Blacksburg ends year with surplus

Decisions by Blacksburg town officials during the 2007- 08 fiscal year have helped the municipality reach a surplus in its general fund.

The council was hoping for good news Monday as Unionbased accountant Terry Fant delivered his annual report regarding the municipality's finances for the previous fiscal year.

Significant losses in natural gas and water and sewer revenues contributed to the downward spiral, forcing the council to make what Blacksburg Mayor David Hogue termed as an "unpopular but necessary" choice by increasing the millage rate and beginning a garbage disposal fee for town residents.

While not well-received by the estimated 1,600 people living in Blacksburg, the action generated $81,157 in revenue for the municipality, giving it funds for emergency purposes.

"There is now a reserve so you don't have to fight fire after fire," Fant said. "You never know when this money will be needed."

More than $1.4 million was brought in by the town last year, with property taxes making up for more than half of that total.

Tax revenue increased 15 percent from the previous budget year. With the implementation of a hospitality tax and a decrease in the amount of funds being dished out by the municipality, Fant believes it was a good year financially for Blacksburg.

"The decrease in expenditures and an increase in revenue definitely made it a good year," Fant said.

Last year, the town spent $1.35 million. Almost half of the expenses ($608,959) went to operate the town's police department. The municipality's street department spent $289,349.