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June 23, 2026 <br /> <br />At a Regular Meeting of the City Council on Tuesday, June 23, 2026, there were <br />present: <br /> <br />Mayor Shannon E. Glover, Vice Mayor William E. Moody, Jr., Mark A. Hugel, Vernon L. <br />Tillage, Jr., Kathryn W. Bryant, Dr. William S. Dodson, Jr., Yolanda E. Thomas, City <br />Manager Steven Carter, City Attorney Derek G. Challenger. <br /> <br />Mayor Glover asked for a moment of silence, which was followed by the Pledge of <br />Allegiance to the Flag. <br /> <br /> Mayor Glover called the meeting to order and welcomed all in attendance. <br /> <br /> Motion by Mr. Moody, and seconded by Mr. Hugel, to adopt the minutes of a Called <br />Meeting of June 8, 2026, of a Called Meeting of June 9, 2026, and of a Regular Meeting <br />of June 9, 2026, and was adopted by the following vote: <br /> <br />Ayes: Bryant, Dodson, Hugel, Moody, Thomas, Tillage, Glover <br />Nays: None <br /> <br />- Unfinished Business - <br /> <br />26 - 121(a) - Adoption of an ordinance to amend and reordain Article II (Real Estate <br />Assessments) of Chapter 35 (Taxation) of the Code of the City of Portsmouth, <br />Virginia by adding a new Division 3 titled “Classification and Assessment of <br />Blighted Properties and Derelict Buildings” for the purpose of establishing blighted <br />properties and derelict buildings as separate classes of property for taxation <br />purposes and providing that blighted properties shall be taxed at a rate five <br />percent, and derelict buildings taxed at a rate ten percent, higher than the tax rate <br />applicable to the general class of real property. Deferred from the May 12, 2026, <br />City Council meeting. <br /> <br />Background: <br /> <br /> Virginia Code Section 58.1-3221.6 authorizes “qualifying localities” to declare <br />blighted property and derelict buildings to be separate classes of property for taxation <br />purposes, and to tax said properties and buildings at a higher tax rate than that applicable <br />to the general class of real property. <br /> <br /> Portsmouth is a qualifying locality, with a score of 100 or higher on the fiscal stress <br />index published by the Department of Housing and Community Development <br /> <br /> The ordinance proposed for City Council consideration would use the authority <br />granted by Section 58.1-3221.6 to tax “blighted property” at a rate 5% higher, and “derelict <br />buildings” at a rate 10% higher, than the tax rate applicable to the general class of real <br /> <br />property (currently set at $1.24 per $100 of assessed value). <br /> <br /> The purpose of the proposed amendment is to encourage the proper maintenance <br />of structures and properties in the city, and to ensure that property owners who are not <br />providing appropriate maintenance bear a portion of the general cost that the City incurs <br />as a result of blighted and derelict property. <br /> <br />Discussion: <br /> <br /> “Blighted property” means the same as that term is defined in Code of Virginia, § <br />36-3, encompassing any individual commercial, industrial, or residential structure or <br />improvement that endangers the public’s health, safety, or welfare because the structure <br />or improvement upon the property is dilapidated, deteriorated, or violates minimum health <br />and safety standards, or any structure or improvement previously designated as blighted <br />pursuant to Code of Virginia, § 36-49.1:1 under the process for determination of ‘spot <br /> <br />blight’. <br /> <br /> “Derelict building” means the same as that term is defined in Code of Virginia, § <br />15.2-907.1, encompassing a residential or nonresidential building or structure, whether <br />or not construction has been completed, that might endanger the public’s health, safety, <br />or welfare and for a continuous period in excess of six months, it has been (i) vacant, (ii) <br />boarded up in accordance with the building code, and (iii) not lawfully connected to electric <br />service from a utility service provider or not lawfully connected to any required water or <br /> <br />sewer service from a utility service provider. <br /> <br /> <br /> <br /> <br />