MARCH 19, 2019 FORMAL SESSION MINUTES 61:
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VIRGINIA BEACH CITY COUNCIL
Virginia Beach, Virginia
March 19, 2019
Mayor Robert M Dyer called to order the CITY COUNCIL'S BRIEFINGS in in the City Council
Conference Room, Tuesday, March 19, 2019, at 1:00 P.M
Council Members Present:
Jessica P.Abbott,Mayor Robert M.Dyer,Barbara M.Henley,Louis R.Jones,
Shannon DS Kane,John D.Moss,Aaron R. Rouse,Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
2
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
1:00P.M.
Mayor Dyer welcomed Jolilda Saunders, Administrative Services Manager—Planning and Kevin
Krigsvold, Regional Census Director— United States Census Burue 2020. Ms. Saunders expressed her
appreciation to City Council for their continued support and turned the presentation over to Mr.
Krigsvold:
Census 2020
Complete Count Committee
City Council Briefing
City of Virginia Beach, Virginia
Kevin Krigsvold, Raquel Cepeda, Colin Louis
Partnership Specialists
March 19, 2019
United States- us.o.a.s.saca+..a.
Bureau
Census
Here is the purpose of the 2020 Census:
2020 Census
✓U.S. Constitutional Mandate,Article 1, Section 2
✓Apportion seats in the U.S. House of Representatives
✓Conduct redistricting at the federal,state,and local levels
✓Distribute over$675 billion federal dollars to state and local
governments
✓Provide statistical support for grant applications
✓Help community plan for future needs
United States " " '°
Census
March 19, 2019
3
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
Here is 2020 Census Goals—50 Ways Census Data Are Used:
2020 Census Goals- 50 Ways Census Data Are Used
•DereloraIng•Intell.re maps for government end business
•Decision making at all levels of government
•ProvidIng proolof age relatonshIp.or residence certificates provided Py Census Bureau
•Drawing federal,state,and local leg....diStriCts
•Pat..,meal research
•Attracting new businesses to state and local areas
•Reappordcning seats In the House offiepresematives.
•Distributing over$675 billmo in federal funds and even more in state funds
•Planning a.researching for media as backup.news stories
•forecastmg future transportabon needs for all segments of the populatan •Prodfdlng emeen.In FfigatIonInvoirIng land use.young dela.and epos,opportunity
•Planning for hospitals,nursmg homes,Clin.and the location of°trier health services •Drawing school chstricthounearies.
•ForecasOng hiture housing needs br all segments of the PON.. •Planning budgets for government stall levels
•Directing funds br services for people in poverty •SPohng trends in the economic well.being of the nation
•Planning fof publkc transparionsercces
• in public sahty strategies
•Planning n.itn educe...ma*P•00...eisebP,bes
•Development of rural areas
•Establishing fair market rents a.enfordng falr lending practices
•Analyzing local trends
•Directing services to children a.adults with limited English language prof-leen,
•Estimating the number of people displaced by natural disasters •Planning urban la.use
•Developing assistance programs br American Indians a.Alaska Ma., •PlannIng outreach strategies
•Creating maps to spL-ea emergency services to households ii 0 of assistance •Understanding labor supPY
•Delivering goods and services to local mariets •Assessingthe potential,.spread of communicable diseases
•Designmg facilMes for people with cbsabilities,the chiefly,or children
•Planrung future government seroces.
•Understandinsconsurner needs
•Planning mvespnents and evaluaong financtal risk
•Planck.for congregations
•Publishing economic and statistical reports about the United States and its people.
•Ice...factory sites ard distrIbunon centers
•f acrid:Ring scientrfic research •DIsolhutIngcatalossand developIngelrect mall pieces
•Setting a standard for crest,borh ou5lican0 nrIvate secior surveys
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The 2020 Census will incorporate online strategies to collect data and only use traditional mail and
door-to-door approaches when necessary:
The 2020 Census
A New Design for the 2111 Century
The 2020 Census•A New Design for the 21'Century
Motivate People to Respond M.P.G.• Count the Population
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March 19, 2019
_ _ _ • • _ _ • _
4
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
This is an example of Response Outreach Area Mapper(ROAM) that displays the different levels of
response areas in the City. Historically, the light areas have a good response while the dark areas have a
low response:
1,11
United States VS-aeeerm.m at Commerce
Census MOISMIDIF
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The next two slides provide examples of randomly selected areas and the predicted percentage of the
group who will not complete the census:
Census hast 448.05
Virginia Beech drys Virginia
Low Response Scan(%):31.8
2012.2016 ACS 5-year estimates
Total Population:3,430
Median Household Income(S):46,167
Population Under 5(%):7.38
Population 18-24 1%):28.54
Population 65 and Over(Si:2.10
Below Poverty Level(%):920
Not High School Graduate(%):6.88
Non-Hispanic,Black(%):24.34
Non-Hispanic,White(%):54.96
Hispanic(5):13.12
American Indian or Alaska Native(%):2.16
Asian(%):2.19
Native Hawaiian or Other Pacific Islander(5):0.00
Some Other Race(%):0.17
Foreign Born(5):4.40
No One in Household Aga 14+Speaks English'Very Well'(5):0.00
Population 5+Who Speak English Less Than'Very Well'and Speak Spanish(%):1.51
Population 5+Who Speak English Less Than'Very Well'end Speak Russian(%):0.00
Population 5+Who Speak English Less Than'Very Well'end Speak Chinese(%):0.41
Population 5+Who Speak English Less Than'Very Well.and Speak Korean(%):0.00
Population 5+Who Speak English Less Than'Very Wall'and Speak Vietnamese 1%):000
Population 5+Who Speak English Less Than'Very Well'and Speak Tegslog(%):0.00
Population 5+Who Speak English Less Than'Very Well'and Speak Arabic 1%):0.00
Total Housing Units:1.697
Total Occupied Housing Units:1.508
Renter Occupied Housing Units(%):98.21
Family Occupied Housing Units with Related Children Under 6(5):2422
Population 1+Who Moved From Another Residence Within the Last Year(%):42.93
United States u.e,neeermnm of Commerce Vacant Housing Units l%):11.14
Censusfpsgnee.eaw.iessiva "ee. Multi-Unit(10+)Housing(5):3347
March 19, 2019
5
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
Census Tract 442
Virginia Bead,dy,Virgkda
Low Responee Score 1%):27.9
2012-2016 ACS 5-year estimates
Total Population:7311
Median Household Income(SI:47,202
Population Under 5(%)-951
Population 18-24(%):10.63
Population 65 and Over(%):6.30
Below Poverty Leval(%):23.03
Not High School Graduate(%):12.93
Non.Hispa nic.Black(%):26.19
Non-Hispanic,White(%):5229
Hispanic(%):8.63
American Indian or Alaska Native(%).037
Asian(%):252
Native Hawaiian or Other Pacific Islander(%):0.00
Some Other Race(%):0.00
Foreign Born(%I:524
No One in Household Age 14+Speaks English'Very Well'(%):2.19
Population 5+Who Speak English Lass Than'Very Well'and Speak Spanish(%):138
Population S+Who Speak English Less Than'Very Well'end Speak Russian(%):0.00
Population 50 Who Speak English Less Than'Very Well'and Speak Chinese 1%):0.00
Population So Who Speak English Less Than'Very Well'and Speak Konen 1%):0.00
Population S+Who Speak English Less Than'Very Well'and Speak Vietnamese(%):0.00
Population 50 Who Speak English Less Than'Wry Well'and Speak Tagalog(%):0.00
Population 5+Who Speak English Less Than'Very Well'and Speak Arabic(%):088
Total Housing Units:3,076
Total Occupied Housing Units:2.883
Renter Occupied Housing Units(%):64.10
Family Occupied Housing Units with Related Children Under 6(%I:3419
Population 1 t Who Moved From Another Residence Within the Last Year(%).2330
Vacant Housing Unita(%):6.23
Multi-Unit(10+)Housing(%):11.83
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Census respondents have strict confidentiality and privacy protection laws in place to protect their
identity and is not shared with anyone including the police, ICE, FBI, CSI, Housing Authority, etc:
Confidentiality & Privacy
• It is important that individuals know their responses to the census have
legal protections. The law requires the Census Bureau to keep private
citizens' information confidential and use their responses only to
produce statistics. The Census Bureau cannot publicly release an
individual's responses in any way that could identify them,their
business,organization,or institution.
• All information collected by the Census Bureau under the authority of
Sec. 9,Title 13 of the U.S. Code(13 U.S.C. 9) is strictly confidential.The
same law that requires individuals to respond to the census also
guarantees the confidentiality of respondents.
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March 19, 2019
6
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
Confidentiality & Privacy
(Continued)
• By law the Census Bureau cannot share individual responses with
anyone.That includes the Federal Bureau of Investigation,the Central
Intelligence Agency,the Internal Revenue Service,state or federal
welfare departments,or governments and programs.
• Census workers must pass a security check.They are sworn to uphold
a pledge of confidentiality.The penalty for violating the
confidentiality of responses is up to a$250,000 fine and up to a 5-
year prison term.
• No court of law can have access to individual census responses. Not
even the President of the United States can get access to this
information.
United Statess- uc c.•...+a�em.nwc.
Censu :
To assist in collecting data, the Census Bureau is requesting the establishment of a CCC:
Complete Count Committee (CCC'
•The Census Bureau has asked
governments/organizations to set up a CCC if feasible.
Establishing a CCC which represents a broad range of
community interests, will play a major role in conducting
census outreach and promotion activities for its
community and it's members.
United States us Demeeme et C,s w.
Census11./INNIMOIAKAU
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March 19, 2019
7
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
Why Form A Complete Count Committee?
• Increase the response rate for residents returning their questionnaire
through a focused,neighbor-to neighbor program.
• Utilize the local knowledge,expertise,and influence of each Complete
Count Committee member to design and implement a census
awareness campaign targeted to the community.
• Bring together a cross section of community members whose focus is
2020 Census awareness.
Census
United States '•b.•Erbn.K of comnno.
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Here is a sample of the Committee's composition:
Sample Complete Count
Committee
tiUGOL I h;t%I,I ., ~tor Molotov
CCC MEMBERSHIP Hoods of Public (Oak) Meads•E•EI•s••Public
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March 19, 2019
8
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
Here are some of the CCC Subcommittee Types:
CCC SUBCOMMITTEE TYPES
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Mr. Krigsvold advised the Census Bureau will conduct the count but needs support from the City to
spread awareness of the importance for citizens completing the Census:
OUTREACH AND PROMOTION
• The primary goal for outreach and promotion is to develop
community support and increase participation in the 2020 Census
and increase self-response. Implementation of outreach activities will
vary from one community to another.
• Each community or organization needs to consider relevant factors in
the design of its census outreach and promotion initiatives
United States 0A 0.9.1...,0 C...41.
Census •deYN• '
Meer ONNOL M I.
March 19, 2019
9
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
An Area Census Office (ACO) will open in early fall and hire approximately forty(40)people:
2020 Census Timeline
Fall 2018
Recruitment begins for early census operations.
Fall 2019
Recruitment begins for peak operations in 2020.
August—October 2019
In-field address canvassing where needed.
March—July 2020
Internet Self-Response.
March—July 2020
In-person or follow-up interviews.
March—September 2020
Census Questionnaire Assistance via telephone.
April 1,2020
Census Day—Respondents will be able to respond via intemet,telephone or paper questionnaire.
December 2020
U.S.Census Bureau delivers population counts to President for apportionment.
March 2021
U.S.Census Bureau delivers redistricting data to states.
ited States ua o.o.rrKacw.+r�v
Census ..
Philadelphia Region ACOs (Area Census
Offices)
Wave I:April 2019
"Fairfax,VA
Wave 2:October 2019
"Alexandria,VA
"Fredericksburg,VA
"Virginia Beach,VA
"Roanoke,VA
/Richmond,VA
"Towson,MD
"Hagerstown,MD
"Baltimore,MD
"Annapolis,MD
✓District of Columbia
United States- vs.o.ormrKercee+naee
Census .
March 19, 2019
10
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
Here is an overview of ACO Job Title&Descriptions with a salary range of$12.00- $20.00 per hour:
ACO Job Title & Descriptions
V Area Census Office Manager-Responsible for the general supervision and administration of the office.
✓Census Field Manager/Lead CFM-Responsible for accomplishing production and quality goals in field operations under
their span of control.Conducts individual and group training sessions for their personnel as necessary.
Administration Manager-Responsible for administrative functions,such as personnel,payroll and supply.Manages and
monitors all office requisitioning,equipment and shipping.
✓IT Manager-Leads all office computing environment,mobile computing environment,and automation support efforts.
✓Recruiting Manager-Oversees the recruiting and testing of job applicants for field position and clerks.
✓Recruiting Assistant-Assists in recruiting and testing of job applicants.
✓Census Field Supervisor-Appoints,trains,and supervises enumerators that are engaged in data collection.
✓Office Operations Supervisor-Coordinates,supervises,and oversees the work of office clerks in specific functional
areas.
✓
Enumerator-Locally hired workers who perform field enumeration activities in and around their respective
neighborhoods.
✓Clerk-Office clerks perform a wide variety of clerical functions in support of field data collection,recruiting,
payroll/personnel,automation technology,and quality assurance operations.
United States OS.OW.4...I 0,Comm..
Census
Here is 2018 ACO Pay Rates for the D.C., Maryland and Virginia area:
2018 ACO Pay Rates
(pay ranges for the D.C., Maryland,Virginia area)
Position Pay Rate(subject to change) I Staffing Timeline
I (Peak Operations)
D.C. Maryland Virginia
Area Census Office Manager Sit 00-Sit co 131 CO$33 00 520 00$ia CO June 2019
Census Field Manager SM02$3200 52300,528.00 $1949.53100 lune 2019
Administration Manager 330.00 53200 $2320 528.03 510.00 532.00 June 2019
IT Manager 53000.53202 51300 528/1 $19.00.53200 June 2019
Recruiting Manager slow.53203 52320.02500 5/900.51100 June 7019
Recruiting Assistants $2s.00-518.20 $1000 524-10 #1.21-12810 August 2019
Census Field Supervisor 52s00.11100 31000.51400 5152-52800 February 2020
Office Operations Supervisor 521.03.51000 51900.$11.00 523 o0-52603 July 2019
Enumerator 52100 5235 51522 52000 5132)-323a, March 2020
Clerk Sotto•526 co 51500 Pa Sia $11.02-522.02 September 2019
March 19, 2019
11
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
Here are the links for the 2020 Census:
2020 Census Resources and Legislation
www.ncsl.org
http://www.ncsl.org/research/red istricting/2020-census-resources-and-
Iegislation.aspx
Information about the 2020 Census,including state legislation,creating complete count
committees and commissions,identifying and reaching hard-to-count populations,the
importance of the census,and state-level funding for census promotion,outreach and
completion.
United States- esc.v..bu.e ercen..r.e
Censusus.mous.
Questions 2020 Census?
Contact us:
Kevin Krigsvold—1-757-985-7976
kevin.k.krigsvold @2020census.gov
Philadelphia Regional Census Center-1-844-507-2020
Recruiting Phone—1-888-480-1639(USA JOBS)and 1-855-562-2020(ACO)
Email us at-Philadelphia.rcc.partnership@2020census.gov
United States "°� a "�
Census
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March 19, 2019
12
CITY MANAGER'S BRIEFINGS
CENSUS 2020 COMPLETE COUNT
ITEM#69018
(Continued)
Connect with Us
• sign up for and managealertsivery.cat 19 facebook.com/uscensusbureau
R https://public.govdelom/accounts/U
S CENSUS/subscriber/new
• More information on the 2020 Census ty twitter.com/uscensusbureau
_4 Memorandum Series:
http://www.census.gov/programs-
surreys/decennial-census/2020-
census/planning-management/memo- Youtube.com/user/uscensusbureau
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t us
• More information on the 2020 Cercus:
2020 • http://www.census.gov/2020Census
instagram.com/uscensusbureau
• More information on the American
4., Community Survey:
(s.aA1tr htto://www.census.gov/programs-
suraeys/acs/ pinterest.com/uscensusbureau
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Mayor Dyer expressed his appreciation to Ms. Saunders and Mr. Krigsvold for the presentation.
March 19, 2019
13
CITY COUNCIL'S BRIEFING
APPOINTMENT PROCESS—BEACH DISTRICT
ITEM#69019
1:19 P.M.
Mayor Dyer opened the discussion for the Appointment Process for the Beach District Council seat.
There is a 3:00 P.M deadline to submit the ad to the paper in order to meet the legal advertising
requirement to post the Beach District Vacancy.
Council Member Moss expressed concern about the reason for the deadline.
City Attorney Stiles addressed the deadline, advising earlier today he received the order from the
Virginia Beach Circuit Court declaring the Beach District Council seat vacant which a copy was
distributed to City Council, attached hereto and made a part of the record. City Attorney Stiles advised,
by state law and the City Charter, there is a fifteen (1 5)day deadline to adopt a Resolution to file a Writ
of Special Election and forty-five(45)days for City Council to appoint a new Beach District Council
Member. Mr. Stiles advised the Resolution is prepared and can be added to the Agenda this evening for
consideration with an affirmative vote.
Mayor Dyer advised this is an important decision and asked City Council to proceed in a way that is
equitable,fair and transparent and would be in everyone's best interest.
Council Member Moss understands Mr.Nygaard has filed an objection to the Circuit Court's order and
asked how that effected this Council moving forward.
City Attorney Stiles advised that the objection to the order preserves error should the case be appealed
but does not change the deadline requirements of City Council.
Mayor Dyer asked if the fifteen (15)day deadline was to request a Special Election during the upcoming
November F'general election or to declare a Special Election on a date City Council agrees on?Mayor
Dyer believes it would be in the best interest of the public to have it during the general election when
there would be a high turn-out of voters.
The City Attorney advised City Council can choose, if they would like, to go with the standard and hold
the Special Election during the next general election or they can choose a separate date.
Council Member Moss advised when a vacancy occurs in the House of Representatives, they hold an
election within sixty(60)days regardless of the day because it allows for the people to decide instead of a
political appointment. Council Member Moss feels no matter how small the turn-out of votes, it will be
more than the ten (10) Council Members deciding.
Vice Mayor Wood asked the Council Members if anyone objected to holding the Special Election during
the next general election and add the Resolution to file a Writ of Special Election to tonight's Agenda for
consideration?
Mayor Dyer, hearing no objection, advised they would proceed with the vote to add the Resolution to the
Agenda. The next order of business is the invitation for citizens to submit applications to fill the Beach
District vacancy. Mayor Dyer advised the precedence has been to solicit the resumes and then hold
public interviews in Council Chamber for the public to see and asked Council Members if they agree to
that process?
March 19, 2019
14
CITY COUNCIL'S BRIEFING
APPOINTMENT PROCESS—BEACH DISTRICT
ITEM#69019
(Continued)
Council Member Moss advised he wants to ensure all applicants have filed the Statement of Economic
Interests (SoEI)form.
Vice Mayor Wood advised the draft ad lists the directions on how to file and the requirements which
includes; letter of interest, resume, SoEI form and completed questionnaire. Vice Mayor Wood advised
the City Clerk provided copies of the past ads and questionnaires which is similar to what is proposed
today. Vice Mayor Wood advised the main difference is the ability to push information through social
media and reach more citizens.
Council Member Moss advised he would like to have an online map with enough granularity to show the
Beach District area for applicants to verify their address is in the Beach District.
Council Member Abbott requested a "targeted ad"on social media go directly to the residents within the
Beach District.
Council Member Kane requested having a "landing page"online to provide all of the information and
links relevant to the appointment process and requirements.
Mayor Dyer asked for a consensus on the application deadline of April 8th?
Council Member Wilson requested the dates for the budget hearings?
City Manager advised City Council is scheduled for budget hearings the next five (5) Tuesday's.
Council Member Abbott expressed concern with Spring Break coming up the public may not be engaged
until after April 22nd
Council Member Moss requested once City Council narrows the applicants down to a "short list", there
should be a public hearing so citizens can provide their public input.
Mayor Dyer advised in the past, the applicants have been interviewed and voted on the same night.
While he values the public input, this is a City Council decision and City Council should proceed
expeditiously.
Council Member Moss advised he cannot support that process.
Vice Mayor Wood advised he has been through this process with at least five (5)previous Council
Members and supports the process as it becomes clear who has done their homework and is prepared.
Council Member Moss is aware how it was done in the past, but believes the expectation today is
different. While he appreciates traditions, when it disenfranchises people the right to be heard on who is
going to represent them before City Council votes, he feels it is presumptuous on City Council's part and
sends the message that we do not need the public's input. Mr. Moss expressed expediency on picking the
next Council Member is not a criteria which should be embraced.
March 19, 2019
15
CITY COUNCIL'S BRIEFING
APPOINTMENT PROCESS—BEACH DISTRICT
ITEM#69019
(Continued)
Council Member Wilson advised City Council will hear from a lot of people through this process just like
on other issues City Council votes on.
Council Member Abbott asked what day is forty-five (45)days from today.
City Attorney advised that is May 3rd
Council Member Abbott understands a Council Member needs to be appointed prior to adopting the
budget but does not appreciate being rushed to make a decision, she would be willing to have a Special
Session after the public comment on the 24th to vote. Council Member Abbott advised the "short list"of
applicants being considered could be published on social media for the public to provide comments.
Council Member Henley asked when the public would know what applicants are being considered.
City Attorney advised that could be on April 9th
Council Member Henley advised there will be two (2)weeks to hear from the public and her concern is
for the new Council Member to have ample time to get comfortable to make the very important decision
on the budget. If the new Council Member was appointed on April 23rd they would be able to attend the
public meeting as a Council Member and not a spectator.
Council Member Rouse advised the election was very contentious from the onset and understands the
need to have someone appointed, however,feels City Council needs to do their due diligence, take their
time, and should come with the approval of the Beach District. Council Member Rouse advised this is the
first time a Council Member has been removed by the Court and there should be more public input.
Council Member Jones asked when the "short list"will be made public and asked if City Council will
vote for an appointment the same night as the public comment?
Council Member Henley advised the "short list"will be made available on April 91h and suggested having
the public comment that night, holding the interviews on April 16t during the Workshop Session, and
voting for the appointment during the Formal Session on April 23rd
Council Member Moss advised he does not agree with the process suggested.
Council Member Abbott suggested calling for a Special Session on April 24`h since they will be meeting
for the Budget Hearing that day.
Council Member Jones does not agree with that suggestion as it is not a good idea to mix the appointment
with the budget hearing. Council Member Jones feels the schedule suggested by Council Member Henley
is a good idea.
Vice Mayor Wood advised he agrees with Council Member Henley's proposed schedule and feels there
will be plenty of time to review the applications.
March 19, 2019
16
CITY COUNCIL'S BRIEFING
APPOINTMENT PROCESS—BEACH DISTRICT
ITEM#69019
(Continued)
Council Member Moss advised he does not agree with holding public comment without first telling the
public who is being considered.
Mayor Dyer took final comments from each Council Member to decide on a general consensus on the
suggested timeline below:
April 8`"5:00 P.M. - Application deadline
April 9th - Closed Session to review applications/create the "short list"and
release names to public
April 16" -Public comment on "short list"
April 23rd- Conduct public interviews and possible vote on appointment of
Beach District Council Member
Council Members Wooten, Kane, Wilson, Jones, Henley, Vice Mayor Wood and Mayor Dyer agreed with
the proposed schedule.
Vice Mayor Wood collected and read aloud the questions proposed by each Council Member, a copy of
which is attached hereto and made a part of this record.
Mayor Dyer closed the discussion.
March 19, 2019
VIRGINIA: IN THE CIRCUIT COURT OF THE CITY OF VIRGINIA BEACH
John Uhrin,
Petitioner,
v. Case No. CL18-5644
David Nygaard,
Respondent.
FINAL ORDER
This matter came on for trial by the three-judge Court, sitting without a jury pursuant to
Code § 24.2-810, on February 21 and 22,2019.1
For the reasons set forth in the letter opinion dated March 5, 2019, which is incorporated
by reference,the Court finds that respondent David Nygaard did not satisfy residency requirements
and was not eligible to run for City Council as a representative for the Beach District.
Accordingly, the Court, pursuant to Code § 24.2-812, determines that there has been no
valid election of any person to the City Council of the City of Virginia Beach for the Beach District
at the election held on November 6, 2018, and orders such election void and the vacancy shall be
filled in conformity with Code §24.2-226.
Rule 1:13 dispensed with by the Court.2
Any objections to the Order may be filed in the clerk's office within 14 days of the entry
date of this Order.
A copy of this Order shall be provided to counsel of record by mail and electronic
transmission. The Clerk of Court shall send a certified copy of this Order to the City Attorney for
the City of Virginia Beach, to the Director of Elections/General Registrar for the City of Virginia
Beach, and to the State Board of Elections. ct I ,
ENTER: 3 1 )
yz_
The Honorable Glenn R. Croshaw
OtillAft AA/a
The Honora.le W. Allan Sharrett
The Honor: . effrey W. Shaw
1 Proceeding recorded by a court reporter.
2 Counsel is fully aware of the court's decision by opinion letter dated 03/05/2019. Counsel for the petitioner submitted an
unendorsed proposed final order.The Court has prepared and entered this order to expedite a timely resolution of this matter and
to conform to its ruling.
v3City of
Virginia Beach
A Community for u Lifetime
VIRGINIA BEACH CITY COUNCIL
CANDIDATE QUESTIONNAIRE
1. What would you consider to be the City's top three (3) priorities?
2. Why do you want to serve on City Council?
3. Once the Council has decided the formulation of the budget in
reconciliation, will you vote for it?
4. Do you support the Agricultural Reserve Program? Why or why not?
5. When there is a pushback of "not in my backyard," how can we address the
need for affordable housing?
6. Would you vote to stop the City Council from continuing to circumvent the
City's charter limitations on Council's ability to issue debt by using the
Virginia Beach Development Authority to issue debt in its name that
taxpayers are responsible for repaying?
7. What is your understanding of the financial mechanics of the resort to
include: Tourism Investment Program (TIP), Residential Parking Permit
Program (RPPP), the budget process, expectations of development projects
currently underway in the resort, including open space?
8. Do you plan to run in November for the seat to which you are asking to be
appointed?
9. Describe your thoughts on the City's current voting system. Would you like
to see it changed?
10. What does 'team' mean to you?
17
CITY MANAGER'S BRIEFING
HOUSING RESOURCE CENTER UPDATE
ITEM#69020
2:28P.M.
Mayor Dyer welcomed Andrew Friedman, Director—Housing and Neighborhood Preservation, Ruth
Hill, Housing Resource Center Administrator, and Pam Shine, Housing Systems Manager. Mr. Friedman
expressed his appreciation to City Council for their continued support:
•
Housing 444,
Resource
Center - 1PP —11101-
Results to Date&How Our Community '% •'t I diwije -- -
System Connects People to Services +w ''` ■
March 19,2019
Andrew Friedman,Director
Ruth Hill,Homeless Services and
Housing Resource Center Administrator •= n--. .-- �.;�
Pamela SRomeless Service
System Manager
This graphic shows the decline in homelessness between 2011 and 2018:
Virginia Beach Point-in-Time Count
Number of Persons
PROGRESS IN 517
446 484
MAKING
533 440 556 445
427 419
HOMELESSNESS 399
RARE, BRIEF & 49
2_,
NONRECURRING
CeJi�e'S the
..n.'t c. '.;l,e e>s persc-s curing
3,,]1-201'.
March 19, 2019
18
CITY MANAGER'S BRIEFING
HOUSING RESOURCE CENTER UPDATE
ITEM#69020
(Continued)
Here is the Housing Resource Center's Purpose&Goals:
Housing Resource Center
PURPOSE & GOALS
Provide a one-stop shop that significantly enhances our system of
housing and services
Be a place where the community can continue and grow efforts to
-- make homelessness rare, brief and nonrecurring
mut' Be a good neighbor
, Reduce impact of homelessness in the resort area
4,4
e�+a
a .
Efficiency apartment and d:Nng halt classrooms
The Role of HRC in the System of Services includes many partners and resources:
Role of HRC in IN 2017,COUNCIL ADOPTED THE"COMMUNITY OF
ONE"STRATEGIC PLAN TO MAKE HOMELESSNESS
RARE,BRIEF AND NONRECURRING
the System of
''1a}or par.or"Goa."-.T:onsform our Service System"
Services IT IS NOT THE SYSt EM,BUT A MAJOR
ENHANCEMENT OF OUR SYSTEM
• New s`elte-and perrtane-:t'-ocs-e,
• Co-locotio"'of parccers acd resp rces
• Comp ete i to zt'oc c`services=a -cC providers wo<
toge:der to achieve t.ce best possible outcomes
- Provide a new or e-hanced way'Cr ma-y t':e community c
cent-,e hec'ng
CITY SUPPORT FOR COMMUNITY EFFORTS
Not mea-t to scpc are or replace ten
March 19, 2019
19
CITY MANAGER'S BRIEFING
HOUSING RESOURCE CENTER UPDATE
ITEM#69020
(Continued)
Mr. Friedman turned the presentation over to Ms. Shine. Ms. Shine advised the new services model to
getting people from being homeless into a home of their own encompasses three (3)pillars, Access,
Assessment and Assignment:
Pathways Out of Hamel -
LITERALLY HOMELESS(ON THE STREET)
Call RWbnal
O HOYSbtg Cnsfs Not. 4_ Planed in shMter ot HRC Or NOnprORtS
(757)227.5932 �T eas<amca�cm d,e K��e.wuty
Tnax ma screams ���
M•F,liAM-71751 I I
gi Visit NuTate ualrtg Mrs RoureesOe8Center C1.oordinM
ated Atlnent p Placetl on By-rums Prioritization List
Merrer6 �aa� oaaP 8Ms:bernan059095a35.
Fn6petertbeUP.O. a
.F.SMI.3Z PM 2Assesslr,p homing r,cedE
3.Relerrekb housing ant shelter oa e'
•�
all Engaged by OUtreacll
Mobile arty and coordinated assessment Placed M HOOSIW M 18HRC or Nonprofits
M-F.tAM-SPM r •
N soca on c000530 xertretiW
Diverted to Alternative i
1 u 1 HoueMg Artanget 08.
• 50091.5 cell3COC —ee'
/� (7571395-2535 L
AFTER HOURS, TT
HOLIDAYS& Fermiers Call Placed in shatter
WEEKENDS !�, SM.whan House
Based onawteesy
/1�r('1�1 SAM-a PM.(757)3!62691
6 PM.6 AM.(757)3050450
This model is for those who are in imminent risk of losing housing within two (2) weeks:
Pathways Out of Homelessness
IMMINENTLY LOSING HOUSING
(E.G. DOUBLED-UP, STAYING FACING EVICTION)
Call Cfisls RWHmalNotIIM < ate.
Housing
(757)2275932
ina9e antl saeen;rvg for relertals r.•gD 885ed on eligibility and /1/ .
H.F,a AM•7 PM availability Of funding, Based on assessment,
referred tO: provided:
•Samaritan House, er f+ .Financial a55istan09, er Y g➢
Vlalt Housin Stably Named
9 .LEST Life Center,or •CaSe management Homelessness ornOd
Resource tinter •Virginia Beach HOusfng 4 servtce5,anNor
a� is presented
infirm and i+ Neighborhood Preservation .Assistanceinbeating a®a
sveFC br12PMs
-F.6 Md.12 PM Asses5xq needs housing
March 19, 2019
20
CITY MANAGER'S BRIEFING
HOUSING RESOURCE CENTER UPDATE
ITEM#69020
(Continued)
Ms. Shine turned the presentation over to Ms. Hill. Ms. Hill advised there have been 5,674 visits to the
HRC:
5,674 ---1 ir
iii visits ill
0T
SEPTEMBER 2018-JANUARY 201A9
People seeking health services,day support,
ii k
\ socia'services,horsing and shelter
Here is an overview of Results ofIAC Services:
Results of HRC Services
I- .,IIle p
INTERIM FAMILY
SINGLES SHELTER APARTMENTS„, �„ D kY SSRVICES
HOUSING
• 5,240 ted niq:-its.c= • 21 in?,:.c R ptovuieA • 381;aei
„i¢:ec
cervices
• IC5 duplca,ed - 11,'undupdcated
_widuel,served mdrvlduoir.sen,.�d
• 32 - - • 10 fa.n•Jlies mo--c c:^.c
March 19, 2019
21
CITY MANAGER'S BRIEFING
HOUSING RESOURCE CENTER UPDATE
ITEM#69020
(Continued)
-------111111111111111111.111111111WIIMMINWEir—
Results of HRC Services
wir ?ii
HEALTH CENTER DINING HALL INTEGRATED SERVICES
(HUMAN SERVICES)
• 212 patients served • 13,559 meals
• Services:routine check-ups,sick (breakfast,lunch and • 322 referrals made
visits,case management,family dinner)served • 152 referrals to Financial Aid Division
planning,labs,imrnunieations/flu (e.g.SNAP,TANF)
Shots,well woman,,'chiid exams,
• 105 referrals to Employment Services
referrals to specialty care,STD
screenings,hospital follow-ups • 87 referrals to Behavioral Health/PATE,
September 2018-January 2019
From August 2018—January 2019, there were 241 volunteers contributing a total of 1,791 hours:
�I , .f a
i olunteers & ��
Community
ic
Resources ,
'• 241 VOLUNTEERS
1,791 VOLUNTEER HOURS . •
•
hor-
Or,
f i • eceptio, s s amass-ado s.iii dives
' Holiday me s rvce
• Point-i'- me Count an:'r Cy: Ho-•elese :.N.
-, onnecc - - .Ar F, U.
O 3po-tunities to b ng .:is-`a
1111
i.S. ., �', se v s.o oartitipants r
,
`" 'Y A s:c 2016 January 2019 `, +i ,
March 19, 2019
22
CITY MANAGER'S BRIEFING
HOUSING RESOURCE CENTER UPDATE
ITEM#69020
(Continued)
VB Home Now is a community foundation that has helped raise$630,000 for the Prevention and
Diversion Program:
F
COMMUNITY FINANCIAL SUPPORT
VB Home Now was formec tc support 'PI'and enhance our _- I r
community system of se-v ces,programs and facilities tor:: r t,,,,,,- ,...._____
'.0 t ,<,4- l
prevent and end homelessness. 5 "' --
More than$630,000 has been raised.to December 2018,the
board awarded$50,000 to various organizations,including s
ft
$25,000 to the City for homelessness prevention assistance at ' -
the NRC.
COMMUNITY IN-KIND SUPPORT '` V 4-
Our generous community donatednave-'n kits to scpp'.y as •"
HRC aaartm nt units with basic hoz-sehold items._.We continue "
to receive donation offers o`food,toiletries,dog kicg and ,,
household items for the homeless po?uiation.Due to limited
storage space at the NRC,we re`er the community to system
partners.
VB Home Now check presentation
Bayside Bailers baseball teams donated move-in kits for the HRC residents
Ms. Hill highlighted a success story and showed a short video:
1
JOURNEY HOMEt t y
TROY'S STORY — :
r tat \ �,. • L
-3
•
o
Niultipl ge.:cies. i t-:e I-:ousin;. �� :,,�- `•
Resource,.e.te-N e able to help `, i f
.in anc c nnec Troy to she:ter, - •
`, I d
e-ice aisle ante social services, �.: pp a ' i[
s.:-TI--'os.importantly,his fao.iiv. ;. ' � h
a IR 1 & : ,4
March 19, 2019
23
CITY MANAGER'S BRIEFING
HOUSING RESOURCE CENTER UPDATE
ITEM#69020
(Continued)
THANK YOU
City Council and the Cy;Manager have
;IT i " i provided the resources to make this
';''''' i- --- —j poss'bie.
