After months of weekly budget sessions, the Madison County Board of Supervisors has advertised a budget, one that increases taxes.
The $59 million budget, of which $37.1 million is in the general fund, is approximately 6% higher than the current year’s $35.4 million adopted budget. The budget includes a 2% cost of living adjustment for all employees effective July 1 and an average of a 2% merit increase tied to employee evaluations effective Jan. 1. Department heads can utilize performance metrics to award the merit increases from a pool of money. Some employees may earn up to 3% while some could earn 0%. Approximately $38,000 is included for merit increases at the sheriff’s office. The budget also absorbs a 16.9% health insurance rate increase, opting to follow the school board’s decision of not passing the increase on to employees.
The advertised budget also includes a new part-time position in the animal control department, the unfreezing of a second part-time position at the animal shelter, converting a part-time position to full-time in the commonwealth’s attorney office, converting a part-time position to full-time in parks and recreation and a new full-time court security position. The contribution to the schools was decreased by $75,000. The budget funds the community paramedicine program at a cost of $111,527, but that number could be reduced if a grant application is successful.
The budget includes capital needs of approximately $2.7 million funded through a mix of fund balance and borrowed funds. Among the items funded in the budget are four sheriff’s office vehicles, the replacement of HVAC units at the Boys & Girls Club and the middle and high school (the total of which will be split between FY27 and FY28), a zero turn mower and the conversion of a used sheriff’s office vehicle into an animal control vehicle.
The budget includes a 2-cent real estate tax increase, from $0.51 per $100 of assessed value to $0.53. A one-cent increase yields approximately $275,000 in revenue. The personal property tax is also increased, from $3.40 per $100 of assessed value to $3.50. A ten-cent increase yields $175,000 in revenue. The transient occupancy tax (TOT) is increased from 5% to 6% and the meals tax is increased from 4% to 5%. Each 1% lodging increase yields approximately $50,000 and each 1% meals tax increase yields approximately $140,000. The TOT will be split with 3% going into the tourism fund and 3% going to the county.
Supervisor Jud Buchanan, who owns glamping units, spoke against the increase in the TOT. He said occupancy numbers are already down 20%.
“It’s an unfair burden on these owners,” he said. “They won’t be able to continue their business and continue to pay taxes in the county. If we do raise the tax, it better go to tourism because that’s bringing people into the county.”
Supervisor Nancy Sharman said she doesn’t like any of it.
“I know we don’t have a choice, but I don’t like it,” she said.
Supervisor Jim Jewett said while the county has done its best to control spending, the tax base has to be broadened.
“The cost of not wanting any [development] is taxes on your house are just going to keep going up and up and up,” he said. “We have got to change the way we think about growth in this county. We don’t want to become Culpeper or Greene, but we have to promote more of a tax base or this is our future.”
Several administrative fees are also changing. The impoundment fee for companion animals is increasing $3 to $15. The same fee, but for livestock, is increasing $10 to $25. The boarding fee for livestock is also increasing from $10 to $20 per day and the adoption fee for livestock is increasing from $45 to $100. In the building and zoning office, the application fee for rezoning and a zoning text amendment is increasing to $1,000; for a special use permit $750, a variance request $400 and a variance request appeal $500. The fee for an above ground pool is $100. The fee for disposing of tires is increasing to $7 per passenger car and truck tire and $20 for commercial truck and tractor tires.
County administrator Jonathon Weakley is expected to make a formal budget presentation during the April 14 board meeting. That meeting begins at 4 p.m. and will include public hearings on the budget, tax rates and administrative fees. Director of finance Jennifer Warren iterated that the advertised rates are the max and supervisors could opt to decrease them. The budget is balanced using a $1.289 million beginning appropriation from fund balance.
