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AUGUST 28, 2007 MINUTES CITY OF VIRGINIA BEACH "COMMUNITY FOR A LIFETIME" CITY COUNCIL MAYOR MEYERA E. OBERNDORF, At-Large VICE MAYOR LOUIS R. JONES, Bayside - District-l WILLIAM R. DeSTEPH, At-Large HARRY E. DlEZEL, Kempsville - District 2 ROBERT M. DYER" Centerville - District I BARBARA M. HENLEY. Princess Anne - District 7 REBA S. McCLANAN, Rose Hall - District 3 JOHN E. UHRIN. Beach - District 6 RON A. VILLANUEVA, At-Large ROSEMARY WILSON, At-Large JAMES L. WOOD. Lynnhaven -District 5 CITY COUNCIL AGENDA CITY MANAGER - JAMES K. SPORE CITY A7TORNEY - LESLIE L. LILLEY CITY CLERK - RUTH HODGES FRASER, MMC 28 AUGUST 2007 I. CITY MANAGER'S BRIEFINGS - Conference Room - A. PRINCESS ANNE COMMONS Jack Whitney, Director - Planning B. INDOOR ATHLETIC VENUE Cindy Curtis, Director - Parks and Recreation II. CITY COUNCIL COMMENTS III. REVIEW OF AGENDA IV. INFORMAL SESSION - Conference Room - A. CALL TO ORDER - Mayor Meyera E. Oberndorf B. ROLL CALL OF CITY COUNCIL C. RECESS TO CLOSED SESSION CITY HALL BUILDING 2401 COURTHOUSE DRIVE VIRGINIA BEACH. VIRGINIA 234568005 PHONE: (757) 385-4303 FAX (757) 385-5669 E-MAIL: Ctycncl@vbgov.com 1 :30 PM 3:30 PM v. FORMAL SESSION - Council Chamber - 6:00 PM A. CALL TO ORDER - Mayor Meyera E. Oberndorf B. INVOCATION: Reverend Lamont Brown Mount Olive Baptist Church C. PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA D. ELECTRONIC ROLL CALL OF CITY COUNCIL E. CERTIFICATION OF CLOSED SESSION F. MINUTES 1. INFORMAL and FORMAL SESSIONS August 21,2007 G. AGENDA FOR FORMAL SESSION H. PUBLIC HEARINGS 1. LICENSE AGREEMENT FOR TELECOMMUNICATIONS SYSTEM City's rights-of-way 2. LEASE OF CITY-OWNED PROPERTY 200 N. Oceana Blvd. I. CONSENT AGENDA J. RESOLUTIONS/ORDINANCES 1. Resolution AUTHORIZING the CITY'S HEALTH CARE PLAN for Year 2008 and providing direction for the City Manager to formulate the 2009 Health Care Plan. 2. Resolution DESIGNATING the Virginia Beach SPCA to receive state revenue from the FY 2007-2008 Spay and Neuter Fund re low-cost spay and neuter services to companion animals. 3. Ordinance AUTHORIZING the City Manager to execute a Lease for five (5) years or less to VETSHOUSE, INCORPORATED for homeless veterans at 200 N. Oceana Boulevard. 4. Ordinance GRANTING a ten (10) year Temporary Nonexclusive Revocable License Agreement to NextG Networks Atlantic, Inc. to install and operate a telecommunications system or facilities in the City's rights-of-way K. PLANNING - NO ACTION 1. Application ofB'NAI ISRAEL for a Conditional Use Permit re indoor commercial recreation facility (bingo hall) at 620 Baker Road. DISTRICT 2 - KEMPSVILLE (This item was deferred indefinitely July 10,2007; however, due to the application being advertised for this meeting, it is here listed with the applicant's request for INDEFINITE DEFERRAL) L. PLANNING 1. Application of JOSEPH and FAYE MA TYIKO for the expansion of a Nonconforming Use at 3257 Shady Pines Lane to construct an addition to an existing duplex. DISTRICT 7 - PRINCESS ANNE DEFERRED RECOMMENDATION August 14, 2007 APPROVAL 2 Application of THANH CONG DOAN for a Conditional Use Permit re a religious facility at 4177 West Neck Road. (DISTRICT 7 - PRINCESS ANNE STAFF RECOMMENDATION PLANNING COMMISSION RECOMMENDATION APPROVAL DENIAL 3. Application of AZIZ SAIR for a Conditional Use Permit re gasoline sales in conjunction with a convenience store and car wash at the northeast intersection of Holland Road and Warwick Drive DISTRICT 6 - BEACH RECOMMENDATION APPROVAL 4. Application ofD. W. GATLING, INC. for a Change of Zoning District Classification from 1-1 Light Industrial District to Conditional A-36 Apartment District on the north side of Baker Road, east of Newtown Road, to develop multi-family dwellings. DISTRICT 2 - KEMPSVILLE RECOMMENDATION APPROVAL 5. Application of VILLAGE BEND, L.L.C. for a Change of Zoning District Classification from R-15 Residential District and AG-l Agricultural District to Conditional A-12 Apartment District with a PD-H2 Planned Development Housing District Overlay on the south side of Dam Neck Road, east of Southcross Drive, to develop single-family and multi-family dwellings. DISTRICT 7 - PRINCESS ANNE RECOMMENDATION APPROVAL 6. Application ofNELIN BROTHERS, INC. for Modifications to their Proffer Agreement on a Conditional Change of Zoning (approved by City Council on June 27, 2006) at 2122 General Booth Boulevard for an office building. DISTRICT 7 - PRINCESS ANNE STAFF RECOMMENDATION PLANNING COMMISSION RECOMMENDATION DENIAL APPROVAL 7. Ordinances re WORKFORCE HOUSING to AMEND: a. Chapter 16 of the City Code ADDING Article VIII, Sections 16-42 through 16- 58, to establish eligibility requirements, pricing standards, program procedures and a Workforce Housing Advisory Board prescribing the membership and duties of the Board b. the Comprehensive Plan by revising Chapter 1, (Introduction and General Strategy), ChapterlO (Housing and Neighborhoods), and the Appendix of the Policy Document by incorporating Location Guidelines for Workforce Housing c. the City Zoning Ordinance (CZO) Section 102, establishing the Workforce Housing Overlay District; Section 900 re the legislative intent of the B-4 Mixed Use District, the B-4C Central Business Mixed Use District and the B-4K Historic Kempsville Area Mixed Use District; and, ADDING Article 20, Sections 2100 through 2106, re definitions, applicability, permitted uses, density bonuses, plan requirements and required features of development in Workforce Housing Overlay Districts RECOMMENDATION APPROV AL M. APPOINTMENTS HUMAN RIGHTS COMMISSION MINORITY BUSINESS COUNCIL VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION WORKFORCE HOUSING ADVISORY BOARD N. UNFINISHED BUSINESS O. NEW BUSINESS P. ADJOURNMENT CITYWIDE TOWN MEETINGS October 16, 2007 Location to be Announced - 7:15 poi. FY 2008-2010 Budget January 15, 2008 Location to be Announced -7:15 pm SwrmwaurPwnsandFundmg ********* If you are physically disabled or visually impaired and need assistance at this meeting, please call the CITY CLERK'S OFFICE at 385-4303 * * * * * * * * * * * Agenda 8/28/07gw www.vbgov.com - 1 - MINUTES VIRGINIA BEACH CITY COUNCIL Virginia Beach, Virginia August 28, 2007 Mayor Oberndorf called to order the City Manager's Briefing re PRINCESS ANNE COMMONS in the City Council Conference Room, City Hall, on Tuesday, August 28,2007, at 1:30 P.M Council Members Present: William R. "Bill" DeSteph, Harry E. Diezel, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Absent: Robert M Dyer [Entered; 2:10 P.Ml John E. Uhrin [Entered: 1:50 P.Ml August 28, 2007 - 2 - MA YOR 'S COMMENTS ITEM # 56747 The City Manager introduced and welcomed Warren D. Harris, Director - Economic Development, attending his first City Council Session. As the leader of the Economic Development staff in Virginia Beach, Harris will direct the City's business recruitment and expansion activities and serve as the principal interface with the Virginia Beach Development Authority. He will be responsible for the overall management and implementation of programs designed to create quality jobs and expand the tax base. Mr. Harris has twenty-eight years of experience throughout the region.. Warren's experience with Chesapeake dates to 1991 when he began as Assistant Director of Economic Development. For fifteen (15) months during that period, he was also acting Assistant City Manager for Administration. In addition to his Chesapeake experience, he has held leadership fund-raising positions with the Chrysler Museum of Art and Old Dominion University. Mr. Harris advised he is excited to be a part of the "Virginia Beach Team." ITEM # 56748 Mayor Oberndorfreferenced correspondence of August 27, 2007, from Chandler Scarborough, President - Virginia Beach Council of Civic Organization re the Community Legislative Agenda. Said correspondence was distributed and is hereby made a part of the record Mr. Scarborough applauded Bob Matthias, Assistant to the City Manager, for holding the community dialogue earlier in the year and to set the date at the beginning of the year, to enable it to be easier for community leaders to plan their calendars. Mr. Scarborough encouraged the City Council to authorize Mr. Matthias to release staff's proposed legislative positions to City Council and to the public prior to the community dialogue. Mr. Scarborough suggested the Community Legislative meeting be converted into a Town Hall meeting with City Council members in attendance. August 28, 2007 - 3 - C IT Y MANA G E R 'S B R IE FIN G PRINCESS ANNE COMMMONS 1:30 P.M. ITEM # 56749 The City Manager advised City Council had requested a comprehensive review of the Princess Anne Commons as it has been ten (10) years since the original were conceived. Jack Whitney, Director - Planning, advised his briefing was the first of two concerning Princess Anne Commons. Mr. Whitney's presentation is more of a "macro view" commencing with the history and current reality. Cindy Curtis, Director of Parks and Recreation, will present more of a "micro view" of continued activities and interest re the athletic portion. History City purchased 1,193 acres, known as "Lake Ridge" in 1995 Plan for development completed in 1997 Princess Anne Commons Task Force (P ACTF) formed in 1997 to oversee development of "Princess Anne Commons" from a geographic and functional basis This area encompassed 1,193 acres of the "Lake Ridge" property and later added another piece bringing the total to roughly 2,000 acres Due to numerous and complex issues, the Princess Anne Commons Task Force (PACTF) created five (5) groupings: Athletic Village Academic Village Municipal Center Economic Development Infrastructure Each group developed papers identifying issues and projects as an inclusionary method of decision making and communication A Vision was proposed Mr. Whitney believes this represents one of the most strategic economic, cultural and recreational purchases this community has ever made. The return on this investment has been just dramatic. Mr. Whitney displayed a photograph of Princess Anne Commons Predevelopment. The Vision for Princess Anne Commons remains the same: "a great place to Live, Learn, Work and Play" Guiding Principles Princess Anne Commons Task Force manages Princess Anne Commons to assure decisions made are coordinated with the expectations of City Council Identifies new issues as they arise Retires old issues from consideration as all matters related to them are properly and satisfactorily resolved August 28, 2007 - 4 - C IT Y MANA G E R 'S B R IE FIN G PRINCESS ANNE COMMMONS ITEM # 56749 (Continued) Considerations 1997 Plan Reviewed Updated issues and maps Identified new issues Southeastern Parkway and Greenbelt moves forward Environmental Permit Not on five-year plan Reviewed Transportation Identified and Modeled impacts Joint Land Use Study (JLUS) Private development nearby Utilization, demand and event coordination Concerning ingress and egress re Southeastern Parkway and Greenbelt, there is an interchange where this Parkway will cross Princess Anne Road. Mr. Whitney displayed an area map with an AICUZ and Interfaculty Traffic Area (ITA) Overlay. Approximately 60% of Princess Anne Commons lies within the Interfaculty Traffic Area (ITA). An important improvement was connecting Dam Neck and Elbow Road near the Amphitheatre. Those two (2) roads were separated by a very short expanse. Eventually, there will be a four-(4) lane connection; but, at the present time, there are two (2) lanes which are beautifully landscaped. This small connection has now created a major East/West thoroughfare across the middle of Virginia Beach going all the way from Indian River Road to General Booth Boulevard. This small improvement has relieved congestion. Process Utilized Define total area Geographically, the Princess Anne Commons area remains the same. Define committed areas Geographically, the designated villages remain the same: 90% has been built or committed. Review Current Reality Village Updates Economic Development Infrastructure Analysis Council Lady Henley dOES not believe improvements to Princess Anne Road should entail four (4) years. The City Manager advised working construction schedules involves many projects. One of the unanticipated consequences is the length of Virginia Department of Transportation's (VDOT's) construction schedules. Bridge crossings on Princess Anne Road and the western portion of Nimmo have added dramatically to both the cost and time due to permitting. Vice Mayor Jones advised there may be funding available sooner than expected for the Southeastern Parkway and Greenbelt. The City Manager advised an update can be provided re acquisition of rights-of-way for the Southeastern Parkway and Greenbelt. August 28, 2007 - 5 - C IT Y MANA G E R 'S B R IE FIN G PRINCESS ANNE COMMMONS ITEM # 56749 (Continued) Current Reality Infrastructure Currently not funded VDOT delay Properties acquired by City for road adjacent to PAC Princess Anne Road and Nimmo Parkway advanced Southeastern Parkway Majority of right-of-way owned by City in Princess Anne Commons could have an interim use 110 acres estimatedfor the Southeastern Parkway and Greenbelt within Princess Anne Commons Land Use Opportunities Most of the acreage for Princess Anne Commons is committed Undeveloped land 60 acres by the Sportsplex 160 acres adjacent to Virginia Beach National Golf Course (formerly TPC) Substantially more non-residential private development potential nearby Private development near Princess Anne Commons Landstown Commons Courthouse Marketplace Renaissance Park Joint Land Use Study Compatibility Inter-facility Traffic Area MOU Process Transition Area / Comprehensive Plan Update Athletic Village Princess Anne Athletic Complex Grand Opening June 1,2007 Phase II - Plan completed 5K Loop Cycling and Fitness Facility Location for community to safely walk, run or ride bikes and to serve as a special event site for fundraising. Bicycling Criterion Indoor Sports Venue study Mr. Whitney referenced the City's strategic investments in Princess Anne Commons: Hampton Road~' Soccer Complex, Sportsplex, Virginia Beach National (large golf course), Verizon Amphitheater. and United States Field Hockey Training Facility August 28, 2007 - 6- C IT Y MANA G E R 'S B R IE FIN G PRINCESS ANNE COMMMONS ITEM # 56749 (Continued) Academic Village Tidewater Community College Student Center Building Renovations Science Building Completion Fall 2007 Health Professions Building Construction begins Winter 2008 Joint Use Library / Resource Center State funding pending Medical Village Emerging Sentara Medical Campus Current Medical -180,000 SF Proposed 180,000 SF additional space Proposed YMCA Lifenet Current -164,560 SF Proposed - 50,000 SF additional Office / R&D Children's Hospital of the Kings Daughters Infrastructure CIP Schedules Princess Anne & Nimmo Parkway Dominion Virginia Power New Transmission Line Southeastern Parkway and Greenbelt (eIP 2-089) Right-of Way Infrastructure P d R d P t d ~ d' St t ropose oa rOJec s an un mg a us Princess Anne Road Phase IV (CIP 2-305) In Acquisition Nimmo Parkway Phase V (CIP 2-121) In Acquisition West Neck Parkway Proposed (CIP 2-205) Currently Not funded West Neck Road (CIP 2-502) Funded for Design Only Nimmo Parkway Phases II & III (CIP 2-501) Currently Not Funded West Neck Parkway (CIP 2-176) Currently Not Funded Indian River Road Phase VII (CIP 2-256) Currently Not Funded Elbow Road Phase II (CIP 2-152) Currently Not Funded Southeastern Parkway and Greenbelt (CIP 2-089) Currently Not Funded August 28, 2007 - 7 - C IT Y MANA G E R 'S B R IE FIN G PRINCESS ANNE COMMMONS ITEM # 56749 (Continued) Findings Lack of Infrastructure in Transition Area Gateway Treatments Needed Inter-facility Traffic Area Influences Comprehensive Planning & Development Solutions Public Funding Constraints Private Development Residential Commercial, Retail and Office Increased Utilization, Demand and Interest from Private Development Princess Anne Commons is Working! A presentation with visuals re 160 acres in the southside along the Southeastern Parkway and Greenbelt, was identified in 1997 as a "business park". This information can again be provided to City Council. Council Lady McClanan and Councilman DeSteph requested specifics on the dollar return to produce the infrastructures, as well as regular status reports re Princess Anne Commons. Changes in real estate value and revenue generated and projections for the future shall also be provided Mr. Whitney advised the staff has been working on internal signage to be up-to-date and attractive. August 28, 2007 - 8 - CITY MANA GER 'S BRIEFING INDOOR ATHLETIC VENUE 2:20 P.M. ITEM # 56750 Cindy Curtis, Director of Parks and Recreation, spoke re the Athletic assets in the Princess Anne Commons which have already been constructed. The Athletic Complex was opened in June. The Cross Country Course will be hosting a national event this year, as well as a new time trial bicycling Criterion created recently in the other rim of the Sportsplex Parking area. Cindy focused on the 60 acres immediately adjacent to the Sportsplex facility. This acreage IS undeveloped and available for us to decide the method of development. August 28, 2007 - 9- C IT Y MANA G E R 'S B R IE FIN G INDOOR ATHLETIC VENUE ITEM # 56750 (Continued) Diverse Development Concepts . Various groups have expressed interest in sports related development: . Indoor Sports Fields . Outdoor Sports Fields . Sports Therapy . Velodrome . Natatorium . Indoor Ice Skating . Commercial & Retail Facilities . Multi-Use Trails Athletic Village Projects Under Consideration . 5k loop" cycling andfitnessfacility . Gateway and trail enhancements . Future expansion of P A Athletic Complex Indoor Sports Venue Feasibility Study Study a joint effort between: . Convention & Visitor Bureau (Sports Marketing) . Economic Development . Parks and Recreation August 28, 2007 - 10- C IT Y MANA G E R 'S B R IE FIN G INDOOR ATHLETIC VENUE ITEM # 56750 (Continued) Strategic Study Objectives . Stay consistent with Princess Anne Commmons theme of LIVE, WORK, PLAY & LEARN . Investigate options for year round (indoor) amateur sports facility - understanding AICUZ impacts . Improve brand awareness of the Commons . Link facilities in the Commons . Strike a balance between serving as a community asset and driving economic impact Study Components . Interviews with key stakeholders - City staff & community representatives . Defined objectives . Market and demographic analysis . Review of comparable facilities . Preliminary program . Site analysis . Development alternatives August 28, 2007 - 11 - C IT Y MANA G E R 'S B R IE FIN G INDOOR ATHLETIC VENUE ITEM # 56750 (Continued) Comparable Facilities . Williamsburg Indoor Soccer Complex . Freedom Center - Manassas Virginia (GMU, Prince William County, City of Manassas) . Silverbacks Sports Center - Atlanta Study Conclusions . The City can support development of a minimum 100,000 sf indoor multipurpose sports venue . There is private development interest in sports facilities . Financial success is dependent upon... . Ability to charge market rates . Ability to reduce development costs through public contributions (land, infrastructure etc.), public private partnerships, supplementing revenue potential with co-located commercial/retail opportunities Recommendation . Seek private investment interest through an RFP process . RFP to request master plan for 60 acres, including indoor multi-purpose athletic venue, commercial and business developments that could support the Athletic Village . Design must meet Princess Anne Commons guidelines August 28, 2007 - 12 - CITY MANA GER 'S BRIEFING INDOOR ATHLETIC VENUE ITEM # 56750 (Continued) Virginia Beach's participation in athletics is five (5) percentage points above the National Average. This was a positive demographic for the offering of an Indoor Sports Venue. Ms. Curtis requested City Council's support to seek private investment interest through an RFP process. The staff would request a Master Plan be brought forward by private groups or individuals for the sixty (60) acres, which would include at least on indoor multi-purpose athletic venue, some commercial and business developments that could support the Athletic Village as well other portions of Princess Anne Commons. The design must support the guidelines of Princess Anne Commons. It is very important to realize that a portion of this land, undeveloped, does abut Princess Anne Road. This is very good property for the City to maximize the method developed. Development in this Corridor could include entities which bring community and economic returns. A Joint Committee (comprised of staff from the Offices of the City Attorney, Economic Development, Parks and Recreation and Planning would be managing and controlling this RFP process to enable the best return for the City. Options for the Sportsplex will also be reviewed. The seating capacity of the Sportsplex is approximately 6,500 total (3,500 hard and 3,000 soft on berm). Community organizations, in many cases, are pleased to donate signage to sponsor the various activities i. e. bikeways. Robert S. Herbert, Chief Development Officer, advised this is a Joint Team Effort. In terms of return on investment, this particular property on Princess Anne Road, from an economic development factor, could be used to enhance activities and provide investment by way of employment. BY CONSENSUS, City Council DIRECTED a Public Comment re Indoor Sports Facility at Princess Anne Commons shall be SCHEDULED for the City Council Session of September 4, 2007. It was suggested an article inviting the Public to comment be