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MAY 12, 2020 SPECIAL SESSION MINUTES
u �� as 10f,� �m E r- °E ourt FAT`O. VIRGINL4 BEACH CITY COUNCIL Virginia Beach, Virginia May 12, 2020 Mayor Dyer called to order the SPECIAL MEETING of the VIRGINIA BEACH CITY COUNCIL, on Tuesday, May 12, 2020, at 5:30 P.M. Council Members Present: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None 2 ITEM LA MAYOR'S CALL FOR SPECIAL FORMAL SESSION ITEM#70219 Mayor Dyer read the Mayor's Call for the SPECIAL MEETING: May 7, 2020 "HONORABLE MEMBERS OF CITY COUNCIL In accordance with the Virginia Beach City Code Section 2-21, and by the authority vested in me as Mayor of the City of Virginia Beach, I hereby call for a SPECIAL MEETING of the VIRGINIA BEACH CITY COUNCIL Tuesday,May 12, 2020 5:30 P.M. City Council Chamber Building 1, City Hall, 2nd Floor 2401 Courthouse Drive The purpose of this SPECIAL MEETING is for the City Council to receive briefings regarding COVID-19 UPDATE, CITY MANAGER SEARCH UPDATE and to consider the FY2020- 2021 RESOURCE MANAGEMENT PLAN (Operating Budget, Capital Improvement Program Budget, and related ordinances to provide current year (FY2019-2020) Taxpayer Assistance). No public comment will be taken at this meeting;however, because it is expected that three(3) or more Members of Council will be physically present at the meeting, limited seating for the public will be available in the Council Chamber. Members of Council may participate via electronic communication means provided that a quorum of Council is physically present at the meeting location and the Council Member provides notice that he or she is unable to physically attend the meeting for a reason set forth in the City Council Policy for Remote Participation by Councilmembers in Council Meetings adopted March 31, 2020 (attached). Appropriate social distancing should be observed, and citizens are encouraged to wear a protective face covering. This Special Meeting will be broadcast on cable, vbgov.com and Facebook Live. Citizens are encouraged to submit their comments to the City Council prior to the Special Meeting via email at CityCouncil(awbgov.corn. Sincerely, s/ Robert M. Dyer Mayor" Cc: City Manager City Attorney City Clerk Deputy City Managers FOIA Officer Communications Office May 12, 2020 „9GIr11A• BEACH' • City of Virginia Beach U , 0s99� op oUR NASD° VBgov.com ROBERT M."BOBBY”DYER MUNICIPAL CENTER MAYOR BUILDING 1,ROOM 234 2401 COURTHOUSE DRIVE VIRGINIA BEACH,VA 23456-9000 (757)385-4581 FAX(757)385-5699 BDYER9VBGOV.COM May 7, 2020 HONORABLE MEMBERS OF CITY COUNCIL In accordance with the Virginia Beach City Code Section 2-21, and by the authority vested in me as Mayor of the City of Virginia Beach, I hereby call for a SPECIAL MEETING of the VIRGINIA BEACH CITY COUNCIL Tuesday, May 12, 2020 5:30 P.M. City Council Chamber Building 1, City Hall, 2nd Floor 2401 Courthouse Drive The purpose of this SPECIAL MEETING is for the City Council to receive briefings regarding COVID-19 UPDATE, CITY MANAGER SEARCH UPDATE and to consider the FY2020-2021 RESOURCE MANAGEMENT PLAN (Operating Budget, Capital Improvement Program Budget, and related ordinances to provide current year (FY2019-2020) Taxpayer Assistance). No public comment will be taken at this meeting; however, because it is expected that three (3) or more Members of Council will be physically present at the meeting, limited seating for the public will be available in the Council Chamber. Members of Council may participate via electronic communication means provided that a quorum of Council is physically present at the meeting location and the Council Member provides notice that he or she is unable to physically attend the meeting for a reason set forth in the City Council Policy for Remote Participation by Councilmembers in Council Meetings adopted March 31, 2020 (attached). Appropriate social distancing should be observed, and citizens are encouraged to wear a protective face covering. This Special Meeting will be broadcast on cable tv, www.vbgov.com and Facebook Live. Citizens are encouraged to submit their comments to the City Council prior to the Special Meeting via email at CityCouncil@vbgov.com. Sincerely, Robert M. Dyer Mayor Cc: City Manager City Attorney City Clerk Deputy City Managers FOIA Officer Communications Office 3 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 5:36 P.M. Mayor Dyer welcomed Dr. Demetria Lindsay, Director— Virginia Beach Health Department, Erin Sutton, Director—Emergency Management and Ronald H. Williams, Jr., Deputy City Manager. Dr. Lindsay advised in the City there are 517 confirmed COVID-19 cases, 85 hospitalized, 126 cases are being investigated, 287 cases cleared from isolation and the cumulative death toll is nineteen (19). Dr. Lindsay advised there have been eight(8) "outbreaks"in the City with three(3) in workplace settings. Dr. Lindsay advised Governor Northam has established a phased plan to move forward which includes increased testing, contact tracing,personal protective equipment (PPE), and hospital compacity staffing. The criteria for easing restrictions include over a 14-day period, a downward trend in the percentage of positive tests and hospital stays while maintaining hospital compacity with a sustainable supply of PPE. Dr. Lindsay turned the brief over to Ms. Sutton. Ms. Sutton advised Governor Northam signed Executive Order 61 outlining phase one of the "Forward Virginia"plan to safely and gradually ease restrictions;phase one will take effect May 15, 2020 at 12:00 A.M. Ms. Sutton advised phase 1 includes: continue social distancing, tele-commuting for work, recommended face coverings and keeping 10 people limit. Businesses should make modifications to maintain six(6)feet of physical distancing, increase cleaning and sanitization of high contact surfaces, and provide enhanced workplace safety measures.Ms. Sutton advised Governor Northam announced that DMV closures will be extended for an additional week. Ms. Sutton provided the following updates: • There are approximately 1,600 employees working remotely on City systems and the IT Department has launched a new Virtual Product Network (VPN) that will allow up to 10,000 remote users; • Human Services has processed 4,740 SNAP Benefit Applications; • Ninety-four(94) children enrolled in the childcare program for City and Sentara's health care employees; and • Community organizations are addressing many needs across the City, including conducting feeding operations, coordinating volunteer support for food delivery,providing PPE, conducting comfort care check-ins, and supporting other needs. May 12, 2020 4 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) Ms. Sutton opened the COVID-19 Recovery Key Initiatives&Federal/State Reopening Guidelines: COVID-19 Recovery Key Initiatives & Federal/State Reopening Guidelines Update to Virginia Beach City Council May 12,2020 Here is an overview of "Forward Virginia:Phase One": Forward Virginia: Phase One 10, 1'1145i 011. .sin ...s..u ) gee.ah SUT<ap., i TaLto,rnfelnrn o 114,1,e aWdee6ery.uedom rum,n 541,up,. �...........o vua.:c...usrx.... rm,m Owed s...e r c.n_i.. .Fxed I....,df.i oeh 0 ',max and uln¢.Mr , ,rlpn.mlmxr IU p.e..n W.m • sw.0,e.....,m � +....xy...e.x.ye • MO,ea,...M.d • ...11,.....wxm .pee la...4ecl..d., • eprnlu..el.rylawik. 1 nw • Ihs grad, . lh.ox-.t.e+1oopta,.. ae.eel u x May 12, 2020 5 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) This slide summarizes the feedback from the surveys distributed by the COVID-19 Task Force: PHASE ONE PHASE TWO PHASE THREE MAT RIME IIAT I AUGUST SEPEEMRG OCTOS. I HWWIER Continue Teleworkry led/Rotatingscuk Teleworkog/Ro Schedule All City Paclgties open Self.Monitonng of Employees Selt[Monitoring of Employees re Tekwork in Accommodations for the Vulnerable OcommodatiombrOre Vulnerable accordance with city policy Populations Populations Vulnerable popuktonR can City of Virginia Beech Common Areas(No More than 10 or Ohl Common Areas(No Afore than SO) resume public interactions with Employee Miromire Non-Essential Travel Minimize Non-Essential Travel physicaldhtancing and Open in a phased Reopen Customer Service locations mintmarng eaposures when approach(physical distancing) Require POSIT to wear fate Coverings dntarlcing can't be practiced Require Public to wear tare coverings Enhanced Cleatung Enhanced cleaning Enhanced Cleaning Large Venues, Strict Physical Distancing Strict Physical Distallcltg Umestricted Theater and Enhanced Cleaning protocols Enhanced Cleaning protocols Enhanced Cleaning protocols Churches Gyms Strict Plsyskal Distancing Strict Physical Distancing Unrestricted Enhanced Cleaning protocols Enhanced Cleaning protocols Enhanced Cleaning protocols Schools,Youth limited Childcare Childcare Unrestricted Activities No Summer Camps Summer Camps Open with Amasudor Program Continue with Ambassador Program Unrestricted t sta t Physical Uncu o ythm ,need physical distancing Beaches No more than l0'n a gaeg No than SO in a gathering Fnaoced Cleaning of aMrooms,shower,and Enhanced Cleaning of bathrooms,shower water fountains and water fountains Here are the City Operations and Workforce Key Issues: City Operations and Workforce 11111 As we navigate the reopening of the City to the public there are key issues that will need to be in place: • PPE and barrier protection for our workforce •Capacity and support for enhanced cleaning as we return 1� • Development of monitoring(self)process for staff •Guidance for the public entering locations in the city • Updates to policies and procedures as we return to a"new normal" • Determining priority of opening and the appropriate timeline Return to Work does not mean abandoning Teleworking Return to Work does mean a deliberate and well throughout pig plan to alleviate any fear of returning to work. May 12, 2020 6 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) Ms. Sutton turned the presentation over to Mr. Williams. Mr. Williams provided a status on each area of the task force: Emergency Economic Care Act VB Recovery Assistance Stimulus Funding to VB Protocols Ass Visitor Pending CnY Operatloe e throrouugh State Marketing - ghsrate &workplac FY20 ED1P — Fv21 EC. Public Facilities Part E &Venues -•,DBCD& Small Business Beach A — Aszirtance Reopening& istance center Open Spaces - Tax Holidays Special Events � Underway Public Utilities Pending Safe Opening Assistanc Prog ame 11111.111111 Education Here is an overview of the available Additional Funding Assistance: • 1. The CARES Act will provide approximately$34 M to the City through the Commonwealth •Staff will review for eligible uses and make recommendations for City Council consideration such as additional Additional assistance programs 2. Approximately$3.5 M in HUD Funding CDBGandHOMEprogram Assistance allocations can be reprogrammed from previous years for additional Housing Assistance •Staff will provide recommendations for City Council consideration in this Friday's package that includes an update on the current applicant pool • • May 12, 2020 7 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) Here is an overview of a proposed Ordinance to support local restaurants: • 1. Adopt ordinance to authorize waiver of café franchise fees due to the closure during COVID-19 Pandemic 2. Support restaurants desiring to Additional operate under Commonwealth's outdoor dining restrictions by Considerations temporarily repealing or waiving certain local ordinances to allow for City Council for: Action •Dining on public sidewalks, boardwalk connector parks& greenbelt or private parking lots while maintaining ADA compliance in • coordination with VA ABC&Health Department •Development of a"parklet"program • ,•v>' in parking spaces in public right-of- way The next several slides provide an overview of the Beach Reopening Plan (Revised): Welty(?/ Virginia Beach Beach Reopening Plan (Revised) Proposal Pending Guidance from Commonwealth of Virginia May 2020 May 12, 2020 8 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) V3 Reopening the Beaches Welcoming everyone to the Virginia Beach beaches is the priority of our city. Virginia Beach is committed to this goal in a way that's safe for our residents,visitors and the thousands of frontline staff who bring the beaches to life. Reopening the beaches safely will require a coordinated effort that focuses on three key components:cleaning high-touch surfaces, educating guests on how they can enjoy the beach with physical distancing and enforcing healthy guidelines through interaction with Beach Ambassadors." Here are the required four(4)Pillars of Phase One Reopening: Vf3 Pillars of Phase One Reopening CLEANING DISTANCING EDUCATION ENFORCEMENT May 12, 2020 9 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) Here is an overview of Beach Reopening Strategies: M•3 Beach Reopening Strategies The following strategies will be utilized to support the pillars of Phase One Reopening: -. Divide the oceanfront,bayfront,and Sandbridge into manageable"zones," or areas of engagement&enforcement including the bike path and boardwalk Deploy Clean Teams to work in shifts to clean"high-touch areas",restrooms and shower towers -. Deploy Beach Ambassadors to serve as frontline for enforcement of safe distancing on the beaches Post collateral education materials throughout resort area,with emphasis at all beach access points This map displays the beach Zones: V<3 ZONES , Bay Front— 1-2 North End—3-5 • s Oceanfront—6-7 Croatan—8 (not p doted) I Sandbndge—9-11 - . { (not pcuredt '.� Y' May 12, 2020 10 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) Here are the areas where Beach Ambassadors will be assigned: M3 AREAS OF ENGAGEMENT Virginia Beach Oceanfront Bay Front From 40th Street to Rudee Loop From Bridge Tunnel to the Lesser Bridge • Atlantic Ave East and West Sides of the Street From Lesner Bridge to First Landing State Park • Bike Path • Roaming Beach Ambassadors only • Boardwalk • Beach North End Sandbridge From 40th to 89th Street From S.Bullpup ST to end of Little Island Park • Roaming Beach Ambassadors only • Focus on Public Beach Market Place Area where Lifeguards are in service Croatian • Little Island Park From Rudee Inlet to Camp Pendleton • Roaming Beach Ambassadors only 13 Here is an overview of Cleaning protocols: M3 CLEANING CLEAN TEAMS: J Cleaning staff will work in 2-person teams with one floater relief team.Cleaning will be from 8:00 am to 6:00 pm Mon-Thurs and 7:00 am to 7:00 pm Fri-Sun. J At the Oceanfront,teams will cover 5-block area from the Boardwalk and Atlantic Avenue. J Teams will be wiping&spraying down high-touch surfaces such as water fountains, foot washes,crosswalk buttons,and magazine bins on Atlantic. Power wash formal beach access points at Sandbndge and Bay Front Beaches. May 12, 2020 11 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) Here is a Cleaning Sample Schedule: SAMPLE SCHEDULE: m1=3mccamm613r0®rrc CLEANING -®e------- SUPPLIES: • Uniforms in high-visibility colors that mirror 1111.11.1e1.111MEMINIMM -amen® m ---messaging from education collateral o Disposable gloves ❑ Masks(for staff) ❑ Paper towels INIEN©111111111111111111E11.1. u Bulk disinfectant liquid per CDC guidelines IMe111111111.11IMIEMIE o Garbage bags 1111111111e11IMMM®ENER u 10'storage container located near 10th ST =®©11111111111MM®®® u Garbage cans on wheels o High volume sprayers -®e_---®®® Here are the Distancing requirements: VB DISTANCING • Beachgoers will be required to practice physical distancing • Groups of more than 10 beachgoers will be prohibited ❑ Parking garages and surface lots will be limited to 50%capacity.If the density of beachgoers increases on the beach near parking facility,then parking capacity will be reduced in real time through Beach Ambassador communication o Additional on street parking will be utilized to further disperse visitors throughout resort • No entertainment or programming that generate mass gatherings will be permitted • Beach playlets will remain dosed re May 12, 2020 12 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) There will be 70 signs and 40 access boxes placed in the beach areas to provide educational information: V3 EDUCATION COLLATERAL J 70 Boardwalk 4'x8 frames with mesh banners U Beach Access poster cases at each street .] 7x7x1 3 steel towers with mesh signs on the beach J Coroplast metal yard signs on greenbelts and beach U Boardwalk and sidewalk decals LI Window cling signage at all retail,restaurants, ku' --- attractions,and hotels r O Front Desk and In-Room signage for hotel&motels ' yy f servicing the beach i V l] Tabletop signage for restaurants and café seating U Signage at parking lots and garages P4 - .3 Mobile video screen truck with messaging 4 r f p) r i 7 Social media outreach F2 c_Ik8 Aerial banner messaging ��—�+ - ',Z,� J LED traffic message boards Here are some examples: It's in ' Your Hands. war- Whet You Can Do Bach Rules Beach Rules tiLA :ti: .n n ___�_. l n n A iLQ IP May 12, 2020 13 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) Beach Ambassadors will be assigned to beaches to provide distancing "reminders"to guests and report any issues to the Police Department if necessary: IV 1 i ig ' ..0 ill ,rirkirigipriga',1 YJU wpr,BRE4R MrzBR 1. o`WE VL Ilk ir4.-\'T�►q V13 ENFORCEMENT J Beach Ambassadors will provide friendly visual`reminders"to guests about physical distancing and are the frontline engagement with beachgoers J When ambassadors encounter individuals or groups that are not distancing,they will ask for voluntary compliance to spread out J If voluntary compliance is not achieved,Beach Ambassador will request assistance from Police Department for enforcement J Public safety will monitor crowd density on beaches and in water via routine patrols, drone surveillance overhead camera integration and marine boat patrols If overcrowding occurs,Public safety will initiate temporary beach closures 10 May 12, 2020 14 CITY MANAGER'S BRIEFINGS COVID-19 UPDATE ITEM#70220 (Continued) Here is the Interoperability Illustration: -o ,b ' MG�vler amt. bPa.OYp otlYmenmnnon sw..w e..a Poke Row. rde 116..2 temwe � n-ve.�b INTEROPERA: ILLUSTRATION 11 Here is the Timeline: V`•3 TIMELINE Identify labor, equipment&supply paper and practical vendors virtual classroom - Produce all training training Ready to execute materials Memorial Weekend On beach scenario Produce education development during collateral restricted exercise/fishing period Mayor Dyer expressed his appreciation to Dr. Lindsay, Ms. Sutton and Mr. Williams for the presentation. May 12, 2020 15 CITY MANAGER'S BRIEFINGS CITY MANAGER SEARCH UPDATE ITEM#70221 7:05 P.M. Mayor Dyer welcomed Regina Hilliard, Director—Human Resources Department. Ms.Hilliard advised she was informed by the consultant that each of the candidates are willing to travel to be present for interviews, provided flights are available. Ms. Hilliard advised if it is necessary to hold interviews virtually, she has confirmed the high level of cyber security in currently in place within the City and introduced Kevin Fairley, Information Services Administrator — IT Department, to provide further details. Mr. Fairley advised the system that would be used to hold virtual interviews is the same system used for City business and is encrypted "end to end"and password protected. Council Member Rouse suggested identifying dates and a location to hold interviews. Amanda Barnes, City Clerk, advised she will poll Council Members to identify the earliest available dates and provide those dates to Ms. Hilliard to determine scheduling. Mayor Dyer expressed his appreciation to Ms. Hilliard and Mr. Fairley for the update. May 12, 2020 i u. \ CITY OF VIRGINIA BEACH AGENDA ITEM I ITEMS: The FY 2020-21 Operating Budget and Capital Improvement Program (CIP) Related Ordinances MEETING DATE: May 12, 2020 • Background: On March 24, 2020, the City of Virginia Beach FY 2020-21 Proposed Resource Management Plan, which includes the Operating Budget and Capital Improvement Program, was presented to the City Council. On April 10th, a revised City of Virginia Beach FY 2020-21 Proposed Resource Management Plan was presented to the City Council. The City held a public hearing on April 22nd to provide the public the opportunity to comment on the proposed Resource Management Plan and various authorizations of bonds for the CIP. On April 28th, a separate public hearing regarding an effective tax increase was also held, which allowed further comment on the Real Estate tax rate in the proposed Resource Management Plan. • Considerations: The Proposed Resource Management Plan has been amended in accordance with the revised April 10th City of Virginia Beach FY 2020-21 Proposed Resource Management Plan. The detail of these revisions can be found in Attachment A of the Reconciliation Letter. The City Council has considered versions of reconciled budgets at its April 30th, May 5th and May 7th workshops. The budget reconciliation letter provided by Mayor Dyer and Vice Mayor Wood at the May 7th workshops resulted in consensus among the Council to proceed with placing the Resource Management Plan on the May 12th agenda for consideration and vote. A copy of the May 7th Reconciliation Letter is attached to this item. The detail of the Reconciliation Letter revisions can be found in Attachment B of the Reconciliation Letter. The changes recommended by the Manager and further refined in the Reconciliation Letter are reflected in the following ordinances provided for consideration and approval to implement the FY 2020-21 Budget. Ordinances that support the Fiscal Year 2020-21 Operating Budget: 1. An Ordinance to Adopt the Fiscal Year 2020-21 Operating Budget and to Appropriate Funds for the Fiscal Year Beginning July 1 , 2020 and Ending June 30, 2021 2. An Ordinance Establishing the Tax Levy on Real Estate for Fiscal Year 2021 3. An Ordinance Establishing the Tax Levy on Personal Property and Machinery and Tools for the Calendar Year 2021 4. An Ordinance to Dissolve the Sandbridge Tax Increment Financing Fund and Transfer Lapsed Funds to the General Fund 5. An Ordinance to Authorize the City Manager to Submit an Annual Funding Plan to the U.S. Department of Housing and Urban Development 6. An Ordinance to Amend Sections 35-64 and 35-67 of the City Code Pertaining to the Exemption or Deferral of Real Estate Taxes for Elderly or Disabled Persons 7. A Resolution Approving Amendments to the City of Virginia Beach Human Resources Part-Time Accumulated Leave and Full-Time Paid Time Off Policy 8. An Ordinance to Amend the City Code Pertaining to the Equivalent Residential Unit (ERU) Fee Ordinances to Support the FY 2021/FY 2026 Capital Budget: 9. An Ordinance to Adopt the FY 2021/FY 2026 Capital Improvement Program and to Appropriate Funds for the FY 2021 Capital Budget Subject to Funds Being Provided from Various Sources Set Forth Herein 10.An Ordinance Authorizing the Issuance of General Obligation Public Improvement Bonds of the City of Virginia Beach, Virginia, in the Maximum Amount of $69,741,841 for Various Public Facilities and General Improvements 11.An Ordinance Authorizing the Issuance of Storm Water Utility System Revenue Bonds of the City of Virginia Beach, Virginia, in the Maximum Amount of $34,708,495 12.An Ordinance Authorizing the Issuance of Water and Sewer System Revenue Bonds of the City of Virginia Beach, Virginia, in the Maximum Amount of $1,318,515 Ordinances to Provide Relief and Assistance to Taxpayers and Businesses (FY20): 13.An Ordinance to Appropriate $2 Million and to Transfer Funds to the Department of Human Services for Taxpayer Relief Due to the Impacts of COVID-19 14.An Ordinance to Appropriate $1 Million and to Transfer Funds to