In a proposed $144.2 million budget for next year, Rockville officials are planning on employee
raises and new jobs, as well as adding eight capital improvement projects.
The Fiscal Year 2021 budget is proposed with a 3.8% increase in spending — more than $5
million — from the FY 2020 budget. The fiscal year begins on July 1.
No changes are proposed in the property tax rates. They have stayed at the same level or dropped
for more than 25 years, according to Rockville City Manager Rob DiSpirito.
Ten years ago, the city lowered the rates for the third time in a row. The current rates are 29.2
cents per $100 of assessed value for real property and 80.5 cents per $100 for personal property.
“It’s an admirable track record and we try mightily every year to live within our means,”
DiSpirito said. “We get a little revenue every year because of property valuations going up.”
Even if property tax rates stay the same, tax bills could go up because of rising assessments.
The city is careful not to raise taxes, DiSpirito said, because many people have trouble affording
housing or food.
“Not everybody is wealthy. … We’re sensitive to that,” he said. “We try to be very conscious so
that people are not economically barred from anything.”
The budget was presented on Feb. 24.
Two more public hearings are scheduled for March 2 and 23. The City Council will have a final
budget work session on April 20 before a vote on May 4.
Although the property tax rates would not increase, an additional $674,000 is expected in
property tax revenue because of rising valuations.
Income tax revenue is expected to be $15.2 million, including an increase of $1 million in the
proposed budget.
Revenues for the general fund are expected to increase 3.1%, or $2.6 million, over FY 2020.
Expenditures are proposed to increase 4.4%, or $3.6 million.
The FY 2020 budget included a $1 million appropriation to reserves.
Employee pay in the proposed budget includes a 1% cost-of-living increase and an average 3.5%
salary increase.
Seven full-time positions would be added at a cost of $477,570.
This is the fourth year DiSpirito has worked on the budget. He said it’s difficult to include all of
the city’s needs.
“Every year, there are more requests and larger requests than you can accommodate. At some
point, there’s a limit,” he said. “We try to focus on the priorities and as [the] council tells us,
there’s always more that we wish we could do.”
There are 53 capital projects in the city’s Capital Improvement Plan, estimated to need about
$20.7 million in new funding and $50.7 million in carryover funding.
Eight of those projects are new this year. Those include renovations and improvements to a
building for maintenance and emergency operations staff, a redesign and elevator for Promenade
Park between Monroe Street and Rockville Pike, traffic signal upgrades and water meter
replacements.
DiSpirito said one of the city’s top priorities in the next fiscal year is increasing pedestrian
safety.
“That’s been unfortunately a growing issue in our community,” he said, adding that crashes have
increased.
Several safety projects and initiatives include potentially painting faded crosswalks, adding street
lighting and signage, adjusting time for “walk” signals, and lowering speed limits.
DiSpirito said there is no specific budget for the work on safety improvements. Money will be
taken from several budget funds as needed.
A community survey on budget priorities opened Dec. 13 and had received 214 responses as of
Saturday. The survey closes on April 17.
Briana Adhikusuma can be reached at briana.adhikusuma@moco360.media