included in the Virginian-Pilot. August 28, 2007 - 13 - CITY COUNCIL COMMENTS 2: 55 P.M. ITEM # 56751 Councilman Villanueva advised the City of Norfolk has a ban on "smoking in restaurants". Over the past year, Virginia Beach's Restaurant Association has endorsed this initiative. Governor Kaine is in support. This Ban on Smoking in Restaurants might be included in the Community Group Items of the City's Legislative Package. As restaurant fares are promoted on the City's Website, whether these restaurants are smoking or non- smoking shall also be depicted Councilman Uhrin will bringforward the suggestion at the next Advertising Advisory Committee meeting. Deputy City Attorney Rod Ingram advised the City of Norfolk's Charter speaks to noxious odor and smoke. Apparently Norfolk City Attorney's office has concluded this Charter section might be read more expansively to pertain to smoking. The City Attorney advised these references are not contained within Virginia Beach's Charter. Legislative action would be necessary to enact a law of that nature. Peer pressure campaigns are very effective as denoted in previous years from the behavior campaign. Enabling legislation can be contained within the Legislative Package and, therefore, be open to Public Comment. ITEM # 56752 Vice Mayor Jones advised the Hampton Roads Transportation Authority has filed a Amicus Brief in cooperation with the Northern Virginia Transportation Authority re a lawsuit concerning constitutionality Council Lady Wilson advised The Virginia Municipal League is also discussing filing a Brief as per the request of the Northern Virginia Transportation Authority. Mayor Oberndorf referenced the Joel Rubin show, Sunday, August 26, 2007, on which Delegate Welch stated he is going to request the Governor to revisit some of the decisions concerning the controversial fees i.e. speeding (paying double). Councilman Uhrin advised the Grantor's tax was a component of these fees and it is also Delegate Welch's intention to request the General Assembly to review. Vice Mayor Jones advised these fees do not pertain to the Transportation Authority and are not within their purview as part of the State wide legislation. Councilman Dyer advised these fees may also impact tourism. August 28, 2007 - 14- CITY COUNCIL COMMENTS ITEM # 56753 The City Manager distributed a copy of his correspondence of August 28, 2007, with his suggested procedure of providing City Council with information in advance of upcoming land use cases that may be controversial or particularly significant. At the first City Council meeting of each month, Jack Whitney, Director - Planning, will offer brief comments on those cases coming before the Planning Commission that month. This would allow time for any City Council Member to request additional information, ask questions and visit the site earlier in the process, well prior to the item appearing on the City Council's Agenda. Usually, the first meeting of the month is short enough to accomplish the desired result. Any City Council Member wishing to receive a copy of the Planning Commission's packet can do so by contacting the City Manager. Currently, Council Lady Henley receives a copy of the of the Commission's packet. Council Lady Henley advised she was thinking more in terms of the items that may be coming to City Council. Councilman Uhrin concurred it might be better to be briefed on the items coming before City Council because that would include the Planning Commission's recommendation. As suggested, information concerning the Planning Items to be considered by the City Council the following month. shall be provided during the Workshop Sessions on the Third Tuesday of the Month ITEM # 56754 Mayor Oberndorf referenced: CITYWIDE TOWN MEETINGS October 16, 2007 Location to be Announced -7:15 pm FY 2008-2010 Budget January 15, 2008 Location to be Announced -7:15 pm SwrmwaurPwnsandFundmg ITEM # 56755 Councilman Dyer advised the Blue Ribbon Tax, Fee and Spending Task Force meet in two (2) separate groups meet Wednesday and Thursday, Economic Development - Tenth Floor, Town Center, 4:00 P.M - 6:00 P.M Public Comment is invited. The Spending Committee meets almost every Thursday. Meeting dates are published. August 28, 2007 - 15 - AGE N DA REV I E W S E S S ION 3:05 P.M. ITEM # 56756 BY CONSENSUS, the following shall compose the CONSENT AGENDA J. RESOLUTIONS/ORDINANCES 1. Resolution A UTHORIZING the CITY'S HEALTH CARE PLAN for FY Year 2008 and providing direction for the City Manager to formulate the 2009 Health Care Plan. 2. Resolution DESIGNATING the Virginia Beach SPCA to receive state revenue from the FY 2007-2008 Spay and Neuter Fund re low-cost spay and neuter services to companion animals. 3. Ordinance AUTHORIZING the City Manager to execute a Leasefor jive (5) years or less to VETSHOUSE, INCORPORATED for homeless veterans at 200 N Oceana Boulevard. 4. *Ordinance GRANTING a ten (10) year Temporary Nonexclusive Revocable License Agreement to NextG Networks Atlantic, Inc. to install and operate a telecommunications system or facilities in the City's rights-ofway Council Lady McClanan will vote a VERBAL NAY on Item 4 (NextG). * NextG has been AMENDED to be effective September 5, 2007. L. PLANNING 1. Application of JOSEPH and FAYE MATYIKO for the expansion of a Nonconforming Use at 3257 Shady Pines Lane to construct an addition to an existing duplex. DISTRICT 7 - PRINCESS ANNE August 28, 2007 - 16 - ITEM # 56757 Mayor Meyera E. Oberndorf entertained a motion to permit City Council to conduct its CLOSED SESSION, pursuant to Section 2. 1-3711 (A), Code of Virginia, as amended, for the following purpose: PERSONNEL MATTERS: Discussion, consideration of, or interviews of prospective candidates for employment, assignment, appointment, promotion, performance, demotion, salaries, disciplining or resignation of specific public officers, appointees or employees pursuant to Section 2.2-3711 (A)(1) Council Appointments: Boards, Commissions, Committees, Authorities and Agencies Performance of Council Appointees PUBLICLY-HELD PROPERTY: Discussion or consideration of the, acquisition, or of the disposition of publicly-held property, where discussion in an open meeting would adversely affect the bargaining position or negotiating strategy of the public body pursuant to Section 2.2-3711 (A)(3). Acquisition/Disposition of Property: APZ-1 Properties Old Donation Rescue Squad LEGAL MATTERS: Consultation with legal counselor briefings by staff members, consultants, or attorneys pertaining to actual or probable litigation, where such consultation or briefing in an open meeting would adversely affect the negotiating or litigating posture of the public body, or consultation with legal counsel employed or retained by a public body regarding specific legal matters requiring the provision of legal advice by counsel pursuant to Section 2.2-3711 (A)(7). Religious Land Use and Institutionalized Persons Act (RLUIP A) Lake Gaston Water Supply Upon motion by Councilman Uhrin, seconded by Councilman Dyer, City Council voted to proceed into CLOSED SESSION (3:35 P.M.). August 28, 2007 - 17 - ITEM # 56757 (Continued) Voting: 11-0 Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None (Break: 3:39 P.M. - 3: 50 P.M.) (Closed Session: 3:50 P.M. -5:30 P.M.) (Dinner: 5:30 P.M. - 5:55 P.M.) August 28, 2007 - 18 - FORMAL SESSION VIRGINIA BEACH CITY COUNCIL August 28, 2007 6:00 P.M. Mayor Meyera E. Oberndorf called to order the FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL in the Council Chamber, City Hall Building, on Tuesday, August 28, 2007, a 6:00 P.M Council Members Present: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Absent: None INVOCA TlON: Reverend Lamont Brown Mount Olive - Baptist Church PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA Vice Mayor Jones DISCLOSED, for many years, he served on the Board of Directors of Resource Bank. Three (3) years ago, Fulton Financial Corporation ("Fulton Financial'') purchased Resource Bank. On March 31, 2007, Vice Mayor Jones retired from the Board of Directors. Although, he is no longer a Board Member, he owns stock in Fulton Financial, and that stock ownership causes him to have a "personal interest" in Fulton Financial. However, due to the size of Fulton Financial and the volume of transactions it handles in any given year, Fulton Financial, or any of the banks that are owned by Fulton Financial, may have an interest in numerous matters in which Vice Mayor Jones has no personal knowledge. In order to ensure his compliance with both the letter and the spirit of the State and Local Government Conflict of Interests Act, it is his practice to thoroughly review the agenda for each meeting of City Council for the purpose of identifying any matters in which he might have an actual or potential conflict. If, during his review, he identifies any matters, Vice Mayor Jones will prepare and file the appropriate disclosure letter to be recorded in the official records of City Council. Vice Mayor Jones regularly makes this disclosure. Vice Mayor Jones' letter of April 1 0, 2007, is hereby made a part of the record. Council Lady Rosemary Wilson DISCLOSED her husband is a principal in the accounting firm of Goodman and Company and is directly and indirectly involved in many of Goodman and Company's transactions. However, due to the size of Goodman and Company and the volume of transactions it handles in any given year, Goodman and Company has an interest in numerous matters in which her husband is not personally involved and of which she does not have personal knowledge. In order to ensure her compliance with both the letter and the spirit of the State and Local Government Conflict of Interests Act, it is her practice to thoroughly review the agenda for each meeting of City Council for the purpose of identifying any matters in which she might have an actual or potential conflict. If, during her review she identifies any matters, she will prepare and file the appropriate disclosure letter to be recorded in the official records of City Council. Council Lady Wilson regularly makes this disclosure. Council Lady Wilson's letter of January 27, 2004, is hereby made a part of the record. August 28, 2007 - 19 - FORMAL SESSION VIRGINIA BEACH CITY COUNCIL (Continued) Council Lady Rosemary Wilson DISCLOSED she is a real estate agent affiliated with Prudential Decker Realty. Because of the nature of Real Estate Agent affiliation, the size of Prudential, and the volume of transactions it handles in any given year, Prudential has an interest in numerous matters in which she is not personally involved and of which she does not have personal knowledge. In order to ensure her compliance with both the letter and the spirit of the State and Local Government Conflict of Interests Act, it is her practice to thoroughly review the agenda for each meeting of City Council for the purpose of identifying any matters in which she might have an actual or potential conflict. If, during her review she identifies any matters, she will prepare and file the appropriate disclosure letter to be recorded in the official records of City Council. Council Lady Wilson regularly makes this disclosure. Council Lady Wilson's letter of January 27, 2004, is hereby made a part of the record. August 28, 2007 - 20- Item V-E. CERTIFICATION OF CLOSED SESSION ITEM # 56758 Upon motion by Councilman Dyer, seconded by Council Lady Wilson, City Council CERTIFIED THE CLOSED SESSION TO BE IN ACCORDANCE WITH THE MOTION TO RECESS. Only public business matters lawfully exempt from Open Meeting requirements by Virginia law were discussed in Closed Session to which this certification resolution applies. AND, Only such public business matters as were identified in the motion convening the Closed Session were heard, discussed or considered by Virginia Beach City Council. Voting: 11-0 Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None August 28, 2007 RESOLUTION CERTIFICATION OF CLOSED SESSION VIRGINIA BEACH CITY COUNCIL WHEREAS: The Virginia Beach City Council convened into CLOSED SESSION, pursuant to the affirmative vote recorded in ITEM #56757, Page 16, and in accordance with the provisions of The Virginia Freedom of Information Act; and, WHEREAS: Section 2.2-3712 of the Code of Virginia requires a certification by the governing body that such Closed Session was conducted in conformity with Virginia law. NOff, THEREFORE, BE IT RESOL VED: That the Virginia Beach City Council hereby certifies that, to the best of each member's knowledge, (a) only public business matters lawfully exempted from Open Meeting requirements by Virginia law were discussed in Closed Session to which this certification resolution applies; and, (b) only such public business matters as were identified in the motion convening this Closed Session were heard, discussed or considered by Virginia Beach City Council. August 28, 2007 - 21 - Item V-F.l. MINUTES ITEM # 56759 Upon motion by Council Lady Wilson, seconded by Councilman Dyer, City Council APPROVED the Minutes of the INFORMAL and FORMAL SESSIONS of August 21, 2007. Voting: 10-0 Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, John E. Uhrin, Rosemary Wilson and James 1. Wood Council Members Voting Nay: None Council Members Abstaining: Ron A. Villanueva Council Members Absent: None Councilman Villanueva ABSTAINED, as he was out of the City on business and not in attendance during the City Council Session of August 21, 2007. August 28, 2007 - 22- Item V-G 1. ADOPT AGENDA FOR FORMAL SESSION ITEM 56760 BY CONSENSUS, City Council ADOPTED: AGENDA FOR THE FORMAL SESSION August 28, 2007 - 23 - Item VG.2. MAYOR'S PRESENTATION ITEM 56761 Mayor Oberndorf recognized the following Boy Scouts in attendance to fulfill requirements for their Communications badges. Troop 372 Thalia United Methodist Church Mr. Talton Assistant Scout Master Kyle Poling Life Scout Craig Poling Star Scout Mayor Oberndorf presented the Scouts with City Seal pins August 28, 2007 - 24- Item V-H.I. PUBLIC HEARING ITEM 56762 Mayor Oberndorf DECLARED A PUBLIC HEARING: LICENSE AGREEMENT FOR TELECOMMUNICATIONS SYSTEM City's rights-of-way Mayor Oberndorf read the License Agreement: "Pursuant to Virginia Code Section 15.2-2101, the City advertised a descriptive notice on Ordinance GRANTING a Temporary Nonexclusive Revocable License Agreement to install and operate a telecommunications system or facilities in the City's rights-of-way for two (2) successive weeks in a newspaper of general circulation. Specifically the advertisement ran in The Beacon on August 19th and August 26th, 2007. The advertisement invited bids for the right proposed to be granted in the Ordinance. The City received one Bid from NextG Networks Atlantic, Inc. on August 24, 2007, for a Temporary Nonexclusive Revocable License Agreement to install and operate a telecommunications system or facilities in the City's rights-of-way. The Bid is consistent with the license agreement previously negotiated between the City and NextG Networks Atlantic, Inc. " Mayor Oberndorf asked: "Are there any further bids to be offered? " Since no Bids were received, the Mayor DECLARED THE BIDDING CLOSED. Mayor Oberndorf asked: "Does the staffrecommend ACCEPTING NextG Networks Atlantic, Inc. 's bid? Gwen Cowart, Director of Com IT: "We ACCEPT this bid" Mayor Oberndorf: "City Council ACCEPTS the Bidfrom NextG Networks Atlantic, Inc." Mayor Oberndorf DECLARED The PUBLIC HEARING is adjourned. August 28, 2007 Item V-H.2. PUBLIC HEARING - 25 - ITEM 56763 Mayor Oberndorf DECLARED A PUBLIC HEARING: LEASE OF CITY-OWNED PROPERTY 200 N. Ocean a Blvd There being no speakers, Mayor OberndorfCLOSED THE PUBLIC HEARING. August 28, 2007 - 26- Item v'J. RESOLUTIONS/ORDINANCES ITEM #56764 Upon motion by Vice Mayor Jones, seconded by Council Lady Wilson. City Council APPROVED IN ONE MOTION Resolutions/Ordinances 1,2,3 and 4 (AS AMENDED) of the CONSENT AGENDA Voting: 11-0 (By Consent) Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None Council Lady McClanan VOTED A VERBAL NA Yon Item J.4. (NextG Networks Atlantic, Inc. August 28, 2007 - 27- Item v.J.1. RESOLUTIONS/ ORDINANCES ITEM #56765 Upon motion by Vice Mayor Jones, seconded by Council Lady Wilson, City Council ADOPTED: Resolution AUTHORIZING the CITY'S HEALTH CARE PLAN for Year 2008 and providing direction for the City Manager to formulate the 2009 Health Care Plan. Voting: 11-0 (By Consent) Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None August 28, 2007 1 A RESOLUTION REGARDING THE CITY 2 HEALTHCARE PLAN FOR YEAR 2008 AND 3 PROVIDING DIRECTION FOR FORMULATING THE 4 2009 HEAL THCARE PLAN 5 WHEREAS, City Council has received recommendations regarding proposed 6 adjustments to the City healthcare plan for Plan Year 2008 from both the Employee 7 Benefits Review Task Force and the Joint City/Schools Benefits Executive Committee; 8 and 9 10 WHEREAS, City Council received comments from City employees and citizens 11 regarding the recommended changes during a public hearing held on August 14, 2007; 12 and 13 14 WHEREAS, City Council has carefully considered the recommendations of the 15 task force and the executive committee, as well as the comments and suggestions of 16 City employees and citizens. 17 18 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY 19 OF VIRGINIA BEACH, 20 21 WITH RESPECT TO THE HEAL THCARE PLAN FOR YEAR 2008: 22 23 1. That the City shall continue to pay 100% of the HMO single-subscriber 24 premium for all employees. 25 26 2. That there shall be no change in the annual out-of-pocket maximum, 27 which shall remain at $1500/member and $3000/family. 28 29 3. That there shall be no change in coinsurance coverage and no increase in 30 employee/retiree co-pays. 31 32 4. That in order to encourage employees, retirees, and their covered 33 dependants to seek preventive care through annual wellness exams, thereby reducing 34 the likelihood and impacts of chronic illnesses, the current $20 co-pay for such annual 35 wellness exams shall be eliminated. 36 37 5. That a mandatory generic drug policy shall be implemented, so that when 38 a generic version of a drug is available, the generic drug must be used, unless the 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 healthcare provider specifically requires in writing that a generic drug not be substituted for the brand name product. 6. That coverage eligibility for dependent children shall end at age 23. 7. That City employees who retire (or have retired) before age 65 with at least 25 years of service with the City, Virginia Beach City Public Schools, and/or a state agency whose employees are covered by the City's healthcare plan, as well as those who retire on a work-related disability compensable under the Workers Compensation Act before age 65 with at least 5 years of service with any combination of the above-listed employers, shall receive the same coverage, including spousal and dependent coverage, that is provided to City employees, until they reach age 65. 8. That City employees who retire (or have retired) before age 65 with less than 25 years of service shall be allowed to receive the same coverage as employees, including spousal and dependent coverage, until they reach age 65, but such retirees shall pay the full actual costs of such coverage, both for themselves and for their spouse and eligible dependents. BE IT FURTHER RESOLVED: 1. That there shall be an annual independent audit of claims, with the results reported to the City Council. 2. That because the actual cost for HMO healthcare coverage is projected to be less than the $5,750/employee that was budgeted, a lower contribution of $5,400/employee should be used based on favorable experience and cost trends, and the savings of approximately $5 million shall be used to fund the City's actuarial liability pursuant to Governmental Accounting Standards Board (GASB) Statement No. 45. 3. That an actuarial analysis of the City's GASB 45 liability shall be conducted as soon as possible, but no later than December 14. AND BE IT FURTHER RESOLVED, WITH RESPECT TO PLAN YEAR 2009: 1. That the City Manager shall meet with employees and study the City's healthcare benefits and related GASB actuarial liabilities in order to make recommendations to restructure the City's healthcare plans in a manner that minimizes 77 the City's long-term actuarial liability and provides a competitive sustainable benefit for 78 employees. 79 2. That the City Manager shall solicit bids or proposals for Plan Year 2009 in 80 order to compare the cost of private insurance against the cost of continued self- 81 insurance. 82 83 Adopted by the City Council of the City of Virginia Beach, Virginia, on this 28th 84 day of August, 2007. - 28 - Item V.J.2. RESOLUTIONS/ORDINANCES ITEM #56766 Upon motion by Vice Mayor Jones, seconded by Council Lady Wilson, City Council ADOPTED: Resolution DESIGNATING the Virginia Beach SPCA to receive state revenue from the FY 2007-2008 Spay and Neuter Fund re low-cost spay and neuter services to companion animals. Voting: 11-0 (By Consent) Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None August 28, 2007 1 A RESOLUTION TO DESIGNATE THE VIRGINIA BEACH 2 SPCA AS THE ORGANIZATION TO RECEIVE STATE 3 REVENUE FROM THE FY 2007-08 SPAY AND NEUTER 4 FUND FOR PROVIDING LOW-COST SPAY AND SERVICES 5 TO COMPANION ANIMALS 6 7 WHEREAS, the 2007 General Assembly passed HB2525 directing moneys 8 contributed to the Spay and Neuter Fund to localities for providing low-cost spay and 9 neuter services. 10 11 WHEREAS, each locality may designate any private, non-profit sterilization 12 program for dogs and cats as the designated recipient of these funds. 