Council public hearing on appropriating FY23 surplus 

In December, Charlottesville City Council learned of a $21.7 million surplus left over from the general fund at the end of Fiscal Year 2023. On January 22, they held a public hearing and held first reading of an appropriation of the funding. 

“In order to close out that fiscal year, several year-end adjustments need to be made to various accounts which require City Council’s action,”  said Chris Cullinan, the city’s Director of Finance. “These adjustments are to carry over unspent funds from the last fiscal year into the current year.”

The total amount for Council to appropriate is $26.3 million when the school’s carryover was included. Cullinan said staff recommendations were based on Council’s previous direction. The two biggest line items are a $15.82 million transfer to the capital improvement program contingency fund and a $2.6 million cost of living adjustment for retirees from city government. 

City Manager Sam Sanders said one reason for a large surplus in FY23 are vacancies in top level positions. He said keeping the future disposition of the money flexible can help Councilors meet some of their goals. 

“The surplus being available and placed in the CIP contingency in this manner is how we’ve been able to make some of the nimble decisions that we’ve made over the past year,” Sanders said. “Keep in mind that’s how we purchased CATEC and that is also how we purchased the Dogwood portfolio, and it was because those funds were available.” 

• The School Board’s $5.3 million purchase of CATEC closed on July 27, 2023, according to Albemarle County sales records. (learn more)
• Council gave the Charlottesville Redevelopment and Housing Authority $5 million toward a $10 million purchase of 74 units scattered across the city. (learn more)
• Council also agreed to the use of $5.9 million from the CIP contingency fund to purchase land along the Rivanna River to prevent it from being developed. (learn more)

No spoke during the public hearing. 

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