City Council
City Council
Thu, April 9, 2026
Agenda items
Vote records
Discussion summary
Transcript
Meeting summaryAI-generated
Charlottesville City Council Special Meeting — April 9, 2026
This was a brief special meeting called for two specific actions: setting the personal property tax relief percentage and formally adopting the FY2027 city budget ordinance, tax levy, and annual appropriations. The full council was present.
Personal Property Tax Relief Percentage for Tax Year 2026
City Finance staff (presented by Mr. Divers) explained the annual Personal Property Tax Relief Act (PPTRA) process. The Commonwealth of Virginia provides the city a fixed block grant of approximately $3.5 million per year — a remnant of Governor Gilmore's effort to eliminate personal property taxes, which was eventually frozen at locality-level allocations. The city is required each year to determine what percentage of that grant is passed through to vehicle owners as tax relief. Vehicles valued at $1,500 or less receive 100% relief; for all other qualifying personal-use vehicles, relief is applied to the first $20,000 of value at the set percentage. Staff recommended holding the rate steady at 31%, the same as the prior year.
There was no substantive discussion or public comment on this item.
Vote: Moved and seconded; approved unanimously by voice vote.
Adoption of the FY2027 City Budget Ordinance, Annual Appropriation, and Tax Levy
City Manager Sam Sanders opened with brief remarks acknowledging it had been a particularly difficult budget cycle. He noted that the year began with a larger-than-usual budget gap — described as "double-digit" — and credited Finance Director Chrissy (last name not clearly captured in transcript) and her team with closing it. He acknowledged the weight of recommending any tax increase and emphasized his commitment to fiscal honesty with council and the public.
Tax Rate Ordinance
Finance staff (presented by Chrissy) walked council through the two ordinances. The personal property tax rate remains unchanged at $4.40 per $100 of assessed value. The real estate tax rate will increase by one cent, from $0.98 to $0.99 per $100. The rate had originally been advertised at $1.00 (a two-cent increase), but council had already decided during the work session process to reduce it by one cent. Councilor Snook raised a procedural question about whether a formal amendment was needed given the advertised rate; City Attorney John (appearing remotely) clarified that no formal amendment was required — as long as the adopted rate does not exceed the advertised rate, the ordinance as written at $0.99 is valid and can be passed as-is.
Vote: Moved by Councilor Snook, seconded; approved unanimously by voice vote.
Budget Ordinance
The total FY2027 general fund budget was presented as $280,325,000 (rounded). Staff explained the path from the City Manager's original proposed budget of $279,643,398 (which had included a two-cent tax increase):
Revised revenue projections added just over $1 million.
Backing out one penny of the proposed tax increase reduced revenues by approximately $1.23 million net, resulting in a net revenue change of roughly -$228,739 from the proposed budget, bringing the general fund operating budget to $279,414,659.
The remaining ~$910,000 difference bringing the total to $280,325,000 reflects carryover of funds expected to be unspent at the close of the current fiscal year — not new money.
On the expenditure side, notable changes from the City Manager's proposal included adjustments to agency contributions, minor administrative/bookkeeping changes to the circuit court, city attorney, and social services accounts, and — most significantly — a $2 million contingency placed on the school system's contribution pending further information or funding from the state.
Councilor Snook disclosed before seconding that his wife receives a small city pension of approximately $300/month stemming from her service as deputy city attorney in the 1980s, meaning a 1% raise would amount to roughly $36 annually for his household. He noted he had been advised this does not disqualify him from voting.
Vote: Moved by Councilor Payne (implied from sequence), seconded by Councilor Snook; approved unanimously by voice vote.
The meeting adjourned immediately after.
Key Takeaways
Real estate tax increases by one cent. Charlottesville property owners will pay $0.99 per $100 of assessed value in FY2027, up from $0.98 — a smaller increase than the two-cent hike originally proposed.
Total FY2027 general fund budget is approximately $280.3 million, up from the prior year, reflecting both new revenues and roughly $910,000 in carryover funds.
Schools face a $2 million contingency. A portion of the school system's budget contribution is held contingent on state funding clarity — a notable condition that could affect school operations if state dollars fall short.
