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HomeMy WebLinkAboutMAY 9, 2017 SPECIAL SESSION MINUTES -1- „NCO!',4t. rS 61 VIRGINIA BEACH CITY COUNCIL Virginia Beach, Virginia May 9, 2017 Mayor William D. Sessoms, Jr., called to order the SPECIAL FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL in the City Council Chamber, City Hall, on Tuesday, May 9, 2017, at 6:00 P.M. Council Members Present: Jessica P. Abbott, M. Benjamin Davenport, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, John D. Moss, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Absent: None PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA May 9, 2017 -2- Mayor Sessoms DISCLOSED he is retired from Towne Bank (which has a corporate office located at 297 Constitution Drive in Virginia Beach), and no longer has any involvement in Towne Bank's transactions. However, due to the size of TowneBank and the volume of transactions it handles, Towne Bank 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 Berkshire Hathaway Home Services Town Realty, which is an affiliate of Towne Bank. 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 he included in the official records of City Council Mayor Sessoms' letter of January 13, 2015, is hereby made a part of the record. Council Lady Rosemary Wilson DISCLOSED she is a Real Estate Agent affiliated with Berkshire Hathaway Home Services Town Realty ("Berkshire Hathaway), which was formerly known as Prudential Towne Realty. Because of the nature of Real Estate Agent affiliation and the volume of transactions it handles in any given year, Berkshire Hathaway has an interest in numerous matters in which she is not personally involved and of which she does not have personal knowledge. In order to ensure her compliance with both the letter and the spirit of the State and Local Government Conflict of Interests Act, it is her practice to thoroughly review the agenda for each meeting of City Council for the purpose of identifying any matters in which she might have an actual or potential conflict. If during her review she identifies any matters, she will prepare and file the appropriate disclosure letter to be recorded in the official records of City Council. Council Lady Wilson regularly makes this disclosure. Council Lady Wilson's letter of January 13, 2015, is hereby made a part of the record. Council Lady Rosemary Wilson also DISCLOSED she has a personal interest in Dixon Hughes Goodman and receives income from the firm as a result of her late husband's employment. The income is proceeds from the sale of his partnership interest,paid out over an extended period of time. She is not an employee of Dixon Hughes Goodman, does not have any role in management of the company and is not privy to its client list. However, due to the size of Dixon Hughes Goodman and the volume of transactions it handles in any given year, Dixon Hughes Goodman may have an interest in matters of which she has no personal knowledge. In that regard, she is always concerned about the appearance of impropriety that might arise if she unknowingly participates in a matter before City Council in which Dixon Hughes Goodman has an interest In order to ensure her compliance with both the letter and spirit of the State and Local Government Conflict of Interests Act (the "Act"), it is her practice to thoroughly review each City Council agenda to idents any matters in which she might have an actual or potential conflict. If, during her review of an agenda, she identifies a matter in which she has a "personal interest", as defined by the Act, she 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. Council Lady Wilson's letter of June 2, 2015, is hereby made a part of the record. May 9, 2017 -3- Item -I-B MAYOR'S CALL FOR FORMAL SESSION ITEM#67035 Mayor Sessoms read the Mayor's Call for the SPECIAL FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL: 4 May 2017 "HONORABLE MEMBERS OF CITY COUNCIL In accordance with the Virginia Beach City Code, Section 2-21, and by the authority vested in me as Mayor of the City of