III III-.00
=- •, — s We and a!I our payers are making the
�„- ^- most of it!
gym. � -
Y
; .I 110. ♦ •
Your Questions &
Comments
ANDREW M. FRIEDMAN
757.385.5752
efriecmzavbaov.com
RUTH D. HILL PAMELA SHINE a"t
757.385.6349 757.385.5761
lh ,vbcov.ccm psh'negvbgov.com E
HOUSING RESOURCE CENTER
757385.5157
vnvw.vbgov.com/iou ny resoc-ce-certe
Mayor Dyer expressed his appreciation to Mr. Friedman, Ms. Shine and Ms. Hill for the presentation and
their hard work at the HRC.
March 19, 2019
24
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER PUSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
3:02 P.M.
Mayor Dyer welcomed Alice Kelly,Interim Director—Finance. Ms. Kelly expressed her appreciation to
City Council for their continued support:
Combined Briefing:
FY 2019 Interim Financial
Statement—February,
Debt Management, and
Other Post Employment Benefits
March 19,2019
I3 IIE�ItE
Here is the Agenda for today:
Agenda
Interim Financials for February
Popular Annual Financial Report
Other Postemployment Benefits (OPEB)
Bonded Debt
Summary
Next Steps
March 19, 2019
25
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
FY2018 PAFR
,_.-1 _,..., ,,..- :-..
.;_ , e‘ _, ,.,:. :1,7, i.:
,0.1.., „„. . , ‘,... ,,,,,„0 4- t-s.,..4- ...
CITY Of VIRGINIA BEACH,VIRGINIA
The FY 2019 Revenues and Expenditures are tracking similar to previous years:
FY2019 YTD General Fund Revenues and
Expenditures Comparison
ACTUAL REVENUES YTD=$570.5 M I
s:r
ACTUAL EXPENDITURES YTD=$837.0 M
eo.f%
i `68.1%
y 00%
4'i" 61.9%
5.0% Si.tl90
49.2 55.3%
44.5",. 40.3%
42.3% 49.1%
40% 45.5% 45.0%
i
e 278 36.1%82 32.5%
9.0%
20.
E 20% 34/% 3^%
1a.1-
Z 1�,.. 134% i 13.5%
4.5%
1.3% 0.2%
Ni0%
Aug Sep Oct Nov Dec Mo Feb Moo Apr Roy h.
----%ofFY2019 Wap Boddet-.-B[p Tre.".%"DY"1913.,Baadpet—.-IW Tr.eq
March 19, 2019
26
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
The FY 2019 General Fund Revenue is$570.5-Million as of February 28, 2019:
FY 2019 General Fund Revenue
Through February 28, 2019
BUDGETED REVENUES YTD=$1,160.3M
ACTUAL REVENUES YTD=$570.5M
Other Commonwealth Federal
Revenues $70.3 Government
$47.9 $14.7
Other Taxes
$126.5
Unrealized
$589.8 50.8%
Personal
Property
Taxes
$19.7
Real Estate
Taxes Transfers
S amounts In millions $282.9 $8,5
The FY 2019 General Fund Expenditures total$837-Million as of February 28, 2019:
FY 2019 General Fund Expenditur-
Through February 28, 2019
BUDGETED EXPENDITURES YTD=$1,229.9M
ACTUAL EXPENDITURES YTD=$837.0M
Capital Projects Transfers to Other
$60.3 Funds$28.9
Debt
Service
$37.9
ncumbered
$393.0 31.9%
Operating
$151.8
Personnel
$251.8
School Support
$306.2
5 amounts in millions
March 19, 2019
27
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
Long-Term Liabilities
-Accrued Compensated Leave Liabilities determined by
-Estimated Claims&Judgements Actuaries and Engineers
-Landfill Closure using estimates and
-Net Pension Liability assumptions
-Net OPEB Liability
Bonded Debt Liability is the actual dollar
amount sold to investors
The next two (2)slides provide the OPEB Liability Key Terms:
OPEB Liability Key Terms
• Single-Employer,Defined Benefit Plan
• Administered by City of Virginia Beach-through Deferred
Comp Board
• Retiree Health Insurance
• Assets held in VML/VACO Trust
• Multiple-Employer,Cost Sharing Defined Benefit Plan
• Administered by VRS
• Group Life Insurance(GLI)-City and Schools
• Local Disability Program(VLDP)-City and Schools
• Health Insurance Credit(HIC)-Schools only
ADC=Normal Cost+Amortization of Unfunded Liability
March 19, 2019
28
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
OPEB Liability Key Terms
• Actuarially Determined Contribution(ADC)
• Normal Cost—Active participant benefits that are to accrue
during the plan year—Retirement,Termination,Disability
and Death benefits
• Amortization of Unfunded Liabilities
• Actuarial Assumptions
• Investment Rate of Return(Discount Rate)
• Inflation
• Payroll growth rate
• Mortality rates
• Health Care Cost
Combined with the School, the Net OPEB Liability totals$118-Million:
Net OPEB Liability and Expenditures
Retiree Health Insurance
For the period ending June 30,2018
in millions
CITY SCHOOL TOTAL
Total OPEB Liability $ 96.8 $ 93.8 $ 190.6
Net Position-Assets in VML/VACO Trust 42.2 30.4 72.6
Net OPEB Liability $ 54.6 $ 63.4 $ 118.0
Percent Funded-GASB Valuation 43.6% 32.4% 38.1%
Total OPEB Contributions $ 7.4 $ 7.4 $ 14.8
Note:Total Net OPEB Liability increased$26.0 million from June 30,2017 due to changes in assumptions
March 19, 2019
29
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER PUSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
Here is the Net OPEB Liability and Expenditures for the City:
Net OPEB Liability and Expenditures
GLI, LODA and VLDP-City
For the period ending June 30,2018
in millions
GLI LODA VLDP TOTAL
Total OPEB Liability $ 50.6 $ 25.3 $ 0.3 $ 76.2
Net Position-Assets in VRS Trust 24.7 0.4 0.1 25.2
Net OPEB Liability $ 25.9 $ 24.9 $ 0.2 $ 51.0
Percent Funded-GASB Valuation 48.9% 1.3% 38.4% 33.1%
Total OPEB Contributions $ 4.3 $ 1.1 $ 0.3 $ 5.7
Note:ADC for GLI and VLDP include normal cost and amortization on unfunded liability.ADC for LODA
only consist of pay-go funding.
Here is the Net OPEB Liability and Expenditures for the Schools:
Net OPEB Liability and Expenditure
GLI,VLDP and HIC-Schools=:
For the period endingJune30,2018
in millions
GLI VLDP HIC TOTAL
Total OPEB Liability $ 71.2 $ 0.3 $ 69.1 $ 140.6
Net Position-Assets in VRS Trust 34.8 0.1 4.9 39.8
Net OPEB Liability $ 36.4 $ 0.2 $ 64.2 $ 100.8
Percent Funded-GASB Valuation 48.9% 35.3% 7.0% 28.3%
Total OPEB Contributions $ 3.1 $ 1.1 $ 0.3 $ 4.5
Note:ADC for GU,VLDP and HIC Include normal cost and amortization on unfunded liability.
March 19, 2019
30
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
Net OPEB Liability Projection
Retire Health Insurance
$60
$50
2 $40
$30
$20
$10
2018 2022 2026 2030 2034 2038 2042 2046
Fiscal Year Ending June 30,
—City Unfunded liablity —.School Unfunded Liability
Here is an overview of Categories of Virginia Beach Bonds:
Categories of Virginia Beach Bonds rs'
Tax Supported Debt
• General Obligation Bonds(GO)-full faith and credit
- Charter bonds—$10m+retired principal($59m 2018)max authorized
each year
- Referendum Bonds
- Agricultural Reserve Program
- State Literary Fund
• Appropriation Backed Debt-subject to annual appropriationnot full
faith and credit)&usually rated lower(1-to-2 notches)than GO Bonds
Public Facility Revenue Bonds
Fee&Self Supported Debt
• Enterprise Revenue Bonds—self supporting(not full faith and
credit)
- Water and Sewer
- Storm Water Bonds
March 19, 2019
31
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
Here is the Summary of Outstanding Indebtedness Fiscal Year Ending June 30:
Summary of Outstanding Indebtedness
Fiscal Year Ended June 30
Tax Supported (millions)
General Obligation Bonds(GO)
Schools Full Faith&Credit $300.1 $270.1 $263.8
General Government Full Faith&Credit 355.1 325.1 336.1
Public Facility Revenue Bonds(PFRB)
Schools Annual Appropriation 23.4 22.4 42.0
General Government Annual Appropriation 317.0 309.0 290.2
Agriculture Reserve Program Full Faith/Strips 42.4 46.1 46.1
Fee Supported
Revenue Bonds
Water&Sewer(W&S) Fees&Charges 218.9 211.1 202.2
Storm Water(SW) Fees&Charges 45.2 43.5 41.8_
Total Debt $1,302.1 $1,227.7 $1,222.2
Less:Revenue Bonds&ARP Self-supporting/fees 306.5 300.7 290.1
Net Tax Supported Debt' $995,4 $927.0 $932.1
'used in Debt Guidelines calculations.
is
This chart provides a graphic of the previous chart showing the distribution of outstanding debt:
Outstanding Debt by Purpose
June 30, 2018
Agrfeuhun Reserve
Ptognm
Govern]Government 546,101,662
5626,291,167 3.8%
51.2% Storm Wnter
541,780,000
r117,215,276".
ter cvd Snvey
$202,235,276
16.6%
Schools
5305,817,303
25.0%
Total Debt:$1,222,226,408
March 19, 2019
32
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
The Total Debt service increased$4.1-Million from FY 2018 to FY 2019:
Debt Service(in millions)
FY 2018 Actual
Total Debt
Type Principal Interest Service
General Obligation Bonds $ 56.3 $ 25.3 $ 81.6
Public Facility Bonds 32.6 14.4 47.0
Revenue Bonds 10.6 10.7 21.3
ARP - 2.4 2.4
Total $ 99.5 $ 52.8 $152.3
FY 2019 Estimates
Total Debt
Type Principal Interest Service
General Obligation Bonds _ S 57.3 $ 26.1 5 83.4
Public Facility Bonds 34.8 14.3 49.1
Revenue Bonds 11.0 10.5 21.5
ARP - 2.4 2.4
Total $ 103.1 $ 533 $156.4
Reflects•a eats•tanned and be •made for FY 2019.
Summary of Recent Bond Activity
New Bonds Issued FY 2018 $67.6M GO
$33.4M PFRB
FY 2019 $29.5M SW Rev
Bonds Refinanced(Refunded) FY 2018 $71.5M GO
FY 2018
Authorized but Unissued Bonds-(GO&PFRB) $444.2 M
Authorized but Unissued Revenue Bonds(W&S&SW) $166.3 M
March 19, 2019
33
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
The next two (2)charts depict the red line as the Percentage of Principal Retired and is an indicator of
the City's strong credit:
Percentage of Principal Retired
As of June 30, 2018
General Obligation and Public Facility Revenue Bonds
94.5% 100.0%
$1,000 100%
$900 - 791
$Boo 80%
$700
e $600 47.5% 60%
$500
$400 40%
$300
$200 20%
$100
So 0%
Sy. r0 {{ t0
=Amount Maturing +Percentage of Debt Retired
Percentage of Principal Retired
As of June 30,2018'
Water&Sewer and Storm Water Revenue Bonds
100.0%
$300 90:7%. __ - 100%
$250 71.3% 80%
$200
49.4% $195.2 60%
B $150
$100 $135.0 40%
23.0%
$50 20%
$0 0%
S r0 Zs* is is
he°? y°As yes yet
=Amount Maturing -.-Percentage of Debt Retired
Includes Series 2019 Storm Water Bonds sold February 27,2019
March 19, 2019
34
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
Here are some of the factors in maintaining a Triple-A rating:
City's GO Bonds Rated Triple -A
• Ninth consecutive year by all three major ratings
agencies:Fitch,Moody's,and Standard&Poor's
• Strong economy
• Excellent financial management practices
• Very strong management with the demonstrated
ability to control expenditures and achieve
balanced results from operations
• Strong capacity to meet financial obligations
resulting in favorable interest rates
• Modest debt liability
The City remains the only city in South Hampton Roads with a Triple-A rating from all three rating
agencies:
Virginia Beach Ratings
Rating Agency GO PFRB Water& Storm
Sewer Water
Standard&Poor's AAA AA+ AAA Not
Applicable/
Not Rated
Moody's Investors Aaa Aal Aal AalI
Service
Fitch Ratings AAA AA+ AAA AAA
Reflects credit rating upgrade from"Aa2"by Moody's February 5,2019 with the
series 2019 Storm Water Utility Revenue Bond issuance.
March 19, 2019
35
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
Here is the Rating Agency Criteria:
Rating Agency Criteria:
Tax-Supported Debtl
1. Economy/Tax Base
• Real Estate,Personal Property
• Trustee taxes(sales,restaurant meal tax,amusement,hotel)
2. Finances
- Fund Balance as a%of Revenues
- Cash Balance as a%of Revenues
3. Management
• Operating History
• Institutional Framework-flexibility
4. Debt/Pensions
- Net Direct Debt/Full Value
• Net Pension Liability/Full Value
Climate Event and Risk Mitigation-a major consideration
'Fere supported Re‘cone Bond debt has additional criteria:coverage,liquiditt,
reser cs.
Here is a quote from Moody's Report on January 17, 2019:
Moody's Report US Cities`Heightened Focus on
Mitigating Climate Risk is Credit Positive
January 17,2019
"Virginia Beach:Comprehensive sea level rise study will be basis for billions of dollars
in resiliency projects.
The City of Virginia Beach(Aaa stable)is located in Virginia's Hampton Roads region and
lies at the intersection of various major bodies of water,increasing its vulnerability to sea
level rise and flood risk.The city projects sea level rise up to three feet by 2100 and as
much as one and a half feet in the next 20 years.In response,it is conducting a
Comprehensive Sea Level Rise Study.The study will include an impact assessment and
serve as the basis for long-term adaptation strategies.Ultimately,the study will form the
foundation for billions of dollars in flood mitigation projects tied to the city's long-term
resiliency plan.The city is also incorporating sea level rise and flood mitigation strategies
in its Stormwater Master Plan and stormwater management regulations.
Virginia Beach has a history of strong financial management and adherence to policies to
maintain satisfactory reserves,liquidity and debt levels despite significant capital plans to
mitigate environmental risk primarily associated with flooding."
March 19, 2019
36
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
Here is a Summary of City's Debt Management Policies:
Summary of City's Debt Management Policies
Established As of
Ratio Description Guidelines June 30,2018
Annual Debt Service to General No greater than 10% 7.7%
Government Expenditures
Overall Net Debt to Estimated
Actual Full Value of Taxable No greater than 3.5% 1.7%
Property
Overall Net Debt Per Capita No greater than $2,042
$3,000
Overall Net Debt Per Capita to No greater than 6.5% 3.7%
Per Capita Personal Income
Source:City of Virginia Beach,Department of Finance,FY 2018 CAFR
Debt Service as a %of General Government Expenditures is the most restrictive debt indicator:
Debt Service as % of General Government Expenditures
Compared to Guideline
12.0 No greater than 10%of Gen Gov't Expenditures
10.0- 8.7 8.6
8.1 8.5 8.5 8.4 8.4 8.2 8.2 7.7
8.0-
`e
6.0-
o.
4.0-
21111111111
0.0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
For Year Ended June 30th
Ratio of Annual Debt Service to General Government Expenditures —L'un8
Source:City of Virginia Beach,Department of Finance
March 19, 2019
37
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
Net Debt Per Capita is commonly used as the debt affordability indicator, showing how much debt the
City has per person:
Net Debt Per Capita Compared to GuineIine
$3,500
15 000 per
$3,000
$2,500 .._ ----
D
� $2,000
g $1,500
$1,000
$500
FY FY FY FY FY FY FY FY FY FY
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Debt per Capita 2,244 2,256 2,271 2,244 2,162 2,256 2,258 2,195 2,040 2,042
Limit 2,400.2,400 2,400 2,800 2,800 2,800 2,800.3,000 3,000 3,000
Source:City of Virginia Beach,Department of Finance,FY 2018 CAFR
Virginia Beach has the second lowest ratio of debt service and highest per capita personal income in
South Hampton Roads:
South Hampton Roads Cities
SII, FY 2018 Debt Indicators
VirginiaIMIN
Beach Norfolk Portsmouth Suffolk
TotWOMINEWMMINMEMEN
Less Self Supporting Debt(in $290,118 $641,631 $448,974 $127,387 $200,870
thousands)
Net Debt(in thousands) $932,108 $812,787 $297,006 $395,690 $443,366
Net Debt per Capita $2,042 $3,307 $1,218 $4,167 $4,782
Ratio of Net Debt to Assessed Value 1.7% 3.7% 1.0% 5.4% 4.1%
Ratio of Debt Service to GG
7.7% 12.4% 4.8% 7.9% 8.1%
Expenditures
Per Capita Personal Income $55,108 $40,094 $48,569 $40,026 $49,779
Sources:FY 2018 CAFRs for South Hampton Roads Cities
March 19, 2019
38
CITY MANAGER'S BRIEFING
UNAUDITED FINANCIAL RESULTS/
OTHER POSTEMPLOYMENT BENEFITS(OPEB)/LONG TERM DEBT
ITEM#69021
(Continued)
Here is Long-Term Liabilities Summary:
Long-Term Liabilities Summary
• Continued conservative financial management is key
to Triple-A ratings
• Meeting obligations:
• Making Actuarially Determined Contributions to trust
funds
• Paying Annual Debt Service
• Annual review:
• Status of debt indicators
• Actuarial calculations with updated assumptions
Here are the Next Steps:
Next Steps
Proposed Budget
March 26, 2019
i
March Interim
April 23,2€#19
i
Adopted Budget
.................................. ..... .....................
May 1 ,2019
i
FY 2019 Closeout
..... . .......................... .......................... ... . .. ..... . ...
Aut Via, 29
Mayor Dyer expressed his appreciation to Ms. Kelly for the presentation.
March 19, 2019
39
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
3:38 P.M.
Mayor Dyer commenced the briefings and welcomed Mark Johnson, Director—Public Works. Mr.
Johnson expressed his appreciation to City Council for their continued support:
PUBLIC WORKS
Stormwater Enterprise Fund
Mark A.Johnson
Director of Public Works
March 19,2019
STORMWATER
Here is an overview of today's presentation:
PUBLIC WORKS
Overview
• Operating Budget
• CIP Funding
yam STORMWATER
March 19, 2019
40
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
Here is an Overview of the Stormwater Management System:
PUBLIC WORKS
Overview of Stormwater System
Stormwater Management System is comprised of man-made and
natural features:
• 550 miles of roadside&152 off road ditches
• 61 canals �,q
• 1,110 miles of Stormwater pipe R•
• 43,566 Manholes/Basins 1 , g i _
• 15 Stormwater Pump Stations
• 38 Dams/Spillways
• 448 Lakes &Ponds
' 75:' STORMWATER
The Integrated Stormwater Program encompasses Water Quality&Regulatory Compliance, Flood
Control and Operations&Maintenance:
PUBLIC WORKS
Integrated Stormwater Program
Water Quality&
Regulatory Flood Control
Compliance
t
1, '
fa Operations&Maintenance
,141 Operations
STORMWATER
March 19, 2019
41
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
Here is an overview of the FY19 Approved Budget:
PUBLIC WORKS
FY19 Approved Budget
Revenue Expenditure
Opeeeep*,,,i trees OpenOau-CDnswcmn FnBneennlSudaa
5267,597 50001 Sry 6fnameenrx Wrtm6egaamry
0,63% 1.15% $2977,794 51939536 $1,47.136
Fae-W 7.01 4.57% 347%
$6,000,000 OpennansMos9uito
Translers 88M / <onbd
$19,673 $1,613,716
41K0.07% ree H,110rllunn:
since,
DelmSern¢
$1,655,608
�- 9.33%
\� $161,064
0.3616
m rs
$3,309,761
alx
_/
Total-$42,402,136 __--
Operettas-05M513,6a4,483
32.27% Management
.nel�1en
•• .'.
~!� FTE-204 STORMWATER 0.207.764
737.
The current Equivalent Residential Unit(ERU) is 45.8 cents and scheduled to increase 2A cents each
year beginning in FY20. One cent of the Real Estate Tax will be dedicated to the Stormwater CIP and
$990,000 from the Agriculture Reserve Program will support the Southern Canals Project:
PUBLIC WORKS
FY19 Stormwater Funding-Current
Storm Water Fee:Cents per ERU per Day
FY19 FY20 FY21 FY22 FY23
Daily 45.81 48.31 50.81 53.31 55.81
Rate
Monthly $13.93 $14.69 $15.45 $16.21 $16.97
Rate
Real Estate Tax Dedication
11(CIP)
FY19 FY20 FY21 FY22 FY23
$5,586,510 $5,723,653 $5,877,516 $6,034,850 $6,196,077
Agricultural Reserve Program(CIP)
FY19 FY20 FY21 FY22 FY23 Funding supports the
ect
� _' $990,000 $990,000 $990,000 $990,000 $990,000 Southern Canal CIP P791
;N STORMWATER
March 19, 2019
42
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
Here is an overview of the FY20 Proposed Operating Budget:
PUBLIC WORKS
FY20 Proposed Operating Budget
1.Increase CIP funding by shifting operational expenses to the General Fund
2.Transfer$14.2M of Stormwater Operating expenses to the General Fund paid for by the Real Estate Tax dedication.
This allows for the increase of Enterprise Fund revenue bonding capacity
• The 1 cent Real Estate Tax Dedication(FY18)is re-directed to the General Fund to cover the transfer of Stormwater
Operating expenses-45.7M
• Proposed FY20 Real Estate Tax increase of 1 X cents-48.5M
3. Additional 1 cent rate increase in ERU for a total proposed rate increase of 3 K cents each year over the next 6 years
remains in the Enterprise Fund
FY20 Proposed Budget
Expenditures Remaining in $24,337,883
Stormwater Fund
Amount Available for CIP $21,554,151
Projects(Pay-Go)/Debt
Service payments
Total Proposed Budget $45,892,034
STORMWATER
The goal of the FY20 Proposed Operating Budget is to increase the funding in the Pay-Go for CIP's and
future debt service:
PUBLIC WORKS
FY20 Proposed Operating Budget
Revenue Expenditure
Transfers Operation-08M Openti,,-
$3,358,889 $13,005,109 InpectIo'
federal 7% - _.:; $919,592 Retiree Health
$267,597•
x%
1% 1511),093
1%
ransfers
$159,873 Debt Service
0%
- 55,500,000
12%
Reserve
51,317,201
Pay6o(or Capital 3%
Projects/Future
Debt Service
521,554,151
47%
Total-$45,892,034
--'"o" STORMWATER FTE-99
March 19, 2019
43
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
Here is the comparison of FY19 vs FY20 Budget:
PUBLIC WORKS
FY19 vs FY20 Budget
FY19 FY20
Budget Unit Current Enterprise Fund General Fund
Project Management $ 3,207,764 $ - $ 3,941,292
Street Sweeping $ 2,972,784 $ - $ 2,972,784
Construction&Engineering $ 1,939,536 $ - $ 2,073,375
Surface Water Regulatory Compliance $ 1,470,136 $ - $ 2,281,921
Mosquito Control $ 2,613,716 $ - $ 2,415,222
Operations&Maintenance $ 13,684,483 $ 13,005,109 $ 609,946
Inspections&Environmental Spill Response $ 910,152 $ 979,592 $ -
Retiree Health Insurance $ 177,092 $ 177,092 $
Debt Service $ 3,955,648 $ 5,500,000 $ -
Reserve $ 161,064 $ 1,317,201 $ -
Pay-Go for Capital Projects $ 8,000,000 $ 21,554,151 $ -
Transfer to Other Funds $ 3,309,761 $ 3,358,889 $
`U Totals $ 42,402,136 $ 45,892,034 $ 14,294,540
STORMWATER
The ERU Fee History graph shows the blue line as the current rate and the red line being the 31/2 cent
increase:
PUBLIC WORKS
ERU Fee History
66 8
9.8
2.8
83.3 83.3
36.6
31.6
24.1
STORMWATER
March 19, 2019
44
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
Here is an overview of the ERU Study currently in progress:
PUBLIC WORKS
ERU Study
• Goals of study
• Recommend adjustments to promote fair and equitable distribution of costs
among residential property owners
Per the City Code,all property is classified into one of the following categories
• Residential
• Multi-Family
• Non-Residential
• Undeveloped
• Agricultural
• Re-examine the credit/adjustment policy
• Applying GIS and spatial analysis to closely examine residential
property attributes and compare regional/national trends
• Complete study and analysis-January 2020
STORMWATER
PUBLIC WORKS
Capital Improvement Funding
STORMWATER
March 19, 2019
45
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
This Historical CIP 6 YR Funding chart illustrates the increase in CIP funding for flood control:
PUBLIC WORKS
Historical CIP 6 YR Funding
$403.000,000
5350,000,000
$300000,000
$350.000,000
$200,000,000
$150,000,000
$100,000,000
$50,000,000
Increase between FY17
$0 and FY18 is due the first
FY17 FY18 FY19 Fv20 year of the ERU fee
■O&M •Water quality •Flood control increase and changing the
fa amount of Pay-Go
STORMWATER
The chart provides information in the below graph for the FY20 CIP Proposed Funding:
PUBLIC WORKS
FY20 CIP Proposed Funding
Transfer$14.2M of expenses to the General Fund
• 1 cent of Real Estate Tax Dedication re-directed to the General Fund to cover the transfer of expenses
• Proposed Real Estate Tax increase of 114 cents
• Additional 1 cent rate increase in ERU for a total proposed rate increase of 314 cents
each year over the next 6 years
FY 2020 07/13 FY 2021 07/20 FY 2022 07/21.FY 2023 07/22 FY 2024 07/23 FY 2025 07/24 I Total 6-Year
I I
Food Control $24,994,064 $34,233,428 $41,817,691 $41,916,884 $42,045,999 $42,045,999 $227,054,065
O&M $21,394,174 $17,154,810 $18,820,547 $18,721,354 $18,592,239 518,592,239 $113,275,363
Water Quality $8,611,762 $8,611,762 $9,361,762 $9,361,762 $9,361,762 $9,361,762 $54,670,572
Total $55700,000 $60,030,000 $70,000,000 $70,000700 170,000,000 $70,000,000 $395,000,000
CIP Funding-41%increase from FY19 or$115M increase
CIP Funding-191%increase from FY17 or$259M increase
STORMWATER
March 19, 2019
46
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
PUBLIC WORKS
Long Term CIP Funding Strategies
43a STORMWATER -.
Here is the current Stormwater CIP Program Need which is$200-Million under budget shown in the
center circle. The outer circles show the proposed strategy to increase funding over the next thirty-five
(35)years:
PUBLIC WORKS
Stormwater CIP Program Need
35 Plus Years
Sea Level Rise
$2-$5 B
LQ
rj
0
,
$o�vv tyry
s;'hr awaoa STORMWATER
March 19, 2019
47
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget) —
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
This graph depicts the current ERU rate (red line)and the 31/2 cent increase(green line) between FY26-
32:
PUBLIC WORKS
Fee Increase
913
37.8
81 3
77 3
73 8
70 3
60
86.3
52 8
49.3
ass
Legend
Blue is the current rate
Red is the FY20-FY25 rate
STORMWATER Green is the FY26FY32 rate
Here is an overview of CIP Funding Strategy-#1:
PUBLIC WORKS
CIP Funding Strategy-#1
Goal
Expand CIP to a 13 year program from FY20-FY32
Execution of Goal
1. Proposed FY20 CIP Funding
2. Extends 3%cents ERU from FY26-FY32
Available CIP Funding
$395M FY20-FY25
$490M FY26-FY32
$885M Total
STORMWATER
March 19, 2019
48
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)-
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
PUBLIC WORKS
Funding Strategy#1
Estimated cv 20-25 FT 26-32 Remaining
Project Total Project ATO Balance to
Funding Funding
Cost Complete
Aragon $4.4 M $3.8 M _ $0.6 M $0.0 M $0.0 M
Ashville Park Phase I $12.0 M $9.0 M $3.0 M $0.0 M $0.0 M
Ashville Park Phase II $18.9 M $0.0 M $0.0 M $0.0 M $18.9 M
Central Resort $113.0 M $0.8 M $20.2 M _ $26.5 M $65.5 M
College Park and Level Green $2.3 M $0.5 Ni $1.8 M $0.0 M $0.0M
Eastern Shore Drive Drainage $725 M $17.3 M $47.0 M $5.7 M $2.5 M
Lake Bradford/Chubb Lake $32.0 M $2.2 M $6.5 M $23.3 M $0.0 M
Neighborhood SW Infrastructure $10.7 M $4.7 M $2.9 M $3.2 M
North Lake Holly $23.5 M $19.9 M $3.6 M $0.0 M $0.0M
Princess Anne Plaza $172A M $5.1 M $47.7 M $43.3 M $76.4 M
Sea Level Rise/Recurrent Flooding Analysis $5.0 M $3.8 M $1.2 M $0.0 M $0.0 M
Sherwood Lakes $3.0 M $3.0 M $0.0 M $0.0 M $0.084
South Lake Holly Watershed $16.6 M $16.6 M _ $0.0 M $0.0 M $0.0 M
Southern Canal/Lead 08th and Culvert Improvements $34.8 M $3.7 M_ $14.3 M $16.7 M
SWM Master Planning,Analysis,_and Inventory $14.8 M $9.8 M $5.0 Al $0.0 M $0.0 M
The Lakes _ $28.7 M $2.0 M $15.1 M_ _ $5.2 M $6.4M
Watershed Stormwater Projects j $96.9 M $0.0 M $7.6 M $28.9 M $60.4 M
Windsor Woods $152.8 M $12.7 M $50.6 M $22.8 M _ $66.7 M
Totals for Flood Control $814.1 M $114.8 M $227.1 M $175.6 M $2867 M
Total For Operations and Maintenance $99.5 M__ $113.3 M $243.6 M_
p�v a Total For Water Quality Regulatory $35.0 M $54.]M $70.8 M
o <„ Totals $814.1 M $2693 M $395.0 M $490.0 M $296.7 M
k,.- TOTAL $885.0 M
-5: STORMWATER cc
PUBLIC WORKS
Projected CIP Expenditures FY20-FY32 for
Strategy #1
Projected Expenditures
Projected Funding $885 M
O&M ($356.9 M)
Subtotal $528.1 M
Water Quality ($125.5 M)
Subtotal $402.6 M
Flood Control ($699.3 M)
Flood Control Shortfall ($296.7 M)
8.
;ofa STORMWA TER
March 19, 2019
49
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)-
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
Here is an overview of CIP Funding Strategy-#2:
PUBLIC WORKS
OP Funding Strategy-#2
Goal
Expand CIP to a 13 program from FY20-FY32
Execution of Goal
1. Proposed FY20 CIP Funding
2. Strategy#1
3. Proposed additional 2 cent Real Estate Tax increase in FY23,FY26,and FY30
Projected Funding
$885M FY20 CIP/Strategy#1
$420M Additional 2 cent Real Estate
Increase in FY23,FY26 and FY30
$1.3B Total
Note:$420M is General Government Debt
Amount dependent on coverage ratios and Charter Bond
� j capacity/limits
l�" v
STORMWATER ...
