Update (May 5): The Board of Supervisors adopted the FY 2027 budget at today's meeting, effective July 1. The budget includes a quarter-cent reduction in the real estate tax rate to $1.12 per $100 of assessed value and restores funding for programs such as the low- and moderate-income home repair pilot and part-time preschool.
Tax Rate
The board lowered the Real Estate Tax rate by one-quarter cent, from $1.1225 to $1.12 per $100 of assessed value. For the average homeowner, this reduces the projected increase in the annual tax bill from $357 to $337.
The markup builds on the County Executive’s Advertised Budget, which was developed with a flat tax rate despite ongoing economic and policy uncertainty. The approved changes reflect the board’s focus on balancing affordability with continued investment in key priorities.
“This budget reflects the careful balance we must strike in a time of continued uncertainty—maintaining core services, investing in our workforce and community priorities, and taking measured steps to ease the burden on taxpayers,” said Board of Supervisors Chairman Jeff McKay. “Lowering the real estate tax rate, while continuing to invest in housing, economic competitiveness and essential programs, positions Fairfax County for long-term stability while also allowing us to respond to current needs.”
Key Markup Highlights
The board’s markup targets adjustments to the Advertised Budget that moderate impact on residents, including the restoration of partial funding for select programs based on community feedback and advancing key priorities.
- Tax Rate Reduction
- The Real Estate Tax rate is reduced by one-quarter cent.
- Affordable Housing Investment
- An additional $8.8 million is dedicated to affordable housing, bringing the county’s baseline investment to approximately $52.7 million annually.
- Program Restorations—partial funding is restored for:
- Low- and moderate-income home repair Pilot ($250,000)
- Part-time preschool program ($200,000)
- Home-delivered meals ($130,588)
- BeWell behavioral health support ($310,000)
- Economic and Housing Support: New positions are added to support economic competitiveness and housing initiatives, with costs largely offset through existing resources.
- Reserve Strengthening: $4.7 million is set aside in the Reserve for Economic Uncertainty to prepare for potential revenue or cost pressures.
The board also deferred by one year the planned realignment of transition services for high school students with individualized education plans (IEPs) as they exit FCPS, allowing additional time to coordinate with the school system and ensure a smooth transition for students and families.
Continued Fiscal Pressures
The FY 2027 budget reflects a fourth consecutive year of agency reductions, bringing total reductions over that period to nearly $124 million. At the same time, the budget continues to prioritize employee compensation, fully funding collective bargaining agreements and pay adjustments for non-represented employees.
More than half of the county’s budget—over $3 billion—continues to support Fairfax County Public Schools.
For more information visit www.fairfaxcounty.gov/budget.
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