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Home My WebLink AboutSEPTEMBER 10, 2013 MINUTESII 1 CITY COUNCIL MAYOR WILLIAM D. SESSOMS, JR., At -Large VICE MAYOR LOUIS R. JONES, Bayside - District 4 GLENN R. DAVIS, Rose Hall - District 3 WILLIAM R. DeSTEPH, At -Large ROBERT M. DYER. Centerville - District I BARBARA M. HENLEY, Princess Anne - District 7 JOHN D.MOSS, At -Large AMELIA ROSS-HAMMOND, Kempsville - District 2 JOHN E. UHRIN, Beach - District 6 ROSEMARY WILSON, At -Large JAMES L. WOOD, Lvnnkaven -District 5 CITY COUNCIL APPOINTEES CITY MANAGER - JAMES K. SPORE CITY ATTORNEY MARK D. STILES CITY ASSESSOR JERALD D. BANAGAN CITY AUDITOR - LYNDON S. REMIAS CITY CLERK - RUTH HODGES FRASER, MMC CITY OF VIRGINIA BEACH "COMMUNITY FOR A LIFETIME" CITY COUNCIL AGENDA 10 September 2013 CITY HALL BUILDING 2401 COURTHOUSE DRIVE VIRGINIA BEACH, VIRGINIA 23456-9005 PHONE: (757) 385-4303 FAX (757) 385-5669 E-MAIL: Crycncl@vbgov.com I. CITY MANAGER'S BRIEFINGS - Conference Room - A. VANGUARD LANDING Development Proposal Cindy Curtis, Deputy City Manager B. VIRGINIA RETIREMENT SYSTEM - Hybrid Plan Patricia Phillips, Director - Finance Department C. FY13 YEAR-END FINANCIAL REPORT Patricia Phillips, Director - Finance Department II. CITY COUNCIL LIAISON REPORTS III. CITY COUNCIL COMMENTS IV. CITY COUNCIL AGENDA REVIEW V. INFORMAL SESSION - Conference Room - A. B. C. CALL TO ORDER — Mayor William D. Sessoms, Jr. ROLL CALL COUNCIL RECESS TO CLOSED SESSION 3:30 PM 5:00 PM VI. FORMAL SESSION - City Council Chamber - 6:00 PM A. CALL TO ORDER — Mayor William D. Sessoms, Jr. B. INVOCATION: Reverend Edward Martin, Francis Asbury 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 August 27, 2013 G. FORMAL SESSION AGENDA 1. CONSENT AGENDA H. PUBLIC HEARING 1. PROPOSED EXEMPTIONS FROM LOCAL PROPERTY TAXATION a. Al -Anon Service Center of Tidewater, Inc. b. Disabled American Veterans Combining Chapters Thrift Stores of Hampton Roads Virginia, Inc. c. Symphonicity, the Symphony Orchestra of Virginia Beach d. Virginia Athletic Council, Inc. I. ORDINANCES 1. Ordinance to ADD Section 35.3-5.1 to the City Code re DEFERRAL of Special Service District Levies for qualifying Senior and Disabled Persons 2. Ordinance to DESIGNATE local properties to be TAX EXEMPT: a. Al -Anon Service Center of Tidewater, Inc. b. Disabled American Veterans Combining Chapters Thrift Stores of Hampton Roads Virginia, Inc. c. Symphonicity, the Symphony Orchestra of Virginia Beach d. Virginia Athletic Council, Inc. 3. Ordinance to APPROPRIATE $1,360,387 re "carry forward funds" previously approved in FY 2012-13 into the FY 2013-14 Operating Budget: a. $837,459 General Fund b. $218,500 Fuels Internal Fund c. $125,000 Water and Sewer Enterprise Fund d. $ 85,857 Circuit Clerk Court Technology e. $ 71,448 DEA Seized Property Special Revenue Fund f. $ 20,623 Storm Water Utility Enterprise Fund g. $ 1,500 Parks and Recreation Special Revenue Fund J. PLANNING 1. Application of NEW COVENANT PRESBYTERIAN CHURCH for a Modification of a Conditional Use Permit for additions to the existing church at 1552 Kempsville Road DISTRICT 1 — CENTERVILLE RECOMMENDATION APPROVAL 2. Application of CRESCENT COMMUNITY CENTER CORP for a Conditional Use Permit to construct a religious center at 2438 Salem Road DISTRICT 7 — PRINCESS ANNE APPLICANT REQUESTS DEFERRAL RECOMMENDATION DEFERRAL TO SEPTEMBER 24, 2013 3. Application of VB RECREATION, LLC for a Conditional Use Permit re an indoor commercial recreation (Trampoline Park) at 2029 Lynnhaven Parkway DISTRICT 3 — ROSE HALL RECOMMENDATION APPROVAL 4. Application of VISIONS COMMUNITY SERVICES, LLC for a Conditional Use Permit re an Adult Day Care at 370 Cleveland Place DISTRICT 2 — KEMPSVILLE APPLICANT REQUESTS WITHDRAWAL RECOMMENDATION ALLOW WITHDRAWAL 5. ORDINANCE to AMEND Section 212 and ADD Section 217 of the City Zoning Ordinance (CZO) re electronic displays of fuel prices RECOMMENDATION APPROVAL K. APPOINTMENTS Agricultural Advisory Commission Green Ribbon Committee Health Services Advisory Board Historical Review Board Parks and Recreation Commission Wetlands Board L. UNFINISHED BUSINESS M. NEW BUSINESS N. ADJOURNMENT ***************************** PUBLIC COMMENT Non -Agenda Items Each Speaker will be allowed 3 minutes and each subject is limited to 3 Speakers ********************************** If you are physically disabled or visually impaired and need assistance at this meeting, please call the CITY CLERK'S OFFICE at 385-4303 ******************************* 2014 CITY COUNCIL RETREAT Economic Development Conference Room 8:30 A.M.-5:00 P.M JANUARY 6TH & 7TH, 2014 2013 CITY HOLIDAYS Veterans Day - Monday, November 11 Thanksgiving Day & Day after Thanksgiving November 28 & Friday, November 29 Christmas Eve (halfday) - Tuesday, December 24 Christmas Day - Wednesday, December 25 -1 - VIRGINIA BEACH CITY COUNCIL Virginia Beach, Virginia September 10, 2013 Mayor William D. Sessoms, Jr., called to order the City Council's Informal Session, in the City Council Conference Room, Tuesday, September 10, 2013, at 3:30 P.M. Council Members Present: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood. Council Members Absent: Rosemary Wilson September 10, 2013 -2 - CITY MANAGER'S BRIEFING VANGUARD LANDING ITEM #63088 3:30 P.M. Mayor Sessoms introduced Deputy City Manager Cindy Curtis. Ms. Curtis presented a very exciting development proposal for the City. Ms. Curtis introduced Debbie Dear and Bob Miller of Vanguard Landing. Ms. Curtis also thanked City Staff who helped pull this together: Alex Stiles, Bill Macali, David Trimmer, Karen Lasley and Karen Prochilo. VANGUARD LANDING DEVELOPMENT PROPOSAL "Where Ex.x ptk r i -People 1 Extraordinary.l.1 The City has an opportunity to engage in a Public Non -Profit Partnership. Vanguard Landing, Incorporated, has requested the City assist in the initial procurement of approximately Seventy -Five (75) acres to build a residential and employment center for individuals with intellectual disabilities. NTRCODUGTION & SUMMARY Vanguard Landing, Inc.; a non-profit corporation, hasapproached the City to develop a residential and employment option, for people with, intellectual disabilities. .They are requesungVBDA assistance in theinitial procuremient:of 74.54 acres and payment of rollback taxes. Staff is seeking direction on City Council's comfort with the development proposal and support for provision of funds for land acquisition and rollback taxes. September 10, 2013 -3 - CITY MANAGER'S BRIEFING VANGUARD LANDING ITEM #63088(Continued) Below are the four Parcels that are under Contract at a cost of $2.8 -MILLION. Vanguard Landing Proposal -Aerial of Properties Williamsoe.Tract 'C. GPIN 2413-19-9845,39.679 acres On Agricultural Reserve Program). Fire Fighters, Tract '8-1', GPIN 2413-19-1792,8.000 acres (CUP -lodge for a fraternal organization - 1999) Cruz, Remainder of Trace '8', GPIN 2413-19-61 1 1, 24.341 acres. Van Linde, Parcel 'A', GPIN 2413-08-8666, 2.516 acres. Total Acreage: 74.54 acres Purchase Price: $2,802,610 The current Zoning is either AG -1 or AG -2, Agricultural uses. The location relates very well in terms of the existing adjacent residential properties. Vanguard Landing Proposal - Current Zoning Existing Zoning Districts AG -1 Agricultural Distoct AG-2Agnculnual Drones September 10, 2013 -4 - CITY MANAGER'S BRIEFING VANGUARD LANDING ITEM #63088(Continued) Below is the one Parcel that is impacted by ARP: Vanguard Landing Proposal —AICUZ and Easements AICUZ Noise Contours Light gran 65 dB — 70 dB Ldn Pale yellow Less than 65 dB Ldn Easements 25' City Drainage Easement at rear of pi operues adjacent to Heritage. Park 15' Cay Maintenance Easement at rear of properuts adjacent to Heritage Park This Plan and the next site layout have been presented to the Transition Area ITA Citizens Advisory Committee and no concerns were expressed. The Proposal includes Thirty -Six (36) 5 -bedroom homes, a special events building, commercial buildings, arts building, activity building, playing field, multi- purpose building, greenhouse with gardens and a Welcome Center with 73% of open space throughout the development 'VANGUARD. LANDING CONCEPTUAL, SITE' PLAN , September 10, 2013 -5 - CITY MANAGER'S BRIEFING VANGUARD LANDING ITEM #63088(Continued) Bobby Rountree, of NAS Oceana, attended a Transition Area ITA Citizens Advisory Committee and did not have any negative feedback on the details of the Plan. All of the uses as shown are compatible with the AICUZ. All of the residential housing is located in the less than 65db zone. A formal MOU review by the Navy is not required. `VANGUARD LANDING! • CONCEPTUAL SITE The total development cost will be in $32 -MILLION range over the next 10 years. Vanguard Landing will be a vibrant interactive community (within our community) offering a multitude of living and working opportunities for the residents, day workers and other citizens. . POTENTIAL: MULTIPLE POSITIVE OUTCOMES Provide a safe, progressive and self-sustaining community for adults v Mild to moderate intellectual disabilities. 