Richmond Council to consider 1% school-construction tax referendum
Richmond City Council will consider a proposed 1% sales-tax referendum for school construction on July 27; voters could decide in November if the measure advances.
Richmond City Council is scheduled to consider a proposed referendum on Monday, July 27, that could ask voters to approve a local sales tax of up to 1% for public-school construction and major renovation.
The measure has not been approved by Council and is not yet on the November 2026 ballot. If Council advances the proposal and the required legal process is completed, Richmond voters—not the mayor or Council alone—would make the final decision.
What the proposed tax would fund
Under the proposal, revenue would be restricted to capital projects involving Richmond Public Schools construction or major renovation rather than general city operations.
Mayor Danny Avula’s office estimates the tax could generate approximately $47.5 million annually beginning in fiscal year 2028. City and school officials say that revenue could support as much as $850 million in school capital projects between 2028 and 2034.
Those figures are projections, not guaranteed collections or an approved construction program. Specific schools, projects and neighborhoods have not been identified through a finalized facilities plan.
Possible tax offsets are conditional
Avula has tied the proposal to potential changes in other local taxes, but none of those changes is currently in effect.
If voters approve the sales tax, Avula says he would seek to reduce Richmond’s meals tax from 7.5% to 6.5%. He also says he would present a budget built around lowering the real-estate tax rate from $1.20 to $1.19 per $100 of assessed value.
Both commitments would require future legislation or budget action. They should not be read as adopted tax reductions.
The proposal comes amid RPS budget pressure
The school-facilities proposal arrives as Richmond Public Schools works through immediate operating-budget problems. The district approved nearly $4.3 million in reductions during its fiscal year 2027 budget process as costs rose and available funding remained constrained.
Separately, Avula has said he will submit a budget amendment proposing $4.78 million from the city’s lodging-tax rebate for RPS. That proposal is separate from the sales-tax referendum and would not represent permanent recurring school funding.
City and school officials have pointed to aging buildings and deferred maintenance as reasons to pursue a dedicated capital source. They have also acknowledged that a sales tax would accelerate construction but would not address every facilities need.
What Richmond residents should watch next
The first major test is the July 27 Council meeting and whether members advance Resolution 2026-R028. If the resolution moves forward, residents will need to watch the final ballot language, the legal schedule and any subsequent action required before a November vote.
Another open question is how Richmond Public Schools would prioritize projects if voters approve the tax. Until a facilities plan and project list are adopted, the proposal does not guarantee funding for any particular school or neighborhood.
Key sources
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