A tax rate increase, the closure of the Cherrydale Library and the elimination of a popular youth gymnastics program are key components of the new budget proposal for the upcoming fiscal year.
The $1.69 billion spending plan, released at a County Board meeting on Saturday, is down a fraction of a percent from the adopted fiscal year 2026 plan. The almost unprecedented year-over-year decrease reflects ongoing concerns about declining revenue from commercial office buildings, hotel stays and the federal government.
County Manager Mark Schwartz told County Board members his proposal seeks to “support those most in need in the county.” It aims to “maintain our core services, maintain our fiscal sustainability, maintain our excellent workforce,” he said.
The proposal has already prompted outcry from residents involved in the Arlington Aerials and Arlington Tigers gymnastics programs, which would be eliminated at the end of this season, while Barcroft Sports & Fitness Center would be repurposed for “other operational needs.”
Possible real-estate tax increase
The budget plan seeks a 1.5-cent increase in the real estate tax rate to $1.048 per $100 assessed value. If enacted, that would prove a double whammy for homeowners, who also saw higher average property assessments when figures were released in January.
The average assessment rose 3.2%, with about three-quarters of homeowners seeing increases.
Between the assessment increase and the tax-rate hike, a typical homeowner would pay about $422 more in real estate tax this year, according to a county estimate. Renters also likely would see increases as landlords pass on higher tax costs, officials said.
Increases to stormwater fees, water/sewer rates and a host of other county fees are proposed.
The average tax-and-fee burden for homeowners for the coming year would stand at $9,253, according to county calculations. That’s up 4.8% from $8,831 the current budget and up 55% from $5,981 in fiscal 2017.
The tax burden would be significantly higher for those owning single-family homes. The average sales price for detached properties in Arlington stood at just over $1.4 million in January, equating to a tax bill of nearly $14,700 before other taxes and fees were added.
Program cuts
The budget proposal also calls for freezing or eliminating 56 staff positions, including 24 that are currently filled. The two major proposed program cuts would close the over 100-year-old Cherrydale Library and eliminate Arlington’s competitive and recreational gymnastics programs.
“I didn’t make them lightly,” Schwartz said.
Gymnastics supporters have already started a major push to save their programs, noting their role in supporting high school programs like Yorktown’s girls gymnastics team, which recently won the 6D North Region Championship.
Many of that team’s members compete year-round for the Arlington Aerials and learned of the planned cuts while competing at the state meet in Virginia Beach, according to a website created by advocates.
“I intend to advocate vigorously for this program and will be engaging with the County Board, fellow parents, and the broader Arlington community,” gymnastics supporter Erin Lester wrote in an email to county staff. “Our children deserve better than a hastily announced elimination of a program that has served Arlington families for five decades.”
In the budget presentation, Schwartz said, “I welcome the conversation of the value that program adds, and whether there are alternatives [to eliminating it].”
Next steps for the budget
Under Schwartz’s proposal, Arlington Public Schools would receive $650.3 million in county funding, up 0.5% from the current year.
Because Virginia school boards do not have independent taxing authority, they rely on local governments for the bulk of funding.
For years, the county government and school system have operated under a revenue-sharing agreement, with schools receiving a predetermined amount of overall county revenue. In his budget proposal, Schwartz plans to exclude from the sharing agreement the additional revenue brought in from the proposed tax-rate increase.
The school system’s response may become clear on Thursday (Feb. 26), when Superintendent Francisco Durán delivers his budget proposal to School Board members and the broader community.
The Feb. 21 presentation by Schwartz and his budget staff was a broad-brush look that will get into more depth on Tuesday evening.
County Board members that night will advertise the maximum tax rates for later consideration. After the rates are advertised, they can be lowered but not increased later in the budget season.
The coming two months will include several public hearings and numerous budget work sessions before Board members adopt the fiscal year 2027 budget plan in mid-April. The School Board will follow, adopting its budget in mid-May.
In remarks following Schwartz’s presentation, several Board members said the budget situation is difficult.
“This isn’t a manufactured crisis. This is real,” Board member Maureen Coffey said.
Coffey said the county government may need to tap reserve funds just to make its way through the end of fiscal year 2026, which concludes on June 30.
Board member Susan Cunningham said the government was working to reduce costs where possible.
“We’ve been turning the dials back as far as we can,” she said. “They’re stuck. We can’t dial them back any further.”
