HomeMy WebLinkAboutSEPTEMBER 7, 2010 MINUTESCITY OF VIRGINIA BEACH
"COMMUNITY FOR A LIFETIME"
CITY COUNCIL
,'v1AYO12 W/I,LIAM D. SL'SSOMS, ./12., AI-Large
1'lC~ MAI'OR lOUIS R. JONBS, Bay.+ide - Di.rtricl a
KI'/'A SWEI'f BELI,l770, At-Large
G/_ENN R. DAVIS, Rose Hal! - Dx.rlric~ 3
Wll,l,/AM R. DcS'l'GPH, At-Gar~;c
HA2RY B. DIEZF7., Kemp.eville - Di.rlricl 2
XOBl:R7'M. DYF.2„ Cen(vrville - Di.rlrict /
BARBARA M. HGNLEY, Prlnce.cs Annc - Di.c~rtct 7
JOHN G. UNk/N, Beach ~ Oz.rtric[ 6
RO tiGMA2Y WILS~)N, At-/,arge
JAMI; ti L. WOOD, l.ynnhare~a -Df.ctric[ 5
CITY COUNCIL'APPOINTEES
C/'J'YMANAGGR - JAAIF.S K. tiPORE
('l'fYAlTOILVEY- MARKD. STIL,E;ti
CI'I'YAStiF.SSOR ~~ JERAI,D BANAGAN
CITY AiID!'I'OR - /.,YN~ON S. RF.MIAS
CI7T CLERK - R(!7'H HODGL•S FRASF,R, MMC
CITY COUNCIL WORKSHOP AGENDA
7 September 2010
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C/TY HAGL BU/LD/NG
240! COURTHOUSE DR/V6
VIRGlNIA BEACH. VIRG/N!A 23456-8005
PHONE: (757) 385-430=
FAX (757) 385-5669
E-MAlL: crycnd@vbgov.com
I. CITY COUNCIL'S BRIEFINGS - Conference Room -
A. VIRGINIA BEACH ROUNDTABLE 2010 BUSINESS PRIORITIES
John Wilson, Chair
B. HEALTH CARE AUDIT RESULTS
Lyndon Remias, City Auditor
John M. Graham, President - Healthcare Horizons
II. CITY MANAGER'S BRIEFINGS
4:00 PM
A. ALTERNATIVE ENERGY TASK FORCE
Clay Bernick, Environment and Sustainability Office Manager - Planning Department
B. NORFOLK SOUTHERN RAILROAD RIGHT-OF-WAY ACQUISITION
Becky Kubin, Deputy City Attorney
C. 2011 COMMUNITY LEGISLATIVE AGENDA
Robert Matthias, Assistant to the City Manager
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MINUTES
VIRGINIA BEACH CITY COUNCIL
Virginia Beach, Virginia
September 7, 2010
Mayor William D. Sessoms, Jr., called to order the CITY COIINCIL WORKSHOP for the CITY
COUNCIL'S Briefing re VIRGINIA BEACH ROUNDTABLE 2010 BUSINESS PRIORITIES in the
City Council Conference Room, Tuesday, September 7, 2010, at 4: 00 P.M.
Council Members Present:
Rita Sweet Bellitto, 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:
None
September 7, 2010
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MAYOR'S REMARKS OFAPPRECIATIONRE HURRICANE EARL
4: 00 P.M.
Relative Hurricane Earl, Mayor Sessoms complimented the City employees on their unselfish and
dedicated hard work to protect Virginia Beach. Every challenge we encounter is an opportunity to
put our planning and execution skills to the test. The Mayor is truly appreciative of all the efforts
thczt have taken place over the last seventy-two (72) hours. Although the City was blessed by
nature with a milder storm than expected, our citizens can rest assured knowing all possible
measures were in place for their protection.
Muyor Sessoms expressed appreciation to the top-notch Ciry Employees, who spent several days
preparing for the storm. These men and women literally worked in the "trenches " to make sure our
water supply, sewer system, roads and Oceanfront were ready for the hurricane. Our Police O~cers,
Firefighters and Emergency Medical Staff stood ready to respond to any contingency. Many men and
women worked through the night at the City's 911 and 311 centers to field citizen calls. Constant updates
to citizens through the website and VBTV were provided. The City truly appreciates the Media that helped
us get important information to those who needed it most. Thanks to the dedication of the city's
workforce, the safery of Virginia Beach, it's beaut~l assets and the preservation of its critical economic
driver were ensured.
Mayor Sessoms also thanked the City's partners in the Schools and Department of Public Health as well
as the state and federal governments. Many State Troopers and National Guard were on standby to
assist Virginia Beach. Virginia Department of Transportation (VDOT) workers ensured that evacuation
routes were ready, should the storm turn westward. Terri Suit, Assistant to the Governor for
Commonwealth Preparedness, personally helped coordinate the response. These preventive actions
ensured that Virginia Beach will continue to be the beautiful city where we choose to live, work and play
-"a Community for a Lifetime ". The City could not have undertaken this task alone.
