Manassas Park

Budget Plan in Manassas Park Would Cut Taxes, Raise Utility Rates

MANASSAS PARK, Va. – The Manassas Park Governing Body has signaled support for a balanced approach to the Fiscal Year 2026 budget that includes modest property tax relief and gradual increases in utility rates aimed at long-term sustainability.

Compromise on Budget Strategy

During its June 10 work session, the Governing Body showed consensus around Scenario B, a plan that features a 1-cent reduction in the real estate tax rate and a 6.55% increase in water and sewer rates, along with moderate fee increases for stormwater and solid waste services.

Councilmember Kevin Moreau, who missed the prior discussion on June 3, 2025, reviewed the recorded meeting and led the June 10 session. He said he supports tax relief but emphasized the need to fund essential services and plan for utility infrastructure needs expected over the next three years.

“I’m a proponent of tax relief, but we need to ensure adequate service levels and revenue for water and sewer investments,” said Moreau.

He also called for transparency in accounting and cost recovery, and reinforced the importance of keeping enterprise funds separate from the general fund.

City leaders had previously considered a 37% utility rate hike to fully recover costs but opted for a lower increase after concerns about resident affordability. The Governing Body settled on the 6.55% increase, viewing it as a more reasonable compromise.

Budget Options Compared

  • Scenario A included a 1.5-cent tax rate cut, no water rate increase, and 5% increases to stormwater and solid waste fees. It also proposed a 2.25% cost-of-living adjustment (COLA) for city employees but would have cut several vacant and part-time positions.

  • Scenario B, now favored, includes a 1-cent tax cut, 6.55% water rate increase, a 5% increase in stormwater fees, and a 2% rise in solid waste collection fees. It retains a 2.5% COLA and avoids major staffing cuts.

Rising Costs for Residents

Even with the reduced tax rate—from $1.405 to $1.395 per $100 of assessed value—property assessments are up 7.48%, meaning the average household could see an annual tax bill increase of $483.

Utility rate hikes reflect higher service costs from Manassas, Prince William County, and UOSA. Here’s how the rates would change:

  • Water: $4.07 ➝ $4.68 per 1,000 gallons

  • Sewer: $6.77 ➝ $7.79 per 1,000 gallons

  • Stormwater: $182.88 ➝ $210.31 annually per ERU

  • Trash/Recycling: $24.86 ➝ $27.35 monthly

Overall city spending is expected to decrease—from $142 million in FY2025 to $97.5 million in FY2026—due mainly to the expiration of federal COVID-19 relief funds and project adjustments, not service reductions.

Residents Raise Questions

Several residents have raised concerns about billing transparency and access to budget information. At the governing body’s June 3 meeting, Lydia Braxton asked about water meter replacements and inconsistent bills. Others questioned why budget documents aren’t easily available online.

One commenter online wrote, “Every year, we’re told new development will help ease costs, and every year we pay more.”

The Governing Body is expected to vote on the FY2026 budget on June 24.

On June 3, City Manager Carl C. Cole emphasized the need to prepare for long-term costs, especially stormwater mandates due in 2028.

“We can’t just cut now and expect to avoid major investments later,” Cole said.