Operating Budget 2025-2026

March 28, 2025

The Honorable Mayor and Members of the Town Council

Town of Blacksburg 300 South Main Street Blacksburg, Virginia 24060 Dear Mayor and Members of Town Council:

We are pleased to submit for your review and consideration the Recommended FY 2025/2026 Budget for the period beginning July 1, 2025 through June 30, 2026. The recommended budget was developed by our town staff to support the wide array of high-quality services and initiatives the community has come to expect from the Town. The Recommended FY 2025/2026 Budget is guided by Town Council’s Strategic Goals and the Town’s Principles of Sound Financial Management and communicates the Town’s financial plan for the upcoming fiscal year. The Recommended FY 2025/2026 Budget for all funds totals $108,349,500. Allocation by fund, as well as a comparison to the FY 2025/2026 budget is as follows:

RECOMMENDED BUDGET ALLOCATION BY FUND FY 2026

FY 2025/26 Manager Recommended

Percent Increase (Decrease)

FY 2024/25 Budget $53,758,200

Difference $ (337,703) 4,323,400

General Fund

$53,420,497 4,853,400

(0.6)% 815.7% (6.6)% 12.3% 11.5% (5.5)% 19.1%

General Capital Improvement Fund CDBG Entitlement Fund HOME Consortium Fund Water and Sewer Fund Stormwater Fund Midtown Special Service District Fund Solid Waste and Recycling Fund

530,000 554,600 634,500 621,500

517,900 712,800 692,900

(36,700)

78,300

71,400

18,547,000 1,185,600 2,821,500 25,180,000 1,468,300

17,527,349 1,411,999 2,949,335 24,773,720 1,489,600

(1,019,651)

226,399 127,835

4.5% (1.6)% 1.4%

Transit Fund

(406,280)

Equipment Operations

21,300

Total

$105,301,200

$108,349,500

$ 3,048,300

2.9%

The Recommended FY 2025/2026 Budget provides funding to support the broad array of Town services at expected service levels under current economic conditions. The local economy has continued to grow moderately while nationally inflation has remained at around 3%. While this is a positive sign, the economy remains somewhat unsettled. Town revenues have recovered and

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