Charlottesville seeing $14M surplus

WVIR Sunrise 4:30 live recording
Published: Jun. 30, 2022 at 1:37 PM EDT

CHARLOTTESVILLE, Va. (WVIR) - The Charlottesville tax surplus that was predicted in April has increased by $1 million.

The first estimate for the city was $13 million. Now, it’s $14 million.

“Remember, a year ago we were in the middle of COVID and budgeting with a lot of uncertainty. We had some rather pessimistic projections,” Mayor Lloyd Snook said. “Since that worked out better than what was expected, we got more revenue than expected.”

The mayor says knowing the surplus was there allowed the city to plan how it will be spent.

“Instead of raising taxes by 1 cents, 2 cents, 5 cents, whatever, we started allocating that expected surplus,” he said.

The extra money will go to pay back loans, as well as for new projects.

“Some of its going to go, for example, to allocating funds for the debt service for the bonds that are being sold,” Snook said. “We can do the school renovation project.”

The mayor says tax cuts were not in the proposal, and it is too early to predict if they will be in the future.

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