PUBLIC WORKS
Funding Strategy#2
"`' Estimated Remaining
FY 20-25 FY 26-32
,.Project Total Project AID Balance to
Cont Funding Funding P
Com lete
Aragona $4A M $3.8 M $0.6 M $0.0 M $o.0M
Ashville Park Phase l $12.OM $9.OM $3.0M $O.OM $0.0M
Ashville Park Phase II $16.9 M SO.O M $O.O M 518.9 M $O.O M
Central Resort $113.0 M $0.8 M $30.3 M $81.9 M $0.0 M
College Park and Level Green $2.3 M $0.5 M $1.8 M S0.0 M $0.0 M
Eastern Shore Drive Drainage $72.5 M $17.3 M $48.5 M $6.7 M $0.0 M
Lake Bradford/Chubb Lake $32.0 M $2.2 M $13.9 M $16.0 M $0.0 M
Neighborhood SW Infrastructure $11.6 M $4.7 M $3.064 $3.9 M
North Lake Holly $23.5 M $19.9 M $3.6 M $0.0 M $0.0 N
Princess Anne Plata $172.4 M $5.3 M $62.4 M _ $104.9 M $0.0 M
Sea Level Rise/Recurrent Flooding Analysis $5.0 M $3.8 M $1.2 M $0.0 M $0.0 M
Sherwood Lakes $3.0 M $3.0 M $O.O M I $0.0 M $0.0 M
South Lake Holly Watershed $16.6 M $16.6 M $0.0 M $0.0 M $0.0 M
Southern Canal/Lead Ditch and Culvert Improvements $34.8 M $3.7 M $14.3 M $16.7 M
SWM Master Planning,Analysis,and Inventory $14.8 M $9.8 M $5.0 M $0.0 M $0.0 M
The Lakes $28.7 M $2.0 M $17.3 M I $9.4 M $0.0 M
Watershed Stormwater Projects _ $96.9 M $0.0 M _$48.4 M I $484 M I $0.0 M
Windsor Woods $152.8M $12.7M $63.0 M $77.1 M -
$0.0
Totals for Flood Contrd $815.0 M $114.8 M _$316.3 M $383.9 M $0.0 M
Total For Operations and Maintenance $99.5_M_ $154.0 M $261.6 M
Total For Water Quality Regulatory $35.0-M $54.7 M $74.8 M
Totals $815 M $249.3 M 5525.0 M $720.3 M $0-0 M
13 �- TOTAL $1245.3 M
ov 31 STORMWATER
March 19, 2019
50
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
PUBLIC WORKS
Projected CIP Expenditures FY20-FY32 for
Strategy #2
Projected Expenditures
Projected Funding $1305 B
O&M ($415.6 M)
Subtotal $889.4 M
Water Quality ($129.5 M)
Subtotal $759.9 M
Flood Control ($700.2 M)
Amount available for On-going Flood Control and Sea $59.7 M
Leve Rise projects
STORMWATER
Here is an overview of CIP Funding Strategy-#3:
PUBLIC WORKS
OP Funding Strategy-#3
Goal
Expand CIP to a 21 year program from FY20-FY40
Create capacity beyond current flood control projects to address Sea Level Rise
Execution of Goal
1. Proposed FY20 CIP
2. Strategy#1
3. Strategy#2
4. Expand CIP to FY40
5. Redirect$26.7M per year beginning in FY28-FY40 from the Roadway CIP
Projected Funding
$885M FY20 CIP/Strategy#1
$1.3B Strategy#2
$560M FY32-FY40 Note:$766.6M Is General Government
Redirection of Roadway CIP Debt
$346.6M Funding Amount dependent on coverage ratios
j and Charter Bond capacity/limits
E $2.211B Total
STORMWATER
March 19, 2019
51
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)-
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
PUBLIC WORKS
Funding Strategy#3
Estimated
Project Total Project ATD FY 20-25 FY 26-32 FY 33-40
Cost Funding Funding Funding
_ Aragona $4AM $3.8M $0.6M $0.0M $0.0M
Ashville Park Phase l $12.0 M $9.0 M $3.0 M _ SOON $O.O M
Ashville Park Phase II $18.9 M $0.0 M_ $0.0 M _$18.9 M $0.0 M
Central Resort $1130M $0.8M __$30.3M __ $81.9M $0.0M
College Park and Level Green $2.3 M $0.5 M $1.8 M $0.0 M $0.0 M
Eastern Shore Drive Drainage $72.5 M $17.3 M $48.5 M $6.7 M $0.0 M
Lake Bradford/Chubb Lake _ $32.0 M_ $2.2 M $13.9 M _ $16.0M $0.0 M
Neighborhood SW Infrastructure $19.6M_ $4.7 M $3.0 M _ $3.9M $8.0M
North Lake Holly $23.5 M $19.9 M $3.6 M $0.0 M $0.0M
Princess Anne Plaza $172.4 M $5.1 M $62.4 M _$104.9 M $0.0 M
Sea Level Rise/Recurrent Flooding Analysis $13.0 M _ $3.8 M $1.2 M $0.0 M $8.0 M
Sherwood Lakes $3.0 M $3.0 M $0.0 M $0.0 M $0.0 M
South Lake Holly Watershed $16.6 M $16.6 M $0.0 M $0.0 M _ $0.0 M
Southern Canal/Lead Ditch and Culvert Improvements $53.9 M $3.7 M $14.3 M $16.7 M $19.1 M
SWM Master Planning,Analysis,and Inventory $22.8 M $9.8 M $5.0 M $0.0 M $8.0 M
The Lakes $28.7 M $2.0 M $17.3 M $9.4 M $0.OM
Watershed Stormwater Projects $96.9 M $0.0 M $48.4 M $48.4 M $0.0 M
Windsor Woods $152.8 Ai_ $12.7 M $63.0 M $77.1 M $0.011A
Totals for Flood Control $858.1 M $114.8 M $316.3 M $383.9 M $43.1 M
Total For Operations and Maintenance t_.f $99.5 M $154.0 M $261.6 M $350.4 M
Total For Water Quality Regulatory $35.0 M $54.7 M $74.8 M Saga M
°A4'
Totals $858.1 M $249.3 M $525.0 M $720.3 M $490.4 M
STORMWATER TOTAL $1735.8 M
PUBLIC WORKS
Projected CIP Expenditures FY20-FY40 for
Strategy #3
Projected Expenditures
Projected Funding $2.212 B
O&M ($766 M)
$1.446 B
Water Quality ($226.4 M)
$1.2196 B
Flood Control ($743.3 M)
Amount available for Sea Level Rise $476.3 M
ov STORMWATER
March 19, 2019
52
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
Here is a comparison chart of the Funding Strategy Summary:
PUBLIC WORKS
Funding Strategy Summary
FY20-FY25 Strategy#1 Strategy#2 Strategy#3
Proposed 6-Year CIP 13-Year 13-Year 21-Year
FY20-FY32 FY20-FY32 FY20-FY40
Flood Control $227.0 M $402.6 M $700.2 M $743.3 M
Operations& $113.3 M $356.9 M $415.6 M $766.0 M
Maintenance
Water Quality $54.7 M $125.5 M $129.5 M $226.4 M
Total $395.0 M $885.0 M $1.245 B $1.736 B
Available Funding $395.0 M $885.0 M $1305 B $2.211 B
Remaining for $0 $0 $59.7 M $476.3 M
Sea Level Rise
STORMWATER
PUBLIC WORKS
Funding Strategy Summary Continued
• Proposed FY20 CIP continues City Council's goals to increase funding
for Stormwater program
• Strategy#1 expands CIP to a 13 year program from FY20-FY32
• Strategy#2 fully funds all known flood control projects and begins to
provide capacity for Sea Level Rise
• Strategy#3 creates capacity beyond flood control and begins to fund
Sea Level Rise projects
STORMWATER
March 19, 2019
53
CITY MANAGER'S BRIEFING
FY 2019-20 RESOURCE MANAGEMENT PLAN(Budget)—
STORMWATER UTILITY FUND
ITEM#69022
(Continued)
PUBLIC WORKS
Discussion
O - STORMWATER
Mayor Dyer expressed his appreciation to Mr.Johnson for the presentation
March 19, 2019
54
CITY COUNCIL
COMMENTS
ITEM#69023
4:37 P.M.
Council Member Wilson advised she attended a Broadband meeting on March 15, 2019, with
representatives from the five (5)participating cities to discuss governance issues. The next step will
involve each of the City Managers working together in determining the best program.
March 19, 2019
55
CITY COUNCIL
COMMENTS
ITEM#69024
(Continued)
Council Member Wilson advised March 171h was the kick offfor the 5`h Annual "Crush Cancer"event
with 14 year old Michaela Nadeau delivering a powerful and emotional speech where there was not a
"dry eye in the house"after her speech. Council Member Wilson advised Michaela is a local student
from Allenton who is diagnosed with cancer and went online to choose the doctor who would amputate
her leg. The Crush Cancer event will be held on May 5`h at One Life Fitness. This event has raised$5-
Million in five (5)years. Council Member Wilson invited everyone to attend as it is a wonderful way to
help raise awareness and money for an important cause.
March 19, 2019
56
CITY COUNCIL
COMMENTS
ITEM#69025
(Continued)
Council Member Wooten expressed her appreciation to City Council for allowing the two (2) week
deferral on the TCC Hotel. Council Member Wooten held a forum on March 18`''and expressed
appreciation to City Staff who attended and answered questions and felt the forum was a wonderful
opportunity for citizen engagement.
March 19, 2019
57
CITY COUNCIL
COMMENTS
ITEM#69026
(Continued)
Council Member Moss expressed his appreciation to City Council for allowing him and Council Member
Wooten to serve as Liaisons to the 2040 Vision to Action Community Coalition. Council Member Moss
advised, in preparation for the upcoming meeting with the Chair and Vice Chair, he prepared a guidance
from what he took away from the City Council Retreat. Council Member Moss'understanding is the need
to re-baseline the 2040 Report to reflect the next steps for transit and pull the timeline to 2030 in order to
align with other priorities. Council Member Moss asked for confirmation that his understanding is
correct so he can provide accurate parameters to the Chair and Vice Chair.
March 19, 2019
58
CITY COUNCIL
COMMENTS
ITEM#69027
(Continued)
Council Member Moss advised he requested the City Attorney provide information on the legal authority
regarding the three (3)parking permits at 43rd Street. Council Member Moss advised once he receives
the information he would like to have a discussion on future decisions based on the legal opinion from the
City Attorney.
March 19, 2019
59
AGENDA REVIEW SESSION
ITEM#69028
4:44 P.M.
BY CONSENSUS, the following shall compose the Legislative CONSENT AGENDA:
J. ORDINANCES/RESOLUTIONS
1. Ordinance to GRANT two (2)franchise agreements re Open Markets On Public Property to the
Old Beach Farmer's Market and Old Beach Art and Eco Market in the 700 Block of 18th Street
in ViBe Park
2. Ordinances to AUTHORIZE the City Manager to EXECUTE a Lease of City-Owned Property
at Virginia Beach Farmers Market:
a. Building 6, Space 1 to Lisa Preuss, d/b/a Lisa's Tinker Treasures
b. Building 8, Spaces 23 &24 to Angela C. Surgeon, d/b/a Moosewood Creek Primitives
3. Ordinances to GRANT twelve (12)franchise agreements re Open Air Cafés in
the Resort Area:
a. Baja Taco, Inc., t/a Baja Cantina Café re Atlantic Avenue Side Street Cafe at 206 23rd Street
b. Chix Sea Grille, LLC, t/a Chix Café re Connector Park Cafe at 701 Atlantic Avenue
c. Fish-N-Bones, Inc., t/a Fish Bones Café re Boardwalk Café at 1211 Atlantic Avenue
d. Dandrea, LLC, t/a II Giardino Café re Atlantic Avenue Side Street Cafe at 910 Atlantic
Avenue
e. Jumpin Shrimp,Inc., t/a Jumpin Shrimp Café re Connector Park Café at 1211 Atlantic
Avenue
f Karpathos, Inc., t/a King of the Sea Café re Atlantic Avenue Side Street Cafe at 2612
Atlantic Avenue
g. 9th Street Grill, Inc., t/a Manhattan re Atlantic Avenue Sidewalk Café at 812 Atlantic Avenue
h. Scrambled,Inc., t/a Scrambled re Atlantic Avenue Sidewalk Café at 910 Atlantic Avenue
i. Dunes Investment Associates, LLC, t/a The Beach Club re Boardwalk Cafe at 901 Atlantic
Avenue
j. Gold Key/PHR Food Services, LLC, t/a Tortugas Cafe and Tiki Bar re Boardwalk Cafe at
3400 Atlantic Avenue
k. Gold Key/PHR Food Services, LLC, t/a Tortugas Café and Tiki Bar re Connector Park Cafe
at 3400 Atlantic Avenue
1. Fogg's Seafood Company, t/a Waterman's re Connector Park Cafe at 415 Atlantic Avenue
4. Ordinance to DECLARE approximately 6.4 acres of City Property located at the intersection of
Princess Anne Road and Community College Place to be in EXCESS of the City's needs and
AUTHORIZE the City Manager to enter into a purchase agreement with option for the sale of
the property to Princess Anne Hotel, LLC re development of a hotel and restaurant(Deferred
from March 5, 2019)
March 19, 2019
60
AGENDA REVIEW SESSION
ITEM#69028
(Continued)
5. Ordinance to AMEND the Economic Development Investment Program (EDIP)Policy and
Procedure re process for making and paying awards, and enhance reporting requirements
6. Resolution to SUPPORT the City's application for the 2019 Virginia Dam Safety Flood
Prevention and Protection Assistance Fund Grant from the Virginia Department of
Conservation and Recreation
7. Ordinance to APPROPRIATE$650,000 in local vehicle license revenue to Department of
Finance FY2018-19 Operating Budget re collection costs of local vehicle registration fees
8. Ordinances to ACCEPT and APPROPRIATE:
a. $1,494,816 from the Virginia Department of Transportation (VDOT) re traffic signal
rehabilitation and maintenance of roadways
b. $3,000 from GEICO to Police Department FY2018-19 Operating Budget re Every 15
Minutes Program
c. $183,569 from Federal Emergency Management Agency (FEMA) to Fire Department
FY2018-19 Operating Budget re purchase and maintenance of communications equipment
for Virginia Task Force 2 Urban Search and Rescue Team
d. $98,620 from Virginia Department of Behavioral Health and Developmental Services
(DBHDS) to Human Services FY2018-19 Operating Budget re creation of two (2) new
positions to provide enhanced Behavioral Health Services
COUNCIL MEMBER MOSS WILL VOTE VERBAL NAY ON ITEM#4
COUNCIL MEMBER MOSS WILL VOTE VERBAL NAY ON ITEM#5
ITEM#6 WILL BE CONSIDERED SEPARATELY
March 19, 2019
61
AGENDA REVIEW SESSION
ITEM#69028
(Continued)
BY CONSENSUS, the following shall compose the Planning CONSENT AGENDA:
K. PLANNING
1. CLEAR CREEK HOLDINGS,LLC for a Conditional Change of Zoningfrom R-10 Residential&
I-1 Light Industrial to Conditional I-1 Light Industrial at a vacant parcel off of South Birdneck
Road, approximately 680 feet from Carissa Court re construct three (3) buildings for industrial
office/warehouse units DISTRICT 6—BEACH(Deferred from February 5, 2019 and February 19,
2019)
2. JANET T.RESPASS& TERESA TATEMfor a Variance to Section 4.4(b) of the Subdivision
Regulations re lot width at 1965 Gum Bridge Road and an adjacent vacant parcel DISTRICT 7—
PRINCESS ANNE
3. C AND C DEVELOPMENT CO,INC./ETCPAC,LLC for a Special Exception for Alternative
Compliance to the Oceanfront Resort District Form-Based Code re lot width, lot area, and
parking setbacks at 2508 Pacific Avenue & 302 26t11 Street DISTRICT 6—BEACH
4. VIRGINIA BEACH DEVELOPMENT AUTHORITY(VBDA)for a Conditional Change of
Zoning from Conditional B-2 Community Business to Conditional I-1 Light Industrial, and
Conditional I-1 Light Industrial to Conditional B-2 Community Business at the corner of
Corporate Landing Parkway and General Booth Boulevard DISTRICT 7—PRINCESS ANNE
5. TRADITIONAL CONCEPTS,LLC& VICTORY BAPTIST CHURCH OF VIRGINIA
BEACH,INC.for a Conditional Change of Zoning from R-15 Residential to Conditional R-10
Residential re 13 single-family dwellings and a Modification of Conditions re religious use at
4125 Indian River Road DISTRICT 7—PRINCESS ANNE
ITEM#1 WILL BE CONSIDERED SEPARATELY
COUNCIL MEMBER ABBOTT WILL ABSTAIN ON ITEM#2
ITEM#3 WILL BE CONSIDERED SEPARATELY
ITEM#4 WILL BE CONSIDERED SEPARATELY
March 19, 2019
62
ITEM#69029
Mayor Robert M. Dyer entertained a motion to permit City Council to conduct its CLOSED SESSION,
pursuant to Section 2.2-3711(A), Code of Virginia, as amended,for the following purpose:
PUBLICLY-HELD PROPERTY: Discussion or consideration of the,
acquisition of real property for public purpose; 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).
• Beach District
PERSONNEL MATTERS: Discussion, consideration, or interviews of
prospective candidates for employment, assignment, appointment,
promotion, performance, demotion, salaries, disciplining or resignation
of specific public officers, appointees or employees of any public body
pursuant to Section 2.2-3711(A)(1)
• Council Appointments: Council, Boards, Commissions,
Committees, Authorities, Agencies and Appointees
• Evaluations of Appointees
March 19, 2019
63
ITEM#69029
(Continued)
Upon motion by Council Member Kane, seconded by Council Member Wooten, City Council voted to
proceed into CLOSED SESSION at 4:51 P.M.
Voting: 10-0
Council Members Voting Aye:
Jessica P.Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
Break 4:52 P.M. —4:59 P.M.
Closed Session 4:59 P.M. —5:59 P.M.
*Council Member Moss stepped out during the Public Held Property—Beach District discussion due to
a potential conflict.
March 19, 2019
64
FORMAL SESSION
VIRGINIA BEACH CITY COUNCIL
March 19, 2019
6:00 P.M.
Mayor Dyer called to order the FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL in the
City Council Chamber, City Hall, on Tuesday, March 19, 2019, at 6:00 P.M.
Council Members Present:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
INVOCATION: Pastor Barbara St. Jean
Free Spirit Worship Church
PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA
Council Member Rosemary Wilson DISCLOSED that she is a real estate agent affiliated with Howard
Hanna Real Estate Services("Howard Hanna'), who's Oceanfront Office is located at 303 34`''Street Suite
102, Virginia Beach, VA 23451. Because of the nature of realtor and real estate agent affiliation, the size
of Howard Hanna, and the volume of transactions it handles in any given year, Howard Hanna 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(the "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 of the agenda for any given meeting of the Council, she
identifies a matter in which she has a `personal interest,"as defined in the Act, she will file the appropriate
disclosure letter to be recorded in the official records of the City Council. Council Member Wilson
regularly makes this disclosure. Her letter of February 20, 2018, is hereby made part of the record.
March 19, 2019
65
Council Member Rosemary Wilson also DISCLOSED she has a personal interest in Dixon Hughes
Goodman and receives income from the firm as a result of her late husband's employment. The income is
proceeds from the sale of his partnership interest,paid out over an extended period of time. She is not an
employee of Dixon Hughes Goodman, does not have any role in management of the company and does is
not privy to its client list. However, due to the size of Dixon Hughes Goodman and the volume of
transactions it handles in any given year,Dixon Hughes Goodman may have an interest in matters of which
she has no personal knowledge. In that regard, she is always concerned about the appearance of
impropriety that might arise if she unknowingly participates in a matter before City Council in which Dixon
Hughes Goodman has an interest. In order to ensure her compliance with both the letter and spirit of the
State and Local Government Conflict of Interests Act (the `Act'), it is her practice to thoroughly review
each City Council agenda to identify any matters in which she might have an actual or potential conflict.
If, during her review of an agenda, she identifies a matter in which she has a `personal interest", as defined
by the Act, she will either abstain from voting, or file the appropriate disclosure letter with the City Clerk
to be included in the official records of City Council. Council Member Wilson's letter of June 2, 2015, is
hereby made a part of the record.
March 19, 2019
66
ITEM— VI-E.
CERTIFICATION
ITEM#69030
Upon motion by Council Member Moss, seconded by Council Member Kane, 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: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
4
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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#69029,Page 63 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.
NOW,THEREFORE,BE IT RESOLVED: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.
1
,A JI,
AWanda Barnes, i C
City Clerk March 19, 2019
67
ITEM— VI-F.1
MINUTES
ITEM#69031
Upon motion by Council Member Wilson, seconded by Vice Mayor Wood, City Council APPROVED the
MINUTES of the INFORMAL and FORMAL SESSION of February 19, 2019
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent.•
None
March 19, 2019
68
ITEM- VI-G.
MAYOR'S PRESENTATION
ITEM#69032
PROCLAMATION
VIRGINIA BEACH CLEAN COMMUNITY COMMISSION FOUNDERS DAY
Mayor Dyer introduced and welcomed Clean Community Commissioners; Daniel Baxter - Chair, Larry
Banks - Vice Chair and Nancy Degges — Secretary and presented a Proclamation declaring March 19,
2019 as, "VIRGINIA BEACH CLEAN COMMUNITY COMMISSION FOUNDERS DAY". Mayor Dyer
called upon all citizens to commend them for their endeavors in service to our City.
Daniel Baxter expressed his appreciation to City Council for their continued support of the Clean
Community Commission and their programs.
March 19, 2019
� _ r
2
o�99'F8 �6
Op OUR NP 0
firodamation
Whereas 'The Virginia Beach Clean Community Commission ('i'BCCC) is a City Council-appointed
group formed in 1980 to undertake the task of promoting litter prevention, recycling,
6eautation and general environmental awareness through educational projects designed to
reach all segments of our community;and
Whereat 7-laving been active with the VBCCC from its inception,Daniel-Batter—Chair,Larry Banks
-'Vice Chair,and-Nancy'egges—Treasurer,were officially appointed to their positions with
the'VBCCC,6y council to serve onApril-13,2010;and
Whereat These three founding commissioners were instrumental in the development of the`uBCCC and
worked with the City to foritt the following programs:
• The Mel-ping Mane Program which coordinates resources and volunteers with the goat of
providing assistance to senior citizens and physically challenged residents who are
financially unable to do so themselves
• 'he AdoptA-Program which encourages individual responsibility for our environment
through scheduled latter pickups
• The Earth Day Celebration, presented in partnership with Virginia Beach Parks sZ
&creation, Waste Management and the 'VBCCC a tIay that is intended to inspire
awareness and appreciationfor the earth's natural'resources
• And the Clean the Bay Day Picnic which follows the annual Clean the Bay Day Cleanup
event and allows the'VBCCC to say thanks to volunteers for their commitment to keeping
our waterways clean
Now?Traefare,I&ben Y. Dyer, Mayor of the City of Virginia Beach,'Virginia,do hereby proclaim:
March 19, 2019
Virginia Beach Clean Community
Commission 'Founders Day
In'Virginia Beach, in recognition of Daniel Baxter, Larry Banks, and Nancy cDegges; and I call upon all
citizens to commend them for their endeavors in service to our City.
In Witness'Whereof I have hereunto set my hand and caused the Official Seal of the City of Virginia Beach,
'Virginia,to be affr.qd this Nineteenth day of Warch 2019.
- -
Robert 31. 'Bobby"Dyer
Mayor
69
ITEM- VI-H.1
PUBLIC HEARINGS
ITEM#69033
Mayor Dyer DECLARED A PUBLIC HEARING:
1. LEASE OF CITY PROPERTY—OPEN AIR MARKETS
a. 700 Block of 18`h Street in ViBe Park to Old Beach Farmers Market
b. 700 Block of 18`h Street in ViBe Park to Old Beach Farmers Market, t/a Old Beach Art and
Eco Market
There being no speakers, Mayor Dyer CLOSED the PUBLIC HEARING
March 19, 2019
70
ITEM- VI-H.2
PUBLIC HEARINGS
ITEM#69034
Mayor Dyer DECLARED A PUBLIC HEARING:
2. LEASE OF CITY PROPERTY—FARMERS MARKET
a. Building 6, Space 1 to Lisa's Tinker Treasures
b. Building 8, Spaces 23 &24 to Moosewood Creek Primitives
There being no speakers, Mayor Dyer CLOSED the PUBLIC HEARING
March 19, 2019
71
ITEM- VI-H.3
PUBLIC HEARINGS
ITEM#69035
Mayor Dyer DECLARED A PUBLIC HEARING:
3. OPEN AIR CAFE FRANCHISE AGREEMENTS
a. Baja Taco, Inc., t/a Baja Cantina Cafe re Atlantic Avenue Side Street Café at 206 23rd
Street
b. Chix Sea Grille, LLC, t/a Chix Café re Connector Park Cafe at 701 Atlantic Avenue
c. Fish-N-Bones, Inc., t/a Fish Bones Café re Boardwalk Cafe at 1211 Atlantic Avenue
d. Dandrea, LLC, t/a Il Giardino Cafe re Atlantic Avenue Side Street Cafe at 910 Atlantic
Avenue
e. Jumpin Shrimp, Inc., t/a Jumpin Shrimp Cafe re Connector Park Café at 1211 Atlantic
Avenue
f Karpathos, Inc., t/a King of the Sea Cafe re Atlantic Avenue Side Street Cafe at 2612
Atlantic Avenue
g. 9th Street Grill, Inc., t/a Manhattan re Atlantic Avenue Sidewalk Cafe at 812 Atlantic
Avenue
h. Scrambled, Inc., t/a Scrambled re Atlantic Avenue Sidewalk Café at 910 Atlantic Avenue
i. Dunes Investment Associates, LLC, t/a The Beach Club re Boardwalk Cafe at 901 Atlantic
Avenue
j. Gold Key/PHR Food Services, LLC, t/a Tortugas Café and Tiki Bar re Boardwalk Café at
3400 Atlantic Avenue
k. Gold Key/PHR Food Services, LLC, t/a Tortugas Cafe and Tiki Bar re Connector Park
Cafe at 3400 Atlantic Avenue
1. Fogg's Seafood Company, t/a Waterman's re Connector Park Café at 415 Atlantic Avenue
There being no speakers, Mayor Dyer CLOSED the PUBLIC HEARING
March 19, 2019
72
ADD ON
RESOLUTION
ITEM#69036
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADDED a
Resolution to "DIRECT the City Attorney to file a petition for Writ of Special Election re Beach District
vacancy"
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
73
ITEM- VI-i
FORMAL SESSION AGENDA
ITEM#69037
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council APPROVED, BY
CONSENT,Agenda Items J: Ordinances/Resolutions, 1, 2a/b, 3a-1, 4(MOSS VERBAL NAY), 5(MOSS
VERBAL NAY), 7, and 8a/b/c/d and Planning Agenda Items K:2(ABBOTT ABSTAIN) and 5
Voting: 10-0
Council Members Voting Aye:
Jessica P.Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
ORDINANCES/RESOLUTIONS:
ITEM J. 6 WILL BE CONSIDERED SEPARATELY
PLANNING:
ITEM K.1 WILL BE CONSIDERED SEPARATELY
COUNCIL MEMBER ABBOTT WILL ABSTAIN ON ITEM K.2
ITEM K.3 WILL BE CONSIDERED SEPARATELY
ITEM K.4 WILL BE CONSIDERED SEPARATELY
March 19, 2019
74
ITEM— VLJ.1
ORDINANCES/RESOLUTIONS
ITEM#69038
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance to GRANT two (2)franchise agreements re Open Markets On Public Property
to the Old Beach Farmer's Market and Old Beach Art and Eco Market in the 700 Block of 18`x' Street in
ViBe Park
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE GRANTING TWO
2 FRANCHISE AGREEMENTS FOR OPEN
3 MARKETS ON PUBLIC PROPERTY
4
5 WHEREAS, City Council adopted an ordinance on May 3, 2016 granting three
6 franchise agreements for Old Beach Farmers Market, Eco Maniac Company, Inc. and
7 Old Beach Art Market to operate open air markets in the public right-of-way in the 600
8 block of 19th Street; and
9
10 WHEREAS, the franchise agreements had a term of one year, with the option for
11 two additional one-year extensions; and
12
13 WHERES, Old Beach Farmers Market, Eco Maniac Company, Inc. and Old
14 Beach Art Market operated open air markets in the public right-of-way from 2016 until
15 2019; and
16
17 WHEREAS, two of the previous franchisees (Old Beach Art Market and Eco
18 Maniac Company, Inc.) merged to form a new entity called Old Beach Art Market t/a Old
19 Beach Art and Eco Market; and
20
21 WHEREAS, the new entity, Old Beach Art Market, along with the previous
22 franchisee, Old Beach Farmers Market, wish to continue operating markets on public
23 property (collectively, "Franchisees"); and
24
25 WHEREAS, the Franchisees can no longer operate at the previous location in
26 the 600 block of 19th Street due to construction on 19th Street; and
27
28 WHEREAS, as an alternative, the Franchisees are requesting that the markets
29 be moved to the 700 block of 18th Street in ViBe Park ("New Location"); and
30
31 WHEREAS, the Resort Advisory Commission reviewed and approved moving the
32 markets to the New Location; and
33
34 WHEREAS, the Franchisees are requesting to use the New Location for open air
35 markets for a one-year period with the option for two one-year extensions; and
36
37 WHEREAS, the term of the proposed franchise agreements is one year,
38 commencing on June 1, 2019 and ending at midnight on May 31, 2020, on each
39 Saturday during the months of June 2019, July 2019, August 2019, September 2019,
40 October 2019 and May 2020, and on the third Saturday of each month during the
41 months of November 2019, December 2019, January 2020, February 2020, March 2020
42 and April 2020.
43
44 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
45 VIRGINIA BEACH:
46
47 1. That the City Council hereby authorizes the grant of two franchise agreements
48 for open markets on public property for Old Beach Art Market and Old Beach
49 Farmers Market.
50
51 2. That the City Manager, or designee, is hereby authorized to execute Franchise
52 Agreements for open air markets with Old Beach Art Market and Old Beach
53 Farmers Market in accordance with the attached Summary of Terms and such
54 other terms and conditions deemed necessary and sufficient by the City Manager
55 and in a form approved by the City Attorney.
56
Adopted by the City Council of Virginia Beach, Virginia on this 19th day of
March , 2019.
APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY:
; ..�
Convention & Visitors Bureau City Attorney's Office
CA14618
R-1
February 21, 2019
Summary of Terms
Franchise Agreements for Open Markets on Public Property
Franchisees: (1) Old Beach Farmers Market; and(2)Old Beach Art Market.
Nature of Franchise: Operate open markets on public property in the 700 block of 18`h Street in ViBe
Park.
Term: June 1, 2019 through May 31, 2020, with the option for 2 one-year renewals.
Franchisees are authorized to operate on each Saturday during the months of June 2019, July 2019,
August 2019, September 2019, October 2019 and May 2020, and on the third Saturday of each month
during the months of November 2019, December 2019,January 2020,February 2020,March 2020 and
April 2020.
Franchise Fee: $100 for the term.
Non-Exclusive Franchise: The City is authorized to grant other franchises in the subject area.
Relocation option: The City has the right, at its sole discretion,to relocate the markets to the 600 block
of 18th Street. The City may only exercise this right at the end of the initial term or the end of the first
extension term. If the City elects to relocate the markets, the parties are required to execute an
amendment to the franchise to address issues such as exclusion dates, street closures and traffic control
plans.
Operational Criteria: The Agreement stipulates operational standards and safeguards such as:
a. Franchisee shall design the open air market site to allow for emergency vehicle access
at all times.
b. No City streets shall be closed and all activities shall occur within ViBe Park during
the term of the franchise.
c. Franchisee shall adhere to the operational parameters and public safety concerns
established by City departments, including, but not limited to, Police, Fire, EMS,
Public Works and Resort Management. This includes providing adequate DCJS
certified private security personnel or certified traffic monitors, as required.
d. Franchisee shall provide one portable ADA restroom facility for each one hundred and
fifty (150) patrons on the premises, or shall install signs on City property directing
patrons to existing restrooms located in an adjacent business establishment.
e. A minimum of three waste disposal containers and three recycle containers shall be
installed by Franchisee on the premises.
f. Franchisee shall remove all temporary structures, clean all City property and properly
dispose of waste and recycle materials by 1:00 pm each day.
Hold Harmless: Franchisee indemnifies and holds harmless the City for loss and liability.
Insurance: $1,000,000 combined single limits.
Termination: City may terminate agreements with or without cause.
75
ITEM— VLJ.2a
ORDINANCES/RESOLUTIONS
ITEM#69039
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance to AUTHORIZE the City Manager to EXECUTE a Lease of City-Owned Property
at Virginia Beach Farmers Market:
a. Building 6, Space 1 to Lisa Preuss, d/b/a Lisa's Tinker Treasures
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE AUTHORIZING THE CITY
2 MANAGER TO EXECUTE A LEASE FOR UP TO 5
3 YEARS WITH LISA PREUSS, D/B/A LISA'S TINKER
4 TREASURES, FOR CITY-OWNED PROPERTY
5 KNOWN AS BUILDING 6, SPACE NUMBER 1, IN THE
6 VIRGINIA BEACH FARMERS MARKET
7
8 WHEREAS, the City of Virginia Beach (the "City") is the owner of the City of
9 Virginia Beach Farmers Market located at 3640 Dam Neck Road in Virginia Beach,
10 Virginia (the "Farmers Market");
11
12 WHEREAS, Lisa Preuss, d/b/a Lisa's Tinker Treasures ("Lisa's Tinker
13 Treasures"), would like to enter into a new lease with the City for Building 6, Space
14 Number 1 in the Farmers Market, consisting of 310 square feet (the "Premises");
15
16 WHEREAS, the Premises will be utilized for the sale of jewelry, decor, gifts and
17 related items, and for no other purpose; and
18
19 WHEREAS, Lisa's Tinker Treasures has agreed to pay the City an initial rental
20 rate of$425.00 per month ($5,100.00 per year) subject to a five percent(5%) annual
21 rent escalation for each renewal year for the use of the Premises.
22
23 NOW 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 up to 5 years
27 between Lisa's Tinker Treasures and the City for the Premises, in accordance with the
28 Summary of Terms, attached hereto as Exhibit A and made a part hereof, and such
29 other terms, conditions or modifications as may be acceptable to the City Manager and
30 in a form deemed satisfactory by the City Attorney.
31
32 Adopted by the Council of the City of Virginia Beach, Virginia on the 19th day of
33 March , 2019.
APPROVED AS TO LEGAL APPROVED AS TO CONTENT
SUFFICIENCY AND FORM
City Attorney Public Works/Facilities Management
CA14423
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March 8, 2019
EXHIBIT A
SUMMARY OF TERMS
LEASE FOR BUILDING 6, SPACE NUMBER 1
AT THE VIRGINIA BEACH FARMERS MARKET
LESSOR: City of Virginia Beach
LESSEE: Lisa Preuss, d/b/a Lisa's Tinker Treasures
PREMISES: Building 6, Space Number 1 consisting of 310 square feet
TERM: Initial Term —April 1, 2019 — March 31, 2022 (3 years)
Renewal Term 1—April 1, 2022 — March 31, 2023 (1 year)
Renewal Term 2—April 1, 2023 — March 31, 2024 (1 year)
RENT: Initial rent of$425.00 each month totaling $5,100.00 for the first
year, subject to five percent (5%) annual rent escalation for each
renewal year.
RIGHTS AND RESPONSIBILITIES OF LESSEE:
• Use Premises for the sale of jewelry, decor, gifts and related items
and for no other purpose.
• Maintain Premises, including heating and air conditioning units
and/or heat pump units.
• Payment of all assessed fees and taxes.
• Purchase and maintain commercial general liability insurance.
RIGHTS AND RESPONSIBILITIES OF CITY:
• Maintain common areas of the Farmers Market and structural
elements of the Premises.
• Provide electrical service.
TERMINATION:
• City has special right to terminate if necessary for a public purpose
by giving sixty (60) days' advance written notice.
• Lessee may terminate by giving ninety (90) days' advance written
notice.
76
ITEM— VLJ.2b
ORDINANCES/RESOLUTIONS
ITEM#69040
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance to AUTHORIZE the City Manager to EXECUTE a Lease of City-Owned
Property at Virginia Beach Farmers Market.
b. Building 8, Spaces 23 & 24 to Angela C. Surgeon, d/b/a Moosewood
Creek Primitives
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE AUTHORIZING THE CITY
2 MANAGER TO EXECUTE A LEASE FOR UP TO 5
3 YEARS WITH ANGELA C. SURGEON, D/B/A
4 MOOSEWOOD CREEK PRIMITIVES, FOR CITY-
5 OWNED PROPERTY KNOWN AS BUILDING 8,
6 SPACE NUMBERS 23 & 24, IN THE VIRGINIA
7 BEACH FARMERS MARKET
8
9 WHEREAS, the City of Virginia Beach (the "City") is the owner of the City of
10 Virginia Beach Farmers Market located at 3640 Dam Neck Road in Virginia Beach,
11 Virginia (the "Farmers Market");
12
13 WHEREAS, Angela C. Surgeon, d/b/a Moosewood Creek Primitives
14 ("Moosewood Creek Primitives"), would like to enter into a new lease with the City for
15 Building 8, Space Numbers 23 & 24 in the Farmers Market, consisting of approximately
16 1,125 square feet (the "Premises");
17
18 WHEREAS, the Premises will be utilized for the sale of primitive decor items
19 including candles, ceramics, textiles, furniture and related items, and DIY classes in
20 crafting the same, and for no other purpose; and
21
22 WHEREAS, Moosewood Creek Primitives has agreed to pay the City an initial
23 rental rate of$950.00 per month ($11,400.00 per year) subject to a five percent (5%)
24 annual rent escalation for each renewal year for the use of the Premises.
25
26 NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
27 OF VIRGINIA BEACH, VIRGINIA:
28
29 That the City Manager is hereby authorized to execute a lease for up to 5 years
30 between Moosewood Creek Primitives and the City for the Premises, in accordance
31 with the Summary of Terms, attached hereto as Exhibit A and made a part hereof, and
32 such other terms, conditions or modifications as may be acceptable to the City Manager
33 and in a form deemed satisfactory by the City Attorney.
34
35 Adopted by the Council of the City of Virginia Beach, Virginia on the 19th day of
36 March , 2019.
APPROVED AS TO LEGAL APPROVED AS TO CONTENT
SUFFICIENCY AND FORM
GuaR, ffit;1747,0,)
City Attorney Public Wor s/Facilities Management
CA14420
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R-1
March 8, 2019
EXHIBIT A
SUMMARY OF TERMS
LEASE FOR BUILDING 8, SPACE NUMBERS 23 & 24
AT THE VIRGINIA BEACH FARMERS MARKET
LESSOR: City of Virginia Beach
LESSEE: Angela C. Surgeon d/b/a Moosewood Creek Primitives
PREMISES: Building 8, Space Numbers 23 & 24 consisting of
approximately 1,125 square feet
TERM: Initial Term — May 1, 2019 —April 30, 2022 (3 years)
Renewal Term 1— May 1, 2022 —April 30, 2023 (1 year)
Renewal Term 2— May 1, 2023 —April 30, 2024 (1 year)
RENT: Initial rent of$950.00 each month totaling $11,400.00 for the
first year, subject to five percent(5%) annual rent escalation
for each renewal year.
