JUNE 5, 2012 WORKSHOP MINUTESCITY OF VIRGINIA BEACH
"COMMUNITY FOR A LIFETIME"
CITY COUNCIL
MAYOR WlLLIAMD. SESSOMS, JR., At-Lm•ge
VICE MAYOR LOUIS R. JONES, Bavside - District 4
GLENN R. DAV/S, Rose Hn[l - District 3
WILLIAM R. DeSTEPH, At-Lm-ge
HARRY E. D/EZEL, Kenipsville - District 2
ROBERT M. DYER, Centerville - District 1
BARBARA M. HENLEY, H'incess Airne - District 7
JOHN D. MOSS, At-Lm•ge
JOHN E. UHRlN, BencG - District 6
ROSEMARY WILSON, At-Large
JAMES L. WOOD, Lvauihnven -District 5
CITY COUNCIL APPOINTEES
C/TY MANAGER - JAMES K. SPORE
CITYATTORNEY- MARKD. STILES
CITYASSESSOR - JERALD D. BANAGAN
CITYAUDITOR - LYNDON S. REMlAS
CITY CLERK - RUTH HODGES FRASER, MMC
CITY COUNCIL WORKSHOP AGENDA
OS JUNE 2012
1. CITY COUNCIL BRIEFING - Conference Room -
A. SHARED SERVICES PROJECT
Dana Dickens, President - Hampton Roads Partnership
II. CITY MANAGER'S BRIEFING
CITYHALL BU/LD.
2401 COURTHOUSE DFi
VlRGINlA BEACH, VIRGINIA 234564
PHONE: (757) 385-s
FAX (757) 385-_'
E-MAIL: crycncl@vbgov.
4:00 PM
A. URANIUM MINING IMPACT STUDY
Tom Leahy, Director - Public Utilities
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June S, 2012
Mayor William D. Sessoms, Jr., called to order the CITY COUNCIL'S WORKSHOP in the City Council
Conference Room, Tuesday, June S, 2012, at 4: 00 P.M.
Council Members Present.•
Glenn R. Davis, William R.
Dyer, Barbara M. Henley,
Mayor William D
James L. Wood
Council Members Absent:
None
VIRGINIA BEACH CITY COUNCIL
Virginia Beach, Virginia
Sessoms,
"Bill " DeSteph, Harry E. Diezel, Robert M.
Vice Mayor Louis R. Jones, John D. Moss,
Jr., John E. Uhrin, Rosemary Wilson and
June 5, 2012
-z-
MAYOR SESSOMS STATEMENT
PATRIOTIC FESTIVAL
4: 00 P.M.
Mayor Sessoms advised this past weekend the City hosted the Patriotic Festival and the Blue Angels also
performed. It was a wonderful weekend for the City. Staff did a suburb job moving people and the FAA
Employee working with the Blue Angels advised Mayor Sessoms he had never worked with a Police
Department anywhere across the country as good as Virginia Beach. It was a great weekend for local
businesses. Admiral Harvey attended on Sunday and was so excited by what he saw he has asked that the
Blue Angels make this a yearly event. The Citizens and the Military are tied at the hip and it is nice to see
support for each other.
June 5, 2012
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CITY MANA GER'S BRIEFING
URANIUMMINING IMPACT STUDY
4: 03 P.M.
Mayor Sessoms welcomed Tom Leahy, Director - Public Utilities. Mr. Leahy expressed his appreciation
to City Council for the opportuniry to provide this update to the Uranium Mining Impact Study, which is
made a part of this record. Mr. Leahy advised the City has interest due to the Communities and Water
intakes downstream of the proposed Uranium Mine and former mining leases in the Roanoke River Basin.
A pipeline supplies drinking water from Lake Gaston to Virginia Beach, Chesapeake, Norfolk and
Hampton Roads. The process has changed substantially since Phase I, reducing the cubic yards mined,
but a higher concentration of uranium. Less than half of the tailing would be returned to the mine shaft,
as they are now proposing deep shaft mining versus the earlier open pit mining. It is important to note,
Virginia Uranium is not bound by any plan, statement or intentions made, as the future is unknown.
3-'/z years ago, City Council passed a Resolution opposing Uranium Mining, unless it could be
demonstrated to a reasonable degree of certainty that no significant release of radioactive sediments
would move downstream. Four studies have been used to educate people about this project: two (2)
economic studies, the National Academies of Sciences (NAS) Study, and Virginia Beach/Michael Baker
Engineers Study.
The two economic studies had different basis on approach but similar conclusions. Summing-up both
economic studies, approximately 1, 000 jobs created with $I50-Million of economic impact in and around
the region for 20 to 35 years. However, there would be moderate and measurable air, water and soil
contamination and impacts close to the facility. Also, with one large or several small accidents/spills, it
would significantly reverse the economic impact, even if no serious harm to people or environment
occurred.
The NAS Study confirmed significant impacts, long-term environmental impacts considering Virginia's
extreme natural events. The study advised a rigorous and sustainable program for the mining, milling
and disposing of the tailings. Also, we were advised the company must have a culture and philosophy
embedded in the program to remain in compliance with regulations. The study also identified Virginia
has no experience with uranium mining and the Nuclear Regulation Commission has no experience in
uranium mining in the type of climate of Virginia.
Virginia Beach/Michael Baker Study is a computer simulation of downstream water quality impacts from
a theoretical catastrophic breach of a, single, above grade, uranium mine tailings disposal cell. The only
valid question raised is the above-grade vs below-grade tailings disposal argument. The threat to surface
June S, 2012
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CITY MANA GER'S BRIEFING
URANIUMMINING IMPACT STUDY
(Continued)
water will be dramatically reduced if the tailings are stored below grade. The model does not simulate
how or why a disposal cell might fail; however, the worst case scenario would be for a single, above
grade cell failure on the Banister River. The event is unlikely and one that technology and regulations
should prevent. However, technology and regulators are not perfect and examples are provided in the
attached Briefing. The Study's Model assumes the release of a little less than 3/ of a million cubic yards
of tailings would be released from a catastrophic breach of an above-grade tailings disposal cell. The
results showed 10-20% of radioactivity remains in the water and flows downstream, thru Kerr and Lake
Gaston. 80-90% settles in the river and reservoir beds, mostly in the Banister River. Radioactivity in the
sediments is a far more significant and longeY-term environmental problem than in the water column.
Virginia Beach would shut off the intake.
The bottom line is the criteria in the Resolution adopted by the City Council in 2008 have not been met.
The recommendation is for the City to update and reaffirm its opposition to uranium mining in Virginia.
Mayor Sessoms expressed his appreciation to Mr. Leahy and all of those on this project for their work.
June S, 2012
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CITY COUNCIL'S BRIEFING
SHARED SERVICES PROJECT
4:59 P.M.
Mayor Sessoms introduced and welcomed Dana Dickens, President - Hampton Roads Partnership. Mr.
Dickens expressed his appreciation to City Council for the opportunity to provide this Briefing updating
the Hampton Roads Partnership Service Sharing Pilot Project, which is made a part of this Yecord. City
Manager Spore was instrumental in this Project. The goal of shared services is to reduce the cost of
service by sharing delivery, identify and foster oppoYtunities for improving services and establish basis
for futuYe sharing, well after the project is over. The guiding principle is anything that comes out of this
project must be of equal or greater service capability. Mr. Dickens introduced Jerry Newfarmer, who
will provide more details on this project. Mayor Sessoms welcomed Mr. NewfarmeY. Mr. Newfarmer expressed his appreciation to City Council
for their support of this project. This project is an extraordinary effort with three (3) cities working
together and is an example of wonderful leadership from the partnerships from the private sector and
elected/appointed officials that made this project possible. The project approach and work plan started
with 113 service options that was narrowed to 40 - SO potentials, and ended with thirteen (13)
recommendations to proceed with implementation. The project results and estimated annual operations
savings are included in the attached Briefing.
Some of the recommendations are very simple to implement while others will take some time. For
instance, building permit applications be the same for all three (3) cities. The implementation planning
analysis has not been conducted; however, Mr. Newfarmer feels the target deadline for implementation of
these projects should be approximately 18-24 months. The next step is to begin with implementation. All
three elected bodies will receive this same Briefing. The Steering Committee has agreed to oversee the
implementation of this project.
Mayor Sessoms expressed his appreciation to everyone that has worked diligently on this project.
June 5, 2012
Report on Shared Service Alternatives
Management
Partners
June 2012
• Project goals
¦ Reduce the cost of service by sharing delivery
¦ Identify and foster opportunities for improving services
¦ Establish basis for future sharing, well after project is over
• Key success factors
¦ Strong, well-structured leadership ¦ Balance sharing potential with individual city needs
¦ Identify specific services where cost of delivery can be
reduced
¦ Anticipate implementation throughout the work
¦ Emphasize quality control planning in implementation
Management
Partners 2
' Repetitive filtering cycles
All City Services • Scan City services for sharing opportunities
• Engage those responsible for service
delivery
113 Service Options • Conduct a series of screenings to identify
possible specific services
? • Analyze selected services
¦ Identify shared service approach
40-50 Potentials ¦ Estimate costs and benefits
• Assess implementation difficulty
d
•
Frequent review by City management an
13 Recommendations staff
• Steering Committee Leadership: review and
, feedback
Management
Partners
MGM.
Emergency Communications* $2,500,000 $2,700,000
Pot[eeTcaI?i?rt?,. . ? .
_ . .: .. .: .. _ ?2;!D44=??0.. ?,........ . , ';: . $?,.,"i5U.?:.
Fire Training $1,000,000 $1,200,000
Pcxl?C.SAeeial.U.6rts 3W?Q4T?{li?p;.::: 6.0
;
Elevator Inspection $350,000 $350,000
i4pp11G?t?t?rt5... , ,.;..,:., ;.s ,,; , ... . • . ...?.
,
K-K
. . ..: ;; : ?:
.:...: . .
Sign Shops $200,000 $260,000
Heacry€qu?prt?ent5harang ..... ..:. . ...
:: .. . ::.. ?iSf????: -Elil
Health Insurence 10% of total program costs 20% of total progrem costs
.,. . . :... .
Information Technology $100,000 $250,000
?uman SeTU?ces 3
luvenile Detention $100,000 $125,000
.#rttts__ . .. .. .. .:.::..... . :: ..... .;,::.. _ :- --...... p":. :,:.,.. _....;: . _ .:;_... !?'.::
Adult Detention -a -0-
_
Management ' Additional City meetings to be held on alternatives
Partners
R?uick Hits
• Sign Shops
• Elevator Repair
• Building Permit
Applications
Management
Partners
• Public Safety
Training
• PublicSafety
Units
• Heavy Equipment
• Purchasing
• Human Services
• Juvenile
Detention
• Emergency '
Communicatib s
• Health Insurence
• Information
7echnology
• Adult Detention
s
• Annual savings of $11.5 million to $15.1 million
• Some unknown cost increments due to:
¦ New capital requirements such as enlarging the planned Chesapeake
communications center
• Other operational costs, such as the external administration of public
safety training
• Additional potential savings include:
¦ Substantial cost savings in employee health care and extended
coordination of human services programs
¦ Reduced fire and police overtime costs
¦ Cost savings through reduced supplies and commodity pricing in a
joint purchasing consortium
• Reductions in long-term future capital costs
Management
Partners 6
• Report Results of Analysis Phase
• Briefings with City leadership
• Resolutions endorsing recommendations
• Direction to staff to proceed with implementation planning
• Briefings with leadership of corporate partners
• Implement the Project
• Consolidated implem@ntation plan
° R41es and schedulgs to be develaped for each component
• Going forward
¦ Steering Committee to oversee implementation
¦ City staffs to work with consulting staffs to develop detailed
implementation plans
• Engagement with other Hampton Roads Partners is encouraged as
appropriate
Management
Partners
7
Report on Shared Service Alternatives
lune 2012
Management
Partners
Jerry Newfarmer
jnewfarmer@managementpartners.com
513-861-5400
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ADD ON ITEM
5:41 P.M.
Coutzcilman Moss distributed the attached draft Resolution accelerating the delivery of the City
Manager's proposed Budget from March to January. He is hopeful this earlier date will allow City
Council adequate time to review and discuss the Budget. This will allow the Citizens ample opportunity
to provide feedback to ensure we are doing what is best for the Citizens.
June S, 2012
REQUESTED BY COUNCILMEMBER MOSS
1 A RESOLUTION DIRECTING THE CITY MANAGER
2 TO DELIVER HIS PROPOSED BUDGET ON THE
3 FOURTH TUESDAY IN JANUARY
4
5 WHEREAS, the current budget process would be improved if City Council
6 and the community had additional time to fully digest the issues and priorities that
7 are part of the City Manager's proposed budget; and
8
9 WHEREAS, the current budget process would be improved if City Council
10 had additional time to engage the citizens in a discussion about the proposed
11 budget; and
12
13 WHEREAS, the City Council understands that an earlier delivery date for
14 the proposed budget will require flexibility to allow for adjustments, including
15 changes necessitated by actions of the General Assembly, which will be in
16 session, and the consideration of updated economic indicators such as monthly
17 sales data; and
18
19 WHEREAS, notwithstanding the need to make adjustments such as those
20 noted above, a proposed budget delivered on the fourth Tuesday in January
21 would provide for a more robust and thorough budget process.
22
23 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE
24 CITY OF VIRGINIA BEACH, VIRGINIA:
25
26 That the City Manager is directed to present his proposed budget for fiscal
27 year 2014 on the fourth Tuesday in January.
Adopted by the Council of the City of Virginia Beach, Virginia, on the
day of , 2012.
APPROVED AS TO LEGAL SUFFICIENCY:
City Attorney's Office
CA-12280
R-1
May 11, 2012
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ADJOURNMENT
Mayor William D. Sessoms, Jr., DECLARED the City Council MeetingADJOURNED at 5:45 P.M.
I
. ?
Amanda Finley-Barnes, ? MC
Chief Deputy City Clerk
Ru Hodges Fraser, MMC
Ciry Clerk
June S, 2012