Virginia Beach, I hereby call for a SPECIAL FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL: Tuesday,May 9, 2017 6:00 P.M. City Council Chamber 2401 Courthouse Drive The purpose of this SPECIAL FORMAL SESSION is for City Council to consider and take action reference: 1. A Public Hearing on a proposed issuance of$77-Million in Stormwater Bonds (Moss/Abbott Proposal) 2. The FY2017-2018 Resource Management Plan a. Reconciled Proposal b. Council Members Moss and Abbott Proposal 3. A Resolution to Direct the City Attorney to Draft Ordinances Removing Light Rail Taxes (Deferred May 2, 2017) 4. A Resolution to Affirmatively State the Intent of the City Council to Re-Direct Taxes Raised for Light Rail and Related Multimodal Projects to Other City Priorities. This call for a SPECIAL FORMAL SESSION revises my letter of March 27, 2017. Sincerely, a - William D. Sessoms, Jr." Cc: City Manager City Attorney City Clerk City Auditor Deputy City Managers Director—Management Services MultiMedia Services Media and Communications May 9, 2017 CS J 6 e 5 City of Virginia Beach ss (.1\1„ e P NAT104 u,\r,,,,,.."4 VBgov.com WILLIAM D.SESSOMS,JR. 4 May 2017 MUNICIPAL CENTER MAYOR BUILDING 1 2401 COURTHOUSE DRIVE VIRGINIA BEACH.VA 23456-9000 (757)365.4501 FAX(757)3655699 wsessomsOvt}gov cool HONORABLE MEMBERS OF CITY COUNCIL In accordance with the Virginia Beach City Code, Section 2-21, and by the authority vested in me as Mayor of the City of Virginia Beach, I hereby call for a SPECIAL FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL: Tuesday,May 9, 2017 6:00 P.M. City Council Chamber 2401 Courthouse Drive The purpose of this SPECIAL FORMAL SESSION is for City Council to consider and take action reference: 1. A Public Hearing on a proposed issuance of$77-Million in Stormwater Bonds (Moss/Abbott Proposal) 2. The FY2017-2018 Resource Management Plan a. Reconciled Proposal b. Council Members Moss and Abbott Proposal 3. A Resolution to Direct the City Attorney to Draft Ordinances Removing Light Rail Taxes (Deferred May 2, 2017) 4. A Resolution to Affirmatively State the Intent of the City Council to Re- Direct Taxes Raised for Light Rail and Related Multimodal Projects to Other City Priorities. This call for a SPECIAL FORMAL SESSION revises my letter of March 27, 2017. Sincerely, William D. Sessoms, Jr. Cc: City Manager City Attorney City Clerk City Auditor Deputy City Managers Director—Management Services MultiMedia Services Media and Communications -4- Item-I-E.I PUBLIC HEARING ITEM#67036 Mayor Sessoms DECLARED A PUBLIC HEARING: STORMWATER UTILITY BOND ISSUE-$77,000,000 Proposal offered by Council Members Abbott and Moss The following registered to speak: Ivan Trent, 2420 Broomsedge Rail. Phone: 749-3332, spoke in SUPPORT. Yvonne Chord, 3536 Clubhouse Road, Phone: 340-6829, spoke in SUPPORT. Kenneth Chord,Jr., 3536 Clubhouse Road, Phone: 340-6829, spoke in SUPPORT Kenneth Chord III, 3536 Clubhouse Road, Phone: 340-6829, spoke in SUPPORT Frank Papcin, spoke in SUPPORT Reid Greenmun, spoke in SUPPORT Mary Bowser Lovett, 3933 Old Forge Road, Phone: 663-8840, spoke in SUPPORT Diana Howard, 1057 Debaca Court, Phone: 567-9021, spoke in SUPPORT. Susan Hasket, 2303 Sandalwood Road, Phone: 4867326. spoke in SUPPORT William Jennings, 3717 Gladstone Drive, Phone: 498-3842, spoke in SUPPORT. There being no additional speakers, Mayor Sessoms CLOSED THE PUBLIC HEARING May 9, 2017 -5- Item-I-Ela-i ORDINANCES/RESOLUTIONS ITEM#67037 The following registered to speak on the proposed FY 2017-2018 RESOURCE MANAGEMENT PLAN: Robert Fitzgerald, 3909 Meeting House Road, Phone: 286-5781, requested City Council DEFER the fee increase to Bayville Creek SSD. Becky Bump, 2624 Chubb Lake Avenue, Phone: 434-9403, spoke in SUPPORT of fully funding the Stormwater Management Program. John Densmore, 1700 Silo Court, Phone: 927-6303, requested City Council reconsider the Real Estate Tax Relieffor Elderly and Disabled Abby Causey, 560 Caren Drive, Phone: 647-0997, spoke in SUPPORT of full-day Kindergarten. Lisa Grassi, 3928 Hillridge Court, Phone: 328-2574, spoke