13 14 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY 15 OF VIRGINIA BEACH, VIRGINIA: 16 17 That the SPCA is hereby designated as the organization to receive revenue 18 from the Spay and Neuter Fund in FY 2007-08 for providing low-cost spay and neuter 19 services. The City Manager is directed to return to City Council with an appropriation 20 ordinance prior to the distribution of any funds. 21 22 Adopted the by the Council of the City of Virginia Beach, Virginia, 2.8..thday of 23 August , 2007. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: .~ ~~~A- ~~~ City Attorney's ce CA10477 R-4 August 22, 2007 ~~.A'Bl~'-40. r!3~,u" , , . "I,'. ~ c. " .,fill;!; 1I..".. 1]/" ...;,' ~~..",~~' . { :' 'f'x.1i'"~ "'.t ';/1, ;C?~ 4ie~) < ~..' .. :t. ':;, ,') (:';. ;.>~ C't. )i~;J \~ ~ .~-'-$ t "11- '~~ "\...t!' ~ J "1. "-1' ""~. 4," ...'" ,.J \..1., OS.,t.,.....",. ,,'" 'b..J ~,F ot-li' N'\1\Q............ .........""~"'" OFFICE OF THE CITY MANAGER (757) 36S-42~2 FAX (757)~27.5626 TOO (757) 36S..oos City or "V'irginia Beach V B~"\.c"m MUNICIPAL CENTER BUILDING 1 2401 COURTHOUSE ORNE VIRGINIA BEACH, VA 23546-9001 August 7, 2007 Sharon a. Adams Executive Director Virginia Beach SPCA 3040 Holland Drive Virginia Beach, Virginia 23453 Subject: VA Spay and Neuter Fund Dear Ms, Adams: As noted in your letter to the Mayor, Meyera E. Oberndorf, the new legislation (HB2525) would direct to the locality income from state taxpayers who chose on their income tax form to donate to the Spay and Neuter Fund. Additionally, taxpayers may also make contributions directly to the fund. According to the State Tax Commissioner's Office, the Spay and Neuter Fund, generated $36,247 in revenue in 2004 and $37,191 in 2005 on a statewide basis. However, the Tax Commissioner's Office is not able to determine what portion of those funds was from Virginia Beach taxpayers. According to the legislation the City has three options: (1) perform sterilizations ourselves; (2) contract for sterilizations to be done (the statue does not require that the contract be with a local or a non-profit entity) or (3) simply make the funds available to a private, non-profit program for dogs and cats. We will be recommending to the City Council on August 28th that the City choose Option 3, which will make these funds available to the SPCA for providing low-cost spay and neuter surgeries. However, this fiscal year wHl be the first year of implementing this program; and there is no information upon which to base a revenue estimate so therefore, when the City receives the revenue from the State, we will distribute these funds to the SPCA We expect this to be in June 2008. Please contact Catheryn Whitesell at 385-8234 in the Department of Management Services if you have any additional questions. ~ Charlie w.~ Chief Operations Officer CRW/dmh VIRGINIA BEACH lPM Adoption. Education. Compassion. .Iul: 16. ~O()7 1111 i 0 """L. The Honorable i"'kyera L. Ohcrndort: \1a)or 240 I Courthouse Drive. Building. I Municipal Center Virginia Beach. V A 23456 Dear Madam I'vlayor: last month I shared a letter with you regarding the cnactmcnt \.11' l1B2525. which re-directs income from the Spay V A Fund back to the localities li'om which that income is generated. I have discussed Ihe hill with .Iohn Atkinson. v,.ho believes that an ordinance is necessary to implement legislation locally. I am respectfully requesting the introduction of an ordinance 10 allem the Virginia Beach SPCA to receive funding from the Spay V A Fund. In the 2007 General Assembly session. the Virginia Beach SPCA asked Delegate Sallaquinto to introduce legislation on our behal f which \vould re-direct income derived from state taxpayers who chose to donate 10 the Spay V A Fund through their anllual tiling back to the locality where the taxpayer resides. This legislation, HB2525. was passed by the General Assembly. signed by the Governor and was enacted on July I. 2007. Prior to the enactment of I-IB2525. if a Virginia Beach taxpayer made a check olT donation on their state return to the Spay V A Fund. that donation \vent to the Virginia Federation of Ilul11ane Societies but was not coming back to this area. This bill changes that so that any Virginia Beach citizen can be assured the donation he/she makes is sent back to his/her city to insure the provision of local spaying and neutering services. This legislation requires each locality 10 contract with a local non-profit to perttmn these sterilizations. As the Virginia Beach SPCA is the only non-profit in the City providin,g. such services. and has been since 1993, we would like to be formally considered as the recipient for these funds. We will use our marketing. membership and direct mail resourCes to encourage donations to the Spay V A Fund. Please advise us in what form you \HlUld like us to make application. or if this ktter is a sufficient application for funding. Let me kne)\\ if we can provide any further information on Ihis matter. Thank you in advance for your consids;rati\)Jl and cooperation. , V cr: truly yours.. ," ',\ .j ~ . ~hateH1 Q'. Ad<iJ:1S}I-1 P A Executive Directt)r Cc: Philip.l. Kellam. Commissioner of Rcvcnw: .larncs K. Spore_ eit) Manager John Atkinson. City "rreasurer Virginia Beach Society for the Prevention of Cruelty to Animals 3040 Holland Road,Virginia Beach,VA 23453-26/0 (757) 427-0070 FAX (757) 427-5939 www.vbspca.cominfo@vbspca.com ~ ')~ C M c:1ftf11 1 . , ,j I I I I -. \ j I \ i Leading the pack (or 40 yeafs. ~4.'":~.O.:.;\- '')''2''';;00 '~6d,A ~.:.~~ - 29- Item v'J.3. RESOLUTIONS/ORDINANCES ITEM #56767 Upon motion by Vice Mayor Jones, seconded by Council Lady Wilson, City Council ADOPTED: Ordinance AUTHORIZING the City Manager to execute a Lease for five (5) years or less to VETSHOUSE, INCORPORATED for homeless veterans at 200 N. Oceana Boulevard. Voting: 11-0 (By Consent) Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None August 28, 2007 1 AN ORDINANCE AUTHORIZING THE CITY 2 MANAGER TO EXECUTE A LEASE FOR FIVE 3 YEARS OR LESS WITH VETSHOUSE, 4 INCORPORATED FOR THE USE OF LAND AND A 5 2,206 SQUARE FOOT (APPROX.) CITY-OWNED 6 RESIDENCE LOCATED AT 200 N. OCEANA BLVD. 7 8 9 WHEREAS, the City of Virginia Beach ("the City") is the owner of that 10 certain parcel of land and 2,206 square foot vacant residence located at 200 N. 11 Oceana Blvd and shown on Exhibit A attached hereto (the "Property"); 12 13 WHEREAS, Vetshouse, Incorporated has requested to lease the Property 14 for $1.00 per year and will perform all required maintenance; 15 16 WHEREAS, Vetshouse Incorporated would like to enter into a formal 17 lease arrangement with the City for the Property pursuant to the Summary of 18 Terms attached hereto; 19 20 WHEREAS, the Property will be utilized for temporary housing for 21 homeless veterans and for no other purpose; 22 23 THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY 24 OF VIRGINIA BEACH, VIRGINIA: 25 26 That the City Manager is hereby authorized to execute a lease for a term 27 of less than five years, between Vetshouse, Incorporated and the City, for the 28 Property in accordance with the Summary of Terms attached hereto and such 29 other terms, conditions or modifications as may be satisfactory to the City 30 Attorney and the City Manager. 31 32 Adopted by the Council of the City of Virginia Beach, Virginia on the 28th 33 day of :nll'JllCd- ,2007. APPROVED AS TO LEGAL SUFFICIENCY AND FORM APPROVED AS TO CONTENT CA10318 8/17/2007 R-1 ~M~ Signatur ,~~,rnJ c>>t2<Ji.'LS, Departm t ~L ~e V :\applications\citylawprod\cycom32\ Wpdocs\DO08\P005\00038344. DOC 200 Oceana Boulevard GP~:24170479520000 EXHIBIT B SUMMARY OF TERMS LESSOR: City of Virginia Beach LESSEE: Vetshouse, Incorporated PREMISES: Approximately 2206 square foot residence located at 200 N. Oceana Boulevard and adjacent land. TERM: September 1, 2007, through August 31, 2008, with 4 one-year renewal options RENT: $1.00 per year RIGHTS AND RESPONSIBILITIES OF LESSEE: . Will use the Premises for a Vetshouse residential facility and for no other purpose. . At no time shall more than 4 people reside in the dwelling unit. . Will sound-attenuate premises at Lessee's expense. . Lessee shall not modify the Premises without prior approval from City. . Will keep, repair, and maintain the Premises at its expense. . Will maintain commercial general liability insurance coverage with policy limits of not less than one million dollars ($1,000,000) combined single limits per occurrence. Lessee shall provide a certificate evidencing the existence of such insurance. . Will comply with all applicable laws, ordinances, and regulations in the performance of its obligations under the Lease. TERMINATION: The City may terminate the Lease at any time without cause. - 30- Item V.J.4. RESOLUTIONS/ORDINANCES ITEM #56768 Upon motion by Vice Mayor Jones, seconded by Council Lady Wilson, City Council ADOPTED, AS AMENDED: Ordinance GRANTING a ten (J 0) year Temporary Nonexclusive Revocable License Agreement to NextG Networks Atlantic, Inc. to install and operate a telecommunications system or facilities in the City's rights-of- way * AMENDED to be effective September 5, 2007. Voting: 10-1 (By Consent) Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Mayor Meyera E. Oberndorf, John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James 1. Wood Council Members Voting Nay: Reba S. McClanan Council Members Absent: None August 28, 2007 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 ALTERNATE VERSION AN ORDINANCE GRANTING A TEMPORARY NONEXCLUSIVE REVOCABLE LICENSE AGREEMENT TO NEXTG NETWORKS ATLANTIC, INC. TO INSTALL AND OPERATE A TELECOMMUNICATIONS SYSTEM OR FACILITIES IN THE CITY'S RIGHTS-OF-WAY WHEREAS, NextG Networks Atlantic, Inc. ("NextG") is a telecommunications carrier, as defined in Section 3 of the Communications Act of 1934, as amended (47 U.S.C. ~ 153); WHEREAS, the Virginia State Corporation Commission has granted to NextG the required certificates of convenience and necessity as a provider of local exchange and interexchange services; WHEREAS, NextG desires to provide telecommunications service within the City; WHEREAS, NextG desires to commence the operation of its telecommunications system and desires to enter into a temporary nonexclusive revocable license agreement with the City; and WHEREAS, the City is agreeable to allowing NextG to use the City's public rights-of-way, subject to the terms and conditions set forth in the Temporary Nonexclusive Revocable License Agreement and any future telecommunications regulatory ordinances and franchises that may be adopted by the City. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA: That the City Council hereby approves the Agreement entitled "City of Virginia Beach, Virginia Temporary Nonexclusive Revocable License Agreement," a copy of which is on file in the City Clerk's Office, and hereby authorizes and directs the City Manager to execute such Agreement on behalf of the City. This ordinance shall be effective on September 5,2007. Adopted by the Council of the City of Virginia Beach, Virginia, on the 28th day of ~111J119t-, 2007. APPROVED AS TO CONTENT: "c:k: ).) \ (' .l)....~ /~ \Ve~ L i ../1 . ----.. ., ~-- ComlT j APPROVED AS TO LEGAL SUFFICIENCY: A K~ Cf,{!V'-- City Atto y's Office CA 10446 August 27,2007 R-3 Item V-KlL. K. PLANNING - NO ACTION 1. B'NAI ISRAEL L. PLANNING 1. JOSEPH and FAYE MATYIKO 2. THANH CONG DOAN 3. AZIZ SAIR 4. D. W. GA TLING, INC. 5. VILLA GE BEND, L.L. C. 6. NELIN BROTHERS, INC. 7. WORKFORCE HOUSING - 31 - ITEM #56769 CONDITIONAL USE PERMIT NONCONFORMING USE CONDITIONAL USE PERMIT CONDITIONAL USE PERMIT CONDITIONAL CHANGE OF ZONING CONDITIONAL CHANGE OF ZONING MODIFICATIONS to PROFFER (APPROVED June 27,2006) AMEND: Chapter 16 of the City Code ADDING Article VIII, Sections 16-42 through 16-58 Comprehensive Plan by revising Chapter 1, (Introduction and General Strategy), Chapter 10 (Housing and Neighborhoods), and the Appendix of the Policy Document by incorporating Location Guidelines CZO Section 102, establishing the Workforce Housing Overlay District; Sec.900 re the legislative intent of the B-4 Mixed Use District, the B-4C Central Business Mixed Use District and the B-4K Historic Kempsville Area Mixed Use District; and, ADDING Article 20, Sections 2100 through 2106, re definitions, applicability, permitted uses, density bonuses, plan requirements and requiredfeatures of development August 28, 2007 - 32 - Item K. PLANNING - NO ACTION ITEM #56770 ORDINANCE UPON APPLICATION OF B'NAI ISRAEL FOR A CONDITIONAL USE PERMIT FOR A COMMERCIAL RECREATION FACILITY (BINGO HALL Ordinance upon application of B 'Nai Israel for a Conditional Use Permit for a commercial recreation facility (bingo hall) on property located at 620 Baker Road (GPIN 1468218226). DISTRICT 2 - KEMPSVILLE City Council took NO ACTION. This item was DEFERRED INDEFINITELY July 10, 2007; however, due to the application being advertised/or this meeting, it is here listed with the applicant's request/or INDEFINTE DEFERRAL August 28, 2007 - 33 - Item V-I. 1. PLANNING ITEM #56771 Upon motion by Vice Mayor Jones, seconded by Council Lady Henley, City Council APPROVED the application of JOSEPH and FAYE MA TYIKO for the expansion of a Nonconforming Use at 3257 Shady Pines Lane to construct an addition to an existing duplex. Resolution authorizing the Enlargement of a Nonconforming Use on property located at 3257 Shady Pines Lane. DISTRICT 7 - PRINCESS ANNE The following conditions shall be required: 1. The conditions required by the Virginia Beach Department of Public Health shall be followed as outlined by that agency. 2. The approval shall be limited to the 12-foot by 14joot addition as depicted on the submitted plan, which ahs been exhibited to the City Council and is on file in the Planning Department of the City of Virginia Beach Voting: 11-0 Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James I. Wood Council Members Voting Nay: None Council Members Absent: None August 28, 2007 1 A RESOLUTION AUTHORIZING THE ENLARGEMENT OF 2 A NONCONFORMING USE ON PROPERTY LOCATED AT 3 3257 SHADY PINES LANE, PRINCESS ANNE DISTRICT 4 WHEREAS, Joseph and Faye Matyiko (hereinafter the "Applicants"), have made 5 application to the City Council for authorization to enlarge a nonconforming use with an 6 addition to a duplex structure on a certain lot or parcel of land having the address of 7 3257 Shady Pines Lane, in the AG-1 and AG-2 Agricultural Districts; and 8 9 WHEREAS, the said use is nonconforming, as it is a duplex structure which is 10 not presently allowed in the Agricultural Districts but was constructed prior to the 11 adoption of the Princess Anne County Zoning Ordinance; and 12 13 WHEREAS, pursuant to Section 105 of the City Zoning Ordinance, the 14 enlargement of a nonconforming use is unlawful in the absence of a resolution of the 15 City Council authorizing such action upon a finding that the proposed use, as enlarged, 16 will be equally appropriate or more appropriate to the zoning district than is the existing 17 use; 18 19 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF 20 VIRGINIA BEACH, VIRGINIA: 21 22 That the City Council hereby finds that the proposed use, as enlarged, will be 23 equally appropriate to the district as is the existing use. 24 25 BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF VIRGINIA 26 BEACH, VIRGINIA: 27 28 That the proposed enlargement of the duplex dwelling is hereby authorized, upon 29 the following conditions: 30 31 1. The conditions required by the Virginia Beach Department of Public Health 32 shall be followed as outlined by that agency. 33 34 2. The approval shall be limited to the 12 foot by 14 foot addition as depicted 35 on the submitted plan, which has been exhibited to the City Council and is 36 on file in the Planning Department of the City of Virginia Beach. 37 38 39 Adopted by the Council of the City of Virginia Beach, Virginia, on the 28th day of 40 August, 2007. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: N rJJJPI 11 AbI City Attorney's Office CA 10473 R-2 August 17, 2007 Map 6-14 Map Not "to Scale AC-2 (ITA) c:u ~ () AC-2 o. ~ 1m to. + AC- 21\1 SlIlJ j G ;'00 D l3ob:a o IX>} Clo c.tt AG-I AC-J [J... 70- 5 dB Ldn o o o on o .. (:I 0 G a 0 II. ce::::> Non Conforming Use - 34- Item V-I. 2. PLANNING ITEM #56772 The following registered in SUPPORT: Attorney Kevin M Brunick represented the applicant, and advised this entails a Buddhist Ceremony with individual mediTation. During this 3-hour period (one day per week), members of this organization will engage in individual medication with the guidance of the Monks. There are no services in a traditional sense. This usage will have no greater impact on the neighborhood than a "bridge club". However, there are three (3) Special Holidays: Chinese-Vietnamese New Year (February), Buddha's Birthday (May)and Mother/Father Day (September). During those three (3) events per year, the Permit also seeks to have no more than fifty (50) members on the property for the celebrations Samantha Niezgoda, 725 Sir Walter Circle, Phone: 431-1543, Member of the Temple. There are no noise, traffic or septic issues. Generally, every Sunday, about six (6) to twelve (12) members attend Scott Dialatush, 2108 Jarvis Road, Phone: 721-6900, advised support and his beliefin religious freedom The following registered in OPPOSITION: Dan Franken, 4161 West Neck Road, Phone: 426-0476, advised he and his wife have been good neighbors to the applicant, who purchased the residence without talking to the neighbors about the planned activities. The activities far surpassed previous descriptions: first five (5) cars and then up to fifty (50) with tour buses, porta potties, etc. The residents filed a protest. Louis Cullipher, 1449 Princess Anne Road, Phone: 426-2212, his statement is hereby made a part of the record In recent years, he City has strived to identify features distinguishing one community from another, to make different parts of the City unique and enhance the quality of life. One such community is the Pungo Ridge landscape surrounding the property of the applicant Jerry Lang, 1476 Princess Anne Road, Phone: 426-5445, 21-year resident Amy Lang, 1476 Princess Anne Road, Phone: 426-5145, advised the applicant has been working without the Conditional Use Permitfor the past eighteen (18) months Carol Lobus, 4132 West Neck Road, Phone: 721-0864 Michelle Fryman, 2429 West Landing Road, Phone: 620-3089 Dr. Carmen J. Maldowado, 4120 West Neck Road, Phone: 626-0052 Donna Franken 4161 West Neck Road, Phone: 426-0476 Michael I. Cullipher, 2088 Jarvis Road, Phone: 721-6446 A MOTION was made by Council Lady Henley, seconded by Council Lady Wilson, TO ADOPT the Ordinance upon application of THANH CONG DOAN for a Conditional Use Permit for a Relif!ious Facilitv CONDITIONED FOR SIX (6) MONTHS WITH NO STAFF RENEWAL, WHILE AN APPROPRIATE LOCATION IS FOUND August 28, 2007 - 35 - Item V-I. 2. PLANNING ITEM #56772 (Continued) Upon SUBSTITUTE MOTION by Councilman Wood, seconded by Councilman Uhrin, City Council ADOPTED the Ordinance upon application of THANH CONG DOAN for a Conditional Use Permit CONDITIONED FOR ONE (1) YEAR WITH NO STAFF RENEWAL AND SHALL COME BACK TO CITY COUNCIL (staff to assist in locating new site/or activity): ORDINANCE UPON APPLICATION OF THANH CONG DOAN FOR A CONDITIONAL USE PERMIT FORA RELIGIOUS FACILITY R080734235 BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA Ordinance upon application of Thanh Cong Doan for a Conditional Use Permit for a religious facility on property located at 4177 West Neck Road (GPIN 2402800135). AICU2 is Less than 65 dB Ldn. DISTRICT 7 - PRINCESS ANNE The following conditions shall be required: 1. The applicant shall obtain all necessary alteration permits and a Certificate of Occupancy for the change of use from the Department of Planning / Permits and Inspections Division and the Fire Department before occupancy and use of the existing building for a religious facility. 2. The applicant shall obtain approvalfrom the Virginia Department of Health for the increased use of the building and any required improvements to the wastewater and water supply systems. 3. The applicant shall submit a site plan to the Department of Planning / Development Services Center for the development of the required parking and landscaping improvements to the site. 4. Category IV screening shall be installed along the eastern and southern property lines. The landscaping along the sides of the property shall begin at the intersection of the side lot lines with the front property line. There shall be a minimum 20-foot landscape bed provided. Existing landscaping along the western property line shall be maintained. If the landscaping dies or is replaced, it shall be replaced with Category IV screening. 5. There shall be no more statues installed on the site. All existing statues shall meet the required front yard, rear yard and side yard setbacks. 6. The applicant shall submit a photometric plan for review and approval. 7. Meditation services are limited to Sundays, 10:00 A.M to 1:00 P.M There shall be no more than twenty (20) individuals, or the number of individuals approved by the Building Official, Fire Official, and Health Department, whichever is less, on the site during services. August 28, 2007 - 36 - Item V-I. 2. PLANNING ITEM #56772 (Continued) 8. Special observances are limited to three events per year: Chinese / Vietnamese New Year (in February), Buddha's Birthday (in May) and another event in late-July / early-August. There shall be no more than fifty (50) individuals, or the number of individuals approved by the Building Official, Fire Official and Health Department, whichever is less, on the site during services. 