Former Richmond officials jump into sales tax referendum push
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Two former Richmond officials just launched the first statewide advocacy group focused on Virginia’s school sales tax referendums.
Why it matters: More than 20 localities — including Richmond, Chesterfield and Powhatan — are asking voters in November to approve a 1% sales tax to fund school construction.
State of play: Virginians for Modern Schools (VMS) was founded by former City Council president Kristen Nye and Lincoln Saunders, the city’s former chief administrative officer under Mayor Stoney.
- Both left City Hall in 2024 and reunited after a new Virginia law took effect in July, allowing localities to hold school sales tax referendums.
- At least 22 cities and counties have put the tax on their November ballots as of this week, per VMS.
- "Some areas have had deferred maintenance for literally decades," Nye tells Axios. "So this is a real opportunity for them."
The big picture: Virginia schools have billions of dollars in construction and maintenance needs, per a 2021 Virginia Department of Education study.
- Last week, Chesterfield schools said it'd need about $850 million for maintenance over the next decade — but has only $130 million budgeted, reports the Richmonder.
- RPS has estimated it could face roughly $430 million in facilities needs in that same timeframe. Its annual capital improvement budget for this year is about $9.3 million.
- Meanwhile, ahead of students returning to school on Monday, at least 10 Henrico schools could be facing HVAC issues, per WRIC.
The other side: Early opposition in Richmond centers on the city's already-high taxes, especially on restaurants, with some residents arguing officials should use existing revenues or property taxes instead.
How it works: VMS stops short of running local “vote yes” campaigns, but it's building infrastructure that could support efforts to pass the referendum.
- The organization is offering voter education, messaging, research, referendum tool kits and coordinated outreach.
- Nye, who served as co-chair of RPS’ facilities task force, tells Axios the group is in talks with Richmond and Chesterfield officials, but it hasn’t decided where it’ll concentrate its resources.
- Both Chesterfield and Richmond confirmed the discussions, but said no decisions have been made about working with the group.
- Nye expects paid media around the Richmond region as Election Day approaches, though VMS' role in that advertising is still TBD.
The intrigue: VMS’ five-member board includes former secretary of the Commonwealth Kelly Gee; Kevin O’Holleran, former chief of staff to then-Attorney General Mark Herring; and a real estate broker who sits on Richmond’s planning commission.
- Nye tells Axios that VMS is financed by corporate donors and membership organizations.
- She declined to name funders, saying those commitments are still evolving, and says the group aims to raise $1 million to $1.5 million over the next six months.
What we’re watching: VMS is already working with localities eyeing a 2027 referendum, and Nye predicts the field could more than double this year’s slate.
- By 2028, though, she thinks the wave will mostly crest, and VMS could wind down or shift its mission.
What’s next: Early voting starts Sept. 18.
Go deeper: Richmond and Chesterfield tie tax cuts to new sales tax vote