Finally, Mayor Sessoms wished to thank our private partners at Dominion Virginia Power for keeping
the lights on. Hundreds of workers were on hand, waiting to restore electricity to our homes and
businesses, should the worst occur.
"Our hard-working public servants always shine brightest when there is an emergency. But they are also
there every day, routinely doing their jobs in good and bad conditions, making sure we are safe and
comfortable. They do not get nearly as much recognition as they deserve. "
September 7, 2010
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CITY COUNCIL `S BRIEFING
VIRGINIA BEACHROUNDTABLE Z010 BIISINESS PRIORITIES
4: 00 P.M.
John Wilson, Chair - Virginia Beach Roundtable, presented their 2010 Business Priorities.
Historv
~ The Virginia Beach Roundtable is an informal affiliation of business and leadership groups that
held its first meeting in 1999
~ The group's first initiative was the development of a campaign that stressed the importance of
economic development and the visitor attraction in the Fall of 1999
~ Key Virginia Beach Roundtable initiatives have included ; City Council candidate interviews,
Get-Out-To-Vote campaigns, voter attitude research, support for Oceana Naval Air Station
during the BRAC process and the development of consensus business priorities for the
consideration of City Council
Organizations Participating in the Virginia Beach Roundtable
~ Central Business District Association
~ HRACRE (Hampton Roads Architects and Engineers)
0 Hampton Roads Chamber of Commerce
O Hampton Roads Realtors Association
~ Virginia Beach Hotel/Motel Association
~ Retail Alliance
~ Tidewater Builders Association
~ Virginia Beach Vision
The 2010 Virginia Beach Roundtable Process
January - March Meetings with Elected Officials
May 26`" First 2010 Virginia Beach Roundtable meeting to discuss business
priorities "Green light" session creates a list.
June 11`h and June 25`h Follow-on meeting to develop priorities and build consensus
August 20`h Participating Organizations Approve 2010 Draft Priorities
September 7`h Presentation to Virginia Beach City Council
September 7, 2010
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CITY COUNCIL `S BRIEFING
VIRGINIA BEACHROUNDTABLE 2010 BUSINESS PRIORITIES
TRANSPORTATION
~ Continue to work with the (HRTPO) Hampton Roads Transportation Planning Organization in
prioritizing both road projects and alternative modes of transportation
0 Encourage (HRTPO) Hampton Roads Transportation Planning Organization to engage
elected, business and community leaders to determine a revenue source to support regional
transportation priorities inclusive of dedicated revenue source for roads and passenger rail
~ Integrate light rail into the transportation network with connects to multi-model links to North
and South and link to the Southeast High Speed Rail Corridor
~ Pursue federal funding for both light rail and the high speed rail connection through our
Congressional Delegation
INTER-GOVERNMENTAL RELATIONS
~ Work with area localities, Virginia Municipal League/ Virginia Association of Counties
(i~ML/VACD), the General Assembly Legislators and the business community to seek legislation
to provide local governments the option to 1) provide Defined Contribution Plans in lieu of
Defined Benefit Retirement Plans; 2) give flexibility to mod~ retirement service and aged
qualifications; 3) require employee participation in benefrt packages
~ Create a City Commission to address the strategic realignment of state and local government
obligations and responsibilities; and, ident~ legislative, frscal and governmental actions
necessary to address change
MILITARY RELATIONS
~ Offer aggressive and creative leadership to negotiate issues impacting the Military and
Homeland Security to ensure retention of military commands in Hampton Roads and the
economic growth and vitaliry of the Ciry
INVESTMENT AND ECONOMIC DEVELOPMENT
~ Continue to invest in infrastructure
0 Adopt measures to decrease regulatory burden
~ Explore partnership with universities and the private sector to create jobs and provide a quality
of life that will attract new business and retain existing business
~ Promote and pursue public private ventures when studies show they will enhance economic
prosperity for the City, broaden its tax base and serve the interests of the citizens at large.
~ Establish, in cooperation with the Virginia Beach Development Authority, an Economic
Development Task Force to develop a Strategic Planning document in response to evolving
economic and political changes
September 7, 2010
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CITY COUNCIL `S BRIEFING
VIRGINIA BEACH ROUNDTABLE 2010 BUSINESS PRIORITIES
ENERGYAND ENVIRONMENT
~ Implement the recommendations of the Mayor's Alternative Energy Task Force including :
1) conducting a(SWOT) Strengths, Weaknesses, Opportunities and Threats
analysis of the City's energy use;
2) establishing a baseline and ident~ing ways to reduce consumption by 2025;
3) reduce greenhouse gas emissions; and 4) seek offshore energy development
opportunities and related industries
~ Seek regional partners to educate consumers about energy e~ciency programs
0 Leverage federal grant funding to improve e~ciency of the City's energy use
Concern was expressed relative the need to tie light rail with high speed rail. It is important to talk
about the full vision and not just one segment at a time.
Mr. Wilson requested City Council consider appointing a Liaison to the Roundtable.
