County governments throughout Northern Virginia are raising their property tax rates, but only homeowners in Alexandria will pay higher real estate taxes next year.
Property assessments in Alexandria and nearby Arlington County were relatively flat, while real estate values throughout the rest of the region dived in 2008.
Alexandria still boasts the second-lowest rate in Northern Virginia, behind only Arlington’s rate of 86.5 cents per $100 of assessed value.
The fickle housing market has forced other jurisdictions such as Fairfax, Prince William and Loudoun counties to raise their rates by at least 10.5 cents. Still, the average homeowner in Loudoun and Prince William will see a significant drop in his or her tax bill next year because assessments have plunged in the once-booming exurbs.
Alexandria homeowners will see an average increase of $76 in their property tax bills next year, while the average Arlington homeowner will see a $48 decrease. Coupled with fee increases for water, sewer, trash, recycling and motor vehicle licensing, though, the total effect of tax and fee changes for an average household will be an increase of $18 a year for Arlington residents.
Alexandria is already steeling for fiscal 2011. The city council has decided to reduce borrowing for its construction program and allocate $2 million in additional cash to pay for capital expenditures next year, and the council also set aside $2.3 million in a reserve fund to prepare for a possible revenue shortfall in fiscal 2010.
“Alexandria continues to face its most serious fiscal decline in more than 30 years,” said Mayor William D. Euille.
Arlington, meanwhile, increased its general fund budget 0.6 percent from fiscal 2009 to $946.8 million, bucking the budget-slashing trend in surrounding areas. However, the increase is the smallest in a quarter-century.
“In a time of economic instability, the county board strove to keep the tax burden as low as possible while balancing the need to maintain core services, ensure a strong safety net for the most vulnerable residents, honor our commitment to the environment, and prepare for future budget uncertainty,” said Board Chairman Barbara A. Favola.
Prince William and Arlington counties adopted their fiscal 2010 budgets Tuesday, and Alexandria and Fairfax adopted their budgets Monday. Loudoun adopted its budget April 7.
Montgomery and Prince George’s counties and the District of Columbia are still working on their budgets.