CIP 9-067, "Economic Development Investment Program II" to Provide Small Business Assistance 15.An Ordinance to Extend Real Estate Tax Appeal Dates • Public Information: Two public hearings were held concerning the Operating Budget and Capital Improvement Program. These meetings were conducted virtually as provided by the City's Continuity of Government Ordinance. Information on the Resource Management Plan was disseminated to the public through the publication of the Proposed Operating Budget and Capital Improvement Program documents which were available for public review on the City's website. In accordance with the City Charter and the Code of Virginia, a series of public notices appeared in the Beacon on March 29th, April 5th and April 12th • Recommendations: Approval of the FY 2020-2021 Operating Budget and Capital Improvement Program as presented. • Attachments: FY 2020-21 Operating Budget and Capital Improvement Program Ordinances (15); Reconciliation Letter, dated May 7, 2020 Recommended Action: Approval of Ordinances Submitting Department/Agency: Department of Budget and Management Services City Manager: ' 8 t 1.11401141A'BEitc O City of Virginia Beach Op OUR N8 O VBgov.com ROBERT M."BOBBY"DYER MAYOR MUNICIPAL CENTER BUILDING 1 2401 COURTHOUSE DRIVE VIRGINIA BEACH,VA 23456-9000 (757)385-4581 May 7, 2020 FAX(757)42fr5699 Members of City Council Subject: FY 2020-21 Operating Budget and CIP Reconciliation Dear City Council Members: On March 24, 2020, the Acting City Manager presented his original Proposed FY 2020-21 Operating Budget and Capital Improvement Program (CIP). Due to the economic impacts of COVID-19 on our City, the City Manager provided a Revised FY 2020-21 Operating Budget and CIP on April 10, 2020. The Revised Budget outlined reductions associated with decreases in tax revenue as a result of the COVID-19 pandemic and returned services to FY 2019-20 levels. These reductions are highlighted in green on Attachment A. Last Tuesday, we provided additional proposals for reconciliation of the Proposed Budget and CIP. The letter provided on Tuesday incorporated some of the concerns addressed at the previous budget workshop and included tax relief for businesses and citizens as well as an additional strategy to meet revenue shortfalls in FY 2020-21, if revenue is not meeting estimates. As previously discussed, two tax/fee relief programs have already been addressed in the letter below - see items 4 (personal property tax relief for volunteer Emergency Medical Services and volunteer fire personnel) and 11 (assistance monthly City Services Bill). Since Tuesday's meeting, two additional changes are recommended to be incorporated in the FY 2020-21 Operating Budget and CIP. The first includes the suspension of the previously approved 3.50 increase in the Stormwater Equivalent Residential Unit (ERU) rate to be effective on July 1, 2020. This increase was year two of a six-year planned rate increase of 3.50 per year to address critical stormwater needs. As a result of the one-year suspension of this ERU plan, the rate increase will now be reinstated in FY 2025-26. This results in a decline of $3,140,041 in revenue, which will be offset by position reductions supported by the General Fund (through a negative reserve); thereby, creating capacity for a pay-as-you-go transfer to the Stormwater CIP. Based on average salary and benefits, the total position reductions will be approximately 45 positions. The City Manager is directed to send a summary of the actual position reductions to City Council by July. In years two through five of the Stormwater CIP, the following projects will be reduced by these approximate amounts: 7-415 "Lake Management II" by $1.6 million, CIP# 7-416 "SW Infrastructure Rehabilitation& Improvements II" by $750,000, and CIP# 7-023 "Primary System Infrastructure Improvements II" $750,000. Since years two through five are Members of City Council FY 2020-21 Operating Budget and CIP Reconciliation Page 12 for planning purposes, additional refinement may occur before next year's Operating Budget and CIP review. The second modification is the restoration of local funding to Virginia Beach City Public Schools (VBCPS). As a result of the COVID-19 pandemic and declining revenues, VBCPS's share of local revenues via the City School Revenue Sharing Formula declined. Of the original reduction, $7,766,223 is restored with $7,266,223 allocated to CIP #1-182 "Renovations and Replacements — Various III" and $500,000 to CIP #1-107 "Princess Anne High School Replacement". This increase in pay-as-you-go funding to the Schools CIP is offset with a negative reserve of vacancy savings in the General Fund resulting from the hiring freeze. At the same time we vote for the Budget and CIP next week, we recommend that City Council consider a $3 million tax relief plan to take effect within the current fiscal year(FY 2019-20): $2 million for providing both real estate and personal property tax relief for citizens in need and $1 million to provide additional business tax relief through the Small Business Emergency Assistance Program implemented by the Virginia Beach Development Authority (VBDA). Supporting these tax relief initiatives will be the appropriation of fund balance from the Parks and Recreation Special Revenue Fund. As we begin the new fiscal year with economic uncertainty, it is critical that the City Manager and staff provide monthly financial updates on revenues and expenditures. The Revised FY 2020-21 Operating Budget has created a great deal of flexibility; however, it is possible that additional City Council action could be required should revenues decline below current estimates. To provide extra flexibility and preserve the City's cash position during these uncertain times, it is recommended that appropriations within the following Capital Improvement Projects (CIP)be placed in a reserve entitled "COVID-19 Revenue Shortfall Stabilization." This reserve totals $21.8 million and can only be utilized after City Council approval. If FY 2020-21 revenue is meeting estimates after quarterly reviews, funding can be returned to the CIP projects listed below with City Council approval. If revenue is not meeting estimates, the reserve can be used to offset revenue shortfalls. The following is the list of projects totaling$21.8 million: • CIP # 8-025 "Beach Replenishment II" ($2,550,000) • CIP #3-718 "Police Radio Encryption" ($3,302,428) Partial ATD • CIP #2-094 "Bus Stop Infrastructure and Accessibility Improvements" ($648,969) Partial ATD • CIP #2-414"Shipps Corner Road Improvements" ($2,100,000)ATD • CIP #2-047 "Upton Drive Extended and Dam Neck Stations Imp." ($1,286,780)ATD • CIP #3-153 "Various Site Acquisitions III" ($343,644) • CIP #3-132 "Heritage Building Maintenance II" ($575,000) • CIP #4-300"Community Recreation Centers Repairs and Renovations III" ($1,000,000) • CIP #4-301 "Parks and Special Use Facilities Development/Reno" ($950,000) • CIP #3-703 "PD—Special Investigations Video Storage" ($400,000) • CIP #2-056 "Pleasure House Road Street Imp. —Phase I" ($150,000) • CIP #2-057 "Pleasure House Road Street Imp. —Phase II" ($357,376) • CIP #9-006"Winston-Salem Avenue Improvements" ($7,565,191)ATD • CIP #3-184 "Virginia Aquarium Monument Signs" ($600,000)ATD Members of City Council FY 2020-21 Operating Budget and CIP Reconciliation Page 13 When combined with the total anticipated salary vacancy savings from the position freeze (which we recommend continuing into FY 2020-21) and fully funding full-time salaries (not budgeting for attrition), a minimum of $10 million of vacancy savings (compared to previous years) should be available to offset potential revenue shortfalls. Between these two initiatives, over $30 million should be available to offset revenue shortfalls if the economy does not improve. Please note we also recommend placing CIP # 3-174 "Operations Facilities Renovations" ($30,000,000) in a reserve until City Council approves the release of funds. This project is anticipated to be funded by bonds and the resulting debt service will impact the budget beyond FY 2020-21. While this project (renovations of buildings 1, 2 and 11) is important in the aftermath of the 5/31 tragedy, we believe the City should not initially expend these funds to ensure that our cash flow is sufficient pending improvement of the economy. We also recommend that the City Manager continue limiting expenditures to essential services only as we begin the new fiscal year. As noted on page 22 of the April 10 letter, the City Manager's Revised Budget provided a balancing strategy for most funds; however, additional analysis was required to determine the best strategy for balancing both the Tourism Investment Program (TIP) and the Tourism Advertising Program (TAP) Funds. These funds are projected to have their original FY 2020-21 revenue estimates reduced by a combined $16 million. Balancing these funds through expenditure reductions alone would result in almost a complete elimination of current services provided through the TIP Fund (programs such as beach maintenance, trash collection, beach events, etc.) and a reduction of 25%in TAP Fund advertising and marketing efforts. As the economy begins to reopen, TIP and TAP programs and services will be essential to the recovery of the local tourism industry. For that reason, it is recommended that the primary balancing strategy of the TIP and the TAP funds include the use of$14.8 million of fund balance from the TIP Fund. Of this use, $9.8 million will be appropriated within the TIP Fund and $5 million will be transferred to the TAP Fund. Additional funding within the TAP Fund will allow the City to not only maintain current services but also enhance marketing and advertising efforts across the City. The enhanced marketing and advertising campaign plan will occur in two phases. The first phase includes an additional $2 million between now and July 1 with City Council action anticipated in May. The second phase will include an additional $1.6 million appropriated on July 1 as a part of the FY 2020-21 Operating Budget. The projected fund balance of the TIP Fund at year end FY 2020-21 is $1.7 million, or 4% of the following year's revenue estimate. This results in an overall increase to the net budget change as reflected in the April 10 presentation. These recommendations are highlighted in blue on Attachment A. Also noted within both the letter (page 22) and presentation, additional refinements were needed as a result of department specific revenue reductions. These reductions resulted in the additional elimination of nearly 24 FTEs and are highlighted orange on Attachment A. In total, the City Manager's Revised FY 2020-21 Operating Budget includes a net reduction of 58.02 FTEs when compared to the FY 2019-20 Operating Budget. Members of City Council FY 2020-21 Operating Budget and CIP Reconciliation Page 14 The modification of FY 2020-21 revenue estimates resulted in the reduction of$20.4 million in local revenue shared with Schools. On page 22 of the April 10th letter as a part of the process moving forward, it was noted that City staff was continuing to work with School staff to modify the Schools FY 2020-21 Operating Budget accordingly. On April 28, the School Board reduced approximately $28 million in their FY 2020-21 Operating Budget. In order to incorporate the budget amendment adopted by the Virginia Beach School Board, the following adjustments were necessary: 1) Reduce the transfer from the City's General Fund by $20,372,434 and reduce estimated revenue from the Commonwealth by $6,926,614. These reductions in revenue are offset with the elimination of the following appropriations: a. $19,532,825 originally approved for a 0.5% experience step increase and 3.0% cost of living adjustment (COLA). b. Elimination of 69.55 FTEs and $4,492,077 in related salaries and operating supplies. c. $2,774,146 in other operating cost within the School Operating Fund. d. $500,000 transfer to the Schools' Capital Improvement Program. 2) Reduce School's CIP Project # 1-107 "Princess Anne High School Replacement" by $26 million over the six-year CIP period. This results in a corresponding reduction in the School's CIP means of pay-as-you-go financings in year 2 by $1 million and by $1.5 million each of the remaining years 3 through 6. Also reduced is the School's use of fund balance from the School Reserve Special Revenue Fund in the CIP by $3.6 million in year 2, $3.7 million in year 3, $3.8 million in year 4, $3.9 million in year 5 and $4 million in year 6. The City Manager's Revised FY 2020-21 Operating Budget retained several proposals that should help in hiring and retaining our valued workforce, including: • Increasing the Hybrid Employee Paid Time Off(PTO) accrual of an additional 1.5 days per year and expanding the maximum allowable carryover by six days. • Expansion of the City's Maternity/Paternity leave program from three to six weeks. After listening to public input at the public hearings and via email as well as discussions with City Council members, it is recommended that the City Manager's Revised FY 2020-21 Operating Budget and CIP, as reflected on Attachment A, be adopted with the following adjustments: 1) Reinstatement of the originally proposed initiatives to implement recommendations of the 2018 Disparity Study. This increases the Department of Finance's budget by $366,541 including one additional position. 2) Reinstatement of the following compensation initiatives previously approved by City Council: a. Year 2 Public Safety Workforce Development Members of City Council FY 2020-21 Operating Budget and CIP Reconciliation Page 15 b. Year 2 phase-in of moving supervisors to their pay range mid-point Through these initiatives, the City will continue to address critical compensation needs and continue to build off previous efforts to address compression across the City. A compensation reserve of$1,188,714 in the General Fund is established to address these initiatives. 3) Elimination of the 2% planned increase in City employee health insurance premium rates scheduled to take place on January 1, 2021. City employee premium rates will remain at the same level as 2020 health insurance premium rates. The Schools also eliminated their 2% planned increase. Since both the City and Schools will be eliminating pay increases, we believe this will help reduce the financial impacts to City and School employees with no pay increases planned for FY 2020-21. The total impact to the Health Insurance Fund is approximately $630,000. The 3% employer increase remains in both the Schools and City budget. 4) Provide personal property tax relief for volunteer Emergency Medical Services and volunteer fire personnel. To provide this tax relief, qualifying personal property will be taxed at a lowered rate of one millionth of one cent ($.000001) on each one hundred dollars ($100) of assessed valuation. This reduction will result in the projected loss of $60,000 in personal property tax revenue. 5) Reinstatement of the originally proposed funding increases of $7,000 to the Atlantic Wildfowl Heritage Museum and $15,000 to the Virginia Beach Surf and Rescue Museum. 6) Move the $135,000 Museum of Contemporary Arts (MOCA) education grant from the Department of Cultural Affairs to Non-Departmental Organization Grants. This will provide additional transparency in the future budgeting of this grant initiative. 7) Even during these tough economic times, it is critical to address the safety and security of our employees and citizens. We recommend beginning the implementation of the Hillard Heintze recommendations including the centralization of Human Resources and establishing a Security Office as follows: a. Four Human Resource positions to begin the phased centralization of Human Resource functions. This increases the department's operating budget by $397,373. b. One Security Office position to begin conducting facility security assessment needs. This increases the Office of Emergency Management's operating budget by$64,504. Starting these two initiatives in FY 2020-21 will allow staff to determine the type and amount of resources necessary to further implement the recommendations. If revenues are performing favorably based on a mid-year review by staff, additional consideration will be given to funding more of these recommendations in FY 2020-21. 8) Increase funding contribution to the African American Cultural Center by$50,000. Members of City Council FY 2020-21 Operating Budget and CIP Reconciliation Page 16 9) Based on updated fuel cost projections, additional savings are likely to occur in FY 2020- 21 due to lower fuel prices. General Fund budgeted fuel cost are reduced by$299,132. 10)Increase General Fund VDOT Roadway Maintenance funding by $1,850,000. The FY 2020-21 Commonwealth of Virginia's Budget reflects a 3.7% increase for Financial Aid for City Road Maintenance resulting in the estimated increase of funding. Virginia Beach's portion of this revenue source has historically been 13% of the state's budget. Estimating this additional revenue to the Department of Public Works creates capacity to redirect other local revenue sources to fund the previously identified General Fund initiatives. 11)The Department of Public Utilities is developing a program to assist individuals recently unemployed due to the COVID-19 pandemic with their monthly City Services Bill (water, sewer, stormwater and waste management fees). Working with the Department of Human Services and Information Technology, Public Utilities is developing criteria and the appropriate technology platform for participation in the program with an implementation goal of July 1, 2020. The fee relief program totals $4 million and will be in place until funding is exhausted. Once all program details have been finalized, information will be shared with City Council and our citizens prior to implementation. Funding for this one-time program consists of$2.4 million from the Fund Balance of the Water and Sewer Fund and $1.6 million from the Fund Balance of the General Fund. Until a final implementation plan is developed, these appropriations will be placed into a dedicated reserve for future allocation which could include the transfer of appropriations between funds. 12)Provide $2 million to CIP project 4-059 "Southern Rivers Watershed Site Acquisition Program" in year one of the CIP. This is a new project in the FY 2020-21 CIP. This project is one of the strategies to reduce the impact of flooding in the southern part of our city. This appropriation will be supported through the use of Fund Balance from the General Fund. Some City Council members have requested reestablishment of part or all of the 2.5% pay increases originally included in the City Manager's Proposed Budget. Before implementing compensation increases or other items, we recommend reviewing FY 2020-21 revenue estimates in January 2021 after the accounting records are finalized for revenue collection through December 31, 2020. At that point, we should have a better understanding of the financial impacts of the COVID-19 pandemic on our local economy as well as any federal/state financial support that may be provided. Please note if revenue decreases beyond estimates additional City Council action might be required to adjust the budget accordingly. The details for the funding sources and City Council adjustments provided above are reflected on Attachment B. Members of City Council FY 2020-21 Operating Budget and CIP Reconciliation Page 17 We want to thank the public who participated in public hearings to offer their comments on the FY 2020-21 Operating Budget and CIP as well as staff for their efforts to provide answers to our various questions. If you have any questions, please contact us directly. Sincerel , 47//( Robert"Bobb ' M. Dyer, Mayor Jam: sod, Vice Mayor Attachments Attachment A Attachment B Attachment A:City Manager's Revised FY 2020-21 Operating Budget and CIP Operating Budget Changes: Fund Department Description Revenue Appropriations FTE 1 General General Real Estate $ (7,240,507) - - 2 General General Personal Property $ (11,283,871) - - 3 General General General Sales $ (6,431,248) - - 4 General General Business Licenses $ (5,143,283) - - 5 General General Bank Net Capital Tax $ (406,121) - - 6 General General City Tax on Deeds $ (802,043) - - 7 General General Hotel $ (2,577,421) - - 8 General General Restaurant $ (10,038,792) - - 9 General General Interest on Bank Deposits $ (1,847,163) - - 10 General General Recordation Fee $ (1,985,167) - - 11 General Budget and Management Eliminate an existing but vacant Account Clerk (38,660) (1.00) 12 General City Manager Eliminate an existing Executive Assistant (70,107) (1.00) 13 General Commissioner of Revenue Unfund increased part time executive assistants (33,479) (0.80) COVID-19 Revenue Loss-Reduction of professional development,training, 14 General CVB Sports Center overflow parking contract and Hampton Roads Sports (342,592) (342,592) - 15 General Courts Unfund creation of a part-time position that was new in the original proposed budget (23,261) (0.63) 16 General Courts Restore 30 hours of contracted manpower that was eliminated in the original proposed budget 21,690 - 17 General Courts Remove Court Salary Supplements from the General District and JDR Courts that was approved in FY (120,414) - 18 General Cultural Affairs Unfund creation of a Account Clerk III (49,680) (1.00) 19 General Cultural Affairs Unfund creation of an Event Coordinator (56,533) (1.00) 20 General Cultural Affairs Remove the revenue that would be generated by the Event Coordinator (23,181) - 21 General Cultural Affairs Restore contracted manpower that was eliminated in the original proposed budget 55,641 - 22 General Cultural Affairs Revert funding to the Virginia Beach Surf and Rescue Museum to FY 2020 levels (15,000) - 23 General Cultural Affairs Revert funding to the Atlantic Wildfowl Heritage Museum to FY 2020 levels (7,000) - 24 General ECCS Eliminate two existing but vacant Master PSET positions (134,790) (2.00) 25 General Emergency Management Unfund the creation of 4 positions related to the recommendations of the Hillard Heintze Report(Fa (1,000,000) (4.00) 26 General EMS Unfund expansion of Sandbridge Life Guard coverage for the months of May,September,and Octob (49,999) (1.75) 27 General EMS Eliminate two existing but unfilled paramedics intended for Burton Station (117,296) (2.00) 28 General Finance Unfund the creation of a new financial specialist (64,504) (1.00) 29 General Finance Unfund an annual disparity study that would follow up on evaluation of the (366,541) (1.00) 30 General Fire Unfund 15 existing but unfilled firefighters intended for Burton Station (1,060,692) (15.00) 31 General Housing Unfund creation of a Code Enforcement position (45,642) (1.00) 32 General Housing Restore contracted manpower that was eliminated in the original proposed budget 44,902 - 33 General Housing Unfund creation of a Administrative Specialist for homeless services (69,309) (1.00) 34 General Human Resources Unfund the creation of 15 positions related to the recommendations of the Hillard Heintze Report(C (1,490,147) (15.00) 35 General Human Resources Unfund a market salary survey (200,000) - 36 General Human Resources Eliminate an existing but vacant HR Analyst (71,645) (1.00) 37 General Human Resources Eliminate expansion of Automatic External Defibrillator replacements (20,000) - 38 General Human Resources Eliminate expansion of vaccine administration for employees (35,000) - 1 Attachment A:City Manager's Revised FY 2020-21 Operating Budget and CIP Operating Budget Changes: Fund Department Description Revenue