A boathouse, a library in Crystal City and a new Metro entrance in Ballston are some of the projects Arlington County is looking to fund over the next three years.
These projects are part of County Manager Mark Schwartz’s proposed $1.25 billion, three-year Capital Improvement Plan, slated for adoption this summer, which includes a long list of investments, from renovating and building community amenities to upgrading county technology.
(Updated 4:50 p.m.) The School Board approved a $700 million budget for the 2021-22 school year during its meeting on Thursday evening.
These funds will support both full-time in-person instruction and a distance education option for Arlington Public Schools students this coming fall and next spring. More than 24,000 students are projected to be in-person this August, according to APS.
About 2,000 students who left Arlington Public Schools after buildings shuttered in March 2020 have indicated they will not be returning this fall, according to APS staff.
This enrollment information — which could alter the budget for the 2021-2022 school year — landed in the laps of the Arlington School Board and school administrators during a budget work session Tuesday evening.
Last week, the Arlington County Board approved a new budget that holds the current real estate tax rate steady.
In some ways, that’s a win given the fears of a pandemic-caused budget crunch. Tax revenue ended up coming in above estimates and federal funding freed up million in local funds. Instead of making significant budget cuts, as originally feared, the Board was able to add in numerous initiatives, paid for with one-time funding.
The majority of Arlington homeowners will face higher property taxes, after the County Board approved a budget that holds the property tax rate steady.
The Fiscal Year 2022 budget includes $1.4 billion in spending, a 3.5% increase from last year’s budget. Of that, $530 million will go to Arlington Public Schools, which will pass its final budget next month.
The County Board is slated to vote on its fiscal year 2022 budget tomorrow (Tuesday) and affordable housing is top of mind for many Arlingtonians and Board members.
In February, County Manager Mark Schwartz proposed a budget with $71.1 million earmarked for housing — about 8.5% of the overall $834 million county budget, excluding schools.
Most Library Branches Still Remain Closed — “Arlington officials say it is no longer public-health concerns, but budget issues, that are keeping most of the county’s libraries locked up tight. And it’s likely most of them will stay that way for months to come. ‘Community health metrics are not the driving factor in regard to opening additional locations and services,’ library officials said in an e-mail to patrons last week. ‘The county [government] has been under a hiring freeze for more than one year. Libraries cannot open additional locations or services with current staffing levels.'” [Sun Gazette]
Rosslyn Startup Raises Millions — “Arlington meal delivery service Territory Foods has raised $22 million in fresh funding, the startup announced Tuesday… The company creates specialty meals that cater to a wide variety of specific diets, including paleo, Whole30, keto, vegan, low carb and low fat, among others. Customers can order the meals delivered in bulk once or twice a week.” [Washington Business Journal]
Arlington County's projected revenue appears sunnier than when County Manager Mark Schwartz first presented his proposed budget for the 2022 fiscal year in February.
The county can attribute this warmer outlook to two sources: the nearly $2 trillion American Rescue Plan and strong business license tax receipts, Budget Director Richard Stephenson said during a public hearing on the tax rate last Thursday. While he did not specify the revenue from the business taxes, Stephenson said President Joe Biden's relief bill will apportion $46 million to the county.
Combined, the influx of cash could mean funding will be restored to libraries, community centers, Arlington Independent Media and the Virginia Cooperative Extension, for example.
Schwartz's proposed budget delays the re-opening of Cherrydale and Glencarlyn libraries and reduces support for AIM and VCE. Between 2019-20 and the proposed budget, funding for AIM had dropped by 22%, while the proposed reductions to VCE would require the organization to find new funding sources or reduce its programs. Members of the public spoke in favor of restoring funding to these programs last Tuesday.
Still, Arlington County will be leaning on real estate taxes for the lion's share, 59%, of its revenue. Specifically, it will be relying on increasing residential real-estate taxes due to rising property values as commercial property assessments drop.
"We've experienced some significant reductions to several of our tax revenues and non-tax fees," Stephenson said. "We were fortunate this past January that real estate assessments came in slightly higher than we were originally projecting. While we experienced a decrease in commercial property assessments, new construction and residential properties increased."
