What are the proposed tax rates, new or increased other taxes, and stormwater fee and tax changes of our neighboring jurisdictions? (City Manager Jinks)
Staff have compiled the proposed FY 2022 new and increasing tax rates, stormwater tax, and stormwater fee highlights from the City’s neighboring jurisdictions. The comparison of these rates can be found in Attachment I.
The City of Alexandria’s proposed FY 2022 real estate tax rate of $1.11 if approved would remain in the middle of our regional peer jurisdictions when comparing residential tax rates (Arlington and Loudoun would be lower; Fairfax and Prince William would be higher). The City’s commercial real estate tax rate remains one of the lowest, with only Loudoun County being lower. Two neighboring jurisdictions have also proposed base real estate tax rate decreases: Fairfax County and Loudoun County. Like Alexandria, Loudoun County has also released two alternative FY 2022 tax rate budget scenarios for their Board of Supervisors to consider: one low and one high.
There are also several other regional jurisdictions that are considering new or increased stormwater fee or stormwater tax rates. The City of Fairfax has proposed to increase their stormwater tax from $0.03 to $0.035 per $100 of assessed value. The City of Fairfax released a Stormwater Utility feasibility study on January 21, 2021 to explore the implementation of a stormwater utility fee. Arlington County is proposing to increase its stormwater tax from $0.013 to $0.017 per $100 of assessed value. The City of Falls Church and Manassas City will also both be proposing FY 2022 increases to their Stormwater Utility fees to be detailed in their proposed budget presentations taking place on March 8, 2021. All of these stormwater tax and fee increases were triggered by major climate change caused rainstorms and resulting overland flooding that occurred in 2019 and 2020.