Personal property tax relief holds steady at 31%, meaning qualifying vehicle owners will continue to receive state-funded relief on 31% of their tax bill on the first $20,000 of vehicle value.
Budget cycle was unusually difficult, with staff describing the initial gap as the largest since the current City Manager's tenure began, ultimately closed without the full two-cent increase originally contemplated.
AI-generated summary from voice-to-text transcript. Not the official record. Verify important details with the source documents linked above.
What happened at this meeting
Resolution: Adoption of the Resolution Establishing the Personal Property Tax Relief
Mr. Divers presented the Personal Property Tax Relief (PPTR) resolution, explaining that the city receives $3.5 million annually from the state for this program. The city provides 100% relief for vehicles valued at $1,500 or less, and allocates the remaining funds as a percentage of tax bills for other vehicles up to $20,000 in value. The recommended relief percentage for tax year 2026 is 31%, unchanged from the previous year. Council voted unanimously to approve the resolution with no questions or public comments raised.
Action Item: Adoption of FY2027 City Budget Ordinance, Annual Appropriation, and Tax
# FY2027 City Budget Ordinance Summary
City staff presented the FY2027 budget ordinance with a proposed general fund budget of $279,414,659, successfully closing a double-digit budget gap through dedicated work and revenue adjustments that generated over $1 million in additional revenue. The final budget reduced the initially proposed two-cent tax increase to one cent, with the real estate property tax rate adjusted from 98 cents to 99 cents per hundred while maintaining the personal property tax rate at $4.40 per hundred. Notable budget provisions include a $2 million contingency for school contributions pending state funding notification and $910,000 in carryover accounts from the current fiscal year. One council member disclosed a potential conflict of interest regarding a spouse's former city employee pension but stated this did not preclude his vote, and the motion to adopt the ordinance passed unanimously.
City staff presented the FY2027 budget ordinance with a proposed general fund budget of $279,414,659, successfully closing a double-digit budget gap through dedicated work and revenue adjustments that generated over $1 million in additional revenue. The final budget reduced the initially proposed two-cent tax increase to one cent, with the real estate property tax rate adjusted from 98 cents to 99 cents per hundred while maintaining the personal property tax rate at $4.40 per hundred. Notable budget provisions include a $2 million contingency for school contributions pending state funding notification and $910,000 in carryover accounts from the current fiscal year. One council member disclosed a potential conflict of interest regarding a spouse's former city employee pension but stated this did not preclude his vote, and the motion to adopt the ordinance passed unanimously.
Agenda items (8)
Procedural (8)
1ProceduralResolution: Adoption of the Resolution Establishing the Personal Property Tax Relief
City Council is adopting a resolution to establish a personal property tax relief program for Charlottesville residents.
What happened
Mr. Divers presented the Personal Property Tax Relief (PPTR) resolution, explaining that the city receives $3.5 million annually from the state for this program. The city provides 100% relief for vehicles valued at $1,500 or less, and allocates the remaining funds as a percentage of tax bills for other vehicles up to $20,000 in value. The recommended relief percentage for tax year 2026 is 31%, unchanged from the previous year. Council voted unanimously to approve the resolution with no questions or public comments raised.2ProceduralAction Item: Adoption of FY2027 City Budget Ordinance, Annual Appropriation, and Tax
City Council is approving the city's budget and spending plan for fiscal year 2027, including setting tax rates for the coming year.
What happened
# FY2027 City Budget Ordinance SummaryCity staff presented the FY2027 budget ordinance with a proposed general fund budget of $279,414,659, successfully closing a double-digit budget gap through dedicated work and revenue adjustments that generated over $1 million in additional revenue. The final budget reduced the initially proposed two-cent tax increase to one cent, with the real estate property tax rate adjusted from 98 cents to 99 cents per hundred while maintaining the personal property tax rate at $4.40 per hundred. Notable budget provisions include a $2 million contingency for school contributions pending state funding notification and $910,000 in carryover accounts from the current fiscal year. One council member disclosed a potential conflict of interest regarding a spouse's former city employee pension but stated this did not preclude his vote, and the motion to adopt the ordinance passed unanimously.