While property values are rising, Schwartz is proposing to keep the rate flat -- at $1.013 per $100 of assessed value -- for the upcoming fiscal year. That will mean an overall tax increase for most homeowners.
The County Board is slated to vote on this rate next Tuesday.
Members cannot increase the rate but they could decrease it, which is something that a few Arlington residents told board members they would like to see.
While Arlington has proposed holding its tax rate steady, nearby jurisdictions -- including Fairfax County and Loudoun County -- have proposed lowering or approved a lower real estate tax rate, said Audrey Clement, who is running as an independent for a seat on the County Board.
"The impetus for tax reductions elsewhere is to provide relief to homeowners hit by rising assessments, even as the pandemic has put a lot of them out of work," Clement told the board.
She said the county is using falling commercial real estate tax revenue to justify freezing rather than lowering the residential tax rate.
"The county will tell you it can't afford to reduce the real estate tax rate because the pandemic has drained the commercial real estate tax revenue, but where were your real estate tax rates heading when the county was flush with revenue from corporate tenants?" she said. "They were going up."
Meanwhile, two residents, William Barratt and Cindy Nelson, both asked the County Board to reduce real estate taxes.
Barratt said the Bluemont Civic Association, of which he is a part, passed a resolution encouraging the board to reduce the tax rate. The homeowner said he and his wife have seen a 15% increase in their taxes in recent years.
"I don't think this is a wise idea for anyone: poor and rich," Nelson said. "It's just not right."
The stormwater tax rate is set to increase, which Stephenson said will help generate $15.1 million earmarked for stormwater improvements.
Eventually, the county plans to eliminate the stormwater tax completely in favor of a fee based on how much impervious surface covers a given property, Schwartz previously said.
A higher cigarette tax rate is also being proposed that could generate $600,000. Like most of the county's tax revenue, almost half of that will go toward Arlington Public Schools, Stephenson said.
Images (2-4) via Arlington County
New Irish Pub Now Open in Pentagon City — “If your notion of an Irish pub is a static menu of fish n’ chips in a shamrock-decked bar, chef Cathal Armstrong wants to change that perception with Mattie and Eddie’s. The James Beard-anointed chef, who championed seasonal Irish cooking over 14 years at Alexandria’s Restaurant Eve, just opened the gastropub with a large outdoor patio in Pentagon City.” [Washingtonian]
Extended Power Outage in Barcroft — A driver crashed into a utility pole at S. Buchanan Street and 6th Street S. in the Barcroft neighborhood Sunday, initially knocking out power to thousands. Hundreds of homes were still in the dark until early this morning. [Twitter]
Sentencing in Arlington Cold Case — “A Virginia cold case closed Thursday as Jose Rodriguez-Cruz was sentenced to 40 years in prison in Stafford County for the killing of his wife. Marta Rodriguez went missing from Arlington in 1989, when her son, Hansel Rodriguez, was just four years old… ‘It almost felt like I was able to breathe for the first time in many years,’ said Hansel, now 36.” [NBC 4]
Wheel Theft Spree Along Columbia Pike — “On April 7, police responded to multiple reports of larcenies from auto. The investigations determined that between 6:30 p.m. on April 6 and 7:35 a.m. April 7, the suspect(s) removed all four tires and rims from the four victim vehicles. There is no suspect(s) description. The investigation is ongoing.” [ACPD]
With budget planning in full swing and tax season looming near, you may be wondering what Arlington County is paying for with your tax dollars.
County officials are currently hammering out the details for the next fiscal year’s budget, which the County Board is slated to adopt on Saturday, April 17 and which will go into effect on July 1. The proposed $1.36 billion budget, which County Manager Mark Schwartz calls a “transition” budget, includes a COVID-19 contingency fund and $16.4 million in cuts.
(Updated at 11:30 a.m.) For his first budget as Superintendent of Arlington Public Schools, Francisco Durán said he is proposing a conservative budget “that reflects our most urgent needs.”
The 2022 budget for APS, which he presented to members of the School Board on Thursday, comes to $704.4 million in expenditures and $661.9 million in revenue. APS, which has expected budget gaps in years past, is expecting a $42.5 million shortfall for its next fiscal year.
