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Council votes 5–1 to put 1% sales-tax referendum for school construction on November ballot

Portsmouth City Council · July 29, 2026
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Summary

Portsmouth City Council voted 5–1 to place a referendum on the Nov. ballot to allow up to a 1% local retail sales tax, with proceeds restricted by state law to capital work on Portsmouth Public Schools; Vice Mayor Moody opposed moving the measure forward this November.

Portsmouth City Council voted to put a referendum on the November ballot asking voters to authorize up to a 1% local general retail sales tax to fund capital projects for Portsmouth Public Schools.

City Clerk Deborah White read the resolution under section 58.1‑605.1 of the Code of Virginia describing the state-authorized referendum and the permitted use of proceeds for construction or major renovation of school facilities. The clerk said the Virginia Department of Taxation estimates roughly $13,000,000 in annual revenue for the locality if the tax is approved by voters.

Several residents spoke during public comment. Luis Padilla urged caution and asked the council to perform an independent audit of the school division’s budget and to exhaust operational solutions before asking residents and businesses to accept a higher tax. Sergio O'Neil said he supports investment in school buildings but asked the council to be transparent about how any new revenue would be spent.

Council members debated timing and the role of voters. Vice Mayor Moody said he will vote no because recent school projects were funded without a referendum and noted current economic concerns that could prompt a no vote. Councilwoman Bridal and others said placing the question before voters gives the public the final say and emphasized that the sales tax would not apply to groceries or essential hygiene items. City Attorney Derek Challenger noted some procedural questions remain about implementation and whether additional council action would be required following a voter approval.

The council approved placing the referendum on the ballot by a 5–1 electronic vote; the clerk recorded the motion as adopted 5–1, with Vice Mayor Moody opposed. Next steps include voter education before November and follow-up legal review noted by the city attorney.