Heather Bell
RADFORD – The Radford City Council is set to take the second of two required votes on the city’s budget, tax rates and some utility rates tomorrow, Thursday, April 25 at 6 p.m.
During a meeting Tuesday, April 16, during which council passed the budget and tax rates on first reading, Radford City Manager David Ridpath gave a presentation about the budget and offered some comparisons of Radford’s rates as compared to the surrounding localities.
Radford’s new real estate tax rate is set to be 69-cents per $100 valuation of a property. For comparison, Montgomery County’s rate is 75-cents, Pulaski County’s is 74-cents, the Town of Christiansburg’s is 89-cents, the Town of Blacksburg’s is $1.01, and the Town of Pulaski is $1.10. The town rates are the total rate residents pay when the county rate and town rates are added together.
“Radford is still the lowest tax rate compared to the other localities in the New River Valley,” said Ridpath.
Prior to the reassessment of properties completed earlier this year, Radford’s real estate tax rate was 84-cents. However, localities are required to adjust the rate to provide level revenue. Radford’s rate became 64-cents to provide for level revenue, and the new rate is set to become 69-cents once the final vote is taken.
Radford also has the lowest rates for water and wastewater (sewer) in the area. Radford’s new rate is $16.24 per 2,000 gallons for sewer, which is up $2 from last year. Blacksburg’s rate per 2,000 gallons is $27.12, Christiansburg’s is $20.50 and Pulaski County’s is $33.34. Radford’s water rate per 4,000 gallons used is $20.32. It is the same as last year’s rate. Blacksburg’s is $31.64, Christiansburg’s is $48.00 and Pulaski County’s is $38.03.
Radford’s electric rates are also set to increase. The average electric bill under the new rates is set to be $167.33 a month. Customers of AEP, which provides power for Montgomery and Pulaski counties, have an average $171.99 monthly bill. The reason for Radford’s increase is a sizable increase in the cost of wholesale power. Radford purchases 96 percent of its power from AEP and gets four percent of its power from the city-owned Little River Dam. Radford’s wholesale power cost from AEP was $12,424,346 in fiscal year 2020, $16,560,942 in fiscal year 2024 and will be $20,026,219 in fiscal year 2025, a 21 percent increase over FY 2024.
Thursday meeting is scheduled for 6 p.m. in city council chambers, 10 Robertson St., Radford. The 2024-2025 city budget is $79,043,310, including a general fund of $35,411,361. Enterprise funds include: Streets maintenance fund: $2,829,359, Transit: $2,860,488, Water/wastewater fund: $6,320,498, Electric fund: $28,854,443 and Solid waste fund: $1,688,841.
