Hey, Richmond . . .

It’s your mayor, Danny. Last week, I came together with members of Richmond City Council, RPS elected and administrative leadership, city leaders, RPS advocates, families, and students to announce our plans to invest in modern school buildings while easing resident tax burdens where we can. Today, I want to walk you through the proposal I introduced that day. My proposal:

recommends bringing the new option of a 1% sales tax dedicated to school construction in front of Richmond voters this fall as a chance to raise a steady, predictable revenue stream of an estimated $47 million annually for modern schools.
pairs a 1% sales tax with my commitment to lower the city’s meals tax by one percent.
commits to presenting a FY28 budget with no higher than a $1.19 real estate tax rate.
calls for Richmond Public Schools to develop a long-term facilities plan with robust public input.

How we got here

During the 2026 General Assembly session, Virginia’s legislature and Governor Spanberger gave localities the ability to approve a local sales tax of up to 1% restricted for school construction and renovation.

Many of our regional neighbors, including Chesterfield and Powhatan Counties, have also taken advantage of this opportunity by calling for a voter referendum in this year’s elections.

On July 27, Richmond City Council unanimously approved the resolution to place the sales tax referendum on the November ballot for Richmond voters.

What happens next

Now that City Council has approved the referendum, on November 3, 2026 (or sooner, if you vote early!), Richmond voters will let us know if they want to move this proposal forward.

If voters approve the 1% sales tax, I’ve promised to introduce legislation to reduce the meals tax by 1%, from 7.5% to 6.5%. That reduction is a necessary step so that our incredible restaurant community doesn’t continue to shoulder a disproportionate tax burden when it comes to creating revenue for school construction funding.

The RPS portion of meals tax revenues (20%) will still be allocated to school construction at the proposed reduced rate and will generate enough revenue to sustain the RPS capital commitments made to date.

I’ve also committed to presenting a budget in March of 2027 that accounts for a reduced real estate tax, from the current $1.20 to $1.19. We haven’t lowered our real estate tax in Richmond since 2008. While I know this is only a small reduction, it moves us in the right direction of practicing fiscal discipline and long-term planning, as well as returning money to taxpayers.

Finally, along with every new dollar should come accountability. If we’re asking Richmond residents to approve a new tax – even for greatly needed new, modern, and safe schools! -- we want you to be confident that dollars are stewarded well. That’s why I’ve asked the School Board to develop a long-term facilities plan that includes public input and to be committed to transparent fiscal accountability and planning.

Why this tax is important for school construction

In RPS, we’re witnessing the results of decades of deferred maintenance. Ten of our school buildings are more than a century old, and assessments show problems with roofing, HVAC systems, and general wear and tear.

Every RPS student and every RPS teacher and staff member should be able to walk into a school building that reflects their extraordinary talent and potential.

I thought that RPS parent Ebonie Ricks Buckingham said it best, “Every one of us knows what it feels like to walk into our children's schools and see both the magic and the need. Our kids show up with curiosity, creativity, and big dreams, but too many of our buildings are, aging, patched together and simply not built for the kind of learning environment they deserve. . . This upcoming referendum matters to me as a parent; it's about giving our children safe modern schools without placing the entire burden on homeowners and small businesses.”

And here’s how our plan would accomplish that:

If approved, the local option sales tax would generate approximately $47.5 million a year beginning in FY 2028.
$850 million could be leveraged through financing for school capital projects between 2028 and 2034, compared to $450 million under our current plan.
That current funding plan requires quite a bit of dependence on the City’s general fund growth. This sales tax would generate more revenue for schools while also providing a path to use general fund growth to support essential debt capacity needed for other aging infrastructure like bridges, community centers, and the City’s courthouse.
The new sales tax would enhance, not replace, the City’s existing commitment to our schools.

Simply put, we would be able to build better schools sooner for more kids!

There will be lots of opportunities between now and November to learn about the referendum so that you have the information you need to make a decision as a voter. For now, please check out my full remarks from last week’s press conference, as well the remarks from President Newbille, Superintendent Kamras, RPS School Board Chair Shavonda Fernandez, and RPS parent Ebonie Ricks Buckingham.

I was proud to share my proposal for supporting school construction and renovation alongside RPS families, City Council, and the Richmond City School Board.

RPS Budget, Part Two: Addressing the shortfall

While not directly related to the 1% local sales tax proposal information above, many of you have been following the recently identified RPS budget shortfall. I’m a proud RPS parent and my wife teaches for RPS. I support our schools, and I'm always going to look for creative, responsible ways to help meet their needs. When I learned about the funding challenges facing our schools, I reached out to the Greater Richmond Convention Center Authority (GRCCA) to better understand what options were available with the City’s lodging tax rebate. After reviewing the agreement, they confirmed the opportunity to make a distribution to the City in July. I plan to submit a budget amendment to use $4.78 million of the City’s lodging tax rebate to help address RPS’s current budget gap. I’m glad this is an option that can help provide immediate relief to the problem.

An update on Department of Public Utilities Billing

Outside of school funding: We’ve recently replaced our utilities’ billing system, which had been in place for nearly 40 years. While this new system will ultimately give customers a better experience and more accurate billing, the transition hasn't been as smooth as it should have been.

I know this has been frustrating. Some of you have received bills that didn't look right, and others have had to wait too long to get answers. I'm sorry for that.

Here's what I want you to know: we are committed to getting every bill right and making sure this new system works the way it's supposed to.

If you think there's an issue with your bill, please call DPU at 804-646-4646. Our team will work with you to resolve it, and we'll make sure you're not overcharged because of system issues.

We're also making improvements right now. We've added 15 new customer service representatives to help reduce wait times for residents calling with questions or concerns, and we're already seeing those wait times come down. We're continuing to verify system updates and to make adjustments so that everything works as intended.

Looking ahead, another component of this new system will allow customers to see their water usage and meter readings directly, ensuring people are billed for what they actually use. Having this information readily available will help alert customers and DPU staff of any meter-reading issues.

We still have work to do, but we're making progress every day. My commitment is simple: we'll keep improving the system, keep communicating with you, and keep working until we get it right.

Resources for DPU billing

If you think there's an issue with your bill, please call DPU at 804-646-4646.
FAQs related to the account updates and delayed payment processing.
Archive of previous bill inserts with information about the back-office system change and utility rate updates.

Tourism and our city: Share your thoughts

Tourism continues to be a huge economic and social driver for the Richmond region. Many of our residents first visited as tourists, and people come to town for our festivals, sporting events, incredible museums, and dynamite food scene.

Richmond Region Tourism wants to understand how residents feel about tourism and its current impact on our communities. Their Resident Sentiment Survey will inform future planning to make sure that tourism supports vibrant communities, strengthens our local economy, and enhances the quality of life for those of us who call this region home.

Please take a few minutes to complete the survey and to share it with your friends and neighbors. All responses are confidential.

Photo of the Month

Last week, I met with the James River Association, Richmond Public Library staff, and Ripple to celebrate the continuation of the Greening Richmond Public Libraries initiative at Ginter Park Library. It’s been great to see projects designed to reduce stormwater runoff and to increase our green spaces taking shape at some of our most special public spaces!

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