Administration presents fiscal‑health update: audit progress, revenue gains and staffing gaps

An administration official (referred to in the transcript as Donnell) gave a wide‑ranging fiscal update, describing early returns from revenue modernization and steps to stabilize finance operations.

Key points included progress toward closing the FY25 audit, steps to strengthen internal controls, and a recruitment push to fill finance vacancies (the speaker said 59 total vacancies existed on arrival, with about 10 positions in active recruitment). The official highlighted improved billing performance — issuing 70,000 tax bills with an initial collection rate of about 96% — and early results from a revived tax‑enforcement effort that recovered roughly $150,000 in outstanding revenues in a short period.

The presentation also covered modernization of business license (BPOL) processes and RVA Pay, noting more than 2,000 early compliances following dashboard launch and other updates. The administration announced creation of an internal controls division to reduce audit findings and pledged to provide more regular, reliable monthly reporting and a multiyear fiscal assessment. The official said Moody’s had reaffirmed the city’s rating and that rating‑agency visits were scheduled to review the city’s finances and utilities.

Council members thanked administration staff and requested more advance sharing of staff questions and more detail on specific items such as the causes of an estimated $8 million increase in FY27 debt service. The committee had no formal action on the presentation.