City Council Worksession on Budget (Apr 14, 2026)

City Council Worksession Recap: Shaping the Budget for Fiscal Year 2027

On April 14, 2026, the City Council convened a work session to begin shaping the budget for Fiscal Year 2027. This meeting provided an early look at potential changes impacting residents and the city's future, focusing on a range of topics from downtown improvements to critical infrastructure projects. While no formal votes were taken during this session, the discussions laid the groundwork for upcoming decisions that will significantly affect our community.

A primary focus of the meeting was addressing a current $10.5 million budget gap between projected revenues and expenses. The council explored several options to close this gap, including the possibility of setting property tax rates above the revenue-neutral rate. This discussion highlighted a key challenge: balancing the need for essential services and infrastructure improvements with the financial burden on residents. Alongside this, a significant portion of the discussion centered around lead pipe replacement, mandated by a new federal rule. The council is actively exploring funding avenues, including Community Development Block Grant (CDBG) funds, to address this critical public health concern.

Downtown revitalization and financial stability for the Business Improvement District (BID) were also major topics of discussion. The county-wide property revaluation will adjust the BID tax rate, and the city is now receiving a portion of sales tax revenue generated within the BID area. This new revenue stream appears sufficient to cover the BID's requested budget of $1.43 million, allowing for the reinstatement of funding for downtown holiday events and the AVL Arts grant program. The council also considered potential changes to parking rates and zones, showing support for expanding meters into the South Slope and Biltmore Village areas. Concerns were raised regarding extending meter hours, prompting a request for staff to evaluate the potential impact on downtown workers and visitors. Finally, with anticipated surplus revenue in the BID fund after restoring event and arts funding, the council will explore options such as a business tax reduction or increased police presence downtown.

Beyond these immediate concerns, the council received an update on the five-year Capital Improvement Plan (CIP), outlining major infrastructure investments. The discussion also included plans to leverage $250 million in federal recovery funds for various projects, including a new transit maintenance center. Concerns were raised about school zone safety in South Asheville neighborhoods, prompting staff to prepare a follow-up document detailing those efforts.

What Happens Next?

The City Council’s work on the budget is ongoing. Here's what residents can expect:

• Revised Budget Document: City staff will prepare a revised budget document for public review in May, providing greater detail on personnel costs and program inclusions.
• City Manager’s Proposal: City Manager DK Wesley will present the manager's proposed budget to the Council in May.
• Continued Deliberations: The council will continue to deliberate on the budget, considering various funding options and their impact. Residents are encouraged to stay informed and participate in upcoming public hearings as the budget process progresses.

This work session offered a valuable glimpse into the complex decisions facing our City Council. By staying engaged and informed, residents can play an active role in shaping the future of our community through this crucial budget process.