At the April 26, 2022 Board of Supervisors meeting the board made changes to the county executive’s advertised budget. The FY 2023 Budget mark-up package includes relief for taxpayers, an additional step for uniformed public safety employees, and increased funding for affordable housing, parks, the arts and economic initiatives. The board will adopt the budget on Tuesday, May 10.
The board used a $96.42 million balance, including $17,159,457 identified since the FY 2023 Advertised Budget was released (from updated revenue projections) to fund a three-cent tax rate reduction from $1.14 to $1.11 per $100 of assess value, and additional adjustments as part of mark-up.
The board also approved assessing vehicles at 85% of their market value rather than the normal 100%. Vehicle owners will see the 15% assessment reduction automatically incorporated into their personal property tax bills that will be mailed in July. This change to personal property or “car” tax assessments will save taxpayers a total of almost $98 million. High consumer demand for new and used cars, and low supply due to the pandemic, have driven vehicle values up on average by 33% since January 1.
The board also recently expanded the tax relief program for seniors and people with disabilities, including increasing income and asset limits, which is estimated to make an additional 2,000 residents eligible for the program.
Parks
The mark-up package includes an additional $751,954 for new positions and other support for natural resources sustainability efforts. In their budget guidance, the board has also directed staff to work closely with FCPA to develop a 2026 referendum that meets the parks system’s needs and fits within overall county limitations. The budget guidance also provides direction on the use of a $500,000 allocation from the Advertised Budget package for a pilot equity program. Extensive community outreach and consultative support will be utilized to develop and implement the pilot.
Affordable Housing
In keeping with the doubled goal of 10,000 net new affordable housing units by 2034, the board has committed additional funding including a $2 million balance from the FY 2022 Third Quarter Review and an additional $10 million on top of the $5 million increase included in the FY 2023 Advertised Budget. This increased investment was possible through collaboration with the Fairfax County Public Schools on this joint priority. The FY 2023 budget allocates $44.7 million in total for this goal, including $29.7 million in baseline county funds and $15 million allocated from federal American Rescue Plan Act funds.
Public Safety
To address retention, recruitment and compression issues felt significantly across uniformed public safety positions, the mark-up package includes an additional $6,103,382 to advance eligible uniformed employees one additional step on their respective pay plans. The adjustment almost exclusively benefits employees at the first two steps on their pay plans. In total, eligible public safety employees who also qualify for an FY 2023 step or longevity increase will see total increases of up to 14.01% in FY 2023.
Additional Funding
The mark-up package also includes $825,000 for contract rate increases for direct service providers in health and human services, representing a 50% increase from the increase included in the Advertised Budget. This adjustment will help to address the concerns raised by non-profits during budget testimony regarding rising personnel and operating costs.
Also in the approved package is $250,000 for ArtsFairfax to supplement the organization’s existing grant program and assist arts organizations that have been impacted by the pandemic. Budget guidance urges the organization to focus outreach efforts to include organizations that have been historically underrepresented.
The package also provides an additional $180,000 and one new position for the Department of Economic Initiatives to develop a platform to assist small businesses in navigating available resources to help them succeed.
For more information visit the Department of Management and Budget.
Source: Fairfax County Government