Mayor Sessoms requested the selection of a Liaison to the Roundtable be scheduled for Ciry Council 's
nex~t Agenda.
September 7, 2010
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CITY COUNCIL `S BRIEFING
HEALTH CARE AUDIT RESULTS
4:27 P.M.
Lyndon Remias, City Auditor, referenced the results of the Health Care Audit by an independent outside
firm. The Auditor had contracted with Healthcare Horizons, a national frrm. Mr. Remias expressed
appreciation to Susan D. Walston, Deputy City Manager, and Linda Matkins, Director of Benefits, for
their assistance in providing data.. Mr. Remias introduced Stacy Fuqua, Senior Client Executive -
Optima Health and Tamara Turner, Director of Operation Support, Optima Health, and John Graham
- President of Healthcare Horizons.
John Graham, Healthcare Horizons, Consulting Group, Inc. advised the purpose and scope of the Audit
Overview:
• Purpose: Ident~ claim errors resulting in incorrect payments and to assess underlying
conditions contributing to any errors identified
Scope: Review 100% Review 100% of claims processed by Optima with paid dates March 2009
through December 2009 totaling $61-Million ($36-Million for Schools and $25-Million for City).
Summary of Recovery
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In addition, overpayments totaling $23,112 were found to be recovered after the data extract but
prior to the delivery of the claims.
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September 7, 2010
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CITY COUNCIL `S BRIEFING
HEALTH CARE A UDIT RESULTS
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s23 ?77.U4 S7 4fi5.81 $1,381.26 #4,44t.04 ~1'S 158,29
Areas o, f Testing
Du licate Claims Other Insurance
Eli ibili Hi h Units
Contract Audit Medical Edits
Assistant Sur eon Overla in In atient
Multi le Procedure Reductions Subro ation
Bene ats Hos ital Mistakes
Pricin Cosmetic Sur e
Reinsurance
Finclings
• The amount of errors identified in the sample indicates that Optima has effective procedures in
place to prevent duplicate payments
• Identifted trvo members with claims paid incorrectly as Primary
• Identified overpayments for missed multiple procedure reduction opportunities due to fragmented
billing by providers
• Optima has a process in place to ident~ and recover claims affected by retroactive eligibility
terminations
• Identified instances where the $100 outpatient copayment was not applied
• Found that the $20 Primary Care Physician o~ce visit copayment is not taken when the $100
annual deductible is taken on same claim
• Identified a member eligible for Medicare Part B who did not elect to pay for the coverage
• Disagreed with two (2) examples of outpatient therapy where separate episodes of care were
authorized by Optima
September 7, 2010
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CITY COUNCIL `S BRIEFING
HEALTH CARE AUDIT RESULTS
Findings
• Based on site visit claims, Optima's policy for secondary claims is to pay the member liability
from the primary payer's explanation of benefits regardless of the contract allowable by Optima
on the claim
• Contract audit did not yield any agreed overpayments, but three cases of faciliry multiple
procedure errors were identified on last audit and recovered before site visit
• Optimum is now utilizing two external audit vendors through its Special Investigations Unit that
perform overpayment identification similar to Healthcare Horizons
• Healthcare Horizons did not ident~ other areas of concern for systems overpayments
Recommendations
1. Discuss options with Optima for cases when a member is eligible for Medicare
Part B but elects not to take it. Many plans estimate what the Medicare benefit
would have been and reduce their secondary payment using the estimate. This
prevents members from having an incentive to opt out of paying for Medicare
Part B due to the plan covering all such claims in full
2. For secondary claims, explore the possibility of limiting the entire combined
payment (primary and secondary) up to Optima's normal contractual
allowable. This is a common limitation in many plans audited by Healthcare
Horizons
3. Clarify lhe intent oJ the Plan on whether to charge the patient an office visit
copayment when a deductible is also due. Typically, Healthcare Horizons
would expect the copayment to apply first in such a scenario and then the
deductible for any remaining plan payment due
4. Define the criteria used by Optima to determine when a separate illness or
condition exists for the purposes oj granting separate authorizations for
outpatient therapy services
S. Determine a solution to prevent overpayments caused by multiple claim
submissions by providers for surgeries performed during the same operative
session
6. Monitor the recovery of claims due to retroactive terminations on a monthly
basis
September 7, 2010
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CITY COUNCIL `S BRIEFING
HEALTH CARE AUDIT RESULTS
CONCL USION
While the audit has produced meaningful recoveries for the City, the percentage of overpayments
compared to the total paid amount in the data is very low
Optima should be commended for performing at a high level in the administration of Healthcare
claims for the City
Overall results represent exceptional performance by Optima in the administration of
Healthcare claims
Stacy Fuqua, Senior Client Executive - Optima Health, advised over 278, 000 claims were audited. This is
the second year the audit was offered.
Councilman DeSteph was extremely impressed with the lower number of claims, over last year's audit,
found to be invalid. Councilman DeSteph was very pleased with the difference in results from this year's
and last year's audit.
