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Home My WebLink AboutDECEMBER 8, 2009 MINUTESCITY OF VIRGINIA BEACH "COMMUNITY FOR A LIFETIME" CITY COUNCIL MAYOR WILLIAM D. SF.SSOMS, JR., At-Large VICE MAYOR LOUIS R. JONES, Bayside -District 4 GLF.'NN R. DAMS, Hose Hall -District 3 WILL/AM R. DeSTF,PH, AbLarge HARRY F.. D/EZEL, Kemprvi/Ie -District Z ROBERT M. DYER, Centerville -District / BARBARA M. Hh.'NI,F.Y, Princess Anne -District 7 JOHN F'. UHRIN, Beach -District 6 RON A. V/LLANUEVA, At-Large ROSEMARY WILSON, At-Large JAMES I,. WOOD, /,ynnhaven -District 5 CITY COUNCIL APPOINTEES C/TY MANAGER -JAMES K. SPORE CITY ATTORNEY -MARK D. STILES C'l7Y ASSESSOR - JERALD BANAGAN CITY AUD/TOR - LYNDON S. REMIAS C'l7Y CLERK -RUTH HODGES FRASER, MMC I. II II. III CITY COUNCIL BRIEFINGS: -Conference Room - A. COMMUNITY PARTNERSHIP re HOMELESSNESS Andrew Friedman, Director -Housing and Neighborhood Preservation Ray Bjorkman, Beach Fellowship Ruthie Hill, Executive Director -Samaritan House B. EMPLOYEE RETIREMENT INCENTIVE Paul Lanteigne, Sheriff CITY MANAGER'S BRIEFINGS: A. CITIZEN SURVEY RESULTS Nanci A. Glassman, President -Continental Research B. COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) Patricia Phillips, Director -Finance C. TOWN HALL BUDGET MEETING RESULTS Catheryn Whitesell, Director -Management Services CITY COUNCIL COMMENTS CITY COUNCIL AGENDA REVIEW IV. INFORMAL SESSION -Conference Room - A. CALL TO ORDER -Mayor William D. Sessoms, Jr. B. ROLL CALL OF CITY COUNCIL CITY COUNCIL AGENDA 8 December 2009 C/TY HALL BU/LD/NG 240/ COURTHOUSE DRIVE V/RGIN/A BEACH, VIRGIN/A 23456-8005 PHONE: (757) 385-4303 FAX (757) 385-5669 E- MA/L: Ctycnc!@vbgov.com 2:30 PM 5:00 PM C. RECESS TO CLOSED SESSION V. FORMAL SESSION AGENDA - City Council Chamber - 6:00 PM A. CALL TO ORDER -Mayor William D. Sessoms, Jr. B. INVOCATION: Reverend Ted David Virginia Beach United Methodist Church C. PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA D. ELECTRONIC ROLL CALL OF CITY COUNCIL E. CERTIFICATION OF CLOSED SESSION F. MINUTES 1. INFORMAL and FORMAL SESSIONS December 1, 2009 G. FORMAL SESSION AGENDA H. MAYOR'S PRESENTATIONS I . RESOLUTIONS IN RECOGNITION: Sheriff Lanteigne George Alcaraz I. PUBLIC HEARINGS 1. SOUTHEASTERN PUBLIC SERVICE AUTHORITY OF VIRGINIA (SPSA) Amended and Restated Articles of Incorporation 2. INSTALLMENT PURCHASE AGREEMENT Acquisition of Agricultural Land Preservation (ARP) Easement 6485 and 6529 Blackwater Road 3. LASKIN ROAD GATEWAY Phase I-A Acquisition 4. LEASE OF CITY PROPERTIES a. 1467 Old Virginia Beach Boulevard b. Nextel Communications of the Mid-Atlantic, Inc. Indian River Road/Chesterbrook Drive CONSENT AGENDA K. ORDINANCES/RESOLUTIONS 1. Resolution to AUTHORIZE the Amended and Restated Articles of Incorporation for the Southeastern Public Service Authority of Virginia (SPSA) 2. Ordinance to AUTHORIZE the acquisition of an Agricultural Land Preservation (ARP) Easement with Bonnie B. and Earnest E. Morrow, Sr., Trustees, at 6485 and 6529 Blackwater Road 3. Ordinance to AUTHORIZE the City Manager to execute anon-binding Memorandum of Understanding (MOU) with From One Hand To Another, Inc. (FOHTA) for the Pharrell Williams Resource Center re programs to support young people beyond their traditional classroom experience 4. Ordinance to AUTHORIZE acquisition of property, temporary and permanent easements, either by agreement or condemnation, for the right-of--way of Laskin Road Gateway, Phase 2 Ordinance to AUTHORIZE and DIRECT the City Manager to execute: a. A five (5) year Lease with Nextel Communications of Mid-Atlantic, Inc. re telecommunications facilities at Stumpy Lake b. A one (1) year lease with Transitions Community Development Corporation at 1467 Old Virginia Beach Road re a temporary living program 6. Ordinance to ACCEPT and APPROPRIATE Grant funds from the U.S. Department of Energy through the 2009 American Recovery and Reinvestment Act Energy Efficiency and Conservation Block Grant Program re energy efficiency and conservation initiatives 7. Resolutions re Recovery Zone Economic Development Bonds: a. Designating the Recovery Zone Area b. Issuing General Obligation Bonds (GOB) through VML/VACO Resolution to AUTHORIZE the ISSUANCE of Residential Care Facility Mortgage Revenue Bonds (Westminster-Canterbury of Hampton Roads, Inc.) re capital renovations and improvements to existing facilities 9. Resolution to REFER to the Planning Commission an Ordinance to AMEND Sections 111, 211 and 212 of the City Zoning Ordinance (CZO) and ADD a new Section 211.2 defining the term "Roadside Guide Sign" and establish requirements for allowing such signs in the public right-of--way L. PLANNING 1. Application of VIOLA BUILDING CORPORATION re an enlargement of nonconforming structures at 6900 Atlantic Avenue and 203 69`h Street DISTRICT 5 - LYNNHAVEN RECOMMENDATION APPROVAL 2. Application of CENTRAL ASSOCIATES OWNER'S ASSOCIATION, INC. for a Conditional Use Permit re an enclosed bulk storage yard at 500 and 508 Central Drive DISTRICT 6 -BEACH RECOMMENDATION APPROVAL 3. Application of DANIEL E. POSTON for a Conditional Use Permit re motor vehicle sales and service at 3336 Holland Road DISTRICT 3 -ROSE HALL RECOMMENDATION APPROVAL 4. Application of ROCK CHURCH for a Conditional Use Permit re religious use (Seminary) at 640 Kempsville Road DISTRICT 2 - KEMPSVILLE RECOMMENDATION APPROVAL 5. Application of JESSUP CONSTRUCTION L.L.C./JOHN P. MYERS for a Change of Zoning District Classification from R-40 Residential District to Conditional R-20 Residential District re four (4) single family waterfront lots at 1125 and 1129 Trantwood Avenue DISTRICT 5 - LYNNHAVEN RECOMMENDATION DENIAL 6. Ordinance re the Comprehensive Plan of the City of Virginia Beach, dated October 1, 2009, with Exhibits 1-A and 1-B and including the Land Use and Master Transportation Plan maps. RECOMMENDATION ADOPTION M. APPOINTMENTS BIKEWAYS and TRAILS ADVISORY COMMITTEE COMMUNITY SERVICES BOARD HISTORIC PRESERVATION COMMISSION HUMAN RIGHTS COMMISSION PLANNING COMMISSION PUBLIC LIBRARY BOARD RESORT ADVISORY COMMISSION WETLANDS BOARD N. UNFINISHED BUSINESS O. NEW BUSINESS P. ADJOURNMENT *~**~~*~ If you are physically disabled or visually impaired and need assistance at this meeting, please call the CITY CLERK'S OFFICE at 385-4303 '~C )C i~: 7C '~ ]C ~: ]f ~C 7~ ~C Town Hall Meetings - 2010-11 Municipal Budget Thursday, December 3, 7:00 PM Kellam High School, 2323 Holland Road Monday, December 14, 6:30 PM ANNUAL JOINT MEETING General Assembly, City Council and School Board Town Center City Club 222 Central Park Avenue, Suite 230 Agenda 12/8/09a1b/gw -1- MINUTES VIRGINIA BEACH CITY COUNCIL Virginia Beach, Virginia December 8, 2009 Mayor William D. Sessoms, Jr., called to order the CITY COUNCIL'S BRIEFING: COMMUNITY PARTNERSHIP re HOMLESSNESS in the City Council Conference Room, Tuesday, December 8, 2009, at 2:30 P.M. Council Members Present: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Absent: Ron A. Villanueva [On way back from Richmond) December 8, 2009 -2- CITY COUNCIL BRIEFINGS OMMUNITY PARTNERSHIP re HOMELESSNESS 2:30 P.M. ITEM # 59451 Andrew Friedman, Director -Housing and Neighborhood Preservation, recognized the speakers' relative the presentation. Ending Homelessness in Virginia Beach: Recognizing Our Past, Present & Future Presenters: • Teresa Stanley - Co-Chair, Winter Shelter and Lighthouse Center Advisory Board - S. Hampton Roads Organizer, Virginia Organizing Project - BEACH Community Partnership Family Homelessness Subcommittee • Ray Bjorkman - Lead Pastor, Beach Fellowship - BEACH Community Partnership Executive Committee • Andrew Friedman - Director, Dept. of Housing and Neighborhood Preservation (DHNP) - Beach Community Partnership Executive Committee City Council adopted a 10-Year Plan re Ending Homelessness, in Spring 2007. • Community contacts with Mayor Sessoms, Winter 2009 • Initial BEACH Partnership meeting, April 2009 • Council Retreat issue: Homeless at the Oceanfront, August 2009 Ruthie Hill, Executive Director -Samaritan House and Executive Committee Member -BEACH Partnership, will also present information. Teresa Stanley, Co-Chair, Winter Shelter and Lighthouse Center, recognized what has been done re honoring the past and meeting needs. Together We've Made Progress Examples of successful collaboration: • Samaritan House • Winter Shelter Program • JCOC • Seton House • VetsHouse • VBCDC • Lighthouse Center _ _ • Gosnold, Cloverleaf and South Bay SROs December 8, 2009 -3- CITY COUNCIL BRIEFINGS COMMUNITY PARTNERSHIP re HOMELESSNESS ITEM # 59451 (Continued) Teresa Stanley advised Samaritan House is one of the largest shelters in the State and boasts fifty (50) units serving families. The Winter Shelter program houses 10,000 beds a year, serving two hundred seventy-five (275) different individuals. With the Lighthouse day time support, four hundred (400) individuals are served annually. The Judeo-Christian Outreach Center (JCOC) has fifty (SO) different beds available and also serves aCity-wide dining program (collaboration of private and public partnership, as well as the faith community). Seton House serves the youth (approximately 10, 000 annually). There are ten (10) beds for boys, and ten (10) beds for the female population. Vets House is a scattered site model that serves the Veteran population. Virginia Beach Community Development Corporation (VBCDC) now has over three hundred (325) units serving at-risk and low income families in need. With City Council's leadership, there has been a regional effort to deal with permanent housing, i. e. Gosnole, Cloverleaf and South Bay Single Room Occupancy units. Together We've Made Progress Examples of successful collaboration: • 10-Year Plan adopted by City Council • Project Homeless Connect in 2008 • Continuum of Care submissions bringing in over $10 million into our community to help end homelessness • New programs developed within DHNP: -Rental Security Deposit -Optional Relocation -Program-based vouchers for homeless families - Housing First Program Reverend Ray Bjorkman -Lead Pastor, Beach Fellowship, recognized to two (2) topics: "What's Happening Now "and "Needs Being Addressed ": BEACH -Bringing an end to all City Hornlessness A community partnership between citizens and faith, business, non profit and City organizations "Our City, Our Homeless, Our Shared Responsibility" December 8, 2009 -4- CITY COUNCIL BRIEFINGS COMMUNITY PARTNERSHIP re HOMELESSNESS ITEM # 59451 (Continued) What is BEACH? Three-Part Partnership: Reverend jorkman advised one of the suggested City-wide mantras: "Virginia Beach, a city where we live more simply so that others can simply live. " Mr. Friedman provided further information concerning BEACH. Who is BEACH? Planning Committee: Decision-making body Executive Committee: Provides organization and administration Subcommittees: Plan and conduct projects Each committee has city, faith and non-profit members ~ j Planning Committee Executive Committee Single Family Servke ~~~_ Fundrolsing& rota rx eting& ~~' Skills halnL~g ~~,,,, n,~nlwtions !~. Homelessness Homelessness Coordination Development Subcommittee Subcommittee Subcommittee Subcommittee Suneomminee ~'-' Subcom mlttee !, December 8, 2009 -5- CITY COUNCIL BRIEFINGS COMMUNITY PARTNERSHIP re HOMELESSNESS ITEM # 59451 (Continued) n~_____:._~ /~.,.,....,~..:st.... ]Un•»l~arc inr/u//P nnrfi('[nanlS from • Beach Fellowship Housing and Neighborhood Preservation • Catholic Charities Human Services Mental Health Substance Abuse Division • Virginia Beach United Methodist Judeo-Christian Outreach Center • Virginia Organizing Project Anchoring Hope Family Worship • First Presbyterian Volunteers of America • Church of the Ascension Virginia Beach Community Development Corporation (VBCDC) • Thalia United Methodist Virginia Beach City Public Schools - Project HOPE • Samaritan House MISSION and GOALS "Realizing Our Personal and Collective responsibility to our fellow man, we mobilize our community to o.,d tinmv/accnoc.c" • Prevent homelessness whenever Be consistent with city housing and wherever possible and neighborhood goals • Help homeless obtain and Expand availability of resources maintain permanent housing quickly • Expand opportunities for decent, Connect people to services, safe and affordable housing training and resources • Enhance communication and Increase mutual understanding service coordination; eliminate regarding homelessness redundancies • Advocate for expansion of quality programs and creation of new initiatives December 8, 2009 -6- CITY COUNCIL BRIEFINGS COMMUNITY PARTNERSHIP re HOMELESSNESS ITEM # 59451 (Continued) A short video was displayed recognizing the need and the reasons to do more. On January 21, 2009, 433 people in Virginia Beach were identified as being homeless. A study conducted for the region estimates that 4,300 people in Virginia Beach will experience an episode of homelessness in a given year. Fifty-one percent (SI %) of the homeless population is made up of people with children. A former substance abuse user, named Amy, gave testimony concerning the program. Mr. Friedman referenced "What We're Working On Now": Concept Plan for Relocation and Expansion of The Lighthouse Day Services Center: Creating a Center for Opportunity • Develop multi-service Center to serve homeless and all low-income residents in need • Expand physical space, services available and population served • Form "one-stop" Center for integrated supportive services for all who want to succeed, whether homeless or not • Offer opportunity for co-location offaith-based, non profit and City organizations and agencies for service delivery Lighthouse Center Concept Plan Expected Outcomes • Greater opportunities to succeed: increased access, new and expanded services, better service coordination • Service provider effectiveness is increased through improved coordination and reduced duplication • Homelessness is prevented and homeless persons obtain housing at greater rates than before • Center contributes to area through quality design • Enhanced public private partnerships for funding and service delivery create new opportunities for people to succeed Community Plan to End Homelessness: Update to City's adopted 10-Year Plan to End Homelessness • Build community energy into action plan • Include best practices • Will present plan for City Council's review (Composed of Regional Non-Profit, Faith and City entities. Teresa Stanley, Co-chair - Winter Shelter and Lighthouse Center Advisory Board, discussed "Recognizing Opportunities to Do More: The Dream". City Council is aware of the 12,000 affordable housing unit deficit referenced in the Tabb report. Homelessness can be eradicated. December 8, 2009 -~- CITY COUNCIL BRIEFINGS COMMUNITYPARTNERSHIP re HOMELESSNESS ITEM # 59451 (Continued) Ms. Stanley advised Mr. Friedman will finalize the presentation by reminding the City of the factors necessary to end homelessness in Virginia Beach. Helping the Dream Become Reality Fundraising Efforts: • Cooperative regional fundraising with support from The Dragas Companies • Coordinated faith, City and non profit fundraising within Virginia Beach • Energizing the community to support our efforts Next Steps: • Begin detailed work on the Lighthouse Center • Put together action plan • Invite more partners to join our efforts • Bring specific proposals back to City Council for review and approval Mr. Friedman stated their request to City Council: • Begin detailed work on the Lighthouse Center • Put together action plan • Invite more partners to join our efforts • Bring specific proposals back to City Council for review and approval Mr. Friedman advised the Lighthouse Center is located on 19`" Street and needs to be relocated because of development opportunities occurring across the street from the Convention Center. This would be a multi-service Center, not just serving individuals, but rather any family or occupants of low income housing that required services. These services would include counseling to homeless prevention and a possible location of church-based services in this building. A possible specific site is not known at this time. December 8, 2009 -8- CITY COUNCIL BRIEFINGS EMPLOYEE RETIREMENT INCENTIVE 3:10 P.M. ITEM # 59452 Sherriff Paul Lanteigne advised Councilman Diezel, Chair -Mayor's Committee on Employee Pensions, had requested the Sherriexamine a Retirement Incentive Plan similar to 1991 for his Committee. The City Manager had distributed a survey requesting three (3) options, each saving approximately $3.7- MILLION. 2.5 Furlough Days for employees Decrease in salaries of one percent (1 %) Lay off of sixty (60) employees *Patricia Phillips, Director of Finance, advised a savings of $3.7-MILLION was derived from the lay- offs, by calculating the salaries and benefits. Mrs. Phillips advised the calculations re unemployment benefits were not utilized. Sherriff Lanteigne detailed these calculations: LAYOFF'S According to Virginia Employment Commission (VEC) • Current weekly maximum is $ 378 • Current maximum number weeks is 26 • Current maximum pay-off per employee $ 9828 Sheriff Lanteigne advised that including the unemployment benefits would reduce the savings of $3.7- MILLION by $600,000, equating to $3.1-MILLION. On the other hand, if sixty (60) employees were enticed to retire, approximately $4.5-MILLION could be saved. LAST HIRED -FIRST FIRED? • Typical government philosophy • Easiest to defend • Least cost efficient • Least effective • Values seniority over productivity Chesapeake had layoffs, which were based on productivity. December 8, 2009 -9- CITY COUNCIL BRIEFINGS EMPLOYEE RETIREMENT INCENTIVE ITEM # 59452 (Continued) Solumc 10, ixeue i dctobcr i, 2009 SNEXIFI=' P<9GfI LAt~`TEIGNE'S 1'I'l]sSS 1Gls SPECIAI, EDI°I`IC)N Since our fast newsletter the State budget cuts that I reported have increased sig- ni#icantly from approximately $680,000 to over $930,000. As many of you are aware, the Clerk of Circuit Court was forced to lay off 11 employees in an effort to deal with the State budget cuts they are now facing. To say that we are in unusualtimes would be an understatement. I am currently working on several fronts in an effort to mitigate the damage which will allow us to get through these challenging times as best we can. We can not expect to maintain the status quo; reductions will be the norm in every division. 1 have implemented a hiring freeze that will probably last through the fiscal year. ", Unfortunately, with the state of the economy, our attrition rate will be minuscule. Based on our projections there is no way that voluntary separations alone will provide the needed savings. I will do everything in my power to avoid layoffs. I can not, however, guarantee that layoffs are completely out of the equation. The one thing that I can assure you of is that should layoffs occur they will not be dealt with in the typical government process of last hired -first fired. We will examine each personnel file, checking the annual evaluations, disciplinary actions and other documented work behavior. As has always been our philosophy -working here will be based on performance. I understand that one of the most significant stressors in our lives is a lack of control. Whi e we can not predict the future, we can work harder in the present. I know that all of you will assist by working together as a team to get us through these tough times. You have never let me down. In fact., you have consistently exceeded my expec- tations. I am confident that we will once again succeed in facing the challenges that lie 1 ahead. Sheriff Lanteigne December 8, 2009 -10- CITY COUNCIL BRIEFINGS EMPLOYEE RETIREMENT INCENTIVE ITEM # 59452 (Continued) 1991 VIRGINIA BEACH • City cut 10% of work force (S00) • Exempted Public Safety • Exempted Education • No layoff s • Retirement incentive plan RETIREMENT INCENTIVE • $10, 000.00 ONE TIME PAYMENT ? • $100 additional per month until age 62 ($14,400) *Sheriff Lanteigne advised Patricia Phillips, Director -Finance, secured the data which proved that the actual retirement incentive plan provided by the City was a $100 additional per month until the age of 62. If the individual were to retire at age S0, the individual could potentially receive $14,400. PORTSMOUTH PLAN • One time incentive of $10,000.00 Copies of Portsmouth's and Chesapeake's Plans were distributed and are hereby made a part of the record. CHESAPEAKE PLAN One time incentive based on salary • $8,000 for $40,000 or less • $10, 000 for $40, 001- $60, 000 • $IS,000for $60,001- $90,000 • $20,000 for $90,001 or more OTHER VARIATIONS • Three (3) Months salary • $10,000 worth of benefits • Early retirement 2009 VIRGINIA BEACH FACTS Average City employee wage = $47, 782 (not including benefits) Difference between beginning and topped out salaries on pay plans General Administrative 45% SO% December 8, 2009 -11- CITY COUNCIL BRIEFINGS EMPLOYEE RETIREMENT INCENTIVE ITEM # 59452 (Continued) ASSUMPTIONS • Average Retiree salary $54,942 • Cut ten percent of workforce again • Seven Hundred (700) employees • Exempt Public Safety and Education again • Hire' half of positions back at starting pay • Net loss of 350 positions or 5% workforce • Provide $10,000 cost neutral incentive COST NEUTRAL? $10,000 incentive would require keeping the average position vacant for thirty-five (35) days Retirement incentive Program Calculation of Potential Savings Estimated Salary Costs""' Estimated Savings Average Average Average Position Position Rates Minimum Retiree Maximum Retained" Cut Salary' 47.5% $ 37,891.31 $54,942.40 $55;889.68 $ 17,051.09 $ 54,842.40 Fringes FICA 6.20% $ 2,349.26 $ 3,406.43 $ 3,465.16 $ 1,457.17 $ 3,406,43 FtCA Medicare 1.45% $ 549.42 $ 796.66 $ 810.40 $ 247.24 $ 796.66 R+3tirernent 16.48% $ 6,244.48 $ 9,054.51 $ 9,210.62 $ 2,810.02 $ 9.054.51 Life 0.89°.6 $ 337.23 $ 488.98 $ 497.42 $ 151.75 $ 468.98 Health Insurance $5,400 $5,400 $5,400 $5,400 $ $ 5,400.00 Total $ 52,777.72 $74,088.99 $75,273.28 $ 21,317.27 $ 74,088.99 Less: Added Cost of Retiree Health Insurance $ 5,400.00 $ 5,400.00 Net Annual Savings Per Position $ 15,917.27 $ 68,688.99 Total Annual Savings if the number employees who op! for plan equals 350 $ 5;571,045.30 $ 24,041,145.97 One Time Cost of Incentive at the per employee rate of $ tO,IX}U.tXf $ 3,500,000.00 $ 3,500,000.00 Average number of work days positions are frozen to fund incentive 35 $(3,500,0(10.00} $ (3,500,000.0 Total Nat First Year Savings $ 5,571,045.30 $ 24,041,145.97 "Salary Range is a conservative estimate of the average for potential retirees given the length of service. "'Position is retained in t3perating Budget at the Minimum Cost. ""' Based on Average Employee Salary of $47;776 which is estimated to be 30% above Average Minimum Salary and 15% below the Average Retiree Salary. Salary extracted from the PibtonGne.com webaite. December 8, 2009 -12- CITY COUNCIL BRIEFINGS EMPLOYEE RETIREMENT INCENTIVE ITEM # 59452 (Continued) Mayor Sessoms PRESENTED a RESOL UTION IN RECOGNITION to Sheriff Lanteigne after his Briefing, as he was unable to attend the Formal Session: "Paul J. Lanteigne's first elective office was to the governing body of the largest city in the Commonwealth of Virginia [1990-1994) and he was later appointed to the Virginia Beach School Board [1996-1997J. Paul has served more than thirty-five years in law enforcement with the City of Virginia Beach, starting with the Virginia Beach Police Department in 1975 where he served on the SWAT Team, K-9, the Mounted Patrol and aboard Police boats and helicopters. As a Police Sergeant, he founded the DUI Task Force and his efforts led to the arrest and prosecution of hundreds of drunk drivers. He was appointed Chief Deputy Sheriff in 1994 and served in this capacity until his successful election to the Office of Sheriff, which position he has served since August 2000. He served ten years on the Virginia State Lottery Board. He attended the FBI Academy and has been an Instructor at Tidewater Community College for more than fifteen years. He continued his education and received full law enforcement accreditation in 2005. Paul's dedication to service has been highlighted by his administrative capabilities as well as his insight into human needs. He has been responsible for a staff in excess of six hundred men and women whose diversity exceeds the City's demographics, an annual operating budget of X38-Million plus a capital budget of $58-Million, and an average daily inmate population of fifteen hundred. He has supervised design, construction and operation of a "state of the art" jail addition of six hundred twenly- four beds which opened in August 2005. His responsibility to the Virginia Beach Courts included the "D C Sniper" trial with up to six hundred media credentials and forty live television trucks on site. " All citizens recognize and congratulate this dedicated public servant as we declare: PAUL J. LANTEIGNE DA Y December 8, 2009 Mayor Sessoms also presented a plaque and pin designating thirty-five (35) years of dedicated public service rendered to the citizens of Virginia Beach. Sher~Lanteigne expressed appreciation and has enjoyed every single day of his thirty-five years with the City. Sheriff Lanteigne advised he has never taken sick leave in his thirty-five years with the City. December 8, 2009 -13- CITY MA NAGER `S BRIEFINGS CITIZEN SURVEY RESUTLS 3:40 P.M. ITEM # 59453 The City Manager advised Citizen Surveys have been conducted since 1993. Nanci A. Glassman, President -Continental Research Associates, Inc. presented information re the City of Virginia Beach 2009 Citizens' Survey Results. Backgrouud - Benchmark was in 1995 - The questionnaire focuses on residents' satisfaction - Telephone survey - Sample size = 500 randomly-selected households - Excellent margin ojerror: f 1 % to t 4.4% Method - Calls made in October (Sunday -Thursday evenings and including cell phones) - Very scientific procedures - Six (6) attempts to each household (Used CATI system) - Interview took 17 minutes. (Very well-received) - Report shows results over time (Most recent = 2007) - Detailed analysis (Given to Department of Management Services) Participants were asked to rate their satisfaction with Twenty-nine (29) Ciry services and characteristics: Very Satisfied, Satisfied, Dissatisfied, or Very Dissatisfied We summarize Very Satisfied + Satisfied = "Satisfied" Many localities define "excellence" as an 80% (or higher) level of satisfaction. Here, nineteen (19) of the twenty-nine (29) City services rated above the 80% threshokb Of the twenty-nine (29) services and characteristics: • Fourteen (14) items rated at or above 90% in satisfaction • Five (S) items rated between 80% and 90% • Ten (10) items rated below the 80% threshold ~~~ 91.4% were satisfced with City services December 8, 2009 -14- CI TY MANAGER `S BRIEFINGS CITIZEN SURVEY RESUTLS ITEM # 59453 (Continued) Those With Satisfaction Levels Above 95% Satisfied * Fire Department 99.0% 911 Emergency Telephone Center 98.6% Public Libraries 98.0% Paramedic & Rescue Squad 97.8% Recreation Centers 95.2 * "Very Satisfied" + "Satisfied" Those With Satisfaction Levels Between 90% and 95% Satisfied Overall appearance ojthe City 94.0% Number of opportunities for volunteerism 94.0% Overall appearance of your neighborhood 93.4% City parks 93.2% Museums/aquarium/cultural activities 93.0% Police services 92.2 % Horticultural & Agricultural services 90.6% Courtesy of City employees 90.4% City trash collection & recycling services 90.4 Those With Satisfaction Levels Between 80% and 89% Satisfied * Drinking water and sanitary sewer services 88.6% Public beaches 88.6% Public school system 88.0% Mental health and mental retardation services 82.2% The condition of streets in your neighborhood 81.1 Those With Satisfaction Levels Below 80% (Items to focus on?) Satisfied* Services for needy or homeless families 74.3 Efforts to combat gang activity/violence 73.1 Work with other communities on regional issues 73.1 Efforts to protect natural resources/green space 70.9% up The job opportunities in Virginia Beach 69.8% down Maintenance of City roads and bridges 62.8% Planning for residential development 61.7% up Opportunity citizens have to share opinions 60.7% Planning and construction of new City roads 48.4% The flow of traffic in the City 39.6% NOTE: Significant improvements/declines are indicated in the right margin. December 8, 2009 -15- CITY MA NAGER `S BRIEFINGS CITIZEN SURVEY RESUTLS ITEM # 59453 (Continued) Using Certain City Services in Past 12 Months. Who Said "Yes" Visited a Virginia Beach public beach 85.0% ** Visited a Ciry park 84.8 % Visited a Virginia Beach public library and/or used the library from homework 80.6% ** Had contact with or observed Public Safety (Police, Fire, Rescue Squad) 72.2% Went to a museum, the aquarium, or a cultural activity in Virginia Beach 69.4 Contacted the City by phoneinternetlin person 66.2% Been to a Virginia Beach recreation center 55.8% ** ** =Users rated service higher than non-users (n=500) Who "Agreed" With Each Statement Virginia Beach is a good place to live. For the most part, I can conveniently access City services. Virginia Beach, in general, is a safe place to live. My neighborhood is a safe place to live. Overall, I receive a good value for my City tax dollar. I know how to inform the City about the way I feel on important issues. * "Strongly Agree" + "Agree" NEW QUESTIONS Who Agree* 97.4% 95.4 94.2 93.6% 77.2 70.1 Who "Agreed" With Each Statement Who Agree I would like to have more alternatives to using my car to get around the City. 77.0% The roads I use in Virginia Beach are generally too congested. 74.2 I think if the light rail system is completed, it will it will relieve congestion from the City's roadways. 68.9% Bus service seems adequate within Virginia Beach. 55.4% * "Strongly Agree" + "Agree" December 8, 2009 -16- CITYMANAGER `S BRIEFINGS CITIZEN SURVEY RESUTLS ITEM # 59453 (Continued) What one thing should the City do to make Virginia Beach a better place to live? I think everything is fine 12.0% Improve roads/build roads/finish road projects sooner 13.6% Reduce the traffic flow problems in the City 7.8 More good jobs/better employment opportunities 5.4% The City should lower my taxes/fees S.0% Improve the schools (more funding/smaller classes) 3.4% Just listen more to citizens/Do more surveys 3.2% Add more public transportation 3.0% Stop or reduce population growth 2.8% Reduce crime 2.8% Control gangs and stop gang activity 2.8% Connect to the light rail project 2.6% ... etcetera ... (n=500) CONTINUED SUCCESS: Who Think Virginia Beach is a Good Place to Live 2000 ~,~ ~,, 199s ~~ ~._.....,~x, ... 90% 92% 94% 96% 98% 100% 2009 was indeed a good year. December 8, 2009 -17- CITYMANAGER `S BRIEFINGS CITIZEN SURVEY RESUTLS ITEM # 59453 (Continued) Respondents = A Full Cross-Section of Residents Median number of years lived in Virginia Beach 20.0 yrs. Percentage who are homeowners 71.0% Percentage who are renters 29.0% Percentage who have children in household 38.0% Percentage who are registered voters 83.8% Average (median) age 44.7 years Percentage completed education beyond high school 82.0% Percentage Caucasian 69.6% Percentage African American 17.4 Percentage Filipino American, Asian, or Pacific Islander 6.2% Percentage from another ethnic background 6.8% Avg. (median) household income $75,425 - With such high satisfaction scores, clearly residents are pleased with their quality of life in Virginia Beach - Perhaps the City can study those areas where more emphasis may be warranted (traffic, planning for roads, growth, bringing in jobs, green space, regional cooperation, gangs, etc.) - 94.0% are satisfied with the appearance of the City - 97.4% believe Virginia Beach is a good place to live - 95.4% believe they can conveniently access Ciry services These results are positive and the City has many achievements of which to be proud. December 8, 2009 -18- CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCL4L REPORT (CAFR) 3:58 P.M. ITEM # 59454 Patricia Phillips, Director -Finance, advised, the firm of Cherry, Bekaert and Holland LLP has completed the audit of the City's financial statements for the year ended June 30, 2009. Mrs. Phillips presented the Comprehensive Annual Financial Report 2008-2009 (CAFR). Mrs. Phillips recognized Don Barnett, Comptroller, Miryam P. Woodson, Principal Accountant, Wendy Hu -Senior Accountant, Nancy Leavitt, Loretta Brown -Administrative Assistant, Gretchen W. Hudome, Audit Services, John Montero, Partner, and Krista Edoff, Senior Manager - Cherry Bekaert and Holland Ms. Phillips advised the Agenda: • GASB 34 - FY 2008-09 - Entity Wide • FUNDS - FY 2008-09 - General Fund - Water cP~ Sewer Fund - Storm Water Fund - Schools - Capital Improvement Program • Debt -June 30, 2009 • Fiscal Year 2009-10 • Cherry, Bekaert & Holland Comments VISION/GOALS • Produce Transparent and Understandable Financial Information • Create Financially Sustainable City Providing Excellent Service • Entity Wide Financials (GASB 34) Did the City's Entity-Wide Financial Condition Improve during Fiscal Year Ended June 30, 2009? YES! - Net Assets of the Primary Government increased by $157.2-MILLION from $3.09 to $3.25- BILLION ^ Total Assets Increased by $161. S-MILLION - Net Capital Assets increased $1 S0. S-MILLION ^ Liabilities increased by $4.3MILLION - Total Revenues increased by $38.9-MILLION from $1.35 to $1.38-BILLION December 8, 2009 -19- CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) ITEM # 59454 (Continued) Statement of Net Assets Primary Government June 30, 2009 (in BILLIONS) Governmental Business Total Assets $3.6 $1.0 $4.6 Liabilities $1.2 $0.1 $1.3 Net Assets $2.4 $0.9 $3.3 Statement of Activities -Primary Government June 30, 2009 (in MILLIONS) Progra m Expenses Revenues Governmental Activities $1,118.4 $344.3 Business Activities 109.8 122.9 Total Primary Government 1 228.2 467.2 General Revenues: Taxes Other Net Increase Net Assets -Beginning Net Assets -Ending Ms. Phillips referenced the Individual Funds: INDIVIDUAL FUNDS General Fund Highlights ^ Undesignated Fund Balance: $92.7-MILLION - Decrease of $27.3-MILLION - Undesignated Fund Balance is 8.9% of FYIO Operating Budget ^ Importance of Fund Balance on credit rating - Impact on flexibility - Impact on debt service cost ^ Revenues: less than budget by $28.1-MILLION, or <2.6%> - Local $(27.4) MILLION - State $ 0.6 MILLION - Federal $(1.3) MILLION ^ Expenditures: less than budget by $42.9-MILLION, or 3.7% - City $28.0 MILLION - Schools $14.9 MILLION Net Expenses ($774.2) 13.1 ( 761.0} 843.0 75.2 157.2 3,095.5 3 252.7 December 8, 2009 a -20- CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) ITEM # 59454 (Continued) FUNDS Summary ojGeneral Fund Activity For FY 2008-09 (in MILLIONS) Revenues Expenses Revenues Over/(Under) Expenses Fund Balance -July 1 Fund Balance -June 30 Less Reservations: Loans Future Programs City CIP 2009-2010 School Revenue Sharing Total Reservations Undesignated Fund Balance of Budget Actual Variance Budget $ 1,089.1 $ 1,061.0 $ (28.1) (2.6) 1,139.0 1,096.1 42.9 3.8 (49.9) (35.1) $ 14.8 193.1 193.1 $ 143.2 $ 158.0 $ 11.2 10.3 3 5.0 RQ $ 65.3 $ 92.7 *Fund Balance as a percent of FY 2010 Revenues is 8.9% General Fund Expenditures For Fiscal Year Ended June 30, 2009 (in MILLIONS) Budget Actual Variance City Expenses $772.9 $744.9 $28.0 School (City Funding) 366.1 351.2 14.9 Total Expenditures 1 139.0 1 096.1 42.9 December 8, 2009 p -21 - CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) ITEM # 59454 (Continued) FUNDS General Fund Local Revenues Under Budget by $27.4 Million For FY 2008-09 (in MILLIONS) Variance Real Estate $ 9.4 Personal Property (12.0) General Sales (4.6) Utility Taxes (3.3) Business Licenses (2.1) Franchise Taxes 0.5 Automobile Licenses 0.0 City Tax on Deeds and Bank Stock (1.2) Cigarette Taxes (1.4) Hotel Taxes (1.2) Amusement Taxes (0.2) Restaurant Meals (0.4) Interest (2.2) Rent of Property (0.3) Charges for Services (5.1) Other Local Revenue (3.3) TOTAL LOCAL REVENUE $ (27.4) SUMMARY - Actual performance -Close to projections - Fund Balance within Policy, but lowest since 2003 - Fund Balance used for one time needs but also support operations - Departments continue to manage their budgets - Potential GO Bonds refunding for additional savings December 8, 2009 -22- CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) ITEM # 59454 (Continued) FUNDS Fund Balance Issues • Future Capital Investments -Transportation, • Reductions of State and Federal Funding • Resource Allocations • Posture for Economic Recovery • Structural Differences in Revenues and Expenditures 200 150 e ~ goo 0 50 Undesignated General Fund Balance 2003 2004 2005 .2006 2007. 2008 20019 ~Undes~~ated GF Balance ~% of BudgrieJ GF Revenue- 1 .r:'s ~~ ~~~ Policy = B-12% of Revenues «~~~ ,~ ~~~, s.o% $ > e_ 4.0° 0 ~3 `, t~ `~ December 8, 2009 -23- CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) ITEM # 59454 (Continued) Water and Sewer Enterprise Fund Revenues, Expenses and Changes in Net Assets for the Years Ended June 30, 2009 and 2008 (in MILLIONS) Total Revenues Total Expenses Increase in Net Assets Tota I Net Assets - 7 u ly i Total Net Assets - dune 30 2009 2008 $ 100.2 $ 108.7 (95.2) 94.1 $ 5.0 $ 14.6 575.5 560.9 $ 580.5 575.5 Storm Water Enterprise Fund Revenues, Expenses and Changes in Net Assets for the Years Ended June 30, 2009 and 2008 (in MILLIONS) 2009 Total Revenues Total Expenses $ 23.3 2008 $ 22.3 (13.4) (14.5) 9.9 218.3 Increase in Net Assets $ Tota I Net Assets - ~ u ly 1 Total Net Assets - dune 30 $ 228.2 $ 7.8 210.5 $ 218.3 December 8, 2009 -24- CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCL4L REPORT (CAFR) ITEM # 59454 (Continued) School Operating Fund- Revenues and Expenses For the Fiscal Year Ended June 30, 2009 (in MILLIONS) REVENUES Budget Actual City $ 336.0 $ 321.1 Local 2.8 3.3 From Commonwealth 364.5 361.4 From Federal Government 14.8 14.1 Total Revenues $ 718.1 $ 699.9 Variance (14.9) 0.5 (3.1) (0.7) $ 18.2 EXPENDITURES AND ENCUMBRANCES $ 728.1 $ 709.9 $ 18.2 *Total Reservation in the General Fund of $8.8-MILLION after reduction for revenue sharing formula. FUNDS Capital Improvement Program Expenditures Fiscal Year 2009 (in MILLIONS) General Government Projects $143.1 School Projects 85.1 Water and Sewer Projects 27.9 Stormwater Projects_3 Total Capital Project Expenditures $263.4 FUNDS Capital Improvement Program Expenditures Fiscal Year 2009 (in MILLIONS) • OCEANA SITE ACQUISITION • PRINCESS ANNE RD/KEMPSVILLE RD INTERSECTION IMPROVEMENT • OPEN SPACE PROGRAM SITE ACQ UISITION • AQUARIUM RENOVATION • LESNER BRIDGE DESIGN December 8, 2009 - 25 - CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) ITEM # 59454 (Continued) DEBT Outstanding Debt By Purpose June 30, 2009 CTeneral C o~•crnm :+8..53 °/ Schools 27.23"/0 TOTAL DEBT: $1,144.2-MILLION ~griciilttire Ileser~~e Frogr~~m 2.G7°,% Storm ~~ ~~ter Il.fi(i% ater .~ncl tiewer 1{1.71% Fiscal Year 2009-2010 General Fund Revenues and Expenditures Compared to Budget Thru November 30, 2009 (in MILLIONS) Budget Actual Variance Revenues Local Revenues $861.5 $200.3 ($661.2) State Revenues* 160.4 36.5 (123.9) Federal Revenues 23.1 8.3 14.8 Total Revenues $1,045.0 $245.1 ($799.9) Expe nditure s /Encumbrance s Departmental Totals $523.2 $234.4 $288.8 Transfers 564.5 246.3 318.2 Reserve for Contingencies 3_3 0_0 3.3 Total Expenditures/Encumbrances $1,091.0 $480.7 $610.3 Less Amounts Funded from Fund Balance Outstanding Encumbrance at 6/30/09 $6.1 Approved Carryover Requests 1.2 Funding for City Capital Projects 33.9 Operarting Budget FY10 4.8 Adjusted Expenditures/Encumbrances 1 045.0 * State Revenues contain PPTRA Budget of $53.4M and Actual of $ 6.SM December 8, 2009 -26- CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) ITEM # 59454 (Continued) Patricia Phillips advised the next Briefing is scheduled for January 26, 2010, re the Interim Financial Statements through December 31, 2009. She introduced the Auditors' Opinion on Financial Statements. John Montoro, Partner -Cherry Bekaert and Holland, provided a brief presentation of the external audit: AUDIT PRESENTATION Auditors' Opinion on the Financial Statements • Unqualified Opinion • Accounting principles generally accepted in the United States of America • Material transactions and balances • Compliance with laws and regulations material to the financial statements Required Communications • Our responsibility under generally accepted auditing standards: • We assessed risk that the financial statements may contain a material misstatement, either intentional or unintentional • We documented and considered internal controls to assist us with our audit approach, not for the purpose of providing assurance on those controls. • Our Responsibility under Government Auditing Standards (The Yellow Book) • We reviewed and tested the City's compliance with laws and regulations, noncompliance with which could have a material impact on the financial statements. :• We reviewed compliance with applicable laws and regulations identified in the Specifications for Audits of Counties, Cities and Towns issued by the Auditor of Public Accounts of the Commonwealth of Virginia • Our Responsibility under OMB A-133 • We performed procedures in order to express an opinion on the City's compliance with requirements applicable to major Federal programs. Our opinion is unqualifiecb • We performed tests of controls to assess the City's ability to detect material noncompliance with program requirements, not to express an opinion on controls. :• Independence • In accordance with AICPA Rule IOl, and the independence standards contained in Government Auditing Standards, we were, and continue to be, independent with respect to the City of Virginia Beach. • Accounting Policies • No new significant policies adopted. • No transactions that lacked authoritative consensus. •'• Estimates • • These statements include estimates, including: • Allowance for doubtful accounts • Other Post Employment Benefits liability • Claims Liability December 8, 2009 -27- CITY MANAGER `S BRIEFINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) ITEM # 59454 (Continued) • Significant Audit Findings • There were no disagreements or difficulties in dealing with management. • There were no misstatements individually or in the aggregate identified during our audit. • There were no consultations with other accountants. Patricia Phillips advised the Minority Business Council, at their Annual Expo, recognized Councilman Robert M. Dyer, Liaison. Councilman Dyer was unable to attend and Mrs. Phillips was requested to present Councilman Dyer a plaque in recognition of his continued support. December 8, 2009 -28- CITY MANAGER `S BRIEFINGS TOWN HALL B UDGET MEETING RESULTS ITEM # 59455 4:15 P.M. Catheryn Whitesell, Director -Management Services, advised before commencing the Town Hall Budget Meeting Results, she wished to express appreciation to the various staff members who facilitated these meetings. These employees came from within Management Services, the City Manager's Office, Police, Libraries, Human Services, Economic Development, Parks and Recreation, and Human Resources. Without these individuals volunteering their time, the City would not have been able to conduct these meetings with citizen participation. Community Meetings Held four (4) meetings which were attended by two hundred twenty-seven (227) citizens O Twenty-six (26) people attended more than one meeting O Not a random sample so cannot extrapolate to the entire population Format O Staff provided a short briefing (provided by Catheryn Whitesell) re the Operating Budget, the economy, the projected impact on FY 2011 and possible strategies to balance O Small groups of ten (10) to fifteen (1 S) citizens discussed concerns about the upcoming budget and suggestions to balance O Individuals were requested to fill out a survey and leave it at the table How we summarized the input: • Like comments and suggestions were tabulated together into three categories: O Major Themes -those that were recorded thirty (30) times or more at the four (4) meetings O Moderate Themes -those that were recorded twenty (20) to twenty-nine (29) times O Minor Themes -those that were recorded ten (10) to nineteen (19) times • Comments, no matter how many times they were recorded that would require additional authority to be provided to the City by either the State or Federal Government • Comments and suggestions that the City is already doing Small Group Question 1: In this recession, what should the City be doing and not doing? Major Themes Moderate Themes Look at postponing or eliminating capital projects Reduce pay and benefits for city employees - -- i -our 54 comments twen -seven 27 comments Maintain Mental Health and other programs for Prioritize needs and define core services - twenty- at risk individuals -fifty-two (52) comments four (24) comments Reduce waste and improve efficiency -thirty-one Reduce non core services examples included: (31) comments libraries, parks, landscaping, museums - twenty- three 23 comments City should reduce or maintain current tax rates - twen -three 23 comments December 8, 2009 -29- CITY MANAGER `S BRIEFINGS TOWN HALL BUDGET MEETING RESULTS ITEM # 59455 (Continued) Small Group Question 2: What, if any, revenue sources should be considered to close the funding gap? Major Themes Moderate Themes Consider reductions rather than revenue Raise taxes on Hotels, cigarettes, alcohol, increases -forty-seven (47) comments gasoline, sales tax -twenty-eight (28) comments Raise real estate or personal property only if necessary and only to revenue neutral - twenty- six (26) comments Implement a solid waste fee -twenty-five (25) comments Small Group Question 3: What other budget ideas should be considered Major Themes Moderate Themes Due to the open nature of this question, no single Implement various user fees or fines, examples response received; over thirty (30) comments include library fees EMS service fees, and parking fees where they do not currently exist Small Group Comments Beyond Major and Moderate Themes Needs Local Authori Alread Underwa Retirement Costs Charge for false alarms Tolls Look for utility savings Court Fees Hire an External Auditor Direct School Spending Compare and report how City services compare Bifurcate the Real Estate Tax Rate with other cities Limit access or time in programs for at risk Provide for elderly tax credits individuals Defer employee raises Local option Gas Tax Eliminate City vehicle exemption to Red Light Raise tax on Alcohol Running Program Consolidate Constitutional Offices with City Look at the recommendations of the Blue Ribbon Departments Committee December 8, 2009 -30- CITY MANAGER `S BRIEFINGS TOWNHALL BUDGET MEETING RESULTS ITEM # 39455 (Continued) Survey Question 'I: Base on your opinion of the. services .provided by the City, would you be wiiling`to pay more, the same, or less for the'following services: Fire More funding - 37 Sarne funding - 94 Less funding -17 Police More funding - 46 Same funding - 90 Less funding - 13 EMS More funding - 55 Same funding - 84 Less funding - 9 Schools More funding - 30 Same funding -- 74 Less funding - 42 Roadway Construction More funding - 32 Sarne furrdirtg - 72 Less funding - 41 Garbage Collection More funding - 52 Sarne funding - 75 Less funding - 20 Libraries More funding - 14 Same funding - 82 Less funding - 50 Recreation Centers More funding - 25 Same funding - 62 less funding - 63 Parks and Open Space More funding - 11 Same funding - 65 Less funding - 72 Economic Development More funding - 25 Same funding - 61 Less funding - 59 Mental Health & Development Disabilities More funding - 53 Same fund'+ng - 80 Less funding - 16 Social Services-help to low income families More funding - 43 Same funding - 72 Less funding - 33 Mass Transit (bus services) More funding - 21 Same funding - 70 Less funding - 56 Museums/Cultural Activities More funding - 8 Same funding - 62 Less fundiny - 79 Public Health More funding - 42 Sarne funding - 79 Less funding - 29 Write-Ins Animal Care /Mass Transit (light rail) More funding - 1 each No response No response e Survey Question 2: Due to home assessments declining, City Council could raise the real estate tax rate, and citizens would pay no more real estate taxes than the previous year. Would this be an acceptable budget solution if it prevented the City from incurring significant service reductions? • Yes -- 85 • No -- 44 • No Response -- 24 • Comments generally were ...only after ensuring efficiencies and considering non- core service reductions How does Management Services plan to use this information? • Send School related comments to the School Board • Post full report on VBgov.com under hot topics • Notify Departments of results and discuss in Budget Hearings with City Manager • Reflect use in the Proposed Budget Follow up with citizens who requested it December 8, 2009 -31- CITY MANAGER `S BRIEFINGS TOWNHALL BUDGETMEETINGRESULTS ITEM # 39455 (Continued) Final Thoughts from both the Citizen Survey and the Town Hall Meetings: • Everyone would like to pay lower taxes • People generally like and value municipal services and don't want to see them reduced • Assuming that we can demonstrate efficiencies, many citizens are willing to support paying more to maintain core services The small business community is a critical component to the City's future. Councilman Dyer suggested the same type of format as the Town Hall Budget Meeting be utilized throughout all seven (7) Districts to determine strategies re the small businesses to maintain operation i. e. Ordinance amendments Mayor Sessoms referenced his Breakfasts with the small business operators, which occur every six (6) months. The attendance and comments have been very impressive. These breakfasts are held around the table in Economic Development and have been well received. The results have been shared with City Council. Councilman DeSteph advised he wished to co-ordinate and host a similar meeting on Thursday, January 21, 2009. He would work together with the City Manager re scheduling another Town Hall Meeting. Council Lady Henley complimented the facilitators who made certain all in attendance had a chance to provide comments. December 8, 2009 -32- AGENDA REVIEW SESSION ITEM # 59456 4:37P.M. Councilman DeSteph referenced appointments to the Southeastern Public Service Authority (SPSA). In accordance with the Amended and Restated Articles of Incorporation, City Council will nominate and the Governor will appoint. Effective January 1, 2010, the Councils and the Boards of the SPSA Member Community, by concurrent Resolutions, will nominate, one (1) member from each participating political subdivision who shall be selected and appointed by the Governor (Governor Appointed Board Member) from a list of three (3) proposed members who shall possess general business knowledge and shall not be an elected official, plus one member who shall be an employee of the political subdivision from each participating political subdivision who shall be directly appointed upon a majority vote of the governing body of the political subdivision. ITEM # 59457 K.4. Ordinance to AUTHORIZE acquisition of property, temporary and permanent easements, either by agreement or condemnation, for the right-of--way of Laskin Road Gateway, Phase 2 Council Lady Henley referenced e-mails expressing concern re this Laskin Road Gateway. These are the minor areas of acquisition that are necessary to accomplish the realignment of Holly Road. ITEM # 59458 K 7. Resolutions re Recovery Zone Economic Development Bonds: a. Designating the Recovery Zone Area b. Issuing General Obligation Bonds (GOB) through VML/VACO Councilman DeSteph inquired re the interest rate and period of repayment. Patricia Phillips, Director of Finance, advised the interest rate is expected to be around 3.6%. These are taxable bonds. The amount to be borrowed is $4,996,000. This subsidy makes for an attractive financing, which the City is pursuing as part of the Virginia Municipal League/Virginia Counties (VML/VACO) Recovery Act Bond Pool. In addition, the City has requested a second allocation of these bonds up to $4-MILLION, which will likewise be a part of the pool, if possible. December 8, 2009 - 33 - AGENDA REVIEW SESSION ITEM # 59459 K.8. Resolution to AUTHORIZE the ISSUANCE of Residential Care Facility Mortgage Revenue Bonds (Westminster-Canterbury of Hampton Roads, Inc.) re capital renovations and improvements to existing facilities Mayor Sessoms advised his Mother-in-law resides in Westminster Academy. The City Attorney advised he does not need to abstain. ITEM # 59460 BY CONSENSUS, the following items shall compose the CONSENTAGENDA: K. ORDINANCES/RESOLUTIONS Resolution to AUTHORIZE the Amended and Restated Articles of Incorporation for the Southeastern Public Service Authority of Virginia (SPSA) 2. Ordinance to AUTHORIZE the acquisition of an Agricultural Land Preservation (ARP) Easement with Bonnie B. and Earnest E. Morrow, Sr., Trustees, at 6485 and 6529 Blackwater Road 3. Resolution to AUTHORIZE the City Manager to execute anon-binding Memorandum of Understanding (MOU) with From One Hand To Another, Inc. (FOHTA) for the Pharrell Williams Resource Center re programs to support young people beyond their traditional classroom experience 4. Ordinance to AUTHORIZE acquisition of property, temporary and permanent easements, either by agreement or condemnation, for the right-of--way of Laskin Road Gateway, Phase 2 S. Ordinance to AUTHORIZE and DIRECT the City Manager to execute: a. A five (5) year Lease with Nextel Communications of Mid-Atlantic, Inc. re telecommunications facilities at Stumpy Lake b. A one (1) year lease with Transitions Community Development Corporation at 1467 Old Virginia Beach Road re a temporary living program 6. Ordinance to ACCEPT and APPROPRIATE Grant funds from the U.S. Department of Energy through the 2009 American Recovery and Reinvestment Act Energy Efficiency and Conservation Block Grant Program re energy efficiency and conservation initiatives December 8, 2009 -34- AGENDA REVIEW SESSION ITEM # 59460 (Continued) 7. Resolutions re Recovery Zone Economic Development Bonds: a. Designating the Recovery Zone Area b. Issuing General Obligation Bonds (GOB) through VML/VACO 8. Resolution to AUTHORIZE the ISSUANCE of Residential Care Facility Mortgage Revenue Bonds (Westminster-Canterbury of Hampton Roads, Inc.) re capital renovations and improvements to existing facilities 9. Resolution to REFER to the Planning Commission an Ordinance to AMEND Sections 111, 211 and 212 of the Ciry Zoning Ordinance (CZO) and ADD a new Section 211.2 defrning the term "Roadside Guide Sign "and establish requirements for allowing such signs in the public right-of--way Councilman DeSteph will ABSTAIN on Item K 2 (ARP -Bonnie B. and Ernest E. Morrow, Sr., Trustees), as he owns land in the area and the value of his property would change, if he voted. Council Lady Henley DISCLOSED re Item K 2 (ARP -Bonnie B. and Ernest E. Morrow, Sr., Trustees) she owns land in the ARP area and the City Attorney advised it is not necessary for her to ABSTAIN. December 8, 2009 -35- AGENDA REVIEW SESSION ITEM # 59461 L.6. Ordinance re the Comprehensive Plan of the City of Virginia Beach, dated October 1, 2009, with Exhibits 1-A and 1-B and including the Land Use and Master Transportation Plan maps. Council Lady Henley advised speakers would be in attendance. The BRAG has made tremendous changes in the area of Oceana to Fentress. Relative the Sub Area 2 in the Princess Anne Corridor Study and the fact their density is considerably less, the residents are requesting some relief from requirements. They will be asking to review this area, when the Interfacility Traffic Area (ITA) study is commenced. Council Lady Henley will AMEND the Comprehensive Plan Recommendation regarding `Northwest Crescent' Pages 4-9 and 4-10 -Delete all recommendations cited under the heading `Northwest Crescent Recommendations' and replace with the following language to read.• "The `Northwest Crescent' will be included as part of an Interfacility Traffic Area (ITA) study. Recommendations resulting from this study will provide planning policy guidance for the ITA, Northwest Crescent and other properties included in this initiative." ITEM # 59462 BY CONSENSUS, the following items shall compose the PLANNING BY CONSENT AGENDA: L. PLANNING Application of VIOLA BUILDING CORPORATION re an enlargement of nonconforming structures at 6900 Atlantic Avenue and 203 69`" Street DISTRICT 5 - LYNNHAVEN 2. Application of CENTRAL ASSOCIATES OWNER'S ASSOCL4TION, INC. for a Conditional Use Permit re an enclosed bulk storage yard at S00 and 508 Central Drive DISTRICT 6 -BEACH 3. Application of DANIEL E. POSTONfor a Conditional Use Permit re motor vehicle sales and service at 3336 Holland Road DISTRICT 3 -ROSE HALL 4. Application of ROCK CHURCH for a Conditional Use Permit re religious use (Seminary) at 640 Kempsville Road DISTRICT 2 - KEMPSVILLE Councilman DeSteph DISCLOSED and ABSTAINED pursuant to Section 2.2-3115(E), Code of Virginia re Item L.2. (Central Associates Owner's Association, Inc. for a Conditional Use Permit re an enclosed bulk storage yard at S00 and 508 Central Drive.) Councilman DeSteph ABSTAINED from voting on this transaction because he owns condominiums at this location. Councilman DeSteph's correspondence of December 8, 2009, is hereby made a part of the proceedings. December 8, 2009 -36- ITEM # 59463 Mayor William D. Sessoms, Jr. entertained a motion to permit City Council to conduct its CLOSED SESSION, pursuant to Section 2.2-3711(A), Code of Virginia, as amended, for the following purpose: PERSONNEL MATTERS: Discussion, consideration of, or interviews of prospective candidates for employment, assignment, appointment, promotion, performance, demotion, salaries, disciplining or resignation of specific public officers, appointees or employees pursuant to Section 2.2-3711 (A)(1) Council Appointments: Boards, Commissions, Committees, Authorities, Agencies and Appointees PUBLICLY-HELD PROPERTY.• Discussion or consideration of the, acquisition, or of the disposition of publicly-held property, where discussion in an open meeting would adversely affect the bargaining position or negotiating strategy of the public body pursuant to Section 2.2-3711(A)(3). Acquisition/Disposition of City Property: Beach District Beach District Upon motion by Councilman Wood, seconded by Councilman Uhrin, City Council voted to proceed into CLOSED SESSION at 4: SO P.M. Voting.• 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: Ron A. Villanueva (Break: 4:53 P.M. (Closed Session: 4:58 P.M. (Dinner: 5:20 P.M. [On way back from Richmond] - 4:58 P.M.) - 5:20 P.M.) - S: SS P.M.) December 8, 2009 -37- FORMAL SESSION VIRGINIA BEACH CITY COUNCIL December 8, 2009 6:00 P.M. Mayor William D. Sessoms, Jr. called to order the FORMAL SESSION of the VIRGINL9 BEACH CITY COUNCIL in the Council Chamber, City Hall Building, on Tuesday, December 8, 2009, at 6:00 P.M. Council Members Present: Glenn R. Davis, Robert M. Dyer, William R. "Bill " DeSteph, Harry E. Diezel, Barbara M. Henley, Vice Mayor Louis R. Jones Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Absent.• None INVOCATION: Reverend Ted David Virginia Beach United Methodist Church PLEDGE OFALLEGIANCE TO THE FLAG OF THE UNITED STATES OFAMERICA Mayor Sessoms DISCLOSED as an officer of TowneBank (which has a corporate office located at 297 Constitution Drive in Virginia Beach), he is directly and indirectly involved in many of TowneBank's transactions. However, due to the size of TowneBank and the volume of transactions it handles, TowneBank has an interest in numerous matters in which he is not personally involved and of which he does not have personal knowledge. In that regard, he is always concerned about the appearance of impropriety that might arise if he unknowingly participates in a matter before City Council in which TowneBank has an interest. Mayor Sessoms also has similar concerns with respect to Prudential Towne Realty, which is an affiliate of TowneBank. In order to ensure his compliance with both the letter and spirit of the State and Local Government Conflict of Interests Act (the "Act'), it is his practice to thoroughly review each City Council agenda to ident~ any matters in which he might have an actual or potential conflict. If, during his review of an agenda, he identifies a matter in which he has a `personal interest ", as defined by the Act, he will either abstain from voting, or file the appropriate disclosure letter with the City Clerk to be included in the official records of City Council. Mayor Sessoms' letter of March 24, 2009, is hereby made a part of the record. December 8, 2009 -38- Vice Mayor Jones DISCLOSED, for many years, he served on the Board of Directors of Resource Bank. Three (3) years ago, Fulton Financial Corporation ("Fulton Financial') purchased Resource Bank. On March 31, 2007, Vice Mayor Jones retired from the Board of Directors. Although, he is no longer a Board Member, he owns stock in Fulton Financial, and that stock ownership causes him to have a `personal interest" in Fulton Financial. However, due to the size of Fulton Financial and the volume of transactions it handles in any given year, Fulton Financial, or any of the banks that are owned by Fulton Financial, may have an interest in numerous matters in which Vice Mayor Jones has no personal knowledge. In order to ensure his compliance with both the letter and the spirit of the State and Local Government Conflict of Interests Act, it is his practice to thoroughly review the agenda for each meeting of City Council for the purpose of identifying any matters in which he might have an actual or potential conflict. If, during his review, he identifies any matters, Vice Mayor Jones will prepare and file the appropriate disclosure letter to be recorded in the official records of City Council. Vice Mayor Jones regularly makes this disclosure. Vice Mayor Jones' letter of April 10, 2007, is hereby made a part of the record. Council Lady Rosemary Wilson DISCLOSED her husband is a principal in the accounting firm of Goodman and Company and is directly and indirectly involved in many of Goodman and Company's transactions. However, due to the size of Goodman and Company and the volume of transactions it handles in any given year, Goodman and Company has an interest in numerous matters in which her husband is not personally involved and of which she does not have personal knowledge. In order to ensure her compliance with both the letter and the spirit of the State and Local Government Conflict of Interests Act, it is her practice to thoroughly review the agenda for each meeting of City Council for the purpose of ident~ing any matters in which she might have an actual or potential conflict. If, during her review she identifies any matters, she will prepare and file the appropriate disclosure letter to be recorded in the official records of City Council. Council Lady Wilson regularly makes this disclosure. Council Lady Wilson 's letter of January 27, 2004, is hereby made a part of the record. Council Lady Rosemary Wilson DISCLOSED she is a Real Estate Agent affiliated with Prudential Decker Realty. Because of the nature of Real Estate Agent aff liation, the size of Prudential, and the volume of transactions it handles in any given year, Prudential has an interest in numerous matters in which she is not personally involved and of which she does not have personal knowledge. In order to ensure her compliance with both the letter and the spirit of the State and Local Government Conflict of Interests Act, it is her practice to thoroughly review the agenda for each meeting of City Council for the purpose of ident~ing any matters in which she might have an actual or potential conflict. If, during her review she identifies any matters, she will prepare and file the appropriate disclosure letter to be recorded in the official records of City Council. Council Lady Wilson regularly makes this disclosure. Council Lady Wilson's letter of January 27, 2004, is hereby made a part of the record. December 8, 2009 -39- Item - V-E.1 CERTIFICATION ITEM # 59464 Upon motion by Councilman Dyer, seconded by Council Lady Wilson, City Council CERTIFIED THE CLOSED SESSION TO BE INACCORDANCE WITH THE MOTION TO RECESS. Only public business matters lawfully exempt from Open Meeting requirements by Virginia law were discussed in Closed Session to which this certification resolution applies. AND, Only such public business matters as were identified in the motion convening the Closed Session were heard, discussed or considered by Virginia Beach City Council. Voting: 11-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay.• None Council Members Absent: None December 8, 2009 RESOLUTION CERTIFICATION OF CLOSED SESSION VIRGINIA BEACH CITY COUNCIL WHEREAS The Virginia Beach Ciry Council convened into CLOSED SESSION, pursuant to the affirmative vote recorded in ITEM #59463, Page 36, and in accordance with the provisions of The Virginia Freedom of Information Acr, and, WHEREAS: Section Z.Z-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. uth Hodges Fraser, MMC City Clerk December 8, 2009 -40- Item V-F.1 ITEM # 59465 Upon motion by Councilman Wood, seconded by Councilman Dyer, City Council APPROVED the MINUTES of the FORMAL SESSION of December 1, 2009. Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva and James L. Wood Council Members Voting Nay: None Council Members Abstaining: Rosemary Wilson Council Members Absent: None Council Lady Wilson ABSTAINED, as she was not in attendance during the Formal City Council Session of December 1, 2009. December 8, 2009 -41- Item V-G.1. ADOPT AGENDA FOR FORMAL SESSION ITEM # 59466 BY CONSENSUS, City Council ADOPTED: AGENDA FOR THE FORMAL SESSION RESOL UTION IN RECOGNITION was ADDED to the Agenda: Resolution in Recognition: Ron A. Villanueva -Delegate Elect, Virginia General Assembly December 8, 2009 -42- Item V-G.2. RECOGNITION OF SCOUTS ITEM # 59467 Mayor Sessoms RECOGNIZED the following Boy Scouts in attendance to earn their merit badges: Boy Scout Troop 372 Alex Turner Life Scout Tyler Buckham Life Scout Andrew Brady Star Scout Assistant Scout Master Robert Buckham Mayor Sessoms presented each Scout with a City Seal Pin. December 8, 2009 - 43 - Item V-H.1. a. MAYOR'S PRESENTATIONS ITEM # 59468 RESOLUTIONS IN RECOGNITION George Alcaraz Sheriff Lanteigne (presented earlier) Ron A. Villanueva -Delegate Elect, Virginia General Assembly December 8, 2009 -44- Item V-H.1. b. MAYOR'S PRESENTATIONS ITEM # 59469 Mayor Sessoms PRESENTED: RESOL UTION IN RECOGNITION George Alcaraz "George A. Alcaraz, a Rudee Heights resident where he has brought neighbors together in coordinating educational awareness, such as the Emergency Preparedness program, is a valuable Volunteer and dedicated contributor to the City's theme of being a "Community for a Lifetime"; The East Coast Surfing Championship was originally held in the Summer of 1951 in the area of Long Island, New York, better known as "Gilgo Beach': As more and more Surfers were participating in this annual event, it intensified even though the only advertising was by word of mouth. Three prominent Surfers from Virginia Beach [Bob Holland, Pete Smith and Butch Maloney) were among those advancing the reputation of this event all along the East Coast. The third year the Virginia Beach Jaycees sponsored the event, more activities were added which enhanced the event that now draws more than one hundred thousand surfing fans and beach lovers to watch the "World's Best" amateur and professional surfers compete for the "crown': Today, the ECSC is the second longest, continuously-run surfing contest in the world" George has gone beyond his love of surfing and volunteered his knowledge, leadership and expertise as a City Council appointed member of the Board of Zoning Appeals, first in 2002 as an Alternate and now a full time member. His calm disposition is an attribute which affords his tactfully addressing the concerns of citizens whose applications are considered for zoning variances. He understands the issues and is able to differentiate between want, need or hardship. NOW, THEREFORE, BE IT RESOLVED: That the Virginia Beach Ciry Council recognize George Alcaraz as the exemplary Volunteer he has become and call upon all citizens to celebrate: GEORGE ALCARAZ DAY December 8, 2009" December 8, 2009 - 45 - Item V-H.1. c. MAYOR'S PRESENTATIONS ITEM # 59470 Mayor Sessoms PRESENTED: RESOL UTION IN RECOGNITION Ron A. Villanueva Delegate-Elect, Virginia General Assembly "Ronald John A. Villanueva, better known to his family, friends and peers as "RON~, is a lifelong resident of Virginia Beach where he graduated from Green Run High School in 1988. He earned a Bachelor's degree in Political Science with a minor in English from Old Dominion University and is completing his Master's degree in Public Policy from Regent University. He is a graduate of the Hampton Roads Civic Leadership Institute as well as the Asian Pacific American Institute for Congressional Studies Leadership Academy; In 2002, Ron became Virginia Beach's first elected Asian-Pacific Islander American. In 2006, Ron was re-elected to the governing body of the largest city in the Commonwealth of Virginia and has faithfully served almost a `half million citizens in the City of Virginia Beach with great dedication to sustaining the City as a "Community for a Lifetime"; Councilman Villanueva's public service includes the United States Coast Guard Reserves, Old Dominion University Board of Visitors, Attorney General's Task Force on "Gang and Youth Violence", the Virginia "Help America Vote" Act Steering Committee, Virginia Equal Employment Opportunity Council and the Virginia Beach "Safe Schools" Task Force. His dedication to untiring and unselfish service is further exemplified by his involvement in the community. He has served as President of the Philippine American Association of Tidewater, Member of the Board of Directors for the Greater Hampton Roads March of Dimes, Virginia Board of March of Dimes, Co-Chair of Hampton Roads 757 Voter-Registration, St. Mark's Catholic Church and a spokesperson for the community in Operation Smile. He has worked to bring jobs to Virginia Beach through his association with Operation Smile which has allowed him to work with prominent international celebrities to bring opportunities to the less fortunate. He is the City Council's Liaison to the Virginia General Assembly, Joint Committee on School Modernization, Minority Business Council and the Skate Park Advisory Committee. He has sponsored or co- sponsored, initiatives such as Senior Citizens Tax Relief Commission, Joint Task Force on Unfunded Mandates, Biennial Budget Task Force, Oceanfront Behavior and many other regional efforts; and, Councilman Villanueva's career has spanned both the government and private sector. From 1997-2005, he owned and operated a marine ship repair and industrial service firm. Currently he is the Executive Vice President and Co-Principal of SEK Solutions, a provider of tactical and special operations equipment for law enforcement and military customers. BE IT FURTHER RESOLVED: That this Resolution be made a part of the proceedings of this Formal Session of the Virginia Beach City Council and all citizens share in expressing thanks to Ron with Congratulations for his many achievements and best wishes for his continued service and future endeavors representing Virginia Beach as a Member of the House of Delegates, Virginia General Assembly. Given under our hands this 8~h day of December, Two Thousand Nine" December 8, 2009 -46- Item V-H.1. c~ ADD-ON ITEM # 59471 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADDED to the Consent Agenda as Resolutions 9a/b/c RESOLUTIONS IN RECOGNITION George Alcaraz -East Coast Surfing Championships Paul Lanteigne -Sheriff Ron A. Villanueva -Delegate Elect, Virginia General Assembly Voting: 11-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 -47- Item V-H.1. PUBLIC HEARING ITEM # 59472 Mayor Sessoms DECLARED A PUBLIC HEARING: SOUTHEASTERN PUBLIC SERVICE AUTHORITY OF VIRGINIA (SPSA) Amended and Restated Articles of Incorporation There being no speakers, Mayor Sessoms CLOSED THE PUBLIC HEARING December 8, 2009 -48- Item V-H.2. PUBLIC HEARING ITEM # 59473 Mayor Sessoms DECLARED A PUBLIC HEARING: INSTALLMENT PURCHASE AGREEMENT Acquisition of Agricultural Land Preservation (ARP) Easement 6485 and 6529 Blackwater Road There being no speakers, Mayor Sessoms CLOSED THE PUBLIC HEARING December 8, 2009 -49- Item V-H.3 PUBLIC HEARING ITEM # 59474 Mayor Sessoms DECLARED A PUBLIC HEARING: LASKINROAD GATEWAY Phase I-A Acquisition The following registered to speak: William Walthall, 98 Holly Crescent (Bay Colony), Phone: 814-1030, registered in OPPOSITION. The Traffic resulting from this Laskin Road Project will be a nightmare. Theodore Davis, 137 Pinewood Road, Phone: 422-2612, registered in SUPPORT and advised these entail transportation improvements. There being no further speakers, Mayor Sessoms CLOSED THE PUBLIC HEARING December 8, 2009 -50- Item V-H. 4. a. PUBLIC HEARING ITEM # 59475 Mayor Sessoms DECLARED A PUBLIC HEARING: LEASE OF CITY PROPERTIES a. 1467 Old Virginia Beach Boulevard There being no speakers, Mayor Sessoms CLOSED THE PUBLIC HEARING December 8, 2009 -51- Item V-H.4. b. PUBLIC HEARING ITEM # 59476 Mayor Sessoms DECLARED A PUBLIC HEARING: LEASE OF CITYPROPERTIES b. Nextel Communications of the Mid-Atlantic, Inc. Indian River Road/Chesterbrook Drive There being no speakers, Mayor Sessoms CLOSED THE PUBLIC HEARING December 8, 2009 -52- Item V-K. ORDINANCES/RESOLUTIONS ITEM# 59477 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council APPROVED in ONE MOTION Items 1, 2, 3, 4, S, a/b, 6, 7 a/b/, 8, 9 and IOa16/c (ADDED) of the CONSENT AGENDA. Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None Councilman DeSteph ABSTAINED on Item K 2 (ARP -Bonnie B. and Ernest E. Morrow, Sr., Trustees), as he owns land in the area and the value of his property would change, if he voted. Council Lady Henley DISCLOSED re Item K.2 (ARP -Bonnie B. and Ernest E. Morrow, Sr., Trustees) she owns land in the ARP area and the City Attorney advised it is not necessary for her to ABSTAIN. December 8, 2009 -53- Item i~ K.1 ORDINANCES/RESOLUTIONS ITEM # 59478 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT.• Resolution to AUTHORIZE the Amended and Restated Articles of Incorporation for the Southeastern Public Service Authority of Virginia (SPSA) Voting.• 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay.• None Council Members Absent.• None December 8, 2009 1 RESOLUTION APPROVING AND ADOPTING AMENDED 2 AND RESTATED ARTICLES OF INCORPORATION FOR 3 THE SOUTHEASTERN PUBLIC SERVICE AUTHORITY OF 4 VIRGINIA 5 6 WHEREAS, the cities of Chesapeake, Franklin, Norfolk, Portsmouth, Suffolk and 7 Virginia Beach, and the counties of Isle of Wight and Southampton ("Member 8 Localities") have created the Southeastern Public Service Authority of Virginia ("SPSA") 9 pursuant to the Virginia Water and Waste Authorities Act (the "Act"), Va. Code § 15.2- 10 5100, et seq; and. 11 WHEREAS, Virginia Code Section 15.2-5102.1, enacted by the General 12 Assembly in 2009, imposes certain requirements upon SPSA and requires changes 13 regarding the appointment and qualifications of the members of SPSA's Board of 14 Directors that necessitate amendments to SPSA's Articles of Incorporation (the 15 "Articles); and 16 WHEREAS, the amendments that are needed to amend the Articles to conform 17 them to the changes in the Act are set forth in the attached Amended and Restated 18 Articles of Incorporation (the "Amended Articles"). 19 WHEREAS, the Act requires that any amendments to the Articles must be 20 adopted by concurrent resolutions, ordinances or agreements of all the Member 21 Localities and that before any resolutions may be adopted, the councils and boards of 22 supervisors of each of the Member Localities must comply with certain notice, 23 advertising and public hearing requirements set forth in the Act; and 24 WHEREAS, in furtherance of the requirements of the Act, the City Council 25 caused proper notice of a public hearing and other information required by the Act to be 26 published one time in a newspaper of general circulation in the City of Virginia Beach; 27 and 28 WHEREAS, the public hearing was held on December 8, 2009, at the time and 29 place specified in the aforesaid notice; and 30 WHEREAS, preliminary estimates of capital costs, proposals for any specific 31 projects to be undertaken by the Authority and preliminary estimates of initial rates for 32 services of such projects are not included in the Amended Articles because they are not 33 germane to the process of amending the Articles and, in any event, the City Council 34 finds that the inclusion of such information is impracticable; 35 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY 36 OF VIRGINIA BEACH, VIRGINIA: 37 1. That the City Council hereby approves and adopts the Amended Articles, 38 true copies of which are hereto attached; 39 2. That this Resolution approving and adopting the Amended Articles shall 40 be effective immediately and the Amended Articles shall be effective on and after 41 January 1, 2010; and 42 3. That the Mayor shall execute the Amended Articles in substantially the 43 form attached hereto, that the City Attorney shall cause the executed Amended Articles 44 to be filed with the Virginia State Corporation Commission, and that appropriate officers 45 of the City shall do all other things necessary or appropriate to amend the Articles 46 pursuant to the Amended Articles, including the execution of a single Concurrent 47 Resolution with other Member Localities that is consistent with this Resolution. Adopted by the Council of the City of Virginia Beach, Virginia, on the 8 fih day of ge~e~e~-, 2009. APPROVED AS TO LEGAL SUFFICIENCY: {~ City Attorney's Office CA11311 R-1 October 23, 2009 2 AMENDED AND RESTATED ARTICLES OF INCORPORATION OF THE SOUTHEASTERN PUBLIC SERVICE AUTHORITY OF VIRGINIA The Councils of the Cities of Chesapeake, Franklin, Nansemond, Norfolk, Portsmouth, Suffolk, and Virginia Beach and the Boards of Supervisors of the Counties of Isle of Wight and Southampton created the Southeastern Public Service Authority of Virginia (the "Authority"), formerly the Southeastern Water Authority of Virginia, pursuant to the Virginia Water and Waste Authorities Act, Chapter 51, Title 15.2, Code of Virginia of 1950, as amended (the "Act"), formerly the Virginia Water and Sewer Authorities Act (Chapter 28, Title 15.1, Code of Virginia of 1950, as amended), as a public body politic and corporate, by adopting Articles of Incorporation effective January 24, 1973 (the "Original Articles"). On January 1, 1974, the Cities of Nansemond and Suffolk were consolidated into a single city and the terms of the members representing those cities terminated and the governing body of the consolidated City of Suffolk appointed a member to fill the vacancy and serve for the unexpired term. By concurrent resolutions, adopted by the Councils and the Boards of Supervisors of the Cities of Chesapeake, Franklin, Norfolk, Portsmouth, Suffolk and Virginia Beach and the Counties of Isle of Wight and Southampton (collectively, "SPSA Member Communities"), the Original Articles were amended by Articles of Amendment dated January 15, 1976 (the "1976 Amendment") and by Articles of Amendment dated July 15, 1983 (the "1983 Amendment"). In view of recent amendments to the Act that become effective January 1, 2010, the Councils and the Boards of the SPSA Member Communities by concurrent resolutions have adopted these Amended and Restated Articles of Incorporation of the Southeastern Public Service Authority of Virginia that become effective on January 1, 2010 and hereby certify: I-879666.4 10/ 17/2009 3:09 PM (a) The name of the Authority is "Southeastern Public Service Authority of Virginia" and the location of its principal office is in Chesapeake, Virginia. (b) The powers of the Authority shall be exercised by a board of directors (the "Board") consisting of sixteen (16) members selected in the following manner: (i) one member from each participating political subdivision who shall be selected and appointed by the Governor (each, a "Governor Appointed Board Member") from a list of three proposed members submitted by the governing body of each participating subdivision, which proposed members shall possess general business knowledge and shall not be an elected official, and (ii) one member from each participating political subdivision who shall be directly appointed upon a majority vote of the governing body of the political subdivision and who shall be an employee of the political subdivision (each a "Locality Appointed Board Member"). (c) The first members of the Board consisted of one member residing in and appointed by the governing body of each of the original incorporating political subdivisions. The names and addresses of the first Board members, the names of the appointing political subdivisions and the year of expiration of the terms of the first Board members were as follows: Name Address Mrs. Marian P. Whitehurst, Mayor P.O. Box 15225, Chesapeake, VA Dr. Darden W. Jones, Mayor P.O. Box 96, Franklin, VA Gurley A. Barlow, Jr., Chairman Board of Supervisors, Route 1, Smithfield, VA D.J. Magnum, Jr., Mayor 318 Sherwood Dr., Suffolk, VA Roy B. Martin, Jr., Mayor City Hall, Norfolk, VA Appointing Political Subdivision Expiration of Terms Chesapeake 1975 Franklin 1973 Isle of Wight 1974 Nansemond 1973 Norfolk 1976 2 I-879666.4 10/17/2009 3:09 PM Jack P. Barnes, Mayor Portsmouth 1975 1 High Street, Portsmouth, VA W. H. Story, Chairman Southampton 1974 Board of Supervisors, Capron, VA James F. Hope, Mayor Suffolk 1973 P.O. Box 1569, Suffolk, VA Robert B. Cromwell, Jr., Mayor Virginia Beach 1976 P.O. Box 5533, Virginia Beach, VA The terms of the first members began on the date of the issuance to the Authority of the certificate of incorporation by the State Corporation Commission and expired on December 31 of the years set forth above. (d) Alternate Board members may be selected in the same manner as Board members. Alternate Board members selected by the Governor shall have the same qualifications as Governor Appointed Board Members. Alternate Board members selected by the participating political subdivisions shall have the same qualifications as Locality Appointed Board Members. (e) The successor of each Board member shall be appointed for a term of four years, except that any person appointed to fill a vacancy shall serve only for the unexpired term. Board members shall hold office until their successors shall have been appointed and qualify, and any member shall be eligible for reappointment to succeed himself; provided, however, that no Board member shall serve for more than two consecutive four-year terms, except that any member appointed to the unexpired term of another shall be eligible to serve two consecutive four-year terms. The term of each Ex-officio Board Member shall expire upon such member's ceasing full-time salaried employment with such member's participating political subdivision. Each Governor Appointed Board Member may receive compensation of $25 per meeting attended but 3 I-879666.4 10/17/2009 3:09 PM not to exceed $600 per year, or such other compensation as may be determined from time to time by resolutions of the governing bodies of the member political subdivisions, but each Ex-officio Board Member shall serve without compensation. Each Board member shall be reimbursed the amount of the member's actual expenses necessarily incurred in the performance of the member's duties. (f) The Authority has been formed for the purposes of financing, constructing, operating and maintaining a water system and a garbage and trash collection and disposal system, all pursuant to the provisions of the Act. The core purpose of the Authority is the management of the safe and environmentally sound disposal of regional waste. The Authority may contract with its participating political subdivisions, any sanitary district thereof or any authority therein created pursuant to the Act to furnish water service and garbage and trash collection and disposal service upon such terms as the Authority shall determine; provided, however, that the same schedule or service rates shall be applicable to all such political subdivisions unless the Authority, by unanimous consent of its Board members, authorizes different service rates for any one or more of the participating political subdivisions. The Authority is expressly prohibited from contracting with any other party desiring a supply of water except upon the written consent of the city or county within the geographical boundary of which such party is located. (g) The Authority shall cause an annual audit of its books and records to be made by the State Auditor of Public Accounts or by an independent certified public accountant at the end of each fiscal year and a certified copy thereof to be filed promptly with the governing body of each of the participating political subdivisions. [Remainder of this page intentionally left blank -signature pages follow] 4 I-879666.4 10/17/2009 3:09 PM IN WITNESS WHEREOF, the Councils of the Cities of Chesapeake, Franklin, Norfolk, Portsmouth, Suffolk, Virginia Beach and the Boards of Supervisors of the Counties of Isle of Wight and Southampton have caused these Amended and Restated Articles of Incorporation to be executed on their behalf by their proper officers and their seals to be affixed and attested by their Clerks, this day of , 2009. CITY OF CHESAPEAKE By (SEAL) ATTEST: Clerk Title: Mayor CITY OF FRANKLIN By (SEAL) ATTEST: Clerk (SEAL) ATTEST: Clerk Title: Mayor CITY OF NORFOLK By Title: Mayor 5 I-879666.4 10/17/2009 3:09 PM CITY OF PORTSMOUTH By (SEAL) ATTEST: Clerk Title: Mayor CITY OF SUFFOLK By (SEAL) ATTEST: Clerk Title: Mayor CITY OF VIRGINIA BEACH By (SEAL) ATTEST: Clerk (SEAL) ATTEST: Title: Mayor COUNTY OF ISLE OF WIGHT By Title: Chair of Board of Supervisors 6 I-879666.4 10/17/2009 3:09 PM Clerk COUNTY OF SOUTHAMPTON By Title: Chair of Board of Supervisors (SEAL) ATTEST: Clerk 1-879666.4 10/17/2009 3:09 PM -54- Item V-K.2 ORDINANCES/RESOLUTIONS ITEM # 59479 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: Ordinance to AUTHORIZE the acquisition of an Agricultural Land Preservation (ARP) Easement with Bonnie B. and Earnest E. Morrow, Sr., Trustees, at 6485 and 6529 Blackwater Road Voting: 10-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Abstaining: William R. "Bill "DeSteph Council Members Absent: None Councilman DeSteph ABSTAINED on Item K.2 (ARP -Bonnie B. and Ernest E. Morrow, Sr., Trustees), as he owns land in the area and the value of his property would change, if he voted. Council Lady Henley DISCLOSED re Item K.2 (ARP -Bonnie B. and Ernest E. Morrow, Sr., Trustees) she owns land in the ARP area and the City Attorney advised it is not necessary for her to ABSTAIN. December 8, 2009 1 AN ORDINANCE AUTHORIZING THE ACQUISITION OF AN 2 AGRICULTURAL LAND PRESERVATION EASEMENT AND 3 THE ISSUANCE BY THE CITY OF ITS CONTRACT 4 OBLIGATIONS IN THE MAXIMUM PRINCIPAL AMOUNT OF 5 $321,328. (PROPERTY OF BONNIE B. MARROW AND 6 EARNEST E. MARROW, SR., TRUSTEES OF THE BONNIE 7 B. MARROW REVOCABLE TRUST, DATED FEBRUARY 21, 8 2005) 9 10 WHEREAS, pursuant to the Agricultural Lands Preservation Ordinance (the 11 "Ordinance"), Appendix J of the Code of the City of Virginia Beach, there has been 12 presented to the City Council a request for approval of an Installment Purchase Agreement 13 (the form and standard provisions of which have been previously approved by the City 14 Council, a summary of the material terms of which is hereto attached, and a true copy of 15 which is on file in the City Attorney's Office) for the acquisition of the Development Rights 16 (as defined in the Installment Purchase Agreement) on certain property located in the City 17 and more fully described in Exhibit B of the Installment Purchase Agreement for a 18 purchase price of $321,328; and 19 20 WHEREAS, the aforesaid Development Rights shall be acquired through the 21 acquisition of a perpetual agricultural land preservation easement, as defined in, and in 22 compliance with, the requirements of the Ordinance; and 23 24 WHEREAS, the City Council has reviewed the proposed terms and conditions ofthe 25 purchase as evidenced by the Installment Purchase Agreement; 26 27 NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF 28 VIRGINIA BEACH, VIRGINIA: 29 30 1. The City Council hereby determines and finds that the proposed terms and 31 conditions of the purchase of the Development Rights pursuant to the Installment Purchase 32 Agreement, including the purchase price and manner of payment, are fair and reasonable 33 and in furtherance of the purposes of the Ordinance, and the City Manager or his designee 34 is hereby authorized to approve, upon or before the execution and delivery of the 35 Installment Purchase Agreement, the rate of interest to accrue on the unpaid principal 36 balance of the purchase price set forth hereinabove as the greater of 3.3500% per annum 37 or the per annum rate which is equal to the yield on United States Treasury STRIPS 38 purchased by the City to fund such unpaid principal balance; provided, however, that such 39 rate of interest shall not exceed 5.3500% unless the approval of the City Council by 40 resolution duly adopted is first obtained. 41 42 2. The City Council hereby further determines that funding is available for the 43 acquisition of the Development Rights pursuant to the Installment Purchase Agreement on 44 the terms and conditions set forth therein. 45 46 3. The City Council hereby expressly approves the Installment Purchase 47 Agreement and, subject to the determination of the City Attorney that there are no defects 48 in title to the property or other restrictions or encumbrances thereon which may, in the 49 opinion of the City Attorney, adversely affect the City's interests, authorizes the City 50 Manager or his designee to execute and deliver the Installment Purchase Agreement in 51 substantially the same form and substance as approved hereby with such minor 52 modifications, insertions, completions or omissions which do not materially alter the 53 purchase price or manner of payment, as the City Manager or his designee shall approve. 54 The City Council further directs the City Clerk to affix the seal of the City to, and attest 55 same on, the Installment Purchase Agreement. The City Council expressly authorizes the 56 incurrence of the indebtedness represented by the issuance and delivery of the Installment 57 Purchase Agreement. 58 59 4. The City Council hereby elects to issue the indebtedness under the Charter 60 of the City rather than pursuant to the Public Finance Act of 1991 and hereby constitutes 61 the indebtedness a contractual obligation bearing the full faith and credit of the City. 62 63 Adoption requires an affirmative vote of a majority of all members of the City 64 Council. 65 66 Adopted by the Council of the City of Virginia Beach, Virginia, on this 8th day of 67 December , 2009. CA11m D~S1\Applications\CityLawProd\cycom32\Wpdocs\D016\P006\00032287.DOC R-1 DATE: November 17, 2009 APPROVED AS TO CONTENT Qf~/ Agriculture Department APPROVED AS TO LEGAL SUFFICIENCY: City Attorney's Office CERTIFIED AS TO AVAILABILITY OF FUNDS: Director of Finance 2 AGRICULTURAL RESERVE PROGRAM INSTALLMENT PURCHASE AGREEMENT N0.2009-94 SUMMARY OF MATERIAL TERMS SELLER: ~ MARROW, Bonnie B. and MARROW, SR. Earnest E., Trustees of the Bonnie B. Marrow Revocable Trust, dated February 21, 2005 PROPERTY LOCATION: 6485 and 6529 Blackwater Road, Princess Anne District PURCHASE PRICE: $321,328 EASEMENT AREA: 42.28 acres, more or less DEVELOPMENT POTENTIAL: 4single-family dwelling sites (4 acquired) DURATION: Perpetual INTEREST RATE: Equal to yield on U.S. Treasury STRIPS acquired by City to fund purchase price, but not less than 3.3500% (actual rate to be determined when STRIPS are purchased prior to execution of IPA). Rate may not exceed 5.3500% without approval of City Council. TERMS: Interest only twice per year for 25 years, with payment of principal due 25 years from IPA date RESTRICTIONS ON TRANSFER: IPA ownership may not be transferred (except for Estate Settlement Transfer) for one (1) year following execution and delivery of IPA. ~+ L v 0 as 0 L L co .~ 0 m i V C~ 00 N N t6 O 4) C~ U Ca m -55- Item V-K.3. ORDINANCES/RESOLUTIONS ITEM # 59480 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: Resolution to AUTHORIZE the City Manager to execute anon-binding Memorandum of Understanding (MOU) with From One Hand To Another, Inc. (FOHTA) for the Pharrell Williams Resource Center re programs to support young people beyond their traditional classroom experience Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 1 A RESOLUTION AUTHORIZING THE CITY 2 MANAGER TO EXECUTE A NON-BINDING 3 MEMORANDUM OF UNDERSTANDING BETWEEN 4 THE CITY OF VIRGINIA BEACH AND FROM ONE 5 HAND TO ANOTHER, INC. FOR THE PHARRELL 6 WILLIAMS RESOURCE CENTER 7 8 WHEREAS, the City of Virginia Beach (the "City") owns an approximately 11.12- 9 acre parcel of land located off Newtown Road known as the Williams Farm (the "City 10 Property"); 11 12 WHEREAS, From One Hand to Another, Inc., a Virginia non-stock, non-profit 13 corporation ("FOHTA") has approached the City about leasing approximately three (3) 14 acres of the City Property for the purpose of constructing and operating the Pharrell 15 Williams Resource Center (the "Resource Center"); 16 17 WHEREAS, the Resource Center will offer programs designed to support young 18 people beyond their traditional classroom experience through an afterschool curriculum 19 rooted in math, science, and language arts; 20 21 WHEREAS, the City and FOHTA have developed anon-binding Memorandum 22 of Understanding ("MOU") setting forth the basic framework for the construction and 23 operation of the Recreation Center on the City Property; 24 25 WHEREAS, the MOU provides that FOHTA will lease a portion of the City 26 Property necessary for the Resource Center, which lease once finalized will come back 27 before City Council at a later date; and 28 29 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF 30 VIRGINIA BEACH, VIRGINIA: 31 32 1. That the City Manager or his designee is hereby authorized to execute anon- 33 binding memorandum of understanding with From One Hand to Another, Inc. 34 (the "MOU") for the construction and operation of the Resource Center in 35 accordance with the Summary of Terms attached hereto and made a part 36 hereof, and such other terms and conditions deemed necessary and sufficient 37 by the City Manager and in a form deemed satisfactory by the City Attorney. 38 39 2. That the City Manager or his designee and the City Attorney are hereby 40 authorized to proceed with the development of the documents necessary and 41 appropriate to implement the provisions of the MOU. 42 43 Adopted by the Council of the City of Virginia Beach, Virginia on the 8th day 44 of December , 2009. Approved as to Content: ~" Economic Development CA11220 \\vbgov.com\DFSI\Applications\CityLawProd\cycotn32\Wpdocs\D002\P006\0003391 LDOC R-1 December 2, 2009 Approved as to Legal Sufficiency: ~.-- City Attorney's Office 2 SUMMARY OF TERMS Non-Binding Memorandum of Understanding Between City of Virginia Beach and From One Hand to Another, Inc. for the Construction and Operation of the Pharrell Williams Resource Center Parties: City of Virginia Beach (the "City") and From One Hand to Another, Inc., a Virginia non-stock, non-profit Corporation ("FOHTA") Purpose: Setting forth the mutual understandings of the parties for (a) proposed lease by the City to FOHTA of approximately three (3) acres of City-owned property at the Williams Farm (the "Resource Center Site"), and (b) the construction and operation of the Pharrell Williams Resource Center (the "Resource Center") by FOHTA at the Resource Center Site. Rights and Responsibilities of FOHTA: A. Lease the Resource Center Site from the City only for the operation of the Resource Center, with the free programs directed at area youth; B. Bear all costs associated with development, construction, operation and maintenance of the Resource Center, based on a development plan to be mutually agreed upon by the City and FOHTA; C. Obtain all necessary approvals to be in compliance with any applicable building, zoning and environmental laws and regulations; D. Engage in fund-raising efforts to fund construction costs and operating expenses of the Resource Center; E. Develop relationships that will provide continued financial support for the operational expenses of the Resource Center for the term of the Lease; F. Be the sole operator of the Resource Center for the term of the Lease; G. Operate the Resource Center in a manner compatible with the adjacent and nearby City recreation center and schools; H. Coordinate with the Virginia Beach Parks & Recreation Department and the Virginia Beach Public Schools to determine the Resource Center programs, promotional planning, curriculums and joint use of the City Property, provided that FOHTA shall have ultimate control over the programs to be made available at the Resource Center; L Construct the Resource Center improvements within three (3) years of the execution of the Lease; J. Meet architectural and design guidelines to be produced by City to ensure Resource Center is visually and functionally compatible with the recreation center located on the City Property; K. Upon termination of the Lease and all renewal terms, transfer title of all improvements to City; and L. Include a City representative as an ex officio member of the FOHTA Board of Directors. Rights and Responsibilities of City: A. Provide along-term, nominal rent lease for not less than 40 (forty) years for the construction and operation of the Resource Center on the Resource Center Site, subject to procedural requirements and upon such terms as are agreeable to both parties; B. Provide preliminary design and site concepts for the development of the Resource Center through the City's Departments of Parks and Recreation and Economic Development; C. Provide a survey or exhibit of the Resource Center Site sufficient for identifying the property to be leased; and D. Collaborate with FOHTA, as requested by FOHTA, regarding programming, curriculum and promotion of the Resource Center and furthering the mutually compatible joint use of the City Property. Other Provisions: 1. The name of the Resource Center must include "Williams Farm" consistent with a deed restriction on the property. 2. Either party may terminate the MOU upon 30 days' notice. \\vbgov.com\DFS l\Applications\CityLawProd\cycom32\Wpdocs\D002\P006\00033919.DOC -56- Item V-K.4. ORDINANCES/RESOLUTIONS ITEM # 59481 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: Ordinance to AUTHORIZE acquisition of property, temporary and permanent easements, either by agreement or condemnation, for the right-of--way of Laskin Road Gateway, Phase 2 Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 1 AN ORDINANCE TO AUTHORIZE 2 ACQUISITION OF PROPERTY IN FEE SIMPLE 3 FOR RIGHT-OF-WAY FOR LASKIN ROAD 4 GATEWAY PROJECT, PHASE 2 (CIP 2-143) 5 AND THE ACQUISITION OF TEMPORARY 6 AND PERMANENT EASEMENTS, EITHER BY ~ AGREEMENT OR CONDEMNATION s 9 WHEREAS, the Laskin Gateway Project (the "Project") is 4-phase project that will to provide infrastructure improvements including sanitary sewer, water and stormwater 11 upgrades, and roadway improvements. 12 13 WHEREAS, Phase 2 of the Project will create dual left-turn lanes from Laskin Road 14 onto Holly Road; provide traffic signals at the intersections of Holly Road at 32"d St. and 15 Pacific Avenue at 32"d; and create a new left-turn lane from Holly Road onto 32"d Street. 16 17 WHEREAS, in the opinion of the Council of the City of Virginia Beach, Virginia, a la public necessity exists for the construction of this important roadway project to improve 19 transportation within the City and for other related public purposes for the preservation of 20 the safety, health, peace, good order, comfort, convenience, and for the welfare of the 21 people in the City of Virginia Beach. 22 23 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 24 VIRGINIA BEACH, VIRGINIA: 25 26 Section 1. That the City Council authorizes the acquisition by purchase or 2 ~ condemnation pursuant to Sections 15.2-1901, et sew., Sections 33.1-89, et sew., and Title 2s 25.1 of the Code of Virginia of 1950, as amended, of all that certain real property in fee 29 simple, including temporary and permanent easements (the "Property" ), as shown on the 3o plans entitled "Laskin Road Gateway Phase 1-A Project, CIP 2-143 Phase 2 -Interim 31 Traffic Improvements" ("Phase 2 of the Project")and more specifically described on the 32 acquisition plats and plans for Phase 2 of the Project (plats and plans collectively referred 33 to as the "Plans" ), the Plans being on file in the Engineering Division, Department of 34 Public Works, City of Virginia Beach, Virginia. 35 36 Section 2. That the City Manager is hereby authorized to make or cause to be 37 made on behalf of the City of Virginia Beach, to the extent that funds are available, a 3s reasonable offer to the owners or persons having an interest in said Property. If refused, 39 the City Attorney is hereby authorized to institute proceedings to condemn said Property. 40 41 Adopted by the Council of the City of Virginia Beach, Virginia, on the sth day of 42 December , 2009. PREPARED: 11/30/2009 CA-11212 R-1 \\vbgov.com\dfs1 \applications\citylawprod\cycom32\wpdocs\d010\p006\00031703.doc APPROVED AS TO CONTENT PUBLIC WORKS/REAL ESTATE APPROVED AS TO LEGAL SUFFICIENCY AND FORM ~~ ~; CITY ATTORNE ~`` o~ 0 y 'O ~ tl O ~ ~ a q ~ .~ A' Q~~ ~,~ ~~ w ~~ ~~ ~v~ h O ~~ K m ~~ p R ti ~I~ * ~ Ol'Lff 3 >GOSFf S ~hy ~3~+ a ~C ..j'~ Q $KK X41 'y~j Y O~ ~ ~ NF' 8Iti a J ~ w ~Kh O h_~Sq ~~~~ ~~~ ~~ . ~ ~ ~n 'crit ~ Vs OaE ti : ~~ ~ ~~ ti gy ~ I ~` ~ ' m ~~ W ~ ~ ' mH ~ y~ ~ ~ 08 S ~ ? ~ ~~ ~ :.`S. ~ ~ ~~ ~ h ^ ` Y .i ut ~h~ x K ~^ rtIN G;7 I~ ~ ti ~ ~ 3 ¢~ ~ . y~~ ~ ' 3 Qjplq~5 ~ ~ ],di2[f3'/ S o * ~' S{Iro l I.jCor~n N i o ~ ~~ ~I~ l ~ ~ ~~ ~~ ~ ~ ~ d ~ ~ ~ 3 ~ ~ ro~~ .~" a ~ ~ ~ ~ ~ 770E ~ ~ ~ ~ ~~ ~~ 1 ffi ~~ ~c ~ ~ 8~ w ~ . ~'+ ~! ~ _ ~ 31Y ~ W ~ Q n\wr ~ ~~ ~~~ ~~ ~ ~~ ~~ ~ ' h6\ ~~ ti ~~4 ~ W ttjxj w ~V~~~ W q Z ~ ~~ ° `" Z i<r~i ~s~~W ~ a W~y ~ 1 ~ 2~ ryR o ~s~ ~~ ~~ y `S 3a ~ n `~a~ ~ ~ ~ o WQ:' °~ fn ~`~3n ~W~ mC.`ri ~ ~ h~ ~~` U ~ ° W a ~~ ~~ j~$ .~A~ I~ a g o. ~' ~ ~~K ~~ ~ ~ ~ ~ Q;~ 8 ~ ~~ ~ ~1 .~5~ N~6 K2 ~i K2`Z K~~~ ~~ ~~ ~ ~~~~~ ~~ 3 ,illSS! 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M `~ Q ~ G ~ $ ~ 3N1735v8 N0I1.7/1N15N0J h 8 x~ ~i ~' ~ ~5 ~~ ~" KN ~ .i -~ g ~~ H _"'y~ gyiiS t/Z ~ p G i 0 0 ~~ ~ ~~ rtir^^ MSOiO a'NMIY~ y vl ~ ~ ~ ; ~~ ~ ~~ 31Y 'ii `~~ ~ ~ ~ ~"a~ QQ ~ ~ ~ ~~~ ~ asyy ~8y ~~ ~ ~ ~ ~g ~I6 ~6 ~ M ~ h ~" -57- Item V-K. S. a/b. ORDINANCES/RESOLUTIONS ITEM # 59482 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: Ordinances to AUTHORIZE and DIRECT the City Manager to execute: A five (S) year Lease with Nextel Communications of Mid-Atlantic, Inc. re telecommunications facilities at Stumpy Lake A one (1) year lease with Transitions Community Development Corporation at 1467 Old Virginia Beach Road re a temporary living program Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay.• None Council Members Absent: None December 8, 2009 1 AN ORDINANCE TO AWARDALEASE OFCITY PROPERTY 2 TO NEXTEL COMMUNICATIONS OF THE MID-ATLANTIC, 3 INC., FOR THE PURPOSE OF MAINTAINING AND 4 OPERATING WIRELESS TELECOMMUNICATIONS 5 FACILITIES 6 7 8 WHEREAS, the City of Virginia Beach (the "City") is the owner of certain property 9 located on the west side of Indian River Road, approximately 1,260 feet north of 10 Chesterbrook Drive, in the Centerville District (the "Property"); and 11 12 WHEREAS, Nextel Communications ofthe Mid-Atlantic, Inc. ("Nextel") has leased a 13 portion of the aforesaid property from the City to operate ground equipment for an adjacent 14 communications tower since the City acquired the Property as part of the Stumpy Lake 15 acquisition in 2001; and 16 17 WHEREAS, Nextel desires to continue to lease a portion of the Property, together 18 with easements for vehicular and pedestrian access and for the installation, maintenance 19 and replacement of necessary utilities, wiring, cables and other conduits forthe purpose of 20 maintaining and operating the existing wireless telecommunications facilities currently 21 located upon the property; and 22 23 WHEREAS, the most recent lease has expired as of November 14, 2009, and 24 Nextel desires to enter into a new lease upon the same terms and conditions as the 25 expired lease, with an adjustment in the rent due the City; and 26 27 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 28 VIRGINIA BEACH, VIRGINIA: 29 30 1. That the City Manager is hereby authorized and directed to execute, on 31 behalf of the City, the lease entitled GROUND LEASE AGREEMENT (ST. MATTHEWS 32 SITE), CITY OF VIRGINIA BEACH, LESSOR AND NEXTEL COMMUNICATIONS OF THE 33 MID-ATLANTIC, INC., LESSEE, a summary of the material terms of which lease is hereto 34 attached and a copy of which is on file in the Office of the City Attorney; 35 36 2. That the revenue from the lease shall be appropriated to the Golf Course 37 Special Revenue Fund (175 Fund). 38 39 Adopted by the Council of the City of Virginia Beach, Virginia, on the Rth day of December , 2009. APPROVED AS TO CONTENT /~ ~rks and fion ~_~... APPROVED AS TO CONTENT: Manag me t Services CA11249 R-3 November 20, 2009 APPROVED AS TO LEGAL SUFFICIENCY: \ V '~ ~~ City orney's Office 2 NEXTEL LEASE AGREEMENT (Indian River Road Site) Summary of Material Terms Location: West side of Indian River Road, approx. 1,260 feet north of Chesterbrook Drive Lessee: Nextel Communications of the Mid-Atlantic, Inc. Leased Area: 22.50' x 30.60' site, with access and maintenance easements, for accessory outbuilding housing telecommunications equipment Term: Five years with no right of renewal Rent: $13,139.85 per year (first year), payable in advance, with annual 4% increase Other: Same material terms as existing lease 1 AN ORDINANCE AUTHORIZING THE CITY 2 MANAGER TO EXECUTE A LEASE FOR ONE 3 YEAR, WITH FOUR OPTIONAL ONE-YEAR 4 RENEWALS, WITH TRANSITIONS COMMUNITY 5 DEVELOPMENT CORPORATION, FOR 2,010 6 SQUARE FEET OF CITY-OWNED LAND LOCATED 7 AT 1467 OLD VIRGINIA BEACH ROAD IN THE CITY 8 OF VIRGINIA BEACH 9 10 WHEREAS, the City of Virginia Beach (the "City") is the owner of that 11 certain parcel of land located at 1467 Old Virginia Beach Road in the City of 12 Virginia Beach (the "Property"). 13 14 WHEREAS, Transitions Community Development Corporation, a Virginia 15 non-stock corporation ("Transitions") desires to lease 2,010 square feet of 16 Property as set forth on Exhibit A (the "Premises"). Transitions has agreed to 17 lease the Premises from the City for one year, with four optional one-year 18 renewals, with a lease payment of One Dollar ($1.00) per year. 19 20 WHEREAS, the Premises will be utilized to provide temporary housing for 21 no more than four (4) residents at one time and no other purpose. 22 23 THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY 24 OF VIRGINIA BEACH, VIRGINIA: 25 26 That the City Manager is hereby authorized to execute a lease for the term 27 of one year, with four optional one-year renewals, between Transitions and the 28 City, for the Premises in accordance with the Summary of Terms attached 29 hereto, and such other terms and conditions deemed necessary and sufficient by 30 the City Manager and in a form deemed satisfactory by the City Attorney. 31 32 Adopted by the Council of the City of Virginia Beach, Virginia on the 33 Rah day of T1or.omha12009. APPROVED AS TO LEGAL SUFFICIENCY AND City Attorney APPROVED AS TO CONTENT l Managem nt Services Facilities Management CA11216 \\vbgov.com\DFS 1\App]ications\CityLawProd\cycom32\ Wpdocs\D020\P006\00032870.DOC R-1 November 24, 2009 SUMMARY OF TERMS LEASE FOR THE USE OF 2,010 SQUARE FEET OF CITY REAL PROPERTY LESSOR: City of Virginia Beach LESSEE: Transitions Community Development Corporation PREMISES: Approximately 2,010 square feet of City property, including the existing residence, located at 1467 Old Virginia Beach Road in the City of Virginia Beach TERM: December 15, 2009 through December 14, 2010 RENEWAL: Four (4) optional one-year terms. TERMINATION: City may terminate at any time on sixty (60) days written notice to Lessee. RENT: Rent shall be one dollar ($1.00). RIGHTS AND RESPONSIBILITIES OF TIDEWATER REGIONAL GROUP HOME COMMISSION: • Will use the Premises for a temporary living program providing residential housing for no more than four (4) residents at one time and for no other purposes. • Will complete noise attenuation required by City Code at its sole expense. • Will keep, repair, and maintain the Premises at its expense and will do so in a workmanlike manner. • Will maintain commercial general liability insurance coverage with policy limits of not less than one million dollars ($1,000,000) combined single limits per occurrence, issued by an insurance company licensed to conduct the business of insurance in Virginia. Such insurance shall name the City of Virginia Beach as an additional insured. Lessee shall provide a certificate evidencing the existence of such insurance. • Will assume the entire responsibility and liability for any and all damages to persons or property caused by any act or omission of the Lessee or its agents, etc. associated with the use of the Premises. • Will comply with all applicable laws, ordinances, and regulations in the performance of its obligations under the Lease, including Virginia Beach Code Section 23-59. RIGHTS AND RESPONSIBILITIES OF THE CITY: • Will have access to the Premises at any time, without prior notice, in the event of an emergency. • Will have the right to grant easements and rights of way across, in, under and through the Premises for streets, alleys, public highways, drainage, and other similar purposes. \\vbgov.com\DFS 1\Applications\CityLawProd\cycom32\Wpdocs\D020\P006\00032871.DOC -58- Item V-K.6 ORDINANCES/RESOLUTIONS ITEM # 59483 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: Ordinance to ACCEPT and APPROPRIATE Grant funds from the U.S. Department of Energy through the 2009 American Recovery and Reinvestment Act Energy Efficiency and Conservation Block Grant Program re energy efficiency and conservation initiatives Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 AN ORDINANCE TO ACCEPT FUNDS FROM THE UNITED ENERGY AND APPROPRIATE GRANT STATES DEPARTMENT OF BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA: That $4,042,000 is hereby accepted, with federal revenue increased accordingly, from the United States Department of Energy, and appropriated to the FY 2009-10 Operating Budget of the following agencies and departments as set forth below: a. $200,000 to the Department Communications and Information Technology for energy reducing data center upgrades; b. $250,000 to the Department of Planning and Community Development for a wind demonstration project; c. $1,799,980 to the Department of Public Works for energy saving building retrofits, assistance in the purchase of hybrid vehicles, and two studies; d. $1,649,705 to the Virginia Beach Public Schools for energy saving building retrofits; and e. $142,315 to the City Manager's Office for staff time for grant administration, an energy education program, and a carbon footprint assessment project. Adopted by the Council of the City of Virginia Beach, Virginia on the 8th day of December , 2009. Requires an affirmative vote by a majority of all of the members of City Council. Approved as to Content: Management Services Approved as to Legal Sufficiency: ity orney's Office CA11344 R-2 November 25, 2009 -59- Item V-K.7a./b. ORDINANCES/RESOLUTIONS ITEM # 59484 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: Resolutions re Recovery Zone Economic Development Bonds: Designating the Recovery Zone Area Issuing General Obligation Bonds (GOB) through VML/VACO Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 COUNCIL 12_8_09 RESOLUTION OF THE CITY OF VIRGINIA BEACH, VIRGINIA PROVIDING FOR THE ISSUANCE AND SALE OF GENERAL OBLIGATION BONDS IN THE PRINCIPAL AMOUNT NOT TO EXCEED $9,300,000 THROUGH A POOL BOND PROGRAM ADMINISTERED BY THE VIRGINIA LOCAL GOVERNMENT FINANCE CORPORATION OR DIRECTLY BY THE CITY, AND PROVIDING FOR THE FORM, DETAILS AND PAYMENT THEREOF The issuance of $68,700,000 of bonds of the City was authorized by an ordinance adopted by the City Council of the City of Virginia Beach, Virginia (the "City Council") on May 13, 2008, without being submitted to the qualified voters of the City, to finance various public improvements, including schools, roadways, coastal projects, economic and tourism projects, building and parks and recreation projects, $7,148,112 of which bonds have been issued and sold. The American Recovery and Reinvestment Act of 2009, Pub. L. No. 115-5, 123 Stat. 115 (2009) (the "Stimulus Act") added sections 1400U-1 through 1400U-3 to the Internal Revenue Code of 1986, as amended (the "Code"), authorizing state and local governments, including cities such as the City, to designate "recovery zones" for the purposes of issuing Recovery Zone Economic Development Bonds and Recovery Zone Facility Bonds. The City has received an allocation pursuant to the Stimulus Act enabling it currently to issue up to $4,996,000 in Recovery Zone Economic Development Bonds, and the City plans to seek additional issuing authority under a Recovery Zone Bond re-allocation program to be established by the Commonwealth of Virginia pursuant to the Governor's Executive Order Number 94 (2009), issued on September 30, 2009. The City Council has by resolution designated the 19th Street Corridor within the City as a recovery zone and desires to issue directly or indirectly one or more series of Recovery Zone Economic Development Bonds, 45% of the interest on which is to be paid by the U.S. Treasury Department pursuant to the Stimulus Act, to fund or reimburse qualifying expenditures within the recovery zone as permitted by Section 1400U-2 of the Code. The City has applied to the Virginia Local Government Finance Corporation, a Virginia nonstock, nonprofit corporation (the "Program Administrator"), for the Industrial Development Authority of the County of Stafford and the City of Staunton, Virginia (the "Issuer") for the purchase of the City's general obligations bonds and the Issuer has indicated its willingness to purchase such bonds from the proceeds of its Recovery Zone Pool Bond Program to be funded through the Issuer's Revenue Bonds (Recovery Zone Bonds Program), Series 2010A (the "RZ Pool Bonds"), in accordance with the terms of (i) a Loan Agreement to be dated as of a date specified by the Issuer, between the Issuer and the City (the "Loan Agreement") and (ii) a Local Bond Sale Agreement to be dated the date of sale of the RZ Pool Bonds, between the Issuer and the City (the "Local Bond Sale Agreement"), the forms of which have been presented to this meeting. The City Council has determined it is in the City's best interest to issue and sell up to $9,300,000 of the bonds authorized on May 13, 2008 to fund capital expenditures within the 19tH Street Corridor Recovery Zone for the purpose of promoting development or other economic activity within the zone. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY: 1. Issuance of Bonds. There shall be issued, pursuant to the Constitution and statutes of the Commonwealth of Virginia, including the City Charter (Chapter 147 of the Acts of the General Assembly of 1962, as amended) and the Public Finance Act of 1991 (Chapter 26, Title 15.2, Code of Virginia of 1950, as amended), general obligation bonds of the City in the maximum principal amount of $9,300,000 (the "Bonds"). The proceeds of the Bonds will be used to pay or reimburse certain qualifying expenditures including property acquisition within the 19th Street Corridor Recovery Zone (the "Project") as permitted by Code Section 1400U-2, and to pay certain costs of issuance of the Bonds. The Project and the expenditure of proceeds of the Bonds for Project costs are hereby approved. 2. Authorization of Loan Agreement. The form of the Loan Agreement submitted to this meeting is hereby approved. The City Manager is authorized to execute the Loan Agreement in substantially such form, with such completions, omissions, insertions and changes not inconsistent with this Resolution as may be approved by such official, whose approval shall be evidenced conclusively by the execution and delivery thereof. The issuance and sale of the Bonds to the Issuer shall be upon the terms and conditions of the Loan Agreement. The proceeds of such bonds shall be applied in the manner set forth in the Loan Agreement. All capitalized terms used but not otherwise defined herein shall have the same meaning as set forth in the Loan Agreement. 3. Bond Details. The Bonds shall be issued as one or more registered bonds, shall have the description and terms set forth in the form of Bond attached as Exhibit A (the "Bond Form") shall be in the principal amount not to exceed the amount set forth above and shall mature no later than 22 years after the date of their initial delivery. The City Council authorizes the issuance and sale of the Bonds on terms as shall be satisfactory to the City Manager; provided, however, that the Bonds shall have a "true" interest cost not to exceed 6.5% (taking into account any expected subsidy payments related to the RZ Pool Bonds and allocable to the Bonds, but exclusive of Additional Payments), shall be sold to the Issuer at a price not less than 98% of the aggregate principal amount of the Bonds (exclusive of any original discount on the RZ Pool Bonds allocable to the Bonds), and shall be subject to optional redemption upon the terms set forth in the Loan Agreement. Subject to the preceding terms, the City Council further authorizes the City Manager to (a) determine the final principal amount of the Bonds and (b) establish the amortization schedule (including the principal installment dates and amounts) for the Bonds in such manner as the City Manager shall determine to be in the best interest of the City. Following the pricing of the RZ Pool Bonds, the City Manager shall evidence his approval of the final terms and purchase price of the Bonds by executing and delivering to the 2 Issuer the Local Bond Sale Agreement, which shall be in substantially the form presented to this meeting, with such completions, omissions, insertions and changes not inconsistent with this Resolution as may be approved by the City Manager. The actions of the City Manager in determining the final terms and the purchase price of the Bonds shall be conclusive, and no further action shall be necessary on the part of the City. The principal of and premium, if any, and interest on the Bonds shall be payable in lawful money of the United States of America. 4. Payment and Redemption Provisions. The principal of and premium, if any, and interest on the Bonds shall be payable as set forth in the Bonds and the Loan Agreement. As set forth in the Loan Agreement, the City agrees to pay from legally available funds the Additional Payments. The City may, at its option, redeem, prepay or refund the Bonds upon the terms set forth in the Loan Agreement. 5. Execution and Authentication. The Bonds shall be signed by the manual or facsimile signature of the Mayor or Vice-Mayor, shall be countersigned by the manual or facsimile signature of the City Clerk or Deputy Clerk, and the City's seal shall be affixed thereto or a facsimile thereof printed thereon; provided, that if both of such signatures are facsimiles, no Bond shall be valid until it has been authenticated by the manual signature of the City Treasurer, as Registrar, or an authorized officer or employee of any bank or trust company serving as successor Registrar and the date of authentication noted thereon. 6. Bond Form. The Bonds shall be in substantially the form attached to this Resolution as Exhibit A, with such completions, omissions, insertions and changes not inconsistent with this Resolution as may be approved by the officers signing the Bonds, whose approval shall be evidenced conclusively by the execution and delivery of the Bonds. 7. Pledge of Full Faith and Credit. The full faith and credit of the City are hereby irrevocably pledged for the payment of principal of and premium, if any, and interest on the Bonds. Unless other funds are lawfully available and appropriated for timely payment of the Bonds, the City Council shall levy and collect an annual ad valorem tax, over and above all other taxes authorized or limited by law and without limitation as to rate or amount, on all locally taxable property in the City sufficient to pay when due the principal of and premium, if any, and interest on the Bonds. 8. Registration, Transfer and Owners of Bonds. The City Treasurer is appointed paying agent and registrar for the Bonds (the "Registrar"). The City may appoint a qualified bank or trust company as successor paying agent and registrar of the Bonds. The Registrar shall maintain registration books for the registration and registration of transfers of the Bonds. Upon presentation and surrender of any Bonds at the office of the Registrar, or at its designated corporate trust office if the Registrar is a bank or trust company, together with an assignment duly executed by the registered owner or his duly authorized attorney or legal representative in such form as shall be satisfactory to the Registrar, the City shall execute, and the Registrar shall authenticate, if required by Section 5, and shall deliver in exchange, a new Bond or Bonds having an equal aggregate principal amount, in authorized denominations, of the same form and maturity, bearing interest at the same rate and registered in the name as requested 3 by the then registered owner thereof or its duly authorized attorney or legal representative. Any such transfer or exchange shall be at the expense of the City, except that the Registrar may charge the person requesting such transfer or exchange the amount of any tax or other governmental charge required to be paid with respect thereto. The Registrar shall treat the registered owner as the person or entity exclusively entitled to payment of principal, premium, if any, and interest and the exercise of all other rights and powers of the owner, except that interest payments shall be made to the person or entity shown as owner on the registration books as of the Record Date set forth in the Bond. 9. Mutilated, Lost or Destroyed Bonds. If any Bond has been mutilated, lost or destroyed, the City shall execute and deliver a new Bond of like date and tenor in exchange and substitution for, and upon cancellation of, such mutilated Bond or in lieu of and in substitution for such lost or destroyed Bond; provided, however, that the City shall so execute and deliver only if the registered owner has paid the reasonable expenses and charges of the City in connection therewith and, in the case of a lost or destroyed Bond, (a) has filed with the City evidence satisfactory to the City that such Bond was lost or destroyed and (b) has furnished to the City satisfactory indemnity. 10. Preparation and Delivery of Bonds. The officers of the City are authorized and directed to take all proper steps to have the Bonds prepared and executed in accordance with their terms and to deliver them to the Issuer as the purchaser thereof upon receipt of the Purchase Price from the Issuer as set forth in the Loan Agreement and the Local Bond Sale Agreement. 11. Arbitrase Covenants. The City covenants that it shall not take or omit to take any action the taking or omission of which will cause the Bonds or the RZ Pool Bonds to be "arbitrage bonds" (within the meaning of Section 148 of the Internal Revenue Code of 1986, as amended, and regulations issued pursuant thereto (the "Code")), or otherwise cause interest on the Bonds to be includable in the gross income of the registered owner thereof under existing law or cause the RZ Pool Bonds to not qualify as "recovery zone economic development bonds" (within the meaning of Section 1400U-2 of the Code). Without limiting the generality of the foregoing, the City shall comply with any provision of law that may require the City at any time to rebate to the United States any part of the earnings derived from the investment of the gross proceeds of the Bonds or the RZ Pool Bonds, unless the City receives an opinion of nationally recognized bond counsel that such compliance is not required to prevent interest on the Bonds from being included in the gross income for federal income tax purposes of the registered owners thereof under existing law or to prevent the RZ Pool Bonds from not qualifying as "recovery zone economic development bonds" (within the meaning of Section 1400U-2 of the Code). The City shall pay any such required rebate from legally available funds. 12. Tax Compliance Documentation. Such officers of the City as may be requested are authorized and directed to execute and deliver any documentation necessary to establish the exemption from gross income for federal income tax purposes of interest on the Bonds or the qualification of the RZ Pool Bonds as "recovery zone economic development bonds" (within the meaning of Section 1400U-2 of the Code) as may be approved by the officers of the City executing such documents, whose approval shall be evidenced conclusively by the execution and delivery thereof. 4 13. Limitation on Private Use. The City covenants that it shall not permit the proceeds of the Bonds or the RZ Pool Bonds or the facilities financed with the proceeds of the Bond or the RZ Pool Bonds to be used in any manner that would result in (a) 5% or more of such proceeds or the facilities financed with such proceeds being used in a trade or business carried on by any person other than a governmental unit, as provided in Section 141(b) of the Code, (b) 5% or more of such proceeds or the facilities financed with such proceeds being used with respect to any output facility (other than a facility for the furnishing of water), (within the meaning of Section 141(b)(4) of the Code), or (c) 5% or more of such proceeds being used directly or indirectly to make or finance loans to any persons other than a governmental unit, as provided in Section 141(c) of the Code; provided, however, that if the City receives an opinion of nationally recognized bond counsel that any such covenants need not be complied with to prevent the interest on the Bonds from being includable in the gross income for federal income tax purposes of the registered owners thereof under existing law or to prevent the RZ Pool Bonds from not qualifying as "recovery zone economic development bonds" (within the meaning of Section 1400U-2 of the Code), the City need not comply with such covenants. 14. Official Statement. The City authorizes and consents to the inclusion of information with respect to the City contained in the Issuer's Preliminary Official Statement and the Issuer's Official Statement in final form, both prepared in connection with the sale of the RZ Pool Bonds. 15. Investment Authorization. The City Council hereby authorizes the Director of Finance to direct the City Treasurer to utilize the State Non-Arbitrage Program of the Commonwealth of Virginia ("SNAP") in connection with the investment of the proceeds of the Bonds, if the City Manager and the Director of Finance determine that the utilization of SNAP is in the best interest of the City. The City Council acknowledges that the Treasury Board of the Commonwealth of Virginia is not, and shall not be, in any way liable to the City in connection with SNAP, except as otherwise provided in the SNAP Contract. 16. Allocation of Volume Cap for Recovery Zone Economic Development Bonds. The City Council of the City hereby allocates all of its current volume cap for Recovery Zone Economic Development Bonds to the RZ Pool Bonds or to the Bonds as determined by the City Manager and, to the extent required, the City Manager is hereby authorized to make any designation or take any other actions needed to issue either the RZ Pool Bonds or the Bonds as Recovery Zone Economic Development Bonds. The City Manager is further authorized to take any action needed with respect to additional volume cap reallocated to the City pursuant to Executive Order 94 (or any subsequent Executive Order addressing the same) of the Governor of Virginia. It is hereby determined that the Project will promote development or other economic activity and is for a qualified economic development purpose (within the meaning of Section 1400U-2 of the Code). 17. Authorization to City Manager. Notwithstanding any other provision of this Resolution, in lieu of issuing the Bonds through the RZ Pool Bonds program, the City may issue the Bonds as Recovery Zone Economic Development Bonds directly to the public upon the City Manager's determination that it is in the City's best interest to do so, and the City Manager may make all necessary designations in connection therewith. Upon such determination, the City Manager is hereby authorized to cause the Bonds to be issued without further approval by City Council within the parameters of (i) the principal amount, (ii) term to maturity and (iii) "true" interest cost (taking into account expected federal subsidy payments) as set forth in paragraph 3 of this Resolution, and with redemption terms established by the City Manager in consultation with the City's Financial Advisor. Further, upon such determination by the City Manager, the Bonds shall be issued using a Preliminary Official Statement and Notice of Sale substantially in the forms of such documents presented to and approved by City Council in connection with the City's General Obligation Refunding Bonds, Series 2009A and 2009B, to be issued, and may be included for sale as a series of bonds with such refunding bonds, any other series of bonds or sold separately as the City Manager may determine. Such documents shall be revised or updated to reflect terms deemed necessary or appropriate for the issuance of the Bonds, and the form of such Bond shall be substantially in the form of bond approved for the Series 2009A and 2009B Bonds. The City Manager and officers of the City are further authorized to perform such acts and sign such documents deemed necessary or appropriate in connection with the issuance and sale of the Bonds as is customary in connection with the issuance of general obligation bonds of the City, as generally reflected in the resolution approving the Series 2009A and 2009B Bonds. 18. Statement of Intent to Issue Bonds. In the event the City Manager determines it is in the City's best interest to issue Recovery Zone Economic Development Bonds directly, as opposed to issuing such bonds through the RZ Pool Bonds program, the City Council hereby expresses its intent to issue such bonds by way of competitive sale as a part of the City's general obligation refunding bond sale presently scheduled for January 2010 or such other competitive sale of the City. 19. Other Actions. All other actions of officials of the City in conformity with the purposes and intent of this Resolution and in furtherance of the issuance and sale of the Bond are ratified, approved and confirmed. The officials of the City are authorized and directed to execute and deliver all certificates and other instruments considered necessary or desirable in connection with the issuance, sale and delivery of the Bonds pursuant to this Resolution, the Loan Agreement and the Local Bond Sale Agreement. 20. Concurrence in the Resolution of the Issuer. The City Council of the City concurs with the resolution of the Issuer adopted or to be adopted by the Issuer in connection with the issuance of the RZ Pool Bonds as required by Section 15.2-4905 of the Code. 21. Repeal of Conflicting Resolutions. All resolutions or parts of resolutions in conflict herewith are repealed. 22. Effective Date. This Resolution shall take effect immediately. 6 Exhibit A -Form of Bonds REGISTERED No. R- UNITED STATES OF AMERICA COMMONWEALTH OF VIRGINIA REGISTERED CITY OF VIRGINIA BEACH General Obligation Bond (Recovery Zone Project) Series 2010 INTEREST RATE MATURITY DATE DATED DATE CUSIP _, _, 2010 N/A REGISTERED OWNER: PRINCIPAL AMOUNT: The City of Virginia Beach, Virginia (the "City"),apolitical subdivision of the Commonwealth of Virginia, for value received, acknowledges itself in debt and promises to pay to the Industrial Development Authority of the County of Stafford and the City of Staunton, or its registered assigns or legal representative ("Issuer"), solely from the sources hereinafter described and pledged to the payment of this bond the principal sum of DOLLARS ($~. Principal of this bond shall be payable in annual installments in the amounts and on the dates set forth in Schedule I attached hereto. Interest on this bond shall be payable on each and , commencing ,computed on the basis of a 360-day year of twelve 30-day months at the rates set forth in Schedule I. If any installment of principal of and interest on this bond is not paid to the registered owner of this bond within ten days after its due date, the City shall pay to the Issuer a late payment charge in an amount equal to two and one-half percent (2 1 /2%) of the overdue installment. Subject to the provisions of the Loan Agreement dated as of (the "Loan Agreement"), between the Issuer and the City, so long as this bond is held by the Issuer or its registered assigns or legal representative, interest is payable by check or draft mailed to the registered owner of this bond at the address that appears on the 15th day of the month preceding each interest payment date (the "Record Date") on the registration books kept by Treasurer of the City, who has been appointed registrar and paying agent, or any successor bank or trust company (the "Registrar"). Principal of and premium, if any, and interest on this bond shall be payable in lawful money of the United States of America. In case any payment date on this bond shall not A-1 be a Business Day (as defined below), then payment of principal, premium, if any, and interest need not be made on such date, but may be made on the next succeeding Business Day, and, if made on such next succeeding Business Day, no additional interest shall accrue for the period after such payment date. "Business Day" means any Monday, Tuesday, Wednesday, Thursday or Friday on which commercial banking institutions generally are open for business in New York and Virginia. This bond has been authorized by a resolution adopted by the City Council of the City on December _, 2009 (the "Bond Resolution"), and is issued pursuant to the Constitution and the Public Finance Act of 1991, and the Loan Agreement. Proceeds of this bond will be used to provide funds to (a) finance the Project as defined in the Resolution, and (b) pay the issuance and financing costs incurred in issuing this bond. The full faith and credit of the City are irrevocably pledged for the payment of principal of and premium, if any, and interest on this bond and the performance of the City's obligations under the Loan Agreement. Unless other funds are lawfully available and appropriated for timely payment of this bond, the City Council of the City shall levy and collect an annual ad valorem tax, over and above all other taxes authorized or limited by law and without limitation as to rate or amount, on all locally taxable property in the City sufficient to pay when due the principal of and premium, if any, and interest on this bond. The City agrees to pay from legally available funds the Additional Payments as defined in the Loan Agreement. This bond may be redeemed, prepaid or refunded at the option of the City upon the terms set forth in the Loan Agreement. This bond is issuable as a fully registered bond. Upon surrender of this bond at the Registrar's office, together with an assignment duly executed by the registered owner or such owner's duly authorized attorney or legal representative in such form as shall be satisfactory to the Registrar, the City shall execute, and the Registrar shall authenticate and deliver in exchange, a new bond or bonds in the manner and subject to the limitations and conditions provided in the Resolution, having an equal aggregate principal amount, in authorized denominations, of the same series, form and maturity, bearing interest at the same rates and in the same manner, and registered in such names as requested by the then registered owner of this bond or such owner's duly authorized attorney or legal representative. Any such exchange shall be at the City's expense, except that the Registrar may charge the person requesting such exchange the amount of any tax or other governmental charge required to be paid with respect to it. The Registrar shall treat the registered owner of this bond as the person exclusively entitled to payment of principal, premium, if any, and interest and the exercise of all other rights and powers of the owner, except that interest payments shall be made to the person shown as owner on the 15th day of the month preceding each interest payment date. All acts, conditions and things required by the Constitution and statutes of the Commonwealth of Virginia to happen, exist or be performed precedent to and in the issuance of this bond have happened, exist and have been performed, and this bond, together with all other indebtedness of the City, is within every debt and other limitation prescribed by the Constitution and statutes of the Commonwealth of Virginia. A-2 IN WITNESS WHEREOF, the City of Virginia Beach, Virginia, has caused this bond to be signed by its Mayor, to be countersigned by its Clerk, its seal to be affixed hereto, and this bond to be dated the Dated Date stated above. COUNTERSIGNED: (SEAL) Clerk, City of Virginia Beach, Virginia Mayor, City of Virginia Beach, Virginia A-3 ASSIGNMENT FOR VALUE RECEIVED the undersigned sell(s), assign(s) and transfer(s) unto (Please print or type name and address, including postal zip code, of Transferee) PLEASE INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER OF TRANSFEREE: the within bond and all rights thereunder, hereby irrevocably constituting and appointing Attorney, to transfer said bond on the books kept for the registration thereof, with full power of substitution in the premises. Dated: Signature Guaranteed NOTICE: Signature(s) must be guaranteed by an Eligible Guarantor Institution such as a Commercial Bank, Trust Company, Securities Broker/Dealer, Credit Union or Savings Association who is a member of a medallion program approved by The Securities Transfer Association, Inc. (Signature of Registered Owner) NOTICE: The signature above must correspond with the name of the registered owner as it appears on the front of this bond in every particular, without alteration or enlargement or any change whatsoever. A-4 SCHEDULE I TO CITY OF VIRGINIA BEACH, VIRGINIA GENERAL OBLIGATION BOND (RECOVERY ZONE PROJECT) SERIES 2010_ Principal Principal Principal Installment Installment Installment Number Amount Due Date [to be completed after pricing of the RZ Pool Bonds] Interest Rate A-5 Requires an affirmative vote by a majority of the members of the City Council. Adopted by the City Council of the City of Virginia Beach, Virginia, this Rth day of December, 2009. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: ~ _ -- ~ ,~i Finance Department C _.. Ci Attorney's Office CERTIFICATE The undersigned Clerk of the City Council of the City of Virginia Beach, Virginia (the "City Council"), certifies that: 1. A meeting of the City Council was held on December ~, 2009, at the time and place established and noticed by the City Council, at which the members of the City Council were present or absent as noted below. The foregoing Resolution was adopted by a majority of the members of the City Council, by a roll call vote, the ayes and nays being recorded in the minutes of the meeting as shown below: PRESENT/ABSENT: VOTE: William D. Sessoms, Jr., Mayor Louis R. Jones, Vice Mayor Glenn R. Davis Bill R. DeSteph Harry E. Diezel Robert M. Dyer Barbara M. Henley John E. Uhrin Ronald A. Villanueva Rosemary Wilson James L. Wood X / AYE ~ / - AYE ~ / - AYE ~- / - AYE ~- / - AYE .~ / - AYE ~ / - AYE ~ / - AYE ~ / - AYE ~ / - AYE ~ / - AYE 2. The foregoing Resolution is a true and correct copy of such Resolution as adopted on December $, 2009. The foregoing Resolution has not been repealed, revoked, rescinded or amended and is in full force and effect on the date hereof. WITNESS my signature and the seal of the City of Virginia Beach, Virginia, this st day of December, 2009. Clerk, City Council of the City of Virginia Beach, Virginia (SEAL) 1885783v1 COUNCIL 12_8_09 RESOLUTION DESIGNATING AN AREA OF THE CITY OF VIRGINIA BEACH, VIRGINIA KNOWN AS THE 19TH STREET CORRIDOR AS A RECOVERY ZONE PURSUANT TO THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 The American Recovery and Reinvestment Act of 2009, Pub. L. No. 115-5, 123 Stat. 115 (2009) (the "Stimulus Act") added sections 1400U-1 through 1400U-3 to the Internal Revenue Code of 1986, as amended (the "Code"), authorizing state and local governments, including cities such as the City of Virginia Beach, Virginia (the "City"), to designate "recovery zones" for the purposes of issuing Recovery Zone Economic Development Bonds and Recovery Zone Facility Bonds (such bonds are referred to collectively as "Recovery Zone Bonds"). Pursuant to the Stimulus Act, the term "recovery zone" means (i) any area designated by the issuer as having significant poverty, unemployment, rate of home foreclosures, or general distress, (ii) any area designated by the issuer as economically distressed by reason of closure or realignment of a military installation pursuant to the Defense Base Closure and Realignment Act of 1990, and (iii) any area for which a designation as an empowerment zone or renewal community is in effect as of the effective date of the Stimulus Act, which effective date was February 17, 2009. The Stimulus Act imposes a national bond volume limitation (the "volume cap") for Recovery Zone Bonds and requires issuance of such bonds by January 1, 2011. In Internal Revenue Service Notice 2009-50 (the "IRS Notice") issued pursuant to the Stimulus Act, the City's allocation includes $4,996,000 of volume cap for Recovery Zone Economic Development Bonds, which are taxable governmental bonds that may be used to finance expenditures for certain "qualified economic development purposes. The IRS Notice provides that any state, county or large municipality that receives a volume cap allocation for Recovery Zone Bonds may make the designations of recovery zones in any reasonable manner as it shall determine in good faith in its discretion. By Executive Order Number 94 (2009), dated September 30, 2009, the Governor of the Commonwealth of Virginia established procedures to be followed by local governments to reserve Recovery Zone Bond volume cap allocated pursuant to the Stimulus Act, including, filing by November 2, 2009 of a notice of intent to issue Recovery Zone Bonds, filing by December 15, 2009 of a Project Verification Report, containing, among other things, documentation evidencing establishment of one or more recovery zones and approval of the projects to be undertaken, and issuance by March 15, 2010 of Recovery Zone Bonds. The City Council of the City (the "Council") desires to designate a recovery zone in order to permit the issuance of Recovery Zone Bonds pursuant to the Stimulus Act and to satisfy a requirement of the Governor's Executive Order for reserving Recovery Zone Bond volume cap. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA: Section 1. Findings; Designation of Recovery Zone. The Council hereby finds and determines, based upon certain financial information and economic data presented to the Council, including median income, household income, number of residents at or below the federal poverty level and the number of federally subsidized housing units, that the area of the City known as the 19th Street Corridor, shown on Exhibit A attached hereto and made a part hereof, is experiencing significant general distress when compared to the City as a whole. Based on such findings, the Council hereby designates the area shown on Exhibit A as a "recovery zone" for the purpose of issuing Recovery Zone Bonds. The recovery zone so designated shall be identified as the 19th Street Corridor Recovery Zone (the "Recovery Zone"). Section 2. Authorizations. The Council authorizes the City Manager to make or effect any, election, selection, designation, approval, consent, filing or waiver regarding volume cap allocations, including re-allocations of such volume cap to City-related entities, as the City is permitted or required to make or give under the Stimulus Act or under procedures or policies adopted by the Commonwealth of Virginia pursuant to Executive Order Number 94 (2009). The City Manager is further authorized to develop guidelines for the use of Recovery Zone Bonds and seek additional or supplemental Recovery Zone Bond volume cap from any re- allocation process established under such Executive Order and any amendments thereto. The authorization herein granted to the City Manager may be delegated by the City Manager in his discretion to one or more officers of the City. Section 3. Other Actions. All actions of the officers, staff and agents of the City previously taken that are in conformity with the intent and purpose of this Resolution and in furtherance of the designation of the Recovery Zone are hereby ratified, approved and confirmed. The officers and staff of the City are authorized and directed to take all such further action as may be considered necessary or desirable in connection with the intent and purpose of this Resolution, including taking all necessary steps to identify projects for which the issuance of Recovery Zone Bonds would be appropriate. Section 4. Effective Date. This Resolution shall take effect immediately upon its adoption. Exhibit A -Recovery Zone Area -2- Adopted by the City Council of the City of Virginia Beach, Virginia, this ~ day of December, 2009. APPROVED AS TO CONTENT: Ra _~ l Finance Department APPROVED AS TO LEGAL SUFFICIENCY: City Atto ey s Of ice -3- F+ T~~/'~ V/ y~~ A ~ ~ ~NH ~ ~ d~ .. I ~ '1 ~~rK3~ i~ 1 ~¢ ti = ~~ '1 ~ ,; .- ~, ,_ ~ , _ ._ - _ _ ~ ~~~~ N--t""Y. .~~ ~ 11 ~r- a a I-_' ~ ,~ 8C~6~lIiABk11 ~ ~ ti,;~.pp~~. ~~. +I f, ~ ~ ~, ~, w ~~ ~ , y ~.._, - ,. -~ ~~ ~~~ t~s I~ 5 r r ~_~ ~. ~ v.. ~ b -~ ~. ' ~' r ~ ~ "_ _ .:.: g '~ ~ ~ .. _ ..~ ~^~ i ,. ~ ~ t'~ c~E~' { -. .~ i. ~ - ~ ~ - ~ z A ~' - . ~~` ~ __ _ ~ ~- ~ ~ ~ l .r f ~--~-_. ~~ ~ ,, 1 r ' 7~ li ~ 1 L~{ ~ 1 1' '-1 ~ 1, ~ 11 { 1 i ~, ~.- 1 , 11 ~ I -Y- y 1 1, 1 r~~=±~~~ ~, 1 11 1 _ ~ ~ 11 1 11 ~y~l ~ i 1, 1 1 ~`q li 1 _1-.-~"~ 11 ~1 ~1 ~, !1 1, ~i ~ ~ f k ` i i~ 1 *~ 11 f 1 1 1, ~~ f , , ~, ~ ~~ ~.~---~ i , yr_ ( ~ 1 ~~..~- ~ 1 1, ~1 _~-r- 1 1 1 _~__f , li ~ 1 , ~ ,_I _ I ~i li 11 11 _. ~-- ~ li 11. 1 ~ ,~. ~l i 1, ~~ ~1 tO ', f~ 1 '- ~,1 ~ Iii `, ,, 11~ ~ 1r tli ',~ ~ 1,1 li ~~ -'~ ~' 11 11 1 1' 1,, 11 ~1 ~1 1_ ~ ; _i-' ~,- ,1 1 ~ II _ '~' ~ r }~ ~ 11i ~ 1 ~_ 1 1 1 ~rt`~-~- t 1 1 ~-' ~ 1 ~ 1 1 t ~ I 1 1- ~~'t"~~1 1 1 , , t 1 A-~~ A f. 1 ~ ~ i 'i 1 1 1 ~~_~Lr" 1 I I ~ ~ _ ~~" i 1 ~ ~ _l~'~ 1 i ~ 1 1~ i 1 ~ 1! 1' - ti ~ ~ 11 '. -'-S- 1 i _ ~ t s 5 1 1 1~ 11r_~ 11 `, '' 1 1, ~~ t ~ ~ ~, ~_I 1 ~~ ~_; CERTIFICATE The undersigned Clerk of the City Council of the City of Virginia Beach, Virginia (the "City Council"), certifies that: 1. A meeting of the City Council was held on December g , 2009, at the time and place established and noticed by the City Council, at which the members of the City Council were present or absent as noted below. The foregoing Resolution was adopted by a majority of the members of the City Council, by a roll call vote, the ayes and nays being recorded in the minutes of the meeting as shown below: PRESENT/ABSENT: VOTE: William D. Sessoms, Jr., Mayor Louis R. Jones, Vice Mayor Glenn R. Davis Bill R. DeSteph Harry E. Diezel Robert M. Dyer Barbara M. Henley John E. Uhrin Ronald A. Villanueva Rosemary Wilson James L. Wood ~ ~ - AYE ~ / - AYE ~ ~ - AYE _X ~ _ AYE ~ ~ - AYE -X / - AYE ~ / - AYE ~ ~ - .AYE ~ ~ - AYE _X ~ _ AYE -X ~ - AYE 2. The foregoing Resolution is a true and correct copy of such Resolution as adopted on December 8 , 2009. The foregoing Resolution has not been repealed, revoked, rescinded or amended and is in full force and effect on the date hereof. WITNESS my signature and the seal of the City of Virginia Beach, Virginia, this st day of December -, 2009. Clerk, City Council of the City of Virginia Beach, Virginia (SEAL) 1871943x3 205182.000133 1871943x3 LOCAL BOND SALE AGREEMENT This LOCAL BOND SALE AGREEMENT is made as of , 2010 (this "Agreement"), between the INDUSTRIAL DEVELOPMENT AUTHORITY OF THE COUNTY OF STAFFORD AND THE CITY OF STAUNTON, VIRGINIA (the "Issuer") and the CITY OF VIRGINIA BEACH, VIRGINIA ("the "Locality"). The Issuer hereby offers to enter into this Agreement with the Locality, which, upon the Locality's written acceptance of this offer, shall be binding upon the Issuer and the Locality. This offer is made subject to the Locality's written acceptance hereof this day on or before 6:00 p.m. Richmond, Virginia time, and, if not so accepted, shall be subject to withdrawal by the Issuer at any time prior to the acceptance hereof by the Locality. Subject to the terms and conditions and in reliance upon the representations, warranties and agreements set forth or incorporated herein, the Issuer hereby agrees to purchase from the Locality, and the Locality agrees to sell and deliver to the Issuer, all, but not less than all, of the $ aggregate principal amount of the Locality's General Obligation Bonds, Series 2010A (the "Local Bonds"). Such purchase shall be funded from proceeds of the Issuer's Revenue Bonds (Recovery Zone Bonds Program), Series 2010A (the "RZ Pool Bonds") in the aggregate amount set forth in Appendix A (the "Purchase Price"). Pursuant to a resolution previously adopted by the Locality (the "Authorization"), a copy of which has already been provided to the Issuer, the Locality is authorized to issue and sell to the Issuer its Local Bonds. The Issuer and the Locality agree that the payment dates, principal installment amounts, and interest rates applicable to the Local Bonds shall be as set forth in Appendix A hereto. The amount of the Purchase Price set forth in Appendix A hereto has been calculated for each Local Bond as follows: (a) the aggregate principal amount of the respective Local Bond, plus/minus (b) the Locality's allocable share of net original issue premium/discount of the RZ Pool Bonds and minus (c) the Locality's allocable share of the Issuer's costs of issuance (including the Underwriter's discount) on the corresponding series of the RZ Pool Bonds. [Revise as appropriate to address required equity contribution, if any, for COI above 2% limit] By 10:00 a.m., Richmond, Virginia time, on the date identified as the closing date in Appendix A, or such other later date or time to which the Issuer may specify in writing (the "Closing Date"), the Locality agrees to cause the Local Bond and the documents described in Section 4.03 of the Loan Agreement to be dated as of , 2010 (the "Loan Agreement"), to be entered into between the Issuer and the Locality to be delivered to the Issuer at the offices of Hunton & Williams LLP, Richmond, Virginia, or at such other place as the Issuer may specify in writing. The Local Bond shall be dated the date of this initial delivery and registered in the name of the Issuer. The representations and warranties of the Locality set forth in Section 2.01 of the current draft of the Loan Agreement (dated , 2010) are incorporated herein and are accurate in all material respects as of the date hereof. Notwithstanding anything herein to the contrary, the obligations of the Issuer to purchase the Local Bonds and to enter into the Loan Agreement are subject to the following conditions (unless waived by the Issuer in its sole discretion): (a) the accuracy of the representations and warranties of the Locality incorporated into this Agreement, as of the date of this Agreement and as of the Closing Date, and (b) the payment of the full purchase price for, and the receipt of, the RZ Pool Bonds by the Underwriters; and (c) the receipt by the Issuer of the documents specified in Section 4.03 of the Loan Agreement. Any notice or other communication to be given to the Issuer or the Locality under this Agreement may be given by telecommunication followed by overnight express delivery or first class mail to the following address: ISSUER: Industrial Development Authority of the County of Stafford and the City of Staunton c/o VML/VACo Finance Program P.O. Box 2061 Richmond, VA 23218 Email: Telecopy: (804) 783-2286 LOCALITY: As set forth in Appendix A. The Issuer will cause to be paid, solely from the proceeds of the RZ Pool Bonds the costs and expenses incurred in connection with the issuance of the RZ Pool Bonds (including each Locality's proportionate share of such costs), including, but not limited to: (i) the cost of preparing and delivering the RZ Pool Bonds, (ii) the cost of preparing, printing and delivering the Preliminary Official Statement and the Official Statement for the RZ Pool Bonds and any amendment or supplement to the Official Statement, (iii) the fees and expenses of the Issuer's Bond Counsel, and (iv) all other costs and expenses incurred by the Issuer in connection with the issuance, sale and delivery of the RZ Pool Bonds. The Locality agrees to pay all of its other expenses, including, but not limited to, the fees and disbursements of the Locality's bond counsel, either from the Purchase Price of the Local Bonds or from other legally available funds of the Locality. In case any one or more of the provisions of this Agreement, for any reason, is held to be illegal and invalid, such illegality or invalidity will not affect any other provisions of this 2 Agreement, and this Agreement shall be construed and enforced as if such illegal or invalid provisions had not been contained in it. This Agreement may be executed in counterparts. This Agreement shall be construed and enforced in accordance with the laws of the Commonwealth of Virginia. INDUSTRIAL DEVELOPMENT AUTHORITY OF THE COUNTY OF STAFFORD AND THE CITY OF STAUNTON, VIRGINIA By: Its: [THE SIGNATURE PAGE TO LOCAL BOND SALE AGREEMENT] 3 Accepted and agreed to as of 2010. CITY OF VIRGINIA BEACH, VIRGINIA By: Printed Name: Title: [LOCALITY SIGNATURE PAGE TO LOCAL BOND SALE AGREEMENT] 4 APPENDIX A 1. 2. 3. 4. 5. Purchase Price: [Required Equity contribution Closing Date: Dated Date: Locality's Primary Contact: 6. Maturities and Interest Rates: [Name] [Title] City of Virginia Beach Municipal Center 2401 Courthouse Drive Virginia Beach VA 23456 Email: Telecopy: Date Amount 76464.000002 EMF_US 29081702v1 A-1 Interest Rate "~ '~ : ~: ~ .. ~.-.~' 'E: ', fis LOAN AGREEMENT By and Between INDUSTRIAL DEVELOPMENT AUTHORITY OF THE COUNTY OF STAFFORD AND THE CITY OF STAUNTON, VIRGINIA and CITY OF VIRGINIA BEACH, VIRGINIA Dated as of 1, 2010 RELATING TO LOAN OF PROCEEDS OF INDUSTRIAL DEVELOPMENT AUTHORITY OF THE COUNTY OF STAFFORD AND THE CITY OF STAUNTON, VIRGINIA TAXABLE REVENUE BONDS (RECOVERY ZONE BOND PROGRAM), SERIES 2010A LOAN AGREEMENT TABLE OF CONTENTS Page ARTICLE I DEFINITIONS SECTION 1.01. Definitions ..........................................................................................................2 SECTION 1.02. Rules of Construction ........................................................................................6 ARTICLE II REPRESENTATIONS, WARRANTIES AND COVENANTS SECTION 2.01. Representations and Warranties of Borrower ....................................................7 SECTION 2.02. Covenants of Borrower ......................................................................................9 ARTICLE III THE LOAN SECTION 3.01. The Loan ..........................................................................................................12 SECTION 3.02. Evidence of Loan .............................................................................................12 ARTICLE IV LOAN TERM AND LOAN CLOSING REQUIREMENTS SECTION 4.01. Commencement of Loan Term ........................................................................12 SECTION 4.02. Termination of Loan Term ...............................................................................12 SECTION 4.03. Loan Closing Submissions ...............................................................................12 ARTICLE V LOAN REPAYMENTS SECTION 5.01. Payment of Basic Payments .............................................................................13 SECTION 5.02. Payment of Additional Payments .....................................................................14 SECTION 5.03. Interest Earnings or Investment Losses and Excess Payments ........................14 SECTION 5.04. Obligations of Borrower Unconditional ..........................................................15 SECTION 5.05. Refunding Bonds .............................................................................................15 SECTION 5.06. Prepayment ......................................................................................................15 ARTICLE VI DEFEASANCE i ARTICLE VII ASSIGNMENT AND PAYMENT BY THIRD PARTIES SECTION 7.01. Assignment by Issuer .......................................................................................16 SECTION 7.02. Assignment by Borrower .................................................................................16 ARTICLE VIII EVENTS OF DEFAULT AND REMEDIES SECTION 8.01. Events of Default Defined ...............................................................................16 SECTION 8.02. Notice of Default ..............................................................................................17 SECTION 8.03. Remedies on Default ........................................................................................17 SECTION 8.04. No Acceleration ...............................................................................................18 SECTION 8.05. No Remedy Exclusive; Waiver, Notice ...........................................................18 SECTION 8.06. Application of Moneys ....................................................................................18 ARTICLE IX MISCELLANEOUS SECTION 9.01. Notices .............................................................................................................18 SECTION 9.02. Continuing Disclosure .....................................................................................19 SECTION 9.03. Binding Effect ..................................................................................................19 SECTION 9.04. Severability ...................................................................................................... 19 SECTION 9.05. Amendments, Changes and Modifications ...................................................... 19 SECTION 9.06. Execution in Counterparts ................................................................................ 19 SECTION 9.07. Applicable Law ................................................................................................ 19 SECTION 9.08. Benefit of Bondholders; Compliance with Indenture ...................................... 19 SECTION 9.09. Consents and Approvals .................................................................................. 19 SECTION 9.10. Immunity of Officers, Employees and Members of Issuer and Borrower....... 19 SECTION 9.11. Captions ........................................................................................................... 20 SECTION 9.12. No Pecuniary Liability of Issuer ...................................................................... 20 SECTION 9.13. Payments Due on Holidays .............................................................................. 20 SECTION 9.14. Calculations ...................................................................................................... 20 SECTION 9.15. Time of Payment .............................................................................................. 20 EXHIBIT A USE OF LOAN PROCEEDS EXHIBIT B FORM OF LOCAL BOND EXHIBIT C OPINION OF BORROWER'S COUNSEL EXHIBIT D DEBT SERVICE SCHEDULE EXHIBIT E FORM OF REQUISITION CERTIFICATE ii LOAN AGREEMENT This Loan Agreement (the "Loan Agreement" or the "Agreement") is dated as of 1, 2010, and entered into between the INDUSTRIAL DEVELOPMENT AUTHORITY OF THE COUNTY OF STAFFORD AND THE CITY OF STAUNTON, VIRGINIA,. a political subdivision duly organized and existing under the Constitution and laws of the Commonwealth of Virginia (the "Issuer"), and the CITY OF VIRGINIA BEACH, VIRGINIA, a political subdivision of the Commonwealth of Virginia (the "Borrower"). WITNESSETH: WHEREAS, the Issuer is duly created and existing under the Industrial Development and Revenue Bond Act, Chapter 49, Title 15.2 of the Code of Virginia of 1950, as amended (the "Act"); and WHEREAS, by virtue of the Act, the Issuer is authorized and empowered, among other things, to issue its revenue bonds to finance or refinance facilities for localities, the Commonwealth of Virginia and its agencies, other governmental organizations and nonprofit organizations; and WHEREAS, the Issuer, in cooperation with the Virginia Local Government Finance Corporation, a Virginia nonstock, nonprofit corporation (the "Program Administrator"), has determined that there is a need within the Commonwealth of Virginia (the "Commonwealth") for a financing program (the "Program") which will provide funds for qualifying projects (the "Projects") utilizing Recovery Zone Bonds or Build America Bonds authorized pursuant to the American Recovery and Reinvestment Act of 2009 ("ARRA") undertaken by or on behalf of political subdivisions and other governmental units of the Commonwealth; and WHEREAS, the Issuer is authorized under the Act to issue its revenue bonds to provide funds for such purposes, and the Issuer has determined that the public interest will best be served and that the purposes of the Act can be more advantageously obtained by the Issuer's issuance of revenue bonds in order to loan funds to political subdivisions and other governmental units of the Commonwealth to finance Projects; and WHEREAS, pursuant to the authority of the Act, and following the recommendation and approval of the Program Administrator, the Issuer desires to loan to the Borrower the amount necessary to enable the Borrower to finance, refinance or reimburse the costs of the Borrower Project (as hereinafter defined), and the Borrower desires to borrow such amount from the Issuer subject to the terms and conditions of and for the purposes set forth in this Agreement; and WHEREAS, the Borrower has established a "recovery zone" under ARRA where the Borrower Projects will be located; and WHEREAS, the Issuer and the Borrower have determined that the lending of funds by the Issuer to the Borrower pursuant to the terms of this Agreement and that certain Trust Indenture dated as of 1, 2010, between the Issuer and the Trustee (as hereinafter defined) relating to the Issuer's Bonds (as hereinafter defined), including any amendments and supplements thereto (collectively, the "Indenture"), will benefit inhabitants of the Commonwealth and promote their health, welfare, convenience and/or prosperity; and WHEREAS, neither the Issuer, the Borrower nor the Commonwealth or any political subdivision thereof (other than each Borrower to the extent of its obligations under its respective Loan Agreement only), shall in any way be obligated to pay the principal of, premium, if any, or interest on the Bonds as the same shall become due, and the Bonds shall be payable solely from the funds and revenues pledged under and pursuant to this Agreement and the Indenture. NOW, THEREFORE, for and in consideration of the premises hereinafter contained, the parties hereto agree as follows: ARTICLE I DEFINITIONS SECTION 1.01. Definitions. Unless the context or use indicates another meaning or intent, the following words and terms as used in this Loan Agreement shall have the following meanings, and any other hereinafter defined, shall have the meanings as therein defined. "Accountant" or "Accountants" means an independent certified public accountant or a firm of independent certified public accountants. "Accounts" means the accounts created pursuant to Section 4.02 of the Indenture. "Act" means the Industrial Development and Revenue Bond Act, Chapter 49, Title 15.2 of the Code of Virginia of 1950, as amended. "Additional Payments" means payments required by Section 5.02 hereof. "Arbitrage Regulations" means the income tax regulations promulgated, proposed or applicable pursuant to Section 148 of the Code as the same may be amended or supplemented or proposed to be amended or supplemented from time to time. "Authorized Representative" means any member, official or employee of the Issuer or the Borrower, as applicable, authorized by resolution, ordinance or other official act of the governing body of the Issuer or the Borrower, as applicable, to perform the act or sign the document in question. "Basic Payments" means the payments denominated as such in Section 5.01 hereof. "Bond Counsel" means Hunton & Williams LLP or any other nationally recognized bond counsel. 2 "Bondholder" or "Holder" or "Owner" whenever used herein with respect to a Bond, means the person in whose name such Bond is registered. "Bonds" means the Issuer's Taxable Revenue Bonds (Recovery Zone Bond Program), Series 2010A, issued pursuant to Article II of the Indenture. "Borrower" means the City of Virginia Beach, Virginia, which is borrowing and using the proceeds from the Loan to finance, refinance and/or be reimbursed for, all or a portion of the costs of the Borrower Project. "Borrower Project" shall mean the particular project described in Exhibit A, the costs of the construction, acquisition or equipping of which are to be financed or refinanced in whole or in part with the Loan made to the Borrower from proceeds of the Bonds. "Borrowers" means, collectively, the Borrower executing this Loan Agreement and the other political subdivisions or governmental units which have received Pool Loans from the Issuer made from proceeds of the sale of the Bonds. "Business Day" means any day of the year which is not a Saturday or Sunday or a day on which banking institutions located in New York City or the Commonwealth are required or authorized to remain closed or on which the New York Stock Exchange is closed. "Certificate," "Statement," "Request," "Requisition" and "Order" of the Issuer mean, respectively, a written certificate, statement, request, requisition or order signed in the name of the Issuer by its Chairman, Vice-Chairman or other Authorized Representative. Any such instrument and supporting opinions or representations, if any, may, but need not, be combined in a single instrument with any other instrument, opinion or representation, and the two or more so combined shall be read and construed as a single instrument. "Closing" means the funding of a Loan pursuant to the Indenture and this Agreement. "Code" means the Internal Revenue Code of 1986, as amended, and the regulations promulgated, proposed or applicable thereunder. "Commonwealth" means the Commonwealth of Virginia. "Cost" means all costs (including, but not limited to, certain costs of issuance of the Bonds and certain costs associated with the making of the Loan) and allowances which the Issuer or the Borrower may properly pay or accrue for the Project and which constitute costs or expenses for which the Issuer may expend proceeds of the Bonds under the Act. [Expand and reference restrictions in tax certificate for COI] "Cost of Issuance Fund" means the fund by that name established pursuant to Section 4.02 of the Indenture. "Counsel" means an attorney duly admitted to practice law before the highest court of any state and, without limitation, may include legal counsel for either the Issuer or the Borrower. "Default" means an event or condition the occurrence of which would, with the lapse of time or the giving of notice or both, become an Event of Default. "Event of Default" shall have the meaning ascribed to such term in Section 8.01 of this Agreement. "Fiscal Year" means the twelve month period commencing on July 1 and ending on June 30. "Funds" means the funds created pursuant to Section 4.02 of the Indenture. "Governmental Obligations" means (i) direct and general obligations of the United States of America, or those which are unconditionally guaranteed as to principal and interest by the same, and (ii) pre-refunded municipal obligations meeting the following criteria: (a) the municipal obligations may not be callable prior to maturity or, alternatively, the Trustee has received irrevocable instructions concerning their calling and redemption; (b) the municipal obligations are secured by cash or securities described in subparagraph (i) above (the "Defeasance Obligations"), which cash or Defeasance Obligations may be applied only to interest, principal, and premium payments of such municipal obligations; (c) the principal and interest of the Defeasance Obligations (plus any cash in the fund) are sufficient to meet the liabilities of the municipal obligations; (d) the Defeasance Obligations serving as security for the municipal obligations must be held by an escrow agent or a trustee; and (e) the Defeasance Obligations are not available to satisfy any other claims; including those against the Trustee or escrow agent. Additionally, evidences of ownership of proportionate interests in future interest and principal payments of Defeasance Obligations are permissible. Investments in these proportionate interests are limited to circumstances wherein (a) a bank or trust company acts as custodian and holds the underlying obligations; (b) the owner of the investment is the real party in interest and has the right to proceed directly and individually against the obligor of the underlying obligations; and (c) the underlying obligations are held in a special account separate and apart from the custodian's general assets, and are not available to satisfy any claim of the custodian, any person claiming through the custodian, or any person to whom the custodian may be obligated. "Indenture" means the Trust Indenture dated as the date hereof between the Issuer and the Trustee, including any indentures supplemental thereto, pursuant to which (i) the Bonds are authorized to be issued and (ii) the Issuer's interest in the Trust Estate is pledged as security for the payment of principal of, premium, if any, and interest on the Bonds. "Interest Payment Date" means 1 and 1 of each year, commencing 1, 2010. 4 "Interest Period" means the semi-annual period between Interest Payment Dates. "Issuer" means the Industrial Development Authority of the County of Stafford and the City of Staunton, Virginia, a political subdivision of the Commonwealth of Virginia, its successors and assigns. "Loan" means the Loan made to the Borrower from Bond proceeds to finance the Borrower Project in the amount specified in Section 3.01 herein. "Loan Agreement" means this Loan Agreement and any amendments and supplements hereto. "Loan Repayment Date" means 20, 20 ,and thereafter each 20`" and 20t" for so long as the Loan remains outstanding, or if such day is not a Business Day, the next preceding Business Day. "Loan Repayments" means the payments of principal and interest and other payments payable by the Borrower pursuant to the provisions of this Loan Agreement, including, without limitation, Additional Payments. "Loan Term" means the term provided for in Article IV of this Loan Agreement. "Local Bond" means, collectively, the bonds issued by the Borrower in evidence of the Loan and the Borrower's obligations under this Agreement substantially in the form attached to this Loan Agreement as Exhibit B. "Local Resolution" means all resolutions or ordinances adopted by the governing body of the Borrower approving the transactions contemplated by and authorizing the execution and delivery of this Agreement and the execution, issuance and delivery of the Local Bond. "Opinion of Bond Counsel" means an opinion by Bond Counsel which is selected by the Issuer and acceptable to the Trustee. "Opinion of Counsel" means an opinion in writing of a legal counsel, who may, but need not be, counsel to the Issuer, a Borrower or the Trustee. "Person" means an individual, a corporation, a partnership, an association, a trust or any other entity or organization including a government or political subdivision or an agency or instrumentality thereof. "Pool Loans" means all loans or lease proceeds made by the Issuer under the Indenture from proceeds of the Bonds to the Borrowers. "Principal Fund" means the fund by that name created by Section 4.02 of the Indenture. "Principal Payment Date" means the maturity date or mandatory redemption date of any Bond. 5 "Program" means the Issuer's program of making Pool Loans under the Act and pursuant to the Indenture. "Program Administrator" means Virginia Local Government Finance Corporation, a Virginia nonstock, nonprofit corporation, together with its contractual representative, Local Finance Solutions, Inc., a Virginia corporation. "Project" or "Projects" means a governmental undertaking approved by the governing body of a Borrower for a public purpose, including the refinancing of any indebtedness. "Project Loan Fund" means the fund by that name established pursuant to Section 4.02 of the Indenture. "Public Finance Act" means the Public Finance Act of 1991, Chapter 26, Title 15.2 of the Code of Virginia of 1950, as amended. "Recovery Zone" means a recovery zone established by the Borrower pursuant to Section 1400U-1 of the Code. "Redemption Price" means, with respect to any Bond (or portion thereof), the principal amount of such Bond (or portion) plus the applicable premium, if any, payable upon redemption pursuant to the provisions of such Bond and the Indenture. "Revenue Fund" means the fund by that name created by Section 4.02 of the Indenture. "Revenues" means all Loan Repayments and lease repayments paid to the Trustee for the respective accounts of the Borrowers for deposit in the Principal Fund and Revenue Fund to pay principal of, premium, if any, and interest on the Bonds upon redemption, at maturity or upon acceleration of maturity, or to pay interest on the Bonds when due, and all receipts of the Trustee credited to the Borrower under the provisions of this Loan Agreement. "Trust Estate" means the property, rights, Revenues and other assets pledged and assigned to the Trustee pursuant to the granting clauses of the Indenture. "Trustee" means , as Trustee, or any successor thereto under the Indenture. SECTION 1.02. Rules of Construction. The following rules shall apply to the construction of this Loan Agreement unless the context otherwise requires: (a) Words importing the singular number shall include the plural number and vice versa. (b) Unless otherwise indicated, all references herein to particular Articles or Sections are references to Articles or Sections of this Loan Agreement. 6 (c) The headings and Table of Contents herein are solely for convenience of reference and shall not constitute a part of this Loan Agreement nor shall they affect its meaning, construction or effect. (d) All references herein to payments of the Bonds are references to payment of principal of, premium, if any, and interest on the Bonds. ARTICLE II REPRESENTATIONS, WARRANTIES AND COVENANTS SECTION 2.01. Representations and Warranties of Borrower. The Borrower represents and warrants on the date hereof for the benefit of the Issuer, the Trustee and Bondholders, as applicable, as follows: (a) The Borrower (1) is a duly organized and validly existing political subdivision of the Commonwealth of Virginia; and (2) has all requisite power and authority to own and operate its properties and to carry on its activities as now conducted and as presently proposed to be conducted. (b) There is no fact known to the Borrower which has not been specifically disclosed in writing to the Issuer that materially and adversely affects or, except for pending or proposed legislation or regulations that are a matter of general public information affecting Virginia localities or other political subdivisions generally, that will materially affect adversely the properties, activities, prospects or condition (financial or otherwise) of the Borrower or the ability of the Borrower to perform its obligations under this Agreement and the Local Bond. (c) The financial statements, including balance sheets, and any other written statement furnished by the Borrower to the Issuer do not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements contained therein or herein not misleading. There is no fact known to the Borrower which the Borrower has not disclosed to the Issuer in writing which materially affects adversely or is likely to materially affect adversely the financial condition of the Borrower, or its ability to make the payments under this Agreement and the Local Bond when and as the same become due and payable. (d) There are no proceedings pending, or to the knowledge of the Borrower threatened, against or affecting the Borrower, except as specifically described in writing to the Issuer, in any court or before any governmental authority or arbitration board or tribunal that, if adversely determined, would materially and adversely affect the properties, prospects or condition (financial or otherwise) of the Borrower, or the existence or powers or ability of the Borrower to enter into and perform its obligations under this Agreement and the Local Bond. (e) The execution and delivery of this Agreement, the issuance, execution and delivery of the Local Bond, and the consummation of the transactions provided for in this Agreement and compliance by the Borrower with the provisions of this Agreement: (1) are within the powers of the Borrower and have been duly and effectively authorized by all 7 necessary action on the part of the Borrower; and (2) do not and will not (i) conflict with or result in any material breach of any of the terms, conditions or provisions of, or constitute a default under, or result in the creation or imposition of any lien, charge or encumbrance upon any property or assets of the Borrower pursuant to any indenture, loan agreement or other agreement or instrument (other than this Agreement and the Local Bond) or restriction to which the Borrower is a party or by which the Borrower, its properties or operations are bound as of the date of this Agreement or (ii) with the giving of notice or the passage of time or both, constitute a breach or default or so result in the creation or imposition of any lien, charge or encumbrance, which breach, default, lien, charge or encumbrance (described in (i) or (ii)) could materially and adversely affect the validity or the enforceability of this Agreement or the Borrower's ability to perform fully its obligations under this Agreement; nor does such action result in any violation of the provisions of the Public Finance Act, or any laws, ordinances, governmental rules or regulations or court orders to which the Borrower, its properties or operations may be bound. (f) No event has occurred and no condition exists that constitutes an Event of Default, or which, upon the execution and delivery of this Agreement and/or the passage of time or giving of notice or both, would constitute an Event of Default. The Borrower is not in violation in any material respect, and has not received notice of any claimed violation (except such violations as (i) heretofore have been specifically disclosed in writing to, and have been in writing specifically consented to by the Issuer and (ii) do not, and shall not, have any material adverse effect on the transactions herein contemplated and the compliance by the Borrower with the terms hereof), of any terms of any agreement or other instrument to which it is a party or by which it, its properties or operations may be bound, which may materially adversely affect the ability of the Borrower to perform hereunder. (g) The Borrower has obtained, or will obtain, all permits, approvals and findings required as of the date hereof by any governmental body or officer for the acquisition and/or installation of the Borrower Project, including construction and renovation work, the financing or refinancing thereof or the reimbursement of the Borrower therefor, or the use of the Borrower Project, and, within the time required by law, the Borrower will obtain all other such permits, approvals and findings as may be necessary for the foregoing and for such Loan and the proper application thereof; the Borrower has complied with or will comply with all applicable provisions of law requiring any notification, declaration, filing or registration with any agency or other governmental body or officer in connection with the acquisition or installation of the Borrower Project, including construction and renovation work necessary for such installation, financing or refinancing thereof or reimbursement of the Borrower therefor; and any such action, construction, installation, financing, refinancing or reimbursement contemplated in this Loan Agreement is consistent with, and does not violate or conflict with, the terms of any such agency or other governmental consent, order or other action which is applicable thereto. No further consent, approval or authorization of, or filing, registration or qualification with, any governmental authority is required on the part of the Borrower as a condition to the execution and delivery of this Loan Agreement and the Local Bond, or to amounts becoming outstanding hereunder or thereunder. (h) The Borrower is in compliance with all laws, ordinances, governmental rules and regulations to which it is subject and which are material to its properties, operations, finances or status as a political subdivision of the Commonwealth. 8 (i) The Borrower will apply the proceeds of the Loan from the Issuer solely for the financing of Costs of the Borrower Project. If any component of the Borrower Project is not paid for out of the proceeds of the Loan at the Closing of the Loan, Borrower shall, as quickly as reasonably possible, with due diligence, and in any event within three (3) years of the date of Closing, use the remainder of the proceeds of the Loan and any investment earnings thereon to pay the cost of the Borrower Project, provided that, such time limit may be extended by the written consent of the Issuer with notice to the Trustee and a favorable opinion of Bond Counsel (to the effect that such extension will not adversely affect the validity or tax-exempt status of the Local Bond or the qualification of the Bonds as "recovery zone economic development bonds" (within the meaning of Section 1400U-2 of the Code). The Borrower will provide the Trustee with a requisition in the form of the requisition attached hereto as Exhibit E for the expenditure of any portion of the Loan deposited in the Project Loan Fund or the Cost of Issuance Fund on the date of Closing. (j) The Borrower understands that the actual Loan proceeds received by it are less than the face amount of the Local Bond by the amount of the discount described in Section 3.01 hereof. The Borrower will accordingly be responsible for repaying, through the Basic Payments portion of its Loan Repayments, the portion of the Bonds issued to fund its Loan including the portion issued to fund its allocable share of any underwriting discount, original issue discount and other fees and costs of issuing the Bonds. (k) The Borrower acknowledges that regulations of the Comptroller of the Currency grant the Borrower the right to receive brokerage confirmations of the security transactions as they occur. The Borrower specifically waives such notification to the extent permitted by law and will receive periodic cash transaction statements that will detail all investment transactions. (1) All items constituting the Borrower Project are permitted to be financed with the proceeds of the Bonds and the Loan pursuant to the Act and the Public Finance Act. SECTION 2.02. Covenants of Borrower. The Borrower makes the following covenants and representations as of the date first above written and such covenants shall continue in full force and effect during the Loan Term: (a) To secure the prompt payment of the Basic Payment as required under this Loan Agreement, the full faith, credit and taxing power of the Borrower are irrevocably pledged. In each year while the Loan is outstanding, there shall be levied and collected, at the same time and in the same manner as other taxes of the Borrower are assessed, levied and collected, a tax without limitation as to rate or amount on all taxable property within the geographic jurisdiction of the Borrower, sufficient in amount to pay the Basic Payment, as the same shall become due, after applying any other funds which may be available for such Basic Payment and which shall actually be so applied. For the payment of the Additional Payments, the Borrower agrees to budget and appropriate revenues or taxes derived from any source whatsoever other than ad valorem taxation on real property, which are legally available to pay the Additional Payments. Such covenant is subject in all respects to the payment of obligations secured by a pledge of such revenues or taxes heretofore or hereinafter entered into. 9 (b) Borrower shall deliver to the Issuer (and the Trustee to the extent provided by any continuing disclosure obligations of the Borrower) (either directly or via the Program Administrator) as soon as available and in any event within 270 days after the end of each Fiscal Year an audited statement of its financial position as of the end of such Fiscal Year and the related statements of revenues and expenses, fund balances and changes in fund balances for such Fiscal Year, all reported by an Accountant, whose report shall state that such financial statements present fairly Borrower's financial position as of the end of such Fiscal Year and the results of operations and changes in financial position for such Fiscal Year. (c) The Borrower shall execute and deliver to the Trustee all such documents and instruments and do all such other acts and things as may be reasonably necessary to enable the Trustee to exercise and enforce the rights of the Issuer under this Loan Agreement and to realize thereon, and record and file and re-record and re-file all such documents and instruments, at such time or times, in such manner and at such place or places, all as may be reasonably necessary or required by the Trustee to validate, preserve and protect the position of the Trustee under this Loan Agreement. (d) The Borrower shall keep or cause to be kept proper records and books of account, in which correct and complete entries will be made in accordance with generally accepted accounting principles, consistently applied (except for changes concurred in by the Borrower's independent auditors) reflecting all of its financial transactions. (e) The Borrower shall pay all legally contracted obligations when due and shall pay all taxes, assessments and governmental charges or levies imposed upon it or upon its income or profits, or upon any properties belonging to it, prior to the date on which penalties attach thereto, and all lawful claims, which, if unpaid, might become a lien or charge upon any of its properties, provided that it shall not be required to pay any such tax, assessment, charge, levy or claim which is being contested in good faith and by appropriate proceedings, which shall operate to stay the enforcement thereof. (f) Subject to an annual appropriation of legally available funds, the Borrower shall comply with the requirements of all applicable laws, the terms of all grants, rules, regulations and lawful orders of any governmental authority, non-compliance with which would, singularly or in the aggregate, materially adversely affect its business, properties, earnings, prospects or credit, unless the same shall be contested by it in good faith and by appropriate proceedings which shall operate to stay the enforcement thereof. (g) The Borrower covenants that, to the extent it has control over the proceeds of the Bonds, it will not take any action or fail to take any lawful action with respect to the investment of the proceeds of the Bonds or the Local Bond, with respect to the payments derived from the Bonds or hereunder, which action or failure to act may cause the Bonds to be "arbitrage bonds" (within the meaning of such term as used in Section 148 of the Code and the regulations promulgated thereunder). In furtherance of the covenant contained in the preceding sentence, the Borrower agrees to comply with the non-arbitrage certificate delivered at closing and the provisions of Section 141 through 150 of the Code, as applicable. 10 (h) The Borrower covenants to provide the Issuer with all material and information it possesses or has the ability to possess necessary to enable the Issuer to file all reports required under Section 149(e) of the Code to assure that interest paid on the Local Bonds shall, for purposes of the federal income tax, be excluded from gross income. (i) It is the intent of the parties hereto and they do hereby covenant and agree, that the liability of the Borrower hereunder is a several liability of the Borrower expressly limited to the Loan Repayments, and the Borrower shall have no joint liability with any other Borrower or the Issuer for any of their respective liabilities. (j) The Borrower will file or cause to be filed with the Issuer any official statement issued by, or on behalf of, the Borrower in connection with the incurrence of any additional indebtedness by the Borrower. Such official statements shall be filed within sixty (60) days after the publication thereof. (k) The Borrower agrees to provide not later than December 31 of each year, a certificate of its Chief Financial Officer to be filed with the Trustee stating that to the best of its knowledge the Borrower is in compliance with the terms and conditions of this Loan Agreement, or, specifying the nature of any noncompliance and the remedial action. taken or proposed to be taken to cure such noncompliance. (1) If the Borrower Project is paid from a Loan of proceeds of the Bonds, the Borrower Project shall be located in a Recovery Zone. (m) The Borrower covenants that it shall neither take any action nor fail to take any action or to the extent that it may do so, permit any other party to take any action which, if either taken or not taken, would adversely affect the exclusion from gross income for Federal income tax purposes of interest on the Local Bond or the qualification of the Bonds as "recovery zone economic development bonds" (within the meaning of Section 1400U-2 of the Code). 11 ARTICLE III THE LOAN SECTION 3.01. The Loan. The Issuer hereby agrees to loan to the Borrower and the Borrower hereby agrees to borrow from the Issuer the sum of $ .The net loan proceeds received by the Borrower will reflect the par amount of the Local Bond less the Borrower's share of [original issue discount/premium and] the cost of the initial issuance of the Bonds and the making of the Loan subject to the terms and conditions contained in this Loan Agreement and in the Indenture. [Address equity contribution, if any.] The amounts advanced net of such costs of issuance are to be used by the Borrower for the purposes of financing or refinancing the cost of, or receiving reimbursement for the equity in, the Borrower Project in accordance with the provisions of this Loan Agreement. The net proceeds of the Loan not disbursed directly to the Borrower on the date of Closing shall be deposited in the Project Loan Fund and the Cost of Issuance Fund and administered in accordance with the terms and conditions of the Indenture and this Loan Agreement. SECTION 3.02. Evidence of Loan. The Borrower's obligation hereunder to repay the principal amount of the loan referenced in Section 3.01, together with interest thereon, and other payments required under this Loan Agreement, shall be evidenced by this Loan Agreement and the Borrower's Local Bond, which shall be in substantially the form of Exhibit B attached hereto and made a part hereof and delivered to the Trustee, on behalf of the Issuer, on the date of Closing. The Local Bond shall be in the original principal amount of the Loan and shall mature, bear interest and be payable as hereinafter provided. ARTICLE IV LOAN TERM AND LOAN CLOSING REQUIREMENTS SECTION 4.01. Commencement of Loan Term. The Borrower's obligations under this Loan Agreement shall commence on the date of Closing unless otherwise provided in this Loan Agreement. SECTION 4.02. Termination of Loan Term. The Borrower's obligations under this Loan Agreement shall terminate after payment in full of all amounts due under this Loan Agreement and all amounts not theretofore paid shall be due and payable at the times and in the amounts set forth in Exhibit D attached hereto; provided, however, that all covenants and all obligations provided hereunder specified to so survive (including the obligation of the Borrower to pay its allocable share of the rebate obligations of the Issuer owed on the Bonds and agreed to by the Borrower pursuant to Section 5.02 hereof) shall survive the termination of this Loan Agreement and the payment in full of principal and interest hereunder. Upon termination of the Loan Term as provided above, the Issuer and the Trustee shall deliver, or cause to be delivered, to the Borrower an acknowledgment thereof. SECTION 4.03. Loan Closing Submissions. Concurrently with the execution and delivery of this Loan Agreement, the Borrower is providing to the Trustee the following documents each dated the date of such execution and delivery unless otherwise provided below: 12 (a) A certified copy of the Local Resolution; (b) An opinion of the Borrower's Counsel substantially in the form of Exhibit C attached hereto; (c) A certificate of the officials of the Borrower who sign this Loan Agreement to the effect that the representations and warranties of the Borrower are true and correct; (d) Anon-arbitrage certificate signed by the Authorized Representative of the Borrower, in form and substance satisfactory to Bond Counsel; (e) This executed Loan Agreement and the Local Bond; (f) An opinion of local Bond Counsel in form and substance satisfactory to the Issuer and the Trustee; and (g) Such other certificates, documents, opinions and information as the Issuer, the Trustee or Bond Counsel may require, such requirement to be evidenced (in the case of parties other than the Trustee) by written notice of such party to the Trustee of such requirement. All opinions and certificates shall be dated the date of the Closing. ARTICLE V LOAN REPAYMENTS SECTION 5.01. Payment of Basic Payments. Borrower shall pay to the Trustee, as assignee of the Issuer, all Loan Repayments in lawful money of the United States of America. The Loan shall be repaid in Basic Payments, consisting o£ (a) principal in the amounts and on the dates set forth in Exhibit D; plus (b) interest calculated at the rates, in the amounts and on the dates set forth in Exhibit D; provided that if the Local Bonds are derived from proceeds of more than one series of Bonds, Exhibit D shall separately set forth Basic Payments with respect to such different series. On the fifteenth (15th) day of the month immediately preceding each Interest Payment Date, the Trustee shall give Borrower notice in writing of the total amount of the next Basic Payment due. The Basic Payments shall be due on each 20th and 20th, or if such day is not a Business Day, the next preceding Business Day (a "Loan Repayment Date"), commencing 20, 2010, and extending through To the extent that moneys are otherwise available in the amount of the subsidy payment expected to come from the U.S. Department of Treasury for deposit with the Trustee with respect to any date on which any Basic Payment is due, the Borrower will receive a credit to its obligation to pay Basic Payments. To the extent that such credited amount was funded from a source other than the 13 direct payment from the U.S. Department of Treasury, the Borrower agrees that such other source will be reimbursed from amounts when received from the U.S. Department of Treasury. SECTION 5.02. Payment of. Additional Payments. In addition to Basic Payments, Borrower agrees to pay on demand of the Issuer or the Trustee, the following Additional Payments: (a) The Borrower's allocable share of the semi-annual Trustee's administrative fee (initially $ per Interest Payment Date), payable on each Interest Payment Date without further demand or notice; (b) The Borrower's allocable share of the fees or expenses of (i) the rating agencies (to the extent not previously paid from the Cost of Issuance Fund) and any (ii) the provider of arbitrage rebate calculations, except to the extent readily traceable to a particular Borrower; (c) A program administration fee in the amount of [0.05% for loans above $6 million] and all other reasonable fees, expenses, disbursements and out-pocket expenses of the Issuer and the Trustee, and their respective Counsel, in connection with the administration or enforcement of the Loan, this Agreement or the taking of any reasonable actions following an Event of Default hereunder; (d) The Borrower's allocable share of any amounts owed to the United States of America as rebate obligations on the Bonds related to the Borrower's Loan, which obligation shall survive the termination of this Loan Agreement and (e) All other amounts that the Borrower agrees to pay under the terms of this Loan Agreement, but not including Basic Payments. SECTION 5.03. Interest Earnings or Investment Losses and Excess Payments. (a) On each Interest Payment Date the Trustee shall credit against Borrower's obligation to pay its Loan Repayments, Borrower's share of any interest earnings which were received during the prior Interest Period by the Trustee on the Funds and Accounts (except the Project Loan Fund) held under the Indenture, or shall increase the Borrower's obligation to pay its Loan Repayment, by Borrower's share of any investment losses which were incurred during the prior Interest Period on the Funds and Accounts (except the Project Loan Fund) held under the Indenture. (b) The credits provided for in (a) shall not be given to the extent the Borrower is in default in payment of its Loan Repayments. If past-due Loan Repayments are later collected from such defaulting Borrower, the amount of the missed credit shall, to the extent of the amount collected, be credited in proportion to the amount of credit missed, to the now non-defaulting Borrower from the past-due Loan Repayments. (c) The credits may be accumulated. If the credit allowable for an Interest Period is more than required on the next ensuing Interest Payment Date to satisfy the current Loan Repayment, it may be used on the following Interest Payment Date. 14 SECTION 5.04. Obligations of Borrower Unconditional. Subject in all respects to the provisions of this Loan Agreement, the obligations of Borrower to make the Loan Repayments required hereunder and to perform and observe the other agreements on its part contained herein, shall be absolute and unconditional, and shall not be abated, rebated, set-off, reduced, abrogated, terminated, waived, diminished, postponed or otherwise modified in any manner or to any extent whatsoever, while any Bonds remain outstanding or any Loan Repayments remain unpaid, regardless of any contingency, act of God, event or cause whatsoever. This Loan Agreement shall be deemed and construed to be a "net contract," and Borrower shall pay absolutely net the Loan Repayments and all other payments required hereunder, regardless of any rights of set-off, recoupment, abatement or counterclaim that Borrower might otherwise have against the Issuer, the Trustee, or any other party or parties. SECTION 5.05. Refunding Bonds. In the event the Bonds are refunded, all references in this Loan Agreement to Bonds shall be deemed to refer to the refunding bonds or, in the case of a crossover refunding, to the Bonds and the refunding bonds. The Issuer agrees not to issue bonds or other debt obligations to refund the portion of the Bonds allocable to this Agreement without the prior written consent of the Authorized Representative of the Borrower. SECTION 5.06. Prepayment. The Loan may be prepaid in whole or in part by the Borrower on the dates and in the amounts on which the Bonds are subject to optional redemption and notice provisions pursuant to Section 3.01 of the Indenture. ARTICLE VI DEFEASANCE This Loan Agreement shall continue to be obligatory and binding upon the Borrower in the performance of the obligations imposed by this Loan Agreement and the repayment of all sums due by the Borrower under this Loan Agreement and the Local Bond shall continue to be secured by this Loan Agreement as provided herein until all of the indebtedness and all of the payments required to be made by the Borrower shall be fully paid to the Issuer or the Trustee. Provided, however, if, at any time, the Borrower shall have paid, or shall have made provision for payment of, the principal amount of the Loan, interest thereon through the next succeeding redemption date of the Bonds, and redemption premiums, if any, with respect to the Bonds and shall have paid all amounts due pursuant to Section 5.02 hereof, then, and in that event, the pledge of the full faith, credit and taxing power of the Borrower shall be no longer in effect and all future obligations of the Borrower under this Loan Agreement shall cease. For purposes of the preceding sentence, deposit of sufficient cash and/or Governmental Obligations in irrevocable trust with a banking institution or trust company, for the sole benefit of the Issuer in respect to which such Governmental Obligations, the principal and interest received will be sufficient as determined by the Trustee (as reflected in an Accountant's verification report provided to the Issuer and the Trustee by the Borrower) to make timely payment of the principal, interest and redemption premiums, if any, on the Outstanding Bonds (as defined in the Indenture) attributable to the Loan and all amounts due pursuant to Section 5.02 hereof, shall be considered "provision for payment." 15 Nothing herein shall be deemed to require the Issuer to call any of the outstanding Bonds for redemption prior to maturity pursuant to any applicable optional redemption provisions, or to impair the discretion of the Issuer in determining whether to exercise any such option for early redemption. If the Borrower shall make advance payments to the Issuer in an amount sufficient to retire the Loan of the Borrower, including redemption premium and accrued interest to the next succeeding redemption date of the Bonds and all amounts due pursuant to Section 5.02 hereof, all future obligations of the Borrower under this Loan Agreement shall cease, except as provided in Section 4.02 hereof. However, prior to making such payments, the Borrower shall give at least 35 days' notice by certified or registered mail to the Issuer. ARTICLE VII ASSIGNMENT AND PAYMENT BY THIRD PARTIES SECTION 7.01. Assignment by Issuer. The Borrower expressly acknowledges that this Loan Agreement and the obligations of the Borrower to make payments hereunder (with the exception of certain of the Issuer rights to indemnification, fees, notices and expenses), have been pledged and assigned to the Trustee as security for the Bonds under the Indenture, and that the Trustee shall be entitled to act hereunder and thereunder in the place and stead of the Issuer whether or not the Bonds are in default. SECTION 7.02. Assignment by Borrower. This Loan Agreement may not be assigned by the Borrower for any reason without the express prior written consent of the Issuer and the Trustee. ARTICLE VIII EVENTS OF DEFAULT AND REMEDIES SECTION 8.01. Events of Default Defined. The following shall be "Events of Default" under this Loan Agreement and the terms "Event of Default" and "Default" shall mean (except where the context clearly indicates otherwise), whenever they are used in this Loan Agreement, any one or more of the following events: (a) Failure by the Borrower to timely pay any Loan Repayment, when due, so long as the Bonds are outstanding; (b) Failure by the Borrower to timely pay any other payment required to be paid hereunder on the date on which it is due and payable, provided the Borrower has reasonable prior written notice of any such payments being due; (c) Failure by the Borrower to observe and perform any covenant, condition or agreement other than a failure under (a) or (b) above, on its part to be observed or performed under this Loan Agreement, for a period of thirty (30) days after notice of the failure, unless the Issuer and the Trustee shall agree in writing to an extension of such time prior to its expiration; 16 provided, however, if the failure stated in the notice can be wholly cured within a period of time not materially detrimental to the rights of the Issuer or the Trustee, but cannot be cured within the applicable 30-day period, the Issuer and the Trustee will not unreasonably withhold their consent to an extension of such time if corrective action is instituted by the Borrower within the applicable period and diligently pursued until the failure is corrected; (d) Any warranty, representation or other statement by the Borrower or by an officer or agent of the Borrower contained in this Loan Agreement or in any instrument furnished in compliance with or in reference to this Loan Agreement, is false or misleading in any material respect when made; (e) A petition is filed against the Borrower under any bankruptcy, reorganization, arrangement, insolvency, readjustment of debt, dissolution or liquidation law of any jurisdiction, whether now or hereafter in effect, and is not dismissed within 60 days of such filing; (fj The Borrower files a petition in voluntary bankruptcy or seeking relief under any provision of any bankruptcy, reorganization, arrangement, insolvency, readjustment of debt, dissolution or liquidation law of any jurisdiction, whether now or hereafter in effect, or consents to the filing of any petition against it under such law; (g) The Borrower admits insolvency or bankruptcy or its inability to pay its debts as they become due or is generally not paying its debts as such debts become due, or becomes insolvent or bankrupt or makes an assignment for the benefit of creditors, or a custodian (including without limitation a receiver, liquidator or trustee) of the Borrower or any of its property is appointed by court order or takes possession thereof and such order remains in effect or such possession continues for more than 60 days; or (h) Any material provision of this Loan Agreement shall at any time for any reason cease to be valid and binding on Borrower, or shall be declared to be null and void, or the validity or enforceability of this Loan Agreement shall be contested by Borrower or any governmental agency or authority, or if Borrower shall deny any further liability or obligation under this Loan Agreement. SECTION 8.02. Notice of Default. The Borrower agrees to give the Trustee and the Issuer prompt written notice if any petition, assignment, appointment or possession referred to in Section 8.01(e), 8.01(f) and 8.01(g) is filed by or against the Borrower or of the occurrence of any other event or condition which constitutes a Default or an Event of Default, or with the passage of time or the giving of notice would constitute an Event of Default, immediately upon becoming aware of the existence thereof. SECTION 8.03. Remedies on Default. Whenever any Event of Default referred to in Section 8.01 hereof shall have happened and be continuing, the Issuer or the Trustee may, in addition to any other remedies provided herein or by laws of the Commonwealth (including Section 15.2-2659 of Article 7, Chapter 26, Title 15.2, Code of Virginia of 1950, as amended), have the right, at its or their option without any further demand or notice, to take such steps and exercise such remedies as provided in Section 9.02 of the Indenture, and, take whatever other 17 action at law or in equity which may appear necessary or desirable to collect amounts then due and thereafter to become due hereunder or to enforce any other of its or their rights hereunder. SECTION 8.04. No Acceleration. Notwithstanding anything to the contrary contained in the Indenture, this Loan Agreement or the Local Bond, the Loan and the payment obligations thereunder are not subject to acceleration. SECTION 8.05. No Remedy Exclusive; Waiver, Notice. No remedy herein conferred upon or reserved to the Issuer or the Trustee is intended to be exclusive and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Loan Agreement or now or hereafter existing at law or in equity. No delay or omission to exercise any right, remedy or power shall be construed to be a waiver thereof, but any such right, remedy or power may be exercised from time to time and as often as may be deemed expedient. In order to entitle the Issuer or the Trustee to exercise any remedy reserved to it in this Article VIII, it shall not be necessary to give any notice other than such notice as may be required in this Article VIII. SECTION 8.06. Application of Moneys. Any moneys collected by the Issuer or the Trustee pursuant to Section 8.03 hereof shall be applied (a) first, to pay any attorney's fees or other Additional Payments owed by Borrower pursuant to Section 5.02 hereof, (b) second, to pay interest due on the Loan, (c) third, to pay principal due on the Loan, (d) fourth, to pay any other amounts due hereunder, and (e) fifth, to pay interest and principal on the Loan and other amounts payable hereunder but which are not due, as they become due (in the same order, as to amounts which come due simultaneously, as in (a) through (d) in this Section 8.06). ARTICLE IX MISCELLANEOUS SECTION 9.01. Notices. All notices, certificates or other communication hereunder shall be sufficiently given and shall be deemed given when hand delivered or mailed by registered or certified mail, postage prepaid, to the parties at the following addresses: Issuer: Industrial Development Authority of the County of Stafford and the City of Staunton, Virginia c/o VML / VACo Finance Program 1108 East Main Street, Suite 801 Richmond, VA 23219 Trustee: Borrower: City of Virginia Beach Municipal Center 2401 Courthouse Drive Virginia Beach VA 23456 Attn: 18 Any of the above parties may, by notice in writing given to the others, designate any further or different addresses to which subsequent notices, certificates or other communications shall be sent. SECTION 9.02. Continuing Disclosure. [Provisions to come] SECTION 9.03. Binding Effect. This Loan Agreement shall inure to the benefit of and shall be binding upon the Issuer and the Borrower and their respective successors and assigns. SECTION 9.04. Severability. In the event any provision of the Loan Agreement shall be held invalid or unenforceable by any court of competent jurisdiction, such holding shall not invalidate or render unenforceable any other provision hereof. SECTION 9.05. Amendments, Changes and Modifications. This Loan Agreement may be amended by the Issuer and the Borrower as provided in the Indenture. SECTION 9.06. Execution in Counterparts. This Loan Agreement may be simultaneously executed in several counterparts, each of which, when so executed and delivered, shall be an original and all of which shall constitute but one and the same instrument. SECTION 9.07. Applicable Law. This Loan Agreement shall be governed by and construed in accordance with the laws of the Commonwealth. SECTION 9.08. Benefit of Bondholders; Compliance with Indenture. This Loan Agreement is executed in part to induce the purchase by others of the Bonds. Accordingly, all covenants, agreements and representations on the part of the Borrower and the Issuer, as set forth in this Loan Agreement, are hereby declared to be for the benefit of the holders from time to time of the Bonds. The Borrower covenants and agrees to do all things within its power in order to comply with and to enable the Issuer to comply with all requirements and to fulfill and to enable the Issuer to fulfill all covenants of the Indenture. SECTION 9.09. Consents and Approvals. Whenever the written consent or approval of the Issuer shall be required under the provisions of this Loan Agreement, such consent or approval may be given by an Authorized Representative of the Issuer or such other additional persons provided by law or by rules, regulations or resolutions of the Issuer. SECTION 9.10. Immunity of Officers, Employees and Members of Issuer and Borrower. In the absence of fraud, no recourse shall be had for the payment of the principal of or premium or interest payable hereunder or in accordance with the Local Bond or for any claim based thereon or upon any representation, obligation, covenant or agreement in this Loan Agreement against any past, present or future official officer, member, counsel, employee, director or agent, as such, of the Issuer or the Borrower, either directly or through the Issuer or the Borrower, or respectively, any successor political subdivision thereto under any rule of law or equity, statute or constitution or by the enforcement of any assessment or penalty or otherwise, and all such liability of any such officers, members, counsels, employees, directors or 19 agents as such is hereby expressly waived and released as a condition of and consideration for the execution of this Loan Agreement. SECTION 9.11. Captions. The captions or headings in this Loan Agreement are for convenience only and in no way define, limit or describe the scope or intent of any provisions or sections of this Loan Agreement. SECTION 9.12. No Pecuniary Liability of Issuer. Any obligation of the Issuer created by, arising out of, or entered into in contemplation of this Agreement, including the Bonds, shall not impose a debt or pecuniary liability upon the Issuer, the Commonwealth or any political subdivision thereof (other than each Borrower to the extent of their obligations under their respective Loan Agreements only) or constitute a charge upon the general credit or taxing powers of any of the foregoing. Any such obligation shall be payable solely out of the revenues and any other moneys derived hereunder and under the Indenture, except (as provided in the Indenture and in this Agreement) to the extent it shall be paid out of moneys attributable to the proceeds of the Bonds or the income from the temporary investment thereof. In making the agreements, provisions and covenants set forth in this Loan Agreement, the Issuer has not obligated itself except with respect to the application of the revenues, income and all other property as derived herefrom, as hereinabove provided. SECTION 9.13. Payments Due on Holidays. With the exception of Basic Payments, if the date for making any payment or the last date for performance of any act or the exercise of any right, as provided in this Loan Agreement, shall be other than on a Business Day, such payments may be made or act performed or right exercised on the next succeeding Business Day with the same force and effect as if done on the nominal date provided in this Loan Agreement. SECTION 9.14. Calculations. Interest shall be computed on the basis of a 360-day year of twelve 30-day months. SECTION 9.15. Time of Payment. Any Loan Repayment or other payment hereunder which is received by the Trustee or Issuer after 1:00 p.m. (New York time) on any day shall be deemed received on the following Business Day. [Remainder of page intentionally left blank] 20 WITNESS the following signatures, all duly authorized. INDUSTRIAL DEVELOPMENT AUTHORITY OF THE COUNTY OF STAFFORD AND THE CITY OF STAUNTON, VIRGINIA By: Title: CITY OF VIRGINIA BEACH, VIRGINIA By: Title: 21 EXHIBIT A CITY OF VIRGINIA BEACH, VIRGINIA USE OF LOAN PROCEEDS DESCRIPTION OF PROJECT TO BE ACQUIRED OR CONSTRUCTED [Qualifying expenditures including property acquisition within the 19th Street Corridor Recovery Zone as permitted by Code Section 1400U-2, and related expenses.] EXHIBIT B FORM OF LOCAL BOND EXHIBIT C OPINION OF BORROWER'S BOND COUNSEL EXHIBIT D DEBT SERVICE SCHEDULE Principal Interest Trustee Date Amounts Rate Interest Fee Total [TO COME] EXHIBIT E TO LOAN AGREEMENT FORM OF REQUISITION CERTIFICATE TO: U.S. BANK NATIONAL ASSOCIATION, AS TRUSTEE FROM: CITY OF VIRGINIA BEACH, VIRGINIA (THE "BORROWER") SUBJECT: LOAN AGREEMENT DATED AS OF This represents Requisition Certificate No. _ in the total amount of $ for payment of those Costs of the Project detailed in the schedule attached. The undersigned does certify that: 1. All of the expenditures for which monies are requested hereby represent proper Costs of the Project, have not been included in a previous Requisition Certificate and have been properly recorded on the Borrower's books as currently due and owing. 2. The monies requested hereby are not greater than those necessary to meet obligations due and payable or to reimburse the Borrower for funds actually advanced for Costs of the Project. The monies requested do not include retention or other monies not yet due or earned under construction contracts. 3. This requisition is in compliance with Section 5.03 of the Indenture. 4. After payment of monies hereby requested, to the knowledge of the undersigned, there will remain available to the. Borrower sufficient funds to complete the Project substantially in accordance with the plans. 5. The Borrower is not in default under the Loan Agreement and nothing has occurred that would prevent the performance of its obligations under the Loan Agreement. [Modify for COI purposes] Executed this day of CITY OF VIRGINIA BEACH, VIRGINIA By: Name: Title: 76464.000002 EMF US 29081271 v 1 -60- Item T~ K.8. ORDINANCES/RESOLUTIONS ITEM # 59485 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: Resolution to AUTHORIZE the ISSUANCE of Residential Care Facility Mortgage Revenue Bonds (Westminster-Canterbury oJ'Hampton Roads, Inc.) re capital renovations and improvements to existing facilities Voting: I1-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 1 RESOLUTION OF CITY COUNCIL APPROVING THE 2 ISSUANCE OF RESIDENTIAL CARE FACILITY 3 MORTGAGE REVENUE BONDS (WESTMINSTER- 4 CANTERBURY OF HAMPTON ROADS, INC.) 5 SERIES 2009 6 7 WHEREAS, the City of Virginia Beach Development Authority (the "Authority") 8 has considered the application of Westminster-Canterbury of Hampton Roads, Inc. (the 9 "Company") for the issuance of the Authority's Residential Care Facility Mortgage 10 Revenue Bonds, Series 2009 in an amount not to exceed $6,000,000 (the "Bonds") to 11 assist in refunding the Authority's 20046 Bonds issued on March 24, 2004 with a 12 principal balance of $3,075,000, providing $1,200,000 in permanent financing for dining 13 room renovations and providing $1,725,000 for capital renovations and improvements to 14 existing facilities and has held a public hearing thereon on November 17, 2009; and 15 16 WHEREAS, the Authority has requested City Council (the "Council") of Virginia 17 Beach, Virginia (the "City") to approve the issuance of the Bonds to comply with Section 18 147(f) of the Internal Revenue Code of 1986, as amended; and 19 20 WHEREAS, pursuant to Section 15.2-4906, Code of Virginia, 1950, as amended, 21 a copy of the Authority's Resolution approving the issuance of the Bonds, subject to the 22 terms to be agreed upon, and a reasonably detailed summary of the comments 23 expressed at the public hearing, if any, have been filed with the Council of the City of 24 Virginia Beach, Virginia. 25 26 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA 27 BEACH, VIRGINIA: 28 29 1. The Council of the City of Virginia Beach, Virginia hereby approves the 30 issuance of the Bonds by the City of Virginia Beach Development Authority, in a 31 principal amount not to exceed $6,000,000 for the purpose of refunding the Authority's 32 20046 Bonds issued on March 24, 2004 with a principal balance of $3,075,000, 33 providing $1,200,000 in permanent financing for dining room renovations and providing 34 $1,725,000 for capital renovations and improvements to existing facilities, for the benefit 35 of Westminster-Canterbury of Hampton Roads, Inc. and to the extent required by 36 Section 147(f) of the Internal Revenue Code, to permit the Authority to assist in the 37 financing of the Project. 38 39 2. The approval of the issuance of the Series Bonds, as required by Section 40 147(f) does not constitute an endorsement of the Bonds or the creditworthiness of the 41 Company and, pursuant to Chapter 643, Virginia Acts of Assembly of 1964, as 42 amended, the Bonds shall provide that neither the City nor the Authority shall be 43 obligated to pay the Bonds or the interest due thereon or other costs incident thereto 44 except from the revenues and moneys pledged therefor, and neither the faith or credit I-913353.1 45 nor the taxing power of the Commonwealth, the City or the Authority shall be pledged 46 thereto. 47 48 3. In approving the Resolution, the City of Virginia Beach, including its 49 elected representatives, officers, employees and agents, shall not be liable and hereby 50 disclaim all liability for any damages to any person, direct or consequential, resulting 51 from the Authority's failure to issue the Bonds for the Project for any reason. 52 53 This Resolution shall take effect immediately upon its adoption. 54 55 Adopted by the Council of the City of Virginia Beach, Virginia, on the 8th day 56 of December , 2009. APPROVED AS TO CONTENT: Economic Development APPROVED AS TO LEGAL SUFFICIENCY: City Attorney's Offi e CA-11217 \\vbgov.com\DFS 1\Applicatioas\CityLawProd\cycom32\Wpdocs\D024\P006\00033336.DOC R-1 November 25, 2009 2 I-913353.1 VIRGINIA BF_ACH November 25, 2009 The Honorable William D. Sessoms, Jr., Mayor Members of City Council Municipal Center Virginia Beach, Virginia 23456 Department of Economic Development 222 Central Park Avenue, Suite 1000 Virginia Beach, VA 23462 (757) 385-6464 FAX (757) 499-9894 Website: www.vbgov.com E-mnil.• ecdev@vbgov.com Re: Westminster-Canterbury Residential Care Facility Mortgage Revenue Bonds Dear Mayor Sessoms and Members of Council: We submit the following in connection with the request of Westminster-Canterbury of Hampton Roads, Inc.'s application for the issuance of residential care facility mortgage revenue bonds in the amount of $6,000,000 for the project located at 3100 Shore Drive, Virginia Beach, Virginia. 1. Evidence of publication of notice of hearing is attached as Exhibit A, and a summary of the statements made at the public hearing is attached as Exhibit B. The City of Virginia Beach Development Authority's (the "Authority's") resolution recommending Council's approval is attached as Exhibit C. 2. The Disclosure Statement is attached as Exhibit D. 3. The statement of the Authority's reasons for its approval of the issuance of the bonds as a benefit for the City of Virginia Beach and its recommendation that the City Council approve the bonds described above is attached as Exhibit E. 4. The Fiscal Impact Statement is attached as Exhibit F. 5. A summary sheet setting forth the type of issue, and identifying the project and the principals of the applicant is attached as Exhibit G. 6. A letter from the Department of Economic Development commenting on the project is attached as Exhibit H. e truly yours, Douglas D. Ellis Secretary DDE/AWS Enclosures EXHIBIT A U~Z ~ ~' ~4,rL D . 2 Z z I o I H I O FC FC ~ Ili w~~ w ~~w ~ a F ~ ~ a ~ ~ woQ v FZf~ F W ~Q~ ~z ~a~ W& o ~~°_ ~~ o U p ~m~ a v, tv~ _. S>N V £ t ~CQ m ~~~~~ s ~! t O~~CLL O G~' ~O f7 ~ n~ ~~~€~ Z >~ N ~~ ~~ N 1J w c0 ~ z y, ~ ~ - ~ m ~rl vAa rorl o x v ouo aa~~~~ o ~ r -~ 3U C'~ w m o a ~ ~ N i ~ ~ ia ~~- ~,a i o ~ U ~ ~ ~ ~ ~ }-~ 1.> 1 C v ~.~~ aQ c°~z° ~ a Q w ~ ~w 3 ~~ v o E, [n N e w N O a~ w .~ I a~ N C U ~~ O N - Z W p a ~ N ~ ~ O .~ N N ~ N rd . -I ~ U a ,~ - ~ 'd ~ P~ ~ ~ CZ W ~ ~ ~ auU ~ ~ c n ~ ° H ,ago ~~ ° w ~ - -~~ ~v~~ CW7a W~ o ; -~ N--a O -~~ ~ ~-I I rl ~ CS1 1-1 N '~ -I ~ t"1 a ~H `" ~ O o ,~ ~ ~ r . -~ v s~ •,~ rl ~ 5 ~~, ax ~ v •• ~a o-~ ~ro ~ ~, ~ p N Nr -~I~ O'?a ~•~ I w ~-~ rtf N ~ ~ oo O~w N ~~-~ rC6 OrO~ N C . h ~-~ Oi-~ Z ~ ~ -'i C x~~Gx ~ O r d A OOa1O ~ wz ?~Z7~~ bi0 ~ ~N v ,Ua o W Z O w rd v r6 ?a X -~ r6 ~ O '-d S-I O v -~+ N~ C ,~ N Ei F ~ ~ 3O~ Z W `+-+ ~ r-i ~ ~ cn N N Z3 N ~ w ~ -, A -~ L1 fs, ~ ~ ~ p; Ul U F rtl ~ O E+ U U1 ~ N 0+ O c-i 0 O Q W x H a w a W I z I H I a I I ~ I ~ I I -, i ,- ~ ' ~ a ~n t r I , '~~:1 I I I _r I, Ir I I I I . l0 Q~ I rnol .~ I ~o ri I t ri ~.I ,~ ~ I~- .-1 I ~ ~ ~ ~ ~ ~-. o 7y d' N N H {', L(1 ~ ~ ~ M .-I ~ ~1 '~ W .~ ai ~ v z +~ U ~ v O rn Co ~ 0o N N ?i ~ -rl ~ w p, rtf O x ~ N N ~ ~ C ~ v o a ~ -~ ~~ ~ ~ ~ .U C O ~I .~ A ~ ~ o zl~ N O 11 r-i .--I I F OZO OW ~w !-1I `~ N ~ -~ '~ w .4•~ ~ ~ ~ ~ rl U N N ~ ~w O a ~ ro z EXHIBIT B CITY OF VIRGINIA BEACH DEVELOPMENT AUTHORITY RECORD OF PUBLIC HEARING (WESTMINSTER-CANTERBURY OF HAMPTON ROADS, INC.) On November 17, 2009 The Chairman of the City of Virginia Beach Development Authority (the "Authority") announced the commencement of a public hearing on the request of Westminster-Canterbury of Hampton Roads, Inc., a Virginia nonstock, nonprofit corporation ("Westminster-Canterbury") and that a notice of public hearing was published in the Virginia Pilot, a newspaper having general circulation in the City of Virginia Beach, Virginia in accordance with applicable law governing the issuance oftax-exempt bonds. The Chairman indicated that a copy of the Notice and an Affidavit of Publication of such notice are to be filed with the records of the City Council of the City of Virginia Beach (the "Council"). The following individuals appeared on behalf of Westminster-Canterbury and addressed the Authority: Hugh L. Patterson (General Counsel) Dan Oetzel (Chief Financial Officer) Mr. Patterson briefly outlined the history of Westminster-Canterbury with tax-exempt bonds first being issued for the construction of its resident and health care facility at 3100 Shore Drive in Virginia Beach, Virginia in November of 1979, the opening of its doors to residents in January of 1982, and its history of operations over the past 25 years. He also gave a brief description of the resolution which requests the issuance of up to $6,000,000 of additional tax- exempt bonds (the "Bonds") for the purpose of refunding the Authority's 2004B Bonds issued on March 24, 2004 with a principal balance of $3,075,000, providing $1,200,000 in permanent financing for dining room renovations and providing $1,725,000 for capital renovations and improvements to existing facilities and opened the floor for questions. Members of the Authority were satisfied with Mr. Patterson's presentation and had no questions or requests for additional information. The public benefits to be realized by the City of Virginia Beach as a result of tre financing, as described by Mr. Patterson, are (a) renovated facilities which will continue to meet the current and future market demands of approximately 700 retired persons who now and in the future will reside at Westminster-Canterbury's residential campus; (b) the continued availability of 324 full time and 158 part time employment positions with an average annual salary of $32,581 and a total annual payroll of $12,885,081; (c) real estate taxes to be paid by Westminster-Canterbury to the City of Virginia Beach of approximately $870,148 each year; and (d) goods and services being purchased by Westminster-Canterbury each year within the City of Virginia Beach area totaling approximately $10,466,000. No other persons appeared to address the Authority, and the Chairman closed the public hearing. I-913349.1 11/19/2009 The Authority hereby recommends that the City Council of the City of Virginia Beach, Virginia approve the issuance of the Bonds and hereby transmits the Fiscal Impact Statement to the City Council of the City of Virginia Beach and asks that this recommendation be received at its next regular or special meeting at which this matter can be properly placed on the Council's agenda for hearing. I-913349.1 11/19/2009 2 EXHIBIT C RESOLUTION OF THE CITY OF VIRGINIA BEACH DEVELOPMENT AUTHORITY INDICATING ITS INTENT TO ISSUE UP TO $6,000,000 OF ITS RESIDENTIAL CARE FACILITY MORTGAGE REVENUE BONDS ~'VESTMINSTER-CANTERBURY OF HAMPTON ROADS, INC.) SERIES 2009 WHEREAS, Westminster-Canterbury of Hampton Roads, Inc. ("Westminster- Canterbury") has described its interest in having the City of Virginia Beach Development Authority (the "Authority") issue up to $6,000,000 of its Residential Care Facility Mortgage Revenue Bonds, Series 2009 (the "Series 2009 Bonds") to refund the Authority's Residential Care Facility Mortgage Refunding Revenue Bonds (Westminster-Canterbury of Hampton Roads, Inc.) Series 2004B with an outstanding principal balance of $3,075,000, initially issued on March 24, 2004 to refund similar Bonds issued in 1999 to finance the acquisition, construction and equipping of Westminster-Canterbury's resident and health care facility located at 3100 Shore Drive in Virginia Beach, Virginia (the "Residential Campus"), to provide $1,200,000 in permanent financing for dining room renovations at the Residential Campus completed in August of 2009 by repaying principal due on a short-term construction loan with SunTrust Bank and to provide an additional $1,725,000 for various capital renovations and improvements to existing facilities at the Residential Campus; and WHEREAS, Westminster-Canterbury, in its application and in its appearance before the Authority, has requested that the Authority issue its Series 2009 Bonds under the provisions of Chapter 643 of the Acts of Assembly of 1964 and the Industrial Development and Revenue Bond Act, Chapter 49, Title 15:2 of the Code of Virginia of 1950, as amended (collectively, the "Act"); and WHEREAS, a public hearing has been held as required by Section 147(f) of the Internal Revenue Code of 1986, as amended, and Section 15.2-4906 of the Code of Virginia of 1950, as amended (the "Virginia Code"). NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF VIRGINIA BEACH DEVELOPMENT AUTHORITY THAT: 1. The foregoing recitals are approved by the Authority and are incorporated in, and deemed a part of this Resolution. 2. It is hereby found and determined by the Authority that the issuance of the Series 2009 Bonds by the Authority will be in the public interest, will benefit the inhabitants of the City of Virginia Beach through the promotion of their safety, health, welfare, convenience or prosperity and will further the public purposes of the Act and provide a public benefit to the City by, among other things, ensuring the continued availability of modern and efficient medical services, special care and secure living accommodations for the elderly in accordance with their special needs. I-906639.2 thereof, including the City of Virginia Beach, shall be pledged to the payment of the principal of the Series 2009 Bonds or the interest thereon or other costs incident thereto. The Series 2009 Bonds shall not constitute an indebtedness within the meaning of any constitutional or statutory debt limitation or restriction. 9. The Authority shall not be liable and hereby disclaims all liability to Westminster- Canterbury for any damages, direct or consequential, resulting from the Authority's failure to issue the Series 2009 Bonds for any reason, including but not limited to, the failure of the City Council of the City of Virginia Beach to approve the issuance of the Series 2009 Bonds. Nothing herein shall be construed as a commitment or obligation on the part of the Authority to adopt a final resolution or execute any documents with respect to Series 2009 Bonds. 10. Unless this Resolution is extended by the Authority, the Series 2009 Bonds shall be issued within one year from the date hereof or this Resolution shall become void and of no further force or effect. 11. The Authority hereby recommends that the City Council of the City of Virginia Beach approve the issuance of the Series 2009 Bonds and hereby directs the Chairman or Vice- Chairman of the Authority to submit to the City Council of the City of Virginia Beach a reasonably detailed summary of the comments, if any, expressed at the public hearing, the fiscal impact statement required by Virginia law, and a copy of this Resolution. 12. This Resolution shall take effect immediately upon its adoption. Adopted this ~ ~ ~ day of 8 ~'tf ~~th, ~~'~09, by the City of Virginia Beach Development Authority. CITY OF VIRGINIA BEACH DEVELOPMENT AUTHORITY By z Secretary/ 3 I-906639.2 EXHIBIT D DISCLOSURE STATEMENT Date: November 2, 2009 Ap licant: Westminster-Canterbury of Hampton Roads, Inc. All Owners (if different from Applicant): None Type of A~~lication: $6,000,000 Residential Care Facility Mortgage Revenue Bonds, Series 2009 to refund the Authority's Residential Care Facility Mortgage Refunding Revenue Bonds (Westminster- Canterbury of Hampton Roads, Inc.) Series 2004B with an outstanding principal balance of $3,075,000, initially issued on March 24, 2004 to refund similar Bonds issued in 1999 to finance the acquisition, construction and equipping of Westminster-Canterbury's resident and health care facility located at 3100 Shore Drive in Virginia Beach, Virginia (the "Residential Campus"), to provide $1,200,000 in permanent financing for dining room renovations at the Residential Campus completed in August of 2009 by repaying principal due on a short-term construction loan with SunTrust Bank and to provide an additional $1,725,000 for various capital renovations and improvements to existing facilities at the Residential Campus 1. The Applicant is a Virginia corporation. 2. The Applicant is the owner of the Project. 3. The current officers and trustees of Applicant are listed on the attached Exhibit A. WESTMINSTER-CANTERBURY OF HAMPTON ROADS, INC. -~ By Gen 1 Counsel I-906640.2 The Officers of Westminster-Canterbury are: Chairman: Charles D. Robison, III Fulton Bank P. O. Box 61009 Virginia Beach, VA 23466 Vice Chairman: Mary Louis LeHew 917 Larchmont Crescent Norfolk, VA 23508 Secretary: Tazewell G. Taylor Sullivan, Andrews & Taylor, P.C. 5544 Greenwich Road, Suite 103 Virginia Beach, VA 23462 Treasurer: Howard P. Kern Sentara Health Care 6015 Poplar Hall Drive, Suite 300 Norfolk, VA 33502 President: Erle Marie Latimer 3100 Shore Drive Virginia Beach, VA 23451 Chief Financial Officer and Daniel C. Oetzel Assistant Treasurer: 3100 Shore Drive Virginia Beach, VA 23451 Vice President for Resident & Health Judith O'Toole Raymond Services and Assistant Secretary: 3100 Shore Drive Virginia Beach, VA 23451 Vice President for Development and Robert A. Heely Community Relations: 3100 Shore Drive Virginia Beach, VA 23451 Vice President for Human Resources: Lorraine D. Mahone 3100 Shore Drive Virginia Beach, VA 23451 I-906640.2 Trustees of Westminster-Canterbury are: 1. Appointed by the Episcopal 2. Appointed by the Presbytery of Diocese: Eastern Vir inia RADM Byron E. Tobin, Jr. Mrs. Sheilah Johnson 401 College Place #4 1 SOS Rick Fletcher Ct. Norfolk, VA 23510 Chesa eake, VA 23321 Mr. Howard P. Kern Dr. Clarence A. Holland Sentara Healthcare 4328 Sandy Bay Drive 6015 Poplar Hall Drive, suite 300 Virginia Beach, VA 23455 Norfolk, VA 23502 Mr. George L. Compo Mr. Alvin A. Wall Compo Construction Company Wall, Einhorn & Chernitzer, P.C. 2704 Florida Avenue 555 Main Street, Suite 1500 Norfolk, VA 23513 Norfolk, VA 23510 Dr. William T. Greer, Jr. Mr. C. Ben Mason Virginia Wesleyan College SunTrust Bank 1584 Wesleyan Drive 150 W. Main St., 14th Floor Norfolk, VA 23502 Norfolk, VA 23510 Mr. Charles D. Robison, III Ms. Martha Sims Fulton Bank Virginia Beach Dept. of Public Libraries P.O. Box 61009 2416 Courthouse Drive -Bldg. 19 Vir 'nia Beach, VA 23466 Vir 'nia Beach, VA 23456 Ms. Susan T. Bernard Mrs. Mary Louis LeHew 1337 Graydon Avenue 917 Larchmont Crescent Norfolk, VA 23507 Norfolk, VA 23508 Mr. Page G. Lea Mr. E. George Middleton, Jr. Capes Capital Management, Inc. 2510 Cromwell Road 300 West Freemason Street Norfolk, VA 23509 Norfolk, VA 23510 The Rev. Harold J. Cobb, Jr. Mr. Tazewell G. Taylor 1931 Paddock Road Sullivan, Andrews & Taylor, P.C. Norfolk, VA 23518 5544 Greenwich Rd., Suite 103 Vir 'nia Beach, VA 23462 I-906640.2 EXHIBIT E vix~~ BF,F.CH Department of Economic Development 222 Central Park Avenue, Suite 1000 Virginia Beach, VA 23462 (757)385-6464 FAX (757) 499-9894 Web.rite.• www.vbgov.com E-mail: ecdevCwbgov.com CITY OF VIRGINIA BEACH DEVELOPMENT AUTHORITY $6,000,000 RESIDENTIAL CARE FACILITY MORTGAGE REVENUE BONDS WESTMINSTER-CANTERBURY OF HAMPTON ROADS, INC.) SERIES 2009 The City of Virginia Beach Development Authority (the "Authority") recommends approval of the above-captioned financing. Westminster-Canterbury of Hampton Roads, Inc.'s residential facilities continue to promote industry, commerce and trade within the City of Virginia Beach. Financing provided by the Authority will assist as existing life-care facility to remain current in meeting new market demands for its services, maintain its substantial employment census, increase its revenues and add to the City's economic tax base. EXHIBIT F FISCAL IMPACT STATEMENT DATE: TO: THE CITY COUNCIL OF VIRGINIA BEACH, VIRGINIA PROJECT NAME: Westminster-Canterbury of Hampton Roads, Inc. TYPE OF FACILITY: Life Care Facility 1. Maximum amount of financing sought 2. Assessed value of the facility's reai property for Fiscal Year 2009 3. Real property taxes for Fiscal Year 2009 4. Personal property taxes for Fiscal Year 2009 5. Estimated merchant's capital (business license) tax per year using present tax rates 6. Estimated dollar value of goods and services that will be purchased locally in Fiscal Year 2009 7. Estimated number of regular employees for Fiscal Year 2009 8. Average annual salary and benefits per $ 6,000,000 $ 97,769,500 $ 870,148 $ 75,000 $ 835 $ 10,466,000 324 full time and 158 part time employee $ 41,652 The information contained in this Statement is based solely on facts and estimates provided by the Applicant, and the Authority has made no independent investigation with respect thereto. City of Virginia Beach Development Authority By ~ ~.~ ~~ ~ ~- a-~L. Chair I-906646.1 EXHIBIT G SUMMARY SHEET CITY OF VIRGINIA BEACH DEVELOPMENT AUTHORITY INDUSTRIAL DEVELOPMENT REVENUE BOND 1. PROJECT NAME: 2. LOCATION: 3. DESCRIPTION OF PROJECT: 4. AMOUNT OF BOND ISSUE: 5. PRINCIPALS: 6. ZONING CLASSIFICATION: a. Present zoning classification the Property: B-4 b. Is rezoning proposed: Yes _ c. If so, to what zoning classification: Westminster-Canterbury of Hampton Roads, Inc. 3100 Shore Drive, Virginia Beach, Virginia 23451 Payment for dining room renovations completed in August of 2009 and the construction of various renovations and improvements to existing facilities at Westminster-Canterbury's Residential Campus $6,000,000 Episcopal Diocese of Southern Virginia and Presbytery of Eastern Virginia, Presbyterian Church (USA) No XX I-906649.1 10/30/2009 EXHIBi~ H VIRGINIA BEECH Department of Economic Development 222 Central Park Avenue, Suite 1000 Virginia Beach, VA 23462 (757)385-6464 FAX (757) 499-9894 Website: www.vbgov.com E-rnail.• ecdev@vbgov.com November 24, 2009 Mr. Donald V. Jellig Chair Virginia Beach Development Authority 222 Central Park Avenue, Suite 1000 Virginia Beach, VA 23462 Re: Westminster-Canterbury of Hampton Roads, Inc. Dear Don: The Department of Economic Development concurs with the issuance of residential care facility mortgage revenue bonds in an amount not to exceed $6,000,000 for Westminster-Canterbury of Hampton Roads, Inc. The issuance of these bonds by the Authority will be in the public interest, will benefit the inhabitants of the City of Virginia Beach through the promotion of their safety, health, welfare, convenience of prosperity and will provide a public benefit to the City by, among other things, ensuring the availability of modern and efficient medical services, special care and secure living accommodations for the elderly in accordance with their special needs. These funds are to be utilized primarily to finance the cost of refunding the Authority's 2004B Bonds issued on March 24, 2004 with a principal balance of $3,075,000, and providing $1,725,000 for capital renovations and improvements to existing facilities. I will be happy to answer any questions you may have at our next meeting. Sincerely, Mark R. Wawner Project Development Coordinator MRW/AWS/csk -61- Item V-K.9. ORDINANCES/RESOLUTIONS ITEM # 59486 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: Resolution to REFER to the Planning Commission an Ordinance to AMEND Sections 111, 211 and 212 of the City Zoning Ordinance (CZO) and ADD a new Section 211.2 defining the term "Roadside Guide Sign " and establish requirements for allowing such signs in the public right-of- way Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 REQUESTED BY COUNCILMEMBERS JOHN E. UHRIN AND GLENN B. DAVIS A RESOLUTION REFERRING TO THE PLANNING COMMISSION AN ORDINANCE TO AMEND SECTIONS 111, 211 AND 212 OF THE CITY ZONING ORDINANCE AND TO ADD A NEW SECTION 211.1, DEFINING THE TERM "ROADSIDE GUIDE SIGN" AND ESTABLISHING REQUIREMENTS FOR ALLOWING SUCH SIGNS IN THE PUBLIC RIGHT-OF-WAY NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA: That the above-entitled ordinance, a copy of which is attached, is hereby referred to the Planning Commission for its consideration and recommendation. Adopted by the City Council of the City of Virginia Beach, Virginia, this Eic~th day of -~ese~~~ , 2009. APPROVED AS TO LEGAL SUFFICIENCY: Uh City Attorney's Office CA11346 R-2 December 2, 2009 1 REQUESTED BY COUNCILMEMBERS JOHN E. UHRIN AND GLENN B. DAVIS 2 3 4 AN ORDINANCE TO AMEND SECTIONS 111, 211 AND 5 212 OF THE CITY ZONING ORDINANCE AND TO ADD A 6 NEW SECTION 211.1, DEFINING THE TERM "ROADSIDE 7 GUIDE SIGN" AND ESTABLISHING REQUIREMENTS FOR 8 ALLOWING SUCH SIGNS IN THE PUBLIC RIGHT-OF-WAY 9 10 Sections Amended: City Zoning Ordinance Sections 111, 11 211 and 212 12 13 Section Added: City Zoning Ordinance Section 211.1 14 15 WHEREAS, the public necessity, convenience, general welfare and good zoning 16 practice so require; 17 18 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA 19 BEACH, VIRGINIA: 20 21 That Sections 111, 211 and 212 of the City Zoning Ordinance of the City of 22 Virginia Beach, Virginia, are hereby amended and reordained, and a new Section 211.1 23 is hereby added, to read as follows: 24 25 Sec. 111. Definitions. 26 27 For the purpose of this ordinance, words used in the present tense shall include 28 the future; words used in the singular number include the plural and the plural the 29 singular; the use of any gender shall be applicable to all genders; the word "shall" is 30 mandatory; the word "may" is permissive; the word "land" includes only the area 31 described as being above mean sea level; and the word "person" includes an individual, 32 a partnership, association, or corporation. 33 34 In addition, the following terms shall be defined as herein indicated: 35 36 .... 37 38 Sign roadside guide. A sign, located within a public right-of-way, indicating the 39 direction in which a use or establishment, other than a use or establishm_ ent owned or 40 operated by a governmental entity, is located. 41 42 .... 43 44 45 COMMENT 46 47 The amendment defines the term "roadside guide sign." The term is reserved for signs 48 relating to uses or establishments not owned or operated by governmental entities. The regulations 49 pertaining to roadside guide signs are set forth in the proposed new Section 211.1 of the City 50 Zoning Ordinance, set forth below. 51 52 Sec. 211. Signs permitted in all districts. 53 54 The following types of signs are exempted from all of the provisions of this 55 ordinance, except for illumination, construction, and safety regulations and the following 56 standards: 57 58 .... 59 60 (k) Roadside guide signs. Roadside guide signs, subject to the provisions of 61 section 211.1. 62 63 COMMENT 64 65 The amendment allows roadside guide signs in all zoning districts. The regulations 66 pertaining to such signs are set forth in the proposed new Section 211.1 of the City Zoning 67 Ordinance, set forth below. 68 69 70 Sec. 211.1. Roadside guide signs. 71 72 Roadside guide signs shall be permitted, subject to the following provisions: 73 74 (a) Signs shall be allowed only by resolution of the City Council upon the 75 application of the owner or operator of a use or establishment operated exclusively for 76 cultural literary, scientific or artistic purposes and on snot-for-profit basis; 77 78 (b) Applications for such signs, which shall include an application fee in the 79 amount of Two Hundred Fifty Dollars ($250.00), shall be made to the Director of 80 Planning on forms prescribed by him; 81 82 (c) No signs shall be larger than five (5) square feet in area or higher than 83 eight (8) feet above ground level; 84 85 (d) No use or establishment shall be the subject of more than three (3) 86 roadside guide signs; provided, however, that the City Council may allow additional 87 signs if it finds that three (3) signs are insufficient to provide motorists with adequate 88 guidance to the use or establishment; 89 90 (e) Only the name of the use or establishment, a logo or other graphic symbol 91 indicating the type of use or establishment, a directional arrow and the mileage to the 92 use or establishment may be displayed. The lettering, graphic elements... and 2 93 background shall be approved by the Director of Public Works or his designee in 94 accordance with the standards for such signaqe adopted by the Department of Public 95 Works; 96 97 (fl Signs shall be erected only in the specific locations approved by the City 98 Council as necessary to provide route confirmation and continuity of guidance to the 99 use or establishment. The Department of Public Works may relocate a sign if 100 necessary to accommodate public signaqe requirements; and 101 102 (q) Signs shall be maintained in good condition at all times. Any sign not in 103 good condition shall be subject to removal and disposal by the Department of Public 104 Works. 105 106 COMMENT 107 108 The proposed section sets forth the requirements for roadside guide signage. Among those 109 requirements is that such signage is subject to approval by the City Council. The $250.00 110 application fee is the identical amount required for encroachments pursuant to City Code Section 111 33.1-113. 112 113 Sec. 212. Prohibited signs. 114 115 The following signs shall be prohibited: 116 117 .... 118 119 (c) Signs in any public right-of-way, except as provided in section 211(a) or 120 section 211(k). 121 122 .... 123 COMMENT 124 125 The amendment conforms this section to the provisions of the proposed new section 211.1. 126 Adopted by the City Council of the City of Virginia Beach, Virginia, on this day of , 2009. APPROVED AS TO LEGAL SUFFIC ENCY: '~ A ~~~-~ 4~~~ d2~ City Attorney's Office CA-11326 R-2 November 25, 2009 3 -62- Item V-K.IOa/b/c. ORDINANCES/RESOLUTIONS ITEM # 59487 ADD-ON Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: Resolutions in Recognition: Ron A. Villanueva -Delegate Elect, Virginia General Assembly Paul Lanteigne -Sheriff George Alcaraz -East Coast Surfing Championships Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 RE50LUT70N WHERBr18: Ronald John A. Villanueva, better known to his family, friends and peers as 'RON', is a lifelong resident of Virginia Beach where he graduated from Green Run High School in 1988. He eanled a Bachelor's degree in Political Science with a minor in English from Old Dominion University and is completing his Master's degree in Public Policy from Regent University. He is a graduate of the Hampton Roads Civic Leadership Institute as well as the Asian Pacific American Institute for Congressional Studies Leadership Academy; W1~R>dr~8: In 2002, Ron became Virginia Beach's first elected Asian-Pacific Islander American. In 2006, Ron was re-elected to the governing body of the largest city in the Common- u~ealth of Virginia and has faithfully served almost a half million citizens in the City of Virginia Beach with great dedication to sustaining the City as a `Community for a Lifetime'; WXER8rl8: Councilman Vdlanueua's public service includes the United States Coast Quard Reserves, Old Dominion University Board of Visitors, Attorney General's Task Force on `Gang and Youth Violence', the Virginia `Help America Vote' Act Steering Committee, Virginia Equal Employment Opportunity Council and the Virginia Beach `Safe Schools' Task Force. His dedication to untiring and unselfish service is further exemplified by his involvement in the community. He has served as President of the Philippine American Association of Tidewate>; Member of the Board of Directors for the Greater Hampton Roads March of Dimes, Virginia Board of March of Dimes, Co-chair of Hampton Roads 757 Voter-Registration, St. Mark's Catholic Chun:h and a spokesperson for the community in Operation Smile. He has uwrked to bring jobs to Virginia Beach through his association urith Operation Smile which has allowed him to work urith prominent in#ernational celebrities to bring opportunities to the less fortunate. He is the City Council's Liaison to the Virginia General Assembly, Joint Committee on School Modernization, Minority Business Council and the Skate Park Advisory Committee. He has sponsored or co- sponsored, initiatives such ggss Senior Citizens Tax Relief Commission, Joint Task Force on Unfunded Mandates, BienniaTBudget Task Force, Oceanfront Behavior and many other regional efforts; and, WIsWR3A8: Professionally Councilman Villanueva's career has spanned both the goven~ment and private sector. From 1997-2005, he owned and operated a marine ship repair and industrial service firm Cumenfly he is the Executive Vice President and Co-Principal of SEK Solutions, a provider of tactical` and special operations equipment for law enforcement and military customers. 1VnW, TI~R,BJ^ORE, BE iT RESOLVED: That the Vuginia Beach City Council pauses in its deliberations to recognize one of its own, a dedicated family man, entrepreneur and community servant. BE IT ~'(1RTHER RESOLVED: Thai this Resolution 6e made a part of the proceedings of this Formal Session of the Virginia Beach City Council and all citizens share in expressing thanks to Ron urith Congratulations for his many achievements and best urishes for his continued service and future endeavors representing Virginia Beach as a Member of the House of Delegates, Virginia General Assembly. 'ven under our hands this 8~^ da~D/ecemb~er, Two /T,hodusand N' • Glenn R. Davis ^ Robert M. Dyer R mart' n ' M ~ 1_ ' 'Member anti! ember ~(, ~ ' William R. DeSteph Barbara M. He L. Wood until Me Cattncii~M r~ u 'Member s' ~ ( ~ r'~ ~"beU H . Diezel J E. Uhrin ~ Co Member urtcil Member ` / ' ~ ~ Louis .Jones, V' Mayor William D. Sessoms, Mayor %~•--- ~~. '' w ~ti h'pa~/ RE50LUTION WHEREAS: Paul J. Lanteigne's first elective office was to the governing body of the largest city in the Commomvealth of Virginia (1990-199aJ and he was later appointed to the Virginia Beach School Board (1996-/ 997J. Paul has served more than thirry_f1Ye years in law enforcement with the Ciry of Virginia Beach, starting with the Virginia Beach Police Department in 1975 where he served on the SWAT Team, K-9, the ~Lfounted Patrol and aboard Police bvou and helicopters. As a Police Sergeant he founded the DUI Task Force and hu efforts led to the arrest and prosecution of hundreds of drunk drivers. Hs was appointed Chief Deputy Sheriff in 1994 and served in this capacity until his successful election to the t~ce of Sheria,' which position he has served since August 2000. He served ten years on the Virginia State Lottery Bowd He attended the FBI Academy and has been an Instructor vt Tidewater Community College for mars than fifteen years. He contimred his education and received full law enforcemem accreditation in 2003; WHEREAS: Paul's dedication to service has bete highlighted by his administrative capabilities us well us his insight into human needs. He has bean responsible for o staff in excess ojsix hundred men and women whose diversity exceeds the City's demographics, an annual operating budget of 338-Million plus a egpital budget of E58-A~lillion, and un average daily inmate population of fifteen hundred He has supervised design, construction and operation of a "state ujtht art" jail addition of six hundred twenty-jaw beds which opened in August 2003. His responsibility to the Virginia Brach Covets included the "D C Sniper" trio) with up to six hundred media credentials and forty live television trucks on site; una WHEREAS: During his law enforcement career, he has been shot at, stitched up, hospitalized spit on and ut, hit by drunk drivers, and bitten by dogs - o cot - and a human. He has been involved in lawful resolve ojriots. He has born the "bearer of bud news" in having to advise more than one family of their loss, typically as a result of an auto uccidrnt. Throughout all these adversities, Paul has been steadfast in his fidelity and loyalty and he has shown vision in his rehabilitation of less than law-aiding citizens. He conNmed the "Sheriff's Workforce" which began during his tenure us Chief Deputy Sheriff and has saved both the Ciry and the Commomveolth millions ojdollars in the construction, renovation and maintenance ojpublic facilities, including the Virginia Beach Law Enforcement Training Academy WHEREAS: Paul is proud of his "guiding principle in lift" to "always give more than you take ". Hs is proud to say: "no one has ever given bock to the community maa than the Virginia Beach Sheri„~'s o$rce ". He has been mwried to his wife, Tracey, thirty-seven years and is proud of each of his grown children: Ashley, Adam and Austin Now it is rims to spend more time !n his home in Florida, playing golf and joining the Conmed Healthcare Management Inc. as its Director uj Gove~nmerual Affairs to enhance healthcare delivery to jails throughout the country. NOW, THEREFORE, BE JT RESOLVED: That the Virginia Beach City Council pauses in its delibrratiuns to pay tribute to Pau! for his untirin& unselfish service to the Ciry as an a%cted official, his dedication to various phasrs ujluw enforcement, for his "Workforce" eonbibution to the welfare of this community and his vision to eruwe this is a "community for a lifetime ". BE /T FURTHER RESOLVED: That this Resolution be spread upon the Nitrates of this City Council Formal Session and that all citizens recognize and congratulate this dedicated pablic servant as we declare: PAUL J. LANTEIGNE DAY December a, 2009 Given under our hands this 8~^ day of December, Two ThousarJtiNine. _ RE50LUTION WHEREAS: George A. Alcaraz, a Rudee Heights resident, has brought neighbors together in coordinating educational awareness, such as the Emergency Preparedness program, is a valuable Volunteer and dedicated contributor to the City's theme of being a `Community for a Lifetime'; WI>'~RBrlS: The East Coast Surfing Championship was originally held in the Summer of 1951 in the area of Long Island, New York, better known as `Gilgo Beach'. This event grew as more and more Surfers began participating though the only advertising was by word of mouth. Three prominent Surfers from Virginia Beach /Bob Holland, Pete Smith and Butch MatoneyJ were among those advancing the reputation of this event all along the East Coast. The third year when the Virginia Beach Jaycees decided to act as sponsor, more activities were added which enhanced the event that now draws more than one hundred thousand surfing fans and beach lovers to uxitch the `World's Best' amateur and professional surfers compete for the `crown'. Today, the ECSC is the second longest continuously-run surfing contest in the urorld; WHERB~lB: The ECSC is part of the history of Virginia Beach Their mission is to produce a unique sports and entertainment festival for the enjoyment of citizens and tourists alike. George first volunteered his time as a Jaycee and assisted in its coordination. He chained the event in 1990 and 1997. His countless volunteer hours and numerous resources for more than two decades have made the ECSC world renowned 2009 was the Forty-seventh year the ECSC has been under the leadership and general management of George Alcaraz. 4Vtth his recognition of the City's placement as the largest city in the Commonwealth of Virginia and the largest Resort City in the world, George saw the need to evolve the ECSC into an even better, top-quality event packed week-end. He again expanded the activities, coordinated new programs, one of which was the Surfing Museum at the Coast Guard Station on 24~ Street that showcases historical memorabilia and established the 'ECSC Forever Membership' program as a year-round opportunity for citizens and businesses to contribute to this long-standing event. The Virginia Beach Jaycees established the `Surfing Legends of ECSC HaU of Fame' in 2005 to recognize men and women who have supported and promoted the sport of surfing in Hampton Roads. George coordinated a Friday Night Luau and recognized those who founded the event. He truly has exemplified his philosophy of `A team can always accomplish more thnri any one individual' in his dedication and commitment to the ECSC. Through his untiring efforts, this prestigious event has annually brought a record-breaking audience to the Oceanfront; and, WI>'tERBrlB: George has gone beyond his love of surfing and volunteered his knowledge, leadership and expertise as a City Council appointed member of the Board of Zoning Appeals, first in 2002 as and Alternate and now a fuU time member. His calm disposition is an attribute which affords his tactfully addressing the concerns of citizens whose applications are considered for zoning variances. He understands the issues and is able to differenriate between want need or hardship. 1W W, Tlsl$RSI+ORE, BE TT RESOLVED: That the Virginia Beach City Council recognizes George Alcaraz as an exemplary Volunteer and call upon all citizens to celebrate: OEOROE ALCARAZ DAY Dtcsnib~r', 9009 ^' cc~~nn ~ /~(/~ Ca/A~aG~~D~~`~~e~l~/i./ ~~ /Ncl~Mga Lit R V ~~ Cousc/4ras Tilau~ R ~ G. Cor Nary E ~ -63- ITEM # 59488 L. PLANNING 1. VIOLA BUILDING CORPORATION 2. CENTRAL ASSOCL4TES OWNER'S 3. DANIEL E. POSTON 4. ROCK CHURCH S. JESSUP CONSTURCTIONL.L.C./ JOHN P. MYERS 6. COMPREHENSIVE PLAN, CITY OF VIRGINIA BEACH ENLARGEMENT OF NONCONFORMING STRUCTURES CONDITIONAL USE PERMIT CONDITIONAL USE PERMIT CONDITIONAL USE PERMIT CONDITIONAL CHANGE OF ZONING EXHIBITS l A AND 1-B INCLUDING THE LAND USE AND MASTER TRANSPORTATIONPLAN MAPS December 8, 2009 -64- L. PLANNING ITEM # 59489 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council APPROVED in ONE MOTION Items 1, 2, 3, 4 and S (DENIED) of the PLANNING BY CONSENT AGENDA. Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None Councilman DeSteph DISCLOSED and ABSTAINED pursuant to Section 2.2-311 S(E), Code of Virginia re Item L.2. (Central Associates Owner's Association, Inc. for a Conditional Use Permit re an enclosed bulk storage yard at S00 and 508 Central Drive.) Councilman DeSteph ABSTAINED from voting on this transaction because he owns condominiums at this location. Councilman DeSteph's correspondence of December 8, 2009, is hereby made a part of the record. December 8, 2009 -65- Item V-L.1. PLANNING ITEM # 59490 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED a Resolution upon on application of VIOLA BUILDING CORPORATION re an enlargement of nonconforming structures at 6900 Atlantic Avenue and 203 69`" Street BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA Resolution upon on application CORPORATION re an enlargement 6900 Atlantic Avenue and 203 69`" DISTRICT 5 - LYNNHAVEN The following conditions shall be required: of VIOLA BUILDING of nonconforming structures at Street (GPIN.• 241647983000). 1. The site shall be redeveloped substantially as shown on the exhibit entitled "CONCEPTUAL SITE PLAN VIOLA RESIDENTIAL DEVELOPMENT, 201 & 203 69TH STREET, VIRGINIA BEACH, VIRGINIA, prepared by WPL, dated August 26, 2009, which has been exhibited to the Virginia Beach City Council and is on file in the Virginia Beach Planning Department. 2. The architectural alterations to the eastern dwelling and the reconstruction of the western dwelling shall substantially adhere to the submitted elevations in terms of architectural style and building materials which has been exhibited to the Virginia Beach City Council and is on file in the Virginia Beach Planning Department. 3. The applicant shall provide a Tree Protection Plan to the Current Planning Division of the Planning Department for review prior to the issuance of a building permit for either dwelling. 4. Approval for encroachments into the right-of--way, including, but not limited to, landscaping and parking spaces, shall be sought during final site plan review, if deemed necessary by Public Works/Real Estate. Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 1 A RESOLUTION AUTHORIZING THE 2 ENLARGEMENT OF NONCONFORMING 3 STRUCTURES ON PROPERTY LOCATED 4 AT 6900 ATLANTIC AVENUE AND 203 69T" 5 STREET OWNED BY VIOLA BUILDING g CORPORATION. 7 8 WHEREAS, Viola Building Corporation (hereinafter the "Applicant") has made 9 application to the City Council for authorization to enlarge nonconforming structures 10 having the addresses of 6900 Atlantic Avenue and 203 69th Street, in the R-5R Resort 11 Residential District, by adding a second floor to one single-family dwelling and replacing 12 another single-family dwelling; and 13 14 WHEREAS, the said structures are nonconforming, as there are two single-family 15 dwellings located on the same parcel of land, which is not allowed in the R-5R Zoning 16 District; and 17 18 WHEREAS, the two dwellings were constructed prior to the adoption of the 19 applicable regulations; and 20 21 WHEREAS, pursuant to Section 105 of the City Zoning Ordinance, the 22 enlargement of nonconforming structures is unlawful in the absence of a resolution of 23 the City Council authorizing such action upon a finding that the proposed structures, as 24 enlarged, will be equally appropriate or more appropriate to the zoning district than are 25 the existing structures; 26 27 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF 28 VIRGINIA BEACH, VIRGINIA: 29 30 That the City Council hereby finds that the proposed structures, as enlarged, will 31 be equally appropriate to the district as are the existing structures under the conditions 32 of approval set forth hereinbelow. 33 34 BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF VIRGINIA 35 BEACH, VIRGINIA: 36 37 That the enlargement of the nonconforming structures is hereby authorized, upon 38 the following conditions: 39 40 1. The site shall be redeveloped substantially as shown on the exhibit 41 entitled, "CONCEPTUAL SITE PLAN VIOLA RESIDENTIAL 42 DEVELOPMENT, 201 & 203 69TH STREET, VIRGINIA BEACH, 43 VIRGINIA," prepared by WPL, dated August 26, 2009, which has been 44 exhibited to the City Council and is on file in the Planning Department. 45 46 2. The architectural alterations to the eastern dwelling and the reconstruction 47 of the western dwelling shall substantially adhere to the submitted 48 elevations in terms of architectural style and building materials, which 49 have been exhibited to the City Council and are on file in the Planning 50 Department. 51 52 3. The applicant shall provide a tree protection plan to the Current Planning 53 Division of the Planning Department for review prior to the issuance of a 54 building permit for either dwelling. 55 56 4. Approval for encroachments into the right-of-way, including but not limited 57 to landscaping and parking spaces, shall be sought during final site plan 58 review, if deemed necessary by Public Works/Real Estate. 59 60 Adopted by the Council of the City of Virginia Beach, Virginia, on the nth day 61 of December , 2009. APPROVED AS TO CONTENT APPROVED AS TO LEGAL SUFFICIENCY: Cc City Attorney's Office CA11343 R-2 November 24, 2009 -66- Item V-L.2. PLANNING ITEM # 59491 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED an Ordinance upon application of CENTRAL ASSOCIATES OWNER'S ASSOCIATION, INC. for a Conditional Use Permit re an enclosed bulk storage yard at 500 and 508 Central Drive. BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA Ordinance upon application of CENTRAL ASSOCLATES OWNER'S ASSOCIATION, INC. for a Conditional Use Permit re an enclosed bulk storage yard at 500 and 508 Central Drive (GPIN.• #1496888629) DISTRICT 6 -BEACH 80120935387 The following conditions shall be required: 1. The site layout shall substantially conform to the marked-up site plan entitled "Plat of Central Associates Condominium" by Rouse Outright & Associates, P. C. and dated 11/22/88. 2. The storage yard shall be completely enclosed, except for necessary openings for ingress and egress, by an opaque fence not less than six (6) feet in height. 3. The storage yard may be improved with an appropriate surface treatment and stormwater treatment as determined during site plan review and as approved by the Planning Director. 4. The applicant shall comply with the terms and conditions of the Grant of Easement governing this property, including the following: a. Only office space maintained in connection with the allowed use shall be permitted b. No retail sales shall be conducted except as an auxiliary function of enterprises permitted c. No storage, distribution or handing of explosives, petrochemicals orpetroleum-related products shall be allowed at the facility d. Nothing on the property shall exceed the height restriction over the property e. No unidentified use in violation of any other easement restrictions shall be permitted This Ordinance shall be effective in accordance with Section 107 (fl of the Zoning Ordinance. Adopted by the City Council of the City of Virginia Beach, Virginia, on the Eighth of December Two Thousand Nine December 8, 2009 -67- Item V-L.2. PLANNING Voting.• 10-0 (By Consent) Council Members Voting Aye: ITEM # 59491 (Continued) Glenn R. Davis, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Abstaining.• William R. "Bill "DeSteph Council Members Absent: None Councilman DeSteph DISCLOSED and ABSTAINED pursuant to Section 2.2-3115(E), Code of Virginia re Item L.2. (Central Associates Owner's Association, Inc. for a Conditional Use Permit re an enclosed bulk storage yard at S00 and 508 Central Drive.) Councilman DeSteph ABSTAINED from voting on this transaction because he owns condominiums at this location. Councilman DeSteph's correspondence of December 8, 2009, is hereby made a part of the record. December 8, 2009 City of Virginia Beach BILL DESTEPH COUNCILMAN - AT-LARGE In Reply Refer to 0040509 December 8, 2009 Mrs. Ruth Hodges Fraser, MMC City Clerk Municipal Center Virginia Beach, Virginia 23456 Dear Mrs. Fraser: Re: Abstention Pursuant to Conflict of Interests Act § 2.2-3115 (E) VBgov.com PHONE: (757) 496-4646 CELL: (757) 339-6105 BDESTEPH ~ VBGOV COM Pursuant to the State and Local Government Conflict of Interests Act, I make the following declaration: 1. I am executing this written disclosure regarding City Council's discussion and vote on Central Associates Owner's Association, Inc.'s application for a conditional use permit for an enclosed bulk storage yard at 500 and 508 Central Drive. 2. I wish to abstain from voting on this transaction because I own condominiums at this location. Accordingly, I respectfully request that you record this declaration in the official records of City Council. Thank you for your assistance and cooperation in this matter. Sincerely, Bill R. DeSteph Councilmember BRD/RRI 2401 COURTHOUSE DRIVE, VIRGINIA BEACH, VIRGINIA 23456 -68- Item V-L.3. PLANNING ITEM # 59492 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED an Ordinance upon application of DANIEL E. POSTON for a Conditional Use Permit re motor vehicle sales and service at 3336 Holland Road.• BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA Ordinance upon application of DANIEL E. POSTONfor a Conditional Use Permit re motor vehicle sales and service at 3336 Holland Road (GPIN: 1486902 7680000) DISTRICT 3 -ROSE HALL 80120935388 The following conditions shall be required.• 1. The site shall be redeveloped and maintained in accordance with the submitted plan entitled "CONCEPT PLANPRE-OWNED CAR LOT" prepared by Gallup Surveyors and Engineers, Ltd., and dated June 22, 2009, with the exception of the northernmost entrance (curb cut) into the site, which shall be closed. Said plan has been exhibited to the Virginia Beach City Council and is on frle in the Virginia Beach Planning Department. 2. The addition to the building and the existing building shall be constructed and maintained in accordance with the submitted elevation plan prepared by "EDWARD R. ROEHM, AIA "dated June 25, 2009. Said plan has been exhibited to the Virginia Beach City Council and is on file in the Virginia Beach Planning Department. 3. The proposed landscaping on the site and adjacent to the northern and eastern property lines on the Holland Road Elementary School site shall be installed and maintained in accordance with the submitted plan entitled "CONCEPT PLAN PRE-OWNED CAR LOT" prepared by Gallup Surveyors and Engineers, Ltd., and dated June 22, 2009. Said plan has been exhibited to the Virginia Beach City Council and is on file in the Virginia Beach Planning Department. 4. All automotive repairs shall take place within the building. There shall be no outside storage of vehicles in a state of obvious disrepair, equipment, parts or materials. 5. All outdoor lighting shall be shielded to direct light and glare onto the premises; said lighting and glare shall be deflected, shaded and focused away from adjoining properties. Any outdoor lighting fixtures shall not be erected higher than fourteen (14) feet. 6. No outside paging system shall be permitted. 7. There shall be no more than 26 vehicles displayed `for sale " on the site. Motor vehicles for sale shall be parked in the area designated "Vehicle Display Area". No vehicles shall be parked within any portion of the public right-of--way and vehicles shall not be displayed on raised platforms. December 8, 2009 -69- Iterra V-L.3. PLANNING ITEM # 59492 (Continued) 8. No advertising banners, streamers, balloons, pennants or similar devices shall be permitted on any vehicles or on the site. 9. There shall be no signs in excess of four (4) square feet installed or displayed on the exterior or interior of the windows of the building or on any light pole on the site. This Ordinance shall be effective in accordance with Section 107 (~ of the Zoning Ordinance. Adopted by the City Council of the City of Virginia Beach, Virginia, on the Eighth of December Two Thousand Nine Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 -~o- Item V-L4. PLANNING ITEM # 59493 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED an Ordinance upon application of ROCK CHURCH for a Conditional Use Permit re religious use (Seminary) at 640 Kempsville Road.• BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA Ordinance upon application of ROCK CHURCH for a Conditional Use Permit re religious use (Seminary) at 640 Kempsville Road. (GPIN: #14667655590000) DISTRICT 2 - KEMPSVILLE HALL 80120935389 The following condition shall be required: 1. A Certificate of Occupancy shall be obtained prior to the use of the dormitory area. This Ordinance shall be effective in accordance with Section 107 (~ of the Zoning Ordinance. Adopted by the City Council of the City of Virginia Beach, Virginia, on the Eighth of December Two Thousand Nine Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent.• None December 8, 2009 -~1- Item V-L. S. PLANNING ITEM # 59494 The following speakers were asked by the Mayor if any desired to speak or if anyone was in attendance to speak in favor of the application. No Speakers desired to speak. The following registered in OPPOSITION: Robert Goodwin, 909 Pillow Drive, Phone: 481-3524 Jennifer Detoefses, 1101 Trantwood Avenue, Phone: 613-0352 Bruce Marcus, 1112 Trantwood Avenue, Phone: 481-5980 Andrea Riddle, 2508 Little Lake Court, Phone: 496-3366 Lee Shuler, 2448 Rose Hall Drive, Phone: 718-1457 Dahl Evartt, 1133 Trantwood Avenue, Phone: 813-0700 Jack Evartt, 1133 Trantwood Avenue, Phone; 813-0700 Dr. Bill Austin, 1124 Trantwood Avenue, Phone: 481-2474 Perry Deglandon, 1108 Trantwood Avenue, Phone; 481-1496 Carol Guy, 1138 South Point Road, Phone: 481-0990 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council DENIED an Ordinance upon application of JESSUP CONSTRUCTION L.L.C./JOHN P. MYERS for a Chan e o,~' Zonin District Classi rcation from R-40 Residential District to Conditional R-20 Residential District re four (4) single family waterfront lots at 1125 and 1129 Trantwood Avenue: Ordinance upon Application of JESSUP CONSTRUCTION L.L. C./JOHN P. MYERS for a Change of Zoning District Classification from R-40 Residential District to Conditional R-20 Residential District re four (4) single family waterfront lots at 1125 and 1129 Trantwood Avenue (GPIN: # 14988502950000 and # 14988504260000 DISTRICT S - LYNNHAVEN Voting: 11-0 (By Consent) Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 -72- Item V-L.6. PLANNING ITEM # 59495 The following registered in OPPOSITION.• Attorney Edward Bourdon, Pembroke Office Park, Building 1, 281 Independence Boulevard, Phone: 499- 8971, spoke re the Princess Anne Corridor and Sub Area II, and advised a number of parcels in this area have title issues prior to 1997 as the other properties developed in this area. Christopher Farms is the primary one. The density in the Comprehensive Plan for that area is 3 to 3-% units per acre. In 1997, the Comprehensive Plan was revised to create incentives to assemble all these smaller parcels and part of this Incentive Plan was if these parcels could be assembled and dedicated to build London Bridge Road Extended from Holland to Princess Anne (which is a 125 foot parkway). The Comprehensive Plan provided that up to six (6) units per acre residential versus 3 to 3-% units per acre. Now, with the BRAG, this cannot be accomplished. The development of this property would not create the need for this road. This portion of the Plan needs to be revised. Attorney Henry Howell, 301 West Freemason Street, represented June and Joseph Walton, owners of 6- 1/3 acres on Princess Anne Road. Mr. and Mrs. Walton reside on this property. This land was at one time the center of the African-American community. Upon motion by Council Lady Henley, seconded by Councilman Dyer, City Council, ADOPTED, AS AMENDED, the Ordinance re the Comprehensive Plan of the City of Virginia Beach, dated October 1, 2009, with Exhibits 1-A and 1-B and including the Land Use and Master Transportation Plan maps, as follows: Pages 4-9 and 4-10 -Delete all recommendations cited under the heading `Northwest Crescent Recommendations' and replace with the following language to read: "The `Northwest Crescent' will be included as part of an Interfacility Traffic Area (ITA) Study. Recommendations resulting from this Study will provide planning policy guidance for the ITA, Northwest Crescent and other properties included in this initiative. " Voting: I I -0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay.• None Council Members Absent: None December 8, 2009 1 AN ORDINANCE ADOPTING THE COMPREHENSIVE 2 PLAN OF THE CITY OF VIRGINIA BEACH 3 4 WHEREAS, the purpose of the Comprehensive Plan is to guide and accomplish 5 the coordinated, adjusted and harmonious development of the City which will, in 6 accordance with present and probable future needs and resources, best promote the 7 health, safety, morals, order, convenience, prosperity and general welfare of the City 8 and its citizens; 9 10 WHEREAS, the Planning Commission, in concert with the Department of 11 Planning, conducted numerous work sessions and an extensive outreach program in 12 order to determine the needs and desires of the general public and business, 13 environmental, military, agricultural, cultural and other groups; 14 15 WHEREAS, on November 12, 2009, the Planning Commission approved, 16 recommended and certified to the City Council a Comprehensive Plan superseding the 17 previous Comprehensive Plan adopted by the City Council on December 2, 2003, and 18 thereafter amended, in accordance with the requirements of Article 3 of Chapter 22 of 19 Title 15.2 of the Code of Virginia; 20 21 WHEREAS, the City Council has thoroughly studied the Comprehensive Plan 22 approved, recommended and certified to it by the Planning Commission, and has 23 actively and affirmatively sought and obtained the views of the citizens of the City; 24 25 WHEREAS, the City Council hereby certifies that the provisions of the 26 Comprehensive Plan accommodate growth in a manner consistent with the provisions 27 of Virginia Code Section 15.2-2223.1; and 28 29 WHEREAS, the City Council has held a public hearing on the proposed 30 Comprehensive Plan, after having given due notice thereof pursuant to Section 15.2- 31 2204 of the Code of Virginia, as amended. 32 33 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 34 VIRGINIA BEACH, VIRGINIA: 35 36 That it hereby adopts, as the Comprehensive Plan of the City of Virginia Beach, 37 that certain document entitled "Comprehensive Plan, City of Virginia Beach," dated 38 October 1, 2009 with Exhibits 1-A and 1-B, which Comprehensive Plan was presented 39 to the City Council this day. 40 41 BE IT FURTHER ORDAINED BY THE CITY COUNCIL OF THE CITY OF 42 VIRGINIA BEACH, VIRGINIA: 43 44 That it hereby also adopts, as an integral part of the Comprehensive Plan, the 45 Comprehensive Land Use Plan Map and Master Transportation Plan Map 46 accompanying the aforesaid Comprehensive Plan. 47 48 Adopted by the Council of the City of Virginia Beach, Virginia on this 8th day 49 Of December , 2009. APPROVED AS TO CONTENT: Planning CA11289 partment APPROVED AS TO LEGAL SUFFICIENCY: J )% )/ City Attorney's Office R-4 October 28, 2009 A RESOLUTION OF THE PLANNING COMMISSION APPROVING THE COMPREHENSIVE PLAN OF THE CITY OF VIRGINIA BEACH AND RECOMMENDING AND CERTIFYING THE PLAN TO THE CITY COUNCIL WHEREAS, the Planning Commission of the City of Virginia Beach recognizes its responsibility to prepare and recommend a Comprehensive Plan for the purpose of guiding and accomplishing a coordinated, adjusted and harmonious physical growth and development of the community which will, in accordance with present and probable future needs and resources, best promote the welfare of the City and its citizens; and WHEREAS, the Comprehensive Plan is an important policy document for use in advancing the City's strategic objectives, including quality physical environment, economic vitality, safe communities, quality education for lifelong learning, quality cultural and recreational opportunities and strong families; and WHEREAS, the Planning Commission, in concert with the Department of Planning, has conducted numerous work sessions and an extensive public outreach program and numerous special presentations to business, environmental, military, agricultural, cultural and other groups; and WHEREAS, information received from these outreach efforts has been incorporated into the recommended Comprehensive Plan in order to define a shared vision for the future of the City of Virginia Beach; and WHEREAS, in the preparation of the Comprehensive Plan, the Planning Commission has surveyed and studied all of the matters required to be surveyed and studied pursuant to Section 15.2-2224 of the Code of Virginia; and WHEREAS, after giving public notice pursuant to Section 15.2-2204 of the Code of Virginia, the Planning Commission has conducted a public hearing on the proposed Comprehensive Plan. NOW THEREFORE, BE IT RESOLVED BY THE PLANNING COMMISSION OF THE CITY OF VIRGINIA BEACH, VIRGINIA: That the Planning Commission hereby approves the Comprehensive Plan, dated October ~ , 2009 ,and recommends and certifies such Comprehensive Plan to the City Council. Adopted this 1 i-h day of NrLember , 2009, by the Planning Commission of the City of Virginia Beach, Virginia. ~- hair ATTEST: ~ ~Q Secretary APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: ~. ~~ ~-. Planning epartment ity Attorney's Office Exhibit 1A Comprehensive Plan Update Planning Commission Recommendation to City Council November 12, 2009 The Planning Commission recommended approval of the Comprehensive Plan Final Draft dated October 1, 2009 subject to the following revisions cited in. Unless otherwise noted, underlined words are added text and ~}M~ke~t words are deleted text. Policy Document Revisions Revise all Comprehensive Plan references regarding Owl Creek and Virginia Aquarium and/ or Marine Science Museum to reflect correct wording of Owl's Creek and Virginia Aquarium & Marine Science Center, respectively. Rename all Comprehensive Plan references regarding SGA 2 from 'Westview' to 'Centerville/Regent'. Pages 2-3 and 6-14: The bus pictures will be replaced with photos from local transit routes. Page 2-22: Revise last sentence to read: Virginia Department of Transportation, VDOT, has allocated 2009 federal stimulus funding (ARRAS for a project to provide #-ke access to and from the west at I-264 and Great Neck,/London Bridge Roads. Page 2-23: Revise 1St bullet to read: Following the construction of the access ramps at Great Neck/London Bridge Roads... Pages 3-8 and 3-9: SHORE DRIVE CORRIDOR • The Shore Drive Corridor is an integral part of the Bayfront Community, extending from North Independence Boulevard to First Landing State Park. While primarily a residential community, the corridor shares the responsibility of being one of Virginia Beach's primary east-west connectors, creating unique and sometimes problematic challenges. The area is considered a resort 1 neighborhood and not a resort destination. This means that the Shore Drive Corridor: 1. while the most densely populated area of the city, is primarily a neighborhood residential area; 2. comprises commercial uses to support the neighborhoods; 3. has to accommodate Shore Drive, a primary circulation corridor for the city; 4. affords more passive recreational and tourism amenities; The Bayfront Advisory Committee (originally established as the Shore Drive Advisory Committee) was established by City Council in 1998 to guide and provide guidance for matters relating to planning, community design and public information. More information is provided in the 1997 Bayfront study conducted by the Urban Land Institute. These are supported by a set of Shore Drive Corridor Design Guidelines that provide the form and function of land use in this area. Both of these documents are available in the Document Library at www.ourfuturevb.com. THE PLANNING POLICIES THAT APPLY TO THE ENTIRE SHORE DRIVE CORRIDOR AND BAYFRONT COMMUNITIES ARE: • complete remaining roadway improvements (all identified Phases) along Shore Drive to enhance the safety, access and character of the Corridor; • replace the aging Lesner Bridge with a new "signature bridge"; • retain Shore Drive as a four-lane road for as long as is practical, but protect the necessary right-of-way for an expansion to a six-lane facility, if necessary; • preserve and protect the character of the established neighborhoods; • improve land use compatibilities and avoid over commercialization to insure that resort-based uses compliment rather than dominate this corridor; • encourage reuse/ revitalization of existing commercial properties; • achieve the lowest reasonable density for future residential uses; • develop residential Design Guidelines for the corridor and its established neighborhoods, to complement the existing commercial property guidelines; • enhance the use of incentive zoning and overlay districts to include commercial properties, to manage future growth and promote corridor beautification; • improve public parking and public access to the beachfronts; • provide safe and appropriate pedestrian and bicycle circulation; • provide a continuous multipurpose trail through this corridor; • provide continued support for the cleaning of the Chesapeake Bay, Lynnhaven dredging and oyster restoration efforts. 2 The following sections provide further planning guidance for the three sub-areas in the Shore Drive Corridor and Bayfront Communities: RECOMMENDATIONS FOR PLEASURE HOUSE POINT - IF THE PROPERTY IS DEVELOPED THE FOLLOWING SHOULD APPLY: SFA 1.1- PLEASURE HOUSE POINT Support a well planned and well design project that could include residential, retail, office, institutional, environmental research, or educational components, or other public uses that complement the sensitive site. Include a significant open space component in any potential use, including publicly accessible waterfront open space and multipurpose trails, while adhering to all environmental regulations and minimizing social and environmental impacts. SFA 1.2 - LYNNHAVEN BOAT AND BEACH FACILITY • Continue as a public waterway access for motorized and non-motorized watercraft; • Add appropriately scaled public park and recreational facilities; • Provide linkage to Shore Drive trail system and Chesapeake Bay beaches. SFA 1.3 - WATERMAN'S WALK • Coordinate with property owners to create a thematic waterfront concourse overlooking the Lynnhaven Inlet; • Create a special place for people to shop, work, live, and enjoy the exceptional waterfront amenities; • Consider establishing apublic-private partnership to achieve this vision; • Integrate a variety of appropriately scaled mixed uses including marinas, restaurants, residential units, specialty retail shops and offices. Page 3-15: Add the following sentence to the 1St paragraph of the Site-Specific Policies: This corridor is part of the city's Access Controlled Road network, as identified on pale 6-8. 3 Page 3-17 revise sections of to read: • SGA 4.5 Virginia Aquarium a~ & Marine Science Center Originally opened in 1986, the 89 acre Virginia Aquarium and Marine Science Center completed a $25 million g~a~er-ies exhibit renovation in 2009. The Virginia Aquarium is an economic driver as well as a cultural and educational, research focused attraction for the City. It is a top aquarium in the country and the highest attended facility of its kind in the state. Trrrrvrw~~ '""'+ '" """""" ""`~ '"'" -~' . It includes: • 800,000 gallons of aquariums • 12,000 live animals representing 700 species • 360 interactive exhibits and two touch pools • Hundreds of hand on exhibits • A six story IMAX® theater • An outdoor aviary, a nature trail and marshwalk Page 3-17: revise recommendation for the Virginia Aquarium to read: • Consider Ee-'rob ~''' ^'c"' c„i,^^'~, a' Marine Science Research Center' in affiliation with local universities and state agencies to offer research opportunities ~.... • Create a'Marine Animal Care Center' } '' ' + ~' ''~''^" ^ ' "^"'}'^" ^~ `''" in the vicinity of the Virginia Aquarium to support animal quarantine, outreach educational programs, Marine Animal Stranding Response program and environmental research. Page 3-26: Rename Suburban Focus Areas 9 (East Oceana), 10 (West Oceana) and 11 (South Oceana) to Special Economic Growth Areas 1, 2 and 3, respectively, and add the following language to the recommendations for each area, as cited on pages 3-28, 3-30 and 3-32: This is viewed as a special area with significant economic value and growth potential The City supports development and redevelopment of this area consistent with AICUZ~rovisions and the City's economic growth strate~y. Page 3-32: Revise the 3rd bullet and add a new bullet that read: • Accesses to ~e^~ London Bridge and Holland Roads should be kept to a minimum. • Direct private access to Dam Neck Road will not be permitted except when the property in question has no other reasonable access to the circulation system as it is part of the city's Access Controlled road network, identified on page 6-8. 4 Page 4-4: Revise sixth bullet in first column to read: • A master plan for ##is the Princess Anne Commons area should be prepared with effective community involvement to~rovide planning_policy guidance in the areas of land use, tran~ortation, environmental stewardship, infrastructure, public service deliver, economic vitalitX, AICUZ compatibility, housing and community design. Page 4-5: Revise fifth bullet in the second column to read; • Any redevelopment of the city owned property on the north corner of Princess Anne Road and Dam Neck Road should advance the City's goal of achieving the academic and medical villages. '-'' ~' "'~ ' ` ~ ~'~ ~ ~~~~__;'-~a~°°'}~ Should the cif decide to redevelop the existing Farmers Market site, careful consideration must be~art of the decision making_process to determine the type, size and location( of similar 'farm-to-market' and affiliated activities, thereby ensuring optimal economic benefit for farmers and others participants. Page 4-5: Add a new bullet that reads: Direct private access to Princess Anne Road will not be permitted except when the propertyquestion has no other reasonable access to the circulation system as it is part of the citX s Access Controlled road network, identified on page 6-8. Page 4-7: Revise third bullet, first column to read: • The core area of ~ Central Princess Anne Commons offers opportunities to... Page 4-8: Revise last bullet to read: • The use, intensity and design of infill development along North Landing Road should reflect the existin character of the ~~~} ~^~~r^ }~~~ ~r^~ Princess Anne Historic and Cultural District. Page 4-9: Add a new bullet that reads: • Direct private access to Princess Anne Road will not be permitted except when the property in question has no other reasonable access to the circulation system as it is part of the city s Access Controlled road network, identified on pale 6-8. Page 4-12: Add a new bullet that reads: Direct private access to Nimmo Parkway or Princess Anne Road will not be permitted except when the pro~ertX in question has no other reasonable access to the circulation system as it is~art of the city's Access Controlled road network, identified on page 6-8. 5 Page 5-2: Add new language in last paragraph following the first sentence to read: • The presence and growth of equestrian related uses complement to the rural way of life and contribute to the diversi~ and economic health of the city. Page 5-6, third bullet in right column under'Interim Planning Guidelines for Pungo': Public water and sewer is recommended to serve the area north of T' ~"^^^^ ^ "„^ Indian River Road with an alternative centralized sewer system, ~~^~ ~° n,"'~~'"~, serving the area south of this road. Page 5-6, under the heading General Land Use Recommendations for Pungo: Development proposals that affect properties in the Pungo Area prior to adoption of the implementation plan should ~~ consider the following general land use recommendations, as presented in the Urban Land Institute's Pungo study, for each quadrant located around the Princess Anne and Indian River Road intersection. = A fiscal feasibility assessment must be conducted prior to programming any public facilities within this study area. Page 5-6: Revise the 7~ bullet to read: Improve traffic signalization and optimize dedicated turn lights and associated left turn lanes... Page 6-1: Add a bullet that reads: Decreased roadway construction funding Page 6-3 under the heading, 'How the Primary Roadway Network Plan Map Works': Revise first sentence in second column to read: 'More detailed information, including centerline locations, right-of-way widths, and the specific cross sections will be developed and maintained by the Public Works Department as planned projects advance through the public input and design process.' Page 6-4: • In the Minor Collectors writeup, replace "~''' ~"~° ^"^'' "'a"" with "Shared use path and sidewalk*". • In the Rural Collector writeup, revise the 2nd bullet as follows: "r'"' °`"^^}'~~'~^ ~ Paved Shoulder'. • The Typical Section graphic for Parkways should show a shared use path on one side and should show a swale drainage with no curbs. • The note and title under the Major Collector graphic should read as follows: Typical Section: Major and Minor Collector 6 Page 6-5: For both the 41ane and 21ane descriptions, delete the 1St bullet to read: e 4 lanes' ~~~~ • ~-te 2 lanes "~~~ Page 6-6: • 2nd paragraph, Change the 2nd sentence to read: Private direct access is not permitted on these corridors except when the pro~ertX in question has no other reasonable access to the circulation system. • 5th bullet: Lynnhaven Parkway from I-264 to South Lynnhaven Road • 6th bullet: Dam Neck Road from ~ Rosemont Road to General Booth Boulevard • Add another bullet that reads: South Independence Boulevard from Holland Road to L~nnhaven Parkway Page 6-6,'Policies and Action Items: Primary Roadway Network' to add: ^ Develop an effective hurricane evacuation plan for Virginia Beach coordinated with other impacted Hampton Roads cities. Page 6-7: Primary Roadway Network Plan Map • Change Map label to read "Primary Roadway Network Plan Map" • Add a note in the legend for Parkways that reads: "Ultimate ROW identified on map" • Add a note in the legend that states the dashed line means future roadway • Add Aragona Boulevard and Edinburgh Road to the map as minor collectors • Change Bonney Road, Old Donation Parkway, Corporate Landing, and Buckner Boulevard from Rosemont to London Bridge to major collectors • Change Witchduck from I-264 to Virginia Beach Boulevard to a major arterial • Add the existing Indian River Road as a minor collector • Change the pink portion of Sandbridge Road to a minor arterial. Add a note that refers to the public works manual for this road's cross section. • Make the Southeastern Parkway a dotted line • Remove the road colors from the Oceanfront Transportation Planning Areas since the "typical" sections do not apply. These roads will be dark grey lines. • Change the colors of one of the parkways in the Princess Anne Commons area to clearly differentiate between 2 and 4 lane sections. • Add labels to the West Neck Parkway and Pleasure House Road. • Delete all legend references to maximum footage of right of way widths • Change the classification of Great Neck Road between First Colonial Road and Virginia Beach Boulevard from a Major Arterial to a Mid Arterial. 7 Note: Some additional changes to roadway classifications may be made prior to City Council adoption based on the creation of the 'Designated Major Street Network Rights of Way' document as noted on page 12 of this exhibit.) Page 6-9: 3rd bullet: I-264 & Lynnhaven Parkway and Great Neck/ London Bridge ramps (Under Design and funded for construction . Page 6-10: Last bullet: Continue the requirement of transportation modeling... Page 6-11: Revise first bullet: • Require traffic impact studies for any development proposal that yield a net increase of 4A9150 trips or more during the a.m. or p.m. peak hour. Revise second bullet: • Evaluate funding option for the infrastructure needs created by new developments, ' ' ~'' }'' ""''" " ~' "'~"` ~""" "~'r Add new bullet to read: • Outline criteria to be used to develop and prioritize an approach for up~radin~ the existingtransportation sXstem in conjunction with a~in~ infrastructure maintenance needs, where needed, and to support redevelopment activity requirements, including those identified in Strategic Growth Area Plans. Add new bullet in list: • Street classifications, general ali nments and street network as identified in previous and subsequent Strategic Growth Area Implementation Plans are adopted b~reference as part of this Master Transportation Plan and subsequent amendments. Page 6-12: Revise second paragraph, second sentence to read: By a„",r„, }~" -~"ma~.u increasing roadwaycapacity through relatively inexpensive technological improvements... Page 6-18: The cross section label should read "Sidewalk or shared use path". Page 6-17: Replace picture of bicyclist using rural road Page 6-20: 1St bullet in 2nd column: Continue to support improvements to I-264, including interchange improvements at Newtown Road, Witchduck Road, Independence Boulevard, Rosemont Road, Lynnhaven Parkway, Great Neck London Brid e Roads 8 Page 7-4: First column, first bullet revise to read: T ~ ^~ ^r ^~^^^a Address applicable federal or state regulatory requirements, meet or revisit applicable Cit~reg_ulato~ requirements in light of meeting City polite objectives, and provide for periodic review of City operations and facilities. Second column, second bullet revise to read: r~ ^~ ~r~ ~^r ^~^^^a Address requirements of the Chesapeake Bay 2000 (C2K) Agreement (as referenced in the document library at www.ourfuturevb.com), and those which are currentlX being developed at the federal and state level in light of pending re ug latory and legislative actions. Second column, fourth bullet revise to read: • Working with all stakeholders, identify issues to be addressed and develop a strategy for the formulation of a Watershed Management Plan and a Water Use Conflict Memorandum of Agreement for the l~aFl~ay, Elizabeth River, Lynnhaven River, and Rudee Inlet/Owls Creek watersheds. Page 7-5: First column, first bullet revise to read: • Demonstrate that the provisions of the federal Clean Water Act are n~ addressed as they apply to achieving total maximum daily load (TMDL) requirements. First column, third primary bullet, sixth subbullet revise to read: • Implement the Southern Watersheds Area Management Plari s Multiple Benefits Conservation Plan and the North Landing River Water Use Conflict Memorandum of Agreement (As referenced in the document library at www.ourfuturevb.com). Second Column, second bullet revised to read: • Enhance stormwater management by exploring alternatives to conventional stormwater management facilities (SWMFs), such as Low Impact Development (LID) approaches that are applicable to the coastal plain. Second Column, add a new bullet to read: • Outline criteria to be used to develop and prioritize an approach for up~radin~ the existing stormwater stem where practicable for water quality improvements, in conjunction with aging infrastructure maintenance needs and redevelopment activity requirements in Strategic Growth Areas (SGAs). 9 Page 7-18 Where physicallX and economicallX feasible, take reasonable steps to provided access to underground mineral resources such as sand, gravel and a~~re~ate, when reviewing development and redevelopment applications. Page 8-1 Replace language under the hea read: Virginia Beach will be a City where all residents have the op housing and enjoy a high qualit~ ding'Vision for Housing and Neighborhoods' to v ~~. 0 with vibrant, well-maintained neighborhoods portunity to obtain desirable, safe and affordable o,~ f life. Pages 8-1 through 8-10 Revise the format of 'Chapter 8 -Housing and Neighborhood Plari to reflect the general style used in other chapters. Retain all recommended policies. Technical Report Revisions Revise all Technical Report references to Owl Creek, Virginia Aquarium and Contemporary Art Center of Virginia to reflect correct wording of Owl's Creek and Virginia Aquarium & Marine Science Center, respectively. Page 70 -Remove 3rd bullet " ~~ Page 70 -Remove the last sentence of the 1St paragraph under Increased Peak and Off- Peak Trips section ~,.•„r ~„ „~~ --„g„_ ----- - Page 71 - 3rd paragraph Although interstates and other freeways constituted only 5 % of the total roadway lane mileage in Hampton Roads in 2007, they carry 35 % of the area's daily traffic. In 2001, a study was initiated to investigate possible improvements to I-264 and its interchanges with I-64, Newtown Rd., Witchduck Rd., Independence Boulevard, Rosemont Rd., and Lynnhaven Pkwy./Great Neck Rd. Recent reductions in transportation funding will delay efforts to make some improvements to the I-64/I-264 interchange ~~ r ~~n /T r~~ "url~ti-Qy~et 10 Page 134 -delete first paragraph o o ~ 0 o Under table entitled 'Estimated Value of Fruits, Vegetables, Crops and Livestock' , add an asterisk next to item 'All Livestock' with a footnote to read: This includes $14,010,000 of Horse-related expenses that are combined with $2,936,455 of income from other livestock sold. Pages 146 and 203 Delete the term "Short Term" from the Planned Improvements section. Pages 146,163,183, 203, 221, 242, 260, 276, and 294 • Change the Capital Improvement Program reference to CIP FY 2009-2010 (w/ FY 2010 update). • Change title on tables, last column, and Source to the year 2030. Change 2000 Daily trips to 2003 Daily Trips. Update all tables with current data as stated in the Hampton Roads 2030 Long-Range Transportation Plan (December 2007). Page 146, Add Northampton Blvd from Independence to Shore Drive. 2003 volume 29000. 2030 volume 37000. Page 146, 2nd bullet: Shore Drive Interim Improvements Project (CIP 2-731), Shore Drive Phase II (CIP 2-116), Shore Drive Phase III (CIP 2-117), and Shore Drive Phase IV (CIP 2-118). These projects will provide safety improvements, including pedestrian multi use paths along Shore Drive as well as improvements to several intersections and other safety improvements recommended ~ the Shore Drive Safety Task Force. Page 163, Under Planned Improvements at the end of the first paragraph, add the following sentence. "This project includes the construction of a new flyover at Greenwich Road." Page 163, add a note at the end of the 2nd bullet (Diamond Springs) that states "Project to be completed in Spring 2010." 11 Page 183 • 1St bullet: Princess Anne Road, Phase IV «^Mr^" T"'°°° siL(CIP#2-305) 2nd bullet: This project will provide a 41ane divided road with bi1Fe~-y a shared- use ath from Holland Road to General Booth Boulevard • 6th bullet: West Neck Road Interim Safety Improvements ~1'~an~iert-lea fifCtt'tl'di~F} (CIP#2-502) -'T'''' + •~~ ,;a° ., n_T..r^ a;.,;a°a „ „a ~,,,,,,., . v v .; This project will construct three safety improvement projects including intersection improvements at Indian River Road and West Neck Road, the elimination of some roadside ditches and drainage improvements between North Landing Road and Signature Drive, and minor curve realignments between Si nature Drive and Indian River Road. Page 221 1St and 3rd bullets, add a note stating "Project to be completed in Spring 2010" Page 243, remove 3rd bullet as it is completed: ~~~ ..., Page 276, 2nd bullet: Laskin Road Gateway, Phase IA. z~s~~e '" ~~ ^~~~a° „ .._ ,... ~- +~ ~n-~ ~ ~~'-°_~~~•~; This project will initially provide streetscape and other improvements in support of Economic Vitality along Laskin Road in the area between the split at 30th Street and Pacific Avenue Subsequent phases will provide related improvements along 32nd Street with a tie of 32nd Street to 31St Street. Page 294, 1St bullet: Rural Road Improvements (CIP# 2-021) -This project will improve safety, geometries, or other upgrades to rural roads, including: Hungarian Road, Mill Landing Road, Princess Anne Road/Gum Bride Road intersection and Princess Anne Road/Pleasant Ridge Road intersection, and Nanneys Creek Road. 12 Reference Handbook Revisions Page A-6: Under 'General Community Appearance Guidelines under 'Fences along Roadways': City ordinances ~e allow fences but many have deteriorated leaving a less than desirable view from the road. Page C-6: Under'Workforce Housing': • Revise website reference to read: www.vbgov.com housin • Replace the text of the first sentence under item #1 to read: Proposals for Workforce Housing (WFH~Developments should comply with the Comprehensive Plan, aRplicable Design Guidelines, and related ordinances that are applicable thereto. • Replace the picture of workforce housing Page 2-2 Revise composite SGA map to reflect boundary adjustments to SGA 1 and 2. Page 2-7 Adjust the 'Burton Station SGA 1' map to align with the map presented in the Burton Station Plan Page 2-9 Adjust the 'Westview SGA 2' map to remove city owned property used for municipal landfill purposes. Page D-24 (revise to read page D-1) Add to'Adopted bX Reference' list: • Pembroke Strategic Growth Area 4 Implementation Plan • Designated Major Street Network Rights of Way (Note: The 'Designated Major Street Network Rights of Way' document will include specific information concerning roadways including right of zvay widths, links to corresponding Public Works street cross-sections, roadway classifications and constraint designations. The 'Roadway Network Map' will be revised at the same time to reflect the content of this new document.) V4 13 Exhibit 1B Comprehensive Plan Update Further Suggested Revisions for City Council Consideration November 30, 2009 Unless otherwise noted, underlined words are added text and ~+.,.,~ words are deleted text. Policy Document Revisions Page 1-3 and 1-4 -beginning with the third paragraph in second column, revise following text to read: The principle of change and necessary amendment is demonstrated well by the 2003 Comprehensive Plan. That Plan encountered one of the most significant forces of change ever thrust upon the city of Virginia Beach - tote a decision of the federal Base Realignment and Closure BRAC Commission ~. On August 24, 2005, the ~c~ Commission voted to maintain the r T~;~^a c~..+^° Navy's East Coast Master Jet Base at Naval Air Station (NAS) Oceana only, if among other things, , the cities of Virginia Beach and Chesapeake and the eCommonwealth of Virginia pissed enacted certain legislation to stop and roll back encroachment ~ra r^•~^M°^ by incompatible development within the base's highest Accident Potential Zone (APZ-1) by the end of March 2006. r'^~^,,,.,.^^} T•~~}'' Prior to the BRAC Commission's decision, the Department of Defense had r~~a revisedie~rte its #-ke~ list of land uses that are compatible to with the- ~~1~'-atror~~--C~a~,i~.r ~ ~„~ •", (o ir'r T?) ~~ ~ µr-? military aerations arisin og ut of NAS Oceana ~~. This change required modifications to the land use recommendations of the Comprehensive Plan as well as to the uses permitted by the Zoning Ordinance within the Air Installations Compatible Use Zones (AICUZ), as uses that were previously deemed compatible' in such areas, such as residential uses, were no~et longer considered compatible. In response to the BRAC Commission's decision, City Council adopted a ~e~ compliance plan on December 20, 2005. The ~} ^^ri,ri;°„~^ plan included eighteen (18) ordinances ~-„^r~'m^^~~', two property acquisition plans (for property in Accident Potential Zone 1 and the Interfacility Traffic Area), and extensive amendments to the Comprehensive Plan. In addition, in February 2007, the city and the Navy 1 entered into a Memorandum of Understanding~MOU~pursuant to which city and Naves representatives jointly review discretionary development applications for uses affected by AICUZ regulations at an ear1X stage of the application process. As a result, the CitX Council is provided with a valuable tool to determine whether a particular application meets the requirements of those regulations. ' ' The ~er Femme ~~~^ a„ri,^„^*"~+^`' foregoing measures are a clear reflection of the city's commitment to safeguard the future of #~t NAS Oceana as the Navy's East Coast Master Tet Base ' '} ~ ~~ ^~ ~~,,.,~,,,,'. R.,f.nl~ tl L. On October 1, 2009, the Navy's Little Creek Naval Amphibious Base and the Army's Fort Story merged to become a single enter, with a unified command and a new name: Joint Expeditionary Base Little Creek-Fort Story. The newly merged base will be the biggest employer in Virginia Beach, with 17,211 personnel and an estimated payroll of $850 million a year It will be the primary East Coast base supporting overseas contingency operations By 2012, the Toint Expeditionary Base is expected to have more than 18,000 personnel. The relationship between the city and the military continues to be one of considerable mutual benefit The presence of the military in Virginia Beach T''^ '~~^^ ~.r;ro., ~M^^} e~= ~'e~-gin ' stabilizes our local economy, increases the diversity and background of the population, is a source of pride to the citizens of the city, and enhances the city's efforts e~he-cry to become a "Community for a Lifetime." Virginia Beach provides excellent schools, good job opportunities for military spouses, ample and varied recreational, cultural and social activities, and an overall high quality of life for military personnel and their families. Virginia Beach sues endeavors, and will always endeavor, to be a welcome home for our military, including the personnel and families that serve in our nation's armed forces. Page 1-4 -bottom of the first column in Chapter 1, Introduction, and Page 3-1-end of the introductory section of Chapter 3, Suburban Area, Add the following text to read: In addition, three predominantly non-residential areas, located adjacent to NAS Oceana, have been defined as 'Special Economic Growth Areas' These areas are identified as East Oceana (SEGA 1, West Oceana SEGA 2 and South Oceana SEGA 3 and are described in more detail on pages 3-27 through 3-30. These three areas are positioned to accommodate AICUZ-compatible uses that not only complement, but can advance the strategic economic development goals of Virginia Beach. Pages 1-9, 3-6, 3-27, 3-29 and 3-31 -Adjust existing maps as appropriate to convert the names of Suburban Focus Areas 9,10 and 11 to Special Economic Growth Areas 1, 2 and 3, respectively. 2 Page 3-17 -Replace the text under the heading "Recommendation for South Rudee" to read: This property is comprised of existing residential zoning and the densities allowed by such zoning are acknowledged by the city to be permitted by-right. The recommended land uses for this site should conform to the provisions of the city's AICUZ Ordinance and the Oceana Land Use Conformity Program. It is noted that a redistribution of planned dwelling units on the site to achieve the goals of land use compatibility, environmental protection and other public benefits may be appropriate, provided such action does not result in an increase of density beyond what is currently permitted by- right, and has been reviewed under the joint City-Navy staff Memorandum of Understanding process and found to be consistent with the provisions of the AICUZ Ordinance and Memorandum of Understanding. Amend the map on page 3-14 to expand Site SFA 4.4 to include all the privately owned undeveloped land between South Rudee Heights and the City's boat launch facility. Technical Report Revisions Page 113 -Add the following text immediately after the third paragraph to read: In 2009, City Council created the Virginia Beach Historic Preservation Commission (VBHPC~ to advise the City Council and the Departments of Planning and Museums on all issues related to the preservation of historic buildings, structures and sites located in the City of Virginia Beach Its mission is to preserve, protect and maintain the historic identity of the City and the former Princess Anne County. In this capacity, it is the policy of the City to coordinate with the VBHPC for their review and comment on pending land use proposals which may impact the integrity of historic properties. Pages 113 and 114 -Revise the text under the heading of Preservation Partnership to read: The Virginia Beach Historical Preservation Partnership (VBHPP) was established in 1999 through a Memorandum of Understanding involving ~ ~ „r^~~~ "" " '~}~r~ ^~' r rr^~e„}~'-~<,e~ fr:,n: The Princess Anne County/Virginia Beach Historical Society; The Hampton Roads REALTORS ®Association; and The City of Virginia Beach. Eam-~the~„ „^„ •~ •„ ~ .,i;~; , //~~ /~ 1 ua... ~ /~ 1_ . ~ •l'. ~ M/1 I'•A Y^M Yl MYl l\f I-Yl l~,M YII~AC^ - A11 G FI~.Anll i. 11 Y1C n1{~I~~( Y Y r vY ' .The mission of the VBHPP is the preservation of historically significant properties within the City of Virginia Beach. The 3 Partnership seelFS has sought to acquire historical properties that need protection and then place legal, protective restrictions on them }'~~} T~~~" '~"^^""' as a condition of their future sale. The criteria for identifying historical properties are based on age and association with historical events or architectural styles. The VBHPP i~ has served as an important alternative or addition to historical preservation districts and governmental preservation ordinances. Instead of requirements mandated through legislation, it has worked to provide a mechanism for voluntary historical preservation to current or potential historical property owners. I#~s V~~ / As one of the tools to educated citizens and set priorities for preserving the most historical structures in the city, the VBHPP compiled a list of the "50 Most Historically Significant Houses and Structures in Virginia Beach." This was printed in a ma ag zine format in 2008 and the publication has helped to raise the awareness of Virginia Beach's historical built environment. Page 132 - Delete the last paragraph and replace with the following text to read: On October 1, 2009, the Navy's Little Creek naval Amphibious Base and the Army's Fort Story merged to become a single entitX, with a unified command and a new name: joint Expeditionary Base Little Creek-Fort Story. The newly merged base will be the biggest employer in Virginia Beach, with 17,211 personnel and an estimated payroll of X850 million a year It will be the~rimary East Coast base supporting overseas contingency operations By 2012, the Toint Expeditionary Base is expected to have more than 18,000 personnel. V5 4 -73- Item V-M.1. APPOINTMENTS BY CONSENSUS, City APPOINTMENTS: ITEM # 59496 Council RESCHEDULED, BY CONSENSUS, the following BIKEWAYS and TRAILS ADVISORYCOMMITTEE COMMUNITY SER VICES BOARD RESORT ADVISORY COMMISSION December 8, 2009 -74- Item V-M.2. APPOINTMENTS ITEM # 59497 Upon NOMINATION by Vice Mayor Jones, City Council APPOINTED: Patricia Keeley 3 Year Term ending 6/30/12 BEACHES AND WATERWAYS COMMISSION Voting: I1-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay.• None Council Members Absent: None December 8, 2009 -~s- Item V-M.3. APPOINTMENTS ITEM # 59498 Upon NOMINATION by Vice Mayor Jones, City Council APPOINTED: Lee Lockamy Unexpired Term thru 12/31/11 HISTORIC PRESERVATION COMMISSION Voting: 11-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 -76- Item T~ M.4. APPOINTMENTS ITEM # 59499 Upon NOMINATION by Vice Mayor Jones, City Council APPOINTED: HUMAN RIGHTS COMMISSION William C. Rice Unexpired Term thru 3/31/10 Voting: 11-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 -~~- Item V-M. S. APPOINTMENTS ITEM # 59500 Upon NOMINATION by Vice Mayor Jones, City Council APPOINTED: Christopher D. Felton 4 Year Term 1/1/10-12/31/13 PLANNING COMMISSION Voting: 11-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 -~s- Item V-M.6. APPOINTMENTS ITEM # 59501 Upon NOMINATION by Vice Mayor Jones, City Council APPOINTED: Cheryl Savage Unexpired thru 8/31/11 PUBLIC LIBRARY BOARD Voting: 11-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent: None December 8, 2009 -79- Item V-M. 7. APPOINTMENTS ITEM # 59502 Upon NOMINATION by Vice Mayor Jones, City Council APPOINTED: John C. Barnes Locally Appointed Board Member City of Virginia Beach No Term SOUTHEASTERN PUBLIC SERVICE A UTHORITY Voting: 11-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay.• None Council Members Absent: None December 8, 2009 -80- Item V-M.8. APPOINTMENTS ITEM # 59503 Upon NOMINATION by Vice Mayor Jones, Ciry Council APPOINTED: Ken Jobe Unexpired term thru 09/30/13 WETLANDS BOARD Voting: 11-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill " DeSteph, Harry E. Diezel, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Mayor William D. Sessoms, Jr., John E. Uhrin, Ron A. Villanueva, Rosemary Wilson and James L. Wood Council Members Voting Nay: None Council Members Absent.• None December 8, 2009 -81- Item V.P. ADJOURNMENT ITEM # 59504 Mayor William D. Sessoms, Jr. DECLARED the City Council Meeting ADJOURNED at 6:36 P.M. ~. yao,~~ Beverly O. Hooks, CMC Chief Deputy City Clerk uth Hodges Fraser, MMC City Clerk City of Virginia Beach Virginia William D. Sessoms, Jr. Mayor December 8, 2009 -81- Item V P. ADJOURNMENT ITEM # 59504 Mayor William D. Sessoms, Jr. DECLARED the City Council Meeting ADJOURNED at 6:36 P.M. ~ / 'Y d ~ ~~ _---- ----~~._1'_- f~ Beverly~ooks, CMC Chief Deputy City Clerk ~ ~~~~~ uth Hodges Fraser, MMC City Clerk City of Virginia Beach Virginia c William D. Sessoms, Jr. Mayor December 8, 2009