in SUPPORT offully funding the Stormwater Management Program. Virginia Wasserberg, 3881 Old Forge Road, Phone: 963-8679, spoke in SUPPORT of fully funding the Stormwater Management Program. Jesse Wasserberg, 3881 Old Forge Road, Phone: 963-8679, spoke in SUPPORT of fully funding the Stormwater Management Program. Wallis Damon, 2242 Greenwell Road, Phone, 918-6662, spoke in SUPPORT of fully funding the Stormwater Management Program. William Jennings, 3717 Gladstone Drive, Phone: 498-3842, declined to speak Scott Presler, 2000 Whipple Court, Phone, 703-400-4163, spoke in SUPPORT of fully funding the Stormwater Management Program. Dylan Lloyd, 1552 Hummingbird Lane, Phone: 515-0201, spoke in SUPPORT of fully funding the Stormwater Management Program. Frank Papcin, spoke in SUPPORT offully funding the Stormwater Management Program. Judy Renn, spoke in SUPPORT offully landing the Stormwater Management Program. Heidi Jeffries, spoke in SUPPORT offully funding the Stormwater Management Program. Diana Howard, 1057 Debaca Court, Phone: 567-9021, spoke in SUPPORT of fully funding the Stormwater Management Program. Theresa Langille, spoke in SUPPORT offully funding the Stormwater Management Program. Ivan Trent, 2420 Broomsedge Rail, Phone: 749-3332, spoke in SUPPORT offully funding the Stormwater Management Program. Marlayane Castelluzzo, 5189 Stratford Chase Drive, spoke in SUPPORT offully funding the Stormwater Management Program. Reid Greenmun, spoke in SUPPORT offully funding the Stormwater Management Program. May 9, 2017 -6- Item-I-F.l a-i ORDINANCES/RESOLUTIONS ITEM#67037 (Continued) Holli Martir, 4165 Rainbow Drive, Phone: 339-5325, requested City Council consider lowering the "water bill". Ramona Austin, 3509 Muddy Creek Road, Phone: 721-6842, spoke in SUPPORT of fully funding the Stormwater Management Program. R. Erin Edlow, 3412 Dandelion Crescent, Phone: 478-3551, spoke in SUPPORT of fully funding the Stormwater Management Program. Theodore A. Greif, Jr., 3929 Meting House Road, declined to speak. Mayor Sessoms expressed appreciation to everyone for their participation. Mayor Sessoms requested the City Manager provide the "numbers" on each Public-Private Partnership developed in the City and that information will be made available to the public. May 9, 2017 ,tcplIA-B£4c, s City of Vi r inia Beach s 9Ra e Ot OUR moo V Rgn.com Louis R.JONES MUNICIPAL CENTER VICE MAYOR BUILDINGI 2401 COURTHOUSE DRNE VIRGINIA BEACH.VA 234564000May 2, 2017 FAX FAX(757)426-5699 WSEssoMMeMeco><MM Members of City Council Subject: FY 2017-18 Operating Budget and CIP Reconciliation Dear City Council Members: After lengthy discussions with you and listening to the public input at the various public meetings, town halls, public hearings and via email, it is recommended that the Operating Budget and CIP be adopted with the following adjustments: 1. The Department of Finance has ruled that the FY 2015-16 HRT true-up must be paid in FY 2016-17 for accounting purposes. The HRT true-up ($1,572,465) will be paid from the Tourism Investment Program (TIP) Fund ($386,072) and a portion of the remaining light rail funds ($1,186,393) in FY 2016-17 instead of the FY 2017-18 budget (this will be accomplished through a transfer authorized by the FY 2017-18 operating budget ordinance and effective in FY 2016-17). The TIP Fund Reserve for Future Commitments in FY 2017- 18 will increase by $386,072. The $1,186,393 would have reverted to fund balance to pay for General Government CIP projects in the FY 2017-18 CIP. Instead, the General Fund portion for the mass transit true-up in FY 2017-18 will be used as pay-as you-go financing. The net result to the FY 2017-18 Operating Budget is the same. 2. To address storm water concerns, increase from 0.80 to 10 the portion of the real estate tax allocated in the CIP to storm water projects and decrease the portion of the real estate tax allocated for general government projects by the same amount. Funding of$1,084,100 will be allocated to a new storm water project entitled "Lake Chubb/Bradford Lake" in