RIGHTS AND RESPONSIBILITIES OF LESSEE:
• Use Premises for the sale of primitive decor items including candles,
ceramics, textiles, furniture and related items, and DIY classes in crafting
the same, and for no other purpose.
• Maintain Premises, including heating and air conditioning units and/or heat
pump units.
• Payment of all assessed fees and taxes.
• Purchase and maintain commercial general liability insurance.
RIGHTS AND RESPONSIBILITIES OF CITY:
• Maintain common areas of the Farmers Market and structural elements of
the Premises.
• Provide electrical service.
TERMINATION:
• City has special right to terminate if necessary for a public purpose by
giving sixty (60) days' advance written notice.
• Lessee may terminate by giving ninety (90) days' advance written notice.
77
ITEM— VLJ.3a-1
ORDINANCES/RESOLUTIONS
ITEM#69041
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance to GRANT twelve (12)franchise agreements re Open Air Cafés in the Resort
Area:
a. Baja Taco, Inc., t/a Baja Cantina Café re Atlantic Avenue Side Street Cafe at 206 23rd Street
b. Chix Sea Grille, LLC, t/a Chix Café re Connector Park Cafe at 701 Atlantic Avenue
c. Fish-N-Bones, Inc., t/a Fish Bones Café re Boardwalk Cafe at 1211 Atlantic Avenue
d. Dandrea, LLC, t/a II Giardino Café re Atlantic Avenue Side Street Cafe at 910 Atlantic Avenue
e. Jumpin Shrimp, Inc., t/a Jumpin Shrimp Café re Connector Park Cafe at 1211 Atlantic Avenue
f Karpathos, Inc., t/a King of the Sea Café re Atlantic Avenue Side Street Cafe at 2612 Atlantic
Avenue
g. 9th Street Grill, Inc., t/a Manhattan re Atlantic Avenue Sidewalk Cafe at 812 Atlantic Avenue
h. Scrambled, Inc., t/a Scrambled re Atlantic Avenue Sidewalk Cafe at 910 Atlantic Avenue
i. Dunes Investment Associates, LLC, t/a The Beach Club re Boardwalk Cafe at 901 Atlantic
Avenue
j. Gold Key/PHR Food Services, LLC, t/a Tortugas Café and Tiki Bar re Boardwalk Cafe at 3400
Atlantic Avenue
k. Gold Key/PHR Food Services, LLC, t/a Tortugas Café and Tiki Bar re Connector Park Cafe at
3400 Atlantic Avenue
1. Fogg's Seafood Company, t/a Waterman's re Connector Park Café at 415 Atlantic Avenue
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE GRANTING TWELVE
2 FRANCHISE AGREEMENTS FOR OPEN AIR
3 CAFES IN THE RESORT AREA
4
5 WHEREAS, by resolution adopted November 25, 1985, City Council authorized
6 the City Manager to promulgate Open Air Café Regulations, which have been amended
7 from time to time, for the operation of open air cafés on public property; and
8
9 WHEREAS, the City Council has traditionally granted initial franchises for one-
10 year terms; and
11
12 WHEREAS, if an open air café is successfully operated during the initial one-
13 year term, the franchisee may return to Council and request a five-year franchise
14 agreement; and
15
16 WHEREAS, the following twelve entities have successfully operated open air
17 cafés pursuant to either one-year or five-year franchise agreements, and are seeking
18 renewal of their franchise agreements for five-year terms: (1) Baja Taco, Inc., t/a Baja
19 Cantina Café, for operation of an Atlantic Avenue Side Street Café; (2) Chix Sea Grille,
20 LLC, t/a Chix Café, for operation of a Connector Park Café; (3) Fish-N-Bones, Inc., t/a
21 Fish Bones, for operation of a Boardwalk Café; (4) Dandrea, LLC, t/a II Giardino, for
22 operation of an Atlantic Avenue Side Street Café; (5) Jumpin Shrimp, Inc., t/a Jumpin
23 Shrimp, for operation of a Connector Park Café; (6) Karpathos, Inc.,. t/a King of the
24 Sea, for operation of an Atlantic Avenue Side Street Café; (7) 9th Street Grill, Inc., t/a
25 Manhattan, for operation of an Atlantic Avenue Sidewalk Café; (8) Scrambled, Inc., t/a
26 Scrambled, for operation of an Atlantic Avenue Sidewalk Café; (9) Dunes Investment
27 Associates, LLC, t/a The Beach Club, for operation of a Boardwalk Café; (10) Gold
28 Key/PHR Food Services, LLC, t/a Tortugas Café and Tiki Bar, for operation of a
29 Boardwalk Café; (11) Gold Key/PHR Food Services, LLC, t/a Tortugas Café and Tiki
30 Bar, for operation of a Connector Park Café; and (12) Fogg's Seafood Company, t/a
31 Waterman's, for operation of a Connector Park Café; and
32
33 WHEREAS, the Convention & Visitors Bureau/Resort Management recommends
34 that the above-named entities be granted open air café franchise agreements.
35
36 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
37 VIRGINIA BEACH:
38
39 That the City Council hereby grants five-year franchise agreements to: (1) Baja
40 Taco, Inc., t/a Baja Cantina Café, for operation of an Atlantic Avenue Side Street Café;
41 (2) Chix Sea Grille, LLC, t/a Chix Café, for operation of a Connector Park Café; (3) Fish-
42 N-Bones, Inc., t/a Fish Bones, for operation of a Boardwalk Café; (4) Dandrea, LLC, t/a
43 II Giardino, for operation of an Atlantic Avenue Side Street Café; (5) Jumpin Shrimp,
44 Inc., t/a Jumpin Shrimp, for operation of a Connector Park Café; (6) Karpathos, Inc.,. t/a
45 King of the Sea, for operation of an Atlantic Avenue Side Street Café; (7) 9th Street Grill,
46 Inc., t/a Manhattan, for operation of an Atlantic Avenue Sidewalk Café; (8) Scrambled,
47 Inc., t/a Scrambled, for operation of an Atlantic Avenue Side Walk Café; (9) Dunes
48 Investment Associates, LLC, t/a The Beach Club, for operation of a Boardwalk Café;
49 (10) Gold Key/PHR Food Services, LLC, t/a Tortugas Café and Tiki Bar, for operation of
50 a Boardwalk Café; (11) Gold Key/PHR Food Services, LLC, t/a Tortugas Café and Tiki
51 Bar, for operation of a Connector Park Café; and (12) Fogg's Seafood Company, t/a
52 Waterman's, for operation of a Connector Park Café.
53
Adopted by the City Council of Virginia Beach, Virginia on this 19thday of
March 2019.
APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY:
Mike Eason Aimee Sullivan
Convention and Visitors Bureau/ City Attorney's Office
Resort Management
CA14595
R-1
January 17, 2019
78
ITEM— VLJ.4
ORDINANCES/RESOLUTIONS
ITEM#69042
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance DECLARE approximately 6.4 acres of City Property located at the intersection of
Princess Anne Road and Community College Place to be in EXCESS of the City's needs and AUTHORIZE
the City Manager to enter into a purchase agreement with option for the sale of the property to Princess
Anne Hotel, LLC re development of a hotel and restaurant(Deferred from March 5, 2019):
Voting. 9-1
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, Aaron R. Rouse, Rosemary Wilson, Vice Mayor James L.
Wood and Sabrina D. Wooten
Council Members Voting Nay:
John D. Moss
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE 1) DECLARING APPROXIMATELY 6.4
2 ACRES OF CITY PROPERTY LOCATED AT THE
3 INTERSECTION OF PRINCESS ANNE ROAD AND
4 COMMUNITY COLLEGE PLACE TO BE IN EXCESS OF
5 THE CITY'S NEEDS AND 2) AUTHORIZING THE CITY
6 MANAGER TO ENTER INTO A PURCHASE AGREEMENT
7 WITH OPTION FOR THE SALE OF THE PROPERTY TO
8 PRINCESS ANNE HOTEL, LLC FOR THE DEVELOPMENT
9 OF A HOTEL AND RESTAURANT.
10
11 WHEREAS, the City of Virginia Beach (the "City") owns two parcels of property
12 located at the intersection of Princess Anne Road and Community College Place,
13 adjacent to Tidewater Community College, consisting of approximately 6.4 acres
14 (GPINs: 1485-34-9414 and 1485-44-2154) (collectively, the "Property");
15
16 WHEREAS, the City issued a Request for Proposals ("RFP") on April 30, 2017
17 for the sale of a portion of the Property and development of a hotel and related site
18 improvements;
19
20 WHEREAS, the City received two responsive proposals, and after review and
21 evaluation, it was determined that the proposal of Princess Anne Hotel, LLC, a Virginia
22 limited liability company ("PA Hotel"), presented the best opportunity to develop the
23 Property as desired by the City;
24
25 WHEREAS, PA Hotel's proposal includes the purchase of a portion of the
26 Property for the construction of a limited service hotel, with a minimum of 110 rooms,
27 and a free-standing restaurant (the "Project");
28
29 WHEREAS, PA Hotel has also requested the option to purchase the remainder of
30 the Property for the construction of a second hotel, which would include conference
31 space;
32
33 WHEREAS, PA Hotel and City staff have negotiated the terms by which PA Hotel
34 would purchase and develop the Property, the terms of which are set forth in the term
35 sheet attached hereto as Exhibit A (the "Term Sheet"); and
36
37 WHEREAS, the City Council is of the opinion that the Property is in excess of the
38 City's needs and the sale of the Property to PA Hotel would provide much needed
39 accommodations in this area of the City.
40
41 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
42 VIRGINIA BEACH, VIRGINIA:
43
44 1. That the Property is hereby declared to be in excess of the needs of the City of
45 Virginia Beach.
46 2. That the City Manager is hereby authorized to execute any documents
47 necessary to sell the Property to PA Hotel (including granting an option to purchase), so
48 long as such documents are in substantial conformity with the Term Sheet, attached
49 hereto as Exhibit A, and made a part hereof, and such other terms, conditions or
50 modifications deemed necessary and sufficient by the City Manager and in a form
51 deemed satisfactory by the City Attorney.
52
53 This Ordinance shall be effective from the date of its adoption.
54
55 Adopted by the Council of the City of Virginia Beach, Virginia, on the 19th day
56 of March , 2019.
APPROVED AS TO CONTENT: APPROVED AS TO LEGAL
SUFFICIENCY: ---
•
Eco : is Development City Attorney's Office
CA14430
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February 22, 2019
EXHIBIT A 12-21-18
TERM-SHEET
PRINCESS ANNE COMMONS HOTEL
Representatives of the City of Virginia Beach (the "City") and Princess Anne Hotel, LLC ("PA
Hotel")have discussed the development of a limited service hotel to be constructed adjacent to the
Virginia Beach campus of Tidewater Community College in the Princess Anne Commons area of
Virginia Beach(the "Project"). This Term-Sheet is intended to reflect the shared understanding of
all parties and their respective commitments going forward. The Term-Sheet is not intended to be
a legally binding agreement, and all proposals outlined are subject to approval and future
appropriation by City Council and approval by PA Hotel.
1. PROJECT DESCRIPTION
a. The Project will be developed on approximately 3.90 acres of property currently
owned by the City and shown as the"Hotel Property- on Exhibit A attached
hereto.
b. The Hotel Property is adjacent to an approximately 2.51 acre parcel of City-
owned land "Option Property" (also shown on Exhibit A).
c. The Project will consist of a limited service hotel with at least 110 keys (the
"Hotel"), a free-standing restaurant (the "Restaurant") and all infrastructure
(including stormwater and parking) necessary for the operation of the Hotel and
the Restaurant.
d. The Hotel will initially be a Home2 Suites by Hilton or similar flag acceptable to
the City. The Restaurant will initially be a national restaurant chain or other
restaurant reasonably acceptable to the City.
2. SALE TERMS
a. PA Hotel will purchase the Hotel Property from the City prior to the
commencement of construction on the Hotel. The terms of the purchase will be
evidenced by a"Purchase Agreement".
b. City will sell the Hotel Property to PA Hotel for five hundred and seventy-eight
thousand dollars per acre ($578,000/acre).
c. PA Hotel will be responsible for all costs associated with designing, constructing,
accessing and equipping the Project.
d. PA Hotel shall be responsible for the extension of sewer force mains, public water
line(s) and stormwater outfall pipe(s) to the Hotel Property (the "Utility
1
12-21-18
Extension"). The City shall reimburse PA Hotel's actual costs for the Utility
Extension up to$475,000. The parties will enter into a cost participation agreement
in an approved form to be attached to the Purchase Agreement to document the
Utility Extension and payment therefore.
e. The City shall not be responsible for any other costs or expenses related to the
development of the Hotel Property or the Option Property.
f. The Project will be designed in a manner consistent with the Princess Anne
Commons Architectural Guidelines, attached hereto as Exhibit B.
g. The Hotel Property will be restricted to prevent any use other than for the operation
of a hotel and/or restaurant and ancillary uses thereto for a period of twenty (20)
years.
h. All design and construction plans must be reviewed and approved by the City.
3. OPTION PROPERTY
a. The City shall grant PA Hotel a first right of refusal to acquire the Option Property
(the "Option") for the purpose of constructing a second hotel which will be
evidenced either in the Purchase Agreement or in a separate `'Option Agreement'.
b. As a condition to the grant of the Option, PA Hotel shall construct an access across
the Hotel Property to the Option Parcel and will establish and dedicate such cross-
access easements or other instruments as necessary to insure the Option Parcel has
access to College Place Drive. Such access shall be built to standards acceptable to
the City and will have, at a minimum, two lanes for vehicular traffic, sidewalks (as
needed) and LED lighting.
c. The Option shall allow PA Hotel to match any offer to purchase the Option Property
made to City within three (3) years of the opening of the Hotel so long as:
i. The price offered the City by PA Hotel is at least the price per acre specified
in the offer for the Option Property, and
ii. PA Hotel commits to the commencement of construction of the second hotel
with conference space, of a size and flag reasonably equivalent or superior
to that specified in the offer for the Option Property, with such construction
to commence within twelve months of the exercise of the Option. For the
avoidance of doubt,the City expects that the hotel constructed on the Option
Property will be larger both in terms of keys and meeting space than the
hotel to be constructed on the Hotel Parcel.
iii. If exercised, the City will retain the right to review and approve the plans
for the construction of improvements on the Option Property to insure such
improvements are acceptable to the City.
2
12-21-18
iv. Notwithstanding the foregoing, the City expressly reserves the right to
decline to sell the Option Property to any party (including PA Hotel) for
less than $578,000 per acre.
4. COMPLETION MILESTONES
a. The Purchase Agreement will have a Due Diligence Period starting from the earlier
of (i) execution of the Purchase Agreement, or (ii) the rezoning of the Hotel
Property and continuing for sixty(60)days. PA Hotel will also have an"Approvals
Period" of four (4) months thereafter to finalize plans, obtain pricing and
construction permitting and approvals, with up to two (2) extensions of thirty (30)
days each if applications for permits and approvals are pending and are being
diligently pursued. Closing will occur within thirty(30) days after such Approvals
Period (as it may be extended). The Purchase Agreement will require
commencement of construction on the Hotel, as evidenced by the issuance of a
building permit, within 90 days after Closing (the "Construction Commencement
Date"). The Purchase Agreement will also have an outside closing date agreeable
to both parties (which will be thirty (30) days after the Approvals Period as
extended unless the parties otherwise agree).
b. The Purchase Agreement will also require PA Hotel to complete the Project (as
evidenced by a final certificate of occupancy for the Hotel) within eighteen (18)
months from the commencement of construction(the"Outside Completion Date").
c. If PA Hotel does not commence construction by the Outside Commencement Date,
the City will have the right to re-acquire the Hotel Property for the amount paid by
PA Hotel to the City in the Purchase Agreement.
d. If PA Hotel does not complete construction by the Outside Completion Date, PA
Hotel shall pay to the City any amounts previously credited against the $578,000
per acre purchase price as contemplated by Section 2 d., above.
e. All the above deadlines shall be subject to extension for force majeure and for any
time as may be necessary for any construction lender for the Project to obtain
possession of the Property by foreclosure or otherwise and recommence
construction of the Project.
3
12-21-18
5. MISCELLANEOUS
a. The parties hereto agree to meet and confer as necessary in furtherance of the
objectives expressed in this Term-Sheet.
b. The parties recognize and agree that if the proposal outlined in this Term Sheet
moves forward, more detailed development agreement and supporting documents
will be negotiated and prepared that will contain additional terms, conditions and
obligations to the terms stated herein.
c. The obligations of the City will all be made subject to appropriation of sufficient
funds by the City Council of the City of Virginia Beach.
d. In development of all elements of the Project (including the Hotel), PA Hotel will
comply with the City's Small Business Supplier Diversity program("SBSD"). The
requirements of the SBSD program are set forth on Exhibit C, attached hereto.
e. The City will not approve any additional curb cuts along Princess Anne Road in
connection with the Project or any development on the Option Property. Access to
the Hotel Property and the Option Property shall be from Community College Place
(with the Option Property's access first being across the Hotel Property).
4
12-21-18
EXHIBIT A
(Property Location Map)
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79
ITEM-VI-J.5
ORDINANCES/RESOLUTIONS
ITEM#69043
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance to AMEND the Economic Development Investment Program (EDIP) Policy and
Procedure re process for making and paying awards, and enhance reporting requirements
Voting. 9-1
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, Aaron R. Rouse, Rosemary Wilson, Vice Mayor James L.
Wood and Sabrina D. Wooten
Council Members Voting Nay:
John D. Moss
Council Members Absent:
None
March 19, 2019
1 ORDINANCE TO AMEND THE ECONOMIC
2 DEVELOPMENT INVESTMENT PROGRAM
3 ("EDIP") POLICY AND PROCEDURE
4
5 WHEREAS, on January 25, 1994, the City Council of the City of Virginia Beach
6 (the "City Council") and the City of Virginia Beach Development Authority (the
7 "Authority") approved the Economic Development Investment Program Policy and
8 Procedure (the "EDIP Policy") to ensure that the expenditure of Economic Development
9 Investment Program ("EDIP") funds is made in the public interest and is in furtherance
10 of the purposes for which the EDIP was established;
11
12 WHEREAS; on March 21, 2006 and March 28, 2006, the Authority and City
13 Council approved amendments to the EDIP Policy to further the City's goals to convert
14 certain property in APZ-1 and Clear Zones area to uses that conform to the APZ-1
15 Ordinance (the "APZ-1 Amendments");
16
17 WHEREAS, on September 21, 2010 and September 28, 2010, the Authority and
18 City Council approved further amendments to the EDIP Policy to allow for
19 reimbursement of additional expenses, to allow incentives for additional job creation and
20 to clarify the APZ-1 Amendments; and
21
22 WHEREAS, on January 15, 2019, subject to City Council concurrence, the
23 Authority approved additional amendments to the EDIP Policy including clarification of
24 the process for making and paying awards, addition of certain reporting requirements,
25 and other modifications.
26
27 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
28 VIRGINIA BEACH, VIRGINIA:
29
30 1. That the amendments to the EDIP Policy are hereby approved in the form
31 attached hereto as Exhibit A; and
32
33 2. That the Mayor is hereby authorized to execute the amended EDIP Policy
34 on behalf of the City.
35
36 Adopted by the City Council of the City of Virginia Beach, Virginia, on the 19th
37 day of March , 2019
APPROVED AS TO CONTENT: APPROVED AS TO :L
SUFFICIENCY:
Eco 914 is Development City Attorney —
CA 14398
\\vbgov corn\DFS1\Applications\CityLawProd\cycom32\W pdocs\D016\1.008100071334.DOC
January 25, 2019
R-1
EXHIBIT A
2019 Revision (3-5-19)
ECONOMIC DEVELOPMENT
INVESTMENT PROGRAM
POLICY AND PROCEDURE
WHEREAS, the City of Virginia Beach Development Authority (the
"Authority") was created pursuant to Chapter 643 of the Acts of Assembly of 1964, as
amended and as codified by § 15.2-4900 et. seq. of the Code of Virginia (collectively, the
"Act");
WHEREAS, one of the primary purposes of the Act is to enable development
authorities "to promote industry and develop trade by inducing manufacturing, industrial,
governmental, nonprofit and commercial enterprises to locate in or remain in the
Commonwealth....";
WHEREAS, pursuant to § 15.2-4905(6), the Authority has the power, inter
alia, "to sell, exchange, donate and convey any or all of its facilities or properties whenever
its board of directors shall find any such action to be in furtherance of the purposes for
which the authority was organized";
WHEREAS, pursuant to §7 of the Act, "the Authority may foster and
stimulate the development of industry in the area within its jurisdiction... [and] may accept,
and expend for the purposes stated above, money from any public or private source....";
WHEREAS, pursuant to § 10 of the Act, the City of Virginia Beach (the
"City") "is authorized and empowered to make appropriations and to provide funds for the
operation of the Authority and to further its purposes";
WHEREAS, the economic development goals and objectives of the City
include achieving a higher ratio of nonresidential to residential real estate assessments,
investing in land and infrastructure to benefit future economic growth, and maximizing the
return of economic development efforts through the development and implementation of
programs and strategies that facilitate new business investment and encourage retention
and expansion activities thereby improving the overall quality of life in the City;
WHEREAS, while the Authority and City desire to promote all sectors of
growth, the Authority and the Department of Economic Development (the "Department")
have identified certain industries to target for growth and expansion in the City (the "Key
Industries"), and the Key Industries,which may be updated from time to time, are identified
on the Department's website, www.yesvirginiabeach.com ;
1
WHEREAS, other than JEB Little Creek Fort Story, NAS Oceana is the
single largest employer in the City, and investments and economic development efforts
aimed at retaining NAS Oceana as a master jet base are critical to the City's economic
"health";
WHEREAS,the City has established the Economic Development Investment
Program ("EDIP") as part of its overall effort to enhance the City's ability to accomplish
these goals and objectives;
WHEREAS, pursuant to the authority and empowerment set forth in §10 of
the Act, City Council has determined that it would be in the best interests of the City to
provide EDIP appropriations to the Authority to enable the Authority to more effectively
continue its efforts to foster and stimulate economic development by (i) inducing
businesses to locate or remain in the City; and (ii) providing incentives to qualifying
developers and property owners for the development or redevelopment of under improved
or underdeveloped properties, or brownfields, grey fields, or abandoned or blighted
properties in areas of the City which have been designated as "Strategic Growth Areas".
"Special Economic Growth Areas", "Economic Redevelopment Areas" or "Opportunity
Zones"(as defined in the Internal Revenue Code), including infill development within such
areas. Collectively, Strategic Growth Areas, Special Economic Growth Areas, Economic
Redevelopment Areas, and Opportunity Zones may be referred to herein as"Target Areas;"
and
WHEREAS, the City and the Authority have agreed that the provision of
funds in the EDIP account to the Authority for economic development purposes, and the
subsequent provision of such funds by the Authority to qualifying recipients, should be
subject to policies and procedures which will ensure that the expenditure of such funds is
in the public interest and is in furtherance of the purposes for which the EDIP was
established; and
WHEREAS, awards made under this Policy are at the sole legislative
discretion of the Authority, and nothing herein should be deemed or interpreted as an
entitlement to an award.
NOW, THEREFORE, the City of Virginia Beach and the City of Virginia
Beach Development Authority hereby adopt the following Economic Development
Investment Program Policy and Procedures (the "Policy'):
DEFINITIONS:
Unless otherwise defined, the following terms shall have the following meanings in
this Policy:
2
a. "Capital Investment" means a capital expenditure in taxable real
property, taxable tangible personal property, or both at the Project in the
City of Virginia Beach. The Authority may, in its discretion, determine
that the value of machinery and equipment leased under an operating
lease will qualify as a capital investment. The Authority may also, in its
discretion, consider Capital Investments made by third parties at the
Project for the overall benefit of the Project, and/or the value of moveable
equipment retained by a business that was considering relocating outside
of the City of Virginia Beach.
b. "New Job" means a permanent full-time employment of an indefinite
duration at the Project, for which the standard fringe benefits are provided
by the company for the employee. Each new job must require a minimum
of either(i)35 hours of an employee's time per week for the entire normal
year of the company's operations, which "normal year" must include at
least 48 weeks, or (ii) 1,680 hours per year.
c. "Project" means the facility or facilities where a recipient of an award
under this Policy has located from outside the City of Virginia Beach, or
remained in the City of Virginia Beach or expanded its operations within
the City of Virginia Beach and for which Capital Investment, New Jobs
or direct tax revenues returned to the City are considered as a basis for an
award under this Policy.
d. "Applicant" means the business, owner, or developer that submits an
application pursuant to this Policy.
PART A: POLICY AND PROCEDURE FOR THE PROVISION OF EDIP FUNDS
TO QUALIFYING BUSINESSES.
1. PURPOSE AND INTENT. The animating purpose of Part A of the
EDIP shall be to enhance the ability of the Authority to implement the purposes set forth
in the Act including, without limitation, to foster and stimulate economic development in
the City by inducing (i) new businesses to locate in the City, (ii) existing businesses to
remain in the City, and (iii) existing businesses to expand their operations.
2. INVESTMENT CRITERIA. Except as otherwise provided in
paragraph 4 of this Part A, EDIP funds may be awarded pursuant to Part A of this Policy
where the Director of the Department(the "Director")has determined, and has advised the
Authority that one or more of the following criteria have been met:
a. The net amount of direct tax revenues returned to the City by a Project to
which EDIP funds are provided will exceed the amount of EDIP funds so
3
provided no later than thirty-six (36) months from the date on which the
Project commences operations at a new or renovated facility; and/or
b. For every one dollar ($1) in EDIP funds provided, at least twenty-five
dollars ($25) of Capital Investment will be made or if appropriate,
retained, at the Project for which the award is granted; and/or
c. Every one thousand dollars ($1,000) in EDIP funds provided will yield
at least one (1) New Job in the Project to which such EDIP funds are
provided. However, (i) up to two thousand dollars ($2,000) shall be
available for a Project that creates New Jobs in the Project for which such
EDIP funds are provided, where such employment opportunities pay an
average of $35,001 to $50,000, excluding benefits, (ii) up to three
thousand dollars ($3,000)shall be available for a Project that creates New
Jobs in the Project for which such EDIP funds are provided, where such
employment opportunities pay an average of $50,001 to $75,000,
excluding benefits, and (iii) up to four thousand dollars ($4,000) shall be
available for a Project that creates New Jobs in the Project for which such
EDIP funds are provided, where such employment opportunities pay an
average of over $75,001, excluding benefits. For New Jobs paying an
average up to $35,000 the business must demonstrate associated
workforce development training costs. For any job to qualify for an
award, that position must be filled for at least one year.
These criteria shall be reviewed by the Director and the Director of the
Department of Department of Management Services on a biennial basis. Specifically
included in such review is the examination of whether the dollar thresholds in this Section
2 require adjustment to reflect changes in the CPI or cost of construction. The Director
shall recommend any appropriate revisions to the City Council and the Authority for further
consideration and action.
In addition to the foregoing criteria, it is the goal of the Authority to approve
EDIP awards to Projects that pay an average annual salary of at least $35,000 (excluding
benefits). However,the Authority reserves the right to deviate from this goal in exceptional
cases and for good cause shown.
3. QUALIFYING USES FOR PART A FUNDS. EDIP funds under Part
A of this Policy may be used throughout the City for the following purposes: office,
industrial, commercial and mixed-use development, or such other uses where the Director
has demonstrated a need for the proposed use in that part of the City. In determining
whether to award EDIP funds for other uses, the Authority shall consider (i) whether the
proposed use is consistent with the goals of the SGA or SEGA where the Project is located,
and (ii) whether the Project meets the City's Investment Partnership Guidelines, and (iii)
4
whether the Project will meet an underserved need in the City or further the growth of the
Key Industries.
4. APPLICATION FOR EDIP AWARD. An Applicant who desires
EDIP funds for a Project in the City of Virginia Beach may apply for that purpose through
the Department. The form of the application is attached hereto as Exhibit A. The Applicant
shall also complete the City of Virginia Beach Disclosure Statement Form, also attached
hereto as Exhibit B. The Applicant shall identify in writing any confidential or proprietary
information contained in or provided with the application at the time of submission. The
failure to mark such materials may result in the disclosure by the City or the Authority
pursuant to applicable open records laws. If, on review by the City, it is determined that
the designated information may not be kept confidential by the City, the document
containing same will be redacted or returned to the party submitting it. The Applicant shall
submit such additional information and documentation concerning its application as may
be required by the Director. The Director shall review the application and information
submitted and may, if the Director finds that the Project described in the application meets
the requirement of this Part A, recommend to the Authority that it award EDIP funds for
the Project. The Director's recommendation shall be in writing and shall include the
proposed amount of the award and basis therefore under this Policy. This recommendation
may take the form of the written presentation made to the Authority in a closed session. As
set forth more fully in Section 6, an EDIP award must be approved by a formal vote in an
open session of the Authority. Once an award is approved, the recommendation of the
Director and all non-confidential or proprietary portions of the application will become
public records.
5. COUNCIL APPROVAL OF CERTAIN EDIP AWARDS. If the
Director, acting on behalf of the Authority, determines the need to provide EDIP funds for
the Project, but the criteria set forth in paragraph 2 of this Part A have not been met, the
Authority shall obtain specific approval from City Council prior to its approval of the
provision of EDIP funds for such purpose
6. AUTHORITY FINDINGS AND ACTION. Upon consideration of the
recommendation of the Director, the Authority may, by a recorded majority vote at a public
meeting, approve the proposed provision of EDIP funds for the Project. The Authority
shall not be required to approve the Director's recommendation, but shall exercise its
legislative discretion in determining whether, and to what extent, the Applicant's proposed
Project satisfies Part A of this Policy and the Authority's objective of fostering and
stimulating the development of industry in the City. Provided, however, that prior to
approval, the Authority must make all the following findings:
a. That the animating purpose of the proposed provision of EDIP funds for
the Project is to serve the public purpose of fostering and stimulating
economic development in the City of Virginia Beach;
5
b. that the expenditure of such EDIP funds will only incidentally enure to
the benefit of private interests, if at all;
c. That the proposed provision of EDIP funds for the Project is in furtherance
of the purposes for which the Authority was created;
d. That without the stimulus of the EDIP award, it is unlikely that the
Applicant would locate, remain or expand in the City; and
e. That as of the date the Director presents his or her recommendation to the
Authority in closed session, the Project has not yet commenced
construction of its proposed improvements. Consideration in a closed
session does not indicate approval and any investment or expenditure
made by the Applicant is done at the sole risk of the Applicant. Further,
if an award is not approved within seventy (70) days of the date of closed
session, no investments made prior to seventy (70) days of the date of
the approval of the award in open session will be considered for
reimbursement under the award.
f. The Applicant for an award shall certify to the Authority that the findings
in section (d) and (e), above, are true and accurate at the time of the
Authority's vote on an award.
7. APPROVAL OF AWARD OF EDIP FUNDS. Approval by the
Authority of the provision of EDIP funds to a specific business pursuant to this Part A shall
be in the form of a resolution which shall include the following information:
a. The name of the Applicant, and the location and a brief description of the
Project to which the funds will be provided;
b. The amount of EDIP funds that will be provided;
c. The purpose or purposes for which the EDIP funds will be provided;
d. A statement that the criteria set forth in paragraph 2 of this Part A have
been met; or, in the alternative, that City Council has specifically
approved provision of EDIP funds for such purpose pursuant to paragraph
5 of this Part A; and
e. A statement that the findings set forth in paragraph 6 of this Part A have
been made by the Authority.
6
PART B: POLICY AND PROCEDURE FOR THE PROVISION OF EDIP FUNDS
TO QUALIFYING DEVELOPERS AND PROPERTY OWNERS FOR THE
DEVELOPMENT OR REDEVELOPMENT OF PROPERTIES IN STRATEGIC
GROWTH AREAS, SPECIAL ECONOMIC GROWTH AREAS, ECONOMIC
REDEVELOPMENT AREAS, OR OPPORTUNITY ZONES.
1. PURPOSE AND INTENT. It is recognized that within the City there
are areas that are currently brownfields, greyfields or vacant, abandoned, under improved
or underdeveloped with improvements or land uses which are not economically viable,but,
if developed, should stimulate industry and economic development within the City.
Moreover, such properties and areas, if developed or redeveloped, may reasonably be
expected to (i) generate additional tax revenue as a result of Capital Investment; (ii) create
additional job opportunities; (iii) influence similar redevelopment and additional
investment in nearby properties;(iv) further the goals of the Comprehensive Plan and be
consistent with the City's Economic Development Strategy and good zoning principles;
and (v) lead to the establishment of safe and convenient neighborhoods and workplaces.
Accordingly, it is the animating purpose of the Economic Development Investment
Program under Part B of this Policy to enhance the ability of the City of Virginia Beach
Development Authority to foster and stimulate economic development in the City by
providing incentives for the development or redevelopment of properties described herein.
2. ECONOMIC REDEVELOPMENT AREAS, SPECIAL
ECONOMIC GROWTH AREAS, STRATEGIC GROWTH AREAS AND
OPPORTUNITY ZONES. The Directors of the Department and the Planning
Department shall identify areas of the City (i) that are currently brownfields, greyfields, or
vacant, abandoned, under improved or underdeveloped, and (ii) which should be
considered for redevelopment or special development opportunities, but may lie outside of
the Strategic Growth Areas as set forth in the City's Comprehensive Plan. Such areas shall
be known as "Economic Redevelopment Areas". Once identified, an Economic
Redevelopment Area must be submitted to the City Council for designation as such by
ordinance. To qualify for EDIP funds under Part B of this Policy, a developer or owner of
property must demonstrate that the subject property is located within a Target Area. For
purposes of this Policy, the term "brownfields" means vacant, abandoned or under
improved real property large enough to support significant expansion, redevelopment or
reuse,but for which such expansion,redevelopment or reuse is complicated by the presence
of a substantial amount of hazardous substances, pollutants, or contamination. The term
"greyfields" means underperforming, declining or vacant real estate.
3. QUALIFYING LAND USES. EDIP funds under Part B of this Policy
may be provided for office, industrial, retail, hotel and mixed use development (including
high density and multi-family residential uses).
7
4. INVESTMENT CRITERIA. EDIP funds may be awarded pursuant to
Part B of this Policy in such instances where the Director has determined, and has advised
the Authority, that both of the following criteria have been met:
a. The net amount of direct tax revenues returned to the City as a result of
the Project for which the EDIP funds are provided will exceed the amount
of the EDIP funds provided no later than 48 months following the
payment of the EDIP award; or where flexibility for tax abatement has
been granted by the City, the amount of direct tax revenues not abated as
a result of the Project for which EDIP funds are provided will exceed the
amount of the EDIP funds provided no later than 48 months following
the payment of the EDIP award; and
b. For every one dollar ($1) in EDIP funds provided, twelve and 50/100
dollars ($12.50) or more in new Capital Investment will be made at the
Project.
