The Fredericksburg City Council approved the FY 2027 budget on May 12, 2026, including approximately 8% increases in water and sewer rates effective July 1, 2026, along with a new two-tier consumption structure designed to ensure high-volume users help fund major infrastructure upgrades.
The changes support more than $110 million in projects while keeping impacts manageable for most typical households.
Barbara Saunders, a retired Fredericksburg public school teacher living on Pony Drive, opened her latest property tax bill with a familiar sense of dread.
At $4,980 already, her real estate taxes are set to climb again under the City of Fredericksburg’s proposed FY2027 budget. In a written letter read aloud at the April 21 City Council meeting, the senior citizen described the cumulative impact: a 0.4-cent increase last year, followed by the proposed 0.5-cent hike this year, for a total 0.9-cent jump over two years.
