VIRGINIA BEACH, Va. (WAVY) — Virginia Beach property owners will be taxed at a rate more than 2 cents lower than they were the year before under the city’s 2021-22 spending plan.
In a unanimous vote Tuesday night, Virginia Beach City Council approved its $2.3-billion budget with a last-minute change that lowered the real estate tax rate from the city manager’s proposed $1.0075 for each $100 of assessed value, to 99 cents for each $100. Currently, the rate is $1.0175.
The tax cut will cost the city and school system a combined $9 million in revenue. It will also put Virginia Beach at the lowest real estate tax rate in Hampton Roads.
The new budget will be used for several initiatives across the city for to tax reduction, combating flooding, crime prevention, and more.
For the full breakdown of the budget, click here.
“It was a hard-worked compromise, and all the community’s stakeholders got a dividend of sorts from the process,” said Councilman John Moss on his Facebook page following the vote.
Moss the week before threatened to vote against the budget, as he didn’t feel the taxpayers got enough out of it.
The budget will provide all sworn and uniformed police, fire, EMS and sheriff’s office employees an 8.5% raise over what they currently make.
In order to better regulate short-term rentals, a $200 yearly fee per operator will be collected starting July 1, in order for the city to hire two new employees dedicated solely to ensure compliance with the city rules.
Teachers would also receive a 5% raise and all other city employees would get a 4.5% increase.