The foregoing investment criteria and required return to the City shall be
interpreted as being a threshold for consideration for the award of EDIP funds. No award
of such EDIP funds may be made unless all other requirements of Part B of this Policy are
satisfied and all findings stated in Part B of this Policy are made. The Authority shall have
complete discretion as to the award of EDIP funds and the amount of EDIP funds awarded,
as well as whether or not the criteria have been met.
5. AVAILABILITY OF FUNDS. EDIP funds may be authorized for use
pursuant to Part B of this Policy only to the extent that they have been appropriated by the
City Council. Further, provided that in any given fiscal year, the Authority shall not award
more than fifty percent (50%) of its annual appropriation for EDIP use pursuant to Part B
of this Policy without authorization of the City Council.
6. APPLICATION FOR EDIP AWARD.An Applicant who desires EDIP
funds for a Project located in a Target Area may apply for that purpose through the
Department. The form of the application is attached hereto as Exhibit A. The Applicant
shall also complete the City of Virginia Beach Disclosure Statement Form, also attached
hereto as Exhibit B. The Applicant shall identify in writing any confidential or proprietary
information contained in or provided with the application at the time of submission. The
failure to mark such materials may result in the disclosure by the City or the Authority
pursuant to applicable open records laws. If, on review by the City, it is determined that
the designated information may not be kept confidential by the City, the document
containing same will be redacted or returned to the party submitting it. The Applicant shall
submit such additional information and documentation concerning its application as may
be required by the Director, including any certifications as required by this Policy. The
Director shall review the application and information submitted and may, if the Director
8
finds that the Project described in the application satisfies all requirements of this Part B,
recommend to the Authority that it award EDIP funds for the Project. The Director's
recommendation shall be in writing and shall include the proposed amount of the award
and basis therefore under this Policy. This recommendation may take the form of the
written presentation made to the Authority in a closed session. As set forth more fully in
Section 7, an EDIP award must be approved by a formal vote in an open session of the
Authority. Once an award is approved, the recommendation of the Director and all non-
confidential or proprietary portions of the application will become public records. In
determining whether to recommend that EDIP funds be awarded for the Project, the
Director shall find as follows:
a. Whether the provision of EDIP funds is necessary to stimulate the
development or redevelopment of the Project area; and
b. Whether the Project satisfies the investment criteria set forth in paragraph
4 of this Part B.
Additionally, the Director may consider the following:
c. The amount of EDIP funds remaining and available for use pursuant to
this Part B of the Policy for the fiscal year.
d. The economic return to the City generated by the Project in addition to
the criteria set forth in paragraph 4 of
this Part B
e. The expertise and experience of the Applicant in redeveloping
brownfields, greyfields, abandoned, blighted, under improved and
underdeveloped properties.
f. The degree to which the Project may influence development or
redevelopment within the applicable Target Area and adjacent or nearby
properties.
g. The extent to which the Project may serve to implement a change in use
which is consistent with and/or furthers the goals of the Comprehensive
Plan, the City's Economic Development Strategy.
h. The number and types of jobs which the development or redevelopment
may expect to generate.
i. The amount of the Applicant's Capital Investment in the Project.
9
j. The extent to which the Project incorporates mixed uses, provides open
space and focuses on transportation and transit accessibility.
7. COUNCIL APPROVAL OF CERTAIN EDIP AWARDS. If the
Director, acting on behalf of the Authority, determines the need to provide EDIP funds for
the Project, but the criteria set forth in paragraph 4 of this Part B have not been met, the
Authority shall obtain specific approval from City Council prior to its approval of the
provision of EDIP funds for such purpose
8. AUTHORITY FINDINGS AND ACTION. Upon consideration of the
recommendation of the Director,the Authority may, by a recorded majority vote at a public
meeting, approve the award of EDIP funds to the Applicant. The Authority may attach
conditions to the approval of the award of EDIP funds. In the case of a brownfield property,
the Authority shall attach the condition that prior to receiving EDIP funds, the recipient of
EDIP funds shall provide to the Authority evidence of all permits or approvals as required
by state, federal and local regulatory agencies and compliance therewith The Authority
shall not be required to approve the Director's recommendation, but shall exercise its
legislative discretion in determining whether, and to what extent, the Applicant's proposed
Project satisfies Part B of this Policy and the Authority's objective of fostering and
stimulating the development of industry in the City. Provided, however, that prior to
approval of the award of EDIP funds for the Project,the Authority must make the following
findings:
a. That the animating purpose of the proposed provision of EDIP funds for
the Project is to serve the public purpose of fostering and stimulating
economic development in the City of Virginia Beach; and
b. That the expenditure of such EDIP funds will only incidentally enure to
the benefit of private interests, if at all;
c. That the proposed provision of EDIP funds for the Project is in
furtherance of the purposes for which the Authority was created;
d. That without the stimulus of the EDIP award, it is unlikely that the
Applicant would locate, remain or expand in the City;
e. That as of the date the Director presents his or her recommendation to the
Authority in closed session, the Project has not yet commenced
construction of the proposed improvements. Consideration in a closed
session does not indicate approval and any investment or expenditure
made by the Applicant is done at the sole risk of the Applicant. Further,
if an award is not approved within seventy (70) days of the date of closed
session, no investments made prior to seventy (70) days of the date of the
10
approval of the award in open session will be considered for
reimbursement under the award;
f. The Applicant for an award shall certify to the Authority that the findings
in section (d) and (e), above, are true and accurate at the time of the
Authority's vote on an award;
g. That the property has been designated (or is in an area which has been
designated) as a Target Area;
h. That the Project is consistent with the City's Comprehensive Plan, and
the City's Economic Development Strategy, as amended; and
i. That the Project as proposed, will serve to influence redevelopment and
additional capital investment in adjacent or nearby properties.
9. APPROVAL OF THE AWARD OF EDIP FUNDS. Approval by the
Authority of the provision of EDIP funds pursuant to this Part B shall be in the form of a
resolution which shall include the following information:
a. The name of the Applicant , and the location and a brief description of
the Project;
b. The amount of EDIP funds that will be provided;
c. The purpose or purposes for which the EDIP funds are to be provided;
d. A statement that the criteria set forth in paragraph 4 of this Part B have
been met;
e. A statement that the findings set forth in paragraph 7 of this Part B have
been made by the Authority; and
f. Any conditions to the approval of the award of the EDIP funds by the
Authority.
10. ALTERNATIVE USES OF PART B FUNDS BY THE
AUTHORITY TO PURCHASE AND IMPROVE PROPERTY IN A STRATEGIC
GROWTH AREA, SPECIAL ECONOMIC GROWTH AREA ECONOMIC
REDEVELOPMENT AREA OR AN OPPORTUNITY ZONE. The Authority may use
EDIP funds to purchase and improve property within a Target Area. Prior to the approval
of the use of EDIP funds for such acquisition, the Authority must find that:
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a. The property is located within a Target Area; and
b. The acquisition and/or improvement of the property by the Authority and
its subsequent development or redevelopment will be in conformity with
and/or furthers the goals of the City's Comprehensive Plan, the City's
Economic Development Strategy,the APZ-1 Ordinance, as amended, and
Part B of this Policy.
In addition to any property purchased using EDIP funds pursuant to
paragraph 10 of this Part B, the Authority may also use EDIP funds for the following
improvements to such property: (i) the installation of infrastructure; (ii) the demolition of
existing structures; or(iii)the remediation or cleanup of adverse environmental conditions.
The Authority may dispose of such property in accordance with state law and may
subsequently sell such property to a private party for development or redevelopment. In
the event of such sale, the Authority shall attach appropriate conditions to assure that the
development or redevelopment is in conformity with and/or furthers the goals of the City's
Comprehensive Plan, the City's Economic Development Strategy, the APZ-1 Ordinance,
as amended, and is in furtherance of the objectives of Part B of this Policy.
The proceeds of any property purchased by the Authority and sold pursuant
to paragraph 10 of this Part B shall be returned to the EDIP fund account.
PART C: POLICY AND PROCEDURE FOR THE PROVISION OF EDIP FUNDS
TO QUALIFYING DEVELOPERS AND PROPERTY OWNERS FOR THE
DEVELOPMENT OR REDEVELOPMENT OF PROPERTIES IN APZ-1 OR THE
CLEAR ZONES.
1. PURPOSE AND INTENT. It is recognized that within the City there
are areas that are not advancing the City's purpose of retaining NAS Oceana as a master
jet base in Virginia Beach, but, if developed with conforming uses, should stimulate
industry and economic development within the City. Moreover, such properties and areas,
if developed or redeveloped, may reasonably be expected to (i) generate additional tax
revenue as a result of Capital Investment; (ii) influence similar redevelopment and
additional investment in nearby properties;(iii) further the goals of the Comprehensive Plan
and be consistent with the City's Economic Development Strategy and good zoning
principles; (iv) in the APZ-1 and Clear Zone areas, encourage the conversion of property
that does not conform to the City's zoning amendments adopted in response to the BRAC
Order on December 20, 2005 (the"APZ-1 Ordinance")to uses that do conform to the APZ-
1 Ordinance, including the relocation of nonconforming properties to areas of the City
outside the APZ-1 and Clear Zones and the location of conforming properties within the
APZ-1; and (v) lead to the establishment of safe and convenient neighborhoods and
workplaces. Accordingly, it is the animating purpose of the Economic Development
Investment Program under Part C of this Policy to enhance the ability of the Authority to
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foster and stimulate economic development in the APZ-1 by providing incentives for the
development or redevelopment of properties as described herein.
2. APZ-1 AND THE CLEAR ZONES. The term "APZ-1" means
Accident Potential Zone 1 and the areas identified as APZ-1 on the 1999 "Air Installations
Compatible Use Zones" ("AICUZ") pamphlet published by the U.S. Department of the
Navy. The term "Clear Zones" are those areas designated as "Clear Zones" on the 1999
AICUZ pamphlet.
3. QUALIFYING LAND USES. EDIP funds under Part C of this Policy
may be provided only for uses consistent with the APZ-1 Ordinance and any amendments
thereto.
4. INVESTMENT CRITERIA.
a. For Areas located in the APZ-1 or Clear Zones, EDIP funds may be
awarded pursuant to Part C of this Policy in such instances where the
Oceana Land Use Conformity Committee has determined, and has
advised the Director, that the Project for which EDIP funds will be
provided will have the effect of furthering the goals of the Oceana Land
Use Conformity Program, including bringing new uses into APZ-1 areas
that conform to the APZ-1 Ordinance, converting nonconforming uses to
conforming uses, retaining conforming uses in APZ-1, and relocating
nonconforming uses in APZ-1 and Clear Zones to other areas of the City
where such uses would be consistent with the Comprehensive Plan and
the City Zoning Ordinance. The Director shall advise the Authority of
all determinations and recommendations made by the Oceana Land Use
Conformity Committee ("OLUCC").
b. In determining the amount of the award recommended to OLUCC, the
Director shall determine whether both the following criteria have been
met:
(i) The net amount of direct tax revenues returned to the City as a
result of the Project for which the EDIP funds are provided will exceed the amount of the
EDIP funds provided no later than 48 months following the payment of the EDIP award;
or where flexibility for tax abatement has been granted by the City, the amount of direct
tax revenues not abated as a result of the Project for which EDIP funds are provided will
exceed the amount of the EDIP funds provided no later than 48 months following the
payment of the EDIP award; and/or
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(ii) For every one dollar ($1) in EDIP funds provided, the Applicant
of the Project for which such funds are provided will spend ten and 50/100 dollars($10.50)
or more in new Capital Investment, including buildings, furnishings, and/or equipment.
The foregoing investment criteria and required return to the City shall be
interpreted as being a threshold for consideration for the award of EDIP funds. No award
of such EDIP funds may be made unless all other requirements of Part C of this Policy are
satisfied and all findings stated in Part C of this Policy are made. The Authority shall have
complete discretion as to the award of EDIP funds and the amount of EDIP funds awarded,
as well as whether or not the criteria have been met.
5. ADDITIONAL USES OF FUNDS UNDER PART C. A qualifying
owner of land located in APZ-1 or the Clear Zones who desires to (i) move a
nonconforming use of that land out of APZ-1 or the Clear Zones and into another part of
the City where the use is compatible and(ii) if owner retains ownership of the subject land,
agrees to restrict the further use of that land to uses compatible with those allowed in the
APZ-1 Ordinance, shall be entitled to apply for an award of up to $75,000 to offset actual
moving expenses incurred in moving the said nonconforming use out of APZ-1 or the Clear
Zones.
6. AVAILABILITY OF FUNDS. The City Council specifically
appropriates funds for EDIP use in APZ-1 and Clear Zone areas, It is anticipated that such
funds for EDIP use in APZ-1 and Clear Zone areas will be made available from CIP 9-037
(Oceana and Interfacility Traffic Area Conformity and Acquisition II).
7. APPLICATION FOR EDIP AWARD. An Applicant who desires EDIP
funds for use in a Project located in APZ-1 or the Clear Zones may apply for that purpose
through the Department. The form of the application is attached hereto as Exhibit A. the
Applicant shall also complete the City of Virginia Beach Disclosure Statement Form,
attached hereto as Exhibit B. The Applicant shall identify in writing any confidential or
proprietary information contained in or provided with the application at the time of
submission. The failure to mark such materials may result in the disclosure by the City or
the Authority pursuant to applicable open records laws. If, on review by the City, it is
determined that the designated information may not be kept confidential by the city, the
document containing same will be redacted or returned to the party submitting it. The
Applicant shall submit such additional information and documentation concerning its
application as may be required by the Director. The Director shall review the application
and information submitted and may, if the Director finds that the Project described in the
application satisfies all requirements of this Part C, recommend to the Authority that it
award EDIP funds for the Project. The Director's recommendation shall be in writing and
shall include the proposed amount of the award and basis therefore under this Policy. This
recommendation may take the form of the written presentation made to the Authority in a
closed session. As set forth more fully in Section 4, an EDIP award must be approved by
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a formal vote in an open session of the Authority. Once an award is approved, the
recommendation of the Director and all non-confidential or proprietary portions of the
application will become public records. In determining whether to recommend that EDIP
funds be awarded to for the Project, the Director shall find as follows:
a. Whether the provision of EDIP funds is necessary to stimulate the
development or redevelopment of the property/area; and
b. Whether the Project satisfies the investment criteria set forth in paragraph
4 of this Part C.
c. Whether the Project is consistent with the APZ-1 Ordinance.
Additionally, the Director may consider the following:
d. The amount of EDIP funds remaining and available for use pursuant to
this Policy for the fiscal year.
e. The economic return to the City generated by the Project.
f. The expertise and experience of the Applicant in redeveloping
brownfields, greyfields, abandoned, blighted, under improved and
underdeveloped properties.
g. The degree to which the Project may influence compatible development
or redevelopment within the APZ-1 and development of adjacent or
nearby properties.
h. The extent to which the Project may serve to implement a change in use
which is consistent with and/or furthers the goals of the Comprehensive
Plan, the City's Economic Development Strategy, and the APZ-1
Ordinance, as amended.
i. The amount of the Applicant's Capital Investment in the Project.
j. The value of moving a use of property that is inconsistent with the APZ-
1 Ordinance out of the APZ-1 or the Clear Zones.
8. COUNCIL APPROVAL OF CERTAIN EDIP AWARDS. If the
Director, acting on behalf of the Authority, determines the need to provide EDIP funds for
the Project, but the criteria set forth in paragraph 4 of this Part C have not been met, the
Authority shall obtain specific approval from City Council prior to its approval of the
provision of EDIP funds for such purpose
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9. AUTHORITY FINDINGS AND ACTION. Upon consideration of the
recommendation of the Director,the Authority may,by a recorded majority vote at a public
meeting, approve the award of EDIP funds to for the Project. The Authority may attach
conditions to the approval of the award of EDIP funds. The Authority shall not be required
to approve the Director's recommendation, but shall exercise its legislative discretion in
determining whether, and to what extent, the Applicant's proposed Project satisfies Part C
of this Policy and the Authority's objective of fostering and stimulating the development
of industry in the City, including the retention of NAS Oceana as a master jet base.
Provided, however, that prior to approval of the award of EDIP funds for the Project, the
Authority must make the following findings:
a. That the animating purpose of the proposed provision of EDIP funds for
the Project is to serve the public purpose of fostering and stimulating
economic development in the City of Virginia Beach, including the
retention of NAS Oceana as a master jet base; and
b. That the expenditure of such EDIP funds will only incidentally enure to
the benefit of private interests, if at all;
c. That the proposed provision of EDIP funds for the Project is in
furtherance of the purposes for which the Authority was created;
d. That without the stimulus of the EDIP award, it is unlikely that the
property would be developed or redeveloped to the extent proposed, or at
the current time;
e. That as of the date of application for the EDIP award, the Applicant had
not yet commenced construction of the Project;
f. That without the stimulus of the EDIP award, it is unlikely that the
Applicant would locate, remain or expand in the City;
g. That as of the date the Director presents his or her recommendation to the
Authority in closed session, the Applicant had not yet commenced
construction of the Project. Consideration in a closed session does not
indicate approval and any investment or expenditure made by the
Applicant is done at the sole risk of the Applicant. Further, if an award is
not approved within seventy (70) days of the date of closed session, no
investments made prior to seventy (70) days of the date of the approval
of the award in open session will be considered for reimbursement under
the award;
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h. The Applicant for an award shall certify to the Authority that the findings
in section (e), (1) and (g), above, are true and accurate at the time of the
Authority's vote on an award;
i. That the property is in APZ-1 or the Clear Zones;
j. That the proposed Project is consistent with the City's Comprehensive
Plan, the City's Economic Development Strategy and the APZ-1
Ordinance, as amended;
k. That the scope and quality of the Project will serve to influence
redevelopment and additional capital investment in adjacent or nearby
properties or, in APZ-1 and Clear Zones, will foster the retention of NAS
Oceana as a master jet base; and
1. The Oceana Land Use Conformity Committee has endorsed in writing
the award of EDIP funds as proposed by the Authority
10. APPROVAL OF THE AWARD OF EDIP FUNDS. Approval by
the Authority of the provision of EDIP funds pursuant to this Part C shall be in the form of
a resolution which shall include the following information:
a. The name of the Applicant, and the location and a brief description of the
Project;
b. The amount of EDIP funds that will be provided;
c. The purpose or purposes for which the EDIP funds are to be provided;
d. A statement that the criteria set forth in paragraph 4 of this Part C have
been met;
e. A statement that the findings set forth in paragraph 9 of this Part C have
been made by the Authority; and
f. Any conditions to the approval of the award of the EDIP funds by the
Authority.
11. ALTERNATIVE USES OF PART C FUNDS BY THE
AUTHORITY TO RETAIN A REAL ESTATE BROKER. The Authority may use
EDIP funds to retain a licensed real estate broker to sell property located in APZ-1 or the
Clear Zones and owned by the Authority or the City. The Authority is authorized to pay a
commission to that broker in an amount not to exceed the following:
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Sale Price Cumulative Commission Rate
$ 0 - $500,000 5%
$500,001 - $1,000,000 3%
$1,000,001 and up 2%
PART D: GENERAL PROVISIONS APPLICABLE TO PARTS A, B AND C.
1. SEPARATE ACCOUNT FOR EDIP FUNDS. EDIP funds shall be
maintained by the Authority in a separate account and shall not be commingled with other
Authority funds.
2. EDIP FUND EXPENDITURES. All expenditures of EDIP funds shall
be in keeping with this Policy and may enure only incidentally to the benefit of private
interests. In addition to the use of EDIP funds pursuant to Parts A, and B or C of this Policy,
EDIP funds may also be utilized to conduct appraisals, financial and market studies, and
architectural and engineering studies directly related to specific economic development
initiatives and/or projects being conducted by the Authority on behalf of the City.
3. PAYMENT OF EDIP FUNDS.
a. When EDIP funds are awarded pursuant to either Part A or Part B this
Policy, they shall be paid to the Applicant at such time as the Director
shall (i) obtain copies such records from the Applicant (including all
contractors or subcontractors) necessary to document the actual costs
incurred for the purpose or purposes for which the funds are to be
provided; (ii) determine that the Project is in conformity with the plan of
development presented to the Authority and with all conditions which
may have been attached to the approval of the award of the EDIP funds
by the Authority; and (iii) where required by the Authority(such as when
a majority of the justification for an EDIP award is for the acquisition of
personalty that could be removed from the City of Virginia Beach), the
Applicant shall execute and deliver to the Authority an EDIP Recapture
Agreement in a form acceptable to counsel for the Authority.
b. Each resolution approving an EDIP award under this Policy shall contain
a statement of the amount of Capital Investment to be made and/or New
Jobs to be added as a basis for the award of EDIP funds approved.
Notwithstanding anything to the contrary in this Policy, the resolution
shall also direct that the full amount of the EDIP award approved shall
not be paid unless at least eighty-five percent (85%) of the Capital
Investment and/or New Jobs are actually made and/or added or retained.
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c. If moveable equipment in the City of Virginia Beach at the time of an
EDIP award is to be considered as a basis for the calculation of Capital
Investment, the resolution shall contain a statement of the value of such
movable equipment at the time of the EDIP award.
d. The Director shall compile a written report for each EDIP award paid
documenting the methodology employed, records reviewed and steps
undertaken to ensure compliance with the terms of this Policy. The report
shall include sufficient information to determine compliance with the
Capital Investment and/or New Job requirement(s) of Section 3(b),
above. This report shall be provided to the Commissioners at their
monthly financial briefing.
4. SPECIFIC PURPOSES FOR THE USE OF EDIP FUNDS. When
EDIP funds are awarded for a Project pursuant to this Policy, such funds shall be used only
for the following purposes:
a. Public and private utility extension or capacity development on and off
site;
b. Road, rail, or other transportation access costs beyond the funding
capability of existing programs;
c. Public and private installation, extension or capacity development of
highspeed of broadband Internet access, whether on or off site;
d. Site acquisition;
e. Grading, drainage, paving, and any other activity required to prepare a
site for construction;
f. Construction or buildout of publicly or privately owned buildings;
g. Training costs;
h. Purchase and installation of tangible business property,located in the City
of Virginia Beach, in the following categories:
• Machinery and Tools;
• Tangible personal property used for research and Development;
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• Computer hardware used by businesses primarily engaged in
providing data processing services to other nonrelated or
affiliated businesses;
• Programmable computer equipment and peripherals employed in
a trade or business (not individual workstations);
• Tangible personal property used in the provision of Internet
services;
• Equipment used primarily for research, development, production
or provision of biotechnology for the purpose of providing
products or processes for specific commercial or public purposes;
• Tangible property designed and used primarily for the purpose of
manufacturing a product from renewable energy.
5. REPORTING. The Authority shall provide City Council annual reports,
outlining, in detail, the manner in which the EDIP funds were provided. Such reports shall
include, at a minimum, the information required by subsections a, b, and c of paragraph 6
of Part A, subsections a, b, and c of paragraph 8 of Parts B and C, and information
demonstrating compliance with the provisions of this Policy and Procedure.
6. AMENDMENTS TO POLICY. The provisions of this Policy shall not
be amended without the prior consent and approval of the City Council and the Authority.
7. APPLICATION OF POLICY. This Policy is specifically applicable to
the expenditure of EDIP funds. This Policy is not intended to be, nor shall it be deemed
to be, applicable to the use of public funds from any source other than the EDIP.
8. EFFECTIVE DATE OF POLICY. This Policy shall become effective
immediately upon its approval by the City of Virginia Beach and the City of Virginia Beach
Development Authority, which approval shall be evidenced by signature of the Mayor of
the City of Virginia Beach and the Chair of the City of Virginia Beach Development
Authority acting by, and on behalf of, the City and the Authority, respectively.
Mayor, City of Virginia Beach Chair, City of Virginia Beach
Development Authority
Approved as to Content: Approved as to Legal Sufficiency:
Economic Development City Attorney
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2019 Revision (1-15-19)
ECONOMIC DEVELOPMENT
INVESTMENT PROGRAM
POLICY AND PROCEDURE
WHEREAS, the City of Virginia Beach Development Authority (the
"Authority") was created pursuant to Chapter 643 of the Acts of Assembly of 1964, as
amended (the "Act");
WHEREAS, one of the primary purposes of the Act is to enable development
authorities "to promote industry and develop trade by inducing manufacturing, industrial,
governmental and commercial enterprises to locate in or remain in the Commonwealth....";
WHEREAS, pursuant to § 6 of the Act, the Authority has the power, inter
alia, "to sell, exchange, donate and convey any or all of its facilities or other properties
whether realty or personalty whenever the Authority shall find any such action to be in
furtherance of the purposes for which the Authority was organized";
WHEREAS, pursuant to §7 of the Act, "the Authority may foster and
stimulate the development of industry in the area within its jurisdiction... [and] may accept,
and expend for the purposes stated above, money from any public or private source....";
WHEREAS, pursuant to § 10 of the Act, the City of Virginia Beach (the
"City") "is authorized and empowered to make appropriations and to provide funds for the
operation of the Authority and to further its purposes";
WHEREAS, the economic development goals and objectives of the City
include achieving a higher ratio of nonresidential to residential real estate assessments,
investing in land and infrastructure to benefit future economic growth, and maximizing the
return of economic development efforts through the development and implementation of
programs and strategies that facilitate new business investment and encourage retention
and expansion activities thereby improving the overall quality of life in the City;
WHEREAS, while the Authority and City desire to promote all sectors of
growth, the Authority and the Department of Economic Development (the "Department")
have identified certain industries to target for growth and expansion in the City (the "Key
Industries "), and the Key Industries, which may be updated from time to time, are
identified on the Department's website, www.yesvirginiabeach.com ;
WHEREAS. other than JEB Little Creek Fort Story, NAS Oceana is the
single largest employer in the City. and investments and economic development efforts
1
aimed at retaining NAS Oceana as a master jet base are critical to the City's economic
"health";
WHEREAS,the City has established the Economic Development Investment
Program ("EDIP") as part of its overall effort to enhance the City's ability to accomplish
these goals and objectives;
WHEREAS, pursuant to the authority and empowerment set forth in §10 of
the Act, City Council has determined that it would be in the best interests of the City to
provide EDIP appropriations to the Authority to enable the Authority to more effectively
continue its efforts to foster and stimulate economic development by (i) inducing
businesses to locate or remain in the City; and (ii) providing incentives to qualifying
developers and property owners for the development or redevelopment of under improved
or underdeveloped properties, or brownfields, grey fields, or abandoned or blighted
properties in areas of the City which have been designated as "Strategic Growth Areas",
"Special Economic Growth Areas", "Economic Redevelopment Areas" or "Opportunity
Zones"(as defined in the Internal Revenue Code), including infill development within such
areas. Collectively, Strategic Growth Areas, Special Economic Growth Areas, Economic
Redevelopment Areas, and Opportunity Zones may be referred to herein as"Target Areas;"
and
WHEREAS, the City and the Authority have agreed that the provision of
funds in the EDIP account to the Authority for economic development purposes, and the
subsequent provision of such funds by the Authority to qualifying recipients, should be
subject to policies and procedures which will ensure that the expenditure of such funds is
in the public interest and is in furtherance of the purposes for which the EDIP was
established; and
WHEREAS, awards made under this Policy are at the sole legislative
discretion of the Authority, and nothing herein should be deemed or interpreted as an
entitlement to an award.
NOW, THEREFORE, the City of Virginia Beach and the City of Virginia
Beach Development Authority hereby adopt the following Economic Development
Investment Program Policy and Procedures (the "Policy"):
DEFINITIONS:
Unless otherwise defined,the following terms shall have the following meanings in
this Policy:
a. "Capital Investment" means a capital expenditure in taxable real
property, taxable tangible personal property, or both at the Project in the
2
City of Virginia Beach. The Authority may, in its discretion, determine
that the value of machinery and equipment leased under an operating
lease will qualify as a capital investment. The Authority may also, in its
discretion, consider Capital Investments made by third parties at the
Project for the overall benefit of the Project, and/or the value of moveable
equipment retained by a business that was considering relocating outside
of the City of Virginia Beach.
b. "New Job" means a permanent full-time employment of an indefinite
duration at the Project, for which the standard fringe benefits are provided
by the company for the employee. Each new job must require a minimum
of either(i)35 hours of an employee's time per week for the entire normal
year of the company's operations, which "normal year" must include at
least 48 weeks, or(ii) 1,680 hours per year.
c. "Project" means the facility or facilities where a recipient of an award
under this Policy has located from outside the City of Virginia Beach, or
remained in the City of Virginia Beach or expanded its operations within
the City of Virginia Beach and for which Capital Investment, New Jobs
or direct tax revenues returned to the City are considered as a basis for an
award under this Policy.
d. "Applicant" means the business, owner, or developer that submits an
application pursuant to this Policy.
PART A: POLICY AND PROCEDURE FOR THE PROVISION OF EDIP FUNDS
TO QUALIFYING BUSINESSES.
1. PURPOSE AND INTENT. The animating purpose of Part A of the
EDIP shall be to enhance the ability of the Authority to implement the purposes set forth
in the Act including, without limitation, to foster and stimulate economic development in
the City by inducing new businesses to locate in the City, existing businesses to remain in
the City, and existing businesses to expand their operations.
2. INVESTMENT CRITERIA. Except as otherwise provided in
paragraph 4 of this Part A, EDIP funds may be awarded pursuant to Part A of this Policy
where the Director of the Department(the"Director")has determined, and has advised the
Authority that one or more of the following criteria have been met:
a. The net amount of direct tax revenues returned to the City by a Project to
which EDIP funds are provided will exceed the amount of EDIP funds so
provided no later than thirty-six (36) months from the date on which the
Project commences operations at a new or renovated facility; and/or
3
b. For every one dollar ($1) in EDIP funds provided, at least twenty-five
dollars ($25) of Capital Investment will be made at the Project for which
the award is granted; and/or
c. Every one thousand dollars ($1,000) in EDIP funds provided will yield at
least one (1) New Job in the Project to which such funds are provided.
However, (i) up to two thousand dollars ($2,000) shall be available for a
Project that creates New Jobs in the Project for which such funds are
provided, where such employment opportunities pay an average of
$35,001 to $50,000, excluding benefits, (ii) up to three thousand dollars
($3,000) shall be available for a Project that creates New Jobs in the
Project for which such funds are provided, where such employment
opportunities pay an average of$50,001 to $75,000, excluding benefits,
and (iii) up to four thousand dollars ($4,000) shall be available for a
Project that creates New Jobs in the Project for which such funds are
provided, where such employment opportunities pay an average of over
$75,001, excluding benefits. For New Jobs paying an average up to
$35,000 the business must demonstrate associated workforce
development training costs. For any job to qualify for an award, that
position must be filled for at least one year.
These criteria shall be reviewed by the Director and the Director of the
Department of Department Management Services on a biennial basis. Specifically
included in such review is the examination of whether the dollar thresholds in this Section
2 require adjustment to reflect changes in the CPI or cost of construction. The Director
shall recommend any appropriate revisions to the City Council and the Authority for further
consideration and action.
In addition to the foregoing criteria, it is the goal of the Authority to approve
EDIP awards to Projects that pay an average annual salary of$35,000 (excluding benefits).
However, the Authority reserves the right to deviate from this goal in exceptional cases
and for good cause shown.
3. QUALIFYING USES FOR PART A FUNDS. EDIP funds under Part
A of this Policy may be used throughout the City of Virginia Beach for the following
purposes: office, industrial, commercial and mixed-use development, or such other uses
where the Director has demonstrated a need for the proposed use in that part of the City.
In determining whether to award EDIP Funds for other uses, the Authority shall consider
(i) whether the proposed use is consistent with the goals of the SGA or SEGA where the
Project is located, and (ii) whether the Project meets the City of Virginia Beach's
Investment Partnership Guidelines, and (iii) whether the Project will meet an underserved
need in the City or further the growth of the Key Industries.
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4. APPLICATION FOR EDIP AWARD. An Applicant who desires
EDIP funds to a Project in the City of Virginia Beach may make application for that
purpose through the Department. The form of the application is attached hereto as Exhibit
B. The Applicant shall also complete the City of Virginia Beach Disclosure Form, also
attached on Exhibit B. The Applicant shall mark any materials contained in such
application as confidential or proprietary at the time of submission. The failure to mark
such materials may result in the disclosure by the City or the Authority pursuant to
applicable open records laws. The Applicant shall submit such additional information and
documentation concerning its application as may be required by the Director. The Director
shall review the application and information submitted and may, if the Director finds that
the application meets the requirement of this Part A, recommend to the Authority that it
award EDIP funds to the Project. The Director's recommendation shall be in writing and
shall include the proposed amount of the award and basis therefore under this Policy. This
recommendation may take the form of the written presentation made to the Authority in a
closed session.
5. COUNCIL APPROVAL OF CERTAIN EDIP AWARDS. If the
Director, acting on behalf of the Authority, determines the need to provide EDIP funds to
a Project, but the criteria set forth in paragraph 2 of this Part A have not been met, the
Authority shall obtain specific approval from City Council prior to its approval of the
provision of EDIP funds for such purpose.
6. AUTHORITY FINDINGS AND ACTION. Based upon the
recommendation of the Director, the Authority shall either approve or disapprove the
proposed provision of EDIP funds to the Project. The Authority shall not be required to
approve the Director's recommendation, but shall exercise its legislative discretion in
determining whether, and to what extent, the application satisfies Part A of this Policy and
the Authority's objective of fostering and stimulating the development of industry in the
City. Provided, however, that prior to approval, the Authority must make all the following
findings:
a. That the animating purpose of the proposed provision of EDIP funds to
the Project is to serve the public purpose of fostering and stimulating
economic development in the City of Virginia Beach;
b. that the expenditure of such funds will only incidentally enure to the
benefit of private interests, if at all;
c. That the proposed provision of EDIP funds to the Project is in furtherance
of the purposes for which the Authority was created;
d. That without the stimulus of the EDIP award, it is unlikely that the
Applicant would locate, remain or expand in the City; and
5
e. That as of the date the Director presents his or her recommendation to the
Authority in closed session, the Project has not yet commenced
construction of its proposed improvements. Consideration in a closed
session does not indicate approval and any investment or expenditure
made by the Applicant is done at the sole risk of the Applicant. Further,
if an award is not approved within seventy(70) days of the date of closed
session, only investments made within seventy days of the date of the
approval of the award in open session will be considered for
reimbursement under the award.
f. The Applicant for an award shall certify to the Authority that the findings
in section (d) and (e), above, are true and accurate at the time of the
Authority's vote on an award.
7. APPROVAL OF AWARD OF EDIP FUNDS. Approval by the
Authority of the provision of EDIP funds to a specific business pursuant to this Part A shall
be in the form of a resolution which shall include the following information:
a. The name, location, and nature of the Project to which the funds will be
provided;
b. The amount of funds that will be provided;
c. The purpose or purposes for which the funds will be provided;
d. A statement that the criteria set forth in paragraph 2 of this Part A have
been met; or, in the alternative, that City Council has specifically
approved provision of EDIP funds for such purpose pursuant to paragraph
5 of this Part A; and
e. A statement that the findings set forth in paragraph 6 of this Part A have
been made by the Authority.
PART B: POLICY AND PROCEDURE FOR THE PROVISION OF EDIP FUNDS
TO QUALIFYING DEVELOPERS AND PROPERTY OWNERS FOR THE
DEVELOPMENT OR REDEVELOPMENT OF PROPERTIES IN STRATEGIC
GROWTH AREAS, SPECIAL ECONOMIC GROWTH AREAS, ECONOMIC
REDEVELOPMENT AREAS, OR OPPORTUNITY ZONES.
