
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, April 25, 1990                   TAG: 9004250671
SECTION: VIRGINIA                    PAGE: B-6   EDITION: EVENING 
SOURCE: MONICA DAVEY STAFF WRITER
DATELINE:                                 LENGTH: Medium

BEDFORD TAX-RATE CUT IS PROPOSED

Bedford City Manager Jack Gross recommended Tuesday that City Council lower the real estate tax rate next year, though some residents are likely to pay more anyway because of increasing tax assessments.

Gross advised the council to reduce the rate from 79 cents per $100 assessed valuation of real estate to 71 cents. He predicted that the rate drop, combined with this year's reassessment, would generate about the same revenue as this year.

Gross said he was unsure how much assessments will rise, because Blue Ridge Appraisal Co. had not yet completed its work. He based the tax rate decrease on some individual assessments already conducted, he said.

The affects of reassessment on a homeowner's tax bill vary.

Gross said he expected that the variation will be particularly pronounced this year. Overall, values are expected to be up from the last reassessment four years ago, when the city's assessments did not increase much, Gross said.

Gross made the recommendations Tuesday night as he presented council with a proposed $19.8 million 1990-91 budget. Council will be looking at larger projects in the next few years - including a new library, a gymnasium for Bedford Middle School and a waste-treatment plant.

The proposed budget includes:

A $9.3 million general fund, a 5.8 percent increase over this year.

An $8.9 million electricity fund, about 5.3 percent higher than this year.

A $1.5 million water and sewer fund, 16.3 percent lower than this year.

The budget would spend $2.9 million - a 10 percent increase - for the city's part of funding the school system.

City Council members are expected to adopt a final budget May 22.

by CNB