7,000 people with intellectual disabilities in Virginia Beach are categorically identified in the target population of Vanguard Landing. - Currently neither municipal nor independent community service providers are able' xo'meet the needs of these individuals and Vanguard will offer another option. Facilities'IikeVanguard Landing are part of a progressive movement to provide increased and equitable opportunities for people with disabilities. Vanguard Landing will be the first of its kind in Virginia and the -only one between: Massachusetts and Georgia. Vanguard Landing will serve as a regional employer and economic asset to the City. September 10, 2013 -6 - CITY MANAGER'S BRIEFING VANGUARD LANDING ITEM #63088(Continued) Moving the ARP lines will put all of the Agricultural uses allowed by the ARP within the ARP boundaries. The changes to the ARP boundaries must be approved by the City Council. POTENTIAL CHALLENGES identification of Funding Source for loan to Vanguard Landing for property acquisition. ?ursuant to Section 't I (e) of the ARP ordinance, the Conceptual Sit Plan will require an ordinance to move ARP boundaries, keeping th, amount of acreage the same, but ensuring nonagricultural uses are. ;. located outside ARP: boundaries. A CUP will be required for recreational facilities, housing for the disabled, assembly use, equestrian facilities and a commercial kennel. AConditional :Rezoning Permit will be required for commercial area. rom AG-2,Agricultural District, to B- IA, Limited Community Business District. DAN FROM VBDA Vanguard Landing is requesting a loan from VBDA in the amount of $2,900;000; Loan would include purchase price, closing costs (excluding attorney ees), and: rollback taxes. oan would be secured by a first deed of trust on the Property The Deed of Trust would restrict the use of the Property tothe activities shown on the Conceptual Site Layout. Loan would be repaid beginning on the fourth anniversary. of the Loan' Loan would be paid in full within 10 years (except for the amount of:th, rollback taxes) at 0% interest. The City would appropriate the total amount of the Loan to theVBDA. for the purpose of theVBDA making the Loan toVanguard Landing. September 10, 2013 -7 - CITY MANAGER'S BRIEFING VANGUARD LANDING ITEM #63088(Continued) The Property is currently enrolled in the City's Agricultural Land Use Program, allowing the property to be assessed as Agricultural instead at a higher use. Rollback taxes in the estimated amount of $82, 000 would be due and payable by Vanguard Landing at the time of the rezoning (the "Rollback Taxes"). The amount of the Loan will include an amount sufficient to pay the Rollback Taxes. ROLLBACK TAXES portion.of the Property would need to be conditionally zoned from AG-Ito B= I A {aback taxes are estimated to be approximately $82,000 and are due at the time of rezoning Note: to 2012, the City Council granted Vanguard Landing tax-exempt status for real and personal property taxes. As such, the normal five year lookback for rollback taxes would be reduced by 20% for each year prior o the rezoning or change of use of the Property. Vanguard Landing is an exciting, agrarian -based residential and employment option for the intellectually disabled that will clearly demonstrate the City's commitment that Virginia Beach is, in fact, a Community for a Lifetime — for ALL our citizens. ECOMMENDED ACTIONS & NEXT STEPS Endorse concept and assistance Identify: funding source Appropriate total amount of loan to VBDA VBDA reviews in closed session (September) VBDA makes loan to Vanguard Landing (October) Vanguard Landing acquires property (December) September 10, 2013 -8 - CITY MANAGER'S BRIEFING VANGUARD LANDING ITEM #63088(Continued) Mayor Sessoms thanked Ms. Curtis and the entire Team for their work on this Project and looks forward to it coming before City Council for consideration. September 10, 2013 -9 - CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089 3:58 P.M. Mayor Sessoms introduced Patti Phillips, Director — Finance. Mrs. Phillips advised today's briefing is to provide the key elements to the Virginia Retirement System's Hybrid Retirement Plan and the Local Disability Program that is a part of that Plan. This is mandatory and a very complex project to undertake. VRS HYBRID RETIREMENT PLAN & VIRGINIA LOCAL DISABILITY PROGRAM CITY COUNCIL BRIEFING SEPTEMBER 10, 2013 VRS's pension costs have been growing rapidly for the City and there have been numerous discussions with committees on how to reduce the cost. In 2012, the General Assembly enacted the Hybrid Plan which is effective for all new hires, beginning January 1, 2014, excluding Public Safety. September 1Q2013 Background 1. City Council Requests • Council Committees • Mayor's Committee on Pensions 2. 2012 General Assembly 3. VB City Cost of Pensions • Current Rate: 20.68% of Creditable Compensation • $62.3 million paid to VRS in 2012 - $58.3M employer - $4.OM employee • Unfunded Actuarial Liability: $521.4M (6-30-12) • Percent Funded: 68.57% 4. VB Schools Pensions Unfunded Actuarial Liability: $816.2M Percent Funded: 61.22% September 10, 2013 -10 - CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) Below is what we will discuss in today's briefing: Sep 1amber10,2013 Agenda • VRS Hybrid Retirement Plan • Virginia Local Disability Plan • Leave Policy Changes • Implementation Issues and Risks • Project Schedule and Budget • Decisions Disability Retirement is not available under the Hybrid Plan; however, there is a Disability Plan available and different from the other Plans administered by VRS. Employee contributions will be 5% for all employees with the Hybrid Employee having the option to contribute an additional 4%. September 1Q; 2011 Overview of Hybrid Plan — Effective 1-1-14 (excludes Public Safety Employees) RETIREMENT: • Defined benefit (DB) and a Defined contribution (DC) Component • Employees contribute minimum of 5% up to max of 9%. • Changes to retirement benefits —Age and Multiplier • DC Administered by International City Management Association Retirement Corporation (ICMA-RC) DISABILITY PLAN: • Virginia Local Disability Plan (VLDP) • Short Term Disability Income Protection (STD) - administered by UNUM • Long Term Disability Income Replacement (LTD) - administered by UNUM • Long Term Care (LTC) - administered by Genworth (lifetime maximum of $70,080) LEAVE POLICY CHANGES: • Effective 1/1/14 as a result of the plan but not required by the plan TECHNOLOGY CHANGES: • New data exchanges (1) DC plan vendor ICMA-RC (2) short and long term disability vendor UNUM September 10, 2013 -11- CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) Se pten 10.2013.: DECISIONS FOR HYBRID PLAN EMPLOYEES 1. Stay with VRS/Unum Disability plan. 2. Adjust leave policies including Paid Time Off. 3, Use State's ICMA Deferred Compensation Plan for hybrid employees. September 10,:201 VRS Retirement Plan Information September 10, 2013 -12 - CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) Below is the Summary of VRS Plans: r 10, 2013 Summary of VRS Plans DB Multiplier Supplement (until SS) Disability Retirement Yes Disability Program No Employee Contributions 5% Voluntary Contributions Plan 2 1.85 $13,128 Yes No No Yes 5% 4% 1% AFC 36 mo. 60 mo. 36/60 mo. 60 mo. Earliest Full Retirement 50/30 Rule of 90 50/25 Rule of 90 COLA Up to 5% Up to 3% Up to 5/3% Up to 3% • Current non-public safety employees can opt -in to hybrid plan Jan 1 -Apr 1 only September 10, 2013 Pension Plan Contribution Amounts Plan 1 Plan 2 Defined Benefit (invested by VRS) Ermlover Emolovee Actuarial rate 5% Actuarial rate 5% Defined Contribution (invested by employee) Ernolover N/A VRS Hybrid Actuarial rate 4% Employee, N/A N/A N/A 1% Required 2.5% Match 3.5% MAX Total Hybrid Employee Cant ibution'has a minimum of 6% to maximum 1% Required 4% Additional 5% MAX Total Vesting --Defined Benefit for ail plans requir 5 years of servic e, mployee Dq Contributions 100%vestedim mediately. -Employer Defined Contributions 2 years = 50% 3,years ; 75 % 4 years Retirement Benefit will be significantly lowerfor the hybrid "employee, who will carrying vestment risk Pn der ed coni] ibution portion of benefit September 10, 2013 -13- CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) Septemb 10.2 Defined Contribution Component • Hybrid Employees must use ICMA-RC State Deferred Compensation Plan for Mandatory and Voluntary Defined Contributions. • Hybrid Employees may participate in the State Deferred Compensation Plan for additional 457 savings up to current federal maximum of $17,500. • Ease in employee use. September 10, 2013 111 VLDP Virginia Local Disability Plan September 10, 2013 -14 - CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) The City does not manage non -work related injury or illness; however, under this program, a Hybrid Employee would have to be managed. The City is automatically enrolled in the Virginia Local Disability Plan unless one opts out and provides the same benefit in another way. The City must inform VRS by November 1, 2013, should we choose to do so. September 10,2013 Required Disability Program for Hybrid Employees • Program has the following components - Medical case management - Short term disability income protection - after 7 days Long term disability income replacement - Long term care (lifetime maximum $70,080) - Return to work program - Coordination with Workers' Comp and Social Security • City automatically enrolled in Virginia Local Disability Plan unless the City opts -out and provides the same coverage through other means. • Must inform VRS of decision to opt out by Sept 1, 2013 (extension was granted until Nov 1 2013) The Virginia Local Disability Program is managed by UNUM. UNUM was selected in 2003, with an Account Representative dedicated to the City. VLDP is Managed by UNUM • Selected in 2003 for State Plan -- extensive RFP process • Multiple locations - Account rep dedicated to VLDP, extensive training - Web capabilities - 100 physicians; 18 subspecialties; 29 member disability team - In house marketing, communications - Largest provider of disability claims management - Forbes 100 most trustworthy companies list - Lowest complaint ratio (.31) in industry • Experience and qualifications • Contract renewed in 2009; through 2018 • Economies of Scale September 10, 2013 1 -15- CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) Below are the expected costs of this Program: September 10, 2 Expected City Costs of VLDP • City pays entire hybrid short term disability income protection amount for employees. Current plan 1 & 2 employees rely on leave balances for income protection. ° Costs for FY 2014: $50,000 (Six Month Estimate) (.91% of covered salaries) • Costs for FY 2015: $111,000 (Fut Year Estimate) (.91% of covered salaries) • Full phase-in impact of hybrid plan estimated to take over 20 years. Estimated reduction in costs to VRS employers in FY2015 = $24 Million, FY2034=$200 million* * Senate Finance Committee Pension Reform Conference Report Summary March 10, 2012 • VRS estimates Hybrid pension changes will produce significant cost reductions in 8-10 years: 1.5-2% VRS Rate reduction. (Current Rate = 20.68% of salary) • City pays a blended rate for all VRS Plans Should an employee with less than twelve (12) months of service have a non -work related injury or illness and be out of work for more than seven (7) consecutive days, the employee would receive no income replacement under this program. Septe Short Term Disability (STD) Income Protection- Non