Subject:
Title
Public Hearing for Fiscal Year 2026-27 Proposed Tax Rate (5 mins.)
Body
DATE(S) OF PRIOR COUNCIL CONSIDERATION OF THIS ISSUE:
March 14, 2026, Town Council Work Session
March 23, 2026, Town Council Work Session
EXPLANATION AND SUMMARY:
Each year, as the Town's budget for the following year is developed, a proposed real estate tax rate is recommended by the Town Manager and reviewed by Council during budget work sessions. This public hearing is being held to give Vienna residents an opportunity to provide public comment on the proposed real estate tax rate of $0.195 per $100 of assessed value for fiscal year 2026-27.
The State Code of Virginia, section 58.1-3321, requires that a locality calculate the "Lowered Rate Necessary to Offset Increased Assessment". This is the tax rate which would levy the same amount of real estate tax as last year, when multiplied by the new total assessed value of real estate excluding additional assessments due to new construction or improvements to property. The "lowered tax rate" is $0.186 per $100 of assessed value.
The Town of Vienna proposes adopting a tax rate of $0.195 per $100 of assessed value. This difference between the lowered tax rate and the proposed rate would be $0.009 per $100, or 4.8%. This difference is known as the "effective tax rate increase."
Individual property taxes may, however, increase at a percentage greater than or less than the above percentage.
Based on the proposed real property tax rate and changes in other revenues, the total budget for the Town of Vienna will exceed last year's by 5.0 percent.
Town Council has reviewed the budget during conference sessions on March 14 and 23, 2026. The Finance Department is presenting the proposed real estate tax rate and other tax rates at this public hearing for input from the public.
This is the 14th consecutive year with no change or a decrease in Vienna's real estate tax rate. The proposed fiscal year 2026-27 budget is based on th...
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