Information Charlottesville

The release of Charlottesville’s property tax assessment for 2022 have given budget staff a clearer picture of how much additional tax revenue will come in due to the assessments. That will provide more clarity on a potential increase in the real estate tax rate to cover a capital improvement program that will include $75 million for school reconfiguration, more funding for affordable housing, and other increases that have been sanctioned by the most recent City Council prior to this one.

Before we go too far with that, a subcommittee of the House of Delegates’ Finance Committee has recommended denial of a bill from Delegate Sally Hudson (D-57) that would allow Charlottesville to hold a referendum on a one-percent sales tax increase. (HB545) They also recommended “laying on the table” for another bill that would have allowed all localities to do so (HB531). Both votes were on party lines. More General Assembly updates in a moment. 

The annual reassessment of property in Charlottesville is complete, and over 95 percent of residential property increased this year. In all, there are 15,164 taxable parcels in the city, and the overall increase for 2022 is 10.77 percent. 

The overall average increase for residential property is 11.69 percent, with only 1.37 percent decreasing in value and 2.77 percent staying the same. 

The first Charlottesville City Council retreat held during the virtual era era took place yesterday, and the morning session served a last-minute tune-up before the budget season for FY23 begins in February (view the presentation). 

Let’s hear from Krisy Hammil, the city’s senior budget analyst about where we are in the process.

“In January and in February, we’re continuing to work on developing the budget, balancing it, and trying to figure out what our revenue forecast will look like,” Hammill said. “And then in February, we have to advertise our tax rate.”