Work Related STD begins after the 7 calendar day waiting period. STD Income replacement is paid by the City of Virginia Beach and employee is still an active City employee. Months of Continuous Service Less than 12 13-59 60-119 120-179 180 or more Workdays of Income `7 Replacement at 100% 0 25 25 25 Workdays of income Replacement at 80% 0 25 50 75 Workdays of Income, Replacementi 60% ;4 0 125 75 50 25 Long Term Disability (LTD) Income Protection LTD begins after 125 days on STD. Employee is no longer an active City employee. Income Replacement at 60%, Income Replacement at 80% for catastrophic conditions. LTD income replacement is paid by UNUM: offset by income and benefits from other sources. Regular retirement when VRS eligibility met. September 10, 2013 -16 - CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) Job Related Disability and Injury Leave will not change very much: September10,2013.,<. Job Related Disability and Injury Leave • City currently ensures first 12 months of full salary compensation for qualified employees on Workers' Compensation/Injury Leave. • VLDP differs by providing sliding scale based on length of service: Months of Continuous Service Fewer than 60 60-119 120 or more Workdays Income Replacement at 100% 85 85 Worksray Iacome Replacer' at 80% _* 25 40 ays ir!eo • Rep cern 125 15 * Current City Injury Leave Policy provides supplement to bring employee to 100% Mrs. Phillips introduced Regina Hillard, Director — Human Resources, to discuss the changes to the Paid Time Off program: September 10, 2013 16 HR Policy Changes to Leave September 10, 2013 -17- CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) Ms. Hillard provided the particular details to the new Hybrid Employee's Leave Benefit: eptember 10, 2013 17 New PTO Plan for Hybrid Employees • Significant Benefit Difference • Plan 1&2 Employees: Sick Leave Accrual for all illnesses • Hybrid: Short term and Long-term Disability • New Paid Time Off Program • Sustainable • Does not exceed leave benefits of current employees • Encourages careful use of leave • Aligned with best practices for employee time management City Employees accrue sick leave every month and the number of hours they can carry over is unlimited. This is because the Sick Leave for Plan 1 and Plan 2 Employees is considered their Short Term and Long Term Disability Program. The Hybrid Employees will have a Short Term and Long Term Disability built into their employment and should not receive the unlimited sick leave accrual benefit. It is suggested the City implement a new Paid Time Off (PTO) Program for these employees. September 10, 2013 Annual and Sick Leave — Plan 1 & 2 Hybrid Employees Paid Time Off (PTO) - PROPOSAL sense Time Monthly Accrual Hours Total Monthly Am...ours Ammal Ver Year Maximum Ca ryover Hours Service Time Annual Sick 0.<3 Days Hours Vacation 5ick 0.<5 8 8 16 24 192 :.:420 :VoUmAetl 5-<10 10 8 18 21 216 400 V,iImlted. 10 <15 12 8 20 30 240 400 U515m0e4 15 <20 14 8 22 33 264 400 Unlimited 200 16 8 24 36 288 400 Unlimited Hybrid Employees Paid Time Off (PTO) - PROPOSAL sense Time Monthly Accrual Accr al Per Mx Maximum Carryover Hours Days Hours Days/Hours an 12/31 0.<3 10 25 1205 z zoo 3•<10 12 18 144 28 224 10-<18 14 21 168 42 248.. 163 16 24 192 34' 222 September 10, 2013 I -18- CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) September 10, 2013 Implementation Issues and Risks Below are some issues with the implementation of this new program: September 10, 2013 20 Implementation Issues • Implement before mid-December to avoid conflict with year end system upgrade, federally mandated processes such as W -2's, federal reporting, other year begin/end activities. • Implement time/leave entry policies. • Develop interfaces between VRS, ICMA-RC, UNUM, and InSITE. • Define roles, hand-offs, procedures and payment controls HR, Payroll, Risk Mgmt. and CBO. • Coordination/Communication/Training for Employees, Supervisors and PALS. • Forces Arrears into 2014. September 10, 2013 -19- CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) September 10, 2013 Implementation Impact: Payroll and Occupational Health Staff Payroll, • Administer pay based on 3 VRS plans, 2 types of leave programs and 2 deferred compensation plans = Manage pay for employee on short-term disability income replacement based on the disability benefit (100%, 80% or 60%) • Train and communicate program Manage process for current employees that opt in to hybrid program = Staffing need — 1 position • Increase in quality and internal control between VRS, City, UNUM, and ICMA • Compounds risk and workload within Payroll operations when not in arrears Occupational Health • Verify Hybrid duty/retum to work for job and non -job related disabilities • The non -work related visits will likely increase over time with the Hybrid non -work related short term disability claims process. Over 3,700 work and non -work related office visits annually. • Continue to coordinate Return to Work, Workers' Compensation and Hybrid with Provider. Mrs. Phillips introduced Matt Arvay, Director — COMIT, to discuss the Project Schedule and Budget: ptember 10, 2013. 22 InSITE Project Schedule and Budget September 10, 2013 -20- CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) Mr. Arvay provided the Budget and Project Schedule to successfully meet the business requirements and timeline established by the Commonwealth. This is made up of the Technology Component, which is comprised of establishing the working environment, as well as the amount of labor necessary to add the complexities to an already complex system. The second aspect is a request for an additional payroll position to help administer the overhead of this Plan. September '10,2013 23 Budget and Project Schedule Piggott: Technology 1 Payroll Position Total Schedule Preliminary Planning/Business Process Decisions Configurations and Requirements Utilities Reports & Interface Development Update Test Scripts/Test Plan Approval — VRS & ICMA User Acceptance Testing (UAT) Go -Live Post Implementation Support Reports and Additional Testing Closure Approved by Sponsor $280,000 36,513 $316.513 Aug. 2013 Aug. 2013 — Sept. 2013 Aug. 2013 — Oct. 2013 Sept. 2013 — Oct. 2013 Oct 2013 Nov 2013 — Dec. 2013 Dec. 2013 Dec. 2013 —Jan. 2014 Feb. — Mar. 2014 Mar. 2014 Below are the impacts to the Oracle System: September 10, 2013 24. Selected Oracle Impacts w eternents New VRS Codes, w int New Reports itiefatekediegISMAISNO NOW 8011 ofottO' Fest Formulas .1500001(04000111,11111 September 10, 2013 -21- CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) $epte er 10,.201; DECISION POINTS Mrs. Phillips provided the decisions below that Staff are taking, unless City Council directs otherwise: ptember 10, 2013 DECISIONS 1. VRS/UNUM Disability plan provider. - Always in compliance with legal requirements - Economies of Scale - State manages contract: .91% of covered salaries 2. New Leave System for Hybrid Employees, including PTO. 3. Use State's ICMA Deferred Compensation Plan for Hybrid Employees. September 10, 2013 -22 - CITY MANAGER'S BRIEFING VIRGINIA RETIREMENT SYSTEM ITEM #63089(Continued) September O. 2013 Next Steps Request City Council to approve for hybrid employees: • Funding to Implement hybrid plan, and fund 1 new position. $316,513: • Authorize a PTO for hybrid employees • Authorize use of State Deferred Compensation Plan for hybrid September 24 September 24 When Contract Received employees (mandatory, voluntary and supplemental) Execute IT project Open hybrid plan to existing employees Delay implementation of arrears December 15 Jan. 1 Apr. 30, 2014 oniy, 2014 Mayor Sessoms thanked Mrs. Phillips and the entire Team for all of the hard work on this Project. September 10, 2013 -23 - CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090 Mayor Sessoms introduced Patti Phillips, Director — Finance. Ms. Phillips advised on August 151h, the Finance Department officially closed the City's financial accounting records for Fiscal Year ended June 30, 2013, and they are in the process of analyzing revenues and expenses, developing work papers and assembling financial statements along with supplemental information for the City's 50+ funds in preparation for the City's auditors, Cherry Bekaert. The Comprehensive Annual Financial Report, (CAFR), containing audited financial statements for all funds, will be presented to City Council on December 10`". However, to assist in planning for upcoming financial decisions, preliminary unaudited key financial statements are presented noting that the Finance Department still has a great deal of analysis to complete, and as such, these amounts could change. September 10, 2013 -24 - CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) Below is the Summary of the General Fund Budget: % of BUDGET ACTUAL VARIANCE Budget: REVENUES $ 977.9 $ 978,1 $ 0.2 " 0,0% EXPENDITURES (1,035.0) (992.2) 42.8 4.1% REVENUES OVER (UNDER) FUND BALANCE -JULY 1 FUND BALANCE - JUNE 30 LESS: RESERVATIONS UNASSIGNED FUND BALANCE - JUNE 30 Fund Balance as a percent of FY 2014: Revenues is 10.36% September 10, 2013 -25 - CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) Below is the Summary of the General Fund Revenues. Bud u ne' 30 201 in mi ions- unau• i e • ' Local State Federal Total $ 977.9 $ 978.1 $ 0.2 Percent Over Budget Below is the Summary of the Local Revenue Variances: BUDGET '1„`. -'$97$.1 M m mi Ions unaU • de Real Estate General Sales Telecommunications Taxes Business Licenses City Tax on Deeds Hotel Taxes Use of Property Other Local Revenue Restaurant Meals Personal Property Utility Taxes Cigarette Taxes Bank Stock Use of Money Total Local Revenue Variance Variance $ 2.0 0.9 0.2, 1.8 1.6 0.2 0.6 0.7 (0.0) (4.3) (0.6) (0.2) (0.8) (0.4) 1.7 September 10, 2013 -26 - CITY MANAGER'S BRIEFING FYl3 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) Real Estate Tax was $2 -MILLION over Budget. Local Personal Property Tax was $4.3 -MILLION under Budget and Staff will take a closer look at this: September 10, 2013 -27 - CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) General Sales Tax was $900, 000 over Budget: Business License Tax was $1.8 -MILLION over Budget and the highest level for the past seven (7) years: September 10, 2013 -28 - CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) Hotel Room Taxes are the highest of those collections on record: September 10, 2013 -29- CITY MANAGER'S BRIEFING FYl3 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) Restaurant Meal Taxes are also the highest of those collections on record: September 10, 2013 -30 - CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) ® GF2% CBD TIF NI TAP 1%/$1 OTIP 5% uu SB 51 Telecommunication continues to stair step down due to the decline in land lines, fax lines and 800 numbers: September 10, 2013 I I I -31- CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) State Revenues collected were $ 143.4 -MILLION, approximately $2 -MILLION under Budget: 156.7 157.3 1593 156.1 wortift Piptlitearnio hallNaerin.raheetr"' The City underspent the Expenditure Budget by 21.7 -MILLION, while the Schools underspent BY $ 18.8 - MILLION: e lane 30 2013 in nit ions --unau ite Budget Actual Variance % Savings City Expenses: Departments 552.6 $ 530.9 $ 21.7 Debt Service 48.0 45.7 2.3 Capital Projects 29.4 29.4 Total 630.0 606.0 24.0 3.8% Schools (City Funding): Operating Transfers 358.7 339.9 $ 18.8 Debt Service 44.7 44.7 Capital Projects 16 1.6 Total 405.0 386.2 18.8 2.5% Total Expenditures $ 1,035.0 $ 992.2 * $ 42.8 4.1% ',Reflects encumbrances of $7.4 million September 10, 2013 -32- CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) ®Unassigned GF Balance -0-% of Budgeted GF Revenue The majority of loans are to the local Rescue Squads for ambulance, which are repaid in full, interest free: une in mi fon s unau• ted Total Fund Balance June 30, 2013 Less: Reservations & Designations Loans $ 4.7 Inventories and Future Programs 2,1 City CIP - 2014 24.4 School Reversion 18.8 FY2014 School Operating Budget 3.1 Sequestration 9.9 63.0 Unassigned Fund Balance $ 101.7 Percent of Budgeted FY 2014 Revenues 10.36% September 10, 2013 -33 - CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) (in millions - unaudited) Budget Actual Variance REVENUES: City $ 388.9 $ 388.9 $ Local 2.6 3.0 School's Reserve & Other Funds 11.7 11.7 Commonwealth 310.1 307.4 Federal Government 17.2 21.0 Total Revenues $ 730.5 $ 732.0 (2.7) 3.8 $ 1.5 EXPENDITURES $ (740.6) Excess Expenditure Savings Over Revenue Variance 18.3 Prepaid Items 0.5 Total Reversion to City $ °_18.8 * Reflects encumbrances of $5.9 million $(723.8)* $ 16.8 20. Bud e o Ad dna 30;2013 n m ons - unau • Ite • Budget Actual Diff Charges for Services $ 59.7 61.8 2.1 Sale of Water 48.1 46.6 (1.5) Other 6.0 9.1 3.1 Total Revenues $ 113.8 117.5 3.7 Water Services Contract Operating Expenses Debt Service Depreciation Transfers to CIP Total Expenditures Net Change in Position 27.8 58.2 20.1 0.0 13.3 $ 119.4 26.0 1.8 51.8 5.6 19.8 13.3 6.4 14.5 (19.8) 0.0 116.5 2.9 1.0 21 September 10, 2013 -34 - CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) The Waste Management Fund is new for 2013 and has an ending balance of $2.9 -MILLION: Budget o Actua Jur e 0 2013 in mi ions - unau s i e' Budget Actual Diff Charges for Services $ 26.6 26.6 (0.0) Transfer from Gen Fund 14.8 14.8 0.0 Other 0.1 0.1 0.0 Total Revenues $ 41.5 41.5 0.0' Program Support Waste Disposal Waste Collection Yard Debris/Hazardous Waste Recycling Transfers to City Garage Total Expenditures Net Change in Fund Balance 1.0 10 0.0 21.4 18.7 2.7 12.5 12.2 0.3 1.9 2.0 (0.0) 4.6 4.6 (0.1) 0.1 0.1 0.0 41.5 38.6 2.9 2.9 22 Budget +tua June 0 201 nmi ions - unau•ie Hotel Room Tax Restaurant Meal Tax Amusement Tax Cigarette Tax Transfer from Gen Fund Other Total Revenues, Debt Service SGA Special Events Operating Expenses Transfer to Sandbridge SSD, Transfer to Gen Fund Total Expenditures Net Change in Fund Balance Budget Actual $ 14.3 10.6 5.8 0.9 0.3 1.5 $ 33.4 Diff 14.4 0.1 10.6 (0.0) 5.5 (0.3)', 0.9 (0.0) 0.3 0.0, 1.6 0.1 33.3 (0.1)'. 26.2 26.1 0.1 3.5 3.4 0.1 2.0 1.7 0.3 2.3 2.2 0.1 2.0 2.0 0.0 $ 36.0 35.4 0.6 $ (2.1) 23 September 10, 2013 -35 - CITY MANAGER'S BRIEFING FY13 YEAR-END FINANCIAL REPORT ITEM #63090(Continued) Fund Balance within Policy, lower than 2012 ✓ (10.36% FY13 vs. 10.57% FY12) ✓ Reservations include: V Schools - $3.1M V Sequestration $9.9M V FY14 GIP budget - $24.4M ✓ School Reversion - $18.8M El Departments continue to manage their budgets ✓ Reductions in personnel have operating impacts i Actual revenues were slightly over budget 24 5 Year Forecast October Interim Financial, Statements • FY13 Audited Financial Statements Y November Interim Financial, Statements • FY15 Budget Proposal FY15 Budget Adoption Nov 19, 2013 Nov 26, 2013 Dec 10, 2013 Dec 10, 2013 Late Mar/Early Apr May 13, 2014 The City Manager briefing on recommended use of Fund Balance will be on Sep 17, 2013 25 Mayor Sessoms thanked Mrs. Phillips and the entire Team for their hard work. September 10, 2013 i 11 -36- CITY COUNCIL LIAISON REPORTS 4:58 P.M. ITEM #63091 Council Lady Ross -Hammond attended the recent Social Services Advisory Board Meeting where they stressed the importance of letting citizens know they can now enroll for services on-line. September 10, 2013 -37- CITY COUNCIL COMMENTS 5:02 P.M. ITEM #63092 Councilman Moss advised that the Federal Government spent less than $64 -BILLION less than the President requested for FY2013, which is, in effect, Sequestration. Approximately $25 -BILLION was Non -Defense spending with $39 -BILLION Defense spending. September 10, 2013 -38 - CITY COUNCIL COMMENTS (Continued) ITEM #63093 Councilman Uhrin announced the City received the Virginia Municipal League's prestigious President 's Award for the Strategic Growth Area projects. He stated this initiative is one of the things he is most proud of since his time on City Council. September 10, 2013 -39 - CITY COUNCIL COMMENTS (Continued) ITEM #63094 Councilman Uhrin requested the City Manager review the Policy regarding disposing of acquired APZ Properties. A flaw was discovered while working on the recent Fountain Drive property and he would like to review the Policy to ensure this does not happen again. Mayor Sessoms requested that he and Vice Mayor Jones work with the City Manager and the City Attorney to prepare a proposal for City Council to consider. September 10, 2013 -40 - CITY COUNCIL COMMENTS (Continued) ITEM #63095 Council Lady Ross -Hammond attended the Bellamy Manor Ribbon Cutting for the new Park. She expressed her appreciation to the Parks and Recreation Foundation for their generous time, energy and contribution to this City's amenity. September 10, 2013 -41 - CITY COUNCIL COMMENTS (Continued) ITEM #63096 Councilman Moss reviewed the article regarding New Flood Insurance and is interested as the City is looking at the Plan for the Eastern side of Shore Drive. When FEMA draws the new map, what is the City proposing to do to help those property owners offset their premiums, which are expected to double over the next ten (10) years? City Manager Spore advised the Staff is putting together a presentation on the new Flood Plain Ordinance and Mapping that will have to be addressed by City Council by the end of this year. September 10, 2013 -42 - CITY COUNCIL COMMENTS (Continued) ITEM #63097 Councilman Uhrin advised he is working with several groups to address behavioral issues at the Resort Area. He distributed a proposed Ordinance for City Council to review. He would like to get this matter for City Council's consideration as soon as possible. September 10, 2013 -43 - AGENDA REVIEW SESSION 5:07 P.M. ITEM #63098 BY CONSENSUS, the following shall compose the CONSENT AGENDA: 1. ORDINANCES 1. Ordinance to ADD Section 35.3-5.1 to the City Code re DEFERRAL of Special Service District Levies for qualing Senior and Disabled Persons 2. Ordinance to DESIGNATE local properties to be TAX EXEMPT: a. Al -Anon Service Center of Tidewater, Inc. b. Disabled American Veterans Combining Chapters Thrift Stores of Hampton Roads Virginia, Inc. c. Symphonicity, the Symphony Orchestra of Virginia Beach d. Virginia Athletic Council, Inc. 3. Ordinance to APPROPRIATE $1,360,387 re "carry forward funds" previously approved in FY 2012-13 into the FY 2013-14 Operating Budget: a. $837,459 General Fund b. $218,500 Fuels Internal Fund c. $125,000 Water and Sewer Enterprise Fund d. $ 85,857 Circuit Clerk Court Technology e. $ 71,448 DEA Seized Property Special Revenue Fund f. $ 20,623 Storm Water Utility Enterprise Fund g. $ 1,500 Parks and Recreation Special Revenue Fund September 10, 2013 -44 - AGENDA REVIEW SESSION ITEM #63098 (Continued) BY CONSENSUS, the following shall compose the PLANNING BY CONSENT AGENDA: J. PLANNING 1. Application of NEW COVENANT PRESBYTERIAN CHURCH for a Modification of a Conditional Use Permit for additions to the existing church at 1552 Kempsville Road DISTRICT 1— CENTERVILLE 2. Application of CRESCENT COMMUNITY CENTER CORP for a Conditional Use Permit to construct a religious center at 2438 Salem Road DISTRICT 7 — PRINCESS ANNE 3. Application of VB RECREATION, LLC for a Conditional Use Permit re an indoor commercial recreation (Trampoline Park) at 2029 Lynnhaven Parkway DISTRICT 3 — ROSE HALL 4. Application of VISIONS COMMUNITY SERVICES, LLC for a Conditional Use Permit re an Adult Day Care at 370 Cleveland Place DISTRICT 2 — KEMPSVILLE 5. ORDINANCE to AMEND Section 212 and ADD Section 217 of the City Zoning Ordinance (CZO) re electronic displays of fuel prices ITEM #2 SHALL BE DEFERRED TO SEPTEMBER 24, 2013 ITEM #4 SHALL BE ALLOWED TO WITHDRAW September 10, 2013 -45- ITEM#63099 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: Council, Boards, Commissions, Committees, Authorities, Agencies and Appointees PUBLICLY -HELD PROPERTY: Discussion or consideration of the, acquisition of real property for public purpose; or of the disposition of publicly -held property, where discussion in an open meeting would adversely affect the bargaining position or negotiating strategy of the public body pursuant to Section 2.2-3711(A)(3). Acquisition/Disposition of City Properly: Princess Anne District Centerville District September 10, 2013 -46- ITEM#63099 (Continued) Upon motion by Councilman Moss, seconded by Councilman Dyer, City Council voted to proceed into CLOSED SESSION at 5:10 P.M Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson (Closed Session 5:10 P.M. 5:25 P.M.) September 10, 2013 -47 - FORMAL SESSION VIRGINIA BEACH CITY COUNCIL SEPTEMBER 10, 2013 6:00 P.M. Mayor William D. Sessoms, Jr., called to order the FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL in the City Council Chamber, City Hall, on Tuesday, September 10, 2013, at 6:00 P.M. Council Members Present: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Absent: Rosemary Wilson INVOCATION: Reverend Edward Martin Francis Asbury United Methodist Church PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA 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 idents 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. 