Proposed city budget includes significant tax increases

Proposed city budget includes significant tax increases

Martinsville City Council reviewed City Manager Robert Fincher’s proposed FY 2026–27 budget on April 28, featuring major cuts and a real estate tax increase.

The plan follows a $5 million budget gap caused by overestimated revenues and underestimated expenses. Cost-saving measures include a hiring freeze, reduced school and agency funding, and cuts to travel and supplies. Despite nearly $3 million in reductions, a $2 million shortfall remains.

Fincher recommends raising the tax rate by $0.09 to $0.84 per $100 of value, which would still be below the regional average. Council will hold work sessions through May 6.