approved budget focuses on the City’s commitment to quality education, improved city services, public safety and mental health services, and affordable housing while maintaining established fiscal policies," according to city officials. The budget includes an additional $3 million this year for approved but unfunded affordable housing initiatives.
The budget also includes a $14.3 million increase in the ACPS operating budget in an effort to increase teacher compensation, and strengthen recruitment and retention.
“We had a comprehensive process to reach tonight's adoption," said Mayor Justin Wilson, which included significant resident input. "The result is a budget that aligns with our community's values with an eye to the demands of the future.”
In addition, the budget provides more capital investments for stormwater management; educational facilities; and maintenance of existing City assets and facilities, totaling $2.4 billion to be invested over 10 years in Alexandria’s Capital Improvement Program (CIP). This includes a total of $379.0 million in planned investments in ACPS capital projects, like improvements to George Mason and Cora Kelly elementary schools.
The FY 2025 budget will go into effect on July 1, 2024.
Fairfax County will be approving its budget on May 7.
