As expected, the Richmond City Council chose not to make a decision Tuesday about whether the city’s real estate tax rate should stay the same or drop by a few cents.

With the Nov. 5 elections fast approaching, the council appears divided on a pair of competing ordinances on the tax rate. The council continued the tax proposals until a special meeting scheduled for Oct. 28 at 6 p.m.

Because property values went up significantly in new assessment notices the city mailed out in early September, state law requires the council to take a public vote on collecting the extra tax revenue or reducing the rate to limit the growth in homeowners’ tax bills.

For weeks, the council has been discussing proposals to keep the rate at $1.20 per $100 of assessed value or reduce the rate to $1.16. Some councilors have also suggested exploring the idea of lowering the rate by 3 cents. For 2025 tax bills to stay entirely level, the tax rate would be a little less than $1.14 - a six-cent cut.

Two council members — President Kristen Nye (4th District) and Andreas Addison (1st District) — were absent from Tuesday’s meeting. The body had already signaled it would not take up the tax issue, but had to formally vote to push it to the next meeting’s agenda.

Mayor Levar Stoney’s administration has opposed the rate reduction, saying it would disproportionately benefit owners of the city’s most high-value properties. The Stoney administration has proposed sending taxpayers one-time rebate checks worth about $150 for the typical residential homeowner, the same amount of ongoing relief taxpayers would get if the rate were reduced by 4 cents. 

The administration has also suggested creating two new housing relief programs. One would freeze tax bills for homeowners who are disabled or at least 65 years old. The other would provide $200 in monthly housing aid for up to six months for low-income renters or homeowners.

Also at Council...

In other action Tuesday, the council approved an ordinance to add prevailing wage rules for large city construction projects. The proposal had strong support from union workers who told the council they wished the city had included stronger labor provisions in the Diamond District project to ensure local workers would benefit from the construction of a new baseball stadium.

“We stand in support, absolutely,” Councilor Cynthia Newbille (7th District) told attendees wearing the orange shirts of the Laborer’s International Union of North America.

The council also delayed action on a $2 million proposal to purchase a building at 2310 W. Cary Street to serve as the new shelter for Richmond Animal Care and Control. That issue was continued to the council’s Nov. 12 meeting.