Town of Herndon Publishes Proposed FY2027 Budget
Herndon, Va., April 1, 2026 - Herndon’s Town Manager Dan Hoffman submitted a proposed FY2027 budget to the Town Council on April 1. It can be accessed at Herndon-va.gov/budget.
The FY 2027 Proposed Budget includes $99.8M in expenditures, an increase of 4.3 percent from the FY 2026 Adopted Budget. This growth is mainly due to increased capital investment, up 96.3 percent over last year’s budget, and necessary adjustments to support core municipal services.
“The proposed budget we’ve prepared for Council is driven by their established Strategic Plan priorities. It strengthens public safety, mobility, sustainability, economic vitality, and community connectedness. It invests in data-driven policing technology, safer roadways, and more efficient facilities management practices. It supports business growth, community partnerships, and effective planning for the future,” said Dan Hoffman.
Items of interest in this year’s proposed budget include:
- Allocating $200,000 to the Community Donations Program to support nonprofit programs that expand services and strengthen community engagement.
- Bolstering the Town’s business engagement efforts to support a vibrant commercial community.
- Continuing the Town’s multi year Roadway Safety Action Plan to improve safety and accessibility for pedestrians, bicyclists, and motorists across the transportation network.
- Implementing major transportation improvements on South Elden Street and Ferndale Avenue to enhance connectivity and safety.
- Maintaining robust event programming, including the signature Lynn Street event and neighborhood picnics that activate public spaces and strengthen local connections.
- Completing Phase 1 of the Town’s municipal infrastructure replacement project to generate long-term energy and maintenance savings.
The proposed budget continues the Town’s current real estate tax rate of $0.270, as well as the existing transient lodging tax rate of 6 percent and the meals tax rate of 4.5 percent. It also includes adjustments to water and sewer base rates, with water increasing by 18 percent and sewer increasing by 8 percent compared to the FY 2026 adopted budget.
“This budget reflects our commitment to being responsible stewards of public resources while planning for the long‑term needs of our community,” said Dan Hoffman, Herndon’s Town Manager. “We remain focused on maintaining a strong, sustainable financial foundation for the Town while continuing to serve our residents”
General fund expenditures account for 49 percent of the total budget. These are the costs associated with day-to-day town functions and services.
The Water and Sewer fund, an enterprise that finances the Town’s water and sewer operations, represents 30 percent of the total budget.
The Capital Projects Fund supports investments in major public infrastructure, transportation, and large equipment. This represents 12 percent of the total FY 2027 proposed budget.
The remainder of the budget supports other funds related to stormwater infrastructure, ARPA projects, the Town’s Cemetery, and the Town’s Golf Course.
The Council will hold public hearings to discuss the proposed budget and hear comments from the community at 7pm on April 14 and 28 in the Herndon Town Council Chambers at 765 Lynn Street, Herndon, VA 20170. Spanish language interpretation services are available at these meetings. They can also be viewed live online on the Town’s website, as well as on channel 23 for Cox customers and channel 28 on Verizon.
Media Contact: Brent M. Heavner, 703-435-6800 ext. 2010, brent.heavner@herndon-va.gov
