Alexandria City Council Adopts FY 2025 Budget

On Wednesday, May 1, the Alexandria City Council unanimously adopted a Fiscal Year (FY) 2025 General Fund Operating Budget of $926.4 million, which represents a 4.8% increase from the FY 2024 budget.  

The approved budget focuses on the City's commitment to quality education, improved city services, public safety and mental health services, and affordable housing while maintaining established fiscal policies. 

 FY25 Budget Highlights :

• To address the growing demand for services and needs across the city, including with the Alexandria Public School system, the FY2025 budget was unanimously adopted with a 2.5 cent increase in the real estate tax rate.  This increase means the average single-family homeowner will pay $483 and the average condominium owner will pay $285 more this year than last year. 

• To support the City's commitment to increasing affordable housing, a one-time addition of $3 million for approved, unfunded projects in the affordable housing pipeline was added to the FY2025 budget.  

• Council approved a total of $14.3 million increase in the ACPS operating budget appropriation. This includes an additional $4 million added to the City Manager's proposed budget through the Add/Delete process. The goal of the increase is to provide funds to support increased teacher compensation to strengthen recruitment and retention efforts.   

  "As Council balances a budget with scarce resources and practically unlimited demands, resident input is essential," City of Alexandria Mayor Justin Wilson said. "We had a comprehensive process to reach tonight's adoption. The result is a budget that aligns with our community's values with an eye to the demands of the future."   

In addition, the FY2025 budget contains continued significant capital investments for stormwater management infrastructure; educational facilities; and maintenance of existing City assets and facilities, totaling $2.4 billion to be invested over 10 years in Alexandria's Capital Improvement Program (CIP). This includes a total of $379.0 million in planned investments in School capital projects, like George Mason and Cora Kelly elementary schools. 

 "I am proud of the thoughtful approach to decision-making in this budget and how our city organization continues to find innovative solutions to meet the needs of the community," City Manager James Parajon said. 

The FY 2025 budget will go into effect on July 1, 2024. 

Visit alexandriava.gov/Budget to learn more about the entire budget process and view all budget documents. 

If you prefer communication in another language, free interpretation and translation services are available to you. Please email [email protected] or call 703.746.3960.