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Alexandria City Council approves $839 million budget

(Updated at 1:45 p.m.) The Alexandria City Council unanimously adopted City Manager Jim Parajon’s $839.2 million fiscal year 2023 budget on Wednesday night (May 4), and despite giving all city employees raises, Mayor Justin Wilson says inflation will likely mean more raises in future budgets.

“We’re staring into a significant inflationary environment that pinches our employees very hard, just like it pinches everyone hard,” Wilson said. “We’re going to have to continue to have this conversation every year about how we make sure we invest in the level of compensation and benefits required to not only attract but retain the best and the brightest in the city.”

The budget is an 8.9% increase from the FY 2022 budget, and includes a 7%  raise for firefighters, medics and fire marshals; a 6% raise for Police Department and Sheriff’s Office staff and a 4.5% raise for general city employees. That’s in addition to annual merit increases for city staff.

City residents can expect to pay an additional $445, or 6.5%, in real estate taxes, although Parajon’s budget maintains the current tax rate at $1.11 per $100 of assessed value. There are a number of other new fees, such as a $294 stormwater utility fee, which is a $14 increase over last year’s doubling of the fee from $140 to $280 to shore up flooding issues.

Council also approved Wilson’s proposal to increase annual residential and commercial refuse collection fees to $500 citywide (from $411 for commercial and $484.22 for residential collection). The $315,000 from the collected fees will fund a curbside food waste collection pilot.

This was the first budget for Parajon, who started work in January.

“This is a team effort and the fact we were able to put together what I think is a budget that truly is going to help a lot of people in the city,” Parajon said.

Councilman Kirk McPike said that he was proud to raise employee compensation, and that there is more work to do. McPike and his fellow new Council members Sarah Bagley and Alyia Gaskins were supportive of a 10% raise for AFD staff in February, as the department has struggled with recruitment, retention and compensation for years.

“I think that as a council we’re committed to doing more to help our firefighters and our police have the support that they need to give us the protection that the people of Alexandria deserve,” McPike said.

The budget also fully meet the requests of the Alexandria City Public Schools budget, which includes a 10.25% raise for teachers.

Council also unanimously approved the 10-year $2.73 billion Capital Improvement Program, which includes $497.8 million in investments for a new high school, renovations at 1705 N. Beauregard Street and two elementary school expansions.

The budget moves nearly $800,000 in Alexandria Police Department funding for School Resource Officers at Alexandria City Public Schools to a reserve account to fund six full time employees.

The budget includes:

  • $1.85 million for police body worn cameras
  • Expansion to Dash line 30
  • $95,000 to hire a social equity officer
  •  An additional Alexandria Co-Response team (ACORP), costing $277,000
  • $200,000 in reserve funding to support Metro Stage construction
  • Purchase of 4850 Mark Center Drive — the future home of the Department of Community and Human Services, the Alexandria Health Department and a West End service center

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