Roanoke Debates Meals Tax Increase Amid Budget Concerns

Currently at 5.5%, the tax increase could push it to 7% — making it one of the highest in the region.

ROANOKE, VA – The City of Roanoke’s budget talks have become a battle of priorities ,and perspectives.

“I’m vehemently against raising the meals tax,” Council Member Nick Hagen (R) said.

“When those deferred items impact the delivery of essential services, you have to stop and say, ‘okay, we have to give this attention,’” Mayor Joe Cobb (D) said.

At the heart of the debate: a proposed 1-1.5% increase in Roanoke’s meals tax.

“It’s needed to be able to be a well-functioning city that can provide adequate services to our well-functioning citizens. We have slacked behind in certain areas,” Council Member Phazhon Nash (D) said.

Nash says the city is millions of dollars behind on deferred maintenance projects, some crucial to ADA compliance.

“If an individual comes on that side door and the elevator is broken down because it’s in such dire need of replacement, then they can’t access our building. And that’s not fair to that citizen,” Nash said.

Currently at 5.5%, the tax increase could push it to 7%,, making it one of the highest in the region.

In Salem and Botetourt, the meals tax is currently 6%. In Roanoke County, the meals tax is 4%.

Hagen is worried about the effect on restaurants and consumers.

“And especially at a time where everyone is hurting right now,” Hagen said.

A petition has started to reject the proposal.

With over 1000 signatures, it says, “This isn’t just a number. This is about survival for our local restaurants, fairness for working families, and the soul of our community.”

 “As we’re thinking about bottom lines, restaurants are thinking about bottom lines. The only other options really are real estate tax and personal property tax,” Cobb said.

But real estate taxes are hitting people where it hurts, too.

Even though rates remain the same, valuations are skyrocketing.

“Unfortunately, most people have had to pay an increase. The City of Roanoke hasn’t gone up on their tax rate in about ten years, and right now we have no plans to do so at all, because the natural increase in the value of people’s properties are generating that revenue,” Nash said.

Hagen wants to see cuts elsewhere, like council member salaries.

“That constitutes a very small portion, but these very small things that tend to get overlooked, they add up,” Hagen said.

“You can discuss little things, but little things in a $413 million proposed budget, you have to think in bigger numbers,” Cobb said.

A community meeting is being held on Thursday at Pilgrim Baptist Church from 7:00-9:00.

There will also be a public hearing at City Council Monday.


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Abbie Coleman officially joined the WSLS 10 News team in January 2023.