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 September 10, 2013 -48 - 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 identing 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. September 10, 2013 Item -VI-E CERTIFICATION -49- ITEM #63100 Upon motion by Councilman Dyer, seconded by Council Lady Henley, City Council CERTIFIED THE CLOSED SESSION TO BE IN ACCORDANCE WITH THE MOTION TO RECESS. Only public business matters lawfully exempt from Open Meeting requirements by Virginia law were discussed in Closed Session to which this certification resolution applies. AND, Only such public business matters as were identified in the motion convening the Closed Session were heard, discussed or considered by Virginia Beach City Council. Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 RESOLUTION CERTIFICATION OF CLOSED SESSION VIRGINIA BEACH CITY COUNCIL WHEREAS: The Virginia Beach City Council convened into CLOSED SESSION, pursuant to the affirmative vote recorded in ITEM #63099 Page 45, and in accordance with the provisions of The Virginia Freedom of Information Act; and, WHEREAS: Section 2.2-3712 of the Code of Virginia requires a certification by the governing body that such Closed Session was conducted in conformity with Virginia law. NOW, THEREFORE, BE IT RESOLVED: That the Virginia Beach City Council hereby certifies that, to the best of each member's knowledge, (a) only public business matters lawfully exempted from Open Meeting requirements by Virginia law were discussed in Closed Session to which this certification resolution applies; and, (b) only such public business matters as were identified in the motion convening this Closed Session were heard, discussed or considered by Virginia Beach City Council. Rith Hodges Fraser, MMC City Clerk September 10, 2013 I Item -VI -F.1 MINUTES -50- ITEM #63101 Upon motion by Councilman Dyer, seconded by Councilman Uhrin, City Council APPROVED the MINUTES of the INFORMAL and FORMAL SESSIONS of August 27, 2013. Voting: 8-0 Council Members Voting Aye: Robert M. Dyer, Barbara M Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross -Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson Council Members Abstaining: Glenn R. Davis and William R. "Bill" DeSteph September 10, 2013 -51 - ADOPT AGENDA FOR FORMAL SESSION ITEM #63102 BY CONSENSUS, City Council ADOPTED: AGENDA FOR THE FORMAL SESSION September 10, 2013 -52- Item-VI-H.la/b/c/d PUBLIC HEARING ITEM #63103 Mayor Sessoms DECLARED A PUBLIC HEARING: 1. PROPOSED EXEMPTIONS FROM LOCAL PROPERTY TAXATION a. Al -Anon Service Center of Tidewater, Inc. b. Disabled American Veterans Combining Chapters Thrift Stores of Hampton Roads Virginia, Inc. c. Symphonicity, the Symphony Orchestra of Virginia Beach d. Virginia Athletic Council, Inc. There being no speakers, Mayor Sessoms CLOSED THE PUBLIC HEARING. September 10, 2013 -53 - Item —VI -I ORDINANCES/RESOLUTIONS ITEM #63104 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council APPROVED, IN ONE MOTION, BY CONSENT 1, 2a/b/c/d, 3a/b/c/d/e/f/g of the CONSENT AGENDA, composed of Ordinances, Resolutions and the Planning Applications. Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 I -54- Item -VI-L1 ORDINANCES/ ITEM #63105 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT, Ordinance to ADD Section 35.3-5.1 to the City Code re DEFERRAL of Special Service District Levies for qualifying Senior and Disabled Persons Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 REQUESTED BY THE MAYOR ON BEHALF OF CITY COUNCIL 1 AN ORDINANCE TO ADD SECTION 35.3-5.1 TO THE CITY 2 CODE PERTAINING TO THE DEFERRAL OF SPECIAL 3 SERVICE DISTRICT LEVIES FOR QUALIFYING SENIOR 4 AND DISABLED PERSONS 5 6 SECTION ADDED: 35.3-5.1 7 8 WHEREAS, The City of Virginia Beach has previously established special service 9 districts to allow neighborhood dredging projects to proceed; and 10 11 WHEREAS, the City finds that the additional levies of taxes in such special 12 service districts may be a burden that certain qualifying senior and disabled persons are 13 unable to bear. 14 15 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 16 VIRGINIA BEACH, VIRGINIA: 17 18 1. That the Code of the City of Virginia Beach, Virginia, is hereby amended and 19 reordained as follows: 20 21 Section 35.3-5.1. Deferral of Dredging Special Services District Taxes for 22 Qualifying Senior and Disabled Persons. 23 24 a. For those special service districts established in this Chapter 35.3 of the Code of 25 the City of Virginia Beach, the Council finds that the additional levies may be a 26 burden that certain qualifying senior and disabled persons are unable to bear. 27 28 b. Any owner of property subject to additional levy of Neighborhood Dredging 29 Special Service District Taxes may, by the application procedure set forth in 30 section 35-66, apply for a deferral of such additional levies. 31 32 c. The deferral of such taxes requires the applicant meet the age or disability 33 criteria and net worth qualifications for the deferral of general real estate taxes as 34 authorized by section 35-61, et seq. The applicant may defer the same 35 percentage of SSD levies that the applicant would be eligible for exemption 36 pursuant to the income requirements in section 35-67. 37 38 d. The accumulated amount of such taxes deferred shall be paid, to the treasurer of 39 the city or the clerk of the circuit court, as the case may be, by the vendor upon 40 the sale of the dwelling, or from the estate of the decedent within one year from 41 the death of the last owner thereof who qualifies for tax deferral by the provision 42 of this section. Such deferred special service district taxes shall be paid without 43 penalty and without interest. The deferred special service district taxes shall 44 constitute a lien upon the real estate as if they had been assessed without regard 45 to the deferral permitted by this section; provided, however, that such lien shall, 46 to the extent that they exceed the aggregate ten percent of the price for which 1 47 such real estate may be sold, be inferior to all other liens of record. 48 49 e. No later than the first day of August on the third anniversary of the original due 50 date had such special service district taxes not been deferred as provided herein, 51 the treasurer shall certify to the clerk of the circuit court a list of all real estate 52 against which deferred special service district taxes are still outstanding, and the 53 clerk shall cause such deferred taxes to be recorded as a lien against the 54 respective real estate as liens are customarily recorded and to be marked as 55 deferred. 56 57 f. Any deferred amounts outstanding after the dissolution of any special service 58 district established by this chapter shall be paid notwithstanding such dissolution 59 and such amounts shall be directed to the City's general fund. 60 61 2. This section shall supersede any contrary provisions adopted pursuant to the 62 Neighborhood Dredging Special Service District Program. Adopted by the Council of the City of Virginia Beach, Virginia, on thel°th day of September , 2013. APPROVED AS TO LEGAL SUFFICIENCY: CA12526 R-3 September 4, 2013 2 -55- Item-VI-I.2a/b/c/d ORDINANCES ITEM #63106 Upon motion by Councilman Uhrin, seconded by Councilman Wood, City Council ADOPTED, BY CONSENT, Ordinance to DESIGNATE local properties to be TAX EXEMPT a. Al -Anon Service Center of Tidewater, Inc. b. Disabled American Veterans Combining Chapters Thrift Stores of Hampton Roads Virginia, Inc. c. Symphonicity, the Symphony Orchestra of Virginia Beach d. Virginia Athletic Council, Inc. Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent.' Rosemary Wilson September 10, 2013 1 AN ORDINANCE TO DESIGNATE AL -ANON SERVICE 2 CENTER OF TIDEWATER, INC., AS BEING EXEMPT 3 FROM REAL AND PERSONAL PROPERTY TAXATION 4 5 WHEREAS, in accordance with § 58.1-3651 of the Code of Virginia, the Council of 6 the City of Virginia Beach has advertised and conducted a public hearing on the issue of 7 granting an exemption from local real and personal property taxes to the Al -Anon Service 8 Center of Tidewater, Inc. 9 10 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 11 VIRGINIA BEACH, VIRGINIA: 12 13 1. That the Council of the City of Virginia Beach, Virginia, hereby designates Al - 14 Anon Service Center, Inc., of Tidewater as a charitable organization within the context of § 15 6(a)(6) of Article X of the Constitution of Virginia. 16 17 2. That real and personal property owned by Al -Anon Service Center of Tidewater 18 located within the City of Virginia Beach that is used exclusively for charitable purposes on 19 a nonprofit basis is hereby exempt from local property taxation. 20 21 3. This exemption is contingent on the following: 22 23 (a) continued use of the property by Al -Anon Service Center of Tidewater for 24 exclusively charitable purposes; 25 26 (b) that each July 1, Al -Anon Service Center of Tidewater shall file with the 27 Commissioner of the Revenue a copy of its most recent federal income tax 28 return, or if no such return is required, it shall certify its continuing tax exempt 29 status to the Commissioner of the Revenue; 30 31 (c) that every three years, beginning on January 1, 2016, Al -Anon Service 32 Center of Tidewater shall file an exemption application with the 33 Commissioner of the Revenue as a requirement for retention of the exempt 34 status of the property; and 35 36 (d) that Al -Anon Service Center of Tidewater cooperate fully with the 37 Commissioner of the Revenue with respect to audit of its financial records, 38 compliance with the terms of this ordinance. 