3ProceduralThis is an in-person meeting with an option for the public to participate electronically by registering in advance for the Zoom webinar at www.charlottesville.gov/zoom. The meeting may also be viewed on the City's streaming platforms and local government Channel 10. Individuals with disabilities who require assistance or special arrangements to participate in the public meeting may call (434) 987-1267 or submit a request via email to ada@charlottesville.gov. The City of Charlottesville requests that you provide 48 hours’ notice so that proper arrangements may be made.
This meeting will be held in person with an option to join online via Zoom, and residents with disabilities can request accommodations by calling (434) 987-1267 or emailing ada@charlottesville.gov at least 48 hours in advance.
4ProceduralThe presiding officer shall ensure that individuals address their comments to City Council at appropriate times, in accordance with the meeting agenda and Council’s Rules of Procedure.
The meeting chair will make sure people speak at appropriate times during the meeting, following the agenda and council rules.
5ProceduralNo person who is not a member of the city council shall orally address it until leave to do so has been granted by the city council or until invited to do so by the mayor. (City Code sec.2-71)
Members of the public must receive permission from City Council or an invitation from the mayor before they can speak during the meeting.
6ProceduralRemarks and actions that disrupt the progress of the Council meeting, and remarks from persons other than councilors, the City Manager, the City Attorney, or a presenter for an Agenda
This item addresses disruptive remarks and actions during council meetings that interfere with the proceedings.
7ProceduralThe presiding officer shall call an individual to order, including a councilor, when that individual goes afoul of these rules. The following are examples of remarks and behavior that are not permitted: i. Interrupting a speaker who is addressing Council at the speaker's microphone, or interrupting a speaker who has otherwise been invited to address Council during Community Matters or a Public Hearing ii. Interrupting a councilor who is speaking iii. Shouting, and talking (either individually or in concert with others) in a manner that prevents a speaker or a Councilor from being heard or that otherwise hinders the progress of the meeting iv. Blocking paths for emergency exit from the meeting room; engaging in any conduct that prevents a member of the audience from seeing or hearing councilors during a meeting; standing on chairs or tables within the Council meeting room v. Threats or incitement of violence toward councilors, City staff or members of the public vi. Engaging in conduct that is a criminal offense under the City Code or the Virginia Code vii. Campaigning for elected office viii. Promotion of private business ventures ix. Using profanity or vulgarity x. Personal attacks against Councilors, City staff or members of the public xi. Behavior which tends to intimidate others
The meeting chair can correct anyone—including council members—who violates meeting conduct rules, which prohibit interrupting speakers, shouting, blocking exits, threats, criminal conduct, campaigning, profanity, personal attacks, and intimidating behavior.
8ProceduralDuring a City Council meeting the presiding officer shall have control of the Council Chambers and the connecting halls and corridors within City Hall, and any other venue where a Council meeting is being held. In case of any conduct described above, the presiding officer may take measures deemed appropriate, including but not limited to suspending the meeting until order is restored, ordering areas to be cleared by the Sergeant at Arms, or requiring any individual to exit the meeting room and adjacent premises (connecting halls and corridors.)
The meeting chair has authority to maintain order in the council chambers and can suspend meetings, clear areas, or remove individuals who violate conduct rules.
Additional votes recorded in minutes
Adopt meeting agenda
aye 5
Jen Fleisheraye
Juandiego Wadeaye
Lloyd Snookaye
Michael Payneaye
Natalie Oschrinaye
Adopt Resolution Establishing Personal Property Tax Relief Percentage for Tax Year 2026
aye 5
Jen Fleisheraye
Juandiego Wadeaye
Lloyd Snookaye
Michael Payneaye
Natalie Oschrinaye
Adopt Ordinance Establishing the Annual Tax Levy for Tax Year 2026 (2nd reading)
aye 5
Jen Fleisheraye
Juandiego Wadeaye
Lloyd Snookaye
Michael Payneaye
Natalie Oschrinaye
Adopt Ordinance Approving a Budget and Annual Appropriation for FY2027 (2nd reading)
aye 5
Jen Fleisheraye
Juandiego Wadeaye
Lloyd Snookaye
Michael Payneaye
Natalie Oschrinaye
Verbatim transcript available
41 transcript segments indexed
So this won't come to- Please give this like this big- We'll actually have Andrew Carson come up. I won't present this until a minute. Yeah. I was just thinking who at home is wondering- This is going to be Monday ...
what is wrong with this guy? We got a fair Philippine community here, so yeah. Some Philippine In case a note comes out of this conversation. It should always be written down. Mm-hmm. I call the Charlottesville City Council meeting to order, April 9th, 2026, meeting to order.
