Petersburg City Council voted to adopt the city’s FY2026–FY2030 Capital Improvement Plan (CIP) and the FY2026 capital budget, which the budget manager presented as a working plan of capital projects and funding sources.

Budget staff said the FY26 program includes approximately $73 million in project spending and identified a five-year total of roughly $458 million across the CIP. Staff described projects across facilities, streets, stormwater, water, wastewater and transit. The FY26 highlights listed in the presentation include an animal shelter project, Union Station rehabilitation, HVAC replacements, South Crater Road traffic signal improvements, Oak Hill Road bridge replacement, multiple stormwater and water system investments, and a major wastewater nutrient removal upgrade. Transit projects include a planned maintenance facility and vehicles.

During the public hearing, residents asked how bonding and loans are repaid; staff explained bonds are repaid over time from tax revenues and that some water and sewer projects may use VRA low-interest loans with partial forgiveness. Residents also asked about ARPA funds and stormwater funding; staff clarified most ARPA funds already were spent and the $29 million line in the CIP represented non-city ARPA subrecipient funding; stormwater projects are largely grant funded with a remaining local stormwater fund contribution.

Councilmember Coppell moved to adopt the capital budget as proposed; Councilmember Annette Smith Lee seconded. On roll call the motion carried: Councilmember Cuthbert — Aye; Councilmember Jones — Aye; Councilmember Westbrook — Aye; Councilmember Smith Lee — Aye; Vice Mayor Hill — Aye.

Staff said funding sources for FY26 include bonds, loans, grants and internal funds; specifics for each project will be developed by departments as part of implementation and in future budget cycles.