Appropriations FTE 39 General Human Resources Eliminate Phase II renovations for Building 19 HR Training Room (54,464) - 40 General Human Resources Unfund the creation of a registered nurse (80,658) (1.00) Unfund the creation of two FSSI positions in the Child Welfare Division 41 General Human Services that are partially reimbursed by the Virginia Department of Social Services (92,306) (142,010) (2.00) 42 General Human Services Unfund the creation of two dedicated positions for the Mobile Co-Responder Team (186,516) (2.00) 43 General Information Technology Unfund creation of a mail services clerk (38,660) (1.00) 44 General Information Technology Restore contracted manpower that were eliminated in the original proposed budget 23,200 - 45 General Information Technology Unfund creation of a Timekeeping Systems Analyst (209,622) (2.00) 46 General Library Unfund creation of a new library assistant supervisor at the Oceanfront Library (68,280) (1.00) 47 General Library COVID-19 Revenue Loss-Reduction of professional development and training (53,321) (53,321) - 48 General Non-Department Reduce or eliminate Regional Grants for Virginia Arts Festival,STOP,HR Pride,Eggleston,and African (246,300) - 49 General Non-Department Reduce the General Fund Vehicle Replacement budget by$1 million (1,000,000) - 50 General Parks and Recreation Eliminate contractual landscape increases related to the completion of new capital projects (48,608) - 51 General Parks and Recreation Eliminate expansion of the Urban Forestry Management Program (50,000) - 52 General Planning Unfund a dedicated planner position for Short Term Rentals (72,416) (1.00) 53 General Planning Unfund an additional customer service desk planning technician (55,451) (1.00) 54 General Planning Unfund three additional inspectors for Short Term Rentals (181,017) (3.00) Reduce the HRT Budget from the budget that was included in the original proposed budget 55 General Planning according to a regionally agreed upon solution to compensate for City revenue (1,994,172) - 56 General Police Eliminate an additional 8 existing but vacant police officer recruits (479,648) (8.00) 57 General Public Works Unfund the creation of a 5 member BMP Maintenance Crew (269,322) (5.00) 58 General Public Works Unfund the creation of 2 Water Quality Engineers (235,662) (2.00) 59 General Public Works Unfund the purchase of an asset management software system (150,000) - 60 General Public Works Unfund the General Fund contribution towards the purchase of a horizontal grinder (200,000) - 61 General Real Estate Assessor Unfund creation of a new Real Estate Appraiser (65,886) (1.00) 62 General Virginia Aquarium Unfund 3 new FTEs that were to create programming for the re-opened Marsh Pavilion (223,804) (3.00) 63 General Virginia Aquarium Eliminate purchase of a forklift for the Darden Marine Animal Center (27,000) - 64 General Virginia Aquarium Restore Virginia Aquarium Marketing to its previous levels (50,000) - 65 General Virginia Aquarium COVID-19 Revenue Loss-Reduction of 6.55 FTEs and cease operation of the 3D (877,003) (877,003) (6.55) 66 General Reserves Eliminate Salary Increases that were included in the original proposed budget (5,000,000) - 67 General Reserves Eliminate the Engineer Recruitment and Retention Program (667,230) - 68 General Reserves Eliminate enhanced Courtroom audiovisual equipment to display body camera footage (215,000) - 69 General Reserves Eliminate new participation in the Public Safety Workforce Development Program and for the Sherifl (2,861,829) - 70 General Reserves Unfund recommendations of the Hillard Heintze Report(Emergency Training/Exercises) (200,000) - 71 General Reserves Unfund recommendations of the Hillard Heintze Report(Public Safety Building Access) (150,000) - 72 General Reserves Unfund recommendations of the Hillard Heintze Report(Employee Training) (200,000) - 73 General General Fund Transfers Reduction of transfer to Schools as a result of COVID-19 revenue reductions (20,398,009) 74 General General Fund Transfers Reduce Transfer to Sheriff Special Revenue Fund (134,688) 2 Attachment A:City Manager's Revised FY 2020-21 Operating Budget and CIP Operating Budget Changes: Fund Department Description Revenue Appropriations FTE 75 General General Fund Transfers Reduce pay-as-you-go to CIP for 2-184(Roadways) (500,000) 76 General General Fund Transfers Reduce pay-as-you-go to CIP for 3-135(Buildings) (1,400,000) 77 General General Fund Transfers Reduce pay-as-you-go to CIP for 3-166(Buildings) (300,000) 78 General General Fund Transfers Reduce pay-as-you-go to CIP for 3-183(Buildings) (2,220,585) 79 General General Fund Transfers Reduce pay-as-you-go to CIP for 3-697(IT) (1,000,000) 80 General General Fund Transfers Reduce pay-as-you-go to CIP for 9-063(Econ and Tourism) (1,000,000) 81 General General Fund Transfers Reduce pay-as-you-go to CIP for 9-081(Econ and Tourism) (500,000) Total General Fund Changes (49,144,019) (49,144,019) (89.73) 82 School Fund School Fund Reduce City Manager's Reserve $ (25,575) 83 School Fund School Fund Reduce Transfer from the City General Fund $ (25,575) 84 School Fund School Fund Reduce Transfer from the City General Fund $ (20,372,434) 85 School Fund School Fund Reduce Revenue from the Commonwealth $ (6,926,614) 86 School Fund School Fund Reduce Step Increase and Compensation Increase $ (19,532,825) 87 School Fund School Fund Reduce Salaries,Fringes,Operating Cost and 69.55 FTEs $ (4,492,077) (69.55) 88 School Fund School Fund Reduce Operating Cost $ (2,774,146) 89 School Fund School Transfer Reduce Transfer to School CIP $ (500,000) 90 School Capital Project Fund School Capital Project Fund Reduce Pay-as-you-go $ (500,000) 91 School Capital Project Fund School Pay-as-you-go Reduce CIP Project#1-107 Princess Anne High School Replacement $ (500,000) Total School Changes (27,824,623) (27,824,623) (69.55) 92 Sheriff SRF Sheriff SRF Reduce Revenue from a reduction in the General Fund Transfer (134,688) 93 Sheriff SRF Sheriff SRF Unfund PT Positions (134,688) (3.68) Total Sheriff Special Revenue Fund Changes (134,688) (134,688) (3.68) 94 P&R P&R Fund Reduce P&R Real Estate Dedication (209,990) 95 P&R P&R Fund Reduce P&R Reserves and Operating Account (209,990) 96 P&R P&R Fund COVID-19 Revenue Loss-Reduction of 17.42 FTEs,professional development,tr (1,451,152) (1,451,152) (17.42) Total P&R Special Revenue Fund Changes (1,661,142) (1,661,142) (17.42) 97 TIP TIP Fund Defund creation of 4 new positions and their related equipment for PW Beach $ (297,469) (4.00) 98 TIP TIP Fund Defund creation of 3 new positions and their related equipment for a CVB $ (305,403) (3.00) 99 TIP TIP Fund Reduce Reserve (1,432,048) 100 TIP TIP Fund Reduce TIP Transfer to CIP (300,000) 101 TIP TIP Fund Reduce Capital Replacement(Grinder) (200,000) 102 TIP TIP Fund Transfer to TAP Fund for Marketing 5,000,000 103 TIP TIP Fund Amusement (3,518,225) 104 TIP TIP Fund Hotel (5,847,827) 3 Attachment A:City Manager's Revised FY 2020-21 Operating Budget and CIP Operating Budget Changes: Fund Department Description Revenue ,,c;,,„App1bpiiattonS .„, FTE :.',` 105 TIP TIP Fund Restaurant (3,017,606) 106 TIP TIP Fund Increase use of Fund Balance 14,848,738 Total TIP Fund Changes 2,465,080 2,465,080 (7.00) 107 Sandbridge SSD Sandbridge SSD Hotel Tax (1,993,419) - 108 Sandbridge SSD Sandbridge SSD Reduce pay-as-you-go to CIP for 8-026(Coastal) (1,993,419) Total Sandbridge SSD Fund Changes (1,993,419) (1,993,419) - 109 ARP ARP Real Estate Revenue (54,371) 110 ARP ARP Reduce Reserves (2,655) 111 ARP ARP Reduce Treasury Strip Purchase (51,716) Total ARP Special Revenue Fund Changes (54,371) (54,371) - 112 TAP TAP Transfer from TIP Fund for Marketing 5,000,000 113 TAP TAP Hotel (2,211,352) 114 TAP TAP Restaurant (1,423,400) 115 TAP TAP Reduce Compensation Reserve for elimination of Salary Increases (32,297) 116 TAP TAP Reduce Convention Center Marketing (169,101) 117 TAP TAP Increase Marketing and Advertising efforts in response to COVID-19 $ 1,566,646 Total TAP Fund Changes 1,365,248 1,365,248 - 118 Open Space Open Space Restaurant (1,252,591) 119 Open Space Open Space Reduce pay-as-you-go to CIP for 4-306(P&R) (1,252,591) Total Open Space Fund Changes (1,252,591) (1,252,591) - 120 Capital Projects Fund General Fund Pay-go Reduce 540 Revenue(CIP 2-184)(Roadways) (500,000) (500,000) 121 Capital Projects Fund General Fund Pay-go Reduce 540 Revenue(CIP 3-135)(Buildings) (1,400,000) (1,400,000) 122 Capital Projects Fund General Fund Pay-go Reduce 540 Revenue (CIP 3-166)(Buildings) (300,000) (300,000) 123 Capital Projects Fund General Fund Pay-go Reduce 540 Revenue(CIP 3-183)(Buildings) (2,220,585) (2,220,585) 124 Capital Projects Fund General Fund Pay-go Reduce 540 Revenue(CIP 3-697)(IT) (1,000,000) (1,000,000) 125 Capital Projects Fund General Fund Pay-go Reduce 540 Revenue(CIP 9-063)(Econ and Tourism) (1,000,000) (1,000,000) 126 Capital Projects Fund General Fund Pay-go Reduce 540 Revenue(CIP for 9-081)(Econ and Tourism) (500,000) (500,000) 127 Capital Projects Fund TIP Pay-go Reduce540 Revenue from TIP Transfer for 9-073(E&T) (300,000) (300,000) 128 Capital Projects Fund Sandbridge SSD Pay-go Reduce 540 revenue(CIP 8-026)(Coastal) (1,993,419) (1,993,419) 129 Capital Projects Fund Open Space Pay-go Reduce 540 revenue(CIP 4-306)(P&R) (1,252,591) (1,252,591) Total Pay-go Reductions to Capital Project Fund (10,466,595) (10,466,595) - Total Gross Budget Changes (88,701,120) (88,701,120) (187.38) 4 Other Capital Project Changes: Attachment A:City Manager's Revised FY 2020-21 Operating Budget and CIP Appropriations Source Section Pro eU to Date(ATD) FY 21 FY 22 FY 23 FY 24 FY 25 FY 26 130 Schools Pay-go Years 2-6 Schools CIP 1-107"Princess Anne High School Replacement" - - (1,000,000) (1,500,000) (1,500,000) (1,500,000) (1,500,000) 131 Schools Reserve SRF Fund Balance Schools CIP 1-107"Princess Anne High School Replacement" - - (3,600,000) (3,700,000) (3,800,000) (3,900,000) (4,000,000) 132 GF Fund Balance Buildings and Assets 3-047"Landfill#2 Phase I Capping" - (6,242,000) - - - - - 133 GF Fund Balance Buildings and Assets 3-047"Landfill#2 Phase I Capping" - - 6,242,000 - - - - 134 GF Pay-go Buildings and Assets 3-135"Fire Apparatus IV" - - 1,400,000 - - - - 135 ATD Buildings and Assets 3-174"Operations Facilities Renovations" (10,000,000) - - - - - - 136 PFRB Buildings and Assets 3-174"Operations Facilities Renovations" - 10,000,000 - - - - - 137 Commonwealth Roadways 2-501"Nimmo Parkway Phase II-A" - (4,000,000) - - - - - 138 Commonwealth Roadways 2-088"West Neck Road Phase IV" - (6,000,000) - - - - - 139 ATD Roadways 2-501"Nimmo Parkway Phase II-A" 4,000,000.00 - - - - - - 140 ATD Roadways 2-088"West Neck Road Phase IV" 6,000,000.00 - - - - - - 141 Fund Balance Parks&Recreation 4-059"Southern Rivers Watershed Site Acquisition Program" - (5,222,694) - - - - - I I Total CIP Appropriation Changes: - - (11,464,694) 3,042,000 (5,200,000) (5,300,000) (5,400,000) (5,500,000) 5 Attachment B:City Council Final Amendments Item Fund Program Expenditure Revenue 1 General Fund Disparity Study Implementation $ 366,541 2 General Fund Publice Safety Workforce and Supervisory Pay $ 1,188,714 4 General Fund Personal Property Relief $ (60,000) 5 General Fund Wildfowl and Surf and Rescue Museum Funding $ 22,000 7 General Fund Four Human Resource positions $ 397,373 7 General Fund One Security Office position $ 64,504 8 General Fund African American Cultural Center $ 50,000 9 General Fund Reduce General Fund Fuel Budget $ (299,132) 10 General Fund VDOT Revenue $ 1,850,000 11 General Fund Water Assistance Program $ 1,600,000 11 General Fund Fund Balance $ 1,600,000 General Fund Negative Reserve-Position Cut Aprox.45 FTES $ (3,140,041) General Fund Transfer to Stormwater CIP $ 3,140,041 General Fund Transfer to Schools CIP $ 7,766,223 Establish Negative Vacancy Savings Reserve-Hiring General Fund Freeze $ (7,766,223) Total General Fund and School Changes $ 3,390,000 $ 3,390,000 11 Water and Sewer Fund Water Assistance Program $ 2,400,000 11 Water and Sewer Fund Fund Balance $ 2,400,000 $ 2,400,000 $ 2,400,000 Increase CIP Project#4-059 Southern Watershed 12 Capital Projects Fund Site Acq $ 2,000,000 12 Capital Projects Fund GF Fund Balance $ 2,000,000 $ 2,000,000 $ 2,000,000 Stormwater Fund Reduce Stormwater ERU Rate 3.5C $ (3,140,041) Stormwater Fund Reduce Transfer to CIP-Pay-as-you-go $ (3,140,041) $ (3,140,041) $ (3,140,041) Other CIP Changes Source Section Project FY 21 FY 22 FY 23 FY 24 FY 25 Pay-as-you-go(YR 2)Bonds(YR 3-5) Stormwater CIP Reduce CIP#7-415 Lake Management II $ - $ (1,640,041) $ (1,640,041) $ (1,640,041) $(1,640,041) Pay-as-you-go(YR 2)Bonds(YR 3-5) Stormwater CIP Reduce CIP#7-416 SW Infrastructure Rehabilitation&Imp.II $ - $ (750,000) $ (750,000) $ (750,000) $ (750,000) Pay-as-you-go(YR 2)Bonds(YR 3-5) Stormwater CIP Reduce CIP#7-023 Primary Systme Infrastructure Imp.II $ - $ (750,000) $ (750,000) $ (750,000) $ (750,000) General Fund pay-as-you-go School CIP Increase CIP#1-182 Renovations and Replacements-Various III $ 7,266,223 $ - $ - $ - $General Fund pay-as-you-go School CIP Increase CIP#1-107 Princess Anne High School Replacement $ 500,000 $ - $ - $ - $ - $ 7,766,223 $ (3,140,041) $ (3,140,041) $ (3,140,041) $(3,140,041) 16 ITEM III.A.1.a.1 ORDINANCES/RESOLUTION ITEM#70222 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: a. FY2020-2021 Operating Budget 1. Ordinance to APPROPRIATE$2,903,705,923 consisting of$590,252,110 in inter fund transfers, $227,393,881 for internal service funds and $2,086,059,932 for operations for Fiscal Year beginning July 1, 2020, and ending June 30, 2021 Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE MAKING APPROPRIATIONS FORTHE FISCALYEAR 2 BEGINNINGJULY1,2020 AND ENDINGJUNE30,2021FOR 3 OPERATIONS 4 WHEREAS,the City Manager has heretofore submitted an Annual Budget forthe City for the fiscal year beginnirg 5 July 1,204820 and ending June 30,20281 and it is necessary to appropriate sufficient funds to cover said budget; 6 7 NOW,THEREFORE,BE IT ORDAINED BYTHE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 8 9 Sec.1. That the amounts named aggregating$2,903,705,923 consisting of$590,252,110 in inter fund transfers, 10 $227,393,881 for internal service fu nds,and$2,086,059,932 for operations,are herebyappropriated subject to the 11 conditions hereinafter set forth for the use of departments,and designated funds of the City government,and for 12 the purposes hereinafter mentioned,as set forth in the Annual Operating Budget,which is hereby incorporated by 13 reference,for the fiscal year beginning July 1,204-920and endingJune 30,202Q1(hereinafter,the"Fiscal Year"),a 14 summary of which is attached to this ordinance as"Attachment A—Appropriations."The City Council elects to fund 15 the Virginia Beach City Public Schools by lump sum appropriation. 16 17 Sec.2. That in accordance with Section 5.04 of the City Charter,Estimated Revenue in Support of Appropriations 18 is set forth in said Annual Operating Budget,with a summary of Estimated Revenue in Support of Appropriations 19 attached to this ordinance as"Attachment B—Revenues." 20 21 Sec.3. With the exception of the funds under the control of the School Board,specifically the funds numbered 22 104,107,108,109,112,114,115,116,117,119,614,and 615(hereinafter referred to as"School Board Funds"),the 23 total number of full-time permanent positions shall be the maximum number of positions authorized for the various 24 departments of the City during the Fiscal Year,except for changes or additions authorized by the Council or as 25 hereinafter provided.The City Manager may from time to time increase or decrease the number of part-time or 26 temporary positions provided the aggregate amount expended for such services shall not exceed the respective 27 appropriations made therefore.The City Manager is further authorized to make such rearrangements of positions 28 within and between the departments as may best meet the needs and interests of the City, including changes 29 necessaryto implement the employee transition program. 30 31 Sec.4. To improve the effectiveness and efficiencies of the government in service delivery,the City Council hereby 32 authorizes the City Manager or his designee to transfer appropriated funds and existing positions throughout the 33 Fiscal Year as may be necessary to implement organizational adjustments that have been authorized by the City 34 Council.Unless otherwise directed by the City Council,such organizational adjustments shall be implemented on 35 such date or dates as the City Manager determines,in his discretion,to be necessary to guarantee a smooth and 36 orderly transition of existing organizational functions.The City Manager shall make a report each year to the City 37 Council identifying the status and progress of any such organizational adjustments. 38 39 Sec.5. All current and delinquent collections of local taxes shall be credited to the General Fund,Special Service 40 District Funds,Tax Increment Financing Fund or any fund to which City Council has,by ordinance,dedicated a tax 41 levy. 42 43 Sec.6. All balances of the appropriations payable out of each fund of the City Treasury at the close of the Fiscal 44 Year,unless otherwise provided for,are herebydeclared to be lapsed into the fund balance of the respective funds, 45 except all appropriations to School Board Funds derived from local public sources which shall lapse and revert to the 46 General Fund Balance, and may be used for the payment of the appropriations that may be made in the 47 appropriation ordinance forthe fiscal year beginningJulyl,201-920.Priorto the expenditure of anysums that have 48 lapsed to the fund balance of any fund,an appropriation by the City Councilshall be required. 49 50 Sec.7. All balances of appropriations in each fund which support authorized obligations or are encumbered at the 51 close of the business for the Fiscal Year,are hereby declared to be re-appropriated into the fiscal year beginningJuly 52 1,20201 and estimated revenuesadjusted accordingly. 53 54 Sec.8. All balances of appropriations and position authorizations attributable to grants or other similar funding 55 mechanism from state or federal sources and trust or gift funds,whose period of expenditure extends beyond the 56 fiscal year ending on June 30, 201920, are hereby declared to be re-appropriated and re-authorized into the Fiscal 57 Year, and estimated revenues adjusted accordingly. The close-out of any grant or similar funding mechanism shall 58 account for all expenditures in such grant,and provided there is any remaining balance in the grant,the portion of 59 the balance attributable to local sources shall revert to the General Fund,special revenue fund, or enterprise fund 60 that provided the local contribution. 61 62 Sec.9. No department or agency for which appropriations are made under the provisions of this ordinance shall 63 exceed the amount of such appropriations except with the consent and approval of the City Council first being 64 obtained. It is expressly provided that the restrictions with respect to the expenditure of the funds appropriated 65 shall apply only to the totals for each Appropriation Unit included in this ordinance and does not apply to Inter-fund 66 Transfers. 67 68 Sec.10. The City Manager or the Director of Budget and Management Services is hereby authorized to approve 69 transfers of appropriations in an amount up to$100,000 between any Appropriation Units included in this ordinance 70 through the accrual period.The City Manager shall make a monthly report to the City Council of all transfers between 71 $25,000 and $100,000. In addition, the City Manager may transfer, in amounts necessary, appropriations from all 72 Reserves for Contingencies except Reserve for Contingencies—Regular,within the intent of the Reserve as approved 73 by City Council. 74 75 Sec.11. The City Manager or the Director of Budget and Management Services is hereby authorized to establish and 76 administer budgeting within Appropriation Units consistent with best management practices, reporting 77 requirements, and the programs and services adopted by the City Council. Consistent with best management 78 practices, the City utilizes a modified accrual system of accounting. Revenues are considered available when 79 collectible either during the current period or after the end of the current period, but in time to pay year-end 80 liabilities. Expenditures are recognized when a transaction or event is expected to draw upon current spendable 81 resources rather than future resources. In practical effect,the modified accrual system allows a window of 45 days 82 wherein the City may accrue back to the immediately preceding fiscal year revenues and expenditures. The City 83 Manager or the Director of Budget and Management Services is further authorized to establish administrative 84 directives to provide additional management oversight and control to ensure the integrity of the City's budget. 85 86 Sec.12. The City Manager or the Director of Budget and Management Services is hereby authorized to change the 87 Estimated Revenues included in this ordinance to reflect expected collections. If the Estimated Revenue in support 88 of an Operating Appropriation Unit declines,the City Manager or the Director of Budget and Management Services 89 is hereby authorized to reduce, subject to any other provision of law, those appropriations to equal the decline in 90 Estimated Revenue. The City Manager shall give prior notice to the City Council of any reduction to total 91 appropriations exceeding $100,000. The notice to City Council shall identify the basis and amount of the 92 appropriation reduction and the Appropriation Units affected.The accounting records of the City will be maintained 93 in a manner that the total of Estimated Revenue is equal to the total of the Appropriation Units for each of the City's 94 funds. The City Manager or the Director of Budget and Management Services is hereby authorized to transfer any 95 excess appropriations to the Reserve for Contingencies after all anticipated expenditures for which those funds were 96 appropriated have been incurred. Nothing in this section shall be construed as authorizing any reduction to be made 97 in the amount appropriated in this ordinance for the payment of interest or principal on the bonded debt of the City 98 Government. 99 100 Sec.13. The Department of Economic Development is hereby authorized to pay an amount up to$1,000,000 from 101 their FY 20-1920-281 Operating Budget to the City of Virginia Beach Economic Development Authority, for the 102 purpose of pursuing, implementing, and furthering initiatives recommended by the Bio-medical Task Force. The 103 Department of Economic Development is hereby authorized to pay an amount up to$100,000 from its FY 2020-21 104 Operating Budget to the City of Virginia Beach Development Authority, for the purpose of implementing a District 105 Improvement Plan. 106 Sec. 14. Allowances made from the appropriations made in this ordinance by any or all of the City departments, 107 bureaus,or agencies,to any of their officers and employees for expenses on account of the use by such officers and 108 employees of their personal automobiles in the discharge of their official duties shall follow the Internal Revenue 109 Service standard mileage rates used to calculate the deductible costs of operating an automobile for business, 110 charitable, medical or moving purposes. 