39 40 4. That the effective date of this exemption shall be January 1, 2014. Adopted by the Council of the City of Virginia Beach, Virginia, on the 10th of September 2013. day Requires an affirmative vote of three-fourths of the members of the City Council. APPROVED AS TO CONTENT: CA12704 R-1 July 29, 2013 2 APPROVED AS TO LEGAL OVERVIEW OF NONPROFIT APPLICATION FOR EXEMPTION ENTITY NAME: Al -Anon Service Center of Tidewater 281 Independence Blvd #406 Virginia Beach, VA 23462 Website: http://tidewaterasc.org SUMMARY OF NONPROFIT BUSINESS ACTIVITY: The Al -Anon Service Center (which includes Alateen for younger members) is a fellowship of relatives and friends of alcoholics who share their experience, strength, and hope, in order to solve their common problems. Al -Anon is not allied with any sect, denomination, political entity, organization, or institution; does not engage in any controversy, neither endorses nor opposes any cause. There are no dues for membership. Al -Anon is self-supporting through voluntary contributions. Al -Anon has one purpose: to help families of alcoholics. They accomplish this by practicing the Twelve Steps, by welcoming and giving comfort to families of alcoholics, and by giving understanding and encouragement to the alcoholic. TAX IMPACT: Real Property Assessment: None Tax: None Business Property: Assessment: 364.80 Tax: $13.50 Personal Property Assessment: None Tax: None RELEVANT INFORMATION: IRS Granted 501 (c) 3 status —10/30/2012 1 AN ORDINANCE TO DESIGNATE DISABLED 2 AMERICAN VETERANS COMBINING CHAPTERS 3 THRIFT STORES OF HAMPTON ROADS VIRGINIA, 4 INC., AS BEING EXEMPT FROM REAL AND PERSONAL 5 PROPERTY TAXATION 6 7 WHEREAS, in accordance with § 58.1-3651 of the Code of Virginia, the Council of 8 the City of Virginia Beach has advertised and conducted a public hearing on the issue of 9 granting an exemption from local real and personal property taxes to the Disabled 10 American Veterans Combining Chapters Thrift Stores of Hampton Roads Virginia, Inc. 11 12 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 13 VIRGINIA BEACH, VIRGINIA: 14 15 1. That the Council of the City of Virginia Beach, Virginia, hereby designates 16 Disabled American Veterans Combining Chapters Thrift Stores of Hampton Roads Virginia, 17 Inc. ("Disabled American Veterans"), as a charitable organization within the context of § 18 6(a)(6) of Article X of the Constitution of Virginia. 19 20 2. That real and personal property owned by Disabled American Veterans located 21 within the City of Virginia Beach that is used exclusively for charitable purposes on a 22 nonprofit basis is hereby exempt from local property taxation. 23 24 3. This exemption is contingent on the following: 25 26 (a) continued use of the property by Disabled American Veterans for exclusively 27 charitable purposes; 28 29 (b) that each July 1, Disabled American Veterans shall file with the 30 Commissioner of the Revenue a copy of its most recent federal income tax 31 return, or if no such return is required, it shall certify its continuing tax exempt 32 status to the Commissioner of the Revenue; 33 34 (c) that every three years, beginning on January 1, 2016, Disabled American 35 Veterans shall file an exemption application with the Commissioner of the 36 Revenue as a requirement for retention of the exempt status of the property; 37 and 38 39 (d) that Disabled American Veterans cooperate fully with the Commissioner of 40 the Revenue with respect to audit of its financial records, compliance with the 41 terms of this ordinance. 42 43 4. That the effective date of this exemption shall be January 1, 2014. Adopted by the Council of the City of Virginia Beach, Virginia, on the loth day of September 2013. Requires an affirmative vote of three-fourths of the members of the City Council. APPROVED AS TO CONTENT: ei Com fission r the Revenue CA12699 R-1 July 22, 2013 2 APPROVED AS TO LEGAL OVERVIEW OF NONPROFIT APPLICATION FOR EXEMPTION Disabled American Veterans Combining Chapters Thrift Stores of Hampton Roads Virginia Inc. D. A. V. Thrift Store 1525 General Booth Blvd Virginia Beach, VA 23454 Website: http://davthrift.org/about-us.html D. A. V. Thrift Store 5517 Virginia Beach Blvd Virginia Beach, VA 23462 SUMMARY OF NONPROFIT BUSINESS ACTIVITY: The Disabled American Veteran's Thrift Stores' goal is to provide quality merchandise at excellent prices to their customers in a clean, inviting store, giving outstanding service, while providing their employees a healthy, rewarding work environment. The monies earned support the local DAV Chapters, which provide support to the Veterans Administration hospitals and its veteran support agencies, local social service agencies, and other community activities in the local Hampton Roads area. 1525 General Booth Blvd is a new business; D. A. V. is seeking exemption for real estate and business property taxes. 5517 Virginia Beach Blvd real estate was previously exemption as a post. D. A. V. is seeking exemption for personal property taxes. TAX IMPACT: Real Property Business Property: Personal Property (4 Vehicles) Assessment: Tax: Assessment: Tax: Assessment: Tax: RELEVANT INFORMATION: IRS Granted 501 (c) 4 status — 6/24/1942 $2,555,600.00 $23,670.36 $ 50,535.60 $ 1,869.82 $9,475 $350.58 REQUESTED BY MAYOR SESSOMS 1 AN ORDINANCE TO DESIGNATE SYMPHONICITY, THE 2 SYMPHONY ORCHESTRA OF VIRGINIA BEACH, AS 3 BEING EXEMPT FROM REAL AND PERSONAL 4 PROPERTY TAXATION 5 6 WHEREAS, in accordance with § 58.1-3651 of the Code of Virginia, the Council of 7 the City of Virginia Beach has advertised and conducted a public hearing on the issue of 8 granting an exemption from local real and personal property taxes to the Symphonicity, the 9 Symphony Orchestra of Virginia Beach. 10 11 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 12 VIRGINIA BEACH, VIRGINIA: 13 14 1. That the Council of the City of Virginia Beach, Virginia, hereby designates 15 Symphonicity, the Symphony Orchestra of Virginia Beach, ("Symphonicity") as a charitable 16 organization within the context of § 6(a)(6) of Article X of the Constitution of Virginia. 17 18 2. That real and personal property owned by Symphonicity located within the City of 19 Virginia Beach that is used exclusively for charitable purposes on a nonprofit basis is 20 hereby exempt from local property taxation. 21 22 3. This exemption is contingent on the following: 23 24 (a) continued use of the property by Symphonicity for exclusively charitable 25 purposes; 26 27 (b) that each July 1, Symphonicity shall file with the Commissioner of the 28 Revenue a copy of its most recent federal income tax return, or if no such 29 return is required, it shall certify its continuing tax exempt status to the 30 Commissioner of the Revenue; 31 32 (c) that every three years, beginning on January 1, 2016, Symphonicity shall file 33 an exemption application with the Commissioner of the Revenue as a 34 requirement for retention of the exempt status of the property; and 35 36 (d) that Symphonicity cooperate fully with the Commissioner of the Revenue with 37 respect to audit of its financial records, compliance with the terms of this 38 ordinance. 39 40 4. That this ordinance be given retroactive effect to relieve Symphonicity of any 41 unpaid property taxes owed to the City during the relevant limitations period. Adopted by the Council of the City of Virginia Beach, Virginia, on the 10th day of September 2013. Requires an affirmative vote of three-fourths of the members of the City Council. APPROVED AS TO LEGAL SUFFICIENCY: I CA12707 R-1 July 31, 2013 ,x2___._------'-- Office OVERVIEW OF NONPROFIT APPLICATION FOR EXEMPTION ENTITY NAME: Symphonicity, the Symphony Orchestra of Virginia Beach 281 Independence Blvd #421 Virginia Beach, VA 23462 Website: http://www.symphonicity.org/ SUMMARY OF NONPROFIT BUSINESS ACTIVITY: The Mission of Symphonicity is to provide high quality music for everyone, to afford an opportunity for performers, and to educate young musicians. Through their education and outreach programs, Symphonicity provides youth concerts, lecture- demonstrations, family concerts, school concerts, adult education. They also afford opportunities for musical education to youth and others that would not otherwise have access to music education. The all -volunteer orchestra provides seven free concerts each year for the citizens of Virginia Beach to enjoy a long with several other low cost performances. TAX IMPACT: Real Property Assessment: None Tax: None Business Property: Assessment: $23,389.60 Tax: $828.42 Personal Property Assessment: None Tax: None Back Taxes Year Base Tax Penalty Interest Total 2008 $766.33 $76.63 $122.23 $965.19 2009 $1,379.51 $137.95 $220.03 $1,737.49 2010 $1,423.91 $142.39 $227.11 $1,793.41 2011 $1,468.29 $146.83 $234.19 $1,849.31 2012 $828.42 0.00 0.00 $828.42 2013 $828.42 0.00 0.00 $828.42 Treasurer Collection Admin Fee $20.00 Total $8,002.24 RELEVANT INFORMATION: IRS Granted 501 (c) 3 status —12/28/1982 11 1 1 AN ORDINANCE TO DESIGNATE THE VIRGINIA 2 ATHLETIC COUNCIL, INC., AS BEING EXEMPT FROM 3 REAL AND PERSONAL PROPERTY TAXATION 4 5 WHEREAS, in accordance with § 58.1-3651 of the Code of Virginia, the Council of 6 the City of Virginia Beach has advertised and conducted a public hearing on the issue of 7 granting an exemption from local real and personal property taxes to the Virginia Athletic 8 Council, Inc. 9 10 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 11 VIRGINIA BEACH, VIRGINIA: 12 13 1. That the Council of the City of Virginia Beach, Virginia, hereby designates 14 Virginia Athletic Council, Inc., as a charitable organization within the context of § 6(a)(6) of 15 Article X of the Constitution of Virginia. 16 17 2. That real and personal property owned by Virginia Athletic Council located within 18 the City of Virginia Beach that is used exclusively for charitable purposes on a nonprofit 19 basis is hereby exempt from local property taxation. 20 21 3. This exemption is contingent on the following: 22 23 (a) continued use of the property by Virginia Athletic Council for exclusively 24 charitable purposes; 25 26 (b) that each July 1, Virginia Athletic Council shall file with the Commissioner of 27 the Revenue a copy of its most recent federal income tax return, or if no such 28 return is required, it shall certify its continuing tax exempt status to the 29 Commissioner of the Revenue; 30 31 (c) that every three years, beginning on January 1, 2016, Virginia Athletic 32 Council shall file an exemption application with the Commissioner of the 33 Revenue as a requirement for retention of the exempt status of the property; 34 and 35 36 (d) that Virginia Athletic Council cooperate fully with the Commissioner of the 37 Revenue with respect to audit of its financial records, compliance with the 38 terms of this ordinance. 