9. The applicant shall resubmit an application to the Planning Commission and the City Council for review and approval of the proposed self-standing Meditation Hall. The Meditation Hall is not approved with this Conditional Use Permit. 10. Administrative review shall be conducted periodically by the Zoning Administrator for compliance with the conditions of the use permit. Failure to comply with the conditions shall result in revocation of the use permit. The use permit shall expire one (1) year from the date of City Council approval. 11. There shall be no administrative renewal. Staff shall assist the applicant in locating a new site for this activity. Any new applications shall be subject to Planning Commission review and City Council action. This Ordinance shall be effective in accordance with Section 107 (f) of the Zoning Ordinance. Adopted by the Council of the City of Virginia Beach, Virginia, on the Twenty-eighth of August Two Thousand Seven Voting: 11-0 (By Consent) Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None August 28, 2007 - 37 - Item V-I. 3. PLANNING ITEM #56773 Thefollowing registered in SUPPORT: Attorney R.E. Bourdon, Pembroke Office Park, 281 Independence Boulevard Phone: 499-8971, represented the applicant and advised the property is 4-If2 acres, zoned unconditional B-2 Commercial for decades. The property, as zoned, an be developed "by right" as a strip commercial development without conditions. This property is in the highest noise zone, 70-75 db around Naval Air Station Oceana. The eastern portion of the property is in the Accident Potential Zone (APZ) II This property cannot be developed residential. The plan provides for one entrance to the property with a right-in only on Holland Road and one entrance midway along Warwick (between Holland and Old Club House Road). The plan involves a gas station (6,000 square feet), a mini-store with eight (8) gas pumps and a car wash. Security cameras will be monitored "24-7" on site. The following registered in OPPOSITION: Attorney Kevin Martingayle, 2101 Parks Avenue, Suite 801, Phone: 582-2224, represented Scarborough Square Civic League and quoted Section 221 of the City Zoning Ordinance (CZO) and Page 93 re the Conditional Use Permit. Subparagraph J' " the proposed conditional use shall be in accord with the purposes of the Comprehensive Plan and all the Zoning Regulations and other applicable regulations ". Attorney Martingayle referenced sections of the Comprehensive Plan: The overriding objective of these policies is to protect the predominately suburban character defined in large measure by the stable neighborhoods of the primary residential area. Two car washes are located within 4/10 of a mile. If this application is approved, there will be three (3) car washes in close proximity. Within If2 mile, there are three (3) gasoline stations on one corner. This is not "limited commercial development" Chandler Scarborough, President - Green Run Homes Association, represented Scarborough Square 1248 Green Garden Circle, Phone: 421-4919 Burgess Allison, 3210 Dunnbury Court, Phone: 427-1406, purchased home 30 years ago Lyn Henry, 3328 Scarborough Way, Phone: 430-1203, concerned member - Scarborough Civic League Curtis Anderson, Scarborough Square, Petition in OPPOSITION (containing 300 signatures was submitted). Said petition is hereby made a part of the record. Barbie Brerrifield, Scarborough Square resident (No address or phone number listed) Inez N Giles, 33250 Yorkborough Way, Phone: 368-1847, 20-year resident Carl Wright, Holland Farms, Phone: 232-5337, Member - Scarborough Square Civic League Melvin Bridges, 3250 Peele, Phone: 635-0153, President - Scarborough Square Civic League, resided in the community since 1975 Deputy Chief James A. Cevera, advised commercial developments will have a higher crime rate than non-commercial developments. Commercial developments open "27-7" with a "cash and carry" clientele, usually have a lone clerk within the establishment, with higher rates of crime. A location not too far from this proposed facility, on Holland and Rosemont, was reviewed for one year. Sixty-six (66) crimes had been committed within that year, the majority of which were simple larceny; however, armed robberies, assaults and carjackings, were also committed. There are some unfortunate dynamics occurring on Holland Road at the present time. August 28, 2007 - 38 - Item V-I. 3. PLANNING ITEM #56773 (Continued) Upon motion by Councilman Uhrin, seconded by Council Lady Wilson, City Council DENIED the Ordinance upon application AZIZ SAIRfor a Conditional Use Permit: ORDINANCE UPON APPLICATION OF AZIZ SAIR FOR A CONDITIONAL USE PERMIT FOR GASOLINE SALES IN CONJUNCTION WITH A CONVENIENCE STORE AND CAR WASH Ordinance upon application of Aziz Sair for a Conditional Use Permit for gasoline sales in conjunction with a convenience store and car wash on property located at the northeast intersection of Holland Road and Warwick Drive (GPIN 1495093490). AICUZ is 70-75 and APZ-2. DISTRICT 6 - BEACH Voting: 11-0 Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James I. Wood Council Members Voting Nay: None Council Members Absent: None August 28, 2007 - 39- Item V-LA. PLANNING ITEM #56774 Thefollowing registered in SUPPORT: Attorney R. J Nutter, 1405 Blue Heron Road, Phone: 687-7500, represented the applicant . who whishes to construct an age restricted residential community. The property is heavily impacted by a large easement (150-foot wide Virginia Power easement), which leaves two (2) developable pieces of property. The only access to this property is through Baker Road. The access points have been approved by the City's traffic department. Children (defined up to 21-years of age) cannot live on the property for more than three (3) months at a time (See Amended Proffer #4). The average age of these residents will be in excess of 60-years of age. The two (2) buildings contain J08 units and have sprinkler systems and contain elevators. These units sellfor approximately $150,000 to $160,000. Bill Dore', 4598 Broad Street, Phone: 718-6100, Housing Consultant Harry L. Kiskley, 637 Lawrence Drive, moved to Newsome Farms approximately eight (8) years ago Linda P. Carrington, 712 Bolero Court, Phone: 518-8404, President-Newsome Farms Civic League, 15-year resident Upon motion by Councilman Diezel, seconded by Councilman Dyer, City Council ADOPTED the Ordinance upon application of D. Jv. GATLING, INC. for a Conditional Chanf!e ofZoninf!: ORDINANCE UPON APPLICATION OF D. W GATLING, INC. FOR A CHANGE OF ZONING DISTRICT CLASSIFICATION FROM 1-1 LIGHT INDUSTRIAL DISTRICT TO CONDITIONAL A-36 Z08071285 BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA Ordinance upon application of D. W Gatling, Inc. for a Chanf!e of Zoning District Classification from 1-1 Light Industrial District to Conditional A-36 Apartment District on property located on the north side of Baker Road, approximately 510 feet east of Newtown Road (GPIN 1468308528). AICUZ is Less than 65 dB Ldn. DISTRICT 2 - KEMPSVILLE The following condition shall be required: 1. Agreement encompassing revised proffers shall be recorded with the Clerk of the Circuit Court and is hereby made a part of the record. This Ordinance shall be effective in accordance with Section 107 (f) of the Zoning Ordinance. Adopted by the Council of the City of Virginia Beach, Virginia, on the Twenty-eighth of August Two Thousand Seven August 28, 2007 - 40- Item V-LA. PLANNING ITEM #56774 (Continued) Voting: 11-0 Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None August 28, 2007 Document Prepared By: Troutman Sanders LLP 222 Central Park A venue, Suite 2000 Virginia Beach, V A 23462 AGREEMENT THIS AGREEMENT (the "Agreement") is made as of this 22nd day of June, 2007, by and between L. HALL INVESTMENTS. L.L.C., a Virginia limited liability company ("Hall Investments"), the current owner of that certain property located in the City of Virginia Beach, Virginia, identified by GPIN 1468-30-8528, as more particularly described in Exhibit A attached hereto and incorporated herein by reference (the "Property"); D. W. GATLING. INC., a Virginia corporation ("Gatling" and, collectively with Hall Investments, the "Grantor"), the contract purchaser of the Property; and the CITY OF VIRGINIA BEACH, a municipal corporation of the Commonwealth of Virginia (hereinafter referred to as "Grantee"). WIT N E SSE T H: WHEREAS, the Grantor has initiated an amendment to the Zoning Map of the City of Virginia Beach, Virginia, by petition addressed to the Grantee, so as to change the classification of the Property from 1-1 to Conditional A-36; and WHEREAS, the Grantee's policy is to provide only for the orderly development of land for various purposes, including mixed-use purposes, through zoning and other land development legislation; and WHEREAS, the Grantor acknowledges that competing and sometimes incompatible uses conflict, and that in order to permit differing uses on and in the area of the subject Property and at the same time to recognize the effects of the change and the need for various types of uses, certain reasonable conditions governing the use of the Property for the protection of the community that are not generally applicable to land similarly zoned Conditional A-36 are needed to cope with the situation to which the Grantor's rezoning application gives rise; and WHEREAS, the Grantor has voluntarily proffered in writing in advance of and prior to the public hearing before the Grantee, as part of the proposed conditional amendment to the Zoning Map, in addition to the regulations provided for in the existing A-36 zoning districts by the existing City's Zoning Ordinance (CZO), the following reasonable conditions related to the physical development, operation and use of the Property to be adopted as a part of said amendment to the new Zoning Map relative to the Property, all of which have a reasonable relation to the rezoning and the need for which is generated by the rezoning; and WHEREAS, said conditions having been proffered by the Grantor and allowed and accepted by the Grantee as part of the amendment to the Zoning Ordinance, such conditions shall continue in full force and effect until a subsequent amendment changes the zoning on the Property covered by such conditions; provided, however, that such conditions shall continue GPIN NO. 1468-30-8528 despite a subsequent amendment if the subsequent amendment is part of the comprehensive implementation of a new or substantially revised zoning ordinance, unless, notwithstanding the foregoing, these conditions are amended or varied by written instrument recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach, Virginia and executed by the record owner of the subject Property at the time of recordation of such instrument; provided, further, that said instrument is consented to by the Grantee in writing as evidenced by a certified copy of the ordinance or resolution adopted by the governing body of the Grantee, after a public hearing before the Grantee advertised pursuant to the provisions of the Code of Virginia, Section 15.2- 2204, which said ordinance or resolution shall be recorded along with said instrument as conclusive evidence of such consent. NOW THEREFORE, the Grantor, for itself, its successors, assigns, grantees, and other successors in title or interest, voluntarily and without any requirement by or exaction from the Grantee or its governing body and without any element of compulsion of quid pro quo for zoning, rezoning, site plan, building permit or subdivision approval, hereby makes the following declaration of conditions and restrictions which shall restrict and govern the physical development, operation and use of the Property and hereby covenants and agrees that these proffers (collectively, the "Proffers") shall constitute covenants running with the said Property, which shall be binding upon the Property and upon all parties and persons claiming under or through the Grantor, its heirs, personal representatives, assigns, grantees and other successors in interest or title, namely: 1. The Grantor shall develop the Property in substantial conformity with the concept plan prepared by The Lawson Companies, Inc., entitled "Conceptual Site Plan, Plan for Baker Road Senior Living Condominiums", dated June 22, 2007 (the "Concept Plan"), a copy of which is on file with the Department of Planning and has been exhibited to the City Council. 2. The Grantor shall develop the structures on the Property in substantial conformity with the building elevations prepared by The Lawson Companies, Inc., entitled "Conceptual Elevation, Building A" and "Conceptual Elevations, Building B", dated June 22, 2007 (the "Building Elevations"), copies of which are on file with the Department of Planning and have been exhibited to the City Council. 3. When developed, the multi-family dwelling units shall be designated as "housing for older persons" in accordance with the laws and regulations related to "housing for older persons", as that term is defined in the Virginia Pair Housing Law (Va. Code S 36-96.1 et seq.), the Pair Housing Act (42 U.S.c. S 3602 et seq.)., and the accompanying state and federal regulations referenced therein (the "Pair Housing Laws"). Grantor acknowledges that, to qualify as "housing for older persons", the Pair Housing Laws (a) provide, among other things, that at least eighty percent (80%) of the occupied units must be occupied by one (1) person who is at least fifty-five (55) years of age or older, and (b) require Grantor to publish and adhere to policies and procedures which demonstrate an intent by Grantor, or its manager, to provide housing for persons fifty-five (55) years of age or older. 2 4. Persons who are twenty-one (21) years of age or younger shall be prohibited from residing within the multi-family dwelling units located on the Property for more than three (3) months per calendar year. 5. The development on the Property shall not exceed one hundred eight (108) multi-family dwelling units. 6. Prior to final site plan approval, the Grantor shall prepare and submit a lighting plan to be approved by the Planning Director or his designee during final site plan review. 7. Further conditions lawfully imposed by applicable development ordinances may be required by the Grantee during detailed site plan and/or subdivision review and administration of applicable City Codes by all cognizant City agencies and departments to meet all applicable City Code requirements. All references hereinabove to zoning districts and to regulations applicable thereto, refer to the City Zoning Ordinance of the City of Virginia Beach, Virginia, in force as of the date the conditional zoning amendment is approved by the Grantee. The Grantor covenants and agrees that (1) the Zoning Administrator of the City of Virginia Beach, Virginia shall be vested with all necessary authority on behalf of the governing body of the City of Virginia Beach, Virginia to administer and enforce the foregoing conditions, including (i) the ordering in writing of the remedying of any noncompliance with such conditions, and (ii) the bringing of legal action or suit to ensure compliance with such conditions, including mandatory or prohibitory injunction, abatement, damages or other appropriate action, suit or proceedings; (2) the failure to meet all conditions shall constitute cause to deny the issuance of any of the required building or occupancy permits as may be appropriate; (3) if aggrieved by any decision of the Zoning Administrator made pursuant to the provisions of the City Code, the CZO or this Agreement, the Grantor shall petition the governing body for the review thereof prior to instituting proceedings in court; and (4) the Zoning Map shall show by an appropriate symbol on the map the existence of conditions attaching to the zoning of the subject Property on the map and that the ordinance and the conditions may be made readily available and accessible for public inspection in the office of the Zoning Administrator and in the Department of Planning and that they shall be recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach, Virginia and indexed in the name of the Grantor and Grantee. 3 IN WITNESS WHEREOF, the undersigned Grantor executes this Agreement as of the date first written above. GRANTOR: L. HALL INVESTMENTS, L.L.C., a Virgin: lim~ed ;bilily/comV By: '-.. -- ~ --~ . Name: C. Thomas Vau- Title: Trustee// COMMONWEALTH OF VIRGINIA CITY OF VIRGINIA BEACH, to-wit: The foregoing instrument was acknowledged before me this d5 day of ~JL-Gr\..L. , 2007, by C. Thomas Vaughan , who is personally known to me or has produced D(l'v'f!~--::> lL~""--c;...L-- as identification in his capacity as Trustee of L. Hall Investments, L.L.C., a Virginia limited liability company, on behalf of the company. I )~~~~ "-.:7 Notary Public l My Commission Expires: ,'TVLrtLLD-J\)..d- 31 Id--OOq [NOTARIAL SEAL/STAMP] 4 IN WITNESS WHEREOF, the undersigned Grantor executes this Agreement as of the date first written above. GRANTOR: L. HALL INVESTMENTS, L.L.C., a Virginia limited liability company By: ~olt>/"JI. -xl ~ . Name: Linda V. Sawyer Title: Trustee COMMONWEALTH OF VIRGINIA CITY OF VIRGINIA BEACH, to-wit: The foregoing instrument was ack.nowledged before me this ~ j nAY of o;:-Jit~, 2007, by Linda V. Sawyer, who is personally known to me or has produced .D/'Vl...(....(/v~ ft 'u..~-L-as identification in her capacity as Trustee of L. Hall Investments, L.L.c., a Virginia limited liability company, on behalf of the company. 1/1 '?'\) / . II LLtlVt I .0,-, J Notary Public '--1"'" My Commission Expires: ()anu.(~ 3 I ) 200q [NOTARIAL SEAL/STAMP] 5 IN WITNESS WHEREOF, the undersigned Grantor executes this Agreement as of the date first written above. GRANTOR: D. W. GATLING, INC., a Virginia corporation By: ('J. C'~'v~., Name: David W. Gatlin Title: President COMMONWEALTH OF VIRGINIA CITY OF VIRGINIA BEACH, to-wit: The foregoing instrument was acknowledged before me this Z()5. day OL::-~tln.v 2~~ ,y David W. Gatling , who is personally known to me or has produced 1) L as identification in his capa.City as pr.eSid.]t f..,.... D. W. Gatling, Inc., a Virginia corporation, on behalf of the corporation. ') . ( C~ ~~.. V Notary Public My Commission Expires: 17./ ~! '1.'D(>(<~ . Ql~i S1\,'bhun~ I q '?l,t11.{/ [NOT ARIAL SEAL/STAMP] 336814J 6 EXHIBIT A LEGAL DESCRIPTION OF PROPERTY @ ALL THAT certain lot, piece or parcel of land, with the buildings and improvements thereon, lying, situate and being in the City of Virginia Beach, State of Virginia, and known, numbered and designated Parcel B on that certain plat entitled "Subdivision of part of Lot 34, Plat Showing a survey and division of Newsome Farm, Bayside Borough, Norfolk (SIC), Virginia", made by Wilfred P. Large, Certified Land Surveyor, Norfolk, VA, March 23, 1976, and duly recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach, Virginia in Map Book 116, at page 1. LESS AND EXCEPT the following: 1) That portion of the property conveyed to the City of Virginia Beach by Deed and Deed of Easement recorded in Deed Book 2793, page 2025. 2) That portion of the property acquired by the City of Virginia Beach for widening of Paca Lane Road, as shown in Deed Book 2707, pages 1367 and 1368 and amended in Deed Book 2718, pages 360 and 361. IT BEING part of the same property conveyed to L. Hall Investments, L.L.C., a Virginia limited liability company, by deed from Lawrence Hall Vaughan, Trustee under Trust Agreement dated June 8, 1989, dated December 14, 1988, and filed for record December 28, 1998, in Deed Book 4005, page 1898. 