The Richmond City Council settled on changes to Mayor Danny Avula’s $3 billion proposed budget for the next fiscal year, setting aside more money to help people cover bills and pay for projects voted for by residents.
Many of the councilors’ proposals, like $6.9 million more for Richmond Public Schools, didn’t make it into the final budget amendments sent to City Attorney Laura Drewry by a Monday deadline.
Council agreed to put more money in the spending plan toward some of their own priorities, including legal assistance for people facing eviction, a 24/7 year-round shelter for the unhoused and local after-school programs.
The process didn’t come without conflicts over spending and ways to cut costs, as councilors voiced frustration about rejected proposals and council’s limitations to significantly change a $3 billion budget that’s required to be balanced.
The experience had freshman councilors calling for changes in how the council weighs in on the process.
One major point of disagreement was over a proposal from 4th District Councilor Sarah Abubaker to withhold 3.25% pay raises for non-union employees earning at least $150,000 a year — saving $750,000.
Abubaker said during a Monday afternoon work session she offered compromises, including offering $2,300 raises to non-union employees earning $175,000 instead of 3.25% raises, but added that Avula’s administration wouldn’t budge on raises for top senior officials.
“This process is emblematic of a larger problem,” Abubaker said. “A budget structure that limits council’s input, minimizes transparency and demands rubber stamps instead of real debate. I think we can and must do better.”
The councilor said she proposed the move due to alarming financial predictions from the city. Some councilors said they backed the plan and expressed confusion why there wasn’t more support, while others said they were concerned over non-union employees not getting raises.
“I really am shocked that we don’t have the votes for this,” 3rd District Councilor Kenya Gibson said during the work session.
Councilors ultimately agreed on some of their spending priorities and a mix of reductions proposed by staff and the Avula administration for the fiscal 2026 budget. This includes spending nearly $1.89 million for proposed operating budget amendments and $1.94 million in cuts.
One of the budget amendments adds $480,000 for the Family Crisis Fund — which gives people money for rent, bills and other needs — on top of the $520,000 Avula proposed.
Richmond code requires the budget be balanced, meaning any additional funding to Avula’s $3 billion spending plan for fiscal year 2026 needs to be matched with cuts. (FY26 starts July 1 and runs until June 30, 2026.)
The final amendments also set aside $200,000 in additional funding for legal representation for residents facing evictions as well as the city’s eviction diversion program.
Another investment that survived is $400,000 for the Positive Youth Development Fund, which provides grant funding for out-of-school programs run by local nonprofits. As VPM News previously reported, nonprofit leaders feared all of the fund’s after-school programs would end this summer without that money.
Cuts to the operating budget include removing vacant positions from the Office of Community Wealth Building and an empty park ranger position.
The council also found consensus on spending $2.2 million for long-term projects, with matching cuts. The bulk of this funding is earmarked for infrastructure projects and other upgrades voted for by residents during the participatory People’s Budget program.
The council’s discussions over such a small portion of the budget highlight the council’s limits in the process, Abubaker said Monday: “Just from a philosophical standpoint, the fact that we are debating $1.9 million out of a $3 billion budget explains how broken this process is and shows how resistant we are to the basic questions of fiscal discipline.”
The City Council is set to vote on a final budget at its May 12 meeting.