39 40 4. That the effective date of this exemption shall be January 1, 2014. Adopted by the Council of the City of Virginia Beach, Virginia, on the 10th day of September , 2013. Requires an affirmative vote of three-fourths of the members of the City Council. APPROVED AS TO CONTENT: Commissioner he Revenue CA12697 R-1 July 22, 2013 2 APPROVED AS TO LEGAL OVERVIEW OF NONPROFIT APPLICATION FOR EXEMPTION ENTITY NAME: Virginia Athletic Council 2948 Beaden Drive Virginia Beach, VA 23456 Website: http://vac365.org SUMMARY OF NONPROFIT BUSINESS ACTIVITY: The Virginia Athletic Council provides training, technical assistance and solutions that address the apparent increase of unlawful activity amongst student athletes thereby better preparing them to handle the responsibilities and challenges of high profile athletic competition and team leadership. They mentor, inform and assist athletes prior to, during and after their career to help to prepare for postgraduate and/or professional athletic endeavors. VAC provides information to students about college requirements, social pressures, sportsmanship, professional careers and how to reach their full potential through sports. TAX IMPACT: Real Property Business Property: Assessment: None Tax: None Assessment: 594.80 Tax: $22.00 Personal PropertyAssessment: Assessment: None Tax: None RELEVANT INFORMATION: IRS Granted 501 (c) 3 status — 08/31/2012 -56- Item-VI-1.3a/b/c/d/e/f/g ORDINANCES ITEM #63107 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT, Ordinance to APPROPRIATE $1,360,387 re "carry forward funds" previously approved in FY2012-13 into the FY2013-14 Operating Budget a. $837,459 General Fund b. $218, 500 Fuels Internal Fund c. $125,000 Water and Sewer Enterprise Fund d $ 85,857 Circuit Clerk Court Technology e. $ 71,448 DEA Seized Property Special Revenue Fund f. $ 20,623 Storm Water Utility Enterprise Fund g. $ 1,500 Parks and Recreation Special Revenue Fund Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent. Rosemary Wilson September 10, 2013 1 AN ORDINANCE TO CARRY FORWARD AND 2 APPROPRIATE $1,360,387 FOR PURPOSES 3 PREVIOUSLY APPROVED IN FY 2012-13 INTO 4 THE 2013-14 OPERATING BUDGET 5 WHEREAS, funds totaling $1,360,387 was unexpended at the close of the FY 6 2012-13 fiscal year and require re -appropriation to achieve the purposes for which such 7 funds were included in the FY 2012-13 Operating Budget. 8 9 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 10 VIRGINIA BEACH, VIRGINIA: 11 12 That $1,360,387 is hereby appropriated in the FY 2013-14 Operating Budget for 13 the purposes and amounts as set forth in the attachment entitled "Exhibit A: FY 2012-13 14 Items Requested for Carry Forward into FY 2013-14," with revenue from the respective 15 fund balances of each fund. Requires an affirmative vote by a majority of all of the members of City Council. Adopted by the Council of the City of Virginia Beach, Virginia, on the 10th day of September , 2013. APPROVED AS TO CONTENT: ,L)/(x. ..51k en Services CA12726 R-1 August 27, 2013 APPROVED AS TO LEGAL SUFFICIENCY: Exhibit A: FY 2012-13 Items Requested for Carry Forward into FY 2013-14 Department Finance -Comptroller's Office Police -Support Public Works -Buildings Libraries Planning -Directors Office Economic Development Arts and Humanities Commission Non Departmental -COG Emergency Communications and Citizen Museums -Aquarium & Marine Science Center Administration Museums -Coastal Resources Amount Purpose / Comments $ 14,800 Replacement of the Comprehensive Annual Financial Reporting (CAFR) software. $ 27,086 Subscription charge for the False Alarm Reduction project. $ 20,000 Obtain condition assessment of 17 bronze statues and place them on a maintenance plan. $ 200,812 Funding allocated for Library books and materials. $ 114,900 Provide support for hardware and licenses for the Accela Automation program. $ 52,810 Outside legal fees for the Cavalier Hotel Project. $ 43,214 Return of unexpended funds to arts and cultural obligations. $ 17,396 In FY 2012-13 the Mary Buckley Foundation was awarded $35,290 under the COG program. Only $17,645 was requested in July 2012, but the remaining amount hasn't been requested yet. $ 52,000 Backup recording solution for 911 phones. $ 273,391 New radio system approved by City Council on June 25, 2013. $ 21,050 VA Coastal Resources (DEQ) grant funding for grant position. TOTAL GENERAL FUND $ 837,459 Police - DEA - K-9 Police - DEA - Uniform Patrol Police - DEA - Special Investigative Division Police - DEA - Special Investigative Division $ 13,500 Purchasing of police canines. $ 36,887 Replace and upgrade components to the oceanfront security camera system. $ 8,361 The Police Department retains useful vehicles that are seized through Federal or State seizure laws. The Department must pay a fixed percentage of a vehicle's value to Federal or State agencies. $ 12,700 For confidential investigation funding. TOTAL DEA SEIZED PROPERTY SPECIAL $ 71,448 REVENUE FUND 1 of 2 Exhibit A: FY 2012-13 Items Requested for Carry Forward into FY 2013-14 Department Parks and Recreation -Youth Opportunities Amount Purpose / Comments $ 1,500 Remaining funds received from the Virginia State Parks for the Youth Office Service. TOTAL PARKS AND RECREATION SPECIAL REVENUE FUND 1,500 Public Utilities -Meter Operations $ 125,000 Purchase of the Radix hand held replacements for the operation and billing of water and sanitary sewer accounts. TOTAL WATER AND SEWER FUND $ 125,000 Public Works -Construction and Engineering $ 20,623 Utility hookups for the new modular building which includes: electrical, plumbing, and communications. The modular building provides workspace for 16 technical staff. TOTAL STORM WATER UTILITY FUND $ 20,623 Public Works -Fleet Management Public Works -Fleet Management $ 93,500 Fuel Focus Vehicle Information Boxes for accurate vehicle and fueling data. $ 125,000 HID cards to access Fleet Fuel Focus fueling stations. With the delay in the VIB testing the cards can't be obtained. TOTAL FUELS INTERNAL SERVICE FUND $ 218,500 Clerk of Circuit Court $ 85,857 State funds to be used for the purchase of technology equipment, services and software. TOTAL CIRCUIT COURT CLERK $ 85,857 TECHOLOGY FUND TOTAL CARRY FORWARDS $ 1,360,387 2 of 2 Item -VI-J PLANNING -57- ITEM #63108 1. NEW COVENANT PRESBYTERIAN CHURCH MODIFY CONDITIONAL USE PERMIT 2. CRESCENT COMMUNITY CENTER CORP CONDITIONAL USE PERMIT 3. VB RECREATION, LLC CONDITIONAL USE PERMIT 4. VISIONS COMMUNITY SERVICES, LLC CONDITIONAL USE PERMIT 5. CITY OF VIRGINIA BEACH AMEND CITY ZONING ORDINANCE September 10, 2013 -58 - Item -VI-J PLANNING ITEM #63109 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council APPROVED IN ONE MOTION, BY CONSENT, Items 1, 2(DEFER TO SEPTEMBER 24, 2013), 3, 4(WITHDRAWAL) and 5 of the PLANNING AGENDA. Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 -59 - Item -VI -J.1 PLANNING ITEM #63110 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council APPROVED/CONDITIONED, BY CONSENT, Application of NEW COVENANT PRESBYTERIAN CHURCH for a Modification of a Conditional Use Permit for additions to the existing church at 1552 Kempsville Road DISTRICT 1— CENTERVILLE BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH VIRGINIA Ordinance upon Application of NEW COVENANT PRESBYTERIAN CHURCH for a Modification of a Conditional Use Permit for additions to the existing church at 1552 Kempsville Road (GPIN1465253375) DISTRICT 1— CENTERVILLE The following condition shall be required: 1. All conditions attached to the Conditional Use Permit granted by the City Council on March 28, 2000, are deleted and superseded by the conditions herein. 2. The site layout and landscaping shall substantially conform to the submitted Site Plan entitled "Modification of Conditions Application Exhibit for NEW COVENANT PRESBYTERIAN CHURCH," dated June 3, 2013, with the exception of the location of the rear bio retention bed, which shall be determined during Development Site Plan Review. 3. All new construction shall substantially conform to the submitted architectural elevations entitled, "NEW COVENANT PRESBYTERIAN CHURCH, BUILDING ELEVATIONS," and dated 6-3-2013. 4. Unless otherwise required by Public Works / Traffic Engineering during Development Site Plan review, the existing point of vehicular access on Kempsville Road shall be the only access point. 5. Phase I shall consist of the construction of the primary portion of the Fellowship/Multi- Purpose addition, eight (8) parking spaces to the Northeast of the existing sanctuary structure, the drive aisle that will go around the Fellowship/Multi-Purpose addition to the existing rear parking lot, the rear bio retention bed and the demolition of the 2, 770 square foot wooden structure. 6. Phase II shall consist of the construction of the two additions to the Fellowship/Multi- Purpose addition, a playground, thirty seven (37) parking spaces to the southwest of the existing sanctuary structure, a porte-cochere connecting to the existing sanctuary structure, bio retention bed and the demolition of the 5,335 square foot wooden structure. 7. A Landscaping Plan, meeting the requirements of the Zoning Ordinance, shall be submitted at Site Plan review. The layout of existing and proposed parking areas may slightly deviate from the submitted Site Plan to meet the minimum parking lot landscaping requirements. 