September 7, 2010
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CITY MANAGER `S BRIEFING
ALTERNATIVE ENERGY TASK FORCE
4:38 P.M.
Robert Matthias, Assistant City Manager advised the Final Report of the Mayor's Alternative Energy
Task Force was distributed. The Task Force was created by Mayor Sessoms in April 2009. The Task
Force held a total of nine (9) meetings, beginning in June 2009. The Task Force and Ciry staff extended a
tremendous amount of effort, especially Clay Bernick and Mr. Matthias's Executive Assistant, Angela
Garrow.
Clay Bernick, Environment and Sustainabiliry O~ce Manager - Planning Department, advised the
purpose of the Alternative Energy Task Force was explained in Mayor Sessoms ' April 28, 2009, letter to
City Council.
• to "analyze the current realiry of energy demand in Virginia Beach and explore potential sources
of supply to satisfy that demand "
• to "consider how those possible supply sources might impact our community, both economically
and environmentally "
• to "look forward in time to ident~ areas where supply may not keep pace with demand "
• to "develop potential options to close that gap as well as to reduce our dependence on foreign
sources " thorough ident~ing future sources which "must be environmentally sustainable and
independent of foreign sources "
• to "ideally and proactively position Virginia Beach to be an active leader in the essential
movement toward a more sustainable and intelligent energy future for our Nation,
Commonwealth and Community
Task Force Process
• Briefings - June through October 2009
• Public Hearing - October 26, 2009
• Subcommittee Convened to Draft Report - December 2009
• Draft Report under Development - January 2010 - April 2010
• Task Force Review of Draft Report - April 2010 - August 2010
• City Council Briefing on Final Report - September 7, 2010
• City Council Action - Fa112010
Task Force Goals
• 1-Increase energy independence, with an emphasis on conservation and clean fuel technologies
• 2-Reduce current municipal government energy consumption by fifteen percent (1 S%) by 2025
• 3-Expand residential/business energy education to overcome barriers to implementing energy-
e~ciency and conservation actions
• 4-Reduce greenhouse gas emissions by thirry percent by 2025
• S-Capitalize on economic development opportunities through business expansion and increased
research and development in areas of strength, including alternative energy development
• 6-Increase indigenous energy production in the City by twenty percent (20%) by 2025
September 7, 2010
CITY MANAGER `S BRIEFING
ALTERNATIVE ENERGY TASK FORCE
What is Alternative Energy?
For purposes of THIS report, ener~ that is:
• derived from non fossil fuel origins and that is renewable and/or sustainable (such as wind, solar,
geothermal, biological or hydrologic resources), or
• Replaces gasoline and diesel fuel in vehicles with natural gas, biofuels, electricity or hydrogen fuel
cells
• The US Department of Energy defines renewable energy as: "electric energy generated from
solar, wind, biomass, landfill gas, ocean (including tidal, wave, current and thermal),
geothermal, municipal solid waste, or new hydroelectric generation capacity achieved from
increased
e~ciency or additions of new capacity at an existing hydroelectric project. "
Recommended Overall City Policy
"Three-Legged Stool Approach"to be pursued simultaneously:
• 1- Transitional Development and Prudent Use of Traditional Energy Sources
• 2- Aggressive Support for Energy Conservation and Retrofits to Optimize Efficiency
• 3- Sustainable Development and Use of Renewable Energy Sources
Leg One - Transitional
• Nuclear
• Support Dominion pursuing North Anna expansion
• Maintain moratorium on uranium mining in Roanoke River watershed
• City needs to address possible implications should development of plants or mining take
place
• Water quality
Leg One - Transitional
• Coal
• Support research and development of clean coal technologies
• Do not support development of proposed Dendron Coal Plant in Surry County
• City needs to address possible implications should development of Dendron plant take
place
• Economic development
• Transportation funding
• Air quality
• Water quality
September 7, 2010
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CITY MANAGER `S BRIEFING
ALTERNATIVE ENERGY TASK FORCE
Leg One - Transitional
• Offshore Oil & Natural Gas
• Recommend oil and natural gas exploration only on strict non-interference with
Department of Defense (DOD) and National Aeronautics and Space Administration
(NASA) operations and after federal regulatory policies, drilling and production
technology, and oil spill response capability upgrades
• Recommend exploration onlv after full federal and state review document no possibility
of major or recurring minor spills having a negative environmental or visual impact on
tourism, outdoor recreation, commercial and sports fisheries
• City needs to address possible implications should development of offshore fields take
place
• Land use
• Water quality
• Economic development - military, tourism, regional economy
• Air guality
Leg Two - Conservation
• Supports both a City organization and community focused strategy, including regional initiatives
and partnerships between local governments, military, businesses, residents, energy supp[iers
and private industry
• Requires the development of effective communication strategies to accomplish optimum energy
efficiency
• Retrofit programs and development of incentives, recognition programs, collection of data to
establish metrics to gauge success, reallocation of City resources to aggressively drive
programs
• Modify transportation and land use policies as needed
• Undertaking carbon footprint analyses
• City Organization
• Buildings
• Vehicles
• United States Department of Energy (DOE) Energy Efficiency Community Block Grant
(EECBG) and Local Energy Assurance Plan (LEAP) Grant Awards
• Methods
• Lighting
• Windows
• Education and Awareness
• Hybrids
~ HVAC
• Land Use and Transportation Studies
• Data Collection
• Reallocate City Staff Resources to Aggressively drive City programs
September 7, 2010
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CITY MANAGER `S BRIEFING
ALTERNATIVE ENERGY TASK FORCE
Leg Two - Conservation
• Community-Wide
• Residenls
• Businesses
• Military
• Methods
• Education and Awareness
• Incentives and Recognition
• Land Use and Transportation Studies
• Recycling Studies
• Data Collection
