RICHMOND, VA (WWBT) - Richmond city leaders are trying to get the word out this week, that a major change is coming to the way the city collects real estate taxes.
The city is moving to semi-annual tax collection, meaning you will pay half your real estate taxes in January and the other half in June.
The first round of bills will hit your mail box next week.
Bryon Marshall said that when it comes to collecting your property taxes in Richmond "we want to make it as easy as possible for people to pay."
For the first time since the 1960s, half of your property taxes will be due in January. While 45 percent of tax payers in Richmond have an escrow account and won't notice the change, the other 55 percent will get hit with a bill next week.
"We will work as much as we can to educate, we'll work as much as we can to make sure individuals need to be on payment plans," said Marcus Jones, Chief Administrative Officer of Finance for the city.
The move to this system would save the city $1.7 million a year, because the city would no longer have to borrow money.
"Every December we have to go out and borrow about $70 million," said Kathy Graziano, Richmond City Council President. "We have to pay debt service on that til June when we collect our taxes. We'll no longer have to do that."
The first real estate tax payment for city residents under this new plan is due January 14. Henrico, Chesterfield and Hanover already have semi-annual tax collection.