Council reviews HB 3202 options: commercial real‑estate surcharge and vehicle‑registration fee remain available tools

Elizabeth Kersey reviewed legislative items from the Hampton Roads transportation district and House Bill 3202. She said two revenue options remain available to localities under the HRTA framework: (1) a commercial real‑estate surcharge of up to $0.10 per $100 of assessed value applied within a locality (the statute requires at least 85% of commercial property be included in a special taxing district) and (2) an optional $10 increase in the local vehicle registration fee. All revenue from these options must be used for transportation purposes.

Kersey said some stakeholders, including the Virginia Chamber of Commerce and real‑estate groups, have opposed the commercial surcharge and that some jurisdictions (for example Norfolk) are discussing using such revenue for major projects such as light rail. Council discussed whether Hampton should keep these options available; staff recommended leaving the authority in place so the locality retains future flexibility. Councilmembers emphasized that any adoption would require public hearings and a clear public process.