Mayor Avula calls unexpected real estate property tax bills sent to residents a ‘system error,’ city responds

RICHMOND, Va. (WRIC) -- Mayor Danny Avula is calling the unexpected real estate property tax bills mailed out to residents of the City of Richmond with mortgages last week a "system error" on Saturday.

Mayor Danny Avula released a statement on YouTube at around 11 a.m. on Saturday, May 17,

"I have been hearing from many residents across the city and from our partners on council that people received a second-half real estate property tax bill," he said. "I got one too. And I imagine many of you, like [me], are confused because typically this bill goes directly to my lender, who pays it on my behalf. And that did not happen this time."

These extra real estate bills typically go to one's mortgage company, according to Avula.

On Saturday afternoon, the City of Richmond shared next steps for residents confused by these “2025 Second Half Real Estate Tax Bills." Last week, the normal process -- where these extra real estate bills typically go to one's mortgage company, according to Avula -- did not happen and several thousand taxpayers were directly issued a bill.

According to a Saturday release from the city, they upgraded to a new version of the system that runs the real estate billing process -- MUNIS -- earlier this year.

"The Department of Finance is working with the team from MUNIS to diagnose what happened during the second-half billing process," the city wrote in a release.

This process reportedly occurs twice a year, but according to Richmond, "at least 33,000 taxpayer records failed to import completely."

"These records lacked the data necessary to link taxpayers to their mortgage lenders which resulted in many residents directly receiving real estate tax bills that typically are sent to lenders," the city added.

The Department of Finance will investigate what caused this alleged system issue and reimport this data, according to the city, and after that is completed, checked and verified, they will reportedly issue real estate tax bill to mortgage lenders.

The city emphasized that they are actively trying to fix this issue so that this doesn't occur again. They said that after they receive a diagnosis, the department will implement additional Standard Operating Procedures (SOPs) and training to employees involved in the process.

Technical updates may be implemented to the system.

The city is urging the those who received a real estate tax bill to contact their lender and ensure their bills paid. "

"If you typically receive and pay your own real estate tax bill, you should do so before June 16," the city said.

The department will credit your account, and taxpayers can request a refund.

At around 9 a.m. on Saturday, Council Member Andrew Breton of the West End 1st Voter District shared his frustrations with these unexpected property tax bills in a social post.

"Do not make the mistake of double-paying. Call 311 with questions," he said. "They have weekend hours and a call-back feature. I’ll send out more info as the admin releases it."

If you have an online account, the city is urging you to log in and cancel your electronic fund transfer. If you need additional assistance, please contact 311.