Urbanna Town Council sets tax rate before budget set

by Tom Chillemi  –

In an unusual move, the Urbanna Town Council voted to approve the new real estate tax rate and water rates for fiscal year 2022-2023, even though the budget has not been adopted yet.

This change in procedure occurred at council’s June 9 work session meeting and came immediately following a public hearing on the proposed tax and water rates.
In the past, the tax and water rates were part of the budget and voted on at the same time.

Councilor Larry Chowning questioned why the tax and water rates were voted on separately. “Normally, over the years, the rate is always the last thing that’s approved. We pretty much have to approve this (proposed budget) because the rate has already been determined. I have never seen a meeting like this where the rate increases that results in a tax increase is approved before the budget.”

Chowning has been a reporter for the Southside Sentinel for 40 years, and has covered the budget processes of the Middlesex County Board of Supervisors and the Middlesex County School Board.

Town Attorney Andrea Erard replied, “Are you asking whether that’s legal? It is, it is.”
Chowning continued, “It would seem to me that the taxpayers would want to come to talk about the rate more than the budget.”

Erard replied, “Council could’ve chosen not to vote on the rate this evening, it was not required, you could have waited. It’s discretionary.”

Erard didn’t explain the reason for the change.

Chowning was the lone vote against the “uncodified ordinance,” which sets the new real estate tax rate and water rates.

Voting in favor of the rates, were Mayor Barbara Hartley and councilors Marjorie Austin, Merri Hanson, Bill Goldsmith and Steve Hollberg.

The new real estate tax rate is a two-cent reduction to 21 cents per $100 of value…