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Home My WebLink AboutJANUARY 10, 2006 AGENDA CITY OF VIRGINIA BEACH A COMMUNITY FOR A LIFETIME@ CITY COUNCIL MAYOR MEYERA E. OBERNDORF, At-Large VICE MAYOR LOUIS R. JONES, Bayside - District 4 HARRY E. DIEZEL Kempsville - District 2 ROBERT M. DYER, Centerville - District I REBA S. McCLANAN, Rose Hall - District 3 RICHARD A. MADDOX, Beach - District 6 JIM REEVE, Princess Anne - District 7 PETER W SCHMIDT, At-Large RON A. VILLANUEVA, At-Large ROSEMARY WILSON, At-Large JAMES L. WOOD, Lynnhaven -District 5 CITY COUNCIL AGENDA GTY HALL BUILDING 2401 COURTHOUSE DRIVE VIRGINIA BEACH, VIRGINIA 23456-8005 PHONE:(757) 427-4303 FAX (757) 426-5669 E- MAIL: Ctycncl@vbgov.com CITY MANAGER - JAMES K. SPORE CITY ATTORNEY - LESLIE L. LILLEY CiTY CLERK - RUTH HODGES SMITH, MMC 10 January 2006 1. CITY COUNCIL BRIEFING - Conference Room - 3:00PM. A. COMMUNITY COLOR PROJECT Tom Ward, Chairman, Virginia Beach Beautification Commission B. HUMAN RIGHTS COMMISSION Youth Community Outreach Subcommittee Report Fagan Stackhouse, Director, Department of Human Resources Dr. William Dyson, Chairman, Human Rights Commission II. COUNCIL LIAISON REPORTS III. CITY COUNCIL COMMENTS IV. REVIEW OF AGENDA ITEMS V. INFORMAL SESSION - Conference Room - 4:30 PM A. CALL TO ORDER - Mayor Meyera E. Oberndorf B. ROLL CALL OF CITY COUNCIL C. RECESS TO CLOSED SESSION VI. FORMAL SESSION 6:00 PM - Council Chamber - A. CALL TO ORDER - Mayor Meyera E. Oberndorf B. INVOCATION: Reverend C. Chris Thompson Rector, Eastern Shore Chapel C. PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA D. ELECTRONIC ROLL CALL OF CITY COUNCIL E. CERTIFICATION OF CLOSED SESSION F. MINUTES 1. INFORMAL and FORMAL SESSIONS December 20, 2005 G. AGENDA FOR FORMAL SESSION H. CONSENT AGENDA I. RESO L UTI 0 N/O RD INAN CES 1. Resolution re the Revenue Sharing Policy between the City and the School Board to fund a portion of the City's budget and the local share of the School Board's operating budget, local debt service costs and pay-as-you-go capital improvements. 2. Ordinance to APPROPRIATE $233,444 from the fund balance of the General Fund to the FY 2005-2006 Operating Budget of Convention and Visitors Bureau re special events in the Resort Area and increasing local revenue accordingly. 3. Ordinance to APPROPRIATE $40,000 in estimated revenue from vehicle transactions to the Commissioner of Revenue's FY 2005-2006 operating budget re the DMV Select Program for three (3) part-time Account Clerk I positions and other operating expenses. 4. Ordinance to ACCEPT and APPROPRIATE $23,971 from the Virginia State Library to the Clerk of Circuit Court's FY 2005-2006 operating budget re a Security Camera System in public areas for the protection and preservation of court records and increasing state revenue accordingly J. K. L. M. Agenda 1/5/06 sIb www.vbgov.com APPOINTMENTS BEACHES and W A TERW A YS COMMISSION COMMUNITY MEDICAL ADVISORY COMMISSION HISTORICAL REVIEW BOARD INVESTMENT PARTNERSHIP ADVISORY COMMITTEE - PPEA OLD BEACH DESIGN REVIEW COMMITTEE PERSONNEL BOARD (Alternates) RESORT AREA ADVISORY COMMISSION VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION UNFINISHED BUSINESS NEW BUSINESS ADJOURNMENT ********************************** PUBLIC COMMENTS Non-Agenda Items ********************************** ********* If you are physically disabled or visually impaired and need assistance at this meeting, please call the CITY CLERK'S OFFICE at 427-4303 Hearing impaired, call: Virginia Relay Center at 1-800-828-1120 *********** 1. CITY COUNCIL BRIEFING - Conference Room - 3:00PM. A. COMMUNITY COLOR PROJECT Tom Ward, Chairman, Virginia Beach Beautification Commission B. HUMAN RIGHTS COMMISSION Youth Community Outreach Subcommittee Report Fagan Stackhouse, Director, Department of Human Resources Dr. William Dyson, Chairman, Human Rights Commission II. COUNCIL LIAISON REPORTS III. CITY COUNCIL COMMENTS IV. REVIEW OF AGENDA ITEMS v. INFORMAL SESSION - Conference Room - 4:30 PM CALL TO ORDER - Mayor Meyera E. Oberndorf ROLL CALL OF CITY COUNCIL RECESS TO CLOSED SESSION VI. FORMAL SESSION H. - Council Chamber - A. CALL TO ORDER - Mayor Meyera E. Oberndorf 6:00PM c. PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA December 20, 2005 B. INVOCA TION: Reverend C. Chris Thompaon Rector, Eastern Shore Chapel D. ELECTRONIC ROLL CALL OF CITY COUNCIL E. CERTIFICATION OF CLOSED SESSION F. MINUTES 1. INFORMAL and FORMAL SESSIONS G. AGENDA FOR FORMAL SESSION CONSENT AGENDA iRtønlutinu CERTIFICATION OF CLOSED SESSION VIRGINIA BEACH CITY COUNCIL WHEREAS: The Virginia Beach City Council convened into CLOSED SESSION, pursuant to the affirmative vote recorded here and in accordance with the provisions of The Virginia Freedom of Information Act; and, WHEREAS: Section 2.2-3712 of the Code of Virginia requires a certification by the governing body that such Closed Session was conducted in conformity with Virginia Law. NOW, THEREFORE, BE IT RESOLVED: That the Virginia Beach City Council hereby certifies that, to the best of each member's knowledge, (a) only public business matters lawfully exempted from Open Meeting requirements by Virginia Law were discussed in Closed Session to which this certification resolution applies; and, (b) only such public business matters as were identified in the motion convening this Closed Session were heard, discussed or considered by Virginia Beach City Council. I. RESOL UTION/ORDINAN CES 1. Resolution re the Revenue Sharing Policy ADOPT a policy between the City and the School Board to fund a portion of the City's budget and the local share of the School Board's operating budget, local debt service costs and pay-as-you-go capital improvements. 2. Ordinance to APPROPRIATE $233,444 from the fund balance of the General Fund to the FY 2005-2006 Operating Budget of Convention and Visitors Bureau re special events in the Resort Area and increasing local revenue accordingly. 3. Ordinance to APPROPRIATE $40,000 in estimated revenue from vehicle transactions to the Commissioner of Revenue's FY 2005-2006 operating budget re the DMV Select Program for three (3) part-time Account Clerk I positions and other operating expenses. 4. Ordinance to ACCEPT and APPROPRIATE $23,971 from the Virginia State Library to the Clerk of Circuit Court's FY 2005-2006 operating budget re a Security Camera System in public areas for the protection and preservation of court records and increasing State Revenue accordingly CITY OF VIRGINIA BEACH AGENDA ITEM ITEM: A Resolution Adopting a Policy for the Sharing of Certain General Fund Revenues between the City of Virginia Beach and the Virginia Beach School Board MEETING DATE: January 10, 2006 . Background: The Virginia Beach City Public School System remains a top priority for both the City Council and the School Board. A healthy and attractive school system is a cornerstone in the vision of being the leading city in Virginia. The City/School Revenue Sharing Policy (the "Policy") continues to work well to allocate the resources necessary to allow the School Board to work towards their goal of delivering world-class schools to our citizens. The Revenue Sharing Policy Committee, comprised of two members of City Council, two members of the School Board, the City Manager, the Superintendent of Schools, the City Chief Financial Officer, the Schools Chief Financial Officer, and the Director of the Department of Management Services, met three times to review the Policy for sharing certain General Fund revenues between the City and the School Board. The general consensus of the committee was that the Policy is working for both the City and the Schools. It provides a consistent and predictable method for allocating resources for School operational, capital pay-as-you-go, and debt-services needs. It was decided, however, that the Policy should be updated to more closely reflect the current administration of the Policy and to incorporate the procedures necessary to accomplish the Policy, which had been a separate document since the adoption of the Policy in 1997. . Considerations: Several changes have been made to the policy: . Although the original Policy was silent on the impact of a tax-rate decrease, the revision clarifies that both the Schools and the City will share in any reduction in revenue due to a rate decrease. . Revenues derived from tax increment financing or special service district special revenue funds are specifically excluded from the revenue sharing formula. . The revised Policy calls for an annual mathematical recalculation of the formula to establish a new actual allocation percentage by incorporating any changes, including increases or decreases in tax rates. . A table showing the history of tax rate changes and changes in the effective overall percentage rate is attached to the Policy and will be updated annually. . Conditions for policy review are specified in the revised Policy. Significant unanticipated changes in the level of estimated federal, state, or local revenues will trigger a review. The Policy was revised to reflect that a review must take place at least every other year. This had been the practice since 2001, but the frequency of review was not specified in the original Policy. . Public Information: Council agenda process. Public information will be handled through the regular . Alternatives: Continue using the current Policy to allocate certain General Fund revenues estimated to be available in a given fiscal year. Alternatively, the Policy could be abolished altogether, although this would make the allocation of resources more unpredictable. . Recommendations: Approve the resolution to adopt the City/School Revenue Sharing Policy as revised. . Attachments: Resolution and Policy for the Sharing of Certain General Fund Revenues Between the City of Virginia Beach and the Virginia Beach School Board. Recommended Action: Approve Resolution Submitting Department/Agency: Management Services City Manager:~ 'k. .~ ~ 1 2 3 4 5 A RESOLUTION ADOPTING A POLICY FOR THE SHARING OF CERTAIN GENERAL FUND REVENUES BETWEEN THE CITY OF VIRGINIA BEACH AND THE VIRGINIA BEACH SCHOOL BOARD 6 WHEREAS, City determined adoption and Council has that 7 implementation of the revised revenue-sharing policy recommended by 8 the Revenue Sharing Policy Committee is the most prudent method by 9 which to allocate to the City of Virginia Beach and the Virginia 10 Beach School Board, respectively, certain General Fund revenues 11 estimated to be available in a given fiscal year to fund a portion 12 of the City's budget, and to fund the local share of the School 13 Board's operating budget, local debt service costs, and pay-as-you- 14 go capital improvements. 15 16 17 18 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA: That City Council hereby adopts the attached policy for the 19 sharing of certain General Fund revenues between the City of 20 Virginia Beach and the Virginia Beach School Board. 21 Adopted by the Council of the City of Virginia Beach, Virginia 22 on the day of 2006. APPROVED AS TO CONTENT /~E~ (Manag en Services APPROVED AS TO LEGAL SUFFICIENCY ~~ ¿ J( '1ifcL City Attorney' Offlce CA9843 H:\PA\GG\OrdRes\Rev Sharing Policy RES R-2 January 4, 2006 City Council Policy Title: Policy for the Sharing of Certain General Fund Revenues Index Number: 6.02 Between the City of Virginia Beach and the Virginia Beach School Board Date of Adoption: 02/25/97 1.0 Date of Revision: 12/21/05 Page 1 of 5 Purpose The purpose of this policy is to establish a procedure for allocating to the City and the School Board, respectively, certain General Fund revenues estimated to be available in a given fiscal year. This policy will establish a predictable, objective means of sharing local revenues and establish a balance between School programming needs and the wide range of other needs of the City. This policy will provide both the City and the School Board notification about revenue estimated to be available for fiscal year planning. Revenues allocated to the School Board represent the City's contribution to Schools. These revenues are used to fund the local share of the School Board's operating budget, local debt service costs, and pay-as-you-go capital improvements. The remaining revenues shall be allocated to the City. Tax Increment Financing revenue and Special Service District revenue shall not be subject to the Revenue Sharing Formula. The Revenue Sharing Formula will be reviewed periodically by a committee as established in section 9.1 of this policy, and will be adjusted as necessary. 2.0 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 Definitions The City refers to the City of Virginia Beach, exclusive of Schools. City Council refers to the City of Virginia Beach City Council. Schools refers to the Virginia Beach City Public Schools. The School Board refers to the Virginia Beach School Board. Revenues Subject to the Formula are defined as general fund revenues from the real estate, personal property, general sales, utility, cellular telephone and business license taxes, and from cable television franchise fees. The Revenue Sharing Formula is the percentage formula by which Revenues Subject to the Formula are allocated between the Schools and the City. Budgeted Revenues are the original estimates of revenues subject to the Revenue Sharing Formula adopted by City Council in May of each year. Actual Revenues are the collected revenues subject to the Revenue Sharing Formula. 3.0 3.2 3.3 3.4 3.5 3.6 Procedure to Accomplish the Policy 3.1 As a starting point for the fiscal year 2006-07 budget, the Schools will be allocated 51.79% of the Revenues Subject to the Formula, and the City will retain 48.21 % of the Revenues Subject to the Formula. These aggregate percentages are based on the actual allocations of Revenues Subject to the Formula by City Council in fiscal year 2005-06 as calculated after the adoption of the budget. These percentages may be adjusted for fiscal year 2006-07 at the discretion of the City Council. An adjustment may be necessary due to a tax increase or decrease, an increase or decrease in other revenue, or any other circumstance, at the discretion of the City Council. Immediately following the adoption of the budget for fiscal year 2006-07, the City's Department of Management Services will determine the actual percentages of Revenues Subject to the Formula allocated to Schools and retained by the City in fiscal year 2006-07. The actual percentages of Revenues Subject to the Formula allocated to the Schools and retained by the City for fiscal year 2006-07 shall be the starting point for allocations of Revenues Subject to the Formula for the fiscal year 2007-08 budget. This process shall continue each year, with the City's Department of Management Services calculating the actual allocation percentages after the adoption of the budget each year, and actual percentage allocations of Revenues Subject to the Formula for each fiscal year constituting the starting point for allocations for the subsequent fiscal year. A table showing the history of total Revenues Subject to the Formula, total Revenues Subject to the Formula allocated to the Schools, tax rates, tax rate changes, and the resulting Revenue Sharing Formula for each year is incorporated as a part of this policy in Appendix A. This table will be updated annually to reflect the most recent Revenue Sharing Formula based on the most recent budget adopted by City Council. Preliminary revenue allocation, using the actual allocation percentages for the previous year, will be based on annual October 1 revenue estimates. Updates will be made during budget development, based on December 31 collections, and provided to both parties within 20 calendar days of the December 31 collections. If in the development of the City biennial budget a local tax rate change is being considered, the City Manager will provide written notification to the School Board and Superintendent detailing the scope and magnitude of any contemplated tax rate change. The City Manager shall provide notice as early in the school budget development process as possible, preferably prior to the presentation of the Superintendent's Estimate of Needs in February. The proportion of revenues for the City and the Schools allocated based on the Revenue Sharing Formula shall not be affected by section 2-186.1 of the City Code regarding preparation of the budget using a "base budget" method. The City and the Schools recognize that it is not the intention of section 2-186.1 of the City Code to alter the Revenue Sharing Formula. For fiscal years 2006-07 and 2007-08, Revenues Subject to the Formula will also be calculated, for informational purposes only, according to the allocation ratio for each individual revenue stream included in the Revenue Sharing Formula, taking into consideration changes to the rates for the various streams as a result of 2 4.0 Council action. These stream-specific allocation ratios are detailed on Appendix B of this policy. At the scheduled Revenue Sharing Policy review in January 2007, the aggregate method of calculating the Schools' portion of the revenue (set forth by Section 3.1 of this policy) will be compared to the stream-specific method of calculating the Schools' portion of the revenue to ensure that the use of the aggregate percentage as described in Section 3.1 does not, exclusive of other factors, negatively impact the amount of revenue that the Schools receive. If it is determined that the allocation method described in Section 3.1, in and of itself, negatively impacts the amount of revenue that the Schools receive, definitive steps will be taken to remedy the situation. Additional Fundina-Schools 4.1 4.2 4.3 4.4 4.5 5.0 If the School Board determines a need for additional local funding to maintain its current level of operations or to provide for additional initiatives, it shall make a formal written request to the City Council, through its chairman, stating the purpose(s) for which the additional funding is needed, and the amount of additional funding required. The City Council shall review any School Board request for additional local funding and determine if additional funding is available. If the City Council determines that additional local funding cannot be made available without an increase in local tax rates, it shall formally notify the School Board. If the School Board desires to request an increase in local tax rates to generate the additional local funding requested, the School Board shall hold a public hearing on the issue of whether local tax rates should be increased to provide additional revenue for the purpose(s) identified by the School Board. Following the public hearing, if the School Board desires to request an increase in local tax rates, the School Board shall make a formal request to City Council to increase local tax rates to a level necessary to generate the additional funding. The School Board shall make such a request in the form of an adopted School Board resolution. City Council shall consider any properly submitted request by the School Board for a local tax increase and determine the appropriate action. If, after deliberation and appropriate public involvement, including the consideration of a referendum in appropriate circumstances, the City Council adopts a local tax rate increase to generate the additional local funding requested by the School Board, the full amount of revenue produced by the local tax increase shall become part of the School revenue share for the fiscal year budget being developed, and for all future fiscal years. Additional Fundina-Citv If the City Council determines that additional funding is needed to maintain the current level of City operations or to provide for additional initiatives in City programs or services, the City Council shall determine the appropriate action. If after deliberation and appropriate public involvement, including consideration of a referendum in appropriate circumstances, the City Council adopts a tax rate increase to generate the additional local funding for City government programs, the full amount of revenue produced by the local tax increase shall become part of the City revenue share for the fiscal year budget 3 6.0 being developed, and for all future fiscal years. Tax Rate Decrease If the City Council determines that it is in the best interest of the community to decrease the rate for any of the taxes or fees that are included in the revenue sharing formula, the revenue estimates will be calculated using the lowered tax rates. The City revenue share and the Schools revenue share shall be affected by a tax rate reduction in the same proportion that budgeted revenues were shared for that fiscal year, unless otherwise specifically determined by the City Council. 7.0 Actual Revenues Deviate from Budaeted Revenues 7.1 7.2 8.0 If, at the end of the fiscal year, the actual revenues exceed the budgeted revenues, the amount of excess revenues shall be shared by the City and the School Board in the same proportion that budgeted revenues were shared for that fiscal year; provided that such excess revenues shall only be shared after the necessary resources for the Fund Balance Reserve Policy have been determined and fulfilled. If, however, the City anticipates, at any time during the fiscal year, that actual revenues will fall below budgeted revenues, the School Board, upon notification by the City Manager of such an anticipated shortfall, will be expected to reduce expenditures in an amount equal to the School Board's proportion of the shortfall. Unanticipated Revenues Any increase in revenues resulting from actions of the Commonwealth not contemplated by this policy shall not be subject to the Revenue Sharing Formula but shall be the subject of joint discussions of the City and the Schools. 9.0 Revisions to Policy 9.1 9.2 A committee comprised of two members of City Council, two members of the School Board, the City Manager, the Superintendent of Schools, the City Chief Financial Officer, the School Chief Financial Officer and the Director of the Department of Management Services shall periodically review this policy and its application. This policy shall be reviewed, and revised as appropriate or necessary, (a) whenever a rate change for any of the taxes included in the Revenue Sharing Formula has been adopted; (b) whenever the funds made available to the School Board pursuant to this policy are not adequate to meet the State Board of Education's mandated "standards of quality"; (c) whenever any significant unanticipated changes occur in the level of estimated federal and state revenues available to the School Board; (d) whenever any significant unanticipated changes occur in City revenues not included in the Revenue Sharing Formula; and 4 (e) periodically, but at least biannually, beginning not later than January 31, 2007. Approved as to Content: A- I'¿JJ 'O~ Date Approved as ~ to Legal Sufficiency: " . ~ IY orney ~ I/¿¡Þ~ Date Reviewed by: ~L~~ ~ APPROVED BY CITY COUNCIL: Mayor Date 5 Revenue FY 1997 Rate Real Estate Tax RE Tax Public Service RE Tax Delinquent Personai Property Tax General Sales Tax Utility Taxes - see note Utility Taxes - Consumption Utility Taxes - Cellular Phones Business License Tax Cable Franchise Tax FY 1998 Rate 1.22 231,078,016 1.22 6,099,806 1.22 570,479 3.70 74,621,159 1% 36,171,287 28,816,558 see note $3 *' varies 5% 1,807,200 22,504,867 2,969,583 FY 1999 Rate 240,968,494 5,910,744 530,202 75,867,261 36,631,825 29,681,023 1,942,740 25,521,687 3,288,292 School Revenue Sharing Formula 1997-2006 FY 2000 FY 2001 FY 2002 FY 2003 FY 2004 FY 2005 FY 2006 Rate Rate Rate Rate Rate Rate Rate 253,781,350 267,618,466 282,792,433 298,785,562 326,074,713 362,347,945 1.1964 377,664,464 1.0239 6,160,203 6,291,653 6,649,361 7,024,086 7,241,806 6,905,591 1.1964 5,016,179 1.0239 625,896 823,202 906,822 928,856 1,016,145 1,121,572 1.1964 1,014,381 1.0239 86,321,826 88,016,364 98,021,277 100,320,466 106,624,523 110,035,897 113,389,566 38,764,180 40,331,525 41,208,796 41,370,311 43,807,065 45,538,506 50,833,174 30,270,754 31,823,732 31,908,988 31,968,743 32,061,944 33,569,117 32,064,827 1,385,444 .*' 1,418,695 1,641,706 1,576,053 1,711,061 I 1,663,132 2,017,610 3,180,901 4,372,070 5,267,578 8,466,780 25,570,088 27,880,165 29,396,269 30,815,259 31,958,284 34,065,874 37,140,370 3,393,352 3,446,326 3,754,440 4,639,462 4,795,420 4,857,144 4,612,615 . In FY 1998, residential utility tax increased from $2.40 to $3.00 pet month for electric, gas, telephone, and water utilities. The commercial rates increased as well on a tiered basis Because this increase was at the request of the City, 100% of the increase was allocated to the City. It was calculated that 89.1 % of the total utility tax was henceforth subject to the Revenue Sharing Formula *'10%offirst$30.00 I I ,.. ... Consumption is tiered; set by State Code Total Revenue in Formula $380,401,752 404,638,955 420,342,268 446,598,710 467,894,565 496,655,996 520,419,090 559,370,665 605,350,930 631,778,409 School Operating Transfer 182,236,233 187,703,617 199,879,794 208,189,195 225,336,750 234,934,664 254,754,290 256,418,891 268,713,519 Debt Service 31,079,628 31,481,013 34,607,610 36,248,916 35,688,677 38,712,634 39,582,583 41,303,652 40,912,433 CIP Pay-Go 2,424,339 1,037,460 2,311,304 1,000,000 1,000,000 1,000,000 17,597,408 17,597,408 Total School Allocation $202,121,285 213,315,861 221,608,969 235,524,864 246,749,415 262,025,427 274,647,298 295,336,873 315,319,951 327,223,360 Total City Allocation $178,280,467 191,323,094 198,733,299 211,073,846 221,145,150 234,630,569 245,771,792 264,033,792 290,030,979 304,555,049 City funding as % of total Revenue 46.87% I 47.28% I 47.28% I 47,26% I 47.26% I 47,24% I 47.23% I 47.20% I 47.91% I 48.21% School funding as % of total Revenue 53.13% I 52.72% I 52,72% I 52.74% I 52.74% I 52.76% I 52.77'10 I 52.80% I 52.09% I 51.79% ~~~ ,{'"~~.n, {It .1$1..'. -. \~i\ ~.\....- ;.) ¡\" ~/Jl l;'~"'~~'J "\:~ ",. ""0::,-5- ............. CITY OF VIRGINIA BEACH AGENDA ITEM ITEM: An Ordinance to Appropriate $233,444 from the Fund Balance of the General Fund to the FY 2005-06 Operating Budget of the Convention and Visitors Bureau to Fund Improvements and Special Events in the Resort Area MEETING DATE: January 10, 2006 . Background: In May of 1991, the City Council of Virginia Beach approved a Y2 cent increase in the Transient Lodging Tax and established a citywide entertainment program at the request of the Virginia Beach Hotel/Motel Association (the "Beach/Major Events Program"). The Beach/Major Events Program has enjoyed over a decade of recognition for its appeal to families who visit or reside in Virginia Beach. From the standpoint of economic return, the program has been successful in meeting its objective of increasing visitation in the shoulder season and distinguishing Virginia Beach from its competitors. . Considerations: The Y2 cent revenue tax designated for this program is annually estimated and appropriated. Actual revenues can exceed or fall short of the estimated budgeted amount. If the actual revenues exceed the estimated amount, these residual surplus funds historically have been appropriated to the operating budget of the Convention and Visitors Bureau for the Beach/Major Events Program. A surplus of $233,444 generated from the Y2 cent revenue tax dedicated for the Beach/Major Events Program has reverted to the fund balance of the General Fund. A detailed accounting of these funds is noted below: FY 2003/2004 Actual Revenue Estimated Appropriated Revenue Difference $ 1,055,050 $ 821,606 $ 233,444 It is suggested that a portion of the proceeds ($100,000) from the annual true-up process be used to fund specific improvements that benefit the entertainment efforts in the resort area. Examples could include provision of restrooms, stage facilities, lighting and sound enhancements, landscape enhancements, and storage facilities throughout the resort area. It is also requested that $133,444 be appropriated to the FY 2005-06 operating budget of the Convention and Visitors Bureau to reimburse BeachEvents for financing the costs of promoting the City's amenities at the Oceanfront last spring and to provide major entertainment programming in 2006. A new true-up process has been established by Management Services to accumulate any surplus revenues in the Tourism Growth Investment Fund (TGIF)/Beach/Major Events Program, which will avoid the need to formally appropriate surplus Beach/Major Events Program funds in the future. / . Public Information: Public information will be handled through the normal Council Agenda process. . Alternatives: These funds could remain in the fund balance of the General Fund, but this could impact programming needs of the Beach/Major Events Program. . Recommendation: Appropriate $233,444 of surplus from the fund balance of the General Fund to the operating budget of the Convention and Visitors Bureau for the Beach/Major Events Program. . Attachment: Ordinance Recommended Action: Approval of ordinance Submitting Department/Agency: Convention & Visitors Bureau City Manager: ~ k- , ðz9~ 1 2 3 4 5 AN ORDINANCE TO APPROPRIATE $233,444 FROM THE FUND BALANCE OF THE GENERAL FUND TO THE FY 2005-06 OPERATING BUDGET OF CONVENTION AND VISITORS BUREAU TO FUND SPECIAL EVENTS IN THE RESORT AREA 6 WHEREAS, the actual revenues from the portion of the hotel tax 7 designated Beach/Major Events Program in FY 2003-04 for the 8 exceeded the amount appropriated for the Program by $233,444; and 9 WHEREAS, the $233,444 surplus is currently included in the 10 Fund Balance of the General Fund. 11 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 12 VIRGINIA BEACH, VIRGINIA: 13 That $233,444 is hereby appropriated from the Fund Balance of 14 the General Fund to the FY 2005-06 Operating Budget of Convention 15 and Visitors Bureau to fund special events in the resort area, with 16 local revenue increased accordingly. 17 18 Adopted by the Virginia, on the Council day of City of Virginia , 2006. Beach, of the Requires an affirmative vote by a majority of the members of the City Council. APPROVED AS TO CONTENT APPROVED AS TO LEGAL SUFFICIENCY 1] J~¿(* City Attorney's Offlce CA9782 H:\PA\GG\OrdRes\CVB Special Events ORD R-4 January 5, 2006 ~~~ ,(.,,~~~, (,~f"..f,,1... ....... \~' q;{ -"-) (u !5;:) (. ...,.-- :.) \, 'I. .....11.> ~~,,~,:y ~~:i' CITY OF VIRGINIA BEACH AGENDA ITEM ITEM: An Ordinance to Appropriate $40,000 in Estimated Revenue from Vehicle Transactions to the Commissioner of the Revenue's FY 2005-06 Operating Budget to Fund the DMV Select Program MEETING DATE: January 10, 2006 . Background: The Virginia Department of Motor Vehicles (DMV) has developed contractual partnerships with local governments and private citizens around the State to provide selected DMV services. The program is called DMV Select. Currently there are 37 DMV Select local government partners throughout the State, including Arlington County, the City of Norfolk, and James City County. Each DMV Select site has online access to DMV, allowing the partner to update customer records immediately, and providing customers with a more convenient option for routine motor vehicle-related services. Services offered at DMV Select locations include vehicle titling, vehicle registration, the issuance of license plates and handicapped placards, and the processing of voter registrations. The City's Commissioner of the Revenue has been working with DMV to establish his office as a DMV Select site, and the expectation is that the Commissioner's Office will become a DMV Select partner on or about January 17, 2006. . Considerations: DMV will provide the Commissioner's Office with the necessary equipment and forms to provide the contracted services and will remit to the City 3%% of gross DMV Select collections made by the Commissioner. Not less than eighty percent of the sums remitted by the DMV to the City must be appropriated by the City to the Commissioner to compensate the Commissioner for the additional work involved with processing transactions for the DMV. It is the responsibility of the Commissioner's Office to provide any necessary personnel and cover other expenses associated with providing the services. Attached is a chart outlining estimated expenses associated with the provision of these services. While the Commissioner's DMV Select Office will be open to the general public, the Commissioner's Office will be focusing on dealer transactions, since the fees charged for vehicle transactions resulting from dealer sales are higher than fees associated with vehicle sales by individuals. The Commissioner has indicated that for the first month existing staff would run DMV Select in order to generate funds to pay for additional temporary staff. It is anticipated that three part-time Account Clerk I positions will be needed after the first month to continue DMV services while ensuring that the other services offered by the Commissioner's Office are provided without interruption. Besides personnel, additional costs include a computer to link with the DMV system and about $300 a month for secure money transfers to a bank with a DMV account. Over the first five years of operation, City costs are expected to be less than $80,000 annually, with $40,000 needed to fund the program through the remainder of FY 2005- 06. The Commissioner has agreed that if in any month a funding shortfall were to occur, he would make corresponding reductions to guard against future losses. Over the first five years of operation, average annual gross revenue at the Commissioner's DMV Select site is estimated to be $2,300,000, which would result in compensation from DMV to the City of approximately $80,000 (3%% of gross collections). This number is based on collection of 3% sales tax on the sale of 8,500 vehicles. These figures are estimates only. The number of dealer transactions and associated revenue processed through the two full service DMV offices in the City during FY 2004-05 are shown below: Office Hilltop Buckner Total Dealer Transactions 11 ,732 6,692 18.424 Gross Revenue $3,354,644 $1,283,580 $4.638.224 Based on discussions between the Commissioner and local dealers, as well as data derived from other DMV Select agencies, the Commissioner anticipates that the number of dealer transactions processed through his DMV Select office will generate sufficient revenue to cover the costs of providing the program. . Public Information: Public information will be handled through the normal City Council agenda process. . Attachment: Estimate of Expenses and Ordinance Recommended Action: Adoption of Ordinance /kt;4~ Submitting Department/Agency: Commissioner of the Revenue City Manager: COMMISSIONER OF THE REVENUE DMV SELECT PROGRAM ESTIMATED PROGRAM EXPENSES Expense FY 05-06* FY 06-07 FY 07-08 FY 08-09 FY 09-10 FY 10-11 Personnel $33,348 $68,031 $69,393 $70,782 $72,198 $73,641 Contractual Services 1,800 3,432 3,535 3,641 3,750 3,863 (money transport) Computer 414 828 853 879 905 932 maintenance Computer 4,000 Total Estimated $39,562 $72,291 $73,781 $75,302 $76,853 $78,436 Cost * All FY 05-06 data except the cost of the computer is based on six months. 1 2 3 4 5 6 AN ORDINANCE TO APPROPRIATE $40,000 IN ESTIMATED REVENUE FROM VEHICLE TRANSACTIONS TO THE COMMISSIONER OF THE REVENUE'S FY 2005-06 OPERATING BUDGET TO FUND THE DMV SELECT PROGRAM 7 the Virginia Beach Commissioner of the Revenue is WHEREAS, 8 contracting with the Virginia Department of Motor Vehicles ("DMV") 9 to provide services through the DMV Select program, and sufficient 10 revenue is expected to be generated through the program to cover 11 the costs of providing the services. 12 13 14 15 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA: $40,000 revenue from vehicle-related in estimated That 16 transactions is hereby appropriated to the Commissioner of the 17 Revenue's FY 2005-06 Operating Budget for three part-time Account 18 Clerk I positions and other operating expenses associated with the 19 DMV Select program. 20 21 Adopted by the Council of the City of Virginia Beach, Virginia on the day of 2006. APPROVED AS TO CONTENT APPROVED AS TO LEGAL SUFFICIENCY j)ClJv~ C\,~~~ ~.1,~~JJL~~f~Jh Management erVlces CA9855 H:\PA\GG\OrdRes\COR-DMV Select Program.ORD R-l December 28, 2005 City Hall Virginia Beach, VA 23456-9002 Commissioner of the Revenue Philip j. Kellam Commissioner VBgov.com!cor January 3, 2006 The Honorable Mayor Members of City Council Re: - Virginia Beach Commissioner granted Select Status by Department of Motor Vehicles - Department of Motor Vehicles launch of a Dealer Pilot Program for our Local Vehicle Registration Program Dear Mayor Oberndorf and Members of City Council: I am writing to inform you of very good news for the City of Virginia Beach and the citizens we serve. The Virginia Department of Motor Vehicles (DMV) has accepted my application as a Select Agent and will launch a pilot program with local auto dealers to improve our Local Vehicle Registration Program (L VR). These concurrent opportunities arose from the working relationship established between the City and the DMV over the past three years. The Virginia Beach Commissioner's Office had a unique advantage over other applicants for DMV Select agent based on our experience and the success of L VR. As you may recall, in 2003, the City and the DMV entered into a contract for the DMV to collect the City's local vehicle registration fee with the state registration fee under L VR. This partnership has produced increased collection trends for both the local vehicle registrations and personal property revenues. The Commissioner's Office administers LVR for the City, posting exemptions and resolving problems for the DMV and our mutual customers via the same secure internet connection that DMV Select transactions are conducted. With DMV Select status my staff can better assist customers with property tax issues. An issue that has concerned me with L VR has been the lack of auto dealer participation. So, over the past two years, I have met with dealers throughout Hampton Roads and they are participating in a dealer pilot program to enhance L VR. As a DMV Select agent, my staff will be actively engaged with auto dealers and can assist with this pilot, helping to ensure the success of L VR. Why is that so important? Quite simply, localities around the state are eliminating city stickers and auto dealer participation in L VR will allow the DMV to offer L VR to other localities. As other localities join the program, the DMV will scale its charges and Virginia Beach's cost will decrease substantially. These opportunities provide a format for efficiently improving our services to taxpayers while cutting the costs of government through a local-state partnership. It is truly a win-win-win, for the City, the DMV, and the citizens we serve. The city manager will present a resolution on this issue in your meeting of January 10,2006. I am at your call. Sincerely, Philip J. Kellam PJK/cph C: James K. Spore, City Manager Patti Phillips, Director of Finance Catheryn Whitesell, Director of Management Services Les Lilley, City Attorney CITY OF VIRGINIA BEACH AGENDA ITEM ITEM: An Ordinance to Accept and Appropriate $23,971 from the State Library of Virginia to the Clerk of Circuit Court's FY 2005-06 Operating Budget to Fund a Security Camera System in Public Areas for the Protection and Preservation of Court Records MEETING DATE: January 10, 2006 . Background: The State Library of Virginia has awarded $23,971 of additional funding to the Clerk of Circuit Court to assist with records security in the clerk's offices. The $23,971 is to fund a security camera system to be placed in public areas for the protection and preservation of court records. . Considerations: The State Library of Virginia awarded these funds with the intention that they be spent on the monitoring and protection of records. The $23,971 will enable the purchase of security cameras and the installation of the cameras in designated public areas to prevent Clerk's Office records, especially historic records, from being stolen, destroyed or defaced. . Public Information: Public information will be handled through the normal Council agenda process. . Attachment: Ordinance Recommended Action: Approve Ordinance Submitting Department/Agency: Clerk of Circuit Court City Manager~ 1L, ~bI>'I... 1 2 3 4 5 6 7 8 9 AN ORDINANCE TO ACCEPT AND APPROPRIATE $23,971 FROM THE STATE LIBRARY OF VIRGINIA TO THE CLERK OF CIRCUIT COURT'S FY 2005-06 OPERATING BUDGET TO FUND A SECURITY CAMERA SYSTEM IN PUBLIC AREAS FOR THE PROTECTION AND PRESERVATION OF COURT RECORDS COUNCIL OF THE CITY OF VIRGINIA BE IT ORDAINED BY THE 10 BEACH, VIRGINIA: 11 $23,971 is hereby in additional State That revenue 12 appropriated Clerk Circuit 2005-06 Court's FY to the of 13 Operating Budget for the purchase of security cameras with estimated revenue from the state increased accordingly. Adopted by the Council of the City of Virginia Beach, 14 15 16 Virginia on the day of , 2006. Approved as to Content Approved as to Legal Sufficiency j) , ¡}jJ~ ¿ If Jdl¿. City Attorney's fflce CA9852 H:\PA\GG\OrdRes\Clerk State Library Appropriation ORD R-3 January 3, 2006 J. APPO INTMENTS BEACHES and W A TERW A YS COMMISSION COMMUNITY MEDICAL ADVISORY COMMISSION GOVERNANCE COMMITTEE FOR HISTORIC SITES HISTORICAL REVIEW BOARD INVESTMENT PARTNERSHIP ADVISORY COMMITTEE - PPEA OLD BEACH DESIGN REVIEW COMMITTEE PERSONNEL BOARD (Alternates) RESORT AREA ADVISORY COMMISSION VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION K. UNFINISHED BUSINESS L. NEW BUSINESS M. ADJOURNMENT ********************************** PUBLIC COMMENTS Non-Agenda Items ********************************** PAGE I CITY OF VIRGINIA BEACH SUMMARYOFCOUNGLACTIONS V 0 I M B L DATE: December 20, 2005 C E S L D C M R C A W I J L A N R H N I E D 0 A D D E M U L W AGENDA Z Y N N D 0 E I E S 0 ITEM # SUBJECT MOTION VOTE E E E A 0 R V D V 0 0 L R S N X F E T A N D l/Il/Ill CERTIFICATION OF CLOSED SESSION CERTIFIED ll-O Y Y Y Y Y Y Y Y Y Y Y /lVÆ F MINUTES APPROVED ll-O Y Y Y Y Y Y Y Y Y Y Y 1. November 21,2005 2. December 13, 2005 G/H/l PUBLIC HEARING 1. AMENDMENT TO FY 2005-06 NO SPEAKERS SCHOOL CAPITAL BUDGET $3,844,977 to various projects III PUBLIC COMMENT 1. HISTORIC KEMPSVILLE PLAN NO SPEAKERS Ordinance re the City's Plan for BRAC compliance ADOPTED 11-0 Y Y Y Y Y Y Y Y Y Y Y re NAS Oceana requesting Va Gen Assembly support legislation to implement the Plan! authorize acquisition of property in APZ-I J/K 1. Ordinances re BRAC Compliance Plan: ADOPTED ll-O Y Y Y Y Y Y Y Y Y Y Y a. AMENDMENTS to CZO Camp Plan: 1. AMEND CZO I REPEAL §221.1 1 ADD Art 18, §§I800 - 1807 to establish City Council Policy re AICUZ 2. AMEND Comp Plan NAS Oceana - NALF Fentress Interfacility Traffic Area Map 3. AMEND Comp Plan 1 REVISE Appendix of Policy document 1 Princess Anne Corridor Plan to incorporate ACUZ 1 JLUSI AICUZ Overlay 4. AMEND Official Zoning Map by designation 1 incorporate NAS Oceana - NALF Fentress Interfacility Traffic Area 5. AMEND Airport Noise Attenuation and Safety Ordinance with required disclosures in real estate transactions 6. AMEND CZO, §§ 401/ SOli 601/ PAGE 2 CITY OF VIRGINIA BEACH SUMMARY OF COUNCIL ACTIONS V 0 I M B L DATE: December 20, 2005 C E S L D C M R C A W I J L A N R H N I E D 0 A D D E M U L W AGENDA Z Y N N D 0 E I E S 0 ITEM # SUBJECT MOTION VOTE E E E A 0 R V D V 0 0 L R S N X F E T A N D 801/901/1001/1110 re incompatible uses in Agricultural, Residential, Apartment, Office, Business, Industrial PO-HI zoning districts within Accident Potential Zone 1 (APZ-l) 7. AMEND Article 15 of CZO re Resort Tourist 1 Laskin Road Gateway Districts 8. AMEND CZO §I542 1 1543 re density restrictions in Laskin Road Gateway Overlay District 9. AMEND CZO §I02 to establish Old Beach Overlay District 10. AMEND Official Zoning Map 1 ADDING the Old Beach Overlay District II. ADD §§ 1900-1906 re Old Beach Design Review Committee 12. AMENDCZO§III reancillary single-family dwelling unit 13. AMEND CZO §200 re ancillary single-family dwellings 14. AMEND Site Plan Ordinance §2 re ancillary single-family dwelling units 15. AMEND Comp Plan incorporate Resort Area Design Guidelines 16. AMEND Comp Plan 1 incorporate Old Beach Design Guidelines 17. AMEND Comp Plan 1 REPEAL Concept Plan (1994) 1 incorporate Oceanfront Resort Area Plan (November 2005) 18. AMEND Chapter 4 of Camp Plan re Oceanfront Resort Area Concept Plan. b. Land Acquisition Plans: PAGE 3 CITY OF VIRGINIA BEACH SUMMARY OF COUNCIL ACTIONS V 0 I DATE: December 20, 2005 M B L C E S L D C M R C A W I J L A N R H N I AGENDA E D 0 A D D E M U L W Z Y N N D 0 E I E S 0 ITEM # SUBJECT MOTION VOTE E E E A 0 R V D V 0 0 L R S N X F E T A N D 1. APZ-I Use IAcquisition, dated December 14, 2005 2. Interfacility Traffic Area Acquisition, dated December 15, 2005. 2 CHRISTIAN CHAPEL ASSEMBLY OF GOD APPROVEDI 10-0 Y Y Y Y A Y Y Y Y Y Y CUP re expansion to existing church at 2751 Salem CONDITIONED Rd. (DISTRICT 7 - PRINCESS ANNE) 3 Variance to §4.4 (b) of Subdivision Ordinance that APPROVEDI 8-2 Y Y A N Y N Y Y Y Y Y all lots meet CZO for WILLIAM & WHITNEY CONDITIONED, B WEST to subdivide parcels into four (4) singIe- BY CONSENT S family dwellings at 1460 West Little Neck Road. T (DISTRICT 5 - L YNNHA VEN) A I N E D 4 Incorporation of property to single-family residential APPROVEDI AS 7-2 Y Y A Y Y N Y Y N A Y development at 4704 14708 Indian River Rd: PROFFERED, B B (DISTRICT 1 - CENTERVlLLE) BY CONSENT S S T T A A I I a. INDIAN POINT, L.L.c. for a COZ from N N R-I0 Conditional R-I0 with PD-H2 E E Overlay District D D b. HOLLIS RD ASSOCI INDIAN POINT, L.L.c. Modification of Proffers re Concept Plan of June 15, 2005, fa- access 5 MARVIN M. I GAYLE B. ROLLINS re APPROVED AS 10-1 Y Y Y Y Y N Y Y Y Y Y hardware store with bulk storage at 5689 Mcrris PROFFERED I Neck Rd: (DISTRICT 7 - PRINCESS ANNE) CONDITIONED, BY CONSENT a. COZ from AG-2 to Conditional B-2 b. CUP for a hardware store and accessories with a bulk storage facility VI Resolution re revised Investment Policy for City ADOPTED, BY ll-O Y Y Y Y Y Y Y Y Y Y Y funds City Treasurer's investment practices. CONSENT v 0 I M B L 2005 C E S L D C M R C A W I J L A N R H N I E D 0 A D D E M U L W Z Y N N D 0 E I E S 0 MOTION VOTE E E E A 0 R V D V 0 0 L R S N X F E T A N D ADOPTED, BY 11-D Y Y Y Y Y Y Y Y Y Y Y CONSENT 9-0 Y Y Y Y A Y A Y Y Y Y Unexpired thru 5/31/06 plus 2 years 6/1/06-5/31/08 RESCHEDULED B Y C 0 N S E N S U S PAGE 4 CITY OF VIR SUMMARY OF DATE: December 20, AGENDA ITEM # SUBJE 2 Resolution to ES advisory Shore 3 Ordinance to AP Reversion Fund a. Instructiona re SOL Inc b. School Res Revenue Fu c. Student Da re K-I2 gra data analy d. Equipment re copiers a e. Middle I Hi language I f. Windsor W School repI 4 Ordinance to AC $100,000 fran D Commonwealth unlawful possessi ADD Resolution to req ON legislation autho cameras) to enh M APPOINTMEN BEACHES and GOVERNANCE SITES HISTORICAL INVESTMENT COMMITTE MINORITY BU Appointed: Linda Brig OLD BEACH D PERSONNEL B GINIA BEACH COUNCIL ACTIONS CT T ABLISH City Manager's Drive Safety Task Force PROPRIATE $6,792,998 SdlOol s: I Category entive Funds $1,500,000 erve Special nd $1,448,021 ta Management System de bookl sis $1,008,832 I Vehicle Replacement nd risographs $ 300,000 gh School abs $ 700,000 oods Elementary acement $1,836,145 CEPT/APPROPRIATE epart of Justice to 's Attorney re prosecution of on I use of weapon cases uest Va Gen Assembly support rizing photo monitoring (red light ance public safety TS: WATERWAYS COMMISSION COMMITTEE FOR HISTORIC REVIEW BOARD PARlNERSHlP ADVISORY E - PPEA SINESS COUNCIL t ESIGN REVIEW COMMITTEE OARD (Alternates) ADOPTED, BY CONSENT ADOPTED, BY CONSENT ADDED ADOPTED, BY CONSENT RESCHEDULED ll-D Y Y Y Y Y Y Y Y Y Y Y II-D Y Y Y Y Y Y Y Y Y Y Y ll-D Y Y Y Y Y Y Y Y Y Y Y B Y 0 S U S S E N C N PAGE 5 CITY OF VIRGINIA BEACH SUMMARY OF COUNCIL ACTIONS V 0 I M B l DATE: December 20, 2005 C E S l D C M R C A W I J l A N R H N I E D 0 A D D E M U l W AGENDA Z Y N N D 0 E I E S 0 ITEM # SUBJECT MOTION VOTE E E E A 0 R V D V 0 0 l R S N X F E T A N D RESORT ADVISORY COMMISSION (RAC) 9-0 Y Y Y Y A Y A Y Y Y Y Reappointed: 3 years 1/1/06-12/31/08 Bill Blue Matthew T. Falvey Joshua Thompson SHORE DRIVE ADVISORY COMMITTEE 9-0 Y Y Y Y A Y A Y Y Y Y Appointed: Unexpired thru 6/30/06 3years 7/1/06-6/30/09 Keith Pezzella VIRGINIA BEACH COMMUNITY 9-0 Y Y Y Y A Y A Y Y Y Y DEVELOPMENT CORPORATION (VBCDC) Reappointed: 4 years 1/1/06-12/31/09 Christovher Fanney N UNFINISHED BUSINESS 0 NEW BUSINESS P ADJOURNMENT 8:15 PM