The City Council earlier this week took a series of votes on taxes, including one to lower the personal property tax rate from the current $3.60 per $100 of assessed value to $3.45 per $100 of assessed value. The change will take effect Jan. 1.
In another vote, the City Council expanded tax relief by increasing the maximum allowed income for participation in the Elderly and Disabled Real Estate Tax Exemption Program from $35,000 to $40,000. The change will take effect July 1.
Currently, those who are at least 65 years old and have household income of $35,000 or less are able to apply for the tax-relief program. Those with income of $17,500 or less get a full exemption. Those earning between $17,501 and $35,000 get a 50-percent exemption.
The original income limit for this program was $20,000 and had not been adjusted since its inception several decades ago. The Council increased the cap to $30,000 two years ago, and to $35,000 last year. This has resulted in the addition of 49 qualifying taxpayers, at an annual cost of $24,000.
In another matter, the City Council voted to increase the city’s transient lodgers per room occupancy tax from $2 per night to $3 per night for those staying in hotels and other lodging establishments. The increase will be effective July 1.
Also, the City Council rejected a proposal to establish a short-term rental fee and increase planning and inspection, sanitation fees.
In other matters, the City Council voted to:
- approve the Danville Public Schools’ budget, which includes $27.8 million from the city for supporting operations and about $1.87 million for debt service, totaling about $29.7 million.
- amend an agreement between the School Board and Brand Builds, which is the company that is building Arnett Hills Elementary School to replace G.L.H. Johnson. The new agreement calls for a 23,600 square foot addition to what’s already being built. The extra room will allow the school to house 900 students instead of 580 students.
- amend the budget to provide for a state grant of $164,687 and a local match of $2,000 for the victim/witness assistance program operated by the commonwealth’s attorney office.
- amend the budget to provide for a state grant of $88,117 and a local share of $29,749 local share for school resource officers at George Washington High School and Westwood Middle School.
- amend the budget to provide for increasing revenue from business occupancy license taxes to fund capital projects.