each year of the CIP. Funding is reduced by $1,084,100 in each year of the CIP as identified below: CIP 3-697 "City Software Upgrade/Replacement Plan"in FY 2017-18 and FY 2018-19 CIP 3-139"Various Site Acquisitions II" in FY 2019-20 CIP 3-137 "Various Buildings Rehabilitation and Renewal III" in FY 2020-21 and FY 2021-22 CIP 3-504"Beach Maintenance Facility" in FY 2022-23 3. In an effort to support various organizations and our historic homes, based on citizen input concerning the importance of these organizations, increases are recommended in FY 2017- 18 in the following amounts: a. Children's Hospital of the King's Daughters -$25,000 b. Arts and Humanities Commission - $25,000 c. Southeastern Tidewater Opportunity Project (STOP) - $13,700 d. Atlantic Waterfowl Museum—$13,033 e. Old Coast Guard Museum - $14,908 £ Historic Houses Special Events- $49,000 In order to offset these increased contributions, a reserve set aside for grant opportunities in the Non-Departmental section of the budget will be reduced by $140,641. 4. To compensate the Sheriff in a manner consistent with the methodology that has been in place since 2006, the Sheriffs stipend is recommended to be increased by $12,363 with associated FICA taxes. This increase is offset by a decrease in the reserves of the Sheriff s Special Revenue Fund of the same amount. 5. $50,000 for the lake treatment program with the storm water reserve for contingencies decreased by the same amount. 6. Now that a June 2017 opening for the Kempsville Recreation Center has been determined, it is recommended that the Parks and Recreation Department delay the implementation of increased recreation center membership fees for six months (the fees will become effective on January 1, 2018 instead of July 1, 2017). This delay will allow the staff to address the initial increase in attendance and membership purchases that typically occurs with the opening of a new recreation center. Due to the delay, it is recommended that revenue from recreation center memberships be reduced by $100,000, and that this decrease in revenue be offset by a decrease in the transfer to the CIP. Further, we recommend that Pay-As-You-Go funding to the Parks and Recreation CIP be reduced by $100,000 with the same reduction to CIP 4-300"Community Recreation Center Repairs and Renovations III". 7. Increase funding for Tax Relief for the Elderly and Disabled by $450,000 with a corresponding decrease in the General Fund Reserve for Contingencies. This increase in funding is mainly due to a higher than projected amount of tax relief for disabled veterans and their spouses. 8. Increase funding to Emergency Communications and Citizen Services by $250,000 to support 6 FTEs in order to restore the 3-1-I Call Center to 24/7 operations. This cost will be offset by an increase in interest income of the same amount. 9. Increase CIP 5-101 "ViBes District Water Improvements" by $600,000 in FY 2017-18 with a corresponding increase of $600,000 in retained earnings in the Water Utility CIP. This project is being increased to correspond with roadway projects that have been accelerated. 10. Increase CIP 6-101 "ViBes District Sewer Improvements" by $1 million in FY 2017-18 with a corresponding increase of$1 million in retained earnings in the Sewer Utility CIP. This project is being increased to correspond with roadway projects that have been accelerated. 11. Increase CIP 3-344 "Police Fourth Precinct—Replacement" by $925,000 in appropriations to date with a corresponding reduction in appropriations to date in CIP 4-509 "Replacement of Kempsville Recreation Center". 12. Reduce CIP 2-141 "Norfolk Southern Right of Way Acquisition Refund" by $20 million in FY 2017-18. This reduction is offset by a $20 million reduction in General Fund Fund Balance in the FY 2017-18 CIP. This is due to the repayment of this amount to the state as authorized by City Council in the current fiscal year. 13. Increase CIP 3-292 "Virginia Aquarium Marine Animal Care Center" by $2 million in FY 2017-18 with a corresponding increase in revenue from a