Water, Sewer Drives $31.7 M Vienna Budget

Vienna's homeowners would see no increase in real estate tax rates under a nearly $31.7 million budget proposal unveiled this week, but they'd spend an average of $103 more per year on water and sewer bills to compensate for those systems' rising costs. 

In the fiscal year 2013 spending plan, which is 6.1 percent larger than, Town Manager Mercury Payton forecasted a $1 million increase in water purchase and sewage treatment costs. The increases force water rates up from $3.84 to $4.75 per thousand gallons and sewer rates up from $5.73 to $6.66 per thousand gallons.

The proposal also calls for the town to equalize rates for in-town residents and those serviced outside of Vienna boundaries.

The 15.5 percent increase in the town's water and sewer fund was the largest among the town's three budget areas. The debt service fund increased 8 percent to $2.2 million; the general fund climbed by 3.1 percent to $21.9 million.

Click through the media player above for charts that break down the budget proposal.

The general fund's spending increase is fueled by the salary and benefits costs of three new positions, which will bring the town's total staff to 178 employees, as well as various salary and benefit adjustments to other town positions.

The town's real estate tax rate, at 24.21 cents per $100 of assessed value will remain the same, Payton said in the budget. But Vienna residents also pay real estate taxes to Fairfax County -- While County Executive Anthony Griffin also proposed __ the increase in home values over the past year combined with Griffin's request for a $0.01 increase in the storm water services fee would require the average homeowner to pay about $79 more in real estate taxes than last year.

In Vienna, each cent of property tax generates $375,630.

Water/Sewer Costs

Equalizing the rates was part of Fairfax County's legislation in December giving the Board of Supervisors the power to regulate all water and sewer rates across the county, including those in Vienna, Fairfax City and Falls Church.

Though Fairfax City has filed a lawsuit challenging Fairfax County's authority to regulate rates, Vienna has moved forward with its standard rate-setting process. Falls Church has decided to sell its system. The deadline for bids is March 3, Fairfax County officials said last week; Fairfax County is among the interested buyers.

The town but shelved the idea at the time. To keep up with an aging system, the town needs to spend an average of $1.3 million to $1.9 million a year __ for a total of

Those figures don't include the cost of buying water, which was one of the largest council member concerns during previous discussions.

Total costs will increase by about $1 million, or 11.5 percent. Major increases, according to town documents, include:

• Water purchase cost - $629,463
• Sewage treatment cost – $374,050
• Transfer to the Debt Service Fund – $126,775 (Due to the water sewer fund's share of debt service on general obligation debt)

General Fund

The budget proposal calls for the creation of three new positions -- an information technology director (administration), a special pickup inspector (DPW) and a part-time budget manager (finance) -- and reclassifies or eliminates nearly a dozen other employees

The proposed increase, a total of $652,682, is driven by the salary and benefits needed for these positions, along with adjustments to salaries and benefits of nearly a dozen other positions, town documents said.

While the town's total taxable values increased by $92,050,860 to $3.7 billion, the average existing residential property value declined by 2.47 percent, or $15,237.

Debt Service Fund

Meals and lodging tax collections, which will continue to be assessed at 3 percent of a business' monthly revenues, are estimated to continue at 9.2 percent over last year’s level. Transfers from the water and sewer fund to the debt service have been down because of declining debt service costs

Budget Work Sessions and Public Hearings

Though Town Council work sessions are open to the public, public comment is not permitted during the meetings. The council will hold separate public hearings for resident input following the schedule below. All meetings are at

• Budget Work Session: Saturday, March 10, 9 a.m.
• Budget Work Session: Monday, March 12, 7:30 p.m.
• Public Hearing on Budget, Tax Rate, Water and Sewer Rates: Monday, April 16, 8 p.m.
• Budget Work Session (if needed): Monday, April 23, 8 p.m.
• Adoption of Budget, Tax Rate, Water and Sewer Rates: Monday, May 7, 8 p.m.

Correction: The meals tax rate has been corrected to reflect the current rate of 3 percent.

This article has been updated.