7 - 41 - Item V-L.5. PLANNING ITEM #56775 The following registered in SUPPORT Attorney R. Edward Bourdon, Jr., Pembroke Office Park, 281 Independence Boulevard, Phone: 499- 8971, represented the applicant, the Franciscus Companies. Gary L. Werner and Frank Spadea, Principals. Correspondence dated August 24, 2007, conveying the intent of Village Bend, L. L. C. to incorporate a workforce housing component within Village Bend, is hereby made a part of the record. For the last thirty years, the Franciscus Companies have garnered dozens of awards and earned a stellar reputation in their superbly designed, architectural pleasing, expertly constructed multi-family and single family homes within a well landscaped and professionally managed sustainable community. The application is reserving 44 multi-family units, comprising seventeen percent (17%) of the proposed project, for "workforce housing". The development will consist of 1 06 single family condominium homes and 15 multi-home buildings with 150 homes in those buildings. A map of the complex was distributed to City Council and is hereby made a part of the record Teresa Stanley, Holy Spirit Church, Phone: 641-1435, Tidewater Liaisonfor the Catholic Diocese of Richmond and Member - Empower Hampton Roads and Virginia Beach Round Table Tim McCarthy, Prince Phillips Circle, represented Empower Hampton Roads and Virginia Beach Housing Round Table FrankSpadea, 616 Village Drive, Suite G, Phone: 425-8391, Managing Partner-Franciscus Homes. Mr. Spadea is also a Member of Workforce Housing Committee in Virginia Beach and Isle of Wight FrankA. McKinney, 4705 Chalfont Drive, Phone: 651-3579, Member of the Virginia Beach Round Table and serve with Mr. Spadea on the Workforce Housing Committee. The following registered in OPPOSITION: Al Moore, 2140 Southcross Drive, Phone: 427-0204, represented Members - Newcastle-Princeton Civic League. Mr. Moore requested this application be DEFERRED or DENIED until this application comes into compliance with the Workforce Housing Ordinance and impact on traffic can be accurately analyzed. Tina Milligan, 3801 Southcross Court, Phone: 417-1051, Vice President - Newcastle-Princeton Civic League. Ms. Milligan distributed petitions in OPPOSITION containing 224 signatures. Said petition is hereby made a part of the record. Their primary concern is density. Joseph Milligan, 3801 Southcross Court, Phone: 427-1051, advised this application represents a 350% increase in the current density ratio. David Gaggiotti, 3832 Middleham Drive, Phone: 427-1443, expressed concern re density Krystina Morgan, 3917 Donnington Drive, Phone: 301-6637, President-Newcastle Civic League August 28, 2007 - 42- V-L.5. PLANNING ITEM #56775 (Continued) A MOTION was made by Council Lady Wilson, seconded by Councilman Villanueva to DEFER for two (2) weeks, the Ordinance upon application VILLAGE BEND, L.L.C. for a Conditional Change of Zoning District Classification from R-15 Residential District and AG-1 Agricultural District to Conditional A-12 Upon SUBSTITUTE MOTION by Council Lady Henley, seconded by Councilman Diezel, City Council DENIED the Ordinance upon application VILLAGE BEND, L.L.C. for a Conditional Change of Zoning District Classification ORDINANCE UPON APPLICATION OF VILLAGE BEND, L.L.c. FOR A CHANGE OF ZONING DISTRICT CLASSIFICATION FROM R-15 RESIDENTIAL DISTRICT AND AG-1 AGRICULTURAL DISTRICT TO CONDITIONAL A-12 Ordinance upon Application of Village Bend, L.L.c. for a Change of Zoning District Classification from R-15 Residential District and AG-1 Agricultural District to Conditional A-12 Apartment District with a PD- H2 Planned Development Housing District Overlay on property located on the south side of Dam Neck Road, approximately 170 feet east of Southcross Drive (GPIN 1484166408 - part of). AICUZ is Less than 65 dB Ldn. DISTRICT 7 - PRINCESS ANNE Voting: 8-3 Council Members Voting Aye: Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, Reba S. McClanan, Mayor Meyera E. Oberndorf, John E. Uhrin, Ron A. Villanueva, Council Members Voting Nay: William R. "Bill" DeSteph, Rosemary Wilson and James L. Wood Council Members Absent: None Item V-L.6. August 28, 2007 - 43 - Item V-L.6. PLANNING ITEM #56776 The following registered in SUPPORT: Attorney Kevin M Brunick, 893 Old Cutler Road, Phone; 422-4700, represented the applicant and advised the Virginia Beach Schools Federal Credit Union believes this location ideal for a branch to serve their members in that area of the City. Attorney Brunick is requesting the modification of proffers to accommodate the needs of the Credit Union. There will only be one drive-thru served by a teller. Sally Fontenot, Virginia Beach Schools Federal Credit Union, advised currently two (2) branches exist: one on Bonney and one on Salem Roads. Based on 2007 statistics, on a non-pay day, sixty-two (62) cars would utilize the drive-thru at the Main Office - Bonney Road. On pay day, the number would increase to eighty (80) cars. The Salem Branch experiences approximately forty-two (42) cars on a normal day, with sixty (60) on a pay day. Robert Nelin, Applicant, stated he had presented neighbors with a new site plan, proposed decorative fence, railing and brick pillars around the back of the property. The landscaping has been increased to Category II Jeremy R McClendon, MBA, 2485 Piney Bark Dive, Phone: 438-4625, represented the Virginia Beach Schools Federal Credit Union A MOTION was made by Council Lady Henley seconded by Council Lady McClanan to DENY an Ordinance upon application of NELIN BROTHERS, INC. for Modifications to their Proffer Agreement on a Conditional Change of Zoning (approved by City Council on June 27,2006) Voting: 3-8 (MOTION LOST TO A NEGATIVE VOTE) Council Members Voting Aye: Barbara M Henley, Reba S. McClanan and Mayor Meyera E. Oberndorf Council Members Voting Nay: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Vice Mayor Louis R. Jones John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Absent: None August 28, 2007 - 44- Item V-1.6. PLANNING ITEM #56776 (Continued) Upon motion by Councilman Diezel, seconded by Councilman DeSteph, City Council ADOPTED an Ordinance upon application of NELIN BROTHERS, INC. for Modifications to their Proffer Agreement on a Conditional Change of Zoning (approved by City Council on June 27,2006) ORDINANCE UPON APPLICATION OF NELIN BROTHERS, INC. FOR A MODIFICATION OF CONDITIONS FOR A REQUEST APPROVED BY CITY COUNCIL ON JUNE 27,2006 BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA Ordinance upon application of Nelin Brothers, Inc. for a Modification of PROFFERS for a request approved by City Council on June 27, 2006. Property is located at 2122 General Booth Boulevard (GPIN 2414183444). AICUZ is 65 to 70 dB DNL. DISTRICT 7 - PRINCESS ANNE The following condition shall be required: 1. Agreement encompassing modified proffers shall be recorded with the Clerk of the Circuit Court and is hereby made a part of the record. This Ordinance shall be effective in accordance with Section 107 (j) of the Zoning Ordinance. Adopted by the Council of the City of Virginia Beach, Virginia, on the Twenty-eighth of August Two Thousand Seven Voting: 8-3 Council Members Voting Aye: William R. "Bill" DeSteph, Harry E. Diezel, Robert M Dyer, Vice Mayor Louis R. Jones John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James 1. Wood Council Members Voting Nay: Barbara M Henley, Reba S. McClanan and Mayor Meyera E. Oberndorf Council Members Absent: None August 28, 2007 CITY OF VIRGINIA BEACH INTER-OFFICE CORRESPONDENCE In Reply Refer To Our File No. DF-6757 DATE: August 17, 2007 TO: FROM: Leslie L. Lilley B. Kay Wilson ~ DEPT: City Attorney DEPT: City Attorney RE: Conditional Zoning Application; Nelin Brothers, Inc. The above-referenced conditional zoning application is scheduled to be heard by the City Council on August 28, 2007. I have reviewed the subject proffer agreement, dated August 16, 2007 and have determined it to be legally sufficient and in proper legal form. A copy of the agreement is attached. Please feel free to call me if you have any questions or wish to discuss this matter further. BKW/als Enclosure cc: Kathleen Hassen TO (COVENANTS AND CONDITIONS) CITY OF VIRGINIA BEACH, a municipal corporation of the Commonwealth of Virginia THIS MODIFIED PROFFER AGREEMENT, made this 16th day of August, 2007, by and between NELIN BROTHERS, INC., a Virginia corporation, Grantor; and CITY OF VIRGINIA BEACH, a municipal corporation of the Commonwealth of Virginia, Grantee; WITNESSETH THAT: WHEREAS, Grantor and Grantee are parties to a Proffer Agreement dated December 28, 2004 which is recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach, Virginia as Instrument Number 20060630000994450 in connection with and as a condition of the rezoning of Grantor's property described on Exhibit A attached hereto from R-I0 and R-20 to 0-1 Conditional; and WHEREAS, Grantor has initiated an application to modify the terms and conditions of the Proffer Agreement described in the previous paragraph; and WHEREAS, Grantor and Grantee acknowledge and agree that the terms of this Modified Proffer Agreement shall supersede and supplant the terms and conditions of the original Proffer Agreement; and Prepared by: Kevin M. Brunick, Esquire Stallings & Bischoff, P.e. 2101 Parks Avenue, Suite 801 Virginia Beach, VA 23451 (757) 422-4700 GPIN# 2414-18-3444 WHEREAS, the Grantee's policy is to provide only for the orderly development of land, for various purposes, including industrial purposes, through zoning and other land development legislation; and WHEREAS, the Grantor acknowledges that in order to recognize the effects of change, and the need for various types of uses, including a specific conditional purpose for the development of the property with strictly limited uses rather than the existing uses allowed by the existing 0-1 zoning, certain reasonable conditions governing the use of the Property for the protection of the community that are not generally applicable to land in . the 0-1 zoning classification are needed to cope with the situation to which the Grantor's proposed development gives rise; and WHEREAS, the Grantor has voluntarily proffered in writing, in advance of and prior to the public hearing before the Grantee, as a part of the proposed modification to the conditional amendment to the Zoning Map, in addition to the regulation provided for in the 0-1 Zoning District or zone by the existing overall City Zoning Ordinance, the following reasonable conditions related to the physical development and operation of the property to be adopted as a part of said amendment to the new Zoning Map relative to the property described above, which have a reasonable relation to the rezoning and the need for which is generated by the rezoning and proposed development; and WHEREAS, said conditions having been proffered by the Grantor and allowed and accepted by the Grantee as part of the modification to the conditional amendment to the Zoning Ordinance, such conditions shall continue in full force and effect until a subsequent amendment changes the zoning on the property covered by such conditions; provided, however, that such conditions shall continue despite a subsequent amendment if the subsequent amendment is part of a comprehensive implementation of a new or substantially revised zoning ordinance, unless, notwithstanding the foregoing, these conditions are amended or varied by written instrument recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach, Virginia, and executed by the record owner of the subject property at the time of recordation of such instrument; provided, further, that said instrument is consented to by the Grantee in writing, as evidenced by a certified copy of an ordinance or a resolution adopted by the governing body of the Grantee, after a public hearing before the Grantee advertised pursuant to the provisions of Code of Virginia Section 15.2-2204, which said ordinance or resolution shall be recorded along with said instrument as conclusive evidence of such consent; NOW, THEREFORE, the Grantor, for himself, his successors, personal representatives, assigns, grantees, and other successors in title or interest, voluntarily and without any requirement by or exaction from the Grantee or its governing body and without any element of compulsion or quid pro quo for zoning, rezoning, site plan, building permit, or subdivision approval, hereby makes the following declaration of conditions and restrictions as to the physical development and operation of the subject property and governing the use thereof and hereby covenants and agrees that this declaration shall constitute covenants running with the said property, which shall be binding upon the Property and upon all parties and persons claiming under or through the Grantor, their successors, personal representatives, assigns, grantees, and other successors in interest or title, namely: The following shall be substantially adhered to, however, further conditions may be required by the Grantee during detailed site plan review and administration of applicable City codes by all cognizant City agencies and departments, including the City Arborist, to meeting all applicable city Code requirements: 1. Development on the site shall conform with that as shown on the exhibit entitled, "Proposed Office/Credit Union Development" prepared by Engineering Services, Inc., dated August 13, 2007; which has been exhibited to the Virginia Beach City Council and is on file with the Virginia Beach Department of Planning (hereinafter, "Site Plan"). 2. The architectural design of the office building depicted on the Site Plan will be as depicted on the exhibits entitled, "PROPOSED ELEV A TIONS VIRGINIA BEACH SCHOOLS FEDERAL CREDIT UNION, VIRGINIA BEACH, VIRGINIA", prepared by Covington/Hendrix Architects dated April 26, 2007, which has been exhibited to the Virginia Beach City Council and is on file with the Virginia Beach Department of Planning. 3. All outdoor lighting shall be shielded, deflected, shaded and focused to direct light down onto the premises and away from adjoining property. A photometric plan depicting such lighting shall be submitted to the City of Virginia Beach for approval. 4. Any freestanding sign shall be monument style, no greater than six feet (6') in height with a brick base matching the brick on the exterior of the Office Building. 5. Grantor shall construct a black wrought iron or substitute metal fence with brick columns at the southwest comer of the property, which fence shall meet the requirements of Zoning Ordinances of the City of Virginia Beach. The fence will run along the property line of the subject property beginning at a point marking the end of the fence of the property adjoining to the east and ending at the end of the fence of the property owner adjoining to the south. 6. Grantor shall install a Category II landscaping buffer running along the entire length of the rear-property line of the subject property. 7. It is recognized that further conditions may be required during the application of City ordinances and that there will be detailed site plan review to meet all applicable City codes, and that further conditions may be required during the administration of applicable City ordinances. All references hereinabove to 0-1 District and to the requirements and regulations applicable thereto refer to the Comprehensive Zoning Ordinance and Subdivision Ordinance of the City of Virginia Beach, Virginia, in force as of the date of City Council action approving the amendment sought by the Grantor, which is by this reference incorporated herein. The Grantor covenants and agrees that (1) the Zoning Administrator of the City of Virginia Beach, Virginia shall be vested with all necessary authority on behalf of the governing body of the City of Virginia Beach, to administer and enforce the foregoing conditions, including (i) the ordering in writing of the remedying of any noncompliance with such conditions, and (ii) the bringing of legal action or suit to insure compliance with such conditions, including mandatory or prohibitory injunction, abatement, damages or other appropriate action, suit or proceedings; (2) the failure to meet all conditions shall constitute cause to deny the issuance of any of the required building or occupancy permits as may be appropriate; (3) if aggrieved by any decision of the Zoning Administrator made pursuant to the provisions, the Grantor shall petition to the governing body for the review thereof prior to instituting proceedings in court; and (4) the Zoning Map may show by an appropriate symbol on the map the existence of conditions attaching to the zoning of the subject property on the map and that the ordinance and the conditions may be made readily available and accessible for public inspection in the office of the Zoning Administrator and in the Planning Department and that they shall be recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach, Virginia, and indexed in the names of the Grantor and Grantee. Witness the following signatures and seals. NELIN BROTHERS, INC. By: ~rtd~ ---... President COMMONWEALTH OF VIRGINIA CITY OF VIRGINIA BEACH, to-wit: I, the undersigned Notary Public in and for the Commonwealth of Virginia at Large, do hereby certify that Kl"lhc';r"+ \Jtlin , President of Nelin Brothers, Inc., a Virginia corporation, whose name is signed to the foregoing instrument, bearing date on the J1o!h day of August, 2007, has acknowledged the same before me in the jurisdiction aforesaid and who is personally known to me. Given under my hand this lI.Ptn day of ~us.+ .2001. My commission expires: 7- 3/- 2.0 to Z/~.4~ Notary Public ~ OFFICIAL SEAr--i LANA S. GOLDSTON ! NOTARY PUBUC ! COMMONWEALTH OF \;:\~INIA ; Camm ExpIres. July 31 2010 10 . 195967 ATTORNEY'S CERTIFICATE OF TITLE The undersigned, an attorney licensed to practice law in the Commonwealth of Virginia, has examined the records and indices maintained by the Clerk of the Circuit Court of the City of Virginia Beach, Virginia for the real property described below and in my opinion NELIN BROTHERS, INC., a Virginia corporation, is the owner of marketable fee simple title, subject only to the Liens, Encumbrances, and Special Information shown below: A. Le2al Description: All that certain lot, piece or parcel of land, with the buildings and improvements thereon, situate, lying and being in the City of Virginia Beach, Virginia and known, numbered and designated as Parcel 6 as shown on that certain plat entitled, "Subdivision of Property of Charles Carlton Hickman and Russell Lee Rainey, Princess Anne borough, Virginia Beach, Virginia", which said plat is dilly recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach, Virginia in Map Book 248, at pages 24 and 25. GPIN# 2414-18-3444-0000. B Mort2a2es and Deeds of Trust: None. C. Taxes and Special Assessments: Ad valorem taxes for the Subject Property are paid through and including the second half of the 2006-2007 fiscal year. D. Restrictive Covenants and Other Conditions Relatin2 to the Subiect Property: Proffer Agreement dated December 28, 2004 between Nelin Brothers, Inc., and the City of Virginia Beach, a municipal corporation, recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach as document number 20060630000994450. E. Other Liens. Obiections and Defects: None This certificate is made this 16th day of August, 2007. Stallings & Bischoff, P.c. BY:'/{ fh~~1d- _ ~n M. Brunick EXHIBIT A Lee:al Description: All that certain lot, piece or parcel of land, with the buildings and improvements thereon, situate, lying and being in the City of Virginia Beach, Virginia and known, numbered and designated as Parcel 6 as shown on that certain plat entitled, "Subdivision of Property of Charles Carlton Hickman and Russell Lee Rainey, Princess Anne borough, Virginia Beach, Virginia", which said plat is duly recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach, Virginia in Map Book 248, at pages 24 and 25. - 45 - Item V-I. 7. PLANNING ITEM #56777 The following registered in SUPPORT Rob Bradham, 638 Independence Parkway, Chesapeake, represented the Hampton Roads Realtors Association. Virginia Beach is the first local government in Hampton Roads to provide solutions re the Affordable Housing issue. Mr. Bradham expressed caution re excessive administrative fees. Bob Hedrick, 1132 Blackburn Lane, Phone: 545-8435, not OPPOSED to Worliforce House; however, there is afair amount of affordable housing available now, although not new and owned by the taxpayers, who cannot sell these homes. The Government should not have to compile a plan for an individual to buy a home. Nancy Craft, 3112 New Bridge Road, Phone: 426-2019, concurred with the needfor Worliforce Housing and urged implementation. Tim McCarthy, Prince Phillip Court, Phone: 581-6938, represented Empower Hampton Roads Dotty Acampora, 4109 Rundel Lane, Phone: 434-3890, 25-year resident, involved in Mortgage Lending for eighteen (18) years and previously a Realtor, former Vice President - Tidewater Mortgage Bankers Association and currently President-Elect - State Mortgage Bankers Association. Correspondence is hereby made a part of the record. John Oliveri, 514 Virginia Avenue, Phone: 491-0740,jormer President- Tidewater Builders Association served on the Worliforce Housing Advisory Committee FrankA. McKinney, 4075 Chalfont Dive, Phone; 651-3579, Realtor, resident of Kempsville for twenty- eight (28) years. Mr. McKinney has been involved in the Worliforce Housing process for three (3) years, being a Member of the Worliforce Housing Committee and Roundtable. The Realtors Association has a website containing a wealth of information re Worliforce Housing. The following registered in OPPOSITION: Reid Greenmun, 2621 Sandpiper Road, Phone: 426-5589, was opposed to "soft second mortgages". It is not the function of City Council to pay for citizens homes, issue mortgages or be landlords. The citizens do not want a Housing and Redevelopment Authority. To make housing more affordable, the tax rate should be cut. John D. Moss, representing the Virginia Beach Taxpayers Alliance, 4109 Richardson Road, Phone: 363-7745. In February, the City Council received a copy of a detailed analysis on the Worliforce Housing Report. Local property taxes typically rank second only to monthly mortgage payments in the total monthly cost of homes. Real estate taxes rise higher than incomes. August 28, 2007 - 46- Item V-I. 7. PLANNING ITEAI#56777 (Condnued) Andy Friedman, Director - Housing and Neighborhood Preservation, advised the four mains points of Workforce Housing: Provide affordable housing integrated into new development, which expands the affordability of the voluntarily chosen development by developers to a wider range of citizens or those who will work here Sets very high quality standards on these developments so retain lasting value and quality Actually sold to individuals in those income categories (In the free market, there is no restriction on who buys or sells.) Alaintain affordability of these units over time Councilman DeSteph advised he did not want to take a position against home ownership or Workforce Housing, but cannot support an ordinance without knowing the cost or impact to the City. He would like to defer until the Planning Department can provide a briefing defining the effect on the City Wide Comprehensive Plan and the areas in which Workforce Housing will be applied. Councilman DeSteph requested Jack Whitney, Director of Planning, cerate a model reflecting the long term, i.e. big picture effects on the infrastructure and the ability to provide core services. A AlOTION was made by Council Lady McClanan, seconded by Councilman DeSteph to place this Workforce Housing issue on the November Referendum in order for the citizens to vote Upon SUBSTITUTE AlOTION by Council Lady Wilson, seconded by Councilman Wood, City Council ADOPTED: Ordinances re WORKFORCE HOUSING to AAlEND: a. Chapter 16 of the City Code ADDING Article VIII, Sections 16-42 through 16-58, to establish eligibility requirements, pricing standards, program procedures and a Workforce Housing Advisory Board prescribing the membership and duties of the Board b. the Comprehensive Plan by revising Chapter 1, (Introduction and General Strategy), Chapterl0 (Housing and Neighborhoods), and the Appendix of the Policy Document by incorporating Location Guidelines for Workforce Housing c. the City Zoning Ordinance (CZO) Section 102, establishing the Workforce Housing Overlay District; Section 900 re the legislative intent of the B-4 Mixed Use District, the B-4C Central Business Mixed Use District and the B-4K Historic Kempsville Area Mixed Use District; and, ADDING Article 20, Sections 2100 through 2106, re definitions, applicability, permitted uses, density bonuses, plan requirements and requiredfeatures of development in Workforce Housing Overlay Districts August 28, 2007 - 47- Item V-I. 7. PLANNING ITEM #56777 (Continued) Voting: 9-2 Council Members Voting Aye: Harry E. Diezel, Robert M Dyer, Barbara M Henley, Vice Mayor Louis R Jones, ,Mayor Meyera E. Oberndorf John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James I. Wood Council Members Voting Nay: William R. "Bill" DeSteph and Reba S. McClanan Council Members Absent: None THIS ITEM WAS MOVED FORWARD AND HEARD BEFORE THE APPLICATION OF VILLAGE BEND August 28, 2007 1 AN ORDINANCE TO AMEND CHAPTER 16 OF THE CITY 2 CODE BY ADDING A NEW ARTICLE VIII THERETO, 3 CONSISTING OF SECTIONS 16-42 THROUGH 16-58, 4 ESTABLISHING ELIGIBILITY REQUIREMENTS, PRICING 5 STANDARDS AND PROGRAM PROCEDURES 6 PERTAINING TO WORKFORCE HOUSING, 7 ESTABLISHING THE WORKFORCE HOUSING ADVISORY 8 BOARD AND PRESCRIBING THE MEMBERSHIP AND 9 DUTIES OF THE BOARD 10 11 Sections Added: City Code Sections 16-42 through 16-58 12 13 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA 14 BEACH, VIRGINIA: 15 16 That Chapter 16 (Housing and Building Maintenance) of the City Code is hereby 17 amended and reordained by the addition of a new Article VIII, consisting of Sections 18 16- 42 through 16-58, to read as follows: 19 20 ARTICLE VIII. WORKFORCE HOUSING. 