Richmond City Council Summary: City Finances, Water Crisis Lessons & the $3 Billion Budget Plan for FY2026
- Voice !t Staff
- Apr 10
- 3 min read
Richmond’s Financial Check-Up: How Are We Doing?
The City of Richmond wrapped up its fiscal year 2024 with more assets than debts—a solid $1.78 billion in the positive.
The City brought in $1.63 billion in revenue, mostly from property taxes and fees for things like utilities and services. Real estate taxes alone brought in $442 million, thanks to rising property values.
Spending rose too, especially in public safety and education. The City spent $1.43 billion, with $232 million going to Richmond Public Schools.
Richmond’s General Fund (think: day-to-day expenses) ended with $268.6 million, showing steady financial management.
The City also kept its AAA bond rating from Fitch, meaning it's seen as a trustworthy borrower—good news for future projects and taxpayers alike.
Why it matters to you: A city that manages money well is better equipped to fund schools, repair roads, expand public transit, and keep taxes stable. That AAA bond rating? It means we can borrow money at lower interest rates—saving everyone cash in the long run.
The Water Treatment Plant Outage: What Happened and What’s Being Fixed
Remember that major water outage in January 2025? Richmond’s main Water Treatment Plant lost power, and backup systems didn’t kick in like they were supposed to. The result? Flooded basements, broken equipment, and 36 hours without reliable water for thousands of residents.
What went wrong?
A power switch failed and backup systems didn’t respond.
Operators couldn’t shut down the system fast enough.
Outdated pumps couldn’t keep up with flooding.
Training gaps, staffing shortages, and unclear emergency protocols made things worse.
Now, the City is taking action with recommendations like:
Better training and emergency response plans.
New, high-capacity pumps.
Moving critical equipment out of flood zones.
Fixing outdated maintenance and project planning systems.
Why it matters to you: Clean, reliable water is non-negotiable. The fixes being put in place will make sure we don’t have to worry about another widespread water outage when the next storm rolls in. Plus, better emergency planning = better peace of mind.
What’s in Richmond City Council's Proposed $3 Billion FY2026 Budget?
The City is planning a whopping $3 billion budget for FY2026, with over $1.05 billion going to the General Fund—that’s the money used to pay for schools, police, roads, and social services.
Highlights:
$248.9 million proposed for Richmond Public Schools (RPS).
$220.5 million for Public Safety (police, fire, emergency services).
Raises and a $20/hour minimum wage for City workers.
Over $4.2 million to fight homelessness, including shelter beds and eviction prevention programs.
New investments in transit, tourism, and economic development.
Why it matters to you: This budget shapes your daily life. It funds your kids' schools, your 911 responders, your water bill, and even how fast your potholes get filled. A higher city minimum wage could ripple through the local economy. And more funding for homelessness means fewer people living on the streets and more support for those in crisis.
TL;DR: Learning from the Water Crisis, Budgeting for Our Future, and Why Your Voice Matters
Richmond is taking real steps to learn from the January water outage—because when city systems fail, it’s not just pipes that break, it’s public trust. The good news? The City is listening, improving, and rebuilding smarter. But effective governance doesn’t happen in a vacuum—it depends on all of us paying attention and holding our leaders accountable.
This new $3 billion budget isn’t just numbers on a spreadsheet—it’s the blueprint for how Richmond will operate moving forward. It decides everything from how well your kid’s school is funded, to what happens when the next storm hits. In short: this budget shapes the Richmond you live in every day.
By staying informed and speaking up, we don’t just react to crises—we help prevent them. Let’s turn lessons learned into lasting change, and remember: the future of Richmond isn’t just decided in council chambers—it’s also shaped by who’s paying attention.
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