Avula wants to use all $4.8M for RPS budget gap
Add Axios as your preferred source to
see more of our stories on Google.
Photo illustration: Axios Visuals. Photo: Sabrina Moreno/Axios.
The Greater Richmond Convention Center Authority said yes to fast-tracking $4.8 million in hotel and short-term rental tax revenue to Richmond.
Why it matters: The money could arrive as early as late July or August, and Mayor Avula wants to use it all to help plug Richmond Public Schools' budget hole.
Friction point: Hopes for additional state help appear to be fading.
- Avula told Axios that at last week's legislative retreat, lawmakers mentioned possible ways the state could revisit its budget to help narrow RPS' funding gap.
- But Sen. Lamont Bagby told Axios on Monday that there's no path to reopening Virginia's budget, leaving City Hall as the most immediate option.
Catch up quick: The delayed state budget left RPS with an unexpected $8.9 million gap, prompting the school board to ask Avula to use short-term rental tax revenue to avoid major cuts.
- That money first flows through GRCCA, which keeps a portion to cover operating costs before rebating the rest to local governments.
- Richmond usually receives its payment in December.
- Last week, Avula asked the authority — which includes Chesterfield, Hanover and Henrico leaders — to release the money sooner, a request the board approved Friday.
Yes, but: The early payment is about $800,000 less than the school board requested because the city doesn't receive the full amount it collects.
- A spokesperson for the mayor said Tuesday that he's still looking for more funding options.
- City Council must also approve transferring the $4.8 million to RPS.
What's next: Avula told Axios after the GRCCA meeting that he wouldn't introduce a budget amendment "or anything like that" until the city receives and certifies the money.
- His focus this week, he said, is "making sure that everybody's on board."
- "There's certainly a desire to figure out how we can accomplish this," Avula said.
What we're watching: The school board meets Thursday to consider more ways to close the budget gap before classes begin. Agenda details hadn't been posted as of Tuesday afternoon.