The Charlottesville City Council special meeting will come to order. Madam Clerk, will you please call the roll? Councilor Fleischer? Here. Vice Mayor Oshrin? Here. Councilor Payne? Here. Councilor Snook?
Here. Mayor Wade? Here. Is there a motion to approve or amend the agenda? So moved. Second. Okay. All in favor, please say yes. Yes. All opposed, please say no. The items we have on the agenda is adoption of the resolution establishing the personal property relief percentage for tax year '26.
Mr. Divers will present. Mr. Mayor, members of council, hope you all are doing well. This is the spiel I give you guys every year on PPTR, Personal Property Tax Relief. As a reminder, the city gets about $3.5 million from the state every year.
That's kind of what's left over of Governor Gilmore's attempt to eliminate personal property tax. They tried it for a while, ran out of money, and then they sort of froze the amounts to all the localities, and that's the amount we get.
And our job is to determine what percentage of that block of money goes to taxpayers. We give 100% relief to any vehicle valued $1,500 or less. And then the idea is the remainder has to get allocated to the rest of the fleet to be applied to the first $20,000 of value on those.
We change that number every year. This year, we landed on 31%, which is what we were last year. So essentially, if your vehicle qualifies, if it's a personal use vehicle, you'll get 31% of your tax bill will be paid by the state.
Is that too quick? Nope. No, that's it. Are there any questions or comments? If not, can I get a motion to approve? So moved. Second. All in favor, please say yes. Yes. All opposed, please say no. Thank you, sir.
Okay, thank you all. The next item on the agenda is adoption of the FY27 city budget ordinance annual appropriation and tax levy. Hello, council. Good evening. Hello. Congratulations. We made it to the end- Yes ...
of the '27 budget development cycle. Did you want to say anything first? Do you want to say anything? Oh, maybe I should, right? I guess what I'll say is that we have made it through a very challenging budget cycle this year, having started with the reveal.
Chrissy does a big reveal for me every year of what the budget gap is. And that budget gap was a double-digit budget gap, larger than one that has been since I've been here. So it definitely raised concerns, and there was an alarm that went off in my head at that moment.
But through her dedicated work and the team's diligence in trying to figure out ways that we could go about doing things, we were able to close that gap. She was the one who probably lost the most sleep over trying to pull the levers on getting that gap closed.
But it's a sign of the need that exists in our community. It's a sign of the passion of the various initiatives and priorities that we have so much interest in pursuing. I continue to talk about Charlottesville as a place that punches above its weight class.
Every budget cycle is a reminder of that because we are dedicated to the idea that we are that community and that we want to try to do as many things as we possibly can. And while I appreciate that in one sense, my service in this role reminds me that the goal is to make sure that I balance because I'm obligated to.
And for that, I have to give you nothing but the truth in all of my conversations and interactions with you. So I take pride and honor in doing that. It is no easy feat to do that. And when it comes to actually looking at our public and stating to them a need for a tax increase, it weighs heavy on me.
And my goal is always to help you not go but so far in any pursuit that you have as you change that rate, because it does go into the pockets of individuals who have difficulties in our community. So with that, I'll say that I too am happy that we are where we are, completing this process.
And there are great things in this budget, and I look forward for our team to implement those on your behalf. Thank you, Sam. So, you'll be adopting two ordinances tonight. One is for the tax rate, and so we'll do that one first if that's okay with you.
The personal property tax rate remains the same at $4.40 per hundred. And as noted, the real estate property tax rate will go up one penny from 98 cents to 99 cents. And that is noted on... That actual ordinance is on page eight of your packet, and I'm happy to answer any questions you might have on that.
Okay. Then we discussed this a lot. Is there a motion to approve? Do we have to formally amend that one 99 cent? Because it was advertised as a dollar. Good point. I think we have to formally amend it, and I would move to amend it to 99 cents.
