Asheville City Council is facing a potential budget shortfall of approximately $3.4 million for the next fiscal year unless property taxes are increased. During a recent budget work session, city budget and performance manager Lindsay Spangler outlined the revenue projections for fiscal year 2026-27.
The most significant contributor to this shortfall is a $5.6 million decrease in one-time revenue, primarily from a federal disaster loan acquired earlier. According to Spangler, sales taxes are expected to remain stable and won’t compensate for this loss, nor will the minor growth in property taxes from new construction.
“Looking at what you’re seeing across the whole state, it’s a similar, not great outlook,” Spangler noted, adding that the city is still financially recovering from the impacts of Helene and experiencing reduced tourist numbers…