1. PURPOSE AND INTENT. It is recognized that within the City there
are areas that are currently brownfields, greyfields or vacant, abandoned, under improved
or underdeveloped with improvements or land uses which are not economically viable,but,
if developed, should stimulate industry and economic development within the City.
6
Moreover, such properties and areas, if developed or redeveloped, may reasonably be
expected to(i) generate additional tax revenue as a result of Capital Investment; (ii) create
additional job opportunities; (iii) influence similar redevelopment and additional
investment in nearby properties;(iv) further the goals of the Comprehensive Plan and be
consistent with the City's Economic Development Strategy and good zoning principles;
and (v) lead to the establishment of safe and convenient neighborhoods and workplaces.
Accordingly, it is the animating purpose of the Economic Development Investment
Program under Part B of this Policy to enhance the ability of the City of Virginia Beach
Development Authority to foster and stimulate economic development in the City by
providing incentives for the development or redevelopment of properties described herein.
2. ECONOMIC REDEVELOPMENT AREAS, SPECIAL
ECONOMIC GROWTH AREAS, STRATEGIC GROWTH AREAS AND
OPPORTUNITY ZONES. The Directors of the Department and Planning shall identify
areas of the City (i)that are currently brownfields, greyfields, or vacant, abandoned, under
improved or underdeveloped, and (ii) which should be considered for redevelopment or
special development opportunities, but may lie outside of the Strategic Growth Areas as
set forth in the City's Comprehensive Plan. Such areas shall be known as "Economic
Redevelopment Areas". Once identified, an Economic Redevelopment Area must be
submitted to the City Council for designation as such by ordinance. To qualify for EDIP
funds under Part B of this Policy, a developer or owner of property must demonstrate that
the subject property is located within a Target Area. For purposes of this Policy, the term
"brownfields" means vacant, abandoned or under improved real property large enough to
support significant expansion, redevelopment or reuse, but for which such expansion,
redevelopment or reuse is complicated by the presence of a substantial amount of
hazardous substances, pollutants, or contamination. The term "greyfields" means
underperforming, declining or vacant real estate.
3. QUALIFYING LAND USES. EDIP funds under Part B of this Policy
may be provided for office, industrial, retail, hotel and mixed use development (including
high density and multi-family residential uses).
4. INVESTMENT CRITERIA. EDIP funds may be awarded pursuant to
Part B of this Policy in such instances where the Director has determined, and has advised
the Authority, that both of the following criteria have been met:
a. The net amount of direct tax revenues returned to the City as a result of
the Project for which the EDIP funds are provided will exceed the amount
of the EDIP funds provided no later than 48 months following the
payment of the EDIP award; or where flexibility for tax abatement has
been granted by the City, the amount of direct tax revenues not abated as
a result of the Project for which EDIP funds are provided will exceed the
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amount of the EDIP funds provided no later than 48 months following
the payment of the EDIP award; and
b. For every one dollar ($1) in EDIP funds provided, twelve and 50/100
dollars ($12.50) or more in new Capital Investment will be made at the
Project.
The foregoing investment criteria and required return to the City shall be
interpreted as being a threshold for consideration for the award of EDIP funds. No award
of such funds may be made unless all other requirements of Part B of this Policy are
satisfied and all findings stated in Part B of this Policy are made. The Authority shall have
complete discretion as to the award of funds and the amount of funds awarded, as well as
whether or not the criteria have been met.
5. AVAILABILITY OF FUNDS. EDIP funds may be authorized for use
pursuant to Part B of this Policy only to the extent that they have been appropriated by the
City Council. Further, provided that in any given fiscal year, the Authority shall not award
more than fifty percent (50%) of its annual appropriation for EDIP use pursuant to Part B
of this Policy without authorization of the City Council.
6. APPLICATION FOR EDIP AWARD.An Applicant who desires EDIP
funds for use in a Project located in a Target Area may make application for that purpose
through the Department. The form of the application is attached hereto as Exhibit B. The
applicant shall also complete the City of Virginia Beach Disclosure Form, also attached on
Exhibit B. The Applicant shall mark any materials contained in such application as
confidential or proprietary at the time of submission. The failure to mark such materials
may result in the disclosure by the City or the Authority pursuant to applicable open records
laws. The Applicant shall submit such additional information and documentation
concerning its application as may be required by the Director, including any certifications
as required by this Policy. The Director shall review the application and information
submitted and may, if the Director finds that the Project described in the application
satisfies all requirements of this Part B, recommend to the Authority that it award EDIP
funds to the Project. In determining whether to recommend that EDIP funds be awarded
to a Project, the Director shall find as follows:
a. Whether the provision of EDIP funds is necessary to stimulate the
development or redevelopment of the Project area; and
b. Whether the Project satisfies the investment criteria set forth in paragraph
4 of this Part B.
Additionally, the Director may consider the following:
8
c. The amount of EDIP funds remaining and available for use pursuant to
this Part B of the Policy for the fiscal year.
d. The economic return to the City generated by the Project in addition to
the criteria set forth in paragraph 4 of
this Part B .
e. The expertise and experience of the Applicant in redeveloping
brownfields, greyfields, abandoned, blighted, under improved and
underdeveloped properties.
f. The degree to which the Project may influence development or
redevelopment within the applicable Target Area and adjacent or nearby
properties.
g. The extent to which the Project may serve to implement a change in use
which is consistent with and/or furthers the goals of the Comprehensive
Plan, the City's Economic Development Strategy.
h. The number and types of jobs which the development or redevelopment
may expect to generate.
i. The amount of the applicant's Capital Investment in the Project.
j. The extent to which the Project incorporates mixed uses, provides open
space and focuses on transportation and transit accessibility.
7. AUTHORITY FINDINGS AND ACTION. Based upon the
recommendation of the Director,the Authority shall either approve or disapprove the award
of EDIP funds to the Applicant. The Authority may attach conditions to the approval of
the award of EDIP funds. In the case of a brownfield property, the Authority shall attach
the condition that prior to receiving EDIP funds, the recipient of EDIP funds shall provide
to the Authority evidence of all permits or approvals as required by state, federal and local
regulatory agencies and compliance therewith. The Authority shall not be required to
approve the Director's recommendation, but shall exercise its legislative discretion in
determining whether, and to what extent, the Applicant's proposed Project satisfies Part B
of this Policy and the Authority's objective of fostering and stimulating the development
of industry in the City. Provided, however, that prior to approval of the award of EDIP
funds to an Applicant, the Authority must make the following findings:
a. That the animating purpose of the proposed provision of EDIP funds to
the Project is to serve the public purpose of fostering and stimulating
economic development in the City of Virginia Beach; and
9
b. That the expenditure of such funds will only incidentally enure to the
benefit of private interests, if at all;
c. That the proposed provision of EDIP funds to the Project is in furtherance
of the purposes for which the Authority was created;
d. That without the stimulus of the EDIP award, it is unlikely that the
Applicant would locate, remain or expand in the City;
e. That as of the date the Director presents his or her recommendation to the
Authority in closed session, the Project has not yet commenced
construction of the proposed improvements. Consideration in a closed
session does not indicate approval and any investment or expenditure
made by the Applicant is done at the sole risk of the Applicant. Further,
if an award is not approved within seventy(70) days of the date of closed
session, only investments made within seventy days of the date of the
approval of the award in open session will be considered for
reimbursement under the award;
f. The Applicant for an award shall certify to the Authority that the findings
in section (d) and (e), above, are true and accurate at the time of the
Authority's vote on an award;
g. That the property has been designated (or is in an area which has been
designated) as a Target Area;
h. That the Project is consistent with the City's Comprehensive Plan, and
the City's Economic Development Strategy, as amended; and
i. That the Project as proposed, will serve to influence redevelopment and
additional capital investment in adjacent or nearby properties.
8. APPROVAL OF THE AWARD OF EDIP FUNDS. Approval by the
Authority of the provision of EDIP funds pursuant to this Part B shall be in the form of a
resolution which shall include the following information:
a. The name of the Applicant , and the location and a brief description of
the Project;
b. The amount of EDIP funds that will be provided;
c. The purpose or purposes for which the EDIP funds are to be provided;
10
d. A statement that the criteria set forth in paragraph 4 of this Part B have
been met;
e. A statement that the findings set forth in paragraph 7 of this Part B have
been made by the Authority; and
f. Any conditions to the approval of the award of the EDIP funds by the
Authority.
9. ALTERNATIVE USES OF PART B FUNDS BY THE
AUTHORITY TO PURCHASE AND IMPROVE PROPERTY IN A STRATEGIC
GROWTH AREA, SPECIAL ECONOMIC GROWTH AREA ECONOMIC
REDEVELOPMENT AREA OR AN OPPORTUNITY ZONE. The Authority may use
EDIP Funds to purchase and improve property within a Target Area. Prior to the approval
of the use of EDIP funds for such acquisition, the Authority must find that:
a. The property is located within a Target Area; and
b. The acquisition and/or improvement of the property by the Authority and
its subsequent development or redevelopment will be in conformity with
and/or furthers the goals of the City's Comprehensive Plan, the City's
Economic Development Strategy,the APZ-1 Ordinance, as amended, and
Part B of this Policy.
In addition to any property purchased using EDIP funds pursuant to
paragraph 9 of this Part B, the Authority may also use EDIP funds for the following
improvements to such property: (i) the installation of infrastructure; (ii) the demolition of
existing structures; or(iii)the remediation or cleanup of adverse environmental conditions.
The Authority may dispose of such property in accordance with state law and may
subsequently sell such property to a private party for development or redevelopment. In
the event of such sale, the Authority shall attach appropriate conditions to assure that the
development or redevelopment is in conformity with and/or furthers the goals of the City's
Comprehensive Plan, the City's Economic Development Strategy, the APZ-1 Ordinance,
as amended, and is in furtherance of the objectives of Part B of this Policy.
The proceeds of any property purchased by the Authority and sold pursuant
to paragraph 9 of this Part B shall be returned to the EDIP fund account.
PART C: POLICY AND PROCEDURE FOR THE PROVISION OF EDIP FUNDS
TO QUALIFYING DEVELOPERS AND PROPERTY OWNERS FOR THE
DEVELOPMENT OR REDEVELOPMENT OF PROPERTIES IN APZ-1 OR THE
CLEAR ZONES.
11
1. PURPOSE AND INTENT. It is recognized that within the City there
are areas that are not advancing the City's purpose of retaining NAS Oceana as a master
jet base in Virginia Beach, but, if developed with conforming uses, should stimulate
industry and economic development within the City. Moreover, such properties and areas,
if developed or redeveloped, may reasonably be expected to (i) generate additional tax
revenue as a result of Capital Investment; (ii) influence similar redevelopment and
additional investment in nearby properties;(iii)further the goals of the Comprehensive Plan
and be consistent with the City's Economic Development Strategy and good zoning
principles; (iv) in the APZ-1 and Clear Zone areas, encourage the conversion of property
that does not conform to the City's zoning amendments adopted in response to the BRAC
Order on December 20, 2005 (the"APZ-1 Ordinance")to uses that do conform to the APZ-
1 Ordinance, including the relocation of nonconforming properties to areas of the City
outside the APZ-1 and Clear Zones and the location of conforming properties within the
APZ-1; and (v) lead to the establishment of safe and convenient neighborhoods and
workplaces. Accordingly, it is the animating purpose of the Economic Development
Investment Program under Part C of this Policy to enhance the ability of the Authority to
foster and stimulate economic development in the APZ-1 by providing incentives for the
development or redevelopment of properties as described herein.
2. APZ-1 AND THE CLEAR ZONES. The term "APZ-1" means
Accident Potential Zone 1 and the areas identified as APZ-1 on the 1999 "Air Installations
Compatible Use Zones" ("AICUZ") pamphlet published by the U.S. Department of the
Navy. The term "Clear Zones" are those areas designated as "Clear Zones" on the 1999
AICUZ pamphlet.
3. QUALIFYING LAND USES. EDIP funds under Part C of this Policy
may be provided only for uses consistent with the APZ-1 Ordinance and any amendments
thereto.
4. INVESTMENT CRITERIA.
a. For Areas located in the APZ-1 or Clear Zones, EDIP funds may be
awarded pursuant to Part C of this Policy in such instances where the
Oceana Land Use Conformity Committee has determined, and has
advised the Director, that the Project for which EDIP funds will be
provided will have the effect of furthering the goals of the Oceana Land
Use Conformity Program, including bringing new uses into APZ-1 areas
that conform to the APZ-1 Ordinance, converting nonconforming uses to
conforming uses, retaining conforming uses in APZ-1, and relocating
nonconforming uses in APZ-1 and Clear Zones to other areas of the City
where such uses would be consistent with the Comprehensive Plan and
the City Zoning Ordinance. The Director shall advise the Authority of
12
all determinations and recommendations made by the Oceana Land Use
Conformity Committee ("OLUCC").
b. In determining the amount of the award recommended to OLUCC, the
Director shall determine whether both the following criteria have been
met:
(i) The net amount of direct tax revenues returned to the City as a
result of the Project for which the EDIP funds are provided will exceed the amount of the
EDIP funds provided no later than 48 months following the payment of the EDIP award;
or where flexibility for tax abatement has been granted by the City, the amount of direct
tax revenues not abated as a result of the Project for which EDIP funds are provided will
exceed the amount of the EDIP funds provided no later than 48 months following the
payment of the EDIP award; and/or
(ii) For every one dollar ($1) in EDIP funds provided, the Applicant
of the Project for which such funds are provided will spend ten and 50/100 dollars($10.50)
or more in new Capital Investment, including buildings, furnishings, and/or equipment.
The foregoing investment criteria and required return to the City shall be
interpreted as being a threshold for consideration for the award of EDIP funds. No award
of such funds may be made unless all other requirements of Part C of this Policy are
satisfied and all findings stated in Part C of this Policy are made. The Authority shall have
complete discretion as to the award of funds and the amount of funds awarded, as well as
whether or not the criteria have been met.
5. ADDITIONAL USES OF FUNDS UNDER PART C. A qualifying
owner of land located in APZ-1 or the Clear Zones who desires to (i) move a
nonconforming use of that land out of APZ-1 or the Clear Zones and into another part of
the City where the use is compatible and(ii) if owner retains ownership of the subject land,
agrees to restrict the further use of that land to uses compatible with those allowed in the
APZ-1 Ordinance, shall be entitled to apply for an award of up to $75,000 to offset actual
moving expenses incurred in moving the said nonconforming use out of APZ-1 or the Clear
Zones.
6. AVAILABILITY OF FUNDS. The City Council specifically
appropriates funds for EDIP use in APZ-1 and Clear Zone areas, It is anticipated that such
funds for EDIP use in APZ-1 and Clear Zone areas will be made available from CIP 9-037
(Oceana and Interfacility Traffic Area Conformity and Acquisition II).
7. APPLICATION FOR EDIP AWARD.An Applicant who desires EDIP
funds for use in a Project located in APZ-1 or the Clear Zones may make application for
that purpose through the Department. The Applicant shall submit such information and
13
documentation concerning its application as may be required by the Director. The applicant
shall also complete the City of Virginia Beach Disclosure Form, also attached on Exhibit
B. The Applicant shall mark any materials contained in such application as confidential or
proprietary at the time of submission. The failure to mark such materials may result in the
disclosure by the City or the Authority pursuant to applicable open records laws. The
Director shall review the application and information submitted and may, if the Director
finds that the Project described in the application satisfies all requirements of this Part C,
recommend to the Authority that it award EDIP funds to the Applicant. In determining
whether to recommend that EDIP funds be awarded to an Applicant, the Director shall find
as follows:
a. Whether the provision of EDIP funds is necessary to stimulate the
development or redevelopment of the property/area; and
b. Whether the Project satisfies the investment criteria set forth in paragraph
4 of this Part C.
c. Whether the Project is consistent with the APZ-1 Ordinance.
Additionally, the Director may consider the following:
d. The amount of EDIP funds remaining and available for use pursuant to
this Policy for the fiscal year.
e. The economic return to the City generated by the Project.
f. The expertise and experience of the Applicant in redeveloping
brownfields, greyfields, abandoned, blighted, under improved and
underdeveloped properties.
g. The degree to which the Project may influence compatible development
or redevelopment within the APZ-1 and development of adjacent or
nearby properties.
h. The extent to which the Project may serve to implement a change in use
which is consistent with and/or furthers the goals of the Comprehensive
Plan, the City's Economic Development Strategy, and the APZ-1
Ordinance, as amended.
i. The amount of the Applicant's Capital Investment in the Project.
j. The value of moving a use of property that is inconsistent with the APZ-
1 Ordinance out of the APZ-1 or the Clear Zones.
14
8. AUTHORITY FINDINGS AND ACTION. Based upon the
recommendation of the Director,the Authority shall either approve or disapprove the award
of EDIP funds to the Applicant. The Authority may attach conditions to the approval of
the award of EDIP funds. The Authority shall not be required to approve the Director's
recommendation, but shall exercise its legislative discretion in determining whether, and
to what extent, the Applicant's proposed Project satisfies Part C of this Policy and the
Authority's objective of fostering and stimulating the development of industry in the City,
including the retention of NAS Oceana as a master jet base. Provided, however, that prior
to approval of the award of EDIP funds to an Applicant, the Authority must make the
following findings:
a. That the animating purpose of the proposed provision of EDIP funds to
the Project is to serve the public purpose of fostering and stimulating
economic development in the City of Virginia Beach, including the
retention of NAS Oceana as a master jet base; and
b. That the expenditure of such funds will only incidentally enure to the
benefit of private interests, if at all;
c. That the proposed provision of EDIP funds to the Project is in furtherance
of the purposes for which the Authority was created;
d. That without the stimulus of the EDIP award, it is unlikely that the
property would be developed or redeveloped to the extent proposed, or at
the current time;
e. That as of the date of application for the EDIP award, the Applicant had
not yet commenced construction of the Project;
f. That without the stimulus of the EDIP award, it is unlikely that the
Applicant would locate, remain or expand in the City;
g. That as of the date the Director presents his or her recommendation to the
Authority in closed session, the Applicant had not yet commenced
construction of the Project. Consideration in a closed session does not
indicate approval and any investment or expenditure made by the
Applicant is done at the sole risk of the Applicant. Further, if an award is
not approved within seventy (70) days of the date of closed session, only
investments made within seventy days of the date of the approval of the
award in open session will be considered for reimbursement under the
award;
15
h. The Applicant for an award shall certify to the Authority that the findings
in section (e) and (f), above, are true and accurate at the time of the
Authority's vote on an award;
i. That the property is in APZ-1 or the Clear Zones;
j. That the proposed Project is consistent with the City's Comprehensive
Plan, the City's Economic Development Strategy and the APZ-1
Ordinance, as amended;
k. That the scope and quality of the Project will serve to influence
redevelopment and additional capital investment in adjacent or nearby
properties or, in APZ-1 and Clear Zones, will foster the retention of NAS
Oceana as a master jet base; and
1. The Oceana Land Use Conformity Committee has endorsed in writing
the award of EDIP funds as proposed by the Authority
9. APPROVAL OF THE AWARD OF EDIP FUNDS. Approval by the
Authority of the provision of EDIP funds pursuant to this Part C shall be in the form of a
resolution which shall include the following information:
a. The name of the Applicant, and the location and a brief description of the
Project;
b. The amount of funds that will be provided;
c. The purpose or purposes for which the funds are to be provided;
d. A statement that the criteria set forth in paragraph 4 of this Part C have
been met;
e. A statement that the findings set forth in paragraph 8 of this Part C have
been made by the Authority; and
f. Any conditions to the approval of the award of the EDIP funds by the
Authority.
10. ALTERNATIVE USES OF PART C FUNDS BY THE
AUTHORITY TO RETAIN A REAL ESTATE BROKER. The Authority may use
EDIP funds to retain a licensed real estate broker to sell property located in APZ-1 or the
Clear Zones and owned by the Authority or the City. The Authority is authorized to pay a
commission to that broker in an amount not to exceed the following:
16
Sale Price Cumulative Commission Rate
$ 0 - $500,000 5%
$500,001 - $1,000,000 3%
$1,000,001 and up 2%
PART D: GENERAL PROVISIONS APPLICABLE TO PARTS A, B AND C.
1. SEPARATE ACCOUNT FOR EDIP FUNDS. EDIP funds shall be
maintained by the Authority in a separate account and shall not be commingled with other
Authority funds.
2. EDIP FUND EXPENDITURES. All expenditures of EDIP funds shall
be in keeping with this Policy and may enure only incidentally to the benefit of private
interests. In addition to the use of EDIP funds pursuant to Parts A, and B or C of this Policy,
EDIP funds may also be utilized to conduct appraisals, financial and market studies, and
architectural and engineering studies directly related to specific economic development
initiatives and/or projects being conducted by the Authority on behalf of the City.
3. PAYMENT OF EDIP FUNDS.
a. When EDIP funds are awarded pursuant to either Part A or Part B this
Policy, they shall be paid to the Applicant at such time as the Director
shall (i) obtain copies such records from the Applicant (including all
contractors or subcontractors) necessary to document the actual costs
incurred for the purpose or purposes for which the funds are to be
provided; (ii) determine that the Project is in conformity with the plan of
development presented to the Authority and with all conditions which
may have been attached to the approval of the award of the funds by the
Authority; and (iii) where required by the Authority (such as when a
majority of the justification for an award is for the acquisition of
personalty that could be removed from the City of Virginia Beach), the
Applicant shall execute and deliver to the Authority an EDIP Recapture
Agreement in a form acceptable to counsel for the Authority.
b. Each resolution approving an award under this Policy shall contain a
statement of the amount of Capital Investment to be made and/or New
Jobs to be added as a basis for the award of funds approved.
Notwithstanding anything to the contrary in this Policy. the resolution
shall also direct that the full amount of the award approved shall not be
paid unless at least eighty-five percent (85%) of the Capital Investment
and/or New Jobs are actually made and/or added or retained.
17
c. If moveable equipment in the City of Virginia Beach at the time of an
award is to be considered as a basis for the calculation of Capital
Investment, the resolution shall contain a statement of the value of such
movable equipment at the time of the award.
d. The Director shall compile a written report for each award paid
documenting the methodology employed, records reviewed and steps
undertaken to ensure compliance with the terms of this Policy. The report
shall include sufficient information to determine compliance with the
Capital Investment and/or New Job requirement(s) of Section 3(b),
above. This report shall be provided to the Commissioners at their
monthly financial briefing.
4. SPECIFIC PURPOSES FOR THE USE OF EDIP FUNDS. When
EDIP funds are awarded to an Applicant pursuant to this Policy, such funds shall be used
only for the following purposes:
a. Public and private utility extension or capacity development on and off
site;
b. Road, rail, or other transportation access costs beyond the funding
capability of existing programs;
c. Public and private installation, extension or capacity development of
high-speed of broadband Internet access, whether on or off site;
d. Site acquisition;
e. Grading, drainage, paving, and any other activity required to prepare a
site for construction;
f. Construction or build-out of publicly or privately owned buildings;
g. Training costs;
h. Purchase and installation of tangible business property, located in the City
of Virginia Beach, in the following categories:
• Machinery and Tools;
• Tangible personal property used for research and Development;
18
• Computer hardware used by businesses primarily engaged in
providing data processing services to other nonrelated or
affiliated businesses:
• Programmable computer equipment and peripherals employed in
a trade or business (not individual workstations);
• Tangible personal property used in the provision of Internet
services;
• Equipment used primarily for research, development, production
or provision of biotechnology for the purpose of providing
products or processes for specific commercial or public purposes;
• Tangible property designed and used primarily for the purpose of
manufacturing a product from renewable energy.
5. REPORTING. The Authority shall provide City Council annual reports,
outlining, in detail, the manner in which the funds were provided. Such reports shall
include, at a minimum, the information required by subsections a, b, and c of paragraph 6
of Part A, subsections a, b, and c of paragraph 8 of Parts B and C, and information
demonstrating compliance with the provisions of this Policy and Procedure.
6. AMENDMENTS TO POLICY. The provisions of this Policy shall not
be amended without the prior consent and approval of the City Council and the Authority.
7. APPLICATION OF POLICY. This Policy is specifically applicable to
the expenditure of EDIP funds. This Policy is not intended to be, nor shall it be deemed
to be, applicable to the use of public funds from any source other than the EDIP.
8. EFFECTIVE DATE OF POLICY. This Policy shall become effective
immediately upon its approval by the City of Virginia Beach and the City of Virginia Beach
Development Authority, which approval shall be evidenced by signature of the Mayor of
the City of Virginia Beach and the Chair of the City of Virginia Beach Development
Authority acting by, and on behalf of, the City and the Authority, respectively.
Mayor, City of Virginia Beach Chair, City of Virginia Beach
Development Authority
Approved as to Content: Approved as to Legal Sufficiency:
Economic Development City Attorney
19
2019 Revision(1-15-19)
ECONOMIC DEVELOPMENT
INVESTMENT PROGRAM
POLICY AND PROCEDURE
WHEREAS, the City of Virginia Beach Development Authority (the
"Authority") was created pursuant to Chapter 643 of the Acts of Assembly of 1964, as
amended (the "Act");
WHEREAS, one of the primary purposes of the Act is to enable development
authorities "to promote industry and develop trade by inducing manufacturing, industrial,
governmental and commercial enterprises to locate in or remain in the Commonwealth....";
WHEREAS, pursuant to § 6 of the Act, the Authority has the power, inter
alia, "to sell, exchange, donate and convey any or all of its facilities or other properties
whether realty or personally whenever the Authority shall find any such action to be in
furtherance of the purposes for which the Authority was organized";
WHEREAS, pursuant to §7 of the Act, "the Authority may foster and
stimulate the development of industry in the area within its jurisdiction... [and]may accept,
and expend for the purposes stated above, money from any public or private source....";
WHEREAS, pursuant to- § 10 of the Act, the City of Virginia Beach (the
"City") "is authorized and empowered to make appropriations and to provide funds for the
operation of the Authority and to further its purposes";
WHEREAS, the economic development goals and objectives of the City
include achieving a higher ratio of nonresidential to residential real estate assessments,
investing in land and infrastructure to benefit future economic growth, and maximizing the
return of economic development efforts through the development and implementation of
programs and strategies that facilitate new business investment and encourage retention
and expansion activities thereby improving the overall quality of life in the City;
WHEREAS, while the Authority and City desire to promote all sectors of
growth, the Authority and the Department of Economic Development (the "Department")
have identified certain industries to target for growth and expansion in the City (the "Key
Industries "), and the Key Industries, which may be updated from time to time, are
identified on the Department's website, www.yesvirginiabeach.com ;
1
WHEREAS, other than JEB Little Creek Fort Story, NAS Oceana is the
single largest employer in the City, and investments and economic development efforts
aimed at retaining NAS Oceana as a master jet base are critical to the City's economic
"health";
WHEREAS,the City has established the Economic Development Investment
Program ("EDIP") as part of its overall effort to enhance the City's ability to accomplish
these goals and objectives;
WHEREAS, pursuant to the authority and empowerment set forth in--§10 of
the Act, City Council has determined that it would be in the best interests of the City to
provide EDIP appropriations to the Authority to enable the Authority to more effectively
continue its efforts to foster and stimulate economic development by (i) inducing
businesses to locate or remain in the City; and (ii) providing incentives to qualifying
developers and property owners for the development or redevelopment of under improved
or underdeveloped properties, or brownfields, grey fields, or abandoned or blighted
properties in areas of the City which have been designated as "Strategic Growth Areas",
"Special Economic Growth Areas" or "Economic Redevelopment Areas'' or
"Opportunity Zones" (as defined in the Internal Revenue Code), including infill
development within such areas;. Collectively, Strategic Growth Areas, Special Economic
Growth Areas, Economic Redevelopment Areas, and Opportunity Zones may be referred
to herein as "Target Areas:" and
WHEREAS, the City and the Authority have agreed that the provision of
funds in the EDIP account to the Authority for economic development purposes, and the
subsequent provision of such funds by the Authority to qualifying recipients, should be
subject to policies and procedures which will ensure that the expenditure of such funds is
in the public interest and is in furtherance of the purposes for which the EDIP was
established; and
WHEREAS, awards made under this Policy are at the sole legislative
discretion of the Authority, and nothing herein should be deemed or interpreted as an
entitlement to an award.
NOW, THEREFORE, the City of Virginia Beach and the City of Virginia
Beach Development Authority hereby adopt the following Economic Development
Investment Program Policy and Procedures (the "Policy"):
DEFINITIONS:
Unless otherwise defined, the following terms shall have the following meanings in
this Policy:
2
a. "Capital Investment" means a capital expenditure in taxable real
property, taxable tangible personal property, or both at the Project in the
City of Virginia Beach. The Authority may, in its discretion, determine
that the value of machinery and equipment leased under an operating
lease will qualify as a capital investment. The Authority may also, in its
discretion, consider Capital Investments made by third parties at the
Project for the overall benefit of the Project, and/or the value of moveable
equipment retained by a business that was considering relocating outside
of the City of Virginia Beach.
b. "New Job" means a permanent full-time employment of an indefinite
duration at the Project, for which the standard fringe benefits are provided
by the company for the employee. Each new job must require a minimum
of either(i)35 hours of an employee's time per week for the entire normal
year of the company's operations, which "normal year" must include at
least 48 weeks, or(ii) 1,680 hours per year.
c. "Project" means the facility or facilities where a recipient of an award
under this Policy has located from outside the City of Virginia Beach, or
remained in the City of Virginia Beach or expanded its operations within
the City of Virginia Beach and for which Capital Investment, New Jobs
or direct tax revenues returned to the City are considered as a basis for an
award under this Policy.
d. "Applicant" means the business, owner, or developer that submits an
application pursuant to this Policy.
PART A: POLICY AND PROCEDURE FOR THE PROVISION OF EDIP FUNDS
TO QUALIFYING BUSINESSES.
1. PURPOSE AND INTENT. The animating purpose of Part A of the
- -• ` - . . - - - - -- - - ' . . - DIP shall be to enhance the ability of the
City of Virginia Beach Development Authority to implement the purposes set forth in the
Act including,without limitation,to foster and stimulate economic development in the City
by inducing new businesses to locate in the City, existing businesses to remain in the City,
and existing businesses to remain in the City or to expand their operations.
2. INVESTMENT CRITERIA. Except as otherwise provided in
paragraph 4 of this Part A, EDIP funds may be awarded pursuant to Part A of this Policy
where the Director of he Department (the "Director") has
3
determined, and has advised the Authority that one or more of the following criteria have
been met:
a. The net amount of direct tax revenues returned to the City by a
businessProject to which EDIP funds are provided will exceed the
amount of EDLP funds so provided no later than thirty-six (36) months
from the date on which the busessProject commences operations at a
new or renovated facility; and/or
b. For every one dollar ($1) in EDIP funds provided, the business to which
• - - : . - . •_ _ ' :at least twenty-five dollars ($25) of
Capital Investment will be made at the Project for which the award is
granted; and/or-equipinentandzer
;
c. Every one thousand dollars($1,000) in EDIP funds provided will yield at
least one (1) new "full time equivalent" employment opportunity in the
businessNew Job in the Project to which such funds are provided.
However, (i) up to two thousand dollars ($2,000) shall be available for
businesses who create new "full time equivalent" employment
opportunities in the businesafor a Project that creates New Jobs in the
Project for which such funds are provided, where such employment
opportunities pay an average of$35,001 to $50,000, excluding benefits,
(ii)up to three thousand dollars ($3,000) shall be available for businesses
businessesa Project that creates New Jobs in the Project for which such
funds are provided,where such employment opportunities pay an average
of$50,001 to $75,000, excluding benefits, and (iii) up to four thousand
dollars ($4,000) shall be available for businesses who create "full time
equivalent" employment opportunities in the businessesa Project that
creates New Jobs in the Project for which such funds are provided,where
such employment opportunities pay an average of over $75,001,
excluding benefits. For new FTE employment opportunitiesFor New
Jobs paying an average up to $35,000 the business must demonstrate
associated workforce development training costs. For any job to qualify
for an award, that position must be filled for at least one year.
These criteria shall be reviewed by the Director and the Director of the
Department of Management Services on a bi annual basis.Department Management
Services on a biennial basis. Specifically included in such review is the examination of
whether the dollar thresholds in this Section 2 require adjustment to reflect changes in the
4
4
CPI or cost of construction. The Director shall recommend any appropriate revisions to
the City Council and the Authority for further consideration and action.
In addition to the foregoing criteria, it is the goal of the Authority to approve
EDIP funflsawards to bwitiessesProjects that pay an average annual salary of $35,000
(excluding benefits). However, the Authority reserves the right to deviate from this goal
in exceptional cases and for good cause shown.
33.QUALIFYING USES FOR PART A FUNDS. EDIP funds under Part
A of this Policy may be used throughout the City of Virginia Beach for the following
purposes: office, industrial, commercial and mixed-use development, or such other uses
where the Director has demonstrated a need for the proposed use in that part of the City.
In determining whether to award EDIP Funds for other uses, the Authority shall consider
(i) whether the proposed use is consistent with the goals of the SGA or SEGA where the
Project is located, and (ii) whether the Project meets the City of Virginia Beach's
Investment Partnership Guidelines, and (iii) whether the Project will meet an underserved
need in the City or further the growth of the Key Industries.
4. APPLICATION FOR EDIP AWARD. " An Applicant who
desires EDIP funds to . . -, - .-. - . - .•. • ' . . -- a Project in the City of Virginia
Beach may make application for that purpose through the Department of Economic
Develepment,, The appliedform of the application is attached hereto as Exhibit B. The
Applicant shall also complete the City of Virginia Beach Disclosure Form, also attached
on Exhibit B. The Applicant shall mark any materials contained in such application as
confidential or proprietary at the time of submission. The failure to mark such materials
may result in the disclosure by the City or the Authoritypursuant to applicable open records
laws. The Applicant shall submit such additional information and documentation
concerning its application as may be required by the Director. The Director shall review
the application and information submitted and may,if the Director finds that the application
meets the requirement of this Part A,recommend to the Authority that it award EDIP funds
to the b; Project. The Director's recommendation shall be in writing and shall
include the proposed amount of the award and basis therefore under this Policy. This
recommendation may take the form of the written presentation made to the Authority in a
closed session.
4-5. COUNCIL APPROVAL OF CERTAIN EDIP AWARDS. If the
Director, acting on behalf of the Authority, determines the need to provide EDIP funds to
a specific businessProject, but the criteria set forth in paragraph 2 of this Part A have not
been met, the Authority shall obtain specific approval from City Council prior to its
approval of the provision of EDIP funds for such purpose.