111 112 Sec. 15. In the event of an emergency and under emergency circumstances wherein the City Council cannot 113 reasonably hold a meeting, the City Manager is authorized to transfer and expend appropriated sums from any 114 budget account to ensure that the emergency is handled as efficiently and expeditiously as possible. Immediately 115 following the expenditure of funds under this provision, and as soon as the City Council can reasonably meet under 116 the existing circumstances, the City Manager shall notify the City Council of the reason for such action, how funds 117 were expended,and present to the City Council for adoption an emergency appropriations ordinance that sets forth 118 what measures are required to ensure that funds are forthwith restored to the appropriate accounts and that the 119 budget is balanced at the end of the fiscal year in which the emergency expenditures occurred. 120 121 An emergency is defined for the purposes of this provision as an event that could not have been reasonably foreseen 122 at the time of the adoption of the budget,and in which(i)an immediate threat to the public health,safety or welfare 123 is involved,such as clean-up after a hurricane,and/or(ii) immediate action is required to protect or preserve public 124 properties. 125 126 Sec. 16. All travel expense accounts shall be submitted on forms approved by the Director of Finance and according 127 to regulations approved by the City Council. Each account shall show the dates expenses were incurred or paid; 128 number of miles traveled; method of travel;hotel expenses; meals;and incidental expenses.The Director of Finance 129 is specifically directed to withhold the issuance of checks in the event expense accounts are submitted for "lump- 130 sum" amounts. 131 132 Sec. 17. A salary increase of 3%on the pay date containing July 1, 2019 for part time City employees and part time 133 employees of the Constitutional Officers is hereby provided. 134 135 ° 136 provided. 137 138 Sec. 19. A 3% merit pay increase is hereby authorized for full time City employees with a performance feedback 139 140 pay increase of 1% will be provided for newly hired probationary employees with a 2% merit pay increase being 141 provided on their anniversary date with a performance feedback completed from July 1, 2018 to June 30, 2019 that 142 indicates overall performance meets expectations. All merit pay increases authorized by this section shall be 143 144 pay range. Notwithstanding policy or administrative directive addressing bonus providing otherwise,for employees 145 who arc at or above the maximum of the pay range for their position classification with a meet expectations 146 performance feedback completed from July 1,2018 to June 30,2019,a lump sum bonus equal to 3%of the midpoint 147 for their position classification following a payment schedule that pays one half of the pay date containing July 1, 148 2019 and the second half paid on the pay date containing January 1, 2020 in lieu of the merit increase. For 149 employees,who as a result of all,or a portion,of the 3%merit increase authorized above,will exceed the maximum 150 of the pay range for their classification, they shall receive the portion of the merit pay equal to the difference 151 between the maximum of the pay range and their current salary. Any amount in excess of the difference between 152 the 3%merit and the maximum of the position classification shall be paid in the form of a lump sum bonus,following 153 the prescribed payment schedule. Notwithstanding the timing provisions provided by City Code§§2 109 and 2 116, 154 the merit pay incr ase authorized by this section shall be provided on the pay date containing July 1, 2019 or a 155 subsequent date for newly hired employees,who between June 21,2018_and June 230,2019 successfully completed 156 their probation period. The other requirements provided by City Code §§ 2 109 and 2 116 apply. To ensure 157 accountability,the failure of a supervisor responsible for preparing the performance feedback,to complete the same 158 prior to July 1, 2019 shall result in the supervisor and employee(s)merit pay incr ase being delayed until such time 159 as thc performance feedback is completed. In those cases, the merit pay increase will be retroactive upon 160 completion of the performance feedback for both the supervisor responsible for completing the performance 161 feedback and the employee(s).This section shall also apply to the full time employees of the Constitutional Officers. 162 Any additional stipends, special pay, or executive entitlement pay to employees appointed by the City Council and 163 subject to City Code§2 89 or Constitutional Officers must be approved by a separate action of the City Council. 164 165 Sec. 20. An amount of up to $5,110,801 in attrition savings is hereby used to balance the FY 2019 20 budget. To 166 accomplish this purpose,the City Manager or his designee is hereby authorized to transfer savings in salary or fringe 167 benefit accounts among departments up to $5,110,801 notwithstanding other budgetary controls outlined in thc 168 ordinance. 169 170 Sec.17 24. To ensure proper allocation of health insurance,the City Manager is hereby authorized to transfer health 171 insurance between departments,in any amount notwithstanding other budgetary controls outlined in the ordinance 172 up to the total amount budgeted for health insurance,to ensure health insurance cost align with actual expenditure. 173 174 Sec. 18 2,a. The City Council hereby increases the appropriation from the Town Center Special Service District, for 175 entertainment events within the SSD and paid wholly from SSD levies, to $250,000 and authorizes the amendment 176 of the agreement,previously approved by the Council,between the City and the Central Business District Association 177 to reflect this increase. By resolution adopted by the School Board on April 9, 2019, the School Board reduced 178 $655,372 in the School Operating Fund (115). There was also a state reduction in the amount of$227,736 in the 179 Categorical Grants Fund(116),which was not reflected in the April 9,2019. To balance the Categorical Grants Fund, 180 the funding for the Categorical Grants F the everal-1 fig far the 11-6 Fund as requested by the 181 School Board, and it reflects the reduction of funding by the state of$227,738 that is offset by a similar amount of 182 local funding. 183 184 Sec. 19.Any fund identified by number herein may be reassigned a new or alternative number as part of the City's 185 Enterprise Resource Planning (ERP) System implementation. In furtherance of such implementation, the number 186 stated in this ordinance shall mean any successor fund as assigned in the new ERP. The City Manager shall provide 187 the City Council with a crosswalk of fund number changes within 30 days of completion of the ERP implementation. 188 189 Sec. 204. Violation of this ordinance may result in disciplinary action by the City Manager against the person or 190 persons responsible for the management of the Appropriation Unit in which the violation occurred. 191 192 Sec. 214.This ordinance shall be effective on July 1, 204320. The portion of Sections 17, 18, and 19 addressing the 193 payroll period that crosses fiscal years shall be effective June 20, 2019.Section 21 shall be effective immediately. 194 195 Sec.226. If any part of this ordinance is for any reason declared to be unconstitutional or invalid,such decision shall 196 not affect the validity of the remaining parts of this ordinance. 197 198 Requires an affirmative vote by a majority of all of the members of City Council. 199 200 Adopted by the Council of the City of Virginia Beach,Virginia, on the 1 2Idtly of May, 2020. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: f f Budget and Management Services C-itq-At rn 's Office City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment A-Appropriations FY 2020-21 Proposed 002 General Fund Agriculture 951,469 Benefits Administration 735,538 Board of Equalization 2,920 Budget and Management Services 1,442,342 Circuit Court 1,187,255 City Attorney 4,714,680 City Auditor 909,398 City Clerk 588,615 City Manager 2,817,657 City Real Estate Assessor 3,266,458 City Treasurer 6,405,639 Clerk of the Circuit Court 3,869,773 Commissioner of the Revenue 5,049,728 Commonwealth's Attorney 9,585,555 Communications Office 1,869,170 Community Organization Grants 499,701 Computer Replacement Program 1,728,171 Convention and Visitor Bureau 10,137,888 Cultural Affairs 3,074,433 Debt Service 58,848,123 Economic Development 6,249,663 Emergency Communications and Citizen Services 11,399,459 Emergency Management 744,194 Emergency Medical Services 13,273,378 Employee Special Benefits 8,012,920 Finance 7,355,217 Fire 57,356,804 General -10,906,264 General District Court 464,441 Health 3,690,510 Housing and Neighborhood Preservation 6,441,849 Human Resources 5,745,677 Human Services 126,606,177 Independent Financial Services 164,999 Information Technology 28,233,244 Juvenile and Domestic Relations District Court 177,254 Juvenile Probation 1,512,010 Leases 5,404,389 Library 18,618,978 Magistrates 53,761 Municipal Council 663,242 Parks and Recreation 15,353,699 Planning 17,504,120 Police 106,129,479 Public Works 86,765,170 Regional Participation 2,877,438 Reserve for Contingencies 5,689,582 Revenue Reimbursements 12,634,917 Strategy,Transparency, Innovation&Resiliency Office 633,311 Transfer to Other Funds 509,526,123 Vehicle Replacements 4,357,514 Virginia Aquarium 11,836,563 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment A-Appropriations FY 2020-21 Proposed Voter Registration& Elections 2,236,574 Fund 002 Appropriation Totals 1,184,490,905 098 School Reserve Special Revenue Fund Transfer to Other Funds 5,800,000 Fund 098 Appropriation Totals 5,800,000 104 Green Run Collegiate Charter School Education 4,076,486 Fund 104 Appropriation Totals 4,076,486 107 School Equipment Replacement Special Revenue Fund Reserve for Contingencies 1,051,000 Fund 107 Appropriation Totals 1,051,000 108 School Instructional Technology Fund Instructional Technology 698,000 Fund 108 Appropriation Totals 698,000 109 School Vending Operations Fund Vending 155,000 Fund 109 Appropriation Totals 155,000 112 School Communication Tower Technology Fund Instructional Technology 800,000 Fund 112 Appropriation Totals 800,000 114 School Cafeteria Fund Cafeteria 37,540,299 Fund 114 Appropriation Totals 37,540,299 115 School Operating Fund Debt Service 47,873,917 Education 778,232,113 Transfer to Other Funds 13,367,869 Fund 115 Appropriation Totals 839,473,899 116 School Grants Fund Grants 69,463,311 Fund 116 Appropriation Totals 69,463,311 117 School Textbook Fund Textbook 4,411,338 Fund 117 Appropriation Totals 4,411,338 119 School Athletic Special Revenue Fund Athletic 5,478,274 Fund 119 Appropriation Totals 5,478,274 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment A-Appropriations FY 2020-21 Proposed 130 Law Library Fund Library 214,578 Reserve for Contingencies 2,422 Transfer to Other Funds 40,000 Fund 130 Appropriation Totals 257,000 140 Commonwealth Attorney's Fed & State Seized Assets SRF Commonwealth's Attorney 100,000 Fund 140 Appropriation Totals 100,000 146 State Rental Assistance Program Housing and Neighborhood Preservation 1,119,079 Reserve for Contingencies 113,153 Fund 146 Appropriation Totals 1,232,232 147 Federal Section 8 Program Special Revenue Fund Housing and Neighborhood Preservation 22,821,161 Reserve for Contingencies 19,028 Fund 147 Appropriation Totals 22,840,189 149 Sheriff's Department Special Revenue Fund Sheriff and Corrections 50,832,987 Fund 149 Appropriation Totals 50,832,987 151 Parks and Recreation Special Revenue Fund Debt Service 4,094,553 Parks and Recreation 34,042,954 Public Works 3,253,602 Reserve for Contingencies 575,554 Transfer to Other Funds 1,535,493 Fund 151 Appropriation Totals 43,502,156 152 Tourism Investment Program Fund Convention and Visitor Bureau 5,418,659 Cultural Affairs 355,500 Debt Service 27,594,100 Parks and Recreation 895,740 Planning 1,271,290 Public Works 3,423,004 Reserve for Contingencies 750,000 Transfer to Other Funds 5,977,933 Fund 152 Appropriation Totals 45,686,226 157 Sandbridge Special Service District Spec Rev Fd Public Works 476,507 Reserve for Contingencies 1,524 Transfer to Other Funds 2,582,922 Fund 157 Appropriation Totals 3,060,953 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment A-Appropriations FY 2020-21 Proposed 161 Agriculture Reserve Program Special Revenue Fund Agriculture 228,765 Debt Service 4,904,488 Transfer to Other Funds 990,000 Fund 161 Appropriation Totals 6,123,253 163 Tourism Advertising Program Special Revenue Fund Convention and Visitor Bureau 14,641,999 Transfer to Other Funds 56,838 Fund 163 Appropriation Totals 14,698,837 169 Central Business District-South TIF (Twn Cntr) Fd Debt Service 8,315,029 Reserve for Contingencies 876,606 Transfer to Other Funds 150,000 Fund 169 Appropriation Totals 9,341,635 172 Open Space & Park Infrastructure Development & Maintenance SRF Debt Service 2,430,792 Parks and Recreation 414,148 Reserve for Contingencies 553,280 Transfer to Other Funds 1,247,409 Fund 172 Appropriation Totals 4,645,629 174 Town Center Special Service District Parks and Recreation 62,438 Town Center Special Tax District 2,403,819 Transfer to Other Funds 634,226 Fund 174 Appropriation Totals 3,100,483 180 Community Development Special Revenue Fund Housing and Neighborhood Preservation 2,571,196 Reserve for Contingencies 23,559 Transfer to Other Funds 128,858 Fund 180 Appropriation Totals 2,723,613 182 Federal Housing Assistance Grant Fund Housing and Neighborhood Preservation 1,170,202 Reserve for Contingencies 1,198 Fund 182 Appropriation Totals 1,171,400 183 Grants Consolidated Fund Commonwealth's Attorney 948,410 Emergency Communications and Citizen Services 3,000 Emergency Medical Services 375,000 Fire 1,600,293 Housing and Neighborhood Preservation 2,155,401 Human Services 2,924,392 Public Works 20,000 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment A-Appropriations FY 2020-21 Proposed Transfer to Other Funds 300,000 Fund 183 Appropriation Totals 8,326,496 241 Water and Sewer Fund Debt Service 21,794,676 Public Utilities 95,700,319 Reserve for Contingencies 1,784,587 Transfer to Other Funds 18,001,286 Fund 241 Appropriation Totals 137,280,868 253 Parking Enterprise Fund Debt Service 526,861 Planning 3,994,373 Reserve for Contingencies 446,323 Transfer to Other Funds 863,651 Fund 253 Appropriation Totals 5,831,208 254 Waste Management Enterprise Fund Public Works 36,055,371 Reserve for Contingencies 132,888 Transfer to Other Funds 2,900,854 Fund 254 Appropriation Totals 39,089,113 255 Storm Water Utility Enterprise Fund Debt Service 5,500,000 Public Works 14,683,598 Reserve for Contingencies 719,955 Transfer to Other Funds 25,388,608 Fund 255 Appropriation Totals 46,292,161 310 Old Donation Creek Area Dredging SSD Reserve for Contingencies 70,359 Fund 310 Appropriation Totals 70,359 311 Bayville Creek Neighborhood Dredging SSD Fund Reserve for Contingencies 32,583 Transfer to Other Funds 39,797 Fund 311 Appropriation Totals 72,380 312 Shadowlawn Area Dredging SSD Transfer to Other Funds 32,336 Fund 312 Appropriation Totals 32,336 313 Chesopeian Colony Dredging SSD Transfer to Other Funds 420,514 Fund 313 Appropriation Totals 420,514 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment A-Appropriations FY 2020-21 Proposed 314 Harbour Point Dredging SSD Transfer to Other Funds 26,659 Fund 314 Appropriation Totals 26,659 315 Gills Cove Dredging SSD Transfer to Other Funds 27,610 Fund 315 Appropriation Totals 27,610 316 Hurds Cove Dredging SSD Transfer to Other Funds 213,124 Fund 316 Appropriation Totals 213,124 317 Schilling Point Dredging SSD Fund Reserve for Contingencies 39,316 Fund 317 Appropriation Totals 39,316 460 School General Revenue Capital Projects Fund School Capital Projects 7,766,223 Fund 460 Appropriation Totals 7,766,223 540 General Government Capital Projects Fund Building Capital Projects 3,334,458 Coastal Capital Projects 2,582,922 Economic and Tourism Development Capital Projects 5,177,041 Information Technology Projects 13,354,342 Parks and Recreation Capital Projects 5,935,515 Roadways Capital Projects 2,850,335 Fund 540 Appropriation Totals 33,234,613 541 Water and Sewer Capital Projects Fund Water and Sewer Capital Projects 8,000,000 Fund 541 Appropriation Totals 8,000,000 555 Storm Water Capital Projects Fund Storm Water Capital Projects 26,581,818 Fund 555 Appropriation Totals 26,581,818 606 City Garage Internal Service Fund Public Works 15,562,554 Reserve for Contingencies 39,310 Fund 606 Appropriation Totals 15,601,864 607 Risk Management Internal Service Fund Finance 17,201,002 Reserve for Contingencies 6,905 Fund 607 Appropriation Totals 17,207,907 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment A-Appropriations FY 2020-21 Proposed 613 School Landscaping Internal Service Fund Parks and Recreation 4,951,314 Fund 613 Appropriation Totals 4,951,314 614 School Risk Management Fund School Risk Management 10,170,228 Fund 614 Appropriation Totals 10,170,228 615 City and School Health Insurance Fund City and School Health Insurance 164,967,879 Fund 615 Appropriation Totals 164,967,879 616 Fuels Internal Service Fund Public Works 6,257,801 Fund 616 Appropriation Totals 6,257,801 620 Telecommunications Internal Service Fund Information Technology 3,152,115 Reserve for Contingencies 24,514 Fund 620 Appropriation Totals 3,176,629 621 Subscriptions Internal Service Fund Information Technology 4,783,295 Reserve for Contingencies 276,964 Fund 621 Appropriation Totals 5,060,259 908 City Beautification Fund Parks and Recreation 50,000 Fund 908 Appropriation Totals 50,000 909 Library Gift Fund Library 95,000 Fund 909 Appropriation Totals 95,000 910 Parking Meters - Homeless Donation Fund Housing and Neighborhood Preservation 1,000 Fund 910 Appropriation Totals 1,000 911 Parks and Recreation Gift Fund Parks and Recreation 55,000 Fund 911 Appropriation Totals 55,000 916 Social Services Gift Fund Human Services 51,139 Fund 916 Appropriation Totals 51,139 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment A-Appropriations FY 2020-21 Proposed Total Budget Appropriations 2,903,705,923 Less Internal Service Funds 227,393,881 Less Interfund Transfers 590,252,110 NET BUDGET APPROPRIATIONS 2,086,059,932 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment B- Revenue FY 2020-21 Proposed 002 General Fund Revenue From Local Sources Automobile License 11,578,052 Business License 46,289,549 Charges for Services 39,249,506 Cigarette Tax 9,043,505 Fines and Forfeitures 4,482,149 From the Use of Money and Property 7,445,508 General Sales Tax 63,159,899 Hotel Room Tax 5,799,968 Miscellaneous Revenue 7,189,722 Other Taxes 10,973,548 Permits, Privilege Fees,and Regulatory Licenses 5,614,751 Personal Property 158,153,731 Real Estate 580,989,105 Restaurant Meal Tax 37,028,864 Utility Tax 45,760,883 Revenue from the Commonwealth Other Sources from the Commonwealth 108,424,505 Revenue from the Federal Government 22,960,050 Specific Fund Reserves 4,664,456 Transfers from Other Funds 15,683,154 Fund 002 Revenue Totals 1,184,490,905 098 School Reserve Special Revenue Fund Specific Fund Reserves 5,800,000 Fund 098 Revenue Totals 5,800,000 104 Green Run Collegiate Charter School Transfers from Other Funds 4,076,486 Fund 104 Revenue Totals 4,076,486 107 School Equipment Replacement Special Revenue Fund Specific Fund Reserves 1,051,000 Fund 107 Revenue Totals 1,051,000 108 School Instructional Technology Fund Specific Fund Reserves 698,000 Fund 108 Revenue Totals 698,000 109 School Vending Operations Fund Revenue From Local Sources Miscellaneous Revenue 149,000 Specific Fund Reserves 6,000 Fund 109 Revenue Totals 155,000 112 School Communication Tower Technology Fund Revenue From Local Sources From the Use of Money and Property 516,000 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment B- Revenue FY 2020-21 Proposed 112 School Communication Tower Technology Fund Specific Fund Reserves 284,000 Fund 112 Revenue Totals 800,000 114 School Cafeteria Fund Revenue From Local Sources Charges for Services 11,183,378 From the Use of Money and Property 200,000 Miscellaneous Revenue 650,000 Revenue from the Commonwealth Other Sources from the Commonwealth 605,000 Revenue from the Federal Government 19,930,588 Specific Fund Reserves 4,971,333 Fund 114 Revenue Totals 37,540,299 115 School Operating Fund Revenue From Local Sources Charges for Services 2,366,638 Fines and Forfeitures 300,000 From the Use of Money and Property 465,000 Miscellaneous Revenue 836,703 Revenue from the Commonwealth Other Sources from the Commonwealth 297,791,599 State Shared Sales Tax 79,209,739 Revenue from the Federal Government 13,743,589 Transfers from Other Funds 444,760,631 Fund 115 Revenue Totals 839,473,899 116 School Grants Fund Revenue From Local Sources Charges for Services 7,200,000 Miscellaneous Revenue 399,890 Revenue from the Commonwealth Other Sources from the Commonwealth 17,093,915 Revenue from the Federal Government 40,452,397 Transfers from Other Funds 4,317,109 Fund 116 Revenue Totals 69,463,311 117 School Textbook Fund Revenue From Local Sources From the Use of Money and Property 29,483 Miscellaneous Revenue 27,000 Revenue from the Commonwealth Other Sources from the Commonwealth 4,239,053 Specific Fund Reserves 115,802 Fund 117 Revenue Totals 4,411,338 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment B - Revenue FY 2020-21 Proposed 119 School Athletic Special Revenue Fund Revenue From Local Sources Charges for Services 499,000 From the Use of Money and Property 5,000 Transfers from Other Funds 4,974,274 Fund 119 Revenue Totals 5,478,274 130 Law Library Fund Revenue From Local Sources Charges for Services 255,000 From the Use of Money and Property 1,650 Miscellaneous Revenue 350 Fund 130 Revenue Totals 257,000 140 Commonwealth Attorney's Fed & State Seized Assets SRF Specific Fund Reserves 100,000 Fund 140 Revenue Totals 100,000 146 State Rental Assistance Program Revenue from the Commonwealth Other Sources from the Commonwealth 1,232,232 Fund 146 Revenue Totals 1,232,232 147 Federal Section 8 Program Special Revenue Fund Revenue From Local Sources Charges for Services 3,564,880 Miscellaneous Revenue 9,000 Revenue from the Federal Government 19,186,309 Transfers from Other Funds 80,000 Fund 147 Revenue Totals 22,840,189 149 Sheriff's Department Special Revenue Fund Revenue From Local Sources Charges for Services 5,280,608 From the Use of Money and Property 14,000 Miscellaneous Revenue 3,000 Revenue from the Commonwealth Other Sources from the Commonwealth 20,085,626 Revenue from the Federal Government 150,000 Transfers from Other Funds 25,299,753 Fund 149 Revenue Totals 50,832,987 151 Parks and Recreation Special Revenue Fund Revenue From Local Sources Charges for Services 14,583,934 From the Use of Money and Property 1,507,797 Miscellaneous Revenue 400 Permits, Privilege Fees,and Regulatory Licenses 1,250 Real Estate 20,691,331 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment B - Revenue FY 2020-21 Proposed 151 Parks and Recreation Special Revenue Fund Revenue from the Commonwealth Other Sources from the Commonwealth 11,000 Transfers from Other Funds 6,706,444 Fund 151 Revenue Totals 43,502,156 152 Tourism Investment Program Fund Revenue From Local Sources Amusement Tax 3,705,707 Charges for Services 3,500 Cigarette Tax 645,965 From the Use of Money and Property 884,087 Hotel Room Tax 14,090,858 Miscellaneous Revenue 4,850 Permits, Privilege Fees,and Regulatory Licenses 310,780 Restaurant Meal Tax 11,191,741 Specific Fund Reserves 14,848,738 Fund 152 Revenue Totals 45,686,226 157 Sandbridge Special Service District Spec Rev Fd Revenue From Local Sources From the Use of Money and Property 3,017 Hotel Room Tax 2,473,912 