Stafford leaders order no tax increase despite lower revenues

Stafford leaders were issued a clear edict Tuesday night: there will be no increase in property taxes next year.

The directive comes as County Administrator Anthony Romanello is piecing together the county’s fiscal year 2016 budget that takes effect July 1. The county’s budget picture is mixed – some tax revenues are up this year while others, like money from real estate taxes and personal property taxes, development fees, and state funding decreased.

The county’s Board of Supervisors ordered Romanello and his staff to complete a line-by-line audit of the budget to find cuts.

“We need to cut out studies, cut out consultants, and I know Anthony doesn’t want to hear this but we need to implement a hiring freeze,” said Griffis-Widewater District Supervisor Jack Cavalier.

The Board agreed that county employees, both in local government offices and within the public school system, should receive raises as previously promised. Funding those increases could mean slashing some $80 million from capital improvement projects not already started, like improving the intersection at Route 1 and Courthouse Road, improving Courthouse Road between Winding Creek and Shelton Shop roads, as well as improvements to Boswell’s Corner at Route 1 and the Prince William County line.

“The Board was very clear in their direction not to raise taxes, and that means we’ll have to look under every rock to find savings and to help with raises for county government employees and schools employees,” said Romanello. “That’s a hell of a challenge. I don’t have an answer right now. I’ve got the next six weeks to work on it with our team to bring them a balanced budget during the first week of March.”

Laura Sellers, the only Democrat on the Board, was in favor of raising property taxes “because it’s what’s best for the community.” But she was against raising taxes on personal property, such as vehicles.

“When you raise the personal property taxes, it hurts the people who make the least money,” said Sellers.

Now at the halfway point in fiscal year 2015, the county has a revenue shortfall of about $500,000. That money can be made up with prior savings, so calling it a “deficit” would not be accurate, said Romanello.

Some major budget drivers this year is funding $1.9 million for construction for a new Stafford High School, as well as $600,000 in county projects that need funding this next year. Adding to all this, Romanello said the county’s School Board will request about $9 million more from the county as it did last year for education expenses.

Last year, county leaders approved a $262 million budget. The property tax rate was lowered from $1.09 to $1.019 per $100 of assessed value, while an increase in property assessments helped to bring in more than $7 million in new revenues over the prior year. 

Romanello will present Stafford County’s proposed budget at a public meeting of the Board of Supervisors on March 3.