City Council voted Tuesday evening to adopt a budget that maintains basic city services and programs, provides enhanced benefits for public safety employees, and invests additional money in crime reduction initiatives, public schools and projects designed to grow Danville.
The budget also includes an average 2 percent pay-for-performance raise for employees, covers a major increase in the cost of employee health insurance, and pays a portion of the increase in retirement contributions for employees that occurred because of new formulas associated with increased life expectancy.
To help pay for these costs, the budget includes a 0.5 percentage point increase in the meals tax from 6.5 percent to 7 percent. Real estate and personal property tax rates and base rates for utilities will remain unchanged.
The budget also includes fee increases for airport hangar rentals and building inspections as well as fee adjustments to accommodate the acceptance of credit cards for payment.
The budget does not include additional funding for school operations, but Danville Public Schools will be allowed to retain up to $2 million in unspent local funds from the current fiscal year. Any unspent funds beyond $2 million would be placed in a capital reserve fund for future school capital needs.
The budget is for the next fiscal year, which begins July 1 and continues through June 30, 2019.
In addition to adopting the budget, City Council voted to:
- Appropriate economic development incentive grants secured for Kyocera SGS Precision Tool, Overfinch North America and Engineered BioPharmaceuticals.
- Accept a state grant for the Commonwealth Attorney’s office to be used to fund the salary of an attorney or victim’s advocate to work in the Juvenile & Domestic Relations Court dealing with victims of domestic violence.
- Accept $173,611 in state and federal money for the continuation of the victim witness assistance program operated through the Commonwealth’s Attorney’s office.
- Amend the budget to include a grant from the Danville Regional Foundation for an Eagle Scout project at Dan Daniel Park.
- Appoint or reappoint 19 citizens to various boards and commissions, including the Utility Commission, Social Services Advisory Board, and the Airport Commission.
- Approve a lease agreement with Norfolk Southern for landscaping on Craghead Street.
- Vacate 0.01 of an acre of right-of-way on Bridge Street where 15 flag poles are located. The move would allow the flag poles to be completely located on property owned by the Industrial Development Authority. The IDA could now reinstate the former practice of flying international flags in honor of foreign companies that operate in the Danville area.
- Vacate 0.13 of an acre of right of way along Glen Oak Drive at the request of two adjacent property owners on Stokesland Avenue.
- Update the City Code to reflect changes in state law regarding ambulances along with other minor changes.
- Extend the temporary ambulance operator’s permit of LifeCare.
- Exempt Ashlawn View LLC from local real property taxation. Ashlawn View LLC provides elderly persons and handicapped persons with a four bedroom housing facility and services at 119 Ashlawn Drive.
- Approve a moral obligation to back a $1.27 million loan with Virginia Community Capital connected to the 2013 purchase and up-fit of a shell building in the Cane Creek Industrial Park. The building, located at 500 Cane Creek Parkway, is now used by Unison Tubing. The loan is a renewal that was negotiated with the Industrial Development Authority following the five-year maturity of the original loan.
Also in the business session, Mayor John Gilstrap presented a proclamation for Big Brothers Big Sisters of the Danville Area.
Council's meeting included a business session followed by a work session. In work sessions, Council reviews non-routine matters that may be voted upon in future business meetings.
During last night’s work session, Council reviewed the latest financial updates. It then closed the meeting as allowed by state law to discuss a prospective business or industry related to economic development, acquisition of real property or disposition of publicly held real property, and personnel matters.
River City TV airs live all Council business sessions. The first rebroadcast will be at 8 p.m. Thursday. Watch it on cable (Comcast channel 10 and Gamewood channel 122). The recorded broadcast is available now on River City TV’s Facebook page.
River City TV does not air work sessions, but they are open to the public.