• Reallocate City Staff Resources lo Aggressive[y Drive City Programs
Leg Two - Conservation
• Regional
• Cities
• Military
• Business Community
• Methods
• Transportation Policies
• Land Use Policies
• Carbon Footprint Analysis
• Education and Awareness
Leg Three - Sustainable
• Support strategy to fully research, promote and develop renewable energy resources in the City
• Solar
• Wind - Onshore and Offshore
• Biomass and Municipal Solid Waste
• Landfill Gas
• Ocean and Bay - Tidal, Wave, Current & Thermal
• Geothermal
• Solar
• Economic Development opportunities being pursued in City and region
• Workforce training and development opportunities
• Ciry needs to aggressively pursue and support these efforts lhrough
• Land use policies
• Economic Developmenl incentives and regional partnerships
• City procurement and new projects requirements
• K-12, college education and training support and program
development
September 7, 2010
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CITY MANAGER `S BRIEFING
ALTERNATIVE ENERGY TASK FORCE
Leg Three - Sustainable
• Wind
• City onshore wind ordinance in place; projects under development
• City strong support for offshore wind development in place Virginia Coastal Energy
Resource Consortium (i~CERC), Virginia Offshore Wind Group (VOT~, Minerals
Management Service, which is part of the United States Department of the Interior
(MMS), etc.)
• Workforce training and development opportunities
• Economic Development opportunities being pursued in City and region
• City needs to continue its aggressive pursuit and support of these efforts through
• Land use planning for onshore support components
• Pursuing resolution of issues with military
• K-12, college education and training support and program development
Leg Three - Sustainable
• Biomass and Municipal Solid Waste
• City studying biomass / composting facility to extend landfill life and generate
energy
• Old Dominion University (ODU) pursuing relocation of Hopewell algae
biodiesel research facility to City
• Ciry needs to continue its aggressive pursuit and support of these efforts through
• Land use planning for location requirements
• Education and training support and program development
Leg Three - Sustainable
• Landfill Gas
• City currently vents and burns Methane from City landfill
• Private landfill Methane disposition unknown
• City is pursuing research and opportunities to better utilize this resource for municipal
and private sources
Leg Three - Sustainable
• Ocean and Bay - Tidal, Wave, Current and Thermal
• Virginia Coastal Energy Resource Consortium (VCERC) pursuing research
opportunities to develop and utilize offshore resources
• City should explore opportunities for development and utilization oJnear shore
resources
September 7, 2010
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CITY MANAGER `S BRIEFING
ALTERNATIVE ENERGY TASK FORCE
Leg Three - Sustainable
• Geothermal
• City Schools showing significant benefits through demonstration project at
Providence Elementary (80% overall energy usage reductions)
• Geology of City affords significant opportunities to reduce City, commercial
and residential heating and coo[ing costs
• City needs to aggressively pursue and support these efforts through
• Land use policies
• Economic Development incentives and regional partnerships
• City procurement and new projects requirements
Procedural Recommendations
Develop a City Council appointed Energy Advisory Committee comprised of Communiry
representatives reporting to Ciry Council to:
• Work with Staff and Industry parmers through the Joint Energy Committee and others
to implement and track City progress on meeting the recommendations of the Task
Force report
• Advise City Council, on annual basis, regarding progress toward achieving Task
Force report goals and actions
• Track federal, state and local energy policy that may impact the City
• Periodically recommend updates to the Task Force report
• Conduct Energy SWOT (Strengths, Weaknesses, Opportunities and Threats) Analysis
for the City
• Recommend to City Council an overall energy organization administration structure
for the City
Reconsider the Ciry's current Resolution in support of the development of offshore drilling to
recommend exploration o~ be considered to:
• assure non-interference with the Department of Defense (DOD) and National
Aeronautics and Space Administration (NASA) operations and commercial shipping
• upgrade Federal regulatory policies, drilling and production technology and oil spill
response capabilities
• pursue assurances that there is no possibility that either a major spill or recurring
small spills have a negative impact on our critically important tourism, outdoor
recreation, and commercial and sport fishing industries
• Provide regional leadership and work with Region's localities and Hampton Roads Planning
District Commission (HRPDC) to develop a position of opposition to the proposed Dendron
Coal Plant in Surry County
• Rea~rm the City's Resolution opposing uranium mining and encourage other Hampton Roads
communities to adopt similar Resolutions to retain the moratorium until current State and City
studies have been completed and it is determined mining can be safely pursued in the
Commonwealth
September 7, 2010
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CITY MANAGER `S BRIEFING
ALTERNATIVE ENERGY TASK FORCE
Procedural Recommendations
• Work to accomplish Task Force goals and actions by promoting and expanding
partnerships, including.•
• Local energy providers - Dominion Virginia Power, Virginia Natural Gas
• Regional partnerships - other communities, Hampton Roads Planning District
Commission (HRPDC), Green Jobs Alliance, Virginia Offshore Wind
• Purchasing partnerships - Virginia Energy Purchasing Governmental
Association
• State programs - Department of Mines, Minerals and Energy, Center for
Innovative Technology
• U.S. Green Building Council, Energy Star Program, ICLEI (Founded in 1990 as
the `International Council for Local Environmental Initiatives )( ICLEI - Local
Governments for Sustainability)
Next Steps
• Formal adoption of Task Force Report as foundation for City's Energy Policy
• Appoint Energy Advisory Committee
• Amend offshore drilling policy
• Rea~rm uranium mining moratorium Resolution
• Work at regional level to encourage adoption of Dendron Coal Plant opposition Resolution
Council Lady Bellitto would be pleased to be a Liaison to the Energy Advisory Committee.
