Alexandria City Council Adopts $566.9 Million Budget

Alexandria City Council voted unanimously to adopt a $566.9 million operating budget for fiscal 2012, which addresses the city’s transportation infrastructure, needs of the school system and personnel issues.

The council increased the real estate tax by 2 cents to 99.8 cents per $100 of assessed value. However, it did not approve the proposed controversial transportation add-on tax, which the city manager had offered in his initial budget presentation as a way to bolster the city’s ailing transportation infrastructure.

Instead, part of the base real estate tax paid by all property owners will be reserved to pay for transportation upgrades.

“One thing folks can never say about this council is we don’t listen,” said Mayor Bill Euille. “We do listen."

Vice Mayor Kerry Donley called the final budget a “significant accomplishment” considering the financial difficulties the city has had over the last three years.

Councilwoman Del Pepper said the unanimous vote, 7-0, “is a credit to all of us. No one ended up with everything they wanted by a long shot,” but added that she’s pleased to be part of a council that “realizes it’s the end goal that really counts.”

“The sad part is that we hoped that we would be able to stay at the same tax rate…Unfortunately that wasn’t possible to accomplish many of the things that were really very necessary,” she said.

Councilman Paul Smedberg was pleased that the budget was aligned with the city’s strategic planning, but advised groups that had complained about the add-on tax “to work with us to make a real list of priorities” rather than simply making a stand to oppose something.

Councilwoman Alicia Hughes called Monday night’s vote the “hardest vote” she’s taken in the two years she’s been on the council.

The largest dollar increase in the FY 2012 budget goes to Alexandria City Public Schools. The transfer of funds to the schools for operating expenses will increase $6.9 million, a 4.1% increase over the FY 2011 budget.

Council also approved an additional $53 million for the schools’ FY 2012-2021 Capital Improvement Program budget over 10 years, which represents a 33 percent increase. The funds will be used to pay for additional classroom capacity at several schools and new elementary school buildings at Jefferson-Houston in Old Town Alexandria and Patrick Henry in the West End.

Alexandria School Board Chairman Yvonne Folkerts attended the council meeting and said after the budget passed that she was “thrilled” with the outcome.

Fellow School Board member Arthur Peabody also attended and remarked: “The children of Alexandria owe a great deal of thanks to the City of Alexandria.”

Councilman Rob Krupicka said, “This budget makes it clear that Alexandria takes education very seriously.” He also said he was pleased that the city is taking steps to restore some of the libraries’ operating hours that were cut during the recession.

Councilman Frank Fannon lauded the group’s ability to reach a consensus and make compromises. He also said it’s great that the city now will have a fleet manager for its more than 850 vehicles.

Some city employees will receive merit step increases at a cost of $3.3 million. The city manager’s budget originally proposed a 1 percent city employee contribution increase for pension costs, but the council did not include that proposal in its final FY12 budget.