NELSON COUNTY BOARD OF SUPERVISORS
APRIL 27, 2026 at 7:00 P.M.

PRESENT: Supervisors Jesse Rutherford, A. Cameron Lenahan, Jessical Ligon, Ernie Reed, and David Parr

ALL REFERENCED DOCUMENTS IN THE BOARD OF SUPERVISORS’ (BOS) PACKET can be found by going to https://www.nelsoncounty-va.gov/government/board-of-supervisors/, clicking on the calendar, April 27, 2026 and clicking on the 7:00 meeting announcement. It will be on left side of the page, 3 rd item listed just above the agenda.!!!

I. The Meeting was CALLED TO ORDER.

II. FY27 BUDGET CONSIDERATIONS:

The original report submitted by Candace McGarry to the Board in the meeting packet appears below but was further modified by the information in the power point which follows the report and the graphs. The 2026 Actual Land Book Tax Relief Discounts “are 1.9% higher than preliminary estimates, resulting in a decrease in taxable values of $81,147,298.” To generate the necessary projected revenues, the Board needed to increase the tax rate by .$01 over the previous projections.

“To: Board of Supervisors
From: Candy McGarry, County Administrator
RE: New Tax Rate Information – 2026 Actual Land Book Values Compared to 2026 Estimates Analysis
Attachment: 2026 Actual Land Book Values Compared to 2026 Estimates Analysis
Narrative Explanation:
The actual system generated discounts for 2026 tax relief were $81,147,298 MORE than the 2025 discounts, which were used in preliminary estimates of the 2026 adjusted taxable values of $4,265,402,098 and associated value of the Penny in tax rate of $426,540 (See Tables 1 & 2). The actual system generated adjusted taxable values of $4,187,510,400 is $81,147,298 LESS than the estimated values and the associated value of the Penny in tax rate is $8,198 LESS than the estimated value of the Penny in tax rate at an actual amount of $418,342. (See Table 2) To date, the tax rates being discussed have been based on the estimated value of the Penny in tax rate of $426,540. With the actual value of the Penny in tax rate being $418,342, the associated anticipated revenues with each level of tax rate from $0.50 - $0.58 (maximum) should be considered in establishing the 2026 tax rate for real property and mobile/manufactured homes. (See Tables 1A & 2A)
It is important to note that a real property tax rate of $0.50 now generates LESS revenue than in 2025 and is not recommended for consideration.

Estimated VS. Actual Comparison:
Tax Relief Discounts Affecting Adjusted Taxable Values, Value of the Penny in Tax Rate, Estimates of Anticipated Tax levy, and Associated Increase in Revenue Generated at $0.50 - $0.58 intervals differ between Estimates and Actual:
I. Estimated – Calculations Used to Date
2026 Preliminary Estimates: Adjusted Taxable Values & Tax Value of Penny (TABLE 1.)
• 2025 property values associated with the deductions for Land Use, Elderly & Disabled, and Veteran tax relief were used in 2026 Preliminary Estimates
• 2026 Preliminary Estimates using these 2025 values and deductions resulted in Adjusted Taxable Values of $4,265,402,098 and a Tax Value of the Penny in Real Property Tax of $426,540
2026 Preliminary Estimates: Estimated Tax Levy and Increase in Generated Revenue from 2025 (TABLE 1A.)
• The chart in TABLE 1A showing the estimated tax levy and associated increases in anticipated tax levy per Tax Rate of $0.50-$0.58 has been used in considering the establishment of the 2026 tax rate and in building the draft FY27 budget.
For Example:
o Advertised proposed Rate of $0.58 = $3,659,820 in anticipated new tax levy
o FY27 Draft budget is based on $0.57 = $3,233,280 in anticipated new tax levy
II. Actuals – System Generated Land Book Values
2026 Actuals: Adjusted Taxable Values & Tax Value of Penny (TABLE 2.)
• 2026 property values associated with the deductions for Land Use, Elderly & Disabled, and Veteran tax relief are higher than the 2025 property values for these discounts used in the 2026 Preliminary Estimates by $81,147,298. These are system generated when the Commissioner of Revenue processes the land book.
• 2026 Actual land book values and the system generated relief deductions, resulted in Adjusted Taxable Values of $4,187,510,400, a difference of $81,147,298 less than estimated. The new/actual Tax Value of the Penny in Real Property Tax is $418,342
2026 Actuals: Actual Tax Levy and Increase in Generated Revenue from 2025 (Decrease from Estimated) (TABLE 2A.)
• The chart in TABLE 2A, shows the actual tax levy and associated increases in anticipated tax levy per Tax Rate of $0.50-$0.58 that should be used now in considering the establishment of the 2026 tax rate and in finalizing the FY27 budget.
For Example, NEW actual tax levies are as follows:
o Advertised proposed rate of $0.58 = $3,184,314 in anticipated actual new tax levy - $475,506 LESS than the estimated amount of $3,659,820
o FY27 draft budget is based on $0.57 = 2,766,031 in anticipated actual new tax levy - $467,249 LESS than the estimated amount of $3,233,280

The corrected projected revenue data appears in the following power point: