(The Center Square) – A Richmond City Council committee voted Thursday to advance a resolution that would let city voters decide whether to approve a new local sales tax dedicated to school construction and major renovation projects.
The Education and Human Services Standing Committee recommended the resolution for approval and forwarded it to the full City Council for consideration at its July 27 meeting.
If approved by the council, the resolution would ask the Richmond Circuit Court to place the measure on the Nov. 3 general election ballot.
The proposal follows a change included in Virginia’s new two-year state budget, which took effect July 1. The budget amended state law to allow cities and counties to seek voter approval for a local sales tax of up to 1% dedicated to public school capital projects.
Under the resolution, the revenue could be used only for the construction or major renovation of public school facilities. It could not be used for operating expenses.
If voters approve the referendum, the tax would remain in effect until qualifying school construction bonds or loans are repaid. If no bonds or loans are used, the tax would expire no later than June 30, 2046.
Richmond City Council President Cynthia Newbille said the proposal stems from a legislative effort supported by Richmond and other local governments.
“Richmond joined Virginia First Cities and the Virginia Municipal League in requesting that the 2026 Virginia General Assembly provide communities an additional tool to consider for addressing capital needs for public schools,” Newbille said in a statement provided to The Center Square.
“A local referendum would give Richmond voters the opportunity to decide on a 1% local voter-approved sales tax to help pay for construction and major renovation of schools,” she said. “This is an important choice for Richmond residents to make.”
The Richmond School Board adopted a resolution Monday supporting the referendum and urging the City Council to move it forward.
The school board said the tax could be used only for school capital projects and not for operating expenses, teacher salaries or other noncapital purposes. Its resolution also noted that groceries, essential personal hygiene products and prescription medicines are exempt from the additional local sales tax under state law.
The school board cited projections from the Virginia Department of Taxation estimating that about 28% of the revenue generated by the tax would come from non-city residents shopping in Richmond.
The resolution was introduced July 6 by Council Vice President Katherine Jordan, Council President Cynthia Newbille and Councilman Andrew S. Breton. The full City Council is scheduled to consider the measure July 27.