8. The applicant shall ensure a minimum of Category I landscape screening exists along the side and rear lot lines at all times. September 10, 2013 -60 - Item -VI -J.1 PLANNING ITEM #63110(Continued) 9. The development Site Plan submitted to the Planning Department / Development Services Center shall include a Lighting Plan. The Lighting Plan should include the height of poles located in the parking lot and the location of all pole -mounted and building -mounted lighting fixtures. The Plan should list the type of lamp, wattage and fixture. Full cut-offfixtures shall be used for parking lot lighting. This Ordinance shall be effective in accordance with Section 107(f) of the Zoning Ordinance. Adopted by the City Council of the City of Virginia Beach, Virginia, on the Tenth day of September, Two Thousand Thirteen Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 -61- Item—VI-J.2 PLANNING ITEM #63111 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council DEFERRED TO SEPTEMBER 24, 2013, BY CONSENT, CRESCENT COMMUNITY CENTER CORP for a Conditional Use Permit to construct a religious center at 2438 Salem Road DISTRICT 7 — PRINCESS ANNE Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 -62 - Item -VI -J.3 PLANNING ITEM #63112 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council APPROVED/CONDITIONED, BY CONSENT, Application of VB RECREATION, LLC for a Conditional Use Permit re an indoor commercial recreation (Trampoline Park) at 2029 Lynnhaven Parkway DISTRICT 3 — ROSE HALL BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH VIRGINIA Ordinance upon Application of VB RECREATION, LLC for a Conditional Use Permit re an indoor commercial recreation (Trampoline Park) at 2029 Lynnhaven Parkway (GPIN1475868600) DISTRICT 3 — ROSE HALL The following conditions shall be required. 1. This Use Permit applies only to the southernmost unit (approximately 18,300 square feet) of the Salem Crossing Shopping Center. 2. The proposed exterior building signage shall comply with the requirements of the Zoning Ordinance for signs. 3. The applicant shall obtain all necessary permits and inspections from the Planning Department/Permit and Inspections Division, Health Department and Fire Department. The applicant shall obtain a Certificate of Occupancy from the Building Official prior to commencing operation. 4. The facility shall operate only between the hours of 7.•00 A.M. and 12:00 A.M. (midnight). 5. "Court Rules for Jumpers," as submitted by the applicant, shall be posted within the facility at the main entrance, visible by all who enter the facility, as well as at the entrance of each trampoline court area. 6. All individuals under thirteen (13) years of age shall be accompanied by an adult chaperone. 7. Recreational trampoline -related activities shall be the only type of indoor recreation allowed. 8. The maximum number of individuals within the facility shall not exceed the maximum number as determined by the Fire Marshal. 9. There shall be a minimum of one (1) staff member on Site at all times that is certified for First Aid and Automated External Defibrillator (AED) training. 10. There shall be no sale of alcohol at this location. There shall be no State ABC License associated with this business. September 10, 2013 -63 - Item -VI-K3 PLANNING ITEM #63112(Continued) This Ordinance shall be effective in accordance with Section 1070 of the Zoning Ordinance. Adopted by the City Council of the City of Virginia Beach, Virginia, on the Tenth of September, Two Thousand Thirteen Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 -64 - Item -VI -K.4 PLANNING ITEM #63113 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ALLOWED WITHDRAWAL, BY CONSENT, Application of VISIONS COMMUNITY SERVICES, LLC for a Conditional Use Permit re an Adult Day Care at 370 Cleveland Place DISTRICT 2 — KEMPSVILLE Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 -65 - Item -VI -K.5 PLANNING ITEM #63114 Upon motion by Vice Mayor Jones, seconded by Councilman Dyer, City Council ADOPTED, BY CONSENT: ORDINANCE to AMEND Section 212 and ADD Section 217 of the City Zoning Ordinance (CZO) re electronic displays of fuel prices Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 1 2 Requested by Mayor William D. Sessoms, Jr. 3 4 5 AN ORDINANCE TO AMEND SECTION 212 AND ADD A 6 NEW SECTION 217 OF THE CITY ZONING ORDINANCE, 7 PERTAINING TO ELECTRONIC DISPLAYS OF MOTOR 8 VEHICLE FUEL PRICES 9 10 Section Amended: City Zoning Ordinance Section 212 11 Section Added: City Zoning Ordinance Section 217 12 13 WHEREAS, the public necessity, convenience, general welfare, and good zoning 14 practice so require; 15 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA 16 BEACH, VIRGINIA: 17 That Section 212 of the City Zoning Ordinance is hereby amended, and a new 18 Section 217 of the City Zoning Ordinance is hereby added, pertaining to electronic 19 displays of motor vehicle fuel prices, to read as follows: 20 21 ARTICLE 2. GENERAL REQUIREMENTS AND PROCEDURES APPLICABLE TO 22 ALL DISTRICTS 23 24 25 26 B. SIGN REGULATIONS 27 28 Sec. 212. Prohibited signs. 29 30 The following signs shall be prohibited: 31 32 33 (m) Electronic display signs, except as expressly allowed by the city council in 34 conjunction with major entertainment venues and as provided in Section 217. 35 36 37 Sec. 217. Electronic displays of motor vehicle fuel prices. 38 39 Motor vehicle fuel prices may be displayed on an electronic display sign, subject 40 to the following requirements: 41 42 (a) The electronic display portion of any such sign shall be limited to showing 43 the price per gallon, expressed numerically, of the motor vehicle fuels offered for sale 44 on the premises. No electronic display panel shall be illuminated except as permitted 45 by this subsection. 46 47 (b) Such siq_ns shall be allowed only pursuant to a conditional use permit 48 authorizing an automobile service station at which motor vehicle fuels are offered for 49 sale or at establishments for which a conditional use permit allowing such fuel sales has 50 previously been granted and remains in effect. 51 52 (c) Such signs shall conform to the following requirements: 53 54 (1) No more than one such sign shall be permitted on any zoning lot; 55 56 (2) Such signs shall be monument - style, as defined in section 210.2, 57 and no such sign, including the base, shall exceed a height of eight 58 (8) feet; 59 60 (3) No such sign shall have more than three separate panels capable 61 of displaying information electronically, and each such panel shall 62 be limited to the display of a single grade of fuel. The total area of 63 the portion of that sign that is capable of electronic displays shall 64 not exceed twelve (12) square feet in area; 65 66 (4) The pixel pitch of the electronic display portion of such signs shall 67 be nineteen (19) millimeters or smaller; 68 69 (5) Fuel prices shall not be changed more often than two (2) times in 70 any twenty-four (24) hour period, and scrolling, flashing, blinking or 71 any other type of intermittent movement or illumination of elements 72 of the electronic display shall be prohibited. Change sequences 73 shall be accomplished by means of instantaneous re-pixelization; 74 75 (6) Electronic displays shall consist of no more than two (2) colors; 76 2 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 The ordinance makes a very limited exception to the CZO's prohibition of electronic 98 display signage by allowing motor vehicle fuel prices to be displayed in electronic display (LED) 99 format. The ordinance contains a number of restrictions on such displays, including limitations of 100 the size, height, sign style, illumination, color, pixel pitch of such displays. 101 102 103 10th 104 Adopted by the City Council of the City of Virginia Beach on the day (7) Audio speakers on, or electronically connected to, such signs shall not be permitted; (7) Such signs shall not exceed a maximum illumination of five thousand (5,000) candelas per square meter from sunrise to sunset or five hundred (500) candelas per square meter between sunset and sunrise, as measured from the sign face at maximum brightness, and shall be equipped with a working dimmer control device capable of automatically reducing the illumination to the required sunset -to -sunrise level. Prior to the issuance of a sign permit, the applicant shall provide written certification from the sign manufacturer that the light intensity has been factory pre-set not to exceed the maximum intensity level; and (8) The electrical service lines providing power to such signs shall be underground. COMMENT 105 of September , 2013. 106 107 108 CA -12658 109 July 2, 2013 110 R-3 111 112 113 APPROVED AS TO LEGAL SUFFICIE Y: 114 115 116 117 City Attorney's Office 3 -66 - ITEM VI -L APPOINTMENTS ITEM #63115 BY CONSENSUS, City Council RESCHEDULED the following APPOINTMENTS: AGRICULTURAL ADVISORY COMMISSION PARKS and RECRATION WETLANDS BOARD September 10, 2013 -67 - ITEM VI -L APPOINTMENTS ITEM #63116 Upon NOMINATION by Vice Mayor Jones, City Council REAPPOINTED: WILLIAM R. ALMOND, ARCHITECT JASON BARNEY, ENVIRONMENT JUNE BARRETT-MCDANIELS, ENGINEER ROBERT E. BOURDO, ATTORNEY JEANNE EVANS-COX, CBDA CHRISTY E VERETT, CHESAPEAKE BAY FO UNDA TION ANDREW FINE, L YNNHA VEN NOW KAREN FORGET, LYNNHAVEN NOW MYRINA L. GAGLIONE, ENGINEER WAYNE MCCOY, ENVIRONMENT ROBERT MILLER, HI, ENGINEER JOHN OLIVERI, TIDEWATER BUILDERS ASSOCIATION One Year Term —10/15/2013 —10/30/2014 and JOSHUA CLARK, TIDEWATER BUILDERS ASSOCIATION One Year Term - 10/15/2013 —10/30/2014 GREEN RIBBON COMMITTEE Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 -68 - ITEM VI -L APPOINTMENTS ITEM #63117 Upon NOMINATION by Vice Mayor Jones, City Council APPOINTED: SABRINA RINALDO Three Year Term — 04/01/2013 — 03/31/2016 HEALTH SERVICES AD VISOR Y BOARD Voting: 10-0 Council Members Voting Aye: Glenn R. Davis, William R. "Bill" DeSteph, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, John D. Moss, Amelia N. Ross - Hammond, Mayor William D. Sessoms, Jr., John E. Uhrin and James L. Wood Council Members Voting Nay: None Council Members Absent: Rosemary Wilson September 10, 2013 -69 - Item -VI-M ADJOURNMENT ITEM #63087 Mayor William D. Sessoms, Jr., DECLARED the City Council Meeting ADJOURNED at 6:07P.M. 94- -& CA'L AmandaFtnley-BarsCMC , Chief Deputy City Clerk uth Hodges Fraser, MMC William D. Sessoms, Jr. City Clerk Mayor City of Virginia Beach Virginia September 10, 2013 -70 - PUBLIC DIALOGUE Christine Ross, 718 Grant Avenue, Phone: 905-0265, requested the City close the Abortion Clinics within the City by rezoning the properties, buying the buildings where they operate and/or declaring the clinics as "dangerous nuisances ". The PUBLIC DIALOGUE re Non -Agenda Items concluded at 6:09 P.M. September 10, 2013