Harrisonburg City Council heard about the budget at its Tuesday night meeting, along with several other projects.

Budget Proposal

The council heard a proposal on the FY 2024-2025 budget from Ande Banks, city manager.

Banks began with an explanation of the budget process, which involved several city officials, such as Larry Propst, the city’s director of finance, and a detailed review of the budget, “line item by line item.” The budget presented at the meeting was the result of this process.

Banks explained the proposed budget, totaling about $400 million, would include increasing the real estate tax rate to accommodate the opening of the new Rocktown High School and other city schools operating expenses. This is in addition to the city still paying off several schools, including Harrisonburg High School. Other focuses of the budget included accommodating increases to city employee pay and the employer contribution to health insurance, as well as continuing to gradually adjust city utility rates.

In addition, Banks said there were challenges in the process, such as lower growth projected in FY 2024-25 as compared to FY 24. City schools also requested 15.8 percent more in FY 25, largely attributed to the opening of Rocktown High School. However, Banks explained this would be partially offset by an increase in state funding, once the state budget was adopted by the General Assembly.

Other key aspects of the proposed budget included $5 million to renovate the Old Municipal Building, $4 million to improve sewer and water infrastructure, $1.5 million to staff and equip Fire Station Five, and $300,000 to replace restrooms at Morrison Park.

The budget also includes funding for several vacant city positions, such as in Harrisonburg Fire Department and Harrisonburg Department of Public Transportation.

The proposal also includes funding for the city’s usual contributions to nonprofit efforts.

To meet these funding goals, Banks said the proposal included an eight-cent increase on the real estate tax.

Banks included a breakdown of all city expenditures, with the General Fund remaining the largest in the proposed budget; 35.4 percent of the fund would be accounted for by real estate tax.

The most drastic revenue increase in city funding compared to FY 24 was a 522 percent increase in fines and forfeitures, which Banks said included the speed cameras on East Market Street.

Each member of the council received a binder detailing the proposal from Banks. A public hearing on the proposal was scheduled for April 23 at that evening’s city council meeting, with more readings to follow, and a final date to adopt the budget set for May 31.

Banks and Mayor Deanna Reed said the council will likely hold work sessions to further discuss the proposal in the near future. Councilman Chris Jones encouraged community members to attend the public hearings and voice their opinions on the proposal.

CDBG Action Plans

The council heard an update on Community Development Block Grants, which the city administers to fund local nonprofit efforts. Kristen McCombe, the city’s CDBG coordinator, gave the presentation.

Two nonprofit efforts were recommended for funding by city staff. Suitcase Clinic, a homeless health service operated in partnership with James Madison University, was allocated more than $21,000. The city also allocated $20,000 for Meals on Wheels, a service provided by Valley Program for Aging Services. With this funding, VPAS will be able to deliver food three days per week instead of only two, as they have up to this point. However, no action was taken to guarantee funding for either nonprofit.

The funding comes from the U.S. Department of Housing and Urban Development, which administers the program nationwide.

McCombe also brought the council updates on the CDBG action plans from 2020-2022. Due to funding left over from last year’s funding cycle, projects previously left underfunded can be developed further, according to McCombe. Specifically, more than $100,000 will be allocated to the 2022 Vine Street Sidewalk Project, and more than $67,000 will be allocated to the 2022 North Liberty Gateway Art project. Members of the public will be able to comment on both items before action is taken.

Capital Improvement Program

The council, by consensus, approved the fiscal year 2024-2025 through 2028-2029 Capital Improvement Program.

Adam Fletcher, the city’s director of community development, presented the proposal. The plan included projects such as updating the heating and ventilation system at the Lucy F. Simms Continuing Education Center, which is managed by the city’s department of parks and recreation. The plan outlines the priority of each project, the cost of each project, and how each project will be funded, according to Fletcher.

Fletcher also explained that the plans leave space for funding from grants and donations, but the amount of funding needed may vary strongly from the amount of funding available.

The proposal came with a unanimous recommendation from the Planning Commission, according to Fletcher.

Short-term Rental

The council approved, by consensus, a request to allow a short-term rental at 1088 and 1094 College Avenue.

Adam Fletcher presented the proposal, with the conditions that the request be granted only if the rental is limited to only six people and for only 90 nights per year, and then only in a detached structure. These conditions are consistent with other short-term rentals permitted by the city.

With this ruling, the property owner can host an Airbnb or Vrbo on the property.

The applicant also expressed interest in securing a longer term tenant in the future.

Sage Bird Proffers

The council approved, by consensus, a request to remove the requirement for parking at 325 and 335 North Liberty Street, which is currently occupied by Sage Bird Ciderworks.

Adam Fletcher presented the proposal. This brings the placement of Sage Bird’s Outskirts food truck into compliance with the city’s zoning code, which previously went against city regulations regarding required parking.

Historical Marker

The council approved, by consensus, installing a Virginia Department of Transportation Highway Historical Marker commemorating Federal Judge John Paul, Jr at the federal courthouse in Harrisonburg.

The proposal was presented by two Spotswood High School students, Pria Dua and Elizabeth Kidd, and one of their mentors, Beau Dickenson, social studies supervisor for Rockingham Public County Schools. Dua and Kidd explained that Paul participated in several landmark decisions that led to the end of segregated schools in the United States. Dickenson said the project began with a grant from Rocktown History.

Fire Station Five

The council decided, by consensus, that the city’s plans regarding the location for a new fire station lined up with its Comprehensive Plan.

Adam Fletcher brought findings on the proposed site for the city’s new Fire Station Five and its compliance with the city’s Comprehensive Plan to the council.

Fletcher said the site, at 450 Mt. Clinton Pike, was zoned for manufacturing, which would align with the Comprehensive Plan. Fletcher added that by establishing the fire station at that site, Harrisonburg Fire Department response times would be improved, which is also in line with the Comprehensive Plan.

The plan acts as a guide for city policy, presenting a vision of what kind of city Harrisonburg would like to be in the future.

Interim Zoning Administrator

The council decided, by consensus, to reappoint Thanh Dang as the city’s interim zoning administrator.

Supplemental Appropriation

The council approved, by consensus, a supplemental appropriation of $150,000 for HFD. Banks explained that these would be used to purchase movable barriers to be used during city events. Up to this point, the city used garbage trucks in this role.

Boards and Commissions

The council unanimously approved reappointing Daniel Michael and Daniel Stone, and appointing Kent O’Donohue and Chelsea Thomas to the city’s Stormwater Advisory Committee.

The council tabled a decision on a candidate for the planning commission.