21 22 Part 1. General Provisions 23 24 Sec. 16-42. Applicabilitv. 25 26 The provisions of this Article shall apply only to the sale or rental of workforce 27 housinq approved by the City Council pursuant to the provisions of Article 21 of the City 28 Zoninq Ordinance. 29 30 Sec. 16-43. Purpose and intent. 31 32 (a) The purpose of this Article is to provide eliqibilitv requirements. pricinq 33 standards and proqram procedures concerninq initial sales. subsequent transfers and 34 rentals of workforce housinq units developed pursuant to the provisions of Article 21 of 35 the City Zoninq Ordinance as part of the City's Workforce Housinq Proqram. It is the 36 intention of the City Council to establish such standards and procedures as a means of 37 achievinq the City's vision for housinq and neiqhborhoods. as stated in the "Housinq 38 and Neiqhborhoods" section of the Comprehensive Plan. 39 40 (b) The creation of developments containinq workforce housinq as an 41 inteqrated component thereof will advance the City's qoal of providinq diverse. hiqh- 42 quality and affordable housinq in desirable neiqhborhoods. Allowinq a qreater mix of 43 incomes within neiqhborhoods increases the affordability of housinq and reduces the 44 isolation of income qroups. Further. mixed-income developments are beneficial in the 45 lonq run because they broaden housinq opportunities, increase residents' access to 46 nearby employment and provide a better land use arranqement to accommodate 47 alternative. cost-effective transportation systems. 48 49 Sec. 16-44. Definitions; explanatory material. 50 51 As used in this Article, the followinq terms shall have the meaninqs set forth in 52 this Section. Where explanatory material is provided. such terms shall be construed in 53 a manner consistent with such material: 54 55 Affordable. Housinq is qenerally considered affordable by a household if no 56 more than approximately thirty per cent (30%) of its annual qross income is spent on 57 direct housinq costs. With respect to home ownership. such costs include mortqaqe 58 principal. interest, taxes and insurance. but not homeowners' association dues. 59 condominium fees. utilities or other related housinq costs. With respect to rentals. such 60 costs include only rent payments and do not include utilities or other related housinq 61 costs. 62 63 Annual qross income. Income from whatever source derived and before taxes 64 and withholdinqs. Included in the calculation of qross income are base salary. overtime. 65 part-time employment. bonuses. dividends. interest, royalties, pensions, military housinq 66 allowance. Veterans Administration compensation, alimony. child support. public 67 assistance. sick pay. social security benefits. unemployment compensation, income 68 from trusts. and other income from business activities or investments. 69 70 Appreciation. The Workforce Housinq Proqram uses a shared appreciation 71 model to recapture the workforce housinq discount, plus a fixed percentaqe of a unit's 72 appreciation in value. 73 74 Gross Appreciation. The difference between the initial undiscounted sales 75 price of a workforce housinq unit and the undiscounted sales price of the 76 unit upon resale. 77 78 Net Appreciation. The difference between the oriqinal undiscounted sales 79 price of a workforce housinq unit and its undiscounted resale price. less 80 the total amount of: (I) the oriqinal principal amount of the first mortqaqe 81 loan on the unit, (ii) the principal amount of the soft second deed of trust 82 note on the unit, (iii) c10sinq costs actually paid by the Eliqible Buyer in 83 connection with the purchase of the unit, (iv) the Eliqible Buyer's down 84 payment, and (v) the appraised value of any capital improvements 85 approved by the Director of Housinq and Neiqhborhood Preservation. 86 87 Shared Net Appreciation. The amount of the net appreciation owed to the 88 City by the purchaser of a workforce housinq unit. which shall be equal to 89 the share represented by the City's investment in the oriqinal purchase of 90 the unit in the form of the soft second deed of trust note. For example, if 91 the amount of the soft second deed of trust note equals twenty-five per 2 92 cent (25%) of the oriqinal undiscounted purchase price of the unit. the 93 amount of shared net appreciation owed to the City will be twenty-five per 94 cent (25%) of the net appreciation of the unit. The amount of the shared 95 net appreciation and principal amount of the soft second deed of trust note 96 is repaid to the City upon resale of the unit. 97 98 Area Median Income (AMI). The Area Median Income for the Virqinia Beach- 99 Norfolk-Newport News. Virqinia Metropolitan Statistical Area (MSA) published annuallv 100 bv the U.S. Department of Housinq and Urban Development (HUD) and adiusted for 101 household size. Pricinq of workforce housinq units and end-user Qualifications are 102 partiallv based on this published data. The initial sales price of workforce housinq units 103 is based on the ratio of housinq payments relative to the AMI. Additionallv. the end 104 user's income Qualifications are based on the AMI. adiusted for household size. 105 106 City. The City of Virqinia Beach or such other entity as the City Council may 107 desiqnate as its aqent in discharqinq the duties and performinq the acts prescribed or 108 contemplated bv this Article. 109 110 Developer. The developer of workforce housinq or other person or entity, such 111 as a homebuilder, who purchases a workforce housinq unit for purposes of resale to an 112 eliqible buyer. 113 114 Director. The Director of the Department of Housinq and Neiqhborhood 115 Preservation or his desiqnee. 116 117 Eliqible Buver. A household whose workforce housinq application has been 118 approved and who meets all the requirements of the Workforce Housinq Proqram for 119 home ownership. Such requirements include. amonq other thinqs. the household's 120 qross annual income and financial assets. In order to Qualifv to purchase a workforce 121 housinq unit. a household's annual qross income must qenerallv be between eiqhtv per 122 cent (80%) and one hundred twenty per cent (120%) of AMI. 123 124 Eliaible Renter. A household whose workforce housinq application has been 125 approved and who meets all the requirements of the Workforce Housinq Proqram for 126 rental housinq. Such requirements include. amonq other thinqs, the household's qross 127 annual income and financial assets. In order to Qualifv to rent a workforce housinq unit, 128 a household's annual qross income must qenerallv be between sixty per cent (60%) and 129 ninety per cent (90%) of Area Median Income. 130 131 Household. One or more persons livinq In, or intendinq to live in. the same 132 dwellinq unit. 133 134 Initial sale. The oriqinal sale of a workforce housinq unit to an eliqible buyer. 135 The term does not include sales to persons such as homebuilders where such sales are 136 for the purpose of resale to eliqible buyers. 137 3 138 Workforce HousinG ProGram Revolvinq Fund. A fund administered bv the 139 Department of Housinq and Neiqhborhood Preservation for the recapture of workforce 140 housinq discounts, fees and shared net appreciation from the sale of workforce housinq 141 units. Funds are reinvested in the Workforce Housinq Proqram for the purpose of 142 preservinq or creatinq affordable housinq. 143 144 Soft Second Deed of Trust. A second deed of trust securinq the repayment of 145 the loan made bv the City to an eliqible buyer in the amount of the workforce housinq 146 discount, plus the shared net appreciation of the unit. The loan secured bv a soft 147 second deed of trust carries a zero percent interest rate, requires no monthlv payments, 148 is subordinate onlv to the purchase money first deed of trust, and is due and pavable 149 from the proceeds of the resale or transfer of the workforce housinq unit. 150 151 Workforce HousinG or Workforce HousinG Unit. Dwellinqs or dwellinq units, 152 whether sinqle-familv dwellinqs, duplexes, semi-detached dwellinqs, townhouses or 153 multiple-familv dwellinq units, approved bv the City Council pursuant to Article 21 of the 154 City Zoninq Ordinance. Such housinq is qenerallv affordable to households with 155 workinq members who live or work in the City of Virqinia Beach. With respect to home 156 ownership of workforce housinq, it includes housinq that is priced to be affordable to 157 households with qross annual incomes between eiqhtv per cent (80%) and one hundred 158 twenty per cent (120%) of Area Median Income, adiusted for household size. With 159 respect to rentals of workforce housinq, it includes housino that is priced to be 160 affordable to households with annual incomes between sixty per cent (60%) and ninety 161 (90%) of Area Median Income. 162 163 Workforce HousinG Application - An application submitted to the City that 164 provides the necessary information to determine if a household Qualifies for the 165 Workforce Housinq Proqram. Participation in the proqram is continqent upon approval 166 of this application. 167 168 Workforce HousinG Discount. The difference in sales price between the fair 169 market value of a workforce housinq unit and the reduced sales price necessary to 170 make such unit affordable to a household at a taroeted income level. 171 172 173 Part 2. Sale and Ownership of Workforce Housinq 174 175 Sec. 16-45. Initial sales of workforce housinq units. 176 177 (a) The City shall have the riqht to purchase workforce housinq units offered 178 for initial sale as follows: 179 180 (1) The City shall have an exclusive riqht to purchase any workforce 181 housinq unit. not to exceed a total of one-third of the workforce 182 housino units for sale within a development, bv so notifvino the 183 developer of the unit within thirty (30) days from the date on which 184 the City is notified that the workforce housinq unit is available for 4 185 initial sale. If the City does not timely exercise its riQht to purchase 186 the unit. it may be sold to an eliQible buyer. 187 188 (2) Any workforce housinQ unit the City has not elected to purchase 189 shall be offered for sale exclusively to eliQible buyers for a period of 190 sixty (60) days from the date on which the City's riQht to purchase 191 the unit expires. Upon the expiration of such time. any such unit 192 not sold to the City or to an eliQible buyer may be offered for sale 193 without restriction. provided. that when such a unit is sold. the 194 developer shall pay to the City the difference between actual sales 195 price and the price as reduced by the workforce housinQ discount. 196 197 (b) The procedure for initial sales of workforce housinQ units purchased by an 198 eliQible buyer shall be as follows: 199 200 (1) A developer desirinQ to enter into a contract with an eliQible buyer 201 to sell a specific workforce housinQ unit for initial sale shall so notify 202 the City. which shall verify the eliQible buyer's continued eliQibility 203 under Section 16-46. 204 205 (2) In the event the eliQible buyer continues to meet such 206 requirements. the developer and City shall enter into a real estate 207 sales contract pursuant to which the developer aQrees to sell the 208 unit to the City at a price incorporatinQ the workforce housinQ 209 discount. The City shall assiQn to the eliQible buyer its riQhts under 210 the contract and shall receive a promissory note. secured by a soft 211 second deed of trust from the eliQible buyer. in the amount of the 212 workforce housinQ discount. 213 214 The assiQnment shall further provide that: (i) such loan. plus the 215 shared appreciation of the unit. shall be repaid to the City upon 216 resale of the unit and that such obliQation shall be secured by a soft 217 second deed of trust and (2) that the City shall have the riQht to 218 repurchase the unit upon resale. or to assiQn such riQht to an 219 eliQible buyer. in accordance with the provisions of Section 16-49. 220 221 Sec. 16-46. Eliaibility requirements for buyers of workforce housina units. 222 223 (a) In order to be deemed an eliQible buyer of a workforce housinQ unit. a 224 household shall meet the followinQ criteria: 225 226 (1) At least one adult. non-dependent member of the household to be 227 shown on the deed of trust note as a borrower or other obliQor 228 shall. at the time of application to the Workforce HousinQ Proqram. 229 live or work full-time in the City of VirQinia Beach. or must have a 230 bona fide offer of full-time employment within the City of VirQinia 5 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 246 247 248 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 272 273 274 275 276 Beach commencinq within three (3) months of the time of application; (2) No member of the household shall own or have a controllinq interest in any other real property; (3) The household's combined annual qross income shall, at the time of application, be between eiqhty per cent (80%) and one hundred twenty per cent (120%) of Area Median Income, adiusted for household size; and (4) The net worth of the household shall not exceed fifty per cent (50%) of the sales price of the workforce housinq unit beinq financed. The followinq items shall not be included in determininq the net worth of a household: A. The present value of insurance policies, retirement plans, furniture or household qoods; B. The portion of the household's liquid assets used for the down payment and to pay c10sinq costs, UP to a maximum of twenty-five per cent (25%) of the purchase price; and C. Any income-producinq assets needed as a source of income to meet the minimum qualifyinq requirements for eliqible buyer st~tus. (b) A household shall. in addition to the foreqoinq requirement, qualify for a mortqaqe loan from a mortqaqe lender acceptable to the City. The City may deny eliqible buyer status to any household if it determines that such mortqaqe loan contains deceptive, predatory or abusive terms. (c) Once determined to be an eliqible buyer, a household must continue to meet the requirements of subsection (a) throuqh the time of settlement. A household shall be required to certify its continued qualification as an eliqible buyer at settlement and at any prior time requested by the City. (d) Workforce housinq units shall be made available by the City for purchase only by eliqible buyers who have qualified for a mortqaqe loan in accordance with subsection (b). Sec. 16-47. Workforce housing pricing. (a) Workforce housinq shall be priced so as to be affordable for purchase by a household with a qross annual income between eiqhty per cent (80%) and one hundred twenty per cent (120%) of Area Median Income, adiusted for household size. Semi- 6 277 annually. the Workforce Housino Advisory Board shall recommend. and the City Council 278 shall establish. maximum sales prices for workforce housino units based upon current 279 Area Median Income. prevailino mortoaoe interest rates in the area. real estate tax 280 rates. homeowner's insurance rates. housino ratios. and the size of taroeted 281 households. In determinino whether to orant approval pursuant to Article 21 of the City 282 Zonino Ordinance to a proposed development that includes workforce housino. the City 283 Council shall determine whether the proposed pricino of the workforce housino within 284 such development meets the requirements of this section. 285 286 (b) The Department of Housino and Neiohborhood Preservation shall make 287 available to prospective developers of workforce housino a spreadsheet plannino tool to 288 assist in determinino if a specific development meets the requirements of this section. 289 290 Sec. 16-48. Workforce housina discount. 291 292 (a) All initial sales of workforce housino units shall be at a price that 293 incorporates a workforce housino discount, as defined in Section 16-44. The workforce 294 housino discount shall be sufficient to brino a workforce housino unit's sales price within 295 a price ranoe that is affordable to households with annual oross incomes between 296 eiohty per cent (80%) and one hundred twenty per cent (120%) of Area Median Income. 297 adiusted for household size The actual amount of the workforce housino discount 298 applicable to a specific workforce housino unit shall be subiect to the approval of the 299 City Council. 300 301 (b) The baseline amount of the workforce housino discount shall be twenty- 302 five per cent (25%) of the undiscounted sales price; provided, however. that if the 303 undiscounted sales price of a workforce housino unit is affordable by a household with a 304 oross annual income between eiohty per cent (80%) and one hundred twenty per cent 305 (120%) of Area Median Income. adiusted for household size. the required workforce 306 housino discount may be less than twenty-five per cent (25%). The chart below 307 illustrates the required discount applied to a WFH Unit oiven the affordability of an 308 equivalent market rate unit: 309 310 Affordability Range of Market Required Workforce Units (as a Percent of AMI) Housing Discount From I To 0% 80% 1% 81% 90% 5% 91% 100% 10% 101% 110% 20% 111% 120% 25% 311 7 312 Sec. 16-49. Resale of workforce housinq units. 313 314 (a) Prior to offerinq a workforce housinq unit for resale. the owner shall notify 315 the City of the owner's intent to sell the unit. The City shall notify the unit owner of its 316 intention to purchase the unit within thirty (30) days from the date on which the owner's 317 notice of intent to sell was received bv the City. In the event the City determines to 318 purchase the unit upon resale. it shall have the riqht to assiqn the contract to an eliqible 319 buyer. 320 321 (b) The City shall tender to the unit owner an offer to purchase such unit at its 322 fair market value. The fair market value shall be determined bv the averaqe of two 323 appraisals of such unit based on the sales prices of comparable properties that have 324 recentlv sold. Such appraisals shall be performed bv licensed Virqinia real estate 325 appraisers selected bv the City. 326 327 (c) In the event the City decides not to purchase or assiqn its riqht to 328 purchase the unit. it shall so notify the owner in writinq. who shall thereafter have the 329 riqht to sell the unit to any other person or entity. 330 331 (d) In the event the City purchases or assiqns its riqht to purchase a 332 workforce housinq unit from the owner of such unit. it shall make such unit available for 333 sale to another eliqible buyer for a period of at least ninety (90) days. The City shall 334 notify the eliqible buyers on its prescreened list of the availabilitv of the unit. 335 336 (e) In the event an eliqible buyer enters into a contract to purchase the unit 337 within the ninety (90) - day period. the City shall determine whether such eliqible buyer 338 continues to so qualifv. If such eliqible buyer continues to meet the eliqibilitv 339 requirements of Section 16-46. the owner of the unit shall enter into a contract with the 340 City and. if applicable. the City's assiqnee. to purchase the unit at the fair market value 341 thereof. as determined pursuant to subsection (b). The contract shall further provide 342 that: (i) the amount of the workforce housinq discount. plus the shared net appreciation 343 of the unit. shall be repaid to the City upon resale of the unit; and 2) that the City shall 344 have the riqht to repurchase the unit. or to assiqn such riqht to an eliqible buyer. in 345 accordance with the provisions of this section. 