Mayor Sessoms expressed appreciation to all participants in this Report. Mayor Sessoms urged the
establishment of a Virginia Beach Tomorrow Group within the next few weeks. The City Council needs to
review other resources besides the Military to keep the City's economy strong.
September 7, 2010
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CITY MANAGER `S BRIEFING
NORFOLKSOUTHERNRAILROAD RIGHT-OF-WAYACQUISITION
5:10 P.M.
Becky Kubin, Deputy City Attorney, referenced the Update re NORFOLK SOUTHERN RAILROAD
right-of-way acquisition.
Where Are We Now?
The City's intent to acquire Norfolk Southern Railroad right-of-way was announced March I1, 2009
The Purchase Agreement was signed September 4, 2009, with an expected closing of December 29, 2009.
The following represents a chronology:
Closed in escrow December 29, 2009
Amended Purchase Agreement to extend Closing to September 1, 2010,
to allow time to receive funding from the Commonwealth and HRT
City paid $10-Million into escrow
Norfolk Southern placed signed Deed into escrow
Since December 29, working to obtain funding from:
Commonwealth $20-Million
Hampton Roads Transit $ S-Million
Escrow agreement revised last week to extend final Closing date to September 24, 2010
Original Terms
Purchasing I0.58-mile rail corridor from Newtown Road to Birdneck
Road
Purchase Price = $40,000,000 total
$35, 000, 000 at Closing
$10,000,000 jrom City of Virginia Beach
$ZO,OOO,OOOfrom Commonwealth oJVirginia
$ S, 000, 000 from HRT
Norfolk Southern retains utility easement over area required to serve current
VEPCO lease
Valued at $S-Million
City has 3 year option to purchase easement (and assume VEPCO lease) for
$S-Million
September 7, 2010
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CITY MANAGER `S BRIEFING
NORFOLK SOUTHERN RAILROAD RIGHT-OF-WAYACQUISITION
Utility Easement for VEPCO Lease
Norfolk Southern has 99 year lease with VEPCO
Initial lease expires 2029
Once Ciry exercises option, it will assume a portion of
the lease as landlord and receive the proportionate
rents
If option is exercised, rent to City wi[l be
$97,630/year
Grant agreement terms will require these funds to
be used for transportation projects in Virginia
Beach
Any future transportation project in the rail corridor will benefit from
the City being the landlord, because it is likely that some utility
facilities will need to be moved or adjusted
Status of $20-Million Transportation Partnership Opportunity Fund (TPOF) Grant
Transportation Partnership Opportunity Fund (TPOF) Grant
$20-Million Total
State bonds that cover this grant were issued in May 2010
Grant agreement terms:
SO% Matching Grant:
Requires City exercise the option to purchase utility easement from
Norfolk Southern (for $S-Million) to receive entire $20-Million Grant
If City does not exercise option, grant will be only $17.5-Million
If City exercises the option now:
The Commonwealth will pay the remaining $2.5-
Million
Funding sourceJ'or the $S-Million price will be: Year-
end Fund Balance
September 7, 2010
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CITY MANAGER `S BRIEFING
NORFOLK SOUTHERN RAILROAD RIGHT-OF-WAYACQUISITION
Status of $20 Million Transportation Partnership Opportunity Fund (TPOF) Grant
(Continued)
Grant agreement will require that the Ciry agree to:
Purchase the rail corridor by September 1, 2011
Refrain from any activiry or use that would prevent the
rail corridor from being used for the expansion of the
Norfolk Light Rail system
Use its "best efforts" to pursue expansion of light rail
No deadline
Practical implications:
City must continue to pursue the Alternatives
Analysis/SDEIS study
Because there is no deadline, any interim
transportation use resulting from the study will not be
a violation, so long as the use of the rail line in the
future for such expansion is not foreclosed
Failure to comply with Grant Agreement, the State can
seek repayment of Grant funds
Status of $S-MILLIONfrom Hampton Roads Transit (HR7~
Hampton Roads Transit does not have an independent funding
source -all funds are from federal, state and local Grants
HRT cannot pay the pledged $S-Million by the Closing date
HRT proposes to make installment payments of $1-Million per year
directly to Norfolk Southern, over the next S years
Upon approval by HRT Commission, HRT and Norfolk Southern will
enter into a written agreement jor the installment payments
HRT will consider the written agreement at its Commission meeting on
September 23, 2010
City's closing with Norfolk Southern has been delayed until September
24, 2010, to allow HRT time to approve this Agreement
September 7, 2010
-20-
CITY MANAGER `S BRIEFING
