Town Council Decides Tax Rate, Utility Rate In Approved Vienna Budget

VIENNA, VA — The Town of Vienna budget approved by Town Council members keeps the same real estate tax rate, but utility fees will go up.

On Monday, the Vienna Town Council adopted a $55.5 million budget for 2025-2026, a 3.2 percent increase that accounts for impacts of inflation. The real estate tax rate, which town property owners pay on top of the Fairfax County rate, will remain $0.195 per $100 of assessed value real estate tax rate. According to the town, this is the 13th consecutive year that the town's real estate tax rate has not increased.

However, tax bills could still go up for property owners who saw assessment increases. The town estimated the average residential tax bill would increase by $155 (7 percent) from $2,204 to $2,359. According to Town Council documents, the rate that would have kept tax bills flat despite assessment increases would be $0.1878.

Vienna property owners are also impacted by the adopted Fairfax County budget, which set a tax rate of $1.1225 per $100 of assessed value.

Water and sewer rates continue to trend up. The approved town budget increases water and sewer rates each by 7.25 percent due to rising costs and infrastructure needs. The town did a rate study in 2023-2024 that outlined a five-year plan to provide adequate cash reserves for the water and sewer fund. According to Town Council meeting documents, inflation and higher costs of replacing pipes, wholesale cost of water and treatment costs for the sewer drove the latest fee increase.

Based on the increase, the town estimated that the average customer’s bill would increase by $19 a quarter, or $75 per year. Service charges for residential accounts would increase from $40 per quarter to $42 per quarter.

The town's budget also provides $200,000 for the Annex property, where Town Council is considering a proposed fitness center and pools facility. A decision to use a temporary 1 percent meals tax increase instead of the town's normal capital budget funding process to speed up construction was postponed to Aug. 25. Town Council is taking more time to review the proposed facility's construction costs and long-term operating costs, as well as public feedback.

Eligible town employees will receive pay increases under the budget. The town manager's budget proposal had outlined a 3 percent increase for general employees and 4.5 percent increase for sown police employees.

The budget will be in effect from July 1, 2025 to June 30, 2026. The approved budget documents will be posted on the town's website at a later time.