Real Estate 519,024 Transfers from Other Funds 65,000 Fund 157 Revenue Totals 3,060,953 161 Agriculture Reserve Program Special Revenue Fund Revenue From Local Sources From the Use of Money and Property 107,579 Real Estate 5,357,364 Specific Fund Reserves 658,310 Fund 161 Revenue Totals 6,123,253 163 Tourism Advertising Program Special Revenue Fund Revenue From Local Sources Charges for Services 12,500 From the Use of Money and Property 77,100 Hotel Room Tax 4,323,115 Miscellaneous Revenue 7,000 Restaurant Meal Tax 5,279,122 Transfers from Other Funds 5,000,000 Fund 163 Revenue Totals 14,698,837 169 Central Business District-South TIF (Twn Cntr) Fd Revenue From Local Sources From the Use of Money and Property 2,000 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment B- Revenue FY 2020-21 Proposed 169 Central Business District-South TIF(Twn Cntr) Fd Revenue From Local Sources Hotel Room Tax 500,000 Real Estate 8,839,635 Fund 169 Revenue Totals 9,341,635 172 Open Space & Park Infrastructure Development & Maintenance SRF Revenue From Local Sources Restaurant Meal Tax 4,645,629 Fund 172 Revenue Totals 4,645,629 174 Town Center Special Service District Revenue From Local Sources Charges for Services 24,300 Fines and Forfeitures 170,000 From the Use of Money and Property 365,500 Real Estate 2,390,683 Transfers from Other Funds 150,000 Fund 174 Revenue Totals 3,100,483 180 Community Development Special Revenue Fund Non-Revenue Receipts 100,000 Revenue from the Federal Government 2,056,051 Transfers from Other Funds 567,562 Fund 180 Revenue Totals 2,723,613 182 Federal Housing Assistance Grant Fund Non-Revenue Receipts 100,000 Revenue from the Federal Government 1,071,400 Fund 182 Revenue Totals 1,171,400 183 Grants Consolidated Fund Revenue from the Commonwealth Other Sources from the Commonwealth 4,388,825 Revenue from the Federal Government 2,909,855 Transfers from Other Funds 1,027,816 Fund 183 Revenue Totals 8,326,496 241 Water and Sewer Fund Non-Revenue Receipts 3,263,747 Revenue From Local Sources Charges for Services 127,462,084 From the Use of Money and Property 819,694 Miscellaneous Revenue 528,352 Revenue from the Federal Government 914,264 Specific Fund Reserves 2,400,000 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment B- Revenue FY 2020-21 Proposed 241 Water and Sewer Fund Transfers from Other Funds 1,892,727 Fund 241 Revenue Totals 137,280,868 253 Parking Enterprise Fund Revenue From Local Sources Charges for Services 5,018,808 Fines and Forfeitures 628,900 From the Use of Money and Property 80,000 Permits, Privilege Fees,and Regulatory Licenses 35,000 Transfers from Other Funds 68,500 Fund 253 Revenue Totals 5,831,208 254 Waste Management Enterprise Fund Revenue From Local Sources Charges for Services 37,573,107 From the Use of Money and Property 225,000 Miscellaneous Revenue 711,006 Permits, Privilege Fees, and Regulatory Licenses 130,000 Revenue from the Commonwealth Other Sources from the Commonwealth 50,000 Specific Fund Reserves 400,000 Fund 254 Revenue Totals 39,089,113 255 Storm Water Utility Enterprise Fund Revenue From Local Sources Charges for Services 45,464,564 From the Use of Money and Property 500,000 Miscellaneous Revenue 60,000 Revenue from the Federal Government 267,597 Fund 255 Revenue Totals 46,292,161 310 Old Donation Creek Area Dredging SSD Revenue From Local Sources Real Estate 70,359 Fund 310 Revenue Totals 70,359 311 Bayville Creek Neighborhood Dredging SSD Fund Revenue From Local Sources Real Estate 72,380 Fund 311 Revenue Totals 72,380 312 Shadowlawn Area Dredging SSD Revenue From Local Sources Real Estate 31,025 Specific Fund Reserves 1,311 Fund 312 Revenue Totals 32,336 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment B - Revenue FY 2020-21 Proposed 313 Chesopeian Colony Dredging SSD Revenue From Local Sources Real Estate 203,021 Specific Fund Reserves 217,493 Fund 313 Revenue Totals 420,514 314 Harbour Point Dredging SSD Revenue From Local Sources Real Estate 26,659 Fund 314 Revenue Totals 26,659 315 Gills Cove Dredging SSD Revenue From Local Sources Real Estate 13,624 Specific Fund Reserves 13,986 Fund 315 Revenue Totals 27,610 316 Hurds Cove Dredging SSD Revenue From Local Sources Real Estate 213,124 Fund 316 Revenue Totals 213,124 317 Schilling Point Dredging SSD Fund Revenue From Local Sources Real Estate 39,316 Fund 317 Revenue Totals 39,316 460 School General Revenue Capital Projects Fund Transfers from Other Funds 7,766,223 Fund 460 Revenue Totals 7,766,223 540 General Government Capital Projects Fund Transfers from Other Funds 33,234,613 Fund 540 Revenue Totals 33,234,613 541 Water and Sewer Capital Projects Fund Transfers from Other Funds 8,000,000 Fund 541 Revenue Totals 8,000,000 555 Storm Water Capital Projects Fund Transfers from Other Funds 26,581,818 Fund 555 Revenue Totals 26,581,818 606 City Garage Internal Service Fund Revenue From Local Sources Charges for Services 15,445,864 From the Use of Money and Property 36,000 Miscellaneous Revenue 120,000 Fund 606 Revenue Totals 15,601,864 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment B- Revenue FY 2020-21 Proposed 607 Risk Management Internal Service Fund Revenue From Local Sources Charges for Services 16,861,086 From the Use of Money and Property 248,259 Specific Fund Reserves 98,562 Fund 607 Revenue Totals 17,207,907 613 School Landscaping Internal Service Fund Revenue From Local Sources Charges for Services 4,951,314 Fund 613 Revenue Totals 4,951,314 614 School Risk Management Fund Revenue From Local Sources Charges for Services 6,805,724 Specific Fund Reserves 3,364,504 Fund 614 Revenue Totals 10,170,228 615 City and School Health Insurance Fund Revenue From Local Sources Miscellaneous Revenue 155,971,012 Permits, Privilege Fees,and Regulatory Licenses 339,360 Specific Fund Reserves 8,657,507 Fund 615 Revenue Totals 164,967,879 616 Fuels Internal Service Fund Revenue From Local Sources Charges for Services 5,680,801 From the Use of Money and Property 50,000 Specific Fund Reserves 527,000 Fund 616 Revenue Totals 6,257,801 620 Telecommunications Internal Service Fund Revenue From Local Sources Charges for Services 3,083,787 From the Use of Money and Property 15,000 Specific Fund Reserves 77,842 Fund 620 Revenue Totals 3,176,629 621 Subscriptions Internal Service Fund Revenue From Local Sources Charges for Services 3,717,407 From the Use of Money and Property 30,425 Specific Fund Reserves 1,312,427 Fund 621 Revenue Totals 5,060,259 City of Virginia Beach, Virginia Fiscal Year 2020-2021 Budget Ordinance Attachment B- Revenue FY 2020-21 Proposed 908 City Beautification Fund Revenue From Local Sources Miscellaneous Revenue 50,000 Fund 908 Revenue Totals 50,000 909 Library Gift Fund Revenue From Local Sources Miscellaneous Revenue 95,000 Fund 909 Revenue Totals 95,000 910 Parking Meters - Homeless Donation Fund Revenue From Local Sources Miscellaneous Revenue 1,000 Fund 910 Revenue Totals 1,000 911 Parks and Recreation Gift Fund Revenue From Local Sources Miscellaneous Revenue 55,000 Fund 911 Revenue Totals 55,000 916 Social Services Gift Fund Specific Fund Reserves 51,139 Fund 916 Revenue Totals 51,139 Total Budget Revenues 2.903.705.923 Less Internal Service Funds 227,393,881 Less Interfund Transfers 590,252,110 NET BUDGET REVENUES 2,086,059,932 17 ITEMIII.A.1.a.2 ORDINANCES/RESOLUTION ITEM#70223 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: a. FY2020-2021 Operating Budget 2. Ordinance to ESTABLISH the Tax Levy of One Dollar and one and seventy- five hundredths of a cent ($1.0175) on each one-hundred dollars ($100) assessed valuation on Real Estate for FY 2021 Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE ESTABLISHING THE TAX LEVY ON REAL ESTATE FOR 2 FISCAL YEAR 2021 3 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 4 5 Sec.1. Amount of Levy on Real Estate. 6 There shall be levied and collected for fiscal year 20201 taxes for general purposes on all real estate, 7 including all separate classifications of real estate set forth in the Code of Virginia,not exempt from taxation and not 8 otherwise provided for in this ordinance, at the rate of one dollar and one and seventy-five hundredths of a cent 9 ($1.0175)on each one hundred dollars($100)of assessed valuation thereof.The real property tax rate that has been 10 prescribed in this section shall be applied on the basis of one hundred percentum of the fair market value of such 11 real property,except for public service real property,which shall be on the basis as provided in Section 58.1-2604 of 12 the Code of Virginia 13 14 Sec.2. Amount of Levy on "Certified Storm Water Management Developments and Property," "Certified Solar 15 Energy Recycling Equipment, Facilities or Devices" Classified as Real Estate, and "Environmental 16 Restoration Sites,"Real Estate Improved by Erosion Controls,and Certain Wetlands and Riparian Buffers. 17 In accordance with Sections 58.1-3660(A),58.1-3660.1,58.1-3661,58.1-3664,58.1-3665 and 58.1-3666 of 18 the Code of Virginia,there shall be levied and collected for general purposes for fiscal year 20201 taxes on all real 19 estate (a) certified by the Department of Environmental Quality as "Certified Storm Water Management 20 Developments and Property," (b) certified as provided by Code of Virginia Section 58.1-3661 as "Certified Solar 21 Energy Equipment, Facilities or Devices," or "Certified Recycling Equipment, Facilities or Devices," (c) defined by 22 Code of Virginia Section 58.1-3664 as an "Environmental Restoration Site," (d) improved to control erosion as 23 defined by Code of Virginia §58.1-3665, or(e)qualifying as wetlands and riparian buffers as described by Code of 24 Virginia § 58.1-3666, not exempt from taxation, at a rate of one dollar and one and seventy-five hundredths of a 25 cent($1.0175) on each one hundred dollars of assessed valuation thereof. The real property tax rates imposed in 26 this section shall be applied on the basis of one hundred percentum of fair market value of such real property except 27 for public service property,which shall be on the basis as provided in Section 58.1-2604 of the Code of Virginia. 28 29 Sec.3. Amount of Levy on Real Estate Within the Sandbridge Special Service District. 30 There shall be levied and collected for fiscal year 20201, taxes for the special purpose of providing beach 31 and shoreline restoration and management at Sandbridge on all real estate within the Sandbridge Special Service 32 District, not exempt from taxation, at the rate of six four cents ($0.064) on each one hundred dollars ($100) of 33 assessed value thereof.This real estate tax rate shall be in addition to the real estate tax rate set forth in Section 1 34 of this ordinance. For real property that qualifies for Land Use Assessment, pursuant to Division 2 of Chapter 35 of 35 the City Code,or Exemption,or Freeze for Elderly and Disabled Persons,pursuant to Division 3 of Chapter 35 of the 36 City Code,this real estate tax rate shall be applied in the same manner as the real estate tax rate set forth in Section 37 1 of this ordinance.The real estate tax rate imposed herein shall be applied on the basis of one hundred percentum 38 of the fair market value of such real property except for public service real property,which shall be on the basis as 39 provided in Section 58.1-2604 of the Code of Virginia. 40 41 Sec.4. Amount of Levy on Real Estate Within the Town Center Special Service District. 42 For the special purpose of operating and maintaining the parking garage and providing enhanced services 43 for the plaza and public spaces within the boundaries of the service district at the Town Center, as well as other 44 additional services authorized by Virginia Code§ 15.2-2403,there shall be levied and collected for fiscal year 20201 45 taxes on all real estate within the Town Center Special Service District,not exempt from taxation,at the rate of forty- 46 five cents($0.45)on each one hundred dollars($100)of assessed value thereof.This real estate tax rate shall be in 47 addition to the real estate tax set forth in Section 1 of this ordinance. For real property that qualifies for Land Use 48 Assessment, pursuant to Division 2 of Chapter 35 of the City Code, or Exemption or Freeze for Elderly and Disabled 49 Persons, pursuant to Division 3 of Chapter 35 of the City Code,this real estate tax rate shall be applied in the same 50 manner as the real estate tax rate set forth in Section 1 of this ordinance.The real estate tax rate imposed herein 51 shall be applied on the basis of one hundred percentum of the fair market value of such real property, except for 52 public service real property,which shall be on the basis as provided in Section 58.1-2604 of the Code of Virginia. 53 54 Sec.5. Amount of Levy on"Energy-Efficient Buildings". 55 In accordance with Section 58.1-3221.2 of the Code of Virginia and any relevant section of the City Code, 56 there shall be levied and collected for general purposes for the fiscal year 20281 taxes on all real estate that has 57 been classified as an energy efficient building, not exempt from taxation, at a rate of eighty-six and seventy-five 58 hundredths of a cents($0.8675) on each one hundred dollars of assessed valuation thereof.The real property tax 59 rate imposed in this section shall be applied on the basis of one hundred percentum of fair market value of such real 60 property except for public service property,which shall be on the basis as provided in Section 58.1-2604 of the Code 61 of Virginia. 62 63 Sec.6. Amount of Levy on Properties Listed in the Virginia Landmarks Register. 64 In accordance with Section 58.1-3221.5 of the Code of Virginia and any relevant section of the City Code, 65 there shall be levied and collected for general purposes for the fiscal year 20281, taxes on buildings that are 66 individually listed on the Virginia Landmarks Register, not including the real estate or land on which the building is 67 located, so long as the building is maintained in a condition such that it retains the characteristics for which it was 68 listed on the Virginia Landmarks Register at a rate of fifty-four and seventy-five hundredths of a cent($0.5475) on 69 each one hundred dollars of assessed valuation thereof.The real property tax rate imposed in this section shall be 70 applied on the basis of one hundred percentum of fair market value of such real property except for public service 71 property,which shall be on the basis as provided by Section 58.1-2604 of the Code of Virginia. 72 73 Sec.7. Amount of Levy on Real Estate Within the Various Dredging Special Service Districts. 74 There shall be levied and collected for fiscal year 20281 taxes for the special purpose of providing 75 neighborhood channel dredging of creeks and rivers to maintain existing uses on all real estate within each special 76 service district listed below: 77 a. Old Donation Special Service District,not exempt from taxation,at the rate of eighteen and four-tenths 78 cents($0.184)on each one hundred dollars($100)of assessed value thereof. 79 b. Bayville Creek Special Service District, not exempt from taxation, at the rate of forty seven and two- 80 tenths cents($0.472)on each one hundred dollars($100)of assessed value thereof. 81 c. Shadowlawn Special Service District, not exempt from taxation, at the rate of fifteen and ninety-four 82 hundredths cents($0.1594)on each one hundred dollars($100)of assessed value thereof. 83 d. Chesopeian Special Service District, not exempt from taxation,at the rate of twenty nine and thirteen 84 hundredths cents($0.2913)on each one hundred dollars($100)of assessed value thereof. 85 e. Harbour Point Special Service District,not exempt from taxation,at the rate of twelve cents($0.12)on 86 each one hundred dollars($100)of assessed value thereof. 87 f. Gills Cove Special Service District, not exempt from taxation, at the rate of six and three-tenths cents 88 ($0.063)on each one hundred dollars($100)of assessed value thereof. 89 g. Hurd's Cove Special Service District, not exempt from taxation, at the rate of forty-three and eight- 90 tenths cents($0.438)on each one hundred dollars($100)of assessed value thereof. 91 h. Schilling's Point Special Service District, not exempt from taxation,at the rate of forty and four-tenths 92 cents($0.404)on each one hundred dollars($100)of assessed value thereof. 93 94 This real estate tax rate shall be in addition to the real estate tax rate set forth in Section 1 of this ordinance. Except 95 as provided explicitly in Chapter 35.3 of the Code of the City of Virginia Beach, this tax rate shall apply without 96 reduction to any properties subject to ad valorem taxes including those properties enrolled in the Exemption or 97 Freeze for Elderly and Disabled Persons, City Code §§35-61, et seq. As set forth in Code of Virginia, section 15.2- 98 2403(6),written consent is required to apply this tax rate to the full assessed value of properties subject to special 99 use value assessment. The real estate tax rate imposed herein shall be applied on the basis of one hundred 100 percentum (100%)of the fair market value of such real property except for public service real property,which shall 101 be on the basis as provided in Section 58.1-2604 of the Code of Virginia. 102 103 Sec.8 Severability. 104 If any portion of this ordinance is for any reason declared to be unconstitutional or invalid, such decision 105 shall not affect the validity of the remaining portions of this ordinance. 106 Sec.9 Effective Date. 107 The effective date of this ordinance shall be July 1, 204920. 108 109 Requires an affirmative vote by a majority of all of the members of City Council. 110 111 Adopted by the City Council of the City of Virginia Beach,Virginia,on the 12 try of May,2020. APPROVED AS TO CONTENT• AP S TO LEGAL SUFFICIENCY: ti Budget and Management Services Ci s Office 18 ITEM III.A.1.a.3 ORDINANCES/RESOLUTION ITEM#70224 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: a. FY2020-2021 Operating Budget 3. Ordinance to ESTABLISH the Tax Levy on Personal Property and Machinery and Tools for Calendar Year 2021 Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE ESTABLISHING THE TAX LEVY ON PERSONAL 2 PROPERTY AND MACHINERY AND TOOLS FOR THE CALENDAR 3 YEAR 2021 4 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 5 6 Sec.1. Amount of Levy on the General Classification of Tangible Personal Property. 7 In accordance with Chapter 35 of Title 58.1 of the Code of Virginia,taxes shall be levied and collected for 8 general purposes for the calendar year 20201 on all tangible personal property,including all separate classifications 9 of personal property set forth in the Code of Virginia, not exempt from taxation and not otherwise provided for in 10 this ordinance,at the rate of four dollars($4.00)on each one hundred dollars($100)assessed valuation thereof. 11 12 Sec.2. Personal Property Tax Relief. 13 As required by § 58.1-3523 of the Code of Virginia, qualifying vehicles (as defined by § 58.1-3523), not 14 otherwise exempted from taxation in this ordinance or by law,shall be subject to the following: 15 1. Any qualifying-vehicle with a total assessed value of$1,000 or less will be levied no tax,reflecting a 16 reimbursement of 100%Personal Property Tax Relief Act. 17 2. Any qualifying vehicle with an assessed value of between$1,001 and $20,000 will be levied 419.9% 18 53.2%of the computed tax based on the total assessed value of the vehicle. Reimbursement is expected from the 19 state Commonwealth under the Personal Property Tax Relief Act equal to the remaining 50.1% 46.8% of the 20 computed tax on the first$20,000 of assessed value. 21 3. Any qualifying vehicle with an assessed value of over $20,000 will be levied 49.9% 53.2% of the 22 computed tax based on the first $20,000 of assessed value and 100%of the computed tax based on the assessed 23 value in excess of$20,000. Reimbursement is expected from the state Commonwealth under the Personal Property 24 Tax Relief Act equal to the remaining 50.14„46.8%of the computed tax on the first$20,000 of assessed value. 25 26 Sec.3. Amount of Levy on Certain Classifications of Tangible Personal Property 27 In accordance with Chapter 35 of Title 58.1 of the Code of Virginia, taxes shall be levied and collected for 28 general purposes for the calendar year 20201 on the certain classifications of tangible personal property set forth 29 below at the rate of four dollars($4.00)on each one hundred dollars($100)assessed valuation thereof. 30 a. heavy construction equipment as described in Code of Virginia§58.1-3506(A)(8); 31 b. computer equipment as described in Code of Virginia §58.1-3506(A)(11); 32 c. tangible personal property as described in (a) Code of Virginia § 58.1-3506 as "certified pollution 33 control equipment and facilities" and (b) Code of Virginia § 58.1-3661 as "certified solar equipment, facilities or 34 devices and certified recycling equipment,facilities or devices"; 35 d. furniture,office,and maintenance equipment as described in Code of Virginia §58.1-3506(A)(24); 36 e. all tangible personal property employed in a trade or business other than described in subdivisions A 1 37 through A 18,except for subdivision A 17,of§58.1-3503 as described in Code of Virginia §58.1-3506(A)(26); 38 f. programmable computer equipment and peripherals employed in a trade or business ad described in 39 Code of Virginia §58.1-3506(A)(27); 40 g. tangible personal property used in the provision of internet service as described in Code of Virginia § 41 58-1-3506(A)(31); 42 h. forest harvesting and silvicultural activity as described in Code of Virginia§58-1-3506(A)(33); 43 i. equipment used primarily for research, development, production or provision of biotechnology as 44 described in Code of Virginia §58-1-3506(A)(34); 45 j. tangible personal property which is owned and operated by a service provider who is not a CMRS 46 provider and is not licensed by the FCC used to provide,for a fee,wireless broadband internet service as described 47 in Code of Virginia §58-1-3506(A)(37). 48 49 Sec.4. Amount of Levy on Manufactured Homes. 50 There shall be levied and collected for general purposes for the calendar year 20201 taxes on all vehicles 51 without motive power,used or designated to be used as manufactured homes,as defined by Section 36-85.3 of the 52 Code of Virginia, at the rate of one dollar and one and seventy five hundredths of a cent ($1.0175) on each one 53 hundred dollars($100)of assessed valuation thereof. Such property declared a separate class of tangible personal 54 property in Section 58.1-3506(A)(10). 55 56 Sec.5. Amount of Levy on All Boats or Watercraft Used for Business Purposes Only. 57 There shall be levied and collected for general purposes for the calendar year 20201 taxes on all boats or 58 watercraft used for business purposes(both boats weighing less than five(5)tons and boats weighing five(5)tons 59 or more), except as provided for in Section 8 of this ordinance, at the rate of one dollar and fifty cents ($1.50) on 60 each one hundred dollars($100)of assessed valuation thereof. Such property declared a separate class of tangible 61 personal property in Sections 58.1-3506(A)(35)and (A)(36). 62 63 Sec.6.Amount of Levy on All Boats or Watercraft Not Used Solely for Business Purposes. 64 There shall be levied and collected for general purposes for the calendar year 20201 taxes on all boats or 65 watercraft not used solely for business purposes weighing less than five(5)tons,and weighing five(5)tons or more, 66 except as provided for in Section 8 of this ordinance, at the rate of one dollar and fifty cents($1.50) on each one 67 hundred dollars($100)of assessed valuation thereof. Such property declared a separate class of tangible personal 68 property in Sections 58.1-3506(A)(1)(a)and(A)(1)(b). 69 70 Sec.7. Amount of Levy on Machinery and Tools. 71 In accordance with Section 58.1-3507 of the Code of Virginia,there shall be levied and collected for general 72 purposes for the calendar year 20201 taxes on machinery and tools, including machinery and tools used directly in 73 the harvesting of forest products or semiconductor manufacturing, not exempt from taxation, at the rate of one 74 millionth of one cent($.000001)on each one hundred dollars($100)of assessed valuation thereof.As provided by 75 Code of Virginia § 58.1-3506 (B), the following personal property shall also be taxed at the rate of machinery and 76 tools: 77 a. all tangible personal property used in research and development businesses,as described in Code of 78 Virginia§58.1-3506(A)(7); 79 b. generating or cogenerating equipment,as described in Code of Virginia §58.1-3506(A) (9);and 80 c. all motor vehicles,trailers and semitrailers with a gross vehicle weight of 10,000 pounds or more used 81 to transport property for hire by a motor carrier engaged in interstate commerce,as described in Code of Virginia§ 82 58.1-3506(A)(25). 83 84 Sec.8.Amount of Levy on Privately Owned Pleasure Boats and Watercraft Used for Recreational Purposes Only. 85 There shall be levied and collected for general purposes for the calendar year 20201 taxes on all privately 86 owned pleasure boats and watercraft used for recreational purposes only, at the rate of one millionth of one cent 87 ($.000001) on each one hundred dollars ($100) of assessed valuation thereof. Such property declared a separate 88 class of tangible personal property in Sections 58.1-3506(A)(12),(A)(28),and(A)(29). 89 90 Sec.9.Amount of Levy on Privately Owned Camping Trailers,Privately Owned Travel Trailers,and Motor Homes 91 Used for Recreational Purposes Only,and Privately Owned Horse Trailers. 92 There shall be levied and collected for general purposes for the calendar year 20201 taxes at the rate of 93 one dollar and fifty cents($1.50)on each one hundred dollars($100)of assessed valuation thereof on the following 94 property: (a) all privately owned camping trailers and motor homes as defined in Section 46.2-100 of the Code of 95 Virginia and privately owned travel trailers as defined in Code of Virginia§46.2-1900,that are used for recreational 96 purposes only;and(b)privately owned trailers as defined in§46.2-100 of the Code of Virginia that are designed and 97 used for the transportation of horses, except those trailers described in subdivision (A) (11) of§ 58.1-3505 of the 98 Code of Virginia.Such property declared a separate class of tangible personal property in Sections 58.1-3506(A)(18) 99 and(A)(30). 100 101 Sec.10.Amount of Levy on One Motor Vehicle Owned and Regularly Used by a Disabled Veteran. 102 There shall be a reduced tax, levied and collected for general purposes for the calendar year 20201 at the 103 rate of one dollar and fifty cents($1.50)on each one hundred dollars($100)of assessed valuation,on one(1)motor 104 vehicle owned and regularly used by a veteran who has either lost,or lost the use of,one or both legs,or an arm or 105 a hand, or who is blind, or who is permanently and totally disabled as certified by the Department of Veterans' 106 Affairs.Any motor vehicles in addition to the one(1)so taxed shall not qualify for the taxation at the rate established 107 herein,and shall be taxed at the rate or rates applicable to that class of property.To qualify,the veteran shall provide 108 a written statement to the Commissioner of the Revenue from the Department of Veterans'Affairs that the veteran 109 has been so designated or classified by the Department of Veterans'Affairs as to meet the requirements of Section 110 58.1-3506 (A) (19), and that his or her disability is service connected. Such property declared a separate class of 111 tangible personal property in Section 58.1-3506(A)(19). 112 113 Sec.11.Amount of Levy on a Motor Vehicle Owned and Used Primarily by or for Someone at Least Sixty-Five 114 Years of Age or Anyone Found to be Permanently and Totally Disabled. 115 a. In accordance with Sections 58.1-3506.1 et seq. of the Code of Virginia, there shall be a reduced tax, 116 levied and collected for general purposes for calendar year 20201 at the rate of three dollars ($3.00) on each one 117 hundred dollars ($100.00) of assessed valuation, on one(1) automobile or pickup truck owned and used primarily 118 by or for anyone at least sixty-five years of age or anyone found to be permanently and totally disabled,as defined 119 in Section 58.1-3506.3 of the Code of Virginia,subject to the following conditions: 120 1. The total combined income received, excluding the first $7,500 of income, from all sources 121 during calendar year 20189 by the owner of the motor vehicle shall not exceed twenty-two thousand dollars 122 ($22,000). 123 2. The owner's net financial worth, including the present value of all equitable interests, as of 124 December 31 of calendar year 20189 excluding the value of the principal residence and the land,not exceeding one 125 (1)acre, upon which it is situated,shall not exceed seventy thousand dollars($70,000). 126 3. All income and net worth limitations shall be computed by aggregating the income and assets, 127 as the case may be,of a husband and wife who reside in the same dwelling and shall be applied to any owner of the 128 motor vehicle who seeks the benefit of the preferential tax rate permitted under this ordinance,irrespective of how 129 such motor vehicle may be titled. 130 b.Any such motor vehicle owned by a husband and wife may qualify if either spouse is sixty-five or over or 131 if either spouse is permanently and totally disabled,and the conditions set forth in subsection(a)have been satisfied. 132 133 Sec.12.Amount of Levy on Computer Equipment and Peripherals Used in a Data Center. 134 There shall be levied and collected for general purposes for the calendar year 20201 taxes on all computer 135 equipment and peripherals used in a data center as authorized in §58.1-3506(A)(43)of the Code of Virginia at the 136 rate of forty cents($0.40)on each one hundred dollars($100)of assessed valuation thereof. 137 138 Sec.13.Amount of Levy on EMS Volunteer Motor Vehicles. 139 There shall be levied and collected for general purposes for the calendar year 2021 taxes on motor vehicles 140 that meet the ownership and tax burden requirements as set forth in §58.1-3506(A)(15) of the Code of Virginia at 141 the rate of one millionth of one cent($0.000001)on each one hundred dollars($100)of assessed valuation thereof. 142 Such property declared a separate class of tangible personal property in § 58.1-3506(A)(15) and is limited to one 143 motor vehicle per member.The member is required to regularly respond to emergency calls and the Council believes 144 such designation may be obtained if the member has completed at least 80%of their hourly duty commitment.Such 145 property shall be subject to the certification of the applicable chief of the volunteer emergency medical services 146 agency or volunteer fire department, and if the owner or lessee discontinues active volunteer participation in the 147 activities of such volunteer emergency medical services agency or volunteer fire department, the applicable chief 148 shall forthwith provide the Commissioner of the Revenue notice of such change in status, which shall result in the 149 Commissioner of the Revenue issuing a prorated tax assessment in accordance with the taxation of motor vehicles. 150 151 Sec.143.Assessed Value Determination. 152 In accordance with Section 58.1-3103 of the Code of Virginia, personal property mentioned in the above 153 sections shall be assessed at actual fair market value,to be determined by the Commissioner of the Revenue for the 154 City of Virginia Beach. 155 156 Sec.154.Severability. 157 If any portion of this ordinance is for any reason declared to be unconstitutional or invalid, such decision 158 shall not affect the validity of the remaining portions of this ordinance. 159 160 161 Sec.16&. Effective Date. 162 This ordinance shall be effective January 1,20201. 163 164 Requires an affirmative vote by a majority of all of the members of City Council. 165 166 Adopted by the City Council of the City of Virginia Beach,Virginia,on the12 t h day of May,2020. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: udget and Management Services o s Office 19 ITEMIII.A.1.a.4 ORDINANCES/RESOLUTION ITEM#70225 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: a. FY2020-2021 Operating Budget 4. Ordinance to DISSOLVE the Sandbridge Tax Increment Financing Fund and TRANSFER lapsed funds to the General Fund Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE TO DISSOLVE THE SANDBRIDGE TAX 2 INCREMENT FINANCING FUND AND TRANSFER LAPSED 3 FUNDS TO THE GENERAL FUND 4 WHEREAS, on November 1, 1994, the City Council adopted an ordinance that established the Sandbridge 5 Special Service District(Sandbridge SSD)to provide resources for beach and shoreline restoration and management 6 at Sandbridge; 7 8 WHEREAS, on December 1, 1998, the City Council adopted an ordinance that established the Sandbridge 9 Tax Increment Financing District(Sandbridge TIF)for the purpose of providing additional resources, if necessary,for 10 beach and shoreline restoration and management at Sandbridge; 11 12 WHEREAS,an analysis of the Sandbridge TIF and the Sandbridge SSD occurs annually to ensure that funding 13 is adequate for long-term beach and shoreline restoration and management along Sandbridge; and 14 15 WHEREAS, current projections indicate that the Sandbridge SSD,without support from the Sandbridge TIF, 16 has adequate funding to meet the long-term obligations for beach and shoreline restoration and management; 17 18 NOW,THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA THAT: 19 20 1. "An Ordinance to Adopt Tax Increment Financing in the Sandbridge Area of the City" (Ordinance#2516K)is 21 hereby repealed and the Sandbridge Tax Increment Financing District and Sandbridge Tax Increment 22 Financing Fund are hereby dissolved. 23 24 2. Any funds, including annual approprations and fund balances, provided to the Sandbridge TIF that are 25 unobligated and unencumbered in the Sandbridge TIF at the end of Fiscal Year 2019-2020 shall lapse to the 26 fund balance of the General Fund. 27 28 BE IT FURTHER ORDAINED:That this ordinance shall be effective on June 30, 2020. 29 30 Adopted by the City Council of the City of Virginia Beach,Virginia, on the 2 t}slay of May, 2020. APPROVED AS TO CONTENT: 0 S TO LEGAL SUFFICIENCY: ,L <— 4 f; ( (-C Budget and Management Services City Attor y's Office 20 ITEM IILA.1.a.5 ORDINANCES/RESOLUTION ITEM#70226 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: a. FY2020-2021 Operating Budget 5. Ordinance to AUTHORIZE the City Manager to submit an Annual Funding Plan to the U.S. Department of Housing and Urban Development(HUD) Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE TO AUTHORIZE THE CITY MANAGER TO SUBMIT AN ANNUAL 2 FUNDING PLAN TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 3 4 WHEREAS, the United States Congress has established legislation designated as the Housing and 5 Community Development Act of 1974 that sets forth the development of viable urban communities as a national 6 goal;and has established additional legislation addressing the goals of reducing homelessness,increasing affordable 7 housing opportunities,and providing housing for people with HIV/AIDS; 8 9 WHEREAS, there is federal assistance available to help achieve these goals and conduct related activities; 10 and 11 12 WHEREAS,as a prerequisite to receiving the above-referenced federal assistance,the City of Virginia Beach 13 has developed an Annual Funding Plan for submission to the Department of Housing and Urban Development and 14 has created the necessary mechanisms for its implementation in compliance with federal and local directives; 15 16 NOW,THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA THAT: 17 18 That tThe City Manager is hereby authorized and directed, as the executive and administrative head of the 19 City, to submit the City's FY 201-920-201 Annual Funding Plan (the "Plan") and amendments thereto, along with 20 understandings and assurances contained therein and such additional information as may be required, to the 21 Department of Housing and Urban Development to permit the review, approval, and funding of the Plan. 22 23 Adopted by the Council of the City of Virginia Beach,Virginia, on the].2 t h day of May, 2020. APPROVED AS TO CONTENT: APP TO LEGAL SUFFICIENCY: • C) Budget and Management Services orne s Office 21 ITEMIII.A.1.a.6 ORDINANCES/RESOLUTION ITEM#70227 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: a. FY2020-2021 Operating Budget 6. Ordinance to AMEND City Code Sections 35-64 and 35-67 re Exemption or Deferral of Real Estate Taxes for elderly or disabled persons Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE TO AMEND SECTIONS 35-64 AND 35-67 OF 2 THE CITY CODE PERTAINING TO THE EXEMPTION OR 3 DEFERRAL OF REAL ESTATE TAXES FOR ELDERLY OR DISABLED 4 PERSONS 5 SECTIONS AMENDED: §§35-64 AND 35-67 6 WHEREAS,the City Council has previously directed adjustments to the income component of the tax relief 7 for elderly and disabled persons to be adjusted annually to mirror the average increase or decrease of the value of 8 single family residences;and 9 10 WHEREAS,the average increase in the value of single family residence for FY 2020-21 is 2.3%; 11 12 NOW,THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA THAT: 13 14 That Sections 35-64 and 35-67 of the City Code are hereby amended and reordained to read as follows: 15 16 Sec.35-64. General prerequisites to grant;effect of residency in hospital,nursing home,etc. 17 18 (a) Either the exemption or freeze, but not more than one (1), as provided for in this division shall be 19 granted to persons subject to the following provisions: 20 21 (1) The title to the property for which exemption or freeze is claimed is held, or partially held, on 22 June thirtieth immediately preceding the taxable year, by the person or persons claiming exemption, deferral or 23 freeze and is occupied as the sole dwelling of such person or persons. 24 25 (2) The head of the household occupying the dwelling and owning title or partial title thereto or 26 either spouse in a dwelling jointly held by a husband and wife is either permanently and totally disabled or is sixty- 27 five (65) years of age or older on June thirtieth of the year immediately preceding the taxable year; provided, 28 however, that a dwelling jointly held by a husband and wife may qualify if either spouse is over sixty-five(65)years 29 of age. 30 31 (3) For the tax exemption programs, the total combined income received from all sources during 32 the preceding calendar year by: (i)the owner or owners of the dwelling who use it as their principal residence and 33 (ii) the owner's or owners' relatives who live in the dwelling, shall not exceed 34 twenty nine dollars($56,529).fifty seven thousand eight hundred and twenty nine dollars ($57,829) provided that 35 the first ten thousand dollars($10,000.00)of income of each relative,other than a spouse of the owner,who is living 36 in the dwelling, shall not be included in such total: and provided further that the first ten thousand dollars 37 ($10,000.00) or any portion thereof of income received by a permanently and totally disabled owner shall not be 38 included in such total. 39 40 (4) For the tax freeze program, the total combined income received from all sources during the 41 preceding calendar year by: (i) the owner or owners of the dwelling who use it as their principal residence and (ii) 42 the owner's or owners' relatives who live in the dwelling, shall not exceed seventy three thousand seven hundred 43 and fifty nine dollars($73,759)seventy five thousand four hundred and fifty five dollars ($75,455)that the first ten 44 thousand dollars ($10,000.00) of income of each relative, other than a spouse of the owner, who is living in the 45 dwelling, shall not be included in such total; and provided that the first ten thousand dollars ($10,000.00) or any 46 portion thereof of income received by a permanently and totally disabled owner shall not be included in such total. 47 48 (5) For the tax exemption programs, the net combined financial worth, including equitable 49 interests, as of December thirty-first of the year immediately preceding the taxable year,of the owners, and of the 50 spouse of any owner, excluding the value of the dwelling and the land (not exceeding ten acres) upon which it is 51 situated,shall not exceed three hundred and fifty thousand dollars($350,000.00). 52 53 (6) For the tax freeze program, the net combined financial worth, including equitable interests, as 54 of December thirty-first of the year immediately preceding the taxable year,of the owners,and of the spouse of any 55 owner,excluding the value of the dwelling and the land (not exceeding ten acres) upon which it is situated,shall not 56 exceed three hundred and fifty thousand dollars($350,000.00). 57 58 (7) The dwelling is occupied. 59 . . . . 60 Sec.35-67. Amount of exemption. 61 When a person claiming exemption under this division conforms to the standards and does not exceed 62 the limitations contained in this division,the tax exemption shall be as shown on the following schedule: 63 64 Total income, 65 All Sources Tax Exemption 66 $0600- $43,141.00 $0.00—$44,133.00 100% 67 $43,141.01 $46,188.00 $44,133.01—$47,557.00 80% 68 $46,488.01 $49,835.00 $47,557.01-$50,981.00 60% 69 $49,835.01 $53,183.00 $50,981.01-$54,406.00 40% 70 $53,183.01 $56,529.00 $54,406.01-$57,829.00 20% 71 72 No lien shall accrue as a result of the amount certified as exempt. 73 74 BE IT FURTHER ORDAINED: That this ordinance shall be effective on July 1, 2020. 75 76 Adopted by the City Council of the City of Virginia Beach,Virginia,on this 1 2 t hday of May, 2020. APPROVED AS TO CONTENT: . ' ROVED •S TO EGAL SUFFICIENCY: 'V _ --...AlledlUdilla - Budget and Management Services City Attor -Is Office 22 ITEM III.A.1.a.7 ORDINANCES/RESOLUTION ITEM#70228 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Resolution re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: a. FY2020-2021 Operating Budget 7. Resolution to AMEND the City of Virginia Beach Human Resources Policy re Part-Time Accumulated Leave and Full-Time Paid Time Off Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 A RESOLUTION APPROVING AMENDMENTS TO THE CITY OF 2 VIRGINIA BEACH HUMAN RESOURCES PART-TIME 3 ACCUMULATED LEAVE AND FULL-TIME PAID TIME OFF 4 POLICY 5 6 WHEREAS, City Code § 2-85(b) set forth that part-time City employees hired on or after January 1, 1996 7 shall not be allowed to carry more than forty-eight(48)hours of accumulated personal leave from one calendar year 8 to the next; 9 10 WHEREAS, City Code §§ 2-84(7) and 2-199(d) set forth that full-time City employees hired on or after 11 January 1, 2014, with the exception of employees eligible for enhanced retirement benefits in hazardous duty 12 positions, employees hired with the Virginia Retirement Service creditable service, and employees hired before 13 January 1, 2014 who opted to participated in the hybrid retirement plan,shall receive paid time off in lieu of annual 14 and sick leave as set forth in applicable City of Virginia Beach Human Resources Policy; 15 16 WHEREAS, the aforementioned City Code sections require all changed to the paid time off policy to be 17 approved by City Council; 18 19 WHEREAS, the City of Virginia Beach desires to amend the Part-Time Accumulated Leave amount that is 20 established in City Code;and 21 22 WHEREAS,the City of Virginia Beach desires to amend the Human Resources Paid Time Off Policy accruals 23 as set forth in the attachment hereto; 24 25 NOW,THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA THAT: 26 27 1. City Code§2-85(b) is hereby amended to read as follows: 28 29 Part-time employees hired on or after July 1, 1996, shall not be allowed to carry forward more than forty 30 eight(48)fifty-four(54) hours of accumulated personal leave from one calendar year to the next, nor shall 31 part-time employees receive any monetary payout upon termination of employment for their accumulated 32 personal leave. 33 34 2. The City Council approves the amendments to the Paid Time Off Policy accruals as set forth in the 35 attachment hereto. 36 Adopted by the City Council of the City of Virginia Beach,Virginia, on this 12 day of May, 2020. APPROVED AS TO CONTENT: APPROV TO LEGAL SUFFICIENCY: Budget and Management Services City Attor s Office Hybrid Employees Paid-Time-Off (PTO) Monthly Accrual Per Year Maximum Carryover Accrual Service Hours Days Hours Days/hours on 12/31 Time 0 < 5 44 12 16.5 18 132 144 28 days 176 224 hrs 5 < 10 43 14 19.5 21 156 168 25 31 days 2-08 248 hrs 10 < 15 �516 22.5 240 192 34 days 224 272 hrs 15 + 4-7. 18 25.5 27 201 216 34 37 days 248 296 hrs 23 ITEM IILA.1.a.8 ORDINANCES/RESOLUTION ITEM#70229 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: a. FY2020-2021 Operating Budget 8. Ordinance to AMEND City Code Section 32.5-2 re Equivalent Residential Unit(ERU) Fee Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE TO AMEND THE CITY CODE PERTAINING TO THE 2 EQUIVALENT RESIDENTIAL UNIT(ERU)FEE 3 SECTION AMENDED: §32.5-2 4 WHEREAS,City Council desires to not impose an increase in the ERU in FY21; 5 6 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 7 8 That Section 32.5-2 of the Code of the City of Virginia Beach, Virginia is hereby amended and reordained 9 to read as follows: 10 11 Sec.32.5-2.Definitions. 12 The following words and terms used in this section shall have the following meanings: 13 (a) Equivalent residential unit or ERU means the equivalent impervious area of a single-family 14 residential developed property per dwelling unit located within the city based on the statistical 15 average horizontal impervious area of a single-family residence in the city. An equivalent 16 residential unit (ERU) equals two thousand two hundred sixty-nine (2,269) square feet of 17 impervious surface area. 18 (b) ERU rate means the utility fee charged on an equivalent residential unit,which shall be forty-nine 19 and three-tenth cents ($0.493) per day, effective July 1, 2019, fifty-two and eight-tenth cents 20 ($0.528) per day, effective July 1, 2021 9, fifty-six and three tenth cents ($0.563) per day, 21 effective July 1, 2022 1,fifty-nine and eight tenth cents($0.598) per day, effective July 1, 2023 3, 22 sixty-three and three tenth cents($0.633) per day, effective July 1, 2024 3 and sixty-six and eight 23 tenth cents($0.668),effective July 1,2025 4. 24 25 BE IT FURTHER ORDAINED:That the effective date of this ordinance shall be July 1, 2020. 26 27 Adopted by the Council of the City of Virginia Beach,Virginia,on thisl 2 tbay of May,2020. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: = i1 udget and Management Ser is s City A to y's Office 24 ITEMIII.A.1.b.1 ORDINANCES/RESOLUTION ITEM#70230 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: b. FY2020-2021 Capital Budget 1. Ordinance to ADOPT the FY 2021/FY 2026 Capital Improvement Program (CIP)and APPROPRIATE$320,558,159 re FY2021 Capital Budget,subject to funds being provided from various sources set forth Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE TO ADOPT THE FY 2021/FY 2026 CAPITAL 2 IMPROVEMENT PROGRAM AND TO APPROPRIATE FUNDS FOR THE FY 3 2021 CAPITAL BUDGET SUBJECT TO FUNDS BEING PROVIDED FROM 4 VARIOUS SOURCES SET FORTH HEREIN 5 WHEREAS, the City Manager, on March 24, 2020 and on April 10, 2020, presented to City Council the Capital 6 Improvement Program for fiscal years 2021through 2026; 7 8 WHEREAS,City Council held public hearings on the program to provide for public comment; 9 10 WHEREAS, based on public comment, City Council has determined the need for certain projects in the Capital 11 Improvement Program;and 12 13 WHEREAS,it is necessary to appropriate funds for both existing projects and projects beginning in the 2021fiscal year, 14 as set forth in said Capital Improvement Program. 15 16 NOW,THEREFORE,BE IT ORDAINED BYTHE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 17 18 Section 1. That the Capital Improvement Program,as modified,for the construction of,or addition to,capital facilities 19 identified forfiscal years 2021 through 2026 is herebyadopted,and the projects listed therein are hereby approved as capital 20 projects. 21 22 Section 2. That the projects shall be financed from funds to be appropriated periodically by City Council,and until 23 funds are so provided,the projects are for planning purposes onlyand may be deleted,altered,or rescheduled in any manner 24 at any time by City Council. 25 26 Section 3. That funds in the amounts aggregating$320,558,159for capital projects in the Capital Budget for the 2021 27 fiscal year,as set forth in said Capital Improvement Program,are hereby appropriated,by project and subject to the 28 conditions set forth herein. The amount of funding for individual projects is set forth in "Attachment A —Capital Budget 29 Appropriations,"a copy of which is attached hereto. 30 31 Section 4. That in accordance with Section 2-196 of the City Code,financing sou rces in support of the Capital Budget 32 for the 2021 fiscal year as set forth in said Capital Improvement Program is attached to this ordinance as"Attachment B — 33 Financing Sources." 34 35 Section 5. That capital projectfunds appropriated in prior fiscal years are to be adjusted in accordance with said Capital 36 Improvement Program and reallocated as identified in"Attachment C—Transfers,"a copy of which is attached hereto. 37 38 Section 6. That reductions in financing sources in support of the Capital Budget for the 2021fiscal year as set forth in 39 said Capital Improvement Program are attached to this ordinance as"Attachment D—Changes in Financing Sources." 40 41 Section 7. That additional appropriations,the addition of capital projects,and changes in project scope shall not be 42 initiated except with the consent and approval of the City Council first being obtained.An appropriation for a project in the 43 Capital Improvement Program shall continue in force and,to the extent required by law,re-appropriated for use in FY 2020- 44 21 until the purpose for which it was made has been accomplished or abandoned. 45 46 Section 8. That notwithstanding Sec.2-154 of the City Code and although this Capital Improvement Program includes 47 funding for such purpose,the City Manager or his designee shall not authorize or approve the use of$21.8 million for the 48 following list of 14 proiects until such time as the City Council provides,by ordinance or resolution,approval of the use of 49 such funding. This limitation shall include the City Manager or designee authorizing such an action on the behalf or at the 50 behest of the City by another entity or body,whether state,local,or regional in nature.The list is as follows: 51 i. CIP#8-025"Beach Replenishment II"(52,550,000) 52 ii. CIP#3-718"Police Radio Encryption"(53,302,428)Partial ATD 53 iii. CIP#2-094"Bus Stop Infrastructure and Accessibility Improvements"($648,969) Partial ATD 54 iv. CIP#2-414"Shipps Corner Road Improvements"($2,100,000)ATD 55 v. CIP#2-047"Upton Drive Extended and Dam Neck Stations Imp."($1,286,780)ATD 56 vi. CIP#3-153"Various Site Acquisitions III"($343,644) 57 vii. CIP#3-132 "Heritage Building Maintenance II"($575,000) 58 viii. CIP#4-300"Community Recreation Centers Repairs and Renovations III"($1,000,000) 59 ix. CIP#4-301"Parks and Special Use Facilities Development/Reno"($950,000) 60 x. CIP#3-703"PD—Special Investigations Video Storage"($400,000) 61 xi. CIP#2-056"Pleasure House Road Street Imp.—Phase I" ($150,000) 62 xii. CIP#2-057"Pleasure House Road Street Imp.—Phase II"($357,376) 63 xiii. CIP#9-006"Winston-Salem Avenue Improvements" ($7,565,191)ATD 64 xiv. CIP#3-184"Virginia Aquarium Monument Signs"($600,000)ATD 65 Additionally,to preserve liquidity,the CIP#3-174,"Operations Facilities Renovations"appropriation of$30,000,000 is placed 66 in a reserve until the City Council approves the release of the funds by ordinance or resolution. 67 68 Section 98. That all contracts awarded for approved and appropriated capital projects, exclusive of school projects, 69 must be certified as to the availability of funds by the Director of Finance prior to the initiation of work on the contract. 70 71 Section 109. That subject to any applicable restriction of law or of any bonds or bond issue,the City Manager or the 72 Director of Budget and Management Services is authorized to approve transfers of appropriations in an amount up to 73 $100,000 between capital projects as may best meet the needs of the City. The City Manager shall make a monthly report to 74 the City Council of all transfers between$25,000 and$100,000. The City Manager or the Director of Budget and Management 75 Services is hereby authorized to establish and administer the budgeting of capital projects consistent with best management 76 practices, reporting requirements and the Capital Improvement Program adopted by the City Council. 77 78 Section 110. That to ensure timely completion of water and sewer projects, appropriations for water and sewer 79 companion projects may be transferred between these projects by the City Manager (or designee). "Companion projects" 80 mean water and sewer projects having the same name or project scope and description with the exception of"water" or 81 "sewer" being in the title and/or project scope and description. 82 83 Section 122. That the City Manager or the Director of Budget and Management Services is hereby authorized to 84 change,subject to any applicable restriction of law or of any bonds or bond issue,the financing sources for the various capital 85 projects included in this or previous ordinances to reflect effective utilization of the financing sources and actual collections 86 and/or realized revenues. If the financing sources in support of capital projects decline,the City Manager or the Director of 87 Budget and Management Services is authorized to reduce,subject to any applicable restriction of law or of any bonds or bond 88 issue,those appropriations to equal the changed financing source.The City Manager must give prior notice to the City Council 89 of any reductions to total appropriations exceeding$100,000. The notice to City Council shall identify the basis and amount 90 of the appropriation reduction and the capital projects affected. The accounting records of the City will be maintained in a 91 manner where the total of financing sources is equal to the total appropriations for each of the City's capital projects funds. 92 93 Section 132.That in accordance with adjustments in funding sources from the Virginia Department of Transportation, 94 $567,000 $5,292,784 of appropriated state federal contribution funding for CIP 2-135 "Cleveland Street Phase IV 95 Improvements" " is hereby modified to $567,000 $5,180,607 in federal contribution and 96 $112,177 in state contribution. 97 98 Section 143. That in accordance with adjustments in funding sources from the Virginia Department of Transportation, 99 $240,712$20,000,000 of appropriated federal state contribution funding for CIP 2-152"Elbow Road Extended Phase II-B"-2- 100 256"Indian River Road Phase VII A" is hereby modified to$240,712$20,000,000 in state federal contribution. 101 102 Section 154.That in accordance with adjustments in funding sources from the Virginia Department of Transportation, 103 $37,080$1,481 of appropriated federal contribution funding for CIP 2-025"Witchduck Road Phase II"6 50 "^uxilary Power 104 Program Sewer Pump Stations III"is hereby modified to$37,080$1,481 in state contribution. 105 106 Section 16. For CIP 2 111 "Traffic Safety improvements IV" and its predecessor project, CIP 2 300, acquisition of 107 necessary property and castments is authorized to the extent such acquisition is accomplished within existing amounts 108 109 110 Section 16. That the Capital Improvement Program debt management policies contained and included in the Resource 111 Management Plan document shall be the policy guidelines of the City, and the City Manager shall annually report on the 112 status of those guidelines and the projected impact of the proposed Capital Improvement Program on those guidelines,such 113 information to be included in the Resource Management Plan submittal. The City Manager may propose modifications to 114 those policies and guidelines through the Resource Management Plan. 115 116 Section 179. That subject to the appropriation of sufficient funds within a capital project, the acquisition of real 117 property necessary for the project is authorized by means of voluntary negotiation with willing sellers. 118 119 Section 1828. Attachment B of this Ordinance includes $74,946,593 of funding using Public Facility Revenue Bonds 120 ("PFRB Financing"). "Attachment E — Projects Utilizing Public Facility Revenue Bonds," attached hereto and incorporated, 121 provides a list of projects that include PFRB Funding and the amount of PFRB Funding for Fiscal Year 2021. Without changing 122 the amount of total PFRB Funding authorized by this Ordinance,the Director of Finance is authorized to adjust the allocations 123 and/or amounts among the projects to ensure that the tax-exempt status for any resulting bonds is retained. 124 125 Section 1921. That violation of this ordinance shall result in the City Manager taking disciplinary action against the 126 person or persons responsible for the capital project in which the violation occurred. 127 128 Section 2024. That if any portion of this ordinance is for any reason declared to be unconstitutional or invalid,such 129 decision shall not affect the validity of the remaining portions of this ordinance. 130 131 Section 2124. That this ordinance shall be in effect from the date of its adoption; however,appropriations for the FY 132 2020 Capital Budget shall be effective on July 1,2020. 133 134 Requires an affirmative vote of the majority of City Council 135 136 Adopted by the Council of the City of Virginia Beach,Virginia,on the 12 th day of May,2020. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: � f Budget and Management Services r s 0 e City of Virginia Beach,Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FY 2020-2021 Buildings and Assets 3056000 Public Safety Equipment Replacement Project 1,200,000 3132000 Heritage Building Maintenance II 575,000 3135000 Fire Apparatus IV 1,751,950 3141000 Various Buildings HVAC Rehabilitation&Renewal IV 2,500,000 3149000 Various Buildings Rehabilitation and Renewal IV 4,400,000 3153000 Various Site Acquisitions III 343,644 3154000 Fire Training Center Improvements IV 300,000 3155000 Virginia Aquarium Renewal and Replacement III 600,000 3157000 Facilities Planning Services 250,000 3162000 Veterans Memorial Sustainment 100,000 3164000 Energy Performance Contracts(City)II 550,000 3165000 VA Aquarium Bldg Systems&Facility Infrastructure II 1,434,540 3166000 Facilities Access Systems 125,000 3174000 Operations Facilities Renovations 30,000,000 3205000 Judicial Center Escalator Replacement 500,000 3506000 Fire Facility Rehabilitation and Renewal III 500,000 3508000 ARC Flash Mitigation 700,000 3518000 Convention Center Capital Maintenance 343,060 Total Buildings and Assets Projects 46.173.194 Coastal 8011000 Various Minor Dredging Projects II 400,000 8013000 Lynnhaven Inlet Maintenance Dredging II 375,000 8015000 Beach Profile Monitoring Program II 125,000 8025000 Beach Replenishment II 2,550,000 8026000 Sandbridge Beach Restoration III 2,282,922 8405000 Sandbridge Beach Access Improvements II 300,000 8406000 Rudee Inlet Federal Dredging II 600,000 8407000 Rudee Inlet Outer Channel Maintenance Dredging II 750,000 Total Coastal Projects 7.382.922 Economic and Tourism Development 9021000 London Bridge Commerce Center Infrastructure Improvements I 1,800,000 9039000 17th Street Improvements-Phase I Pacific to Cypress 6,500,000 9041000 Virginia Beach Sports Center 420,000 9045000 Resort Parking District 15,500,000 9047000 Town Center Reinvestment 150,000 9055000 Town Center Garage and Plaza Capital Maintenance II 352,726 9056000 Oceanfront Parking Facilities Capital Maintenance/Development II 719,168 9059000 Oceana&ITA Conformity&Acquisition II 855,631 9067000 Economic Development Investment Program II 2,067,087 City of Virginia Beach, Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FY 2020-2021 9073000 Resort Mobility Planning 200,000 9074000 Atlantic Avenue Street Improvements 1,000,000 9086000 Oceanfront Restrooms 500,000 9096000 Oceanfront Capital Projects Reinvestment 600,000 9500000 Virginia Beach Amphitheater Capital Maintenance 200,000 Total Economic and Tourism Development Projects 30.864,612 Information Technology 3652000 CIT-Telecommunications Replacement II 750,000 3663000 CIT-Enterprise Scheduling and Timekeeping System 497,863 3664000 CIT-Next Generation Network 1,500,000 3683000 CIT-Maintain and Secure Corporate Data 30,000 3693000 CIT-IT Service Continuity II 1,000,000 3696000 CIT-Real Estate Software Revitalization 250,000 3697000 CIT-City Software Upgrade/Replacement Plan 1,500,000 3705000 CIT-Human Services Comprehensive Health Records System 400,000 3714000 CIT-Network Infrastructure Replacement III 6,757,166 3715000 CIT-Cable Access Infrastructure Replacement II 315,000 3716000 CIT-21st Century Enterprise Resource Planning(HCM) 3,375,000 3717000 CIT-Accela Sustainment 150,000 3718000 CIT-Police Radio Encryption 1,643,497 3719000 CIT-Communications Infrastructure Replacement III 6,847,666 3729000 CIT-E-Business Suite Upgrade 1,199,188 Total Information Technology Projects 26,215 380 Parks and Recreation 4059000 Southern Rivers Watershed Site Acquisition Program 2,000,000 4064000 City Bikeways and Trails Plan Implementation II 475,000 4080000 Sportsplex/Field Hockey National Trng Ctr Rep/Reno I 726,135 4300000 Community Recreation Centers Repairs and Renovations III 2,000,000 4301000 Parks and Special Use Facilities Development/Reno III 3,001,128 4302000 Golf Courses Contractual Obligations-Maintenance I 120,000 4303000 Greenways,Scenic Waterways and Natural Areas III 830,000 4305000 Tennis Court Renovations III 300,000 4306000 Open Space& Park Infrastructure Development& Maintenance II 1,262,409 4307000 Athletic Fields Lighting and Renovations III 275,000 4500000 Park Playground Renovations III 1,000,000 4502000 Lynnhaven Boat Ramp& Beach Facility Repairs/Reno I 13,843 4517000 Stumpy Lake Golf Course Contractual Obligations I 27,000 Total Parks and Recreation Projects 12,030,515 City of Virginia Beach,Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FY 2020-2021 Roadways 2022000 Major Bridge Rehabilitation II 1,160,000 2024000 Rural Road Improvements II 250,000 2026000 Street Reconstruction II 2,150,000 2027000 Various Cost Participation Projects II 25,000 2028000 Wetlands Mitigation Banking II 100,000 2050000 Landstown Road Improvements Phase I 1,218,641 2054000 Ferrell Parkway 2,260,347 2056000 Pleasure House Road Street Improvements Phase I 150,000 2057000 Pleasure House Road Street Improvements Phase II 357,376 2078000 Sandbridge Road-Nimmo Phase VII-A 9,001,980 2088000 West Neck Road Phase IV 400,000 2094000 Bus Stop Infrastructure and Accessibility Improvements 648,969 2111000 Traffic Safety Improvements IV 2,853,020 2112000 Independence Boulevard/Baxter Road Sidewalk 114,714 2117000 Shore Drive Corridor Improvements Phase III 737,981 2119000 Providence Road Sidewalk 127,550 2125000 Indian River Road Phase VII-B 2,168,400 2135000 Cleveland Street Improvements IV 250,000 2152000 Elbow Road Extended Phase II-B 741,515 2155000 Traffic Signal Retiming II 150,000 2183000 Traffic Calming 150,000 2189000 Citywide Street Lighting Improvements III 70,000 2256000 Indian River Road Phase VII-A 6,208,877 2401000 Greenwich Rd Crossover&Cleveland St Improvements 150,000 2409000 Centerville Turnpike Phase II 1,510,115 2410000 Traffic Signal Rehabilitation II 300,000 2418000 Indian River Road/Kempsville Road Intersection Improvements 1,000,000 2419000 Centerville Turnpike Phase III 3,790,000 Total Roadways Projects 38.044.485 Schools 1003000 Renovation and Replacement Energy Management/Sustainability 1,700,000 1004000 Tennis Court Renovations-Phase II 200,000 1024000 Lynnhaven Middle School Expansion(Achievable Dream) 8,750,000 1107000 Princess Anne High School Replacement 32,191,000 1110000 Energy Performance Contracts-Phase II 5,000,000 1178000 Renovations and Replacements-Grounds III 1,500,000 1179000 Renovations and Replacements-HVAC III 7,250,000 1180000 Renovations and Replacements-Reroofing III 4,750,000 1182000 Renovations and Replacements-Various III 9,366,223 1185000 Elementary School Playground Equipment Replacement 250,000 City of Virginia Beach, Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FY 2020-2021 1280000 Renovations and Replacements-Safe School Improvements 200,000 Total Schools Projects 71.157.223 Sewer Utility 6019000 Resort Area Neighborhood Revitalization 550,000 6058000 Royal Palm Arch Sanitary Sewer Rehabilitation 4,000,000 6088000 Cleveland Street Sewer Improvements 300,000 6101000 ViBe District Sewer Improvements 1,100,000 6107000 Sewer Pump Repairs and Replacements 625,000 6108000 Pembroke Meadows Neighborhoods Sanitary Sewer Rehabilitation 10,000 6111000 Sanitary Sewer System Revitalization Program III 3,500,000 6112000 Sanitary Sewer Force Main Rehabilitation I 250,000 6113000 Various HRSD Coordination 1,581,000 6122000 Service Order Automation Phase II 25,000 6151000 Landstown Yard Improvements IV 363,000 6153000 Pump Station Program VI 2,407,515 6155000 Utilities Technology Support Program 250,000 6551000 System Expansion Cost Participation Agreements III 120,000 6556000 Various Roadway&Storm Water Coordination VI 800,000 6953000 Sewer Tap Installation Program II 700,000 Total Sewer Utility Projects 16.581.515 Storm Water 7005000 North Lake Holly Watershed 1,800,000 7023000 Primary System Infrastructure Improvements II 2,270,000 7024000 Southern Canal/Lead Ditch and Culvert Improvements 2,390,000 7026000 Residential Drainage Cost Participation Program II 50,000 7027000 SWM Master Planning,Analysis,and Inventory 497,430 7028000 Windsor Woods Drainage 2,830,000 7030000 Sea Level Rise/Recurrent Flooding Analysis 240,000 7042000 Surface Water Regulatory Compliance Program 2,400,000 7043000 Water Quality Cost Participation Projects II 50,000 7053000 Lake Bradford/Lake Chubb 1,084,100 7054000 Lynnhaven River Watershed II 711,762 7059000 Lynnhaven River Basin Ecosystem Restoration Project 3,000,000 7065000 Eastern Shore Drive-Cape Henry Canal Phase II 2,000,000 7069000 Eastern Shore Drive-Lynnhaven Drive Pump Station 500,000 7073000 Princess Anne Plaza Golf Course Conversion 3,000,000 7078000 Windsor Woods Tide Gate 4,850,000 7083000 Cave-In Repair Program 2,000,000 7087000 Enhanced Neighborhood Rehabilitation-Phase I 1,237,158 7089000 Princess Anne Plaza North London Bridge Creek Pump Station 7,500,000 City of Virginia Beach, Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FY 2020-2021 7092000 Southern Rivers Watershed Stormwater Projects 500,000 7094000 The Lakes-South London Bridge Creek Channels and Gate 2,200,000 7103000 Arctic Ave Drainage Improvements 2,000,000 7105000 USACE Regional Coastal Storm Risk Management Study 1,000,000 7107000 Pinewood Road Drainage Improvements 1,000,000 7119000 Parcel Level Flood Mitigation Program 1,500,000 7402000 College Park and Level Green Drainage Improvements 790,313 7406000 Elizabeth River Watershed 600,000 7410000 Southern Rivers Watershed 700,000 7411000 Oceanfront Storm Water Facilities Maintenance 650,000 7412000 Storm Water Pump Station Modifications 1,250,000 7413000 Neighborhood SW Infrastructure Improvements II 341,898 7414000 Storm Water Quality Enhancements II 750,000 7415000 Lake Management II 4,947,652 7416000 SW Infrastructure Rehabilitation& Improvements II 6,150,000 Total Storm Water Projects 62,790.313 Water Utility 5010000 Lake Gaston Raw Water Transmission System Rehabilitation I 60,000 5014000 Water Pump Repairs and Replacements 400,000 5020000 Cleveland Street Water Improvements 300,000 5021000 Pembroke Meadows Neighborhoods Water Rehabilitation 500,000 5023000 Great Neck Water Tank Replacement 2,800,000 5031000 System Expansion Cost Participation Agreements III 120,000 5101000 ViBe District Water Improvements 1,100,000 5122000 Service Order Automation- Phase II 25,000 5151000 Landstown Yard Improvements IV 363,000 5155000 Utilities Technology Support Program 250,000 5158000 Royal Palm Arch Water System Rehabilitation 1,650,000 5251000 Various Roadway&Storm Water Coordination VI 800,000 5708000 Resort Area Neighborhood Revitalization 550,000 5953000 Water Tap Installation Program II 400,000 Total Water Utility Projects 9,318,000 Total Capital Budget 320,558,159 City of Virginia Beach, Virginia Attachment B- Financing Sources Capital Budget Financing Sources FY 2020-2021 Development Proffers 15,000 Energy Performance Contract 5,000,000 Federal Contribution 2,071,672 Franchise Fees 315,000 Fund Balance-General Fund 26,457,715 Fund Balance-Other 3,300,000 General Appropriations 44,630,877 General Obligation Bonds 62,122,085 H RS D 1,581,000 Interest Income 1,430,000 Lease of Property 98,172 Parking Enterprise Fund 500,000 Public Facility Bonds 69,946,593 Retained Earnings-Storm Water Utility 2,300,000 Retained Earnings-Telecommunications 2,250,000 Retained Earnings-Water and Sewer Fund 15,000,000 Sale of Property 6,925,631 State Contribution 10,135,627 Storm Water Utility Bonds 34,708,495 Storm Water Utility Fund 22,451,777 Water and Sewer Bonds 1,318,515 Water and Sewer Fund 8,000,000 Total Capital Budget 320,558,159 Attachment C-Transfers Appropriations Prior to Project# FY 2020-21 Public Education Transfer To: 1178000 Renovations and Replacement Grounds III 5,000,000 1035000 John B. Dey Elementary School Modernization 750,835 Total Transfer To: $ 5,750,835 Transfer From: 1003000 Renovation and Replacement Energy Management/Sustainability 5,000,000 1095000 Comprehensive Long Range Facilities Plan 15,398 1233000 Old Donation School 100,437 1056000 Princess Anne Middle School 635,000 Total Transfer From: $ 5,750,835 Roadways Transfer To: 2038000 Rosemont Road Phase V 1,149,000 2040000 Laskin Road Bridge Replacement (VDOT) 1,553,069 2110000 Nimmo Parkway Phase VII-B 735,196 2112000 Independence Blvd/ Baxter Road Sidewalk 164,804 2117000 Shore Drive Corridor Phase III 1,681,399 2152000 Elbow Road Extended Phase II-B 1,033,400 2256000 Indian River Road Phase VII-A 2,685,728 2409000 Centerville Turnpike Phase II 2,389,326 Total Transfer To: $ 11,391,922 Transfer From: 2021000 Rural Road Improvements 650,000 2025000 Witchduck Road Phase II 1,000,000 2072000 First Colonial Road/VA Beach Blvd Intersection Imp 988,853 2126000 Laskin Road Phase I-A (VDOT) 818,080 2131000 Pungo Ferry Bridge 50,000 2165000 Laskin Road Phase II 734,989 2168000 Lesner Bridge Replacement 1,150,000 2195000 Princess Anne Road Phase VII 5,000,000 2418000 Indian River Road/ Kempsville Road Intersection Imp 1,000,000 Total Transfer From: $ 11,391,922 Communications and Information Technology Transfer To: 3683000 Maintain and