So moved. I think that's part of the way the ordinance is now written based on the whole process, and John is online. The city attorney's online. Okay. Can I ask a quick question? Yeah. I think it's quick.
The number we've been presented with several times as we got to our final number was the 279 and some. Mm-hmm. And then this is presenting the 280. Can you talk about the difference there? Sure. So if you want to flip to page nine of the packet, there is an itemized list of the amendments for how we got to where we are.
And so the 279, just overall to answer that real quickly before getting into the weeds, is the total operating budget for current year revenues and expenditures. The difference of $910,000 involves several accounts that we expect to be unspent at the end of this current fiscal year that we want to carry over, and that gets us to the 280.
Got it. So it's not new money, it's just- Correct ... from before the- Correct. Okay. Thank you. Carried forward. Yep. And if you want to... Well, do you want to deal with the tax ordinance first before we get to the other one?
Yes, I think John is online. Mm-hmm. Yes. Can you hear me? Yes. Yep. Oh, boy. Yeah. There was a lodge thing going on. Gregg East from Portsmouth. There is no need to offer an amendment here. The ordinance as written incorporates the 99 cents.
The advertised rate doesn't matter for this portion. As long as you're not trying to go above the advertised rate, you're well within your authority to pass it, the one cent increase. But I guess the question is, we don't have to formally amend the advertised rate.
We can simply put whatever... This ordinance has a different rate in it. We can just pass it as is without having to formally amend it? That is correct. Okay. I thought I'd understood you from Monday night to say we needed to amend it.
Okay. Yeah. Okay. Sorry if I made that... That was unclear. Okay. In that case, my motion is to approve this as written here on page eight. Second. Did your questions get answered? Yeah. Thank you. Okay.
All in favor, please say yes. Yes. All opposed, please say no. Thank you. Okay. So the second ordinance is actually the budget ordinance itself, which adopts the line item budgets in the general fund, and the budgets for all the other funds that the city operates.
But I'll turn your attention to page eight in your packet, and we'll just briefly walk through the amendments from the city manager's proposed budget to where we are now.So you may recall that we started with the proposed budget of $279,643,398.
That did include a two cents tax increase. Through the great work of our revenue team, including Mr. Dobbs, we went back and we were able to adjust several of our revenues to generate a revised projection that added another million dollars, to just over a million dollars to the budget.
So you'll note on this table the increases to the tax rates. We also backed out a penny, and there were a couple of tax revenues that we anticipate a reduction on, and they are noted here as well, giving us a net change of $228,739 less revenue than was in the proposed budget.
And that's largely due to removing the one penny. So that got us down to the total general fund budget for '27 to be $279,414,659. So then on the expenditure side, again, we started at the same place.
You'll recall that through your work sessions, you made several changes to some of the agency contributions, which are noted here. And then if you flip to the back, there were also a couple of minor changes, administrative changes to the circuit court judge account, the city attorney account, the transfer to social services.
Those were sort of what I'm going to call administrative, kind of bookkeeping sort of changes that we made through the budget process. But the most notable change here is the contribution to schools, and that was the request of council to add some language to create a $2 million contingency with the school contribution, pending further notification or funding from the state.
And so that change is noted here as well. And then at the bottom, you'll see the $910,000, which we spoke of for the carryover. Those accounts are itemized here as well, and that gets us to the $280,325.
Any questions on any of those? Any questions? Is there a motion? I move for adoption of the budget. I'll second it, but I need to make one disclosure, and that is that because my wife is a retiree and receives a frankly small pension from the city.
She was deputy city attorney back in the 1980s, and the payment is a little over $300 a month, meaning that a 1% raise works out to about a $36 increase for the Snook household for the calendar year. I have to disclose that.
I've been assured that does not bar me from casting a vote. Thank you. So with that, I'll second. Second. Further discussion? All in favor, please say yes. Yes. All opposed, please say no. Great. We have a budget.
Thank you so much, you guys. Good work. Thank you all. So do you take a month vacation? About an hour or so, I'll say, unless today. No month. We'll see you next council meeting with the new schedule for '28.