The Alexandria City Council unanimously adopted a $979.1 million operating budget for Fiscal Year 2027 on April 29. The new budget will take effect on July 1, 2026.
Mayor Alyia Gaskins said, “Tonight’s adoption is the result of months of work and another record number of residents who showed up to help shape it. The FY27 budget reflects a simple and intentional focus: steady progress on housing, community services, economic development, and the people who keep this city running.”
The approved budget maintains the current real estate tax rate for both residents and businesses in Alexandria. It emphasizes priorities such as eliminating community disparities, attracting and retaining employees, and supporting local economic growth. The FY27 plan also includes funding increases for housing rental assistance programs, early childhood support projects, small business initiatives, food hub operations in the community, an additional $4.2 million transfer to Alexandria City Public Schools (ACPS), increased DASH transit funding to address inflationary costs and collective bargaining needs, as well as efficiency savings totaling $9 million.
City Manager James Parajon said, “Each year, the budget process challenges us to make thoughtful, strategic choices, and this year was no exception. The FY27 budget maintains the high-quality services our community counts on while making steady progress on housing, community services, and economic development. I’m proud of the careful, collaborative work across departments to make that happen.”
The Capital Improvement Program (CIP) for fiscal years 2027 through 2036 totals $2.01 billion with a focus on improving existing infrastructure alongside strategic new investments.
Alexandria provides services within its boundaries as an independent city according to its official website. The city operates under a council-manager form of government where council members select a manager responsible for daily operations according to its official website. Racial and social equity are incorporated into policies with an aim toward fair outcomes in all parts of the community per the official website.
Community identity is further enhanced by museums and historic sites that interpret local social history according to information from Alexandria’s official site. This includes maintaining facilities like the Alexandria Black History Museum which documents African American heritage as noted by city sources. Additionally, archaeological research is supported through partnerships led by the Alexandria Archaeological Commission according to city resources.
The full adopted FY27 Budget Document will be available online beginning July 1 at alexandriava.gov/Budget.