Secure Corporate Data 200,000 Total Transfer To: $ 200,000 Transfer From: 3717000 Accela Sustainment 200,000 Total Transfer From: $ 200,000 Parks and Recreation Transfer To: Fiscal Year 2020-21 Ordinances Attachment C-Transfers Appropriations Prior to Project# FY 2020-21 4079000 Thalia Creek Greenway I 350,157 4080000 Sportsplex/Field Hockey National Training Center 900,000 4303000 Greenways, Scenic Waterways, and Natural Areas III 100,000 Total Transfer To: $ 1,350,157 Transfer From: 4503000 Parks and Recreation Administration Office Relocation 86,524 4509000 Replacement of Kempsville Recreation Center 263,633 4047000 Little Island Park Parking Lot Improvements 1,000,000 Total Transfer From: $ 1,350,157 Water and Sewer Utility Transfer To: 5019000 Advanced Water Metering 300,000 6111000 Sanitary Sewer Revitaliztion Program I 716,539 6153000 Pump Station Program VI 2,392,485 Total Transfer To: $ 3,409,024 Transfer From: 5024000 Holland Road Phase VI 528,273 5090000 Lynnhaven Parkway Phase XI 32,450 5260000 Utility Crossings 128,991 5805000 Water Systems Aging Infrastructure Program 1,893 6559000 Sanitary Sewer Asset Management Program 581,170 6057000 Holland Road Phase VI 134,954 6093000 Consent Order Rehabilitation Plan Implementation 175,637 6110000 Sanitary Sewer Regulatory Compliance Program II 542,765 6550000 Comprehensive Sewer Master Planning V 170,850 6555000 Utility Crossings 938,267 6804000 Sanitary Sewer Regulatory Compliance Program I 173,774 Total Transfer From: $ 3,409,024 Storm Water Transfer To: 7406000 Elizabeth River Watershed 3,350,000 7005000 North Lake Holly Watershed 600,000 7105000 USACE Regional Coast Storm Water Risk Management Studay 500,000 7416000 SW Infrastructure Rehabilitation and Improvements II 1,600,000 Total Transfer To: $ 6,050,000 Transfer From: 7414000 Storm Water Quality Enhancements 3,350,000 7016000 South Lake Holly Wastershed 600,000 7064000 Central Resort District-24th Street Culvert 1,100,000 7411000 Oceanfront SW Facilities Maintenance 1,000,000 Total Transfer From: $ 6,050,000 Coastal Fiscal Year 2020-21 Ordinances Attachment C-Transfers Appropriations Prior to Project# FY 2020-21 Transfer To: 8030000 Old Donation Creek Area Dredging 107,107 8038000 Sandbridge Beach Restoration IV 14,850,101 Total Transfer To: $ 14,957,208 Transfer From: 8027000 Neighborhood Dredging Spur Channels 107,107 8282000 Sandbridge Emergency Beach Restoration 14,850,101 Total Transfer From: $ 14,957,208 Economic and Tourism Development Transfer To: 9041000 Virginia Beach Sports Center 10,141,047 Total Transfer To: $ 10,141,047 Transfer From: 9045000 Resort Parking District 10,141,047 Total Transfer From: $ 10,141,047 Miscellaneous Transfer To: 2054000 Ferrell Parkway 359,403 2135000 Cleveland Street Improvements IV 11,027,250 2419000 Centerville Turnpike Phase III 4,706,536 3074000 Aquarium Marsh Pavillion Phase II 1,700,000 3162000 Veteran's Memorial Sustainment 200,000 3184000 Virginia Aquarium Monument Signs 600,000 Total Transfer To: $ 18,593,189 Transfer From: 2050000 Landstown Road Improvements Phase I 5,712,090 2146000 Laskin Road Phase III 300,000 2422000 Indian River Road/Princess Anne Road Intersection Improvements 39,789 3146000 VA Aquarium Building System Rehab and Renewal Phase I 1,203,214 3278000 VA Aquarium Renewal and Replacement - Phase II 1,103,224 3069000 Euclid Yard 225,000 3103000 Heritage Building Maintenance I 1,605,515 3065000 Central Plant Generator 330,000 3159000 EMS Headquarters Generator 425,000 3156000 VA Aquarium Building Parking Garage Study 155,849 3171000 VA Aquarium Enhancement Study 300,000 8408000 Pleasure House Point Mitigation Funds 2,593,508 9091000 Burton Station Road Improvements III 4,500,000 4050000 Centerville Community Recreation Center 100,000 Total Transfer From: $ 18,593,189 Fiscal Year 2020-21 Ordinances Attachment D-Reductions in Funding Amount of Reduction in Appropriations Prior to Funding Project# FY 2020-21 Source Roadways 2125000 Indian River Road Phase VII-B $ 710,000 State Contribution 2111000 Traffic Safety Improvements IV $ 52,352 State Contribution 2111000 Traffic Safety Improvements IV $ 471,166 Federal Contribution Total Reduction: $ 1,233,518 Fiscal Year 2020-21 Ordinances Attachment E-Projects Utilizing Public Facility Bonds Summary of Public Facility Bonds: 1110000 Energy Performance Contracts II (School Operating Fund-115) $ 5,000,000 1107000 Princess Anne High School Replacement(School Operating Fund-115) $ 15,000,000 2409000 Centerville Turnpike Phase II (General Fund 002) $ 1,510,115 2054000 Ferrell Parkway(General Fund 002) $ 2,260,347 2125000 Indian River Road Phase VII-B(General Fund 002) $ 1,458,400 2078000 Sandbridge Road-Nimmo Phase VII-A(General Fund 002) $ 4,001,980 2256000 Indian River Rd Phase VII-A(General Fund-002) $ 6,208,877 2022000 Major Bridge Rehabilitation II (General Fund 002) $ 998,875 3164000 Energy Performance Contracts(City) II (General Fund-002) $ 550,000 3149000 Various Buildings Rehabilitation and Renewal(IV(General Fund-002) $ 3,600,000 3141000 Various Buildings HVAC Rehabilitation&Renewal IV(General Fund-002: $ 357,999 4080000 Sportsplex/Field Hockey National Trng Ctr Rep/Reno I $ 500,000 9039000 17th Street Improvements-Phase I Pacific to Cypress(TIP Fund-152) $ 6,500,000 9074000 Atlantic Avenue Street Improvements(TIP Fund- 152) $ 1,000,000 9086000 Oceanfront Restrooms(TIP Fund-152) $ 500,000 9045000 Resort Parking District(TIP Fund-152) $ 15,500,000 3174000 Operations Facilities Renovations(General Fund-002) $ 10,000,000 Total: $ 74,946,593 Note:The fund responsible for the debt service as a result of the issuance of bonds in these amounts is shown in parentheses next to the project title. Fiscal Year 2020-21 Ordinances 25 ITEMIII.A.1.b.2 ORDINANCES/RESOLUTION ITEM#70231 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: b. FY2020-2021 Capital Budget 2. Ordinance to AUTHORIZE the issuance of General Obligation Public Improvement Bonds in the maximum amount of$69,741,841 re various public facilities and general improvements Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL 2 OBLIGATION PUBLIC IMPROVEMENT BONDS OF THE CITY OF 3 VIRGINIA BEACH,VIRGINIA, IN THE MAXIMUM AMOUNT OF 4 $69,741,841 FOR VARIOUS PUBLIC FACILITIES AND GENERAL 5 IMPROVEMENTS 6 WHEREAS,the City of Virginia Beach,Virginia(the"City"),desires to authorize the issuance of general 7 obligation public improvement bonds for various purposes in the maximum amount of$69,741,841,as permitted by 8 the City Charter,without submitting the question of their issuance to the qualified voters. 9 10 WHEREAS,City Council held public hearings on the program to provide for public comment; 11 12 NOW,THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 13 14 1. That it is hereby determined to be necessary and expedient for the City to construct and improve 15 various public facilities and make general improvements, all of which will promote the public welfare of the City and 16 its inhabitants and will facilitate the orderly growth,development, and general welfare of the City, and to finance the 17 costs thereof through the borrowing of up to$69,741,841 and issuing the City's general obligation bonds therefore. 18 19 2. That,pursuant to the City Charter and the Public Finance Act of 1991,there are hereby authorized 20 to be issued general obligation public improvement bonds of the City in the maximum amount of $69,741,841 to 21 provide funds, together with other funds that may be available, for various public improvement projects, including 22 School, Roadway,Coastal, Economic and Tourism,and Building projects,for project activities that include, but are not 23 limited to, the following: preliminary studies and surveys, permit compliance, environmental assessment, planning, 24 design, engineering, site acquisition, relocation of residents, utility relocation, construction, renovation, expansion, 25 repair, demolition, site improvement, site work, legal services, inspection and support services, furniture and 26 equipment,and contingencies. 27 28 3. That the bonds may be issued as a separate issue at one time or in part from time to time or 29 combined with bonds authorized for other purposes and sold as part of one or more combined issues of public 30 improvement bonds. 31 32 4. That the bonds shall bear such date or dates,mature at such time or times not exceeding 40 years 33 from their dates, bear interest, be in such denominations and form, be executed in such manner and be sold at such 34 time or times and in such manner as the Council may hereafter provide by appropriate resolution or resolutions. 35 36 5. That the bonds shall be general obligations of the City for the payment of the principal, premium, 37 if any,and interest on which its full faith and credit shall be irrevocably pledged. 38 39 6. That the City Clerk is directed to make a copy of this ordinance continuously available for 40 inspection by the general public during normal business hours at the City Clerk's office from the date of adoption 41 hereof through the date of the issuance of the Bonds. 42 43 7. That the City Clerk, in collaboration with the City Attorney, is authorized and directed to 44 immediately file a certified copy of this ordinance with the Clerk of the Circuit Court of the City of Virginia Beach. 45 46 8.That this ordinance shall be in full force and effective from its passage. 47 48 Adoption requires the affirmative vote of two-thirds of all members of the City Council. 49 50 Adopted by the Council of the City of Virginia Beach,Virginia,on the 12 th day of May,2020. 51 APPRQVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: Budget and Marfagement Ser ices City A orn y's Office 26 ITEMIII.A.1.b.3 ORDINANCES/RESOLUTION ITEM#70232 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: b. FY2020-2021 Capital Budget 3. Ordinance to AUTHORIZE the issuance of Storm Water Utility System Revenue Bonds in the maximum amount of$34,708,495 Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE AUTHORIZING THE ISSUANCE OF STORM WATER UTILITY 2 SYSTEM REVENUE BONDS OF THE CITY OF VIRGINIA BEACH,VIRGINIA,IN 3 THE MAXIMUM AMOUNT OF$34,708,495 4 WHEREAS,the City of Virginia Beach,Virginia(the"City"),desires to authorize the issuance of storm water utility 5 system revenue bonds in the maximum amount of$34,708,495 for financing improvements and expansions to the City's storm 6 water utility system (the "System"), as permitted by the City Charter without submitting the question of their issuance to the 7 qualified voters. 8 9 WHEREAS,City Council held public hearings on the program to provide for public comment; 10 11 NOW,THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 12 13 1. That it is hereby determined to be necessary and expedient for the City to continue its program of improving 14 and extending the System,which will promote the public welfare of the City and its inhabitants and will facilitate the orderly growth, 15 development,and general welfare of the City,and to finance the costs thereof through the borrowing of$34,708,495 and issuing 16 the City's revenue bonds therefore. 17 18 2. That,pursuant to the City Charter and the Public Finance Act of 1991,there are hereby authorized to be issued 19 storm water utility system revenue bonds of the City in the maximum amount of$34,708,495 to provide funds,together with other 20 available funds,for financing the costs of improvements and expansions to the System. 21 22 3. That the bonds shall bear such date or dates,mature at such time or times not exceeding 40 years from their 23 dates,bear interest,be in such denominations and form,be executed in such manner and be sold at such time or times and in such 24 manner as the Council may hereafter provide by appropriate resolution or resolutions. 25 26 4. That the System is an undertaking from which the City may derive a revenue. The bonds shall be limited 27 obligations of the City, payable as to principal, premium,if any,and interest solely from the revenues derived by the City from the 28 System, and shall not be included within the otherwise authorized indebtedness of the City. The bonds shall not be deemed to 29 create or constitute an indebtedness of,or a pledge of the faith and credit of,the Commonwealth of Virginia or of any county,city, 30 town,or other political subdivision of the Commonwealth,including the City. The issuance of the bonds and the undertaking of the 31 covenants, conditions, and agreements to be contained in resolutions to be adopted or agreements to be entered into hereafter 32 shall not directly, indirectly, or contingently obligate the Commonwealth, the City, or any other political subdivision of the 33 Commonwealth to levy and collect any taxes whatsoever or make any appropriation therefore except from the revenues pledged 34 to the payment of the principal of and premium,if any,and interest on the bonds. 35 36 5. That such resolutions to be adopted and agreements to be entered into hereafter authorizing the issuance of 37 the bonds and providing the details thereof shall contain appropriate covenants requiring the City to fix, charge, and collect such 38 rates,fees,and other charges for the use of and the services furnished by the System and to revise the same from time to time and 39 as often as shall be necessary so as to produce sufficient net revenues to pay principal of and premium,if any,and interest on the 40 bonds as the same become due and to provide a margin of safety therefore. Such resolutions and agreements shall also include 41 such additional covenants,agreements,and other terms as are customary for the protection of the holders of storm water revenue 42 obligations. 43 44 6. That the City Clerk is directed to make a copy of this ordinance continuously available for inspection by the 45 general public during normal business hours at the City Clerk's office from the date of adoption hereof through the date of the 46 issuance of the bonds. 47 48 7. That the City Clerk, in collaboration with the City Attorney, is authorized and directed to immediately file a 49 certified copy of this ordinance with the Clerk of the Circuit Court of the City of Virginia Beach. 50 51 8. That this ordinance shall be in full force and effect from its passage. 52 53 Adoption requires the affirmative vote of a majority of all members of the City Council. 54 Adopted by the Council of the City of Virginia Beach,Virginia,on 12 '11 day of May,2020. r � ( __,--- B dget and Management Services Attome Office 27 ITEMIILA.1.b.4 ORDINANCES/RESOLUTION ITEM#70233 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: b. FY2020-2021 Capital Budget 4. Ordinance to AUTHORIZE the issuance of Water and Sewer System Revenue Bonds in the maximum amount of$1,318,515 Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE AUTHORIZING THE ISSUANCE OF WATER AND SEWER SYSTEM 2 REVENUE BONDS OF THE CITY OF VIRGINIA BEACH,VIRGINIA,IN THE MAXIMUM 3 AMOUNT OF$1,318,515 4 WHEREAS,the City of Virginia Beach, Virginia (the "City"), desires to authorize the issuance of water and sewer system 5 revenue bonds in the maximum amount of$1,318,515 for financing improvements and expansions to the City's water and sewer 6 system(the"System"),as permitted by the City Charter without submitting the question of their issuance to the qualified voters. 7 8 WHEREAS,City Council held public hearings on the program to provide for public comment; 9 10 NOW,THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 11 12 1. That it is hereby determined to be necessary and expedient for the City to continue its program of improving and 13 extending the System,which will promote the public welfare of the City and its inhabitants and will facilitate the orderly growth, 14 development,and general welfare of the City,and to finance the costs thereof through the borrowing of$1,318,515 and issuing the 15 City's revenue bonds therefore. 16 17 2. That pursuant to the City Charter and the Public Finance Act of 1991,there are hereby authorized to be issued water 18 and sewer system revenue bonds of the City in the maximum amount of$1,318,515 to provide funds,together with other available 19 funds,for financing the costs of improvements and expansions to the System. 20 21 3. That the bonds shall bear such date or dates, mature at such time or times not exceeding 40 years from their dates, 22 bear interest,be in such denominations and form,be executed in such manner and be sold at such time or times and in such manner 23 as the Council may hereafter provide by appropriate resolution or resolutions. 24 25 4. That the System is an undertaking from which the City may derive a revenue. The bonds shall be limited obligations of 26 the City, payable as to principal, premium, if any,and interest solely from the revenues derived by the City from the System, and 27 shall not be included within the otherwise authorized indebtedness of the City. The bonds shall not be deemed to create or 28 constitute an indebtedness of,or a pledge of the faith and credit of,the Commonwealth of Virginia or of any country,city,town,or 29 other political subdivision of the Commonwealth, including the City. The issuance of the bonds and the undertaking of the 30 covenants, conditions, and agreements to be contained in resolutions to be adopted or agreements to be entered into hereafter 31 shall not directly, indirectly, or contingently obligate the Commonwealth, the City, or any other political subdivision of the 32 Commonwealth to levy and collect any taxes whatsoever or make any appropriation therefore,except from the revenues pledged 33 to the payment of the principal of and premium,if any,and interest on the bonds. 34 35 5. That such resolutions to be adopted and agreements to be entered into hereafter authorizing the issuance of the bonds 36 and providing the details thereof shall contain appropriate covenants requiring the City to fix,charge, and collect such rates,fees, 37 and other charges for the use of and the services furnished by the System and to revise the same from time to time and as often as 38 shall be necessary so as to produce sufficient net revenues to pay principal of and premium,if any,and interest on the bonds as the 39 same become due and to provide a margin of safety therefor. Such resolutions and agreements shall also include such additional 40 covenants,agreements,and other terms as are customary for the protection of the holders of water and sewer revenue obligations. 41 42 6. That the City Clerk is directed to make a copy of this ordinance continuously available for inspection by the general 43 public during normal business hours at the City Clerk's office from the date of adoption hereof through the date of the issuance of 44 the bonds. 45 46 7. That the City Clerk, in collaboration with the City Attorney, is authorized and directed to immediately file a certified 47 copy of this ordinance with the Circuit Court of the City of Virginia Beach. 48 49 8. That this ordinance shall be in full force and effect from its passage. 50 51 Requires an affirmative vote of the majority of City Council 52 53 Adopted by the Council of the City of Virginia Beach,Virginia,on the 12 th day of May,2020. APPROVED AS TO CONTENT: APPRO LEGAL SUFFICIENCY: il ' _ % Budget and Management Sery es City Attorne s ice 28 ITEM IILA.1.c.1 ORDINANCES/RESOLUTION ITEM#70234 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: c. FY2020-2021 TA YPA YERS AND BUSINESSES RELIEF AND ASSISTANCE 1. Ordinance to APPROPRIATE and TRANSFER$2-Million from the FY2019- 2020 Parks and Recreation Operating Budget to the Department of Human Services for Taxpayer Relief re COVID-19 Impacts Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE TO APPROPRIATE $2 MILLION 2 AND TO TRANSFER FUNDS TO THE 3 DEPARTMENT OF HUMAN SERVICES FOR 4 TAXPAYER RELIEF DUE TO THE IMPACTS OF 5 COVID-19 6 7 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH, 8 VIRGINIA, THAT: 9 10 1 . $2,000,000 is hereby appropriated from the fund balance of the Parks and 11 Recreation Special Revenue Fund to the FY 2019-20 Operating Budget of the Parks and 12 Recreation Department, with specific fund reserves increased accordingly; and 13 14 2. $2,000,000 is transferred from the FY 2019-20 Operating Budget of the 15 Parks and Recreation Department to the Department of Human Services to provide 16 assistance and general relief to taxpayers as a result of the COVID-19 pandemic. Adopted by the Council of the City of Virginia Beach, Virginia on the 12 t h day of May , 2020. Requires an affirmative vote by a majority of all of the members of City Council. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: chS Budget and Managemen Services or ,s O ice CA15064 R-1 May 5, 2020 29 ITEM III.A.1.c.2 ORDINANCES/RESOLUTION ITEM#70235 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: c. FY2020-2021 TA YPA YERS AND BUSINESSES RELIEF AND ASSISTANCE 2. Ordinance to APPROPRIATE and TRANSFER$1-Million from the FY2019- 2020 Parks and Recreation Operating Budget to CIP #9-067 "Economic Development Investment Program II"re assistance to small businesses Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M. Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE TO APPROPRIATE $1 MILLION 2 AND TO TRANSFER FUNDS TO CIP 9-067 3 "ECONOMIC DEVELOPMENT INVESTMENT 4 PROGRAM II" TO PROVIDE SMALL BUSINESS 5 ASSISTANCE 6 7 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH, 8 VIRGINIA, THAT: 9 10 1. $1,000,000 is hereby appropriated from the fund balance of the Parks and 11 Recreation Special Revenue Fund to the FY 2019-20 Operating Budget of the Parks and 12 Recreation Department, with specific fund reserves increased accordingly; and 13 14 2. $1 ,000,000 is transferred from the FY 2019-20 Operating Budget of the 15 Parks and Recreation Department to CIP 9-067 "Economic Development Investment 16 Program II" to support small business relief as a result of the COVID-19 pandemic. Adopted by the Council of the City of Virginia Beach, Virginia on the 12th day of May , 2020. 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 s Office CA15063 R-1 May 5, 2020 30 ITEM IH.A.1.c.3 ORDINANCES/RESOLUTION ITEM#70236 Upon motion by Vice Mayor Wood, seconded by Council Member Jones, City Council ADOPTED, BY CONSENT, Ordinance re FY2020-21 RESOURCE MANAGEMENT PLAN (BUDGET) — RECONCILED PROPOSAL: c. FY2020-2021 TAYPAYERS AND BUSINESSES RELIEF AND ASSISTANCE 3. Ordinance to EXTEND the dates re Real Estate Tax Appeal Voting: 11-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None May 12, 2020 1 AN ORDINANCE TO EXTEND REAL ESTATE TAX APPEAL 2 DATES 3 4 WHEREAS, the COVID-19 Pandemic has caused substantial economic damage 5 to the residents of Virginia Beach; 6 7 WHEREAS, in recognition of such economic damage, the Council desires to 8 provide additional time for all taxpayers to avail themselves of the various methods of 9 appeal of real estate assessments; 10 11 NOW, THEREFORE, BE IT ORDAINED, BY THE CITY COUNCIL OF THE CITY 12 OF VIRGINIA BEACH, VIRGINIA THAT: 13 14 Notwithstanding § 35-35 of the City Code, the City Council hereby extends the 15 deadline for the filing of an administrative appeal to the Real Estate Assessor or an appeal 16 to the Board of Equalization to September 30, 2020. This extension shall be applicable 17 to any Fiscal Year 2020-21 real estate assessment. Adopted by the City Council of the City of Virginia Beach, Virginia, on this 12 t h day of May , 2020. APPROVED AS TO LEGAL SUFFICIENCY: /7-6/ ity A y's Office CA15067 R-1 May 7, 2020 31 ITEM IV. ADJOURNMENT ITEM#70238 Mayor Robert M. Dyer DECLARED the City Council SPECIAL MEETING ADJOURNED at 7:50 P.M. Terri H. Chelius Chief Deputy City Clerk Am da Ba s, MMC Robert M. Dyer City Clerk Mayor May 12, 2020