Budget Guidance: Assumption of No Tax Rate Hike

Budget guidance being considered by the Falls Church City Council, as discussed at its work session Monday, is so far premised on the notion that growth in expenditures for the Fiscal Year 2013 budget will be limited to the projected 3.8 percent economic growth in revenues without a real estate tax increase.

“Our city has solved a lot of our special expenditure issues,” City Manager Wyatt Shields told the Council, references burdens from court decisions on the use of its water fund and related matters. He also noted that there are no provisions for increasing the current staffing levels in the City government, but the “priority is to take care of workers we have.” The plan is to maintain “a competitive compensation package” as “central for the City’s ability to recruit and maintain employees.”

There is also provision for a dedicated fund to cover storm water management issues and a set aside option to cover future burden in Virginia Retirement System obligations.