NORFOLK SOUTHERN RAILROAD RIGHT-OF-WAYACQUISITION
Next Steps
September 14, 2010: Counci[ action to:
Authorize execution of Grant Agreement
Approve exercising the option now to purchase utiliry easement for $S-Million
Accept and appropriate ,$20-Million Grant from Comnzonwealth
September 24, 2010: Final Closing and e~eercise of option
September 29, 2010: Close on purchase of utility easement, pursuant to option agreement
Councilman DeSteph inquired re the City not being tied to specifically utilizing this Corridor for light
rail, but can it be utilized for anything that would be an extension of the light rail. Deputy City Attorney
Kubin advised, this agreement does not state light rail must be under construction on a certain date.
The Agreement only states the City wou[d commit to pursuing light rail. In discussions with the State, the
question has been posed "If the study results in something other than light rail, could it be an interim
use? " The answer was "Yes ", so long as the City was not foreclosing that opportunity.
In response to Council Lady Henley, the City would be the sole owner of the right-of-way. Council Lady
Bellitto believes it is important for the City to gain control of this right-of-way.
Mayor Sessoms referenced speaking with the Secretary of Transportation and the Governor's Chief of
Staff with Depury City Attorney Kubin. Mayor Sessoms advised the key item, which is most encouraging;
there is only one date that was presented to Ciry Council. The purpose of that date was to close on the
right-of-way. There was not a date stated indicating light rail had to be started at any point. The
agreement stated the Ciry should pursue light rail to the best of the City's ability. The Environmental
Impact Statement (EIS) would be allowed to come forward and make recommendations. Norfolk
Southern has agreed, upon Hampton Roads Transit's vote, that the City will not be liable for that $S-
Million. Hampton Roads Transit (HRT) will be liable to Norfolk Southern. There will be no securiry
given by the City.
September 7, 2010
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C ITY MANAGER `S BRIEFING
2011 COMMUNITYLEGISLATIVEAGENDA
5:49 P.M.
Robert Matthias, Assistant to the City Manager, advised the 2011 Session of the General Assembly will
be, as always, very important to the Commonwealth. Mr. Matthias provided a brief synopsis of the 2011
Community Legislative Agenda Preface and items. A detailed City Council Briefing will be scheduled
for the City Council Session of September 14, 2010. The 2011 Community Legislative Agenda Public
Hearing will be SCHEDULED for September 28, 2010.
The City is concerned, as are all local governments, about the possibiliry of ABC privatization.
Currently, approximately $220-Million per year goes to the General Fund, which helps to fund Schools,
Public Safery and many other basic services. Also, there are questions about the local government's
control over ABC stores if they were to be privatized. Concerns are foremost in the deliberations as the
Commonwealth moves forward with government reform and overhaul, especially the privatization of ABC
stores.
As the City has been saying for many years, the General Assembly has attempted repeatedly to address
transportation and has been unsuccessful. Although HB3202 would have created tremendous amounts of
new revenue for the Commonwealth and especially for Hampton Roads and Northern Virginia, those
efforts went wasted because of the ruling of the State Supreme Court. The City of Virginia Beach now
receives zero dollars from the Commonwealth for urban street construction, down from an amount in the
mid $30-Million just a few years ago. Transportation has become a quality of life issue and is leading to
decreased economic development and productiviry. What is most troubling about the inability of the
General Assembly to react to the transportation crisis, is senior officials of the Navy repeatedly saying
that they would not support additional commands coming to Hampton Roads until we address our
transportation issues. This must be addressed as soon as possible.
City Council continues to be concerned about the level of funding available for basic services like
Education, Social Services and Public Safety. Perhaps the Governors Reform Commission will determine
more appropriate levels of State funding and responsibility for these services. This is an issue that should
and must be addressed as soon as possible.
Reguested Code Changes
1. PADDLEBOARDS IN SWIMMING AND SURFING AREAS
ChiefJamesA. Cervera
Department of Police
Background Information:
Paddleboards are large, heavy boards used for recreational purposes in coastal waters.
