Local government homeownership grant bill advanced in Virginia Senate

A bill introduced by Sen. Russet Perry seeks to give localities the authority to support employee homeownership by utilizing funding sources other than state dollars, according to the Virginia State Senate.

The measure, filed as SB328 on Jan. 14, 2026 during the 2026 regular session, bears the formal description: “Housing for local employees; grants for homeownership.”

This overview is based on the bill text and may interpret language for clarity concerning provisions.

Essentially, the bill authorizes Virginia local governments to enact ordinances providing homeownership grants of up to $25,000 per employee, subject to a $25,000 lifetime cap, assisting local employees, school board staff, and constitutional officers in purchasing primary residences within the locality. Grants must remain within Virginia Housing and Development Authority guidelines for regional sales prices and household incomes, while local governments may opt for additional regulations to uphold program integrity. The bill also allows localities, in conjunction with school divisions, to give similar grants for school staff and engage in public-private partnerships to generate affordable workforce housing for school employees.

Sen. Russet Perry (Democrat, 31st District) and Sen. Kannan Srinivasan (Democrat, 32nd District) sponsored the bill.

Perry has introduced 20 additional pieces of legislation since the session’s start.

Perry holds degrees from George Washington University and Georgetown University, where she earned her JD.

Elected in 2024, Perry serves the 31st district in the Virginia Senate, succeeding former senator Barbara Favola.

In Virginia, the legislative process commences with bill introduction in either legislative chamber before it goes to committee for consideration and possible changes. If reported out of committee, it advances to floor debate and voting in both the Senate and House. Should both chambers approve, the bill moves to the governor, who may sign it, veto it, or allow it to become law automatically. The Virginia General Assembly meets yearly in a session beginning the second Monday of January, with lawmakers bringing forward hundreds of proposals—many of which do not become law.