Richmond City Council prioritizes economic development to address housing affordability

The Richmond City Finance and Economic Development Standing Committee convened on May 21, 2025, to discuss critical strategies for enhancing the city’s economic growth and addressing public infrastructure needs. A significant focus of the meeting was on the necessity for private development communities to absorb costs associated with public infrastructure, such as streets and public spaces, to ensure that revenues can flow into the city’s general fund.

City officials emphasized the importance of analyzing real estate that is not needed by the city, with the goal of returning these properties to private roles. This includes ongoing efforts to relocate the Department of Social Services, which would free up valuable land for redevelopment. The committee also highlighted the need for a new or renovated court building, indicating that these projects require careful financial analysis before moving forward.

Council members expressed concerns about the city’s economic development strategy, noting that despite years of redevelopment efforts, many areas, particularly downtown, remain stagnant. They called for measurable objectives within the economic development plans to track progress and ensure accountability. The discussion revealed frustrations regarding the perceived lack of prioritization and funding for economic development compared to other city departments.

Members pointed out that Richmond's economic development office is underfunded and understaffed, which hampers the city’s ability to attract businesses and create jobs that cater to middle-income families. The committee stressed the need for a strategic approach to economic development that aligns with the city’s master plan, which identifies key areas for growth.

The meeting concluded with a commitment to revisit the economic development report to better align it with the council's expectations and the city's long-term goals. Officials expressed a willingness to collaborate closely to ensure that future budgets reflect a commitment to fostering economic growth and making living in Richmond affordable for all residents.