346 347 (f) At settlement. the principal amount of the outstandinq soft second deed of 348 trust note. plus the shared net appreciation of the unit. as defined in Section 16-44. shall 349 be repaid to the City from the proceeds of the resale of the unit. All such monies shall 350 be deposited into the Workforce Housinq Revolvinq Fund. 351 352 The City shall finance a portion of the purchase price equal to the amount of the 353 new workforce housinq discount bv means of a note secured bv soft second deed of 354 trust. The new workforce housinq discount shall be the same percentaqe of the 355 undiscounted purchase price of the unit as the percentaqe of the initial workforce 356 housinq discount. 357 8 358 Sec. 16-50. Restrictions on refinancina. etc. of workforce housina units. 359 360 (a) No owner of a workforce housinq unit shall: 361 362 (1) Refinance such unit or encumber the unit with any other mortqaqe loan, 363 home equity loan or similar instrument without the prior written approval of 364 the Director. Such approval shall be requested no later than thirty (30) 365 days prior to the date of settlement of the proposed refinancinq or loan. 366 The owner or prospective lender shall provide any information required by 367 the Director, includinq, but not limited to, an appraisal of the unit 368 performed by a licensed Virqinia real estate appraiser and based on the 369 sales prices of comparable properties that have recently sold. Such 370 appraisal shall be subiect to the approval of the Director. In addition, the 371 owner or prospective lender shall be charqed a reasonable transaction fee 372 to cover the administrative expenses associated with processinq the 373 request; 374 375 (2) Repay the soft second mortqaqe loan until the unit is resold by the owner; 376 or 377 378 (3) Refinance such unit with a loan havinq a total loan-to-value ratio qreater 379 than the owner's proportional share of the initial purchase price. The loan- 380 to-value ratio is the ratio of the fair market value of the unit to the principal 381 amount of the refinancinq loan. 382 383 (b) The soft second deed of trust shall not be subordinated to any other 384 mortqaqe or encumbrance, except a valid purchase money first deed of trust recorded 385 aqainst the property. 386 387 Part 3. Rental of Workforce Housina. 388 389 Sec. 16-51. Eliaibility reauirements for renters of workforce housina units; 390 verification. 391 392 (a) In order to be deemed an eliqible to rent a workforce housinq unit, a 393 household shall meet the followinq criteria: 394 395 (1) At least one adult, non-dependent member of the household 396 occupyinq the unit shall, at the time of application to the Workforce 397 Housinq Proqram, live or work full-time in the City of Virqinia 398 Beach, or must have a bona fide offer of full-time employment 399 within the City of Virqinia Beach commencinq within three (3) 400 months of the time of application; 401 402 (2) No member of the household shall own or have a controllinq 403 interest in any other real property; 9 404 405 406 407 408 409 410 411 412 413 414 415 416 417 418 419 420 421 422 423 424 425 426 427 428 429 430 431 432 433 434 435 436 437 438 439 440 441 442 443 444 445 446 447 448 449 (3) The household's qross annual income shall. at the time of application. be between sixty per cent (60%) and ninety per cent (90%) of Area Median Income. adiusted for household size; and (4) The net worth of the household shall not exceed fifty per cent (50%) of the total of rent payments for a period of twelve (12) months. The followinq items shall not be included in determininq the net worth of a household: A. The present value of insurance policies. retirement plans. furniture or household qoods; and B. Anv income-producinq assets needed as a source of income to meet the minimum Qualifvinq requirements for eliqible renter status. (b) Before a household may enter into a rental aqreement for a workforce housinq unit. the property owner or manaqer of the unit shall verify that such household meets the foreqoinq eliqibilitv requirements. All property owners or manaqers of workforce housinq units for rent shall maintain a list of households it has screened and determined to be eliqible renters. (c) Property owners or manaqers shall also maintain documentation on each household currentlv occupvinq a workforce housinq unit for rent. At a minimum. such documentation shall include: (1) Verification of residency or work requirements for eliqibilitv purposes; (2) Composition of the household; and (3) Annual qross income for the household and each of the household members whose income is included in determininq eliqibilitv. (d) Property owners or manaqers shall ensure that all persons livinq in a workforce housinq rental unit are listed on the rental aqreement. It shall be a condition of the rental aqreement for any such unit that the City may inspect the records of the property owner or manaqer to ensure compliance with eliqibilitv requirements and may. at reasonable times. enter any workforce housinq rental unit to verify that it is occupied bv an eliqible renter. (e) Property owners or manaqers shall. upon renewal of a rental aqreement. but no less often than annuallv. verify that the occupants of a workforce housinq unit for rent continue to meet applicable eliqibilitv standards. 10 450 (f) If a property owner or manaqer determines that a household occuPvinq a 451 workforce housinq unit for rent no lonqer meets applicable eliqibilitv requirements. such 452 property owner or manaqer shall: 453 454 (1) Require the household to vacate the unit upon the expiration of the 455 current rental aqreement; or 456 457 (2) Allow the household to continue to occupy the unit upon expiration 458 of the current rental aqreement at the market-based rental price 459 and make the next comparable market-based rental unit available 460 to an eliqible renter at a rental price deemed affordable under the 461 standards prescribed in this Article. 462 463 The household shall be removed from the list of eliqible renters and shall not 464 thereafter be eliqible to rent a workforce housinq unit for such period of time as 465 applicable the household meets applicable eliqibilitv requirements. 466 467 Sec. 16-52. Rental property compliance agreement. 468 469 (a) A property owner desirinq to rent property under the Workforce Housinq 470 Proqram shall enter into a compliance aqreement with the City. The terms of such 471 aqreement shall be prescribed bv the City and shall set forth the terms and conditions of 472 the owner's participation in the Workforce Housinq Proqram. includinq. but not limited 473 to. occupancy and rent requirements. includinq maximum rents. means of preservinq 474 the lonq-term affordabilitv of workforce housinq rental units. and such other terms and 475 conditions as are, in the iudqment of the Director. reasonable and necessary to ensure 476 compliance with applicable provisions of this Article and the qoals of the Workforce 477 Housinq Proqram. All workforce housinq rental units shall be rented in conformity with 478 the income and rent limitations specified in the compliance aqreement for a period of 479 not less than fifty (50) years. 480 481 (b) Property owners or manaqers shall. upon request of the Director. provide 482 a copv of their most current tenant selection policv or criteria. 483 484 (c) Anv material failure to complv with the terms of an compliance aqreement 485 shall subiect the owner to a liquidated damaqes penaltv in the amount of Fiftv Dollars 486 ($50.00) per unit for each day such noncompliance continues. unless the Director 487 waives such penaltv. in whole or in part. based upon his determination that the owner 488 has taken timelv corrective action to cure such noncompliance. liquidated damaqes 489 collected bv the City shall be deposited into the Second Mortqaqe Revolvinq Fund. 490 491 Sec. 16-53. Rental procedures. 492 493 (a) Workforce housinq units shall be rented onlv to households who meet the 494 eliqibilitv standards set forth in Section 16-51. 495 11 496 497 498 499 500 501 502 503 504 505 506 507 508 509 510 511 512 513 514 515 516 517 518 519 520 521 522 523 524 525 526 527 528 529 530 531 532 533 534 535 536 537 538 (b) A developer buildinq workforce housinq units for rental purposes shall notify the Director no later than forty-five (45) days prior to the units beinq ready for initialoccupancv. In the notification the developer shall supplv the followinq information: (1) The name of the development and its location; (2) Number of units bv type of unit; (3) The size of units in square feet; (4) The number of bedrooms and bathrooms in each unit; (5) The market rental rates of each unit: (6) The actual rates at which such units will be rented as workforce housinq units; and (7) Contact information for interested households. In addition, the owner or manaqer of a workforce housinq rental unit shall notify the Director within three (3) workinq days of such unit becominq available for rent. The City shall maintain on its web site a comprehensive listinq of all properties with available workforce housinq units for rent. (c) Anv household desirinq to rent a workforce housinq rental unit shall submit to the property manaqer or manaqer an application for determination of its eliqibilitv to rent a workforce housinq unit. Such application shall contain such information concerninq the residency, emplovment, qross income and net worth for each member of the household as may be necessary to determine the eliqibilitv of such household. The property owner or his desiqnee shall determine the eliqibilitv of the household and shall promptlv notify the Director of its determination. (d) A household that meets all of the eliqibilitv requirements set forth in Section 16-51 shall be deemed an eliqible renter and shall be placed on a waitinq list for a workforce housinq rental unit at the development at which the household has made application for a rental unit. At such time as a workforce housinq rental unit becomes available at the development, the property owner or manaqer shall so notify the eliqible renters on its waitinq list, if any. The property owner or manaqer may review all tenant applications and make tenant selections based on any lawful tenant selection policv. (e) The City shall make available to the qeneral public information concerninq the location of workforce housinq rental units and such other information as may assist prospective renters in seekinq available workforce housinq rental units. 12 539 540 541 542 543 544 545 546 547 548 549 550 551 552 553 554 555 556 557 558 559 560 561 562 563 564 565 566 567 568 569 570 571 572 573 574 575 576 577 578 579 580 Part 4. Additional Provisions Sec. 16-54. Workforce Housina Advisory Board established; membership; duties. (a) Established. The Workforce Housinq Advisory Board is hereby established. (b) Term. There shall be ten (10) members of the Board, who shall be appointed bv the City Council for terms of four (4) years; provided, however, that the initial terms of two (2) members shall be one (1) year, the initial terms of three (3) members shall be two (2) years, and the initial terms of three (3) members shall be three (3) years. (c) Membership. Two (2) members, both of whom shall have extensive experience in practice in the City of Virqinia Beach, shall be either land planners or civil enqineers or architects licensed bv the Virqinia Board for Architects. Professional Enqineers. Land Surveyors, Certified Interior Desiqners and Landscape Architects; one (1) member shall be a real estate salesperson or broker licensed bv the Virqinia Real Estate Board; one (1) member shall be a representative of a lendinq institution that finances residential development in the City of Virqinia Beach; one (1) member shall be a member of the City Council; one (1) member shall be a builder with extensive experience in the construction of sinqle-familv detached and attached dwellinq units; one (1) member shall be builder with extensive experience in the construction of multiple-familv dwellinq units; one (1) member shall be a current emplovee of the Department of Public Works or Department of Planninq; one (1) member shall be a representative of a nonprofit housinq orqanization which provides services in the City of Virqinia Beach; and one (1) member shall be a citizen of the City. (d) Duties. It shall be the duty of the Board to: (1) Make recommendations to the City Council concerninq the sales and rental prices of workforce housinq units. Such prices shall be based on the Area Median Income, as defined in Section 16-44, and shall be adiusted semi-annuallv; (2) Advise the City Council on all aspects of the City's Workforce Housinq Proqram, includinq recommendations for modifications of the requirements of the Proqram; and (3) Report annuallv to the City Council on the production of workforce housinq units. participation in the Workforce Housinq Proqram, and achievement of Proqram qoals. 13 581 582 583 584 585 586 587 588 589 590 591 592 593 594 595 596 597 598 599 600 601 602 603 604 Sec. 16-55. Director and desianated aaent to establish written rules and auidelines; leaal instruments. (a) The Director and desiqnated aqent of the City shall establish written rules and quidelines supplementinq, and in conformity with, the provisions of this Article. Such rules and quidelines shall provide for, amonq other thinqs, allocation of responsibilities, sharinq of information, coordination of activities and procedural protocols for administerinq the Workforce Housinq Proqram. Such rules and quidelines shall be subiect to the approval of the City Council. (b) Any leqal instrument used in connection with the purchase, sale or rental of a workforce housinq unit shall contain adequate provisions to ensure the eliqible buyer's or eliqible renter's compliance with the applicable provisions of this Article. Such provisions shall be approved by the City Attorney. Sec. 16-56. Violations. (a) The followinq tables list certain violations of the Workforce Housinq ("WFH") Proqram requirements and the penalties for their violation. Where more than one penalty is prescribed, they shall be deemed cumulative. such that any or all applicable penalties may be imposed: Table 1 (sale/ownership of workforce housina units): Proaram Violation Penalties Falsification of eligibility requirements Permanent ineliqibility for the WFH Proqram. Must sell WFH unit to the City. Immediate payment of the City's share of net appreciation on the WFH unit at resale. Immediate repayment of the soft second mortqaqe. Failure to occupy WFH unit as primary Immediately reoccupy WFH Unit. residence If unable to reoccupy unit, the following penalties apply: 1. Permanent ineligibility for the WFH Program. 2. Owner must sell WFH Unit to the City. 3. Immediate payment of the City's share of net appreciation on the WFH unit at resale. 4. Immediate repayment of the soft second mortgage. Failure to comply with all City Immediate correction of code violation. regulations for property maintenance If unable to correct code violations in prescribed time period, the following penalties apply: 1. Permanent loss of eligibility for the WFH Program. 2. Must sell WFH unit to the City. 14 Failure to comply with refinancing and home equity loan requirements of WFH Program Failure to offer the City first right to purchase when desiring to sell WFH unit End-user enters into a lease-to- purchase agreement for the WFH unit 3. Immediate payment of the City's share of net appreciation on the WFH unit at resale. 4. Immediate repayment of soft second mort a e. Permanent ineli ibilit for the WFH Pro ram. Owner must sell WFH unit to the Cit . Immediate payment of the City's share of net appreciation on the WFH unit at resale. Immediate repa ment of soft second mort a e. Immediate payment of the City's share of net a reciation on the WFH unit at resale. Immediate re a ment of soft second mort a e. Further legal action as deemed appropriate by the Cit . Owner must sell WFH unit to the Cit . Immediate payment of the City's share of net a reciation on the WFH unit at resale. Immediate repa ment of soft second mort a e. 605 606 Table 2 (rentals of workforce housina units): 607 Program Violation Penalties Falsification of eligibility requirements Permanent loss of eligibility for the WFH such as income, residency, employment Proqram. or persons who will be occupying the Must move from the units within 60 days from unit, etc. date of written notice of being in violation of proqram Must pay market rate rent on the unit until the unit is vacated Failure to occupy WFH Unit as primary Immediately reoccupy WFH Unit. residence If unable to reoccupy unit, the following penalties apply: 1. Permanent loss of eligibility for the WFH Proaram. 2. Must move from the unit within 60 days. 3. Required to pay market rate rent on unit after receiving notice of violation until unit is vacated Failure to list all persons living in the 1. Permanent loss of eligibility for the WFH household on lease; allowing person or Proqram. persons not listed on lease to move in after lease is signed 2. Must move from the WFH Unit. 3.Required to pay market rate rent until household is in compliance or moves from the unit. 4. Unauthorized persons must immediately move from WFH unit. 608 15 609 (b) In the event the Director determines that there is reasonable cause to 610 believe that a violation has occurred, he shall so notify the eliqible buyer or eliqible 611 renter who has alleqedly committed the violation. Such notice shall be by certified mail 612 to the last know address of the eliqible buyer or eliqible renter and shall specify the 613 nature of the alleqed violation and the facts supportinq the Director's determination. 614 The eliqible buyer or renter shall have ten (10) days from the date of mailinq of the 615 notice in which to request a hearinq before the City Manaqer or his desiqnee, who shall 616 not be the Director. 617 618 (c) The City Manaqer or his desiqnee shall hold the hearinq on the earliest 619 practicable date but in no event later than fifteen (15) days from the date the request for 620 a hearinq is received. Both the Director and the alleqed violator shall be entitled to 621 present witnesses and other evidence in his or her behalf. 622 623 (d) The City Manaqer or his desiqnee shall issue a written decision within five 624 (5) workinq days of the hearinq, and shall mail such decision to the eliqible buyer or 625 eliqible renter by certified mail no later then the followinq workinq day. Such decision 626 shall contain a findinq that the eliqible buyer or eliqible renter has committed the alleqed 627 violations, or any of them, or that no violations have been committed. In the event he 628 finds that one of more of the alleqed violations have been committed by the eliqible 629 buyer or eliqible renter, the penalty or penalties prescribed in the chart in subsection (a) 630 shall apply. 631 632 (e) An adverse decision may be appealed to the Circuit Court by an eliqible 633 buyer or eliqible renter within fifteen (15) days of the date of the decision. No such 634 appeal shall stay the imposition of any penalty except by order of the Circuit Court in an 635 appropriate case. 636 637 Sec. 16-57. Application, etc. fees. 638 639 The City shall charqe a reasonable application fee and such other ordinary and 640 customary fees in the real estate industry as are reasonable and necessary to cover the 641 costs of the service for which the fee is charqed. The amount of such fees shall be 642 determined by the City Council upon recommendation of the Workforce Housinq 643 Advisory Board. 644 645 Sec. 16-58. Severability. 646 647 The provisions of this Article are severable, and in the event one or more such 648 provisions are determined invalid or unenforceable by a court of competent iurisdiction, 649 the remaininq provisions of this Article shall be unaffected by such determination and 650 shall continue in full force and effect. Adopted by the Council of the City of Virginia Beach, Virginia, on the 28th day of August, 2007. 16 1 AN ORDINANCE TO AMEND THE 2 COMPREHENSIVE PLAN BY THE INCLUSION 3 OF AMENDMENTS PERTAINING TO 4 WORKFORCE HOUSING 5 6 WHEREAS, on June 13, 2007, the Planning Commission held a public hearing 7 concerning the amendment of the Comprehensive Plan (the "Plan") to include provisions 8 pertaining to workforce housing, as set forth in the attached Exhibit 1, and at the 9 conclusion of such public hearing, recommended that the Plan be so amended, and 10 11 WHEREAS, the public necessity, convenience, general welfare and good zoning 12 practice so require; 13 14 NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF 15 VIRGINIA BEACH, VIRGINIA: 16 17 That the Comprehensive Plan of the City of Virginia Beach be, and hereby is, 18 amended and reordained to incorporate the amendments set forth in the attached Exhibit 19 1. 20 21 Adopted by the Council of the City of Virginia Beach on this 28th day of August, 22 2007. 