The Coast Guard has classified paddleboards as "vessels" and has imposed regulations on
their use, but those regulations apply only when the paddleboards are used outside of
designated swim/surf zones. Because the use of paddleboards in swimming and surfing
areas could create a safety hazard for swimmers or persons wading into the water, the City
seeks authority to regulate the operation of these vessels in swimming or surfing areas.
Request:
We request that the General Assembly enact legislation that would authorize Virginia
Beach to regulate, by ordinance, the use and operation of paddleboards when such vessels
are operated within any area designated by the City as a swimming or surfing area.
September 7, 2010
-z2-
C ITY MANAGER `S BRIEFING
2011 COMMUNITY LEGISLATIVE AGENDA
2. PROCEDURES FOR NOTIFYING ACCUSED OF CERTIFICATE OF ANALYSIS;
WAIVER; CONTINUANCES
ChiefJamesA. Cervera
Department of Police
Background Information:
The issue involves giving notice to a person that the arresting officer intends to use a
certificate of analysis in court. The code currently requires a copy to be filed with the court
the same day it is giving to the accused. An officer can't possible comply with this code if a
person is arrested on a Friday night and is given a copy of the certificate of analysis and
notice. Since the notice form does not reach the clerk's office until Monday, it is several
days late. This has resulted in several breath test results being thrown out of court and on
some occasions the entire DUI case being lost.
Request:
We request that the General Assembly amend Virginia Code § 19.2-187.1 to give an officer
7 days to file the copy.
See Appendix Item 2(page 21) for text of the requested legislative change.
3. RIDING ON MOTORCYCLES, GENERALLY
ChiefJamesA. Cervera
Department of Police
Background Information:
The reason for this request is that with the increased fuel cost we are seeing an increase in
motorcycle usage and with this increase we are also see an increase in passengers. Since
there is no safety devices manufactured for children and toddlers it is quite unsafe and
impractical for a child under the age of 8 to ride on a motorcycle. It is also quite difficult for
most children under the age of 9 to stay on the motorcycle while it is driving.
Request:
We request that the General Assembly amend Virginia Code § 46.2-909 so that no person
under the age of 9 shall ride on a motorcycle.
See Appendix Item 3(page 22) for text of the requested legislative change.
September 7, 2010
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C ITY MANAGER `S BRIEFING
ZOIl COMMUNITYLEGISLATIVEAGENDA
4. POSSESSING FIREARM WHILE UNDER THE INFLUENCE OF ALCOHOL OR
ILLEGAL DRUGS
Chief James A. Cervera
Department of Police
Background lnformation:
Code § 18.2-308 should be amended as officers are increasingly coming into contact with
individuals that are legally carrying a firearm but are intoxicated. This would include
people who are openly carrying a firearm or have it in plain view in a vehicle as they drive.
The current Code prohibits a person with a concealed handgun permit to carry the
handgun if they are intoxicated but there is no prohibition for a person to possess a firearm
in plain view or "open carry" if they are intoxicated.
Request:
We request that the General Assembly amend Virginia Code § 18.2-308 be amended so that
any person who is under the influence of alcohol or illegal drugs while possessing a firearm
in a public place shall be guilty of a Class 1 misdemeanor.
See Appendix Item 4(page 23) for text of the requested legislative change.
5. CRIMINAL HISTORY RECORD INFORMATION CHECK FOR TRANSFER OF
CERTAIN FIREARMS
Councilmember Bill DeSteph
Background Information:
State law requires a gun dealer selling a firearm to an individual to obtain criminal history
record information from the Department of State Police prior to completing the sale.
Certain individuals and transactions are exempt from the background check requirements.
A person who purchases a handgun in a private sale is exempt from the background check
requirements. Questions have arisen in enforcing this law as to whether a dealer can have
"business inventory" and a separate "personal inventory" of firearms that may qualify for
the private sale exemption. As currently written, the law references sales or transfers from
a dealer's inventory, but does not distinguish between a dealer's business inventory and a
dealer's personal inventory.
Request:
In an effort to better protect citizens and to clarify that criminal history record information
checks are required for firearm sales by a gun dealer, regardless of whether those firearms
are part of his business inventory or his personal inventory, we request that the General
Assembly amend Virginia Code §§ 18.2-308.2:2(B)(1) and 18.2-308.2:2(C) to delete the
three occurrences of the phrase "from his inventory.")
See Appendix Item 5(page 24) for text of the requested legislative change
September 7, 2010
-24-
ITEM # 60245
"RADAR BLOCKAGE ANALYSIS FOR THE CITY OF VIRGINIA BEACH OCEANFRONT
RESORT STRATEGIC GROWTHAREA"
The City Manager distributed the September 7, 2010, Final Report entitled.• "Radar Blockage Analysis
for the City of Virginia Beach Oceanfront Resort Strategic Growth Area': The City Manager advised
this has been the subject of a FOIA (Freedom of Information Act) request prior to its completion.
Copies of this report have been distributed to the media.
The City Council Workshop was ADJOURNED 6: 00 P.M.
September 7, 2010