COLLINSVILLE, Va. (Romero Report) — The Henry County Board of Supervisors has scheduled a public hearing for June 25 at 6 p.m. to receive input from citizens on a proposed tax increase aimed at providing additional funding for education.

The county is considering raising its real estate tax from 55.5 cents to 62 cents per $100 of assessed value to meet state-required funding levels.

In April, the board adopted a budget that increased school funding by $4.3 million, bringing the total school budget to $107,018,865, according to a news release.

This total comprised $72.6 million in state funds and $21.6 million in local funds.

The state later finalized a budget increasing its contribution to $80.1 million.

The release said the Commonwealth of Virginia determines the amount of local funds required for education using a formula called the local composite index (LCI).

Counties or cities with lower LCI scores are considered to have less ability to pay for education.

Henry County has the twelfth lowest LCI score in the state, the release stated.

According to the state’s formula, the county must provide $20.1 million to match the increase in state funding.

On June 6, the Henry County School Board amended its budget to request an additional $3.8 million in discretionary funds from the county, bringing the total local funding amount to $23.9 million, according to the release.

The proposed tax rate increase would cover the state-required amount and provide some additional discretionary funds.

The school board also requested an increase in the facilities budget by $1.12 million from the original budget, the county said.

Taxpayers support school facilities through the annual budget and a separate fund generated by an additional one percent sales tax.

This fund currently has a balance of $10.2 million and accrues approximately $5.5 million annually.

The last property tax increase in county was approved in 2017.

The Board of Supervisors is seeking community input on the proposed tax change, which aims to enhance educational funding and facilities in the county.

CORRECTION: Henry County Public Information Officer Brandon Martin noted a correction to the news release. The public hearing should be on June 25, not June 23.

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