1 AN ORDINANCE TO AMEND THE CITY ZONING 2 ORDINANCE BY AMENDING SECTION 102, ESTABLISHING 3 THE WORKFORCE HOUSING OVERLAY DISTRICT; 4 AMENDING SECTION 900, PERTAINING TO THE 5 LEGISLATIVE INTENT OF THE B-4 MIXED USE DISTRICT, 6 THE B-4C CENTRAL BUSINESS MIXED USE DISTRICT AND 7 THE B-4K HISTORIC KEMPSVILLE AREA MIXED USE 8 DISTRICT; AND BY ADDING A NEW ARTICLE 21, 9 CONSISTING OF SECTIONS 2100 THROUGH 2106, 10 PERTAINING TO DEFINITIONS, APPLICABILITY, 11 PERMITTED USES, DENSITY BONUSES, PLAN 12 REQUIREMENTS AND REQUIRED FEATURES OF 13 DEVELOPMENT IN WORKFORCE HOUSING OVERLAY 14 DISTRICTS 15 16 Sections Amended: City Zoning Ordinance Section 102 and 17 900 18 19 Sections Added: City Zoning Ordinance Sections 2100 - 2106 20 21 WHEREAS, the public necessity, convenience, general welfare and good zoning 22 practice so require; 23 24 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 25 VIRGINIA BEACH, VIRGINIA: 26 27 That Section 102 of the City Zoning Ordinance is hereby amended by 28 establishing the Workforce Housing Overlay District, and a new Article 21, consisting of 29 Sections 2100-2106, is hereby added, pertaining to definitions, applicability, permitted 30 uses, density bonuses, plan requirements and required features of development in 31 Workforce Housing Overlay Districts, which shall read as follows: 32 33 Sec. 102. Establishment of districts and official zoning maps. 34 35 36 37 (a4) There is hereby established the Workforce Housinq Overlav District. Such 38 district shall be desiqnated on the official zoninq map bv the notation "(WF)" followinq 39 the desiqnation of the underlvinq zoninq district. As an illustration. property in the B-4 40 Mixed Use District and in the Workforce Housinq Overlav District shall be desiqnated on 41 the official zoninq map as havinq the classification "B-4(WF)." The Workforce HousinQ 42 Overlav District shall be limited to property located within those areas of the City 1 43 desiqnated in Section 2103 of this ordinance that has been rezoned to incorporate the 44 Workforce Housinq Overlay District as an overlay to the underlyinq zoninq classification 45 of the property. 46 47 48 49 Sec. 900. Legislative intent [Business Districts]. 50 51 The purpose of the B-1 Neighborhood Business District is to provide areas where 52 a limited range of business establishments can be located near or adjacent to 53 residential development without adversely impacting the adjacent residential area. The 54 purpose of the B-1A Limited Community Business District is to provide areas where 55 limited commercial development can be dispersed to support the needs of nearby 56 residential neighborhoods. The purpose of the B-2 Community Business District is to 57 provide land needed for community-wide business establishments. This district is 58 intended for general application in the city. It is intended that, by the creation of this 59 district, business uses will be geographically concentrated. The purpose of the B-3 60 Central Business District is to set apart that portion of the city which forms the 61 metropolitan center for financial, commercial, professional and cultural activities, 62 including business, professional and cultural development in a manner that 63 complements the B-3A Pembroke Central Business Core District and the policies 64 identified in the City of Virginia Beach Comprehensive Plan. It is intended that any uses 65 likely to create friction with these proposed types of activities will be discouraged. This 66 district is not intended for general application throughout the city. The purpose of the B- 67 3A Pembroke Central Business Core District is to optimize development potential for a 68 mixed-use, pedestrian-oriented, urban activity center with mid- to high-rise structures 69 that contain numerous types of uses, including business, retail, residential, cultural, 70 educational and other public and private uses. The B-3A district is intended to comprise 71 publicly accessible community open space areas, generally reflective of the concepts 72 identified in the city's Comprehensive Plan and the Pembroke Central Business District 73 Master Plan. Requests for rezonings to the B-3A Pembroke Central Business Core 74 District shall be limited within the area bound by Independence Boulevard, Jeanne 75 Street, Constitution Drive and the Norfolk-Southern Railroad right-of-way. As to those 76 buildings and structures rendered nonconforming by a rezoning to B-3A, it is the intent 77 of the City Council to encourage their appropriate expansion or renovation by resolution, 78 as set forth in section 105, in order to effectuate the intent of this section. This district is 79 not intended for general application throughout the city. The purpose of the B-4 Mixed 80 Use District is to provide for retail and commercial service facilities and residential uses.!. 81 includinq hiqh-Quality workforce housinq in appropriate areas within the district, 82 includinq Strateqic Growth Areas. in those areas of the city where a mixture of such 83 uses is desirable and recommended by the policies of the Comprehensive Plan. The 84 purpose of the B-4C Central Business Mixed Use District is to provide an area that 85 complements the B-3A Pembroke Central Business Core District through quality mixed 86 use development at intensities and patterns that support multiple modes of 87 transportation, higher residential densities, includinq hiqh-Quality workforce housinq in 2 88 appropriate areas within the district. and an integrated mix of residential and non- 89 residential uses within the same building or on the same lot. Requests for rezonings to 90 the B-4C Central Business Mixed Use District shall be limited to the area surrounding 91 the B-3A Pembroke Central Business Core District and generally bounded by Thalia 92 Creek on the east, Interstate 264 on the south, Aragona Boulevard on the west, and 93 Jeanne Street and Broad Street on the north. Development within the B-4C Central 94 Business Mixed Use District should adhere to the Comprehensive Plan's Mixed Use 95 Development Guidelines. The purpose of the B-4K Historic Kempsville Area Mixed Use 96 District is to provide an area that complements the adjoining residential neighborhoods 97 through quality mixed use development at intensities and patterns that support multiple 98 modes of transportation, higher residential densities, including high-Quality workforce 99 housing in appropriate areas within the district. including Strategic Growth Areas. and 100 an integrated mix of residential and non-residential uses within the same building or on 101 the same lot. Rezonings to the B-4K Historic Kempsville Area Mixed Use District shall 102 be limited to property within the area generally bounded by Kempsville Heights and 103 Kempsville Lake to the north, Cedar Run Canal to the south, Kempsville Gardens and 104 Kempsville Manor to the east, and Eastern Branch of the Elizabeth River to the west. 105 Development within the B-4K Historic Kempsville Area Mixed Use District shall conform 106 to the Comprehensive Plan's Mixed Use Development Guidelines and the Historic 107 Kempsville Area Master Plan or, in the event of a conflict, shall conform to the Historic 108 Kempsville Area Master Plan. 109 110 111 ARTICLE 21. WORKFORCE HOUSING 112 113 Sec. 2100. Purpose and intent. 114 115 The purpose and intent of this Article is to encourage the development of high- 116 Quality housing that is: (1) affordable by households with annual incomes of between 117 80% and 120% of Area Median Income (AMI); or (2). for rental purposes. by households 118 with annual incomes of between 60% and 90% of AMI. adiusted for family size, who live 119 or work in Virginia Beach;. Because such households generally. although not uniformly, 120 consist of one or two workinq members. such housinq is termed "workforce housinq." In 121 order to accomplish that goal. this Article establishes incentives for the construction of 122 workforce housing in areas of the City. including Strategic Growth Areas. in which the 123 Comprehensive Plan recognizes increased density to be appropriate. Equally 124 importantly, this Article also ensures that workforce housing will be well-designed, of 125 high quality, and well-integrated into the overall development of which it is a component. 126 127 128 Sec. 2101. Findings. 129 130 The City Council hereby finds that: 131 3 132 (a) Housinq prices have risen much faster than incomes durinq the past few 133 years, thereby eliminatinq, for many people, the option of purchasinq a home, and for 134 others. the option of rentinq without causinq an undue financial burden; 135 136 (b) The most effective approach to preservinq the qualitv of the City's housinq 137 and neiqhborhoods is to maintain and improve upon their diversity. This diversity 138 includes the type. value and desiqn of housinq and neiqhborhoods. which in turn. helps 139 the City meet its qoals for a qualitv phvsical environment, familv and youth opportunities 140 and economic vitalitv. In addition. people from a variety of cultures, backqrounds. aqes. 141 races and capabilities will have qreater opportunities to find and retain safe. decent and 142 affordable housinq; 143 144 (c) The planninq and creation of mixed-income and mixed-use developments 145 will advance the City's qoal of providinq diverse. hiqh-qualitv and affordable housinq in 146 desirable neiqhborhoods. Allowinq a qreater mix of incomes within neiqhborhoods 147 increases the affordabilitv of housinq and reduces the isolation of income qroups. 148 Further. mixed-use developments are beneficial in the lonq run because they broaden 149 housinq opportunities, increase residents' access to nearby emplovment and provide a 150 better land use arranqement to accommodate alternative. cost-effective transportation 151 systems. 152 153 (d) Without an adequate supplv of workforce housinq. emplovees of local 154 businesses would be forced to live in places that are distant from the workplace. thereby 155 causinq financial and social stress upon the families of such emplovees. In addition. an 156 inadequate supplv of workforce housinq would discouraqe prospective businesses from 157 locatinq in Virqinia Beach; and 158 159 (e) Workforce housinq is not housinq of inferior qualitv or desiqn. nor will it 160 adverselv affect the value of homes in the vicinity. As required bv the provisions of this 161 Article. the exterior of workforce housinq units will be essentiallv indistinquishable from 162 non-workforce housinq units of the same housinq type. and the overall qualitv of 163 construction of the interior of workforce housinq units will be comparable to that of non- 164 workforce housinq units. Workforce housinq units within mixed-use developments. will 165 be subiect to applicable desiqn standards set forth in the Comprehensive Plan. In 166 addition, workforce housinq units will be inteqrated into the residential component of a 167 mixed-use development. rather than beinq located in discrete areas within that 168 component. 169 170 171 Sec. 2102. Definitions. 172 173 As used in this article. the followinq terms shall be defined as follows: 174 175 (a) Affordable. Housinq is considered affordable bv a purchaser if no more 176 than approximatelv 30% of the qross household income of the purchaser is spent on 4 177 direct housinQ costs. which include mortQaQe principal. interest. taxes and insurance. 178 but not homeowners' association dues. condo fees. utilities or other related housinQ 179 costs. 180 181 (b) Affordability Level Statement. A statement of the number of workforce 182 housinQ units that are affordable to Qualified buyers at 80%. 90%. 100%. 110% and 183 120% of Area Median Income. respectively or to Qualified renters at 60%. 70%. 80% 184 and 90% of Area Median Income. 185 186 (b) Area Median Income (AMI) - The household income that one-half of the 187 household incomes in a specific area are below and one-half are above. References in 188 this Article to Area Median Income shall be to the Area Median Income for the VirQinia 189 Beach-Norfolk-Newport News. VirQinia Metropolitan Statistical Area (MSA). which is 190 published annually by the U.S. Department of HousinQ and Urban Development (HUD) 191 and is adiusted for household size. 192 193 (c) Bonus Density - An increase in the maximum allowable dwellinQ unit 194 density on a property attributable to the provision of workforce housinQ on that property. 195 196 (d) Qualified Buyer - A person whose Workforce HousinQ application has 197 been approved and who meets the home ownership requirements of the Workforce 198 HousinQ ProQram. These requirements center on Qross annual income. financial 199 assets, and location where one works and lives. To purchase a Workforce HousinQ 200 Unit. annual Qross income must Qenerally be between 80% and 120% of Area Median 201 Income. 202 203 (e) Qualified Renter - A person whose Workforce HousinQ application has 204 been approved and who meets the rental requirements of the Workforce HousinQ 205 ProQram. These requirements center on Qross annual income. financial assets. and 206 location where one works and lives. To rent a Workforce HousinQ Unit. annual Qross 207 income must Qenerally be between 60% and 90% of Area Median Income. 208 209 (f) Strateaic Growth Area (SGA) - Areas of the City that are desiQnated in the 210 Comprehensive Plan to absorb most of City's future Qrowth. both residential and non- 211 residential. These areas. which are planned for more intensive uses than most other 212 areas of the City. are characterized by the inteQration. not separation. of diverse but 213 compatible uses includinQ. where appropriate. residential uses. 214 215 (a) Workforce Housina (WFH) - HousinQ that is Qenerally affordable to 216 households with workinQ members who live or will be IivinQ in the City of VirQinia Beach. 217 For home ownership. it is housinQ that is priced to be affordable to households with 218 annual incomes between 80% and 120% of AMI. For rentals, it is housinQ that is priced 219 to be affordable to households with annual incomes between 60% and 80% of AMI 220 5 221 (h) Workforce Housinq Discount - The difference in sales price between a 222 market rate unit and an equivalent Workforce Housinq Unit. This amount is calculated 223 to be the reduction in sales price necessary to make a Workforce Housinq Unit 224 affordable to a household at a tarqeted income level. 225 226 (0 Workforce Housinq Unit (WFH Unit) - A dwellinq unit that is reserved for 227 sale or rent bv a Qualified Buver or Qualified Renter. as the case may be. at a price 228 incorporatinq the workforce housinq discount. Workforce housinq units are constructed 229 as a result of the bonus density provisions that allow the construction of a qreater 230 number of dwellinq units on a specific parcel of land than is otherwise allowed in 231 exchanqe for the provision of workforce housinq on the parcel. 232 233 234 Sec. 2103. Areas of applicabilitv. 235 236 The Workforce Housinq Overlav District shall be limited to property in areas of 237 the City in which increased density of residential development is consistent with the 238 Comprehensive Plan. includinq Strateqic Growth Areas; provided. however. that no 239 property within any Accident Potential Zone or Noise Zone of 65-70 dB DNL or qreater 240 or any property in the R-10 throuqh R-40 Residential Districts shall be included within 241 the District. 242 243 244 Sec. 2104. Allowed uses. 245 246 (a) All development within the Workforce Housinq Overlav District. includinq, 247 but not limited to. uses. site lavout. buildinq desiqn, open space, parkinq and other 248 improvements shall conform to the land use plan approved bv the City Council in 249 accordance with the provisions of this Article. The approved land use plan shall 250 supersede any conflictinq provisions of the underlvinq zoninq district. but shall conform 251 to all requirements of the Subdivision Ordinance except those for which a variance has 252 been qranted. 253 254 (b) Within the Workforce Housinq Overlav District. uses shall be allowed in 255 accordance with the use requlations of the underlvinq zoninq district; provided. 256 however, that where the underlvinq zoninq district is residential, sinqle-familv, duplex, 257 semi-detached. attached and multiple-familv dwellinqs shall be allowed notwithstandinq 258 any contrary provision of the requlations of the underlvinq zoninq district. 259 260 261 Sec. 2105. Applications; Workforce Housing Overlay District land use plan. 262 263 (a) In addition to any other information qenerallv required for rezoninq 264 applications. applications for the Workforce Housinq Overlav District shall contain the 265 followinq information: 266 6 267 (1 ) 268 269 270 (2) 271 272 273 (3) 274 275 276 (4) 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 297 298 299 300 301 302 303 304 305 306 307 308 309 310 311 A survey of existinq site conditions. includinq trees. contours. floodway. flood frinqe. waters. wetlands and other natural features; A narrative statement of planninq obiectives for the proposed development; A construction schedule. includinq a schedule of construction of workforce housinq units; A detailed land use plan. which shall. at a minimum. consist of: A. Architectural elevations for proposed structures. includinq buildinq materials and colors; B. A qenerallandscape plan and tree preservation plan; c. A detailed description of the differences in size. interior layout and construction materials between workforce housinq units and other dwellinq units of the same type; D. An Affordability Level Statement; E. The total area to be included in the Workforce Housinq Overlay District as part of the application; F. The location of residential uses and total number and type of proposed dwellinq units. includinq the location. number and type of workforce housinq units; G. Types of nonresidential uses proposed. if any. includinq the area and qross floor area proposed for such nonresidential development; H. Gross floor area of all structures; I. Location of all buildinqs. streets. alleys and pedestrian walkways; J. Requlations qoverninq heiqht, setbacks. floor area ratio. lot coveraqe. impervious surface. accessory structures (sheds. swimminq pools. etc.). siqns and fences; K. Number and location of parkinq spaces. includinq parkinq structures; 7 312 313 314 315 316 317 318 319 320 321 322 323 324 325 326 327 328 329 330 331 332 333 334 335 336 337 338 339 340 341 342 343 344 345 346 347 348 349 350 351 352 353 354 355 L. Proposed improvements to adiacent public streets; M. Open space and recreation areas, includinq areas inside buildinqs; N. Green development features, such as porous pavinq or pavers, native plant landscapinq, reduced street lenqths, reduced pavement width, bio-retention islands, shared parkinq, veqetated swales in lieu of curb and qutter or other features of development intended to enhance environmental Quality. (b) No substantial modifications of the approved land use plan shall be allowed except pursuant to an amendment to such plan approved by the City Council in accordance with the procedures set forth in Section 107 of this ordinance. For purposes of this section a "substantial modification" shall include any chanqes to the approved land use plan that. in the iudqment of the Planninq Director, are not clearly in keepinq with the intent of the City Council in approvinq the plan. The term shall also include any modifications of the number, location, desiqn or affordability level of workforce housinq units. Sec. 2106. Bonus density; workforce housinQ unit reQuirements. The dwellinq unit density in the Workforce Housinq Overlay District may be increased by a maximum of thirty per cent (30%) over the density allowed in the underlyinq zoninq district if all of the followinq conditions are met: (a) Not less than seventeen per cent (17%) of the total number of dwellinq units are workforce housinq units. In the event the maximum allowable density is not increased by thirty (30) per cent. the percentaqe of workforce housinq units required shall maintain the same ratio of thirty (30) per cent to seventeen (17) per cent; (b) Workforce housinq units shall be inteqrated into the development to the same extent as other dwellinq units and shall not be clustered in discrete locations separate from other dwellinq units; (c) The construction of workforce housinq units shall reasonably coincide with that of other units; (d) Workforce housinq shall conform to the Workforce Housinq Desiqn Criteria and any other applicable desiqn standards in the Comprehensive Plan, includinq, but not limited to, the followinq standards: 8 356 357 358 359 360 361 362 363 364 365 366 367 368 369 370 (1) The exterior of workforce housinq units shall have the same buildinq materials and finish. and be effectively indistinquishable from. non-workforce housinq units of the same housinq type; (2) Workforce housinq units shall be comparable in bedroom mix. desiqn. and overall quality of construction to the market rate units in the development. except that workforce housinq units shall not be required to exceed three (3) bedrooms per unit; and (3) The square footaqe and interior features of workforce housinq units shall not be required to be the same as other dwellinq units in the development units. so lonq as they are reasonably similar in size and quality and are consistent with the current buildinq standards for new housinq in the City of Virqinia Beach. Adopted by the Council of the City of Virginia Beach, Virginia, on the 28th day of August, 2007. 9 - 48- Item V-M..l. APPOINTMENTS ITEM #56778 BY CONSENSUS, City Council RESCHEDULED the/ollowing APPOINTMENTS: HUMAN RIGHTS COMMISSION MINORITY BUSINESS COUNCIL VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION WORKFORCE HOUSING ADVISORY BOARD August 28, 2007 - 49- Item V- P. ADJOURNMENT ITEM # 56779 Mayor Meyera E. Oberndorf DECLARED the City Council Meeting ADJOURNED at 12:14 A.M, Wednesday, August 29, 2007. ~___,~~LE~'dd Beverly 0. Hooks, CMC Chief Deputy City Clerk uth Hodges Fraser, MMC City Clerk Meyera E. Oberndorf Mayor City of Virginia Beach Virginia August 28, 2007