5
�6.AUTHORITY FINDINGS AND ACTION.— Based upon the
recommendation of the Director, the Authority shall either approve or disapprove the
proposed provision of EDLP funds to the busessProject. The Authority shall not be
required to approve the Director's recommendation, but shall exercise its legislative
discretion in determining whether, and to what extent, the application satisfies Part A of
this Policy and the Authority's objective of fostering and stimulating the development of
industry in the City. Provided, however, that prior to approval, the Authority must make
all the following findings:
a_a—That the animating purpose of the proposed provision of EDIP funds
to the bus nessProject is to serve the public purpose of fostering and
stimulating economic development in the City of Virginia Beach, and
b. that the expenditure of such funds will only incidentally enure to the
benefit of private interests, if at all;
bc. That the proposed provision of EDIP funds to the businessProject is in
furtherance of the purposes for which the Authority was created;
That without the stimulus of the EDIP award, it is unlikely that
—the businessApplicant would locate,remain or expand in the City;
and
d. That as of the date of approval of the EDIP award, the business
had not yet commenced construction of the proposed improvements.
e_6That as of the date the Director presents his or her recommendation to
the Authority in closed session, the Project has not yet commenced
construction of its proposed improvements. Consideration in a closed
session does not indicate approval and any investment or expenditure
made by the Applicant is done at the sole risk of the Applicant. Further,
if an award is not approved within seventy(70) days of the date of closed
session, only investments made within seventy days of the date of the
approval of the award in open session will be considered for
reimbursement under the award.
f. The Applicant for an award shall certify to the Authority that the findings
in section (d) and (e), above, are true and accurate at the time of the
Authority's vote on an award.
g
6
7. APPROVAL OF AWARD OF EDIP FUNDS. Approval by the
Authority of the provision of EDIP funds to a specific business pursuant to this Part A shall
be in the form of a resolution which shall include the following information:
a. _The name, location, and nature of the bessProject to which the funds
will be provided;
b. The amount of funds that will be provided;
c. The purpose or purposes for which the funds will be provided;
d. A statement that the criteria set forth in paragraph 2 of this Part A have
been met; or, in the alternative, that City Council has specifically
approved provision of EDLP funds for such purpose pursuant to paragraph
45 of this Part A; and
e. -A statement that the findings set forth in paragraph 5-6 of this Part A have
been made by the Authority.
PART B: POLICY AND PROCEDURE FOR THE PROVISION OF EDIP FUNDS
TO QUALIFYING DEVELOPERS AND PROPERTY OWNERS FOR THE
DEVELOPMENT OR REDEVELOPMENT OF PROPERTIES IN STRATEGIC
GROWTH AREAS, SPECIAL ECONOMIC GROWTH AREAS-ORz ECONOMIC
REDEVELOPMENT AREAS, OR OPPORTUNITY ZONES.
1. — PURPOSE AND INTENT. It is recognized that within the City there
are areas that are currently brownfields, greyfields or vacant, abandoned, under improved
or underdeveloped with improvements or land uses which are not economically viable,but,
if developed, should stimulate industry and economic development within the City.
Moreover, such properties and areas, if developed or redeveloped, may reasonably be
expected to (i) generate additional tax revenue as a result of capital investmentCapital
Investment; (ii) create additional job opportunities; (iii) influence similar redevelopment
and additional investment in nearby properties;(iv) further the goals of the Comprehensive
Plan and be consistent with the City's Economic Development Strategy and good zoning
principles; and (v) lead to the establishment of safe and convenient neighborhoods and
workplaces. Accordingly, it is the animating purpose of the Economic Development
Investment Program under -Part B of this Policy- to enhance the ability of the City of
Virginia Beach Development Authority to foster and stimulate economic development in
7
the City by providing incentives for the development or redevelopment of properties
described herein.
2. - ECONOMIC REDEVELOPMENT AREAS, SPECIAL
ECONOMIC GROWTH AREAS—AND, STRATEGIC GROWTH AREAS; AND
OPPORTUNITY ZONES. The Directors of the Departments of Economic
DevelopmentDepartment and Planning shall identify areas of the City(i)that are currently
brownfields, greyfields, or vacant, abandoned, under improved or underdeveloped, and(ii)
which should be considered for redevelopment or special development opportunities, but
may lie outside of the Strategic Growth Areas as set forth in the City's Comprehensive
Plan. Such areas shall be known-as "Economic Redevelopment Areas". Once identified,
an Economic Redevelopment Area must be submitted to the City Council for designation
as such by ordinance. To qualify for EDIP funds under Part B of this Policy, a developer
or owner of property must demonstrate that the subject property is located within a
the Comprehensive Plan or has been designated an Economic Redevelopment Area as
defined herein by ordinance of the City Council. Target Area. For purposes of this Policy,
the term "brownfields" means vacant, abandoned or under improved real property large
enough to support significant expansion, redevelopment or reuse, but for which such
expansion, redevelopment or reuse is complicated by the presence of a substantial amount
of hazardous substances, pollutants, or contamination. The term "greyfields" means
underperforming, declining or vacant real estate.
3. —QUALIFYING LAND USES. EDIP funds under Part B of this Policy
may be provided for office, industrial, retail, hotel and mixed use development (including
high density and multi-family residential uses).
4.— INVESTMENT CRITERIA. EDIP funds may be awarded pursuant
to Part B of this Policy in such instances where the Director has determined, and has
advised the Authority, that both of the following criteria have been met:
The net amount of direct tax revenues returned to the City as a result of
the development or redevelopmentProject for which the EDIP funds are
provided will exceed the amount of the EDIP funds provided no later than
48 months following the payment of the EDIP award; or where flexibility
for tax abatement has been granted by the City, the amount of direct tax
revenues not abated as a result of the development or
redeve4eprxentProject for which EDIP funds are provided will exceed the
amount of the EDIP funds provided no later than 48 months following
the payment of the EDIP award; and
8
For every one dollar ($1) in EDIP funds provided, the owner or
providedtwelve and 50/100 dollars ($12.50) or more in new
capital investment, including buildings, furnishings, and/or
capital Investment will be made at the Project.
The foregoing investment criteria and required return to the City shall be
interpreted as being a threshold for consideration for the award of EDIP funds. No award
of such funds may be made unless all other requirements of Part B of this Policy are
satisfied and all findings stated in Part B of this Policy are made. The Authority shall have
complete discretion as to the award of funds and the amount of funds awarded, as well as
whether or not the criteria have been met.
5. AVAILABILITY OF FUNDS. EDIP funds may be authorized for use
pursuant to Part B of this Policy only to the extent that they have been appropriated by the
City Council. Further,provided that in any given fiscal year,the Authority shall not award
more than fifty percent (50%) of its annual appropriation for EDIP use for that year for
development or redevelopment purposes pursuant to Part B of this Policy without
authorization of the City Council.
6. — APPLICATION FOR EDIP AWARD.
Applicant who desires EDIP funds for use in the—development—or
a Project located in a Target Area, Special
. - _ . • - •. . . - - ' . . -- - _may make application for
that purpose through the Department of Economic Development._ The form of the
application is attached hereto as Exhibit B. The applicant shall also complete the City of
Virginia Beach Disclosure Form, also attached on Exhibit B. The Applicant shall mark
any materials contained in such application as confidential or proprietary at the time of
submission. The failure to mark such materials may result in the disclosure by the City or
the Authority pursuant to applicable open records laws. The Applicant shall submit such
additional information and documentation concerning its application as may be required
by the Director, including any certifications as required by this Policy. The Director shall
review the application and information submitted and may, if the Director finds that the
. . . • - - .. - - - • . -- : . : -- Project described in the application satisfies
all requirements of this Part B, recommend to the Authority that it award EDIP funds to
the applic-anProject. In determining whether to recommend that EDIP funds be awarded
to Project, the Director shall find as follows:
a. _Whether the provision of EDIP funds is necessary to stimulate the
development or redevelopment of the pier• Project area; and
-9-
9
b. Whether the development or redevelopmentProject satisfies the
investment criteria set forth in paragraph 4 of this Part B.
Additionally, the Director may consider the following:
c. _The amount of EDIP funds remaining and available for use pursuant to
this Part B of the Policy for the fiscal year.
pursuant to this Policy for the fiscal year.
d. _The economic return to the City generated by the development or
redevelopmentProject in addition to the criteria set forth
in paragraph 4 of
this Part B .
e. The expertise and experience of the developer or property owner
Applicant in —redeveloping —brownfields, greyfields,
abandoned, blighted, under improved and underdeveloped properties.
f. _The degree to which the Project may influence
—development or redevelopment within the Special Economic
Growth Area, Strategic Growth Area or the Economic
Redevelopmentapplicable Target Area and adjacent or nearby properties.
g. The extent to which the . - . . - - . . . . - - - Project
may
—serve to implement a change in use which is consistent with
--and/or furthers the goals of the Comprehensive Plan, the City's
—Economic Development Strategy.
h. _The number and types of jobs which the development or
redevelopment may expect to generate.
i--The amount of the applicant's Capital
Investment in the
i_ development or redevelopment of the property.Project.
j. _The extent to which the plan of development or redevelopment
Project incorporates mixed uses, provides open space and
focuses on transportation and transit
accessibility.
10
10
7.— AUTHORITY FINDINGS AND ACTION. Based upon the
recommendation of the Director,the Authority shall either approve or disapprove the award
of EDIP funds to the applicantApplicant. The Authority may attach conditions to the
approval of the award of EDIP funds. In the case of a brownfield property, the Authority
shall attach the condition that prior to receiving EDIP funds, the recipient of EDIP funds
shall provide to the Authority evidence of all permits or approvals as required by state,
federal and local regulatory agencies and compliance therewith. The Authority shall not be
required to approve the Director's recommendation, but shall exercise its legislative
discretion in determining whether, and to what extent,the Applicant's proposed
. . - .. • - . Project satisfies Part B of this Policy and the Authority's
objective of fostering and stimulating the development of industry in the City. Provided,
however, that prior to approval of the award of EDIP funds to an ai3plisantApplicant, the
Authority must make the following findings:
a_a—That the animating purpose of the proposed provision of EDIP funds
to the applieentProject is to serve the public purpose of fostering and
stimulating economic development in the City of Virginia Beach,a—
of private interests, if at all;; and
b. 13,-That the expenditure of such funds will only incidentally enure to the
benefit of private interests, if at all;
c. That the proposed provision of EDIP funds to the Project is in
furtherance of the purposes for which the Authority was created;
thOmetiffent=444443f
redeveloPmenti
d_e—That without the stimulus of the EDIP award, it is unlikely that the
Applicant would locate, remain or expand in the City,
e. That as of the date the Director presents his or her recommendation to the
Authority in closed session, the Project has not yet commenced
construction of the proposed improvements. Consideration in a closed
34
11
session does not indicate approval and any investment or expenditure
made by the Applicant is done at the sole risk of the Applicant. Further,
if an award is not approved within seventy(70)days of the date of closed
session, only investments made within seventy days of the date of the
approval of the award in open session will be considered for
reimbursement under the award;
f. The Applicant for an award shall certify to the Authority that the findings
in section (d) and (e), above, are true and accurate at the time of the
Authority's vote on an award:
g. That the property has been designated (or is in an area which has been
designated) as a . . _'. _ _ . • -Target Area or Strategic
h_f-That the Project is consistent with the City's
Comprehensive Plan, and the City's Economic Development Strategy, as
amended; and
i• That the scope and quality of the plan of development or
feclevelopmentThat the Project as proposed, will serve to influence
redevelopment and additional capital investment in adjacent or nearby
properties.
8. -APPROVAL OF THE AWARD OF EDIP FUNDS.Approval by the
Authority of the provision of EDIP funds pursuant to this Part B -shall be in the form of a
resolution which shall include the following information:
a_a:The name of the . - .. . - - . .. -- Applicant, and the
location and a brief description of the development or
feklevelopmentProject;
b. I3,-The amount of EDIP funds that will be provided;
c. e,--The purpose or purposes for which the EDIP funds are to be provided;
d. d-A statement that the criteria set forth in paragraph 4 of this Part B have
been met;
12
e_e,A statement that the findings set forth in paragraph 7 of this Part B
have been made by the Authority; and
f f-Any conditions to the approval of the award of the EDIP funds by the
Authority.
-9. ALTERNATIVE USES OF PART B FUNDS BY THE
AUTHORITY TO PURCHASE AND IMPROVE PROPERTY IN A STRATEGIC
GROWTH AREA, SPECIAL ECONOMIC GROWTH AREA OR AN-ECONOMIC
REDEVELOPMENT AREA: OR AN OPPORTUNITY ZONE. The Authority may
use EDIP Funds to purchase and improve property within a Sp
Gr-owtliTarget Area, . . . - . -• - • . - . _ . - . • Prior
to the approval of the use of EDIP funds for such acquisition, the Authority must find that:
a_a—The property is located within a _'. - :. . -•_ • - •. . .
-
' Target Area; and
b_b-The acquisition and/or improvement of the property by the Authority
and its subsequent development or redevelopment will be in conformity
with and/or furthers the goals of the City's Comprehensive Plan, the
City's Economic Development Strategy, the APZ-1 Ordinance, as
amended, and Part B of this Policy.
In addition to any property purchased using EDIP funds pursuant to
paragraph 9 of this Part B, the Authority may also use EDIP funds for the following
improvements to such property: (i) the installation of infrastructure; (ii) the demolition of
existing structures; or(iii)the remediation or cleanup of adverse environmental conditions.
The Authority may dispose of such property in accordance with state law and may
subsequently sell such property to a private party for development or redevelopment. In
the event of such sale, the Authority shall attach appropriate conditions to assure that the
development or redevelopment is in conformity with and/or furthers the goals of the City's
Comprehensive Plan, the City's Economic Development Strategy, the APZ-1 Ordinance,
as amended, and is in furtherance of the objectives of Part B of this Policy.
The proceeds of any property purchased by the Authority and sold pursuant
to paragraph 9 of this Part B shall be returned to the EDIP fund account.
PART C: POLICY AND PROCEDURE FOR THE PROVISION OF EDIP FUNDS
TO QUALIFYING DEVELOPERS AND PROPERTY OWNERS FOR THE
DEVELOPMENT OR REDEVELOPMENT OF PROPERTIES IN APZ-1 OR THE
CLEAR ZONES.
4-4
13
1. --PURPOSE AND INTENT. It is recognized that within the City there
are areas that are not advancing the City's purpose of retaining NAS Oceana as a master
jet base in Virginia Beach, but, if developed with conforming uses, should stimulate
industry and economic development within the City. Moreover, such properties and areas,
if developed or redeveloped, may reasonably be expected to (i) generate additional tax
revenue as a result of capital investmentCapital Investment; (ii) influence similar
redevelopment and additional investment in nearby properties;(iii) further the goals of the
Comprehensive Plan and be consistent with the City's Economic Development Strategy
and good zoning principles; (iv) in the APZ-1 and Clear Zone areas, encourage the
conversion of property that does not conform to the City's zoning amendments adopted in
response to the BRAC Order on December 20, 2005 (the "APZ-1 Ordinance")to uses that
do conform to the APZ-1 Ordinance, including the relocation of nonconforming properties
to areas of the City outside the APZ-1 and Clear Zones and the location of conforming
properties within the APZ-1; and (v) lead to the establishment of safe and convenient
neighborhoods and workplaces. Accordingly, it is the animating purpose of the Economic
Development Investment Program under Part C of this Policy to enhance the ability of the
City of Virginia Beach Development Authority to foster and stimulate economic
development in the APZ-1 by providing incentives for the development or redevelopment
of properties as described herein.
2. - APZ-1 AND THE CLEAR ZONES. The term "APZ-1" means
Accident Potential Zone 1 and the areas identified as APZ-1 on the 1999 "Air Installations
Compatible Use Zones" ("AICUZ") pamphlet published by the U.S. Department of the
Navy. The term "Clear Zones" are those areas designated as "Clear Zones" on the 1999
AICUZ pamphlet.
3. — QUALIFYING LAND USES. EDIP funds under Part C of this
Policy may be provided only for uses consistent with the APZ-1 Ordinance and any
amendments thereto.
4. —INVESTMENT CRITERIA.
a. (a) -For Areas located in the APZ-1 or Clear Zones, EDIP funds
may be awarded pursuant to Part C of this Policy in such instances where
the Oceana Land Use Conformity Committee has determined, and has
advised the Director, that the :- - . . - . . . . . - - Project for
which EDIP funds will be provided will have the effect of furthering the
goals of the Oceana Land Use Conformity Program, including bringing
new uses into APZ-1 areas that conform to the APZ-1 Ordinance,
converting nonconforming uses to conforming uses, retaining
14
conforming uses in APZ-1, and relocating nonconforming uses in APZ-1
and Clear Zones to other areas of the City where such uses would be
consistent with the Comprehensive Plan and the City Zoning Ordinance.
The Director shall advise the Authority of all determinations and
recommendations made by the Oceana Land Use Conformity Committee
("OLUCC").
b_ (b) In determining the amount of the award recommended to
OLUCC, the Director shall determine whether both the following criteria
have been met:
(i) The net amount of direct tax revenues returned to the City as a
result of the : . . . - • - . . • - - Project for which the EDIP funds are provided
will exceed the amount of the EDIP funds provided no later than 48 months following the
payment of the EDIP award; or where flexibility for tax abatement has been granted by the
City, the amount of direct tax revenues not abated as a result of the development
reElevelepnielitProject for which EDIP funds are provided will exceed the amount of the
EDIP funds provided no later than 48 months following the payment of the EDIP award;
and/or
(ii) For every one dollar ($1) in EDIP funds provided, the owner or
develeperApplicant of the : . . - - . . • Project for which such funds are
provided will spend ten and 50/100 dollars ($10.50) or more in new capital
iiwestiliefitCapital Investment, including buildings, furnishings, and/or equipment.
The foregoing investment criteria and required return to the City shall be
interpreted as being a threshold for consideration for the award of EDIP funds. No award
of such funds may be made unless all other requirements of Part C of this Policy are
satisfied and all findings stated in Part C of this Policy are made. The Authority shall have
complete discretion as to the award of funds and the amount of funds awarded, as well as
whether or not the criteria have been met.
5. ADDITIONAL USES OF FUNDS UNDER PART C. A qualifying
owner of land located in APZ-1 or the Clear Zones who desires to (i) move a
nonconforming use of that land out of APZ-1 or the Clear Zones and into another part of
the City where the use is compatible and(ii)if owner retains ownership of the subject land,
agrees to restrict the further use of that land to uses compatible with those allowed in the
APZ-1 Ordinance, shall be entitled to apply for an award of up to $75,000 to offset actual
15
15
moving expenses incurred in moving the said nonconforming use out of APZ-1 or the Clear
Zones.
6. AVAILABILITY OF FUNDS. The City Council specifically
appropriates funds for EDIP use in APZ-1 and Clear Zone areas, It is anticipated that such
funds for EDIP use in APZ-1 and Clear Zone areas will be made available from CIP-9: -
037 (Oceana and Interfacility Traffic Area Conformity and Acquisition II).
7. —APPLICATION FOR EDIP AWARD.
owner--ef-4enclAn Applicant who desires EDIP funds for use in
redevelopment of propertya Project located in APZ-1 or the Clear Zones may make
application for that purpose through the Department of Econo is Development., The
applApplicant shall submit such information and documentation concerning its
application as may be required by the Director. The applicant shall also complete the City
of Virginia Beach Disclosure Form, also attached on Exhibit B. ThelApplicant shall mark
any materials contained in such application as confidential or proprietary at the time of
submission. The failure to mark such materials may result in the disclosure by the City or
the Authority pursuant to applicable open records laws. The Director shall review the
application and information submitted and may, if the Director finds that the deNielepmelit
or redevelopment of the propertyProject described in the application satisfies all
requirements of this Part C, recommend to the Authority that it award EDIP funds to the
applic-antApplicant. In determining whether to recommend that EDIP funds be awarded to
an applieantApplicant, the Director shall find as follows:
a_a—Whether the provision of EDIP funds is necessary to stimulate the
development or redevelopment of the property/area; and
b-Whether the . . . - - - . - .. - . Project satisfies the
b_—investment criteria set forth in paragraph 4 of this Part C.
c_e.—Whether the . . . . • - - . . - . - Project is consistent with
the —APZ-1 Ordinance.
Additionally, the Director may consider the following:
d. The amount of EDIP funds remaining and available for use
d. pursuant to this Policy for the fiscal year.
4-6
16
e_e.—The economic return to the City generated by the development
efProiect.
this Part C.
The expertise and experience of the
f. Applicant in-redeveloping brownfields, greyfields, abandoned,blighted,
under improved and underdeveloped properties.
g-.-The degree to which the ntProject may influence
—compatible development or redevelopment within the APZ-1 and
g_—development of adjacent or nearby properties.
h. The extent to which the . .. - - - . . - - - 'roject may
—serve to implement a change in use which is consistent with
—and/or furthers the goals of the Comprehensive Plan, the City's
—Economic Development Strategy, and the APZ-1 Ordinance, as
h. —amended.
i_i—The amount of the . . . ' ' . .• . •- -- - - Applicant's Capital
Investment in the Project.
j. The value of moving a use of property that is inconsistent with the
APZ-1 Ordinance out of the APZ-1 or the Clear Zones.
8.— AUTHORITY FINDINGS AND ACTION. Based upon the
recommendation of the Director,the Authority shall either approve or disapprove the award
of EDIP funds to the applic-antApplicant. The Authority may attach conditions to the
approval of the award of EDIP funds. The Authority shall not be required to approve the
Director's recommendation, but shall exercise its legislative discretion in determining
whether, and to what extent, the applicant'sApplicant's proposed
fedevelepmentProject satisfies Part C of this Policy and the Authority's objective of
fostering and stimulating the development of industry in the City, including the retention
of NAS Oceana as a master jet base. Provided,however,that prior to approval of the award
of EDIP funds to an applioantApplicant, the Authority must make the following findings:
17
a. a--That the animating purpose of the proposed provision of EDIP funds
to the applicantProject is to serve the public purpose of fostering and
stimulating economic development in the City of Virginia Beach,
including the retention of NAS Oceana as a master jet base, and that the
tc interest if„t all..
„ and
b. 13,-That the expenditure of such funds will only incidentally enure to the
benefit of private interests, if at all;
c. That the proposed provision of EDIP funds to the appl tProject is in
furtherance of the purposes for which the Authority was created;
d. That without the stimulus of the EDIP award, it is unlikely that the
property would be developed or redeveloped to the extent proposed,or at
the current time;
. IN- . . . . - - - - - _` I . . :, . . -
property would be developed or redeveloped to the extent
e. d,--That as of the date of application for the EDIP award, the
applic-aotApplicant had not yet commenced construction of the proposed
de.�e'opmen*Project;
f. That without the stimulus of the EDIP award. it is unlikely that the
Applicant would locate, remain or redevelopment;expand in the City;
g. That as of the date the Director presents his or her recommendation to the
Authority in closed session, the Applicant had not yet commenced
construction of the Project. Consideration in a closed session does not
indicate approval and any investment or expenditure made by the
Applicant is done at the sole risk of the Applicant. Further, if an award is
not approved within seventy (70) days of the date of closed session, only
investments made within seventy days of the date of the approval of the
award in open session will be considered for reimbursement under the
award;
18
h. The Applicant for an award shall certify to the Authority that the findings
in section (e—) and (f), above, are true and accurate at the time of the
Authority's vote on an award;
i. That the property is in APZ-1 or the Clear Zones;
j_f-That the proposed deNAeleffientProject is consistent with the City's
Comprehensive Plan,the City's Economic Development Strategy and the
APZ-1 Ordinance, as amended;
k. That the scope and quality of the . . . . - . . . -
as-prepesed,Project will serve to influence redevelopment and additional
capital investment in adjacent or nearby properties or,in APZ-1 and Clear
Zones, will foster the retention of NAS Oceana as a master jet base; and
I_li--The Oceana Land Use Conformity Committee has endorsed in writing
the award of EDIP funds as proposed by the Authority
9. — APPROVAL OF THE AWARD OF EDIP FUNDS. Approval by
the Authority of the provision of EDIP funds pursuant to this Part C shall be in the form of
a resolution which shall include the following information:
a. s_—The name of the . - . . • : . - - . . • -- Applicant, and the
location and a brief description of the development or
redevelepmentiProj ect;
b. I37-The amount of funds that will be provided;
c. E-The purpose or purposes for which the funds are to be provided;
d. €1,A statement that the criteria set forth in paragraph 4 of this Part C have
been met;
e_e—A statement that the findings set forth in paragraph 8 of this Part C
have been made by the Authority; and
f. f:-Any conditions to the approval of the award of the EDIP funds by the
Authority.
19
40.— ALTERNATIVE USES OF PART C FUNDS BY THE
AUTHORITY TO RETAIN A REAL ESTATE BROKER. The Authority may use
EDIP funds to retain a licensed real estate broker to sell property located in APZ-1 or the
Clear Zones and owned by the Authority or the City. The Authority is authorized to pay a
commission to that broker in an amount not to exceed the following:
Sale Price Cumulative Commission Rate
$ 0 - $500,000 5%
$500,001 - $1,000,000 3%
$1,000,001 and up 2%
PART D: GENERAL PROVISIONS APPLICABLE TO PARTS A,B AND C.
1. SEPARATE ACCOUNT FOR EDIP FUNDS. EDIP funds shall be
maintained by the Authority in a separate account and shall not be commingled with other
Authority funds.
2. EDIP FUND EXPENDITURES. All expenditures of EDIP funds shall
be in keeping with this Policy and may enure only incidentally to the benefit of private
interests. In addition to the use of EDIP funds pursuant to Parts A, and B or C of this Policy,
EDIP funds may also be utilized to conduct appraisals, financial and market studies, and
architectural and engineering studies directly related to specific economic development
initiatives and/or projects being conducted by the Authority on behalf of the City.
3. PAYMENT OF EDIP FUNDS.
a. When EDIP funds are awarded pursuant to either Part A or Part B this
Policy, they shall be paid to the authorized business or the owner or
dcveloperApplicant at such time as the Director shall(i)obtain copies of
invoieesifeeeiptssuch records from the . . •- • , . . . . .•
showingApplicant(including all contractors or subcontractors)necessary
to document the actual costs incurred for the purpose or purposes for
which the funds are to be provided; (ii) determine that the development
or redevelopmentProject is in conformity with the plan of development
presented to the Authority and with all conditions which may have been
attached to the approval of the award of the funds by the Authority; and
(iii)where required by the Authority, - • .. - - , : - - . .
(such as when a majority of the justification for an award is for the
20
20
acquisition of personalty that could be removed from the City of Virginia
Beach), the Applicant shall execute and deliver to the Authority an EDIP
Recapture Agreement in a form acceptable to counsel for the Authority.
b. Each resolution approving an award under this Policy shall contain a
statement of the amount of Capital Investment to be made and/or New
Jobs to be added as a basis for the award of funds approved.
Notwithstanding anything to the contrary in this Policy, the resolution
shall also direct that the full amount of the award approved shall not be
paid unless at least eighty-five percent (85%) of the Capital Investment
and/or New Jobs are actually made and/or added or retained.
c. If moveable equipment in the City of Virginia Beach at the time of an
award is to be considered as a basis for the calculation of Capital
Investment, the resolution shall contain a statement of the value of such
movable equipment at the time of the award.
d. The Director shall compile a written report for each award paid
documenting the methodology employed, records reviewed and steps
undertaken to ensure compliance with the terms of this Policy. The report
shall include sufficient information to determine compliance with the
Capital Investment and/or New Job requirement(s) of Section 3(b).,
above. This report shall be provided to the Commissioners at their
monthly financial briefing.
4. —SPECIFIC PURPOSES FOR THE USE OF EDIP FUNDS. When
EDIP funds are awarded to an applic-antApplicant pursuant to this Policy, such funds shall
be used only for the following purposes:
a. Public and private utility extension or capacity development on and off
b. Road, rail, or other transportation access costs beyond the funding
capability of existing programs-;
c. Public and private installation, extension or capacity development of
high-speed of broadband Internet access, whether on or off site,i
21
d. Site acquisition,.-:
e. Grading, drainage, paving, and any other activity required to prepare a
site for construction,:
f. Construction or build-out of publicly or privately owned buildings..-LL
g. Training costs:
h. Purchase and installation of tangible business property,located in the City
of Virginia Beach, in the following categories:
• Machinery and Tools;
•----Tangible personal property used for research and
• developmcntDevelopment:
4---Computer hardware used by businesses primarily
engaged in providing data processing services to other
• --- nonrelated or affiliated businesses:
4—Programmable computer equipment and peripherals
• employed in a trade or business (not individual workstations)
•---Tangible personal property used in the provision of
• --Internet services.
+-Equipment used primarily for research, development, —
• production or provision of biotechnology for the purpose of
providing products or processes for specific commercial or public
purposes:
•--Tangible property designed and used primarily for the —
• purpose of manufacturing a product from renewable energy,
5. REPORTING. The Authority shall provide City Council annual reports,
outlining, in detail, the manner in which the funds were provided. Such reports shall
include, at a minimum, the information required by subsections a, b, and c of paragraph 6
of Part A, subsections a, b, and c of paragraph 8 of Parts B and C, and information
demonstrating compliance with the provisions of this Policy and Procedure.
22
22
6. AMENDMENTS TO POLICY. The provisions of this Policy shall not
be amended without the prior consent and approval of the City Council and the Authority.
7. APPLICATION OF POLICY. This Policy is specifically applicable to
the expenditure of EDIP funds. This Policy is not intended to be, nor shall it be deemed
to be, applicable to the use of public funds from any source other than the EDIP.
8. EFFECTIVE DATE OF POLICY. This Policy shall become effective
immediately upon its approval by the City of Virginia Beach and the City of Virginia Beach
Development Authority, which approval shall be evidenced by signature of the Mayor of
the City of Virginia Beach and the Chair of the City of Virginia Beach Development
Authority acting by, and on behalf of, the City and the Authority, respectively.
Mayor, City of Virginia Beach Chair, City of Virginia Beach
Development Authority
Approved as to Content: Approved as to Legal Sufficiency:
Economic Development City Attorney
23
23
80
ITEM-VI-J.6
ORDINANCES/RESOLUTIONS
ITEM#69044
The following registered to speak:
Virginia Wasserberg, 4412 Sanibel Circle#101, Phone: 963-8679, spoke in SUPPORT
Upon motion by Council Member Henley, seconded by Vice Mayor Wood, City Council ADOPTED,
Resolution to SUPPORT the City's application for the 2019 Virginia Dam Safety Flood Prevention and
Protection Assistance Fund Grant from the Virginia Department of Conservation and Recreation
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 A RESOLUTION TO SUPPORT THE CITY'S APPLICATION
2 FOR THE 2019 VIRGINIA DAM SAFETY FLOOD
3 PREVENTION AND PROTECTION ASSISTANCE FUND
4 GRANT FROM THE VIRGINIA DEPARTMENT OF
5 CONSERVATION AND RECREATION
6
7 WHEREAS, the City of Virginia Beach is eligible to submit an application for up to
8 a fifty percent match of a flood prevention or protection project through the Virginia
9 Department of Conservation's 2019 Virginia Dam Safety, Flood Prevention and
10 Protection Assistance Fund; and
11
12 WHEREAS, the Capital Improvement Project that meets the eligibility for funding
13 is part of CIP # 7-027, "Storm Water Management Planning, Analysis, and Inventory."
14
15 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
16 VIRGINIA BEACH, VIRGINIA:
17
18 1. That the City Council hereby expresses support for an application through
19 the Virginia Department Conservation to request $157,500 for the development of
20 various models of the Elizabeth River Watershed in order to update the City's
21 Comprehensive Stormwater Master Plan; and
22
23 2. That the Council supports the use of local funding within the existing
24 Capital Improvement Program to provide the required matching funds if the City is
25 awarded a grant from the Virginia Department of Conservation's 2019 Virginia Dam
26 Safety, Flood Prevention and Protection Assistance Fund.
Adopted by the Council of the City of Virginia Beach, Virginia on the 19th day
of March , 2019.
APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY:
Ill
��r�,1 "'
Budget and Management Services G11y Aftomey s Office
CA14710
R-1
March 7, 2019
81
ITEM-VI-J.7
ORDINANCES/RESOLUTIONS
ITEM#69045
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance to APPROPRIATE $650,000 in local vehicle license revenue to Department of
Finance FY2018-19 Operating Budget re collection costs of local vehicle registration fees
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE TO APPROPRIATE LOCAL VEHICLE
2 LICENSE REVENUE TO THE FY 2018-19 OPERATING
3 BUDGET OF THE DEPARTMENT OF FINANCE FOR THE
4 COSTS OF THE COLLECTION OF LOCAL VEHICLE
5 REGISTRATION FEES
6
7 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,
8 VIRGINIA, THAT:
9
10 $650,000 is hereby appropriated, with revenue from local vehicle license increased
11 accordingly, to the FY 2018-19 Operating Budget of the Department of Finance for the
12 costs of the collection by the Virginia Department of Motor Vehicles.
Requires an affirmative vote by a majority of all of the members of City Council.
Adopted by the Council of the City of Virginia Beach, Virginia on the 19th day of
March 2019.
APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY:
Budget and Management Services City AttorneysOffice
CA14709
R-1
March 7, 2019
82
ITEM-VI-J.8a
ORDINANCES/RESOLUTIONS
ITEM#69046
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED,BY
CONSENT, Ordinance to ACCEPT and APPROPRIATE:
a. $1,494,816 from the Virginia Department of Transportation (VDOT) re
traffic signal rehabilitation and maintenance of roadways
Voting: 10-0
Council Members Voting Aye:
Jessica P.Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE TO ACCEPT AND APPROPRIATE
2 STATE FUNDING FROM THE VIRGINIA
3 DEPARTMENT OF TRANSPORTATION
4
5 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH,
6 VIRGINIA, THAT:
7
8 1. That $526,250 in estimated state revenue from the Virginia Department of
9 Transportation is hereby accepted and appropriated, with state revenue
10 increased accordingly, to CIP 2-410 Traffic Signal Rehabilitation II for the
11 purpose of Traffic Signal Controller Replacements and ITS Fiber Network
12 Expansion; and
13
14 2. That $968,566 in estimated state revenue from the Virginia Department of
15 Transportation is hereby accepted and appropriated, with state revenue
16 increased accordingly, to the FY2018-2019 Operating Budget of the
17 Department of Public Works for the maintenance of roadways.
Adopted by the Council of the City of Virginia Beach, Virginia on the 19th day
of March , 2019.
Requires an affirmative vote by a majority of all of the members of City Council.
APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY:
Budget and Management Services , City Attor-rfey s Office
CA14704
R-1
March 5, 2019
83
ITEM-VI-J.86
ORDINANCES/RESOLUTIONS
ITEM#69047
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance to ACCEPT and APPROPRIATE:
b. $3,000 from GEICO to Police Department FY2018-19 Operating Budget re
Every 15 Minutes Program
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE TO ACCEPT AND APPROPRIATE FUNDS
2 FROM GEICO FOR THE EVERY 15 MINUES PROGRAM
3
4 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,
5 VIRGINIA:
6
7 That $3,000 is hereby accepted from GEICO and appropriated, with revenue
8 increased accordingly, to the Police Department's FY 2018-19 Operating Budget for
9 expenses necessary to support the Every 15 Minutes Program, which seeks to provide a
10 realistic look at the consequences of drinking and driving.
Adopted by the Council of the City of Virginia Beach, Virginia on the 19th day of
March , 2019.
Requires an affirmative vote by a majority of all of the members of City Council.
APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY:
i
Budget and Management Services City Att'rney's/6ffice
CA14706
R-1
March 7, 2019
84
ITEM-VI-18c
ORDINANCES/RESOLUTIONS
ITEM#69048
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance to ACCEPT and APPROPRIATE:
c. $183,569 from Federal Emergency Management Agency(FEMA) to Fire
Department FY2018-19 Operating Budget re purchase and maintenance
of communications equipment for Virginia Task Force 2 Urban Search
and Rescue Team
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE TO ACCEPT AND APPROPRIATE
2 GRANT FUNDS FROM THE FEDERAL EMERGENCY
3 MANAGEMENT AGENCY FOR THE VIRGINIA TASK
4 FORCE 2 URBAN SEARCH AND RESCUE TEAM FOR
5 THE PURCHASE AND MAINTENANCE OF
6 COMMUNICATION EQUIPMENT
7
8 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,
9 VIRGINIA:
10
11 That $183,569 is hereby accepted from the Federal Emergency Management
12 Agency and appropriated, with federal revenues increase accordingly, to the FY 2018-19
13 Fire Department Operating Budget for the purchase and maintenance of communications
14 equipment for Virginia Task Force 2 Urban Search and Rescue Team.
Adopted by the Council of the City of Virginia Beach, Virginia on the 19th day
of March , 2019.
Requires an affirmative vote by a majority of all members of the City Council.
APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY:
Budget and Management Services City AttoYrfey's Office
CA14707
R-1
March 7, 2019
85
ITEM-VI-J.8d
ORDINANCES/RESOLUTIONS
ITEM#69049
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council ADOPTED, BY
CONSENT, Ordinance to ACCEPT and APPROPRIATE:
d. $98,620 from Virginia Department of Behavioral Health and Developmental
Services (DBHDS) to Human Services FY2018-19 Operating Budget re
creation of two (2) new positions to provide enhanced Behavioral Health
Services
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 AN ORDINANCE TO ACCEPT AND APPROPRIATE STATE
2 FUNDS AND TO ESTABLISH TWO NEW POSITIONS TO
3 PROVIDE ENHANCED SERVICES FOR INDIVIDUALS
4 RECEIVING BEHAVIORAL HEALTH SERVICES
5
6 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,
7 VIRGINIA THAT:
8
9 1) $98,620 is hereby accepted from the Virginia Department of Behavioral Health and
10 Developmental Services and appropriated, with estimated state revenue increased
11 accordingly, to the Department of Human Services FY 2018-19 Operating Budget
12 to provide primary care screenings of certain individuals receiving behavioral
13 health services from the Department of Human Services; and
14
15 2) One full-time position (1.0 FTE) and one part-time position (0.75 FTE) are hereby
16 established within the FY 2018-19 Operating Budget of the Department of Human
17 Services to meet the service delivery requirements for the above-referenced grant
18 funds.
Adopted by the Council of the City of Virginia Beach, Virginia on the 19th day
of March , 2019.
Requires an affirmative vote by a majority of all of the members of City Council.
APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY:
I U1 'J )
Budget & Management Services money's Office
CA14708
R-1
March 7, 2019
86
ITEM-VI-J.9 (ADD ON)
ORDINANCES/RESOLUTIONS
ITEM#69050
Upon motion by Vice Mayor Wood, seconded by Council Member Moss, City Council ADOPTED
Resolution to DIRECT the City Attorney to file a petition for Writ of Special Election re Beach District
vacancy
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
1 A RESOLUTION TO DIRECT THE CITY ATTORNEY TO
2 FILE A PETITION FOR A WRIT OF SPECIAL ELECTION
3
4 WHEREAS, by court order, the seat for the Beach District is vacant;
5
6 WHEREAS, the current term of office for the Beach District seat runs until
7 December 31, 2022;
8
9 WHEREAS, Code of Virginia § 24.2-226 requires a local elected body to petition
10 its circuit court for a Writ of Special Election to fill the remaining portion of the term of
11 office for a member of the elected body when that member's term of office ends in a
12 year other than the year for which a general election to fill the vacancy occurs; and
13
14 WHEREAS, the next general election available to fill the Office of
15 Councilmember for the Beach District is November 5, 2019.
16
17 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
18 VIRGINIA BEACH, VIRGINIA:
19
20 That the City Council directs the City Attorney to file a Petition for a Writ of
21 Special Election in the Circuit Court for the purpose of filling the vacancy in the Office of
22 Councilmember, Beach District for a term ending December 31, 2022, and requests
23 such special election to be held November 5, 2019.
Adopted by the City Council of the City of Virginia Beach, Virginia, this 19th day
of March , 2019.
APPROVED AS TO LEGAL SUFFICIENCY:
G
its/ Atforn y's Office
CA14711
R-1
March 11, 2019
87
ITEM—VI-K 1
PLANNING ITEM#69051
The following registered to speak:
Eddie Bourdon,Attorney for Applicant, spoke in SUPPORT
Curt Clarke, 1000 Carissa Court, Phone: 910-546-0182, spoke in OPPOSITION
Andrew Jackson, 153 Upperville Road, Phone: 490-9190, spoke in OPPOSITION
Upon motion by Council Member Wilson, seconded by Council Member Moss, City Council, DEFERRED
TO APRIL 2, 2019, Application of CLEAR CREEK HOLDINGS, LLC for a Conditional Change of
Zoning from R-10 Residential&I-1 Light Industrial to Conditional I-1 Light Industrial at a vacant parcel
off of South Birdneck Road, approximately 680 feet from Carissa Court re construct three(3) buildings for
industrial office/warehouse units DISTRICT 6—BEACH(Deferred from February 5, 2019 and February
19, 2019)
Voting: 10-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
88
ITEM—VI-K.2
PLANNING ITEM#69052
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council, APPROVED,AS
CONDITIONED, BY CONSENT, Application of JANET T. RESPASS & TERESA TATEM for a
Variance to Section 4.4(b) of the Subdivision Regulations re lot width at 1965 Gum Bridge Road and an
adjacent vacant parcel DISTRICT 7 PRINCESS ANNE
BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA
JANET T. RESPASS & TERESA TATEM for a Variance to Section
4.4(b) of the Subdivision Regulations re lot width at 1965 Gum Bridge
Road and an adjacent vacant parcel (GPINs 2411153657, 2411163397)
DISTRICT 7—PRINCESS ANNE
The following conditions shall be required:
1. When subdivided, the property shall be developed as shown on the submitted subdivision exhibit
entitled "SUBDIVISION EXHIBIT OF LOTS 6, 7&C as shown on PARTITION OF PROPERTY OF
J.T. TATEM ESTATE, ET AL (MB. 85, P. 23), " dated November 29, 2018, and prepared by Fox
Land Surveying, a copy of which has been exhibited to the Virginia Beach City Council and is on file
with the Virginia Beach Department of Planning and Community Development.
2. When Lot 6-A is developed, the residential dwellings constructed shall have architectural features
and appearance of like quality and character of the home depicted on page seven (7) of this report
entitled "Proposed Elevation, " which has been exhibited to the Virginia Beach City Council and is
on file with the Virginia Beach Department of Planning and Community Development.
3. The residential dwelling constructed on Lot 6-A shall have its lowest finished floor at an elevation at
least three(3)feet above the Base Flood Elevation or three(3)feet above adjacent grade, whichever
is more.
4. Prior to obtaining a building permit, Lots 6-A shall obtain
This Ordinance shall be effective in accordance with Section 107(1) of the Zoning Ordinance.
Adopted by the City Council of the City of Virginia Beach, Virginia, on the 19t1i day of March, Two Thousand
Nineteen.
Voting: 9-0
Council Members Voting Aye:
Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones, Shannon DS Kane,
John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice Mayor James L. Wood
and Sabrina D. Wooten
Council Members Abstaining:
Jessica P. Abbott
Council Members Absent:
None
March 19, 2019
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tz> City of Vir iriia Beach
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March 19, 2019
. CELL PHONE. (757)577-2068
JESSICA PABBOTT
757)744-3407
COUNCIL LADY-DISTRICT 2-KEMPSVILLE OFFICE PHONE: VBGOV
JABBOTT�VB .COM
In Reply Refer to 0064882
Mrs. Amanda Barnes
City Clerk
Municipal Center
Virginia Beach, Virginia 23456
Re: Abstention Pursuant to Conflict of Interests Act § 2.2-3115 (F)
Dear Mrs. Barnes:
Pursuant to the State and Local Government Conflict of Interests Act, I make the following
declaration:
1. I am executing this written disclosure regarding City Council's discussion and vote
on the application of Janet T. Respass and Teresa Tatem for a variance for 1965
Gum Bridge Road and an adjacent vacant parcel to the east.
2. The applicants disclosed that they are using the services of Fox Land Surveying for
this application. Fox Land Surveying is a client of Matt Abbott Insurance. I have
a personal interest in Matt Abbott Insurance, which is located at 4646 Princess
Anne Road, Suite 103, Virginia Beach, VA 23462.
3. I wish to disclose this interest and abstain from voting on this matter.
Accordingly, I respectfully request that you record this declaration in the official records
of City Council.
Thank you for your assistance and cooperation in this matter.
Sincerely,
_LA
op
Jessic. '. Abbott
Councilmember
JPA/RRI
4646 PRINCESS ANNE ROAD.SUITE 6103.VIRGINIA BEACH.VIRGINIA 23464
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ITEM—VI-K3
PLANNING ITEM#69053
The following registered to speak:
Eddie Bourdon,Attorney for Applicant, spoke in SUPPORT
Upon motion by Council Member Rouse, seconded by Council Member Jones, City Council,APPROVED,
AS CONDITIONED,Application of CAND C DEVELOPMENT CO,INC./ETCPAC,LLC for a Special
Exception for Alternative Compliance to the Oceanfront Resort District Form-Based Code re lot width,lot
area,and parking setbacks at 2508 Pacific Avenue&302 26th Street DISTRICT 6—BEACH
BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA
C AND C DEVELOPMENT CO, INC.!ETCPAC, LLC for a Special
Exception for Alternative Compliance to the Oceanfront Resort District
Form-Based Code re lot width, lot area, and parking setbacks at 2508
Pacific Avenue & 302 26th Street (GPINs 2428007201, 2428007310)
DISTRICT 6—BEACH
The following conditions shall be required:
1. Site layout, improvements, easements, and plantings shall be substantially as shown on the
conceptual site plan package titled, "DEVELOPMENT EXHIBIT LOTS 2, 4, &6&NORTHERN 90'
OF LOT 2 for VB HOMES"dated January 18, 2019, as prepared by WPL. Said drawing has been
exhibited to the City Council and is on file in the Department of Planning.
2. The architectural design, colors, and materials for the row house and rear detached house buildings
shall be substantially as shown on the exhibits titled "Elevation Concept for 2508 Pacific Avenue-
Design for VB Homes," dated January 24, 2019, by RBA (Retnauer Baynes Associates). Said
drawings have been exhibited to the City Council and are on file in the Department of Planning.
3. The applicant shall make all right-of-way dedications and improvements substantially as shown on
the site plan package referenced in Condition One(1)for Pacific Avenue, 26th Street, and the 25-1/2
Street alley, except the 26th Street improvements shall be extended beyond the subject site to
accommodate a total of three on-street parking spaces on the north and/or south sides as required
by Public Works Traffic Engineering. Additional adjustments and requirements may be applied as
part of development site plan review.
4. All landscaping must be maintained in good health. Any landscaping that fails to grow or is
determined to be in poor health shall be replaced with a type and quantity of plantings that is similar
to and meets the same intent as the plants shown in the Planting Layout referenced in Condition One
(1).Any replacement plantings shall be approved by the Development Services Center.
5. All mechanical equipment shall be screened year-round either architecturally or by landscaping or
fencing such that it is not visible from the public right-of-way.
6. Temporary chain-link fencing shall be installed on the property lines shared with the adjacent
property owner to the west for tree protection and containment of construction activity.
March 19, 2019
90
ITEM—VI-K.3
PLANNING
ITEM#69053
(Continued)
7. Per Sec. 6.2.5 (A) of the Oceanfront Form-Based Code regarding Reduced Parking, owners,
residents, guests, or employees associated with this property are not eligible to participate in the
Residential Parking Permit Program (RPPP). The developer shall record a deed restriction
disclosing this information prior to receiving a Certificate of Occupancy.
This Ordinance shall be effective in accordance with Section 107(1) of the Zoning Ordinance.
Adopted by the City Council of the City of Virginia Beach, Virginia, on the 19''day of March, Two Thousand
Nineteen.
Voting: 5-4
Council Members Voting Aye:
Mayor Robert M Dyer, Louis R.Jones, Aaron R. Rouse, Vice Mayor James L.
Wood and Sabrina D. Wooten
Council Members Voting Nay:
Jessica P.Abbott, Barbara M. Henley,John D. Moss and Rosemary Wilson
Council Members Absent:
Shannon DS Kane
March 19, 2019
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ITEM—VI-K.4
PLANNING
ITEM#69054
The following registered to speak:
Randy Royal, Kimley-Horn Associates, representing the Applicant, spoke in SUPPORT
Diana Ton-es, 1913 Ashmore Drive, Phone: 635-0778, spoke in OPPOSITION
Upon motion by Council Member Moss, seconded by Council Member Rouse, City Council,APPROVED,
AS PROFERRED, Application of VIRGINIA BEACH DEVELOPMENT AUTHORITY(VBDA)for a
Conditional Change of Zoning from Conditional B-2 Community Business to Conditional I-1 Light
Industrial, and Conditional I-1 Light Industrial to Conditional B-2 Community Business at the corner of
Corporate Landing Parkway and General Booth Boulevard DISTRICT 7—PRINCESS ANNE
BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA
VIRGINIA BEACH DEVELOPMENT AUTHORITY (VBDA) for a
Conditional Change ofZoningfrom Conditional B-2 Community Business
to Conditional I-1 Light Industrial, and Conditional I-1 Light Industrial to
Conditional B-2 Community Business at the corner of Corporate Landing
Parkway and General Booth Boulevard (GPIN 2415123535) DISTRICT
7—PRINCESS ANNE
The following conditions shall be required:
An Agreement encompassing Proffers shall be recorded with the Clerk of Circuit Court.
This Ordinance shall be effective in accordance with Section 1070 of the Zoning Ordinance.
Adopted by the City Council of the City of Virginia Beach, Virginia, on the 19`"day of March, Two Thousand
Nineteen.
Voting: 9-0
Council Members Voting Aye:
Jessica P.Abbott, Mayor Robert M Dyer, Barbara M Henley, Louis R. Jones,
John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice Mayor James L. Wood
and Sabrina D. Wooten
Council Members Absent:
Shannon DS Kane
March 19, 2019
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.,.'A. y a CITY OF VIRGINIA BEACH
* ; INTER-OFFICE CORRESPONDENCE
,>•,.
OF OURT;;;:o"S
In Reply Refer To Our File No. DF-10161
DATE: March 8, 2019
TO: Mark D. Stiles DEPT: City Attorney
FROM: B. Kay Wilson - \ DEPT: City Attorney
RE: Conditional Zoning Application; Virginia Beach Development Authority
The above-referenced conditional zoning application is scheduled to be heard by the
City Council on March 19, 2019. I have reviewed the subject proffer agreement, dated
January 23, 2019 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/ka
Enclosure
cc: Nancy Bloom
Prepared by: Office of the City Attorney
GPIN: 24151235350000
CITY OF VIRGINIA BEACH DEVELOPMENT AUTHORITY
To (PROFFERED COVENANTS, RESTRICTIONS AND CONDITIONS)
CITY OF VIRGINIA BEACH,
a municipal corporation of the Commonwealth of Virginia
THIS AGREEMENT, made this a3 day of January 2019, by and between CITY OF
VIRGINIA BEACH DEVELOPMENT AUTHORITY, Grantor; and THE CITY OF VIRGINIA
BEACH, a municipal corporation of the Commonwealth of Virginia, party of the second part,
Grantee.
WITNESSETH:
WHEREAS, the party of the first part is the owner of one (1) parcel of property located in
the Beach District of the City of Virginia Beach, containing a total of approximately 144.2944 acres
with an approximately 26.53 acre portion of that property designated as AREA 1 and AREA 4 on
the exhibit which is entitled "EXHIBIT 1, Corporate Landing Business Park, General Booth
Boulevard and Corporate Landing Parkway, Virginia Beach, Virginia" dated December 3, 2018,
prepared by Kimley-Horn and Associates and attached hereto and incorporated herein by this
reference is hereinafter referred to as the "Property"; and
WHEREAS, the party of the first part, as owner of the Property, has initiated a conditional
amendment to the Zoning Map of the City of Virginia Beach, Virginia, by petition addressed to the
Grantee, so as to change the Zoning Classifications of the Property being AREA 1 from
Conditional B2 Commercial District to Conditional 11 Light Industrial District and AREA 4 from
Conditional 11 Light Industrial District to Conditional B2 Commercial District; and
WHEREAS, the Grantee's policy is to provide only for the orderly development of land for
various purposes through zoning and other land development legislation; and
WHEREAS, the Grantor acknowledges that the competing and sometimes incompatible
uses conflict and that in order to permit differing uses on and in the area of the Property and at
the same time to recognize the effects of 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 are needed to cope with the situation to which
the Grantor's rezoning application gives rise; and
1
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 amendment to the Zoning Map, in
addition to the regulations provided for in the 11 Light Industrial District and B2 Commercial District
by the existing overall Zoning Ordinance, 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 Zoning Map relative and applicable to the Property, which have a reasonable
relation to the rezoning and the need for which is generated by the rezoning.
NOW, THEREFORE, the Grantors, for themselves, their successors, 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 which shall restrict
and govern the physical development, operation, and use of the Property and hereby covenants
and agrees that this declaration shall constitute covenants running with the Property, which shall
be binding upon the Property and upon all parties and persons claiming under or through the
Grantors, their successors and assigns, grantees, and other successors in interest or title:
1. The land to be rezoned shall be as shown as the 26.4 acres designated as AREA 1
on the exhibit entitled "EXHIBIT 1, Corporate Landing Business Park, General Booth
Boulevard and Corporate Landing Parkway, Virginia Beach, Virginia"dated December
3, 2018 and prepared by Kimley-Horn and Associates shall be rezoned from
Conditional B-2 to Conditional I-1. Development of the parcel shall be in accordance
with the proffers as recorded in Deed Book 3633, Page 0774 dated January 16, 1996.
2. The land to be rezoned shall be as shown as the 0.13 acres designated as AREA 4
on the exhibit entitled "EXHIBIT 1, Corporate Landing Business Park, General Booth
Boulevard and Corporate Landing Parkway, Virginia Beach, Virginia"dated December
3, 2018 and prepared by Kimley-Horn and Associates shall be rezoned from
Conditional I-1 to Conditional B-2. Development of the parcel shall be in accordance
with the proffers as recorded in Deed Book 3633, Page 0774 dated January 16, 1996.
3. 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 to meet all applicable City Code requirements.
2
All references hereinabove to the 62 and 11 Districts 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 approval of this
Agreement by City Council, which are by this reference incorporated herein.
The above conditions, having been proffered by the Grantors and allowed and accepted
by the Grantee as part of the amendment to the Zoning Ordinance, shall continue in full force and
effect until a subsequent amendment changes the zoning of the Property and specifically repeals
such conditions. Such conditions shall continue despite a subsequent amendment to the Zoning
Ordinance even if the subsequent amendment is part of a comprehensive implementation of a
new or substantially revised Zoning Ordinance until specifically repealed. The conditions,
however, may be repealed, 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 Property at the time of recordation of such instrument, provided 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
which was advertised pursuant to the provisions of Section 15.2-2204 of the Code of Virginia,
1950, as amended. Said ordinance or resolution shall be recorded along with said instrument as
conclusive evidence of such consent, and if not so recorded, said instrument shall be void.
The Grantors covenant and agree 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 and restrictions, including the authority (a) to
order, in writing, that any noncompliance with such conditions be remedied, and (b)to bring legal
action or suit to insure compliance with such conditions, including mandatory or prohibitory
injunction, abatement, damages, or other appropriate action, suit, or proceeding;
(2) The failure to meet all conditions and restrictions 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 these
provisions, the Grantors shall petition 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 Property, and the ordinances 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 they shall be recorded in the Clerk's Office of
3
the Circuit Court of the City of Virginia Beach, Virginia, and indexed in the names of the Grantors
and the Grantee.
WITNESS the following signature and seal:
Grantor:
Cit .f Virginia Beach Development Authority
�� .� (SEAL)
go•rothy Woo 6 I '
Chair
Commonwealth of Virginia
City of Virginia Beach, to-wit:
The foregoing instrument was acknowledged before me this .?. day of 3;kal3qiLq
2019, by Dorothy Wood, Chair of City of Virginia Beach Development Authority, Grantor.
0 AO" A __ /
Notary Pu.P /
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My Commission Expires: I I t30 I ZOZC� `���,• ¢•;�... r..frim
Notary Registration Number: 7(p?1-13‘„7L.:1:7::.......(!07
;'= MY �c:C.
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92
ITEM—VI-K 5
PLANNING
ITEM#69055
Upon motion by Vice Mayor Wood, seconded by Council Member Wilson, City Council, APPROVED,AS
PROFERRED/MODIFIED, BY CONSENT, Application of TRADITIONAL CONCEPTS, LLC &
VICTORY BAPTIST CHURCH OF VIRGINIA BEACH,INC.for a Conditional Change ofZoningfrom
R-15 Residential to Conditional R-10 Residential re 13 single-family dwellings and a Modification of
Conditions re religious use at 4125 Indian River Road DISTRICT 7—PRINCESS ANNEBE IT HEREBY
ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA
TRADITIONAL CONCEPTS, LLC& VICTORY BAPTIST CHURCH
OF VIRGINIA BEACH, INC.for a Conditional Change of Zoning from
R-15 Residential to Conditional R-10 Residential re 13 single-family
dwellings and a Modification of Conditions re religious use at 4125
Indian River Road (GPIN 1474534410) COUNCIL DISTRICT 7 -
PRINCESS ANNE
The following conditions shall be required:
An Agreement encompassing Proffers shall be recorded with the Clerk of Circuit Court.
The following conditions shall be required:
1. All conditions of the 1998 Conditional Use Permit as well as the conditions of the 2008 Modification
are null and void.
2. Development of the church site shall be substantially as shown on the Preliminary Subdivision Plan
entitled "PRELIMINARY SUBDIVISION PLAN ENCLAVE AT VICTORY", sheet Cl, dated
December 10, 2018,prepared by Pinnacle Group Engineering, Inc. Said plan has been exhibited to
the Virginia Beach City Council and is on file with the Virginia Beach Department of Planning(the
"Preliminary Subdivision Plan').
3. Any trash dumpster on the site shall be enclosed by a solid brick wall(brick substantially matching
the existing brick on the building) or a vinyl fence of six(6)feet in height. No dumpster shall be
located within forty feet(40) of Lot Thirteen (13) on the plan identified in Condition Two (2).
4. Light fixtures may remain on at any time,provided that the source of the light is shielded to not be
visible from the property lines of adjacent properties and that the light be contained on the subject.
This Ordinance shall be effective in accordance with Section 107f of the Zoning Ordinance.
Adopted by the City Council of the City of Virginia Beach, Virginia,on the 19`"day ofMarch, Two Thousand
Nineteen.
March 19, 2019
93
ITEM—VI-K5
PLANNING
ITEM#69055
(Continued)
Voting: 10-0
Council Members Voting Aye:
Jessica P.Abbott, Mayor Robert M Dyer, Barbara M. Henley, Louis R. Jones,
Shannon DS Kane, John D. Moss,Aaron R. Rouse, Rosemary Wilson, Vice
Mayor James L. Wood and Sabrina D. Wooten
Council Members Absent:
None
March 19, 2019
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CITY OF VIRGINIA BEACH
INTER-OFFICE CORRESPONDENCE
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OF _OUR ho‘o
In Reply Refer To Our File No. DF-
9342
DATE: March 8, 2019
TO: Mark D. Stiles DEPT: City Attorney
FROM: B. Kay Wi s•�3) DEPT: City Attorney
RE: Conditional Zoning Application; Traditional Concepts, LLC
The above-referenced conditional zoning application is scheduled to be heard by the
City Council on December 10, 2018. I have reviewed the subject proffer agreement, dated
January 25, 2016 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/ka
Enclosure
cc: Nancy Bloom
VICTORY BAPTIST CHURCH OF VIRGINIA BEACH, INC., a Virginia non-stock
corporation;
TRADITIONAL CONCEPTS LLC, a Virginia limited liability company
TO (PROFFERED COVENANTS, RESTRICTIONS AND CONDITIONS)
CITY OF VIRGINIA BEACH, a municipal corporation of the Commonwealth of Virginia
THIS AGREEMENT, made this 10th day of December 2018, by and between VICTORY
BAPTIST CHURCH OF VIRGINIA BEACH, INC., a Virginia non-stock corporation, party of
the first part, Grantor; TRADITIONAL CONCEPTS, LLC., a Virginia Limited Liability
Corporation, party of the second part, Grantor; and THE CITY OF VIRGINIA BEACH, a
municipal corporation of the Commonwealth of Virginia,party of the third part, Grantee.
WITNESSETH:
WHEREAS, the party of the first part is the owner of that parcel of property located in
the Princess Anne District of the City of Virginia Beach, containing approximately 10.003 acres
which is more particularly described in Exhibit "A" attached hereto and incorporated herein by
this reference. Said parcel is hereinafter referred to collectively as the "Property"; and
WHEREAS, the party of the second part as the contract purchaser of the Property has
initiated a conditional amendment to the Zoning Map of the City of Virginia Beach, Virginia, by
petition addressed to the Grantee so as to change the Zoning Classifications of the Property from
R-15 Residential District to R-10 Residential District; and
WHEREAS, the Grantee's policy is to provide only for the orderly development of land
for various purposes through zoning and other land development legislation; and
GPIN: 14745344100000
Prepared by:John M.Napier,VSB#82973,Hanger Law;618 Village Dr., Ste.J,Virginia Beach,VA 23454
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WHEREAS, the Grantor acknowledges that the competing and sometimes incompatible
uses conflict and that in order to permit differing uses on and in the area of the Property and at
the same time to recognize the effects of 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 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 a part of the proposed amendment to the Zoning Map,
in addition to the regulations provided for the R-10 Zoning District by the existing overall
Zoning Ordinance, 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 Zoning Map
relative and applicable to the Property, which as a reasonable relation to the rezoning and the
need for which is generated by the rezoning.
NOW, THEREFORE, the Grantor, for itself, its successors, personal representatives,
assigns, grantee, 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
make the following declaration of conditions and restrictions which shall restrict and govern the
physical development, operation, and use of the Property and hereby covenant and agree that this
declaration shall constitute covenants running with the Property, which shall be binding upon the
Property and upon all parties and persons claiming under or through the Grantor, its successors,
personal representatives, assigns, grantee, and other successors in interest of title:
1. When the property is developed, it shall be as a single family subdivision with no more
than thirteen (13) single family residential lots, with one lot containing an existing home,
designated as Lot 12, and one additional lot to remain as a church use, designated as Lot A,
substantially in accordance with the Preliminary Subdivision Plan designated "PRELIMINARY
SUBDIVISION PLAN ENCLAVE AT VICTORY'', sheet Cl, dated 12/10/18, prepared by
Pinnacle Group Engineering, Inc., which has been exhibited to the Virginia Beach City Council
and is on file with the Virginia Beach Department of Planning (the "Preliminary Subdivision
Plan").
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2. The Total number of residential lots permitted on the Property shall not exceed thirteen
(13) (including Lot 12). Each new home shall contain a minimum of 2400 square feet of living
area and at least a one(1)car garage.
3. Lot A with the existing church shall continue in its current use as allowed under the
Conditional Use Permit granted to Victory Baptist Church of Virginia Beach, Inc., by Grantee.
4. The architectural design of the residential dwellings and any detached garages will be
substantially as depicted on elevations exhibited on the designated "PRELIMINARY
SUBDIVISION PLAN ENCLAVE AT VICTORY", sheet Cl, dated 12/10/18, which have been
exhibited to the Virginia Beach City Council and are on file with the Virginia Beach Department
of Planning. The exterior building elevations shall be limited to the following materials, and each
elevation shall include some combination of: architectural shingles, hardiplank, stone, brick,
premium vinyl siding, fiber cement siding, and/or wood.
5. When the Property is developed, the Grantor shall record a Declaration submitting the
Property to a mandatory membership Homeowner's Association, which shall be conveyed title to
any Open Space and/or BMP Lot, and shall be responsible for maintaining all open spaces,
landscaping and other improvements in the BMP Lot(s) on the Property as depicted on the
Concept Plan.
6. When the Property is developed, the ground elevation surrounding and immediately
adjacent to any structure shall exceed 8.30 feet as referenced by the North American Vertical
Datum of 1988 (NAVD 88) and the right-of-way and sidewalk elevations on the Property as
depicted on the Concept Plan shall meet or exceed an elevation of 8.30 feet NAVD 88.
7. 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 to meet
all applicable City Code requirements.
The above conditions, having been proffered by the Grantor and allowed and accepted by the
Grantee as part of the amendment to the Zoning Ordinance, shall continue in full force and effect
until a subsequent amendment changes the zoning of the Property and specifically repeals such
conditions. Such conditions shall continue despite a subsequent amendment to the Zoning
Ordinance even if the subsequent amendment is part of a comprehensive implementation of a
new or substantially revised Zoning Ordinance until specifically repealed. The conditions.
however. may be repealed, amended, or varied by written instrument recorded in the Clerk's
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Office of the Circuit Court of the City of Virginia Beach, Virginia, and executed by the record
owner of the Property at the time of recordation of such instrument, provided 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 which was advertised pursuant to the provisions of Section 15.2-2204 of the Code of
Virginia, 1950, as amended. Said ordinance or resolution shall be recorded along with said
instrument as conclusive evidence of such consent, and if not so recorded, said instrument shall
be void.
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 and
restrictions, including the authority (a) to order, in writing, that any
noncompliance with such conditions be remedied; and (b) to bring legal action or
suit to insure compliance with such conditions, including mandatory or
prohibitory injunction, abatement, damages, or other appropriate action, suite, or
proceeding;
(2) The failure to meet all conditions and restrictions shall constitutes 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 these provisions, the Grantor shall petition 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 Property, and the ordinances
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 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 the Grantee.
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WITNESS the following signature and seal:
GRANTOR:
TRADITIONAL CONCEPTS, LLC,
a Virginia i 't;d li. y
By: ' (SEAL)
Title: Wa -'rosby, Managi • Member
STATE OF V 'GINIA �/J,�/
CITY OF =- - ' 1''� .0X , to-wit:
The forgoing instrument was ac . •wle-aged before me this 11 day of .�/Y�/}�
Cin,,ZOt-
2018, by Wayne Crosby, Managing M'mber of Traditional Concepts, LLC, a Virginia limited
liability company, Grantor.
Notary fir
My Commission Expires: 03lETIlIlI
JOHN MEADE NAPIER
Notary Public
Commonwealth of Virginia ----I
My Commission Expires Oct. 31, 2019
Registration#324593
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WITNESS the following signature and seal:
GRANTOR:
VICTORY BAPTIST CHURCH OF VIRGINIA BEACH,
INC.,
a Virginia non-stock corporation
/F ,� -
BY: (SEAL)
TITLE: i
2-,.-7,/,.....--, ./2-t,t....:(..e.„--------
//Z.-
STATE OF RGINIA
CITY OF 51f,,, Lp ,to-wit:
n��
The forgoing instrument was acknowledged before me this this �.J day of 7)zeoribibt,
2018, by Leslie W. Smith, President of Victory Baptist Church of Virginia Beach, Inc., a
Virginia non-stock corporation),G antor. d
i Lit Ci :,t
}otary Public
My Commission Expires: ;J'° `. 21 t ci
GsA A.
Notary Registration No: t'q 3 7 4Q0"0,,ONiy ,Hr,
S.
$ 193467 CD
‘1411Frif,P‘,.
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EXHIBIT "A"
LEGAL DESCRIPTION
ALL THAT certain lot, piece and parcel of land with the buildings and improvements thereon
and the appurtenances thereunto appertaining, situate and lying, and being in the City of Virginia
Beach, Virginia and being more particularly designated as "10.003 ACRES", on that certain plat
entitled "SURVEY OF PROPERTY OF MARGARET L. STONE. (D.B. 495, P. 291), FOR
REVEREND LESLIE W. SMITH, VIRGINIA BEACH, VIRGINIA, SCALE 1" = 60', DATED
OCTOBER 9, 1998, JOHN E. SIRINE AND ASSOCIATES, LTD., SURVEYORS,
ENGINEERS AND PLANNERS", 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 275, at Page 18, reference to
said plat being made for a more particular description of the aforementioned property.
GPIN: 1474-53-4410-0000
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94
ITEM VI-L.
APPOINTMENTS
ITEM#69056
BY CONSENSUS, City Council RESCHEDULED the following APPOINTMENTS.
2040 VISION TO ACTION COMMUNITY COALITION
BIKEWAYS AND TRAILS COMMITTEE
BOARD OF BUILDING CODE APPEALS
—ELECTRICAL DIVISION
—NEW CONSTRUCTION DIVISION
—PLUMBING AND MECHANICAL DIVISION
CLEAN COMMUNITY COMMISSION
COMM UNITY POLICYAND MANAGEMENT TEAM
COMMUNITY SERVICES BOARD
DEFERRED COMPENSATION BOARD
GREEN RIBBON COMMITTEE
HISTORIC PRESERVATION COMMISSION
HUMAN RIGHTS COMMISSION
INVESTIGATION REVIEW PANEL
OPEN SPACE ADVISORY COMMITTEE
PUBLIC LIBRARY BOARD
STORMWATER APPEALS BOARD
VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION
March 19, 2019
95
ITEM VI-L.
APPOINTMENTS
ITEM#69057
Upon NOMINATION by Vice Mayor Wood, City Council APPOINTED:
DEE OLIVER
(Represents Planning Commission)
3/19/19— 12/31/21
BIKEWAYS AND TRAILS COMMITTEE
Voting: 9-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice Mayor James L. Wood
and Sabrina D. Wooten
Council Members Absent:
Shannon DS Kane
March 19, 2019
96
ITEM VI-L.
APPOINTMENTS
ITEM#69058
Upon NOMINATION by Vice Mayor Wood, City Council APPOINTED:
JUSTIN BURNS
WALTER CAMP
KAREN SHORT
Three year term 4/1/19—3/31/22
And
REAPPOINTED:
SCOTT KELLAM
Three year term 4/1/19—3/31/22
CLEAN COMMUNITY COMMISSION
Voting: 9-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice Mayor James L. Wood
and Sabrina D. Wooten
Council Members Absent:
Shannon DS Kane
March 19, 2019
97
ITEM VI-L.
APPOINTMENTS
ITEM#69059
Upon NOMINATION by Vice Mayor Wood, City Council APPOINTED:
DAVID WEINER
(Represents Planning Commission)
3/19/19—12/31/21
GREEN RIBBON COMMITTEE
Voting: 9-0
Council Members Voting Aye:
Jessica P. Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice Mayor James L. Wood
and Sabrina D. Wooten
Council Members Absent:
Shannon DS Kane
March 19, 2019
98
ITEM VI-L
APPOINTMENTS
ITEM#69060
Upon NOMINATION by Vice Mayor Wood, City Council APPOINTED:
BOBBY TAJAN
(Planning Department Representative)
Five year term 3/19/19—3/31/24
STORMWATER APPEALS BOARD
Voting: 9-0
Council Members Voting Aye:
Jessica P.Abbott, Mayor Robert M. Dyer, Barbara M. Henley, Louis R. Jones,
John D. Moss, Aaron R. Rouse, Rosemary Wilson, Vice Mayor James L. Wood
and Sabrina D. Wooten
Council Members Absent:
Shannon DS Kane
March 19, 2019
99
ADJOURNMENT
ITEM#69061
Mayor Robert M. Dyer DECLARED the City Council Meeting ADJOURNED at 7:24 P.M.
Terri aus
Chief Deputy City Clerk
I i
3177
• anda Barnes, MMC Robert M. Dyer
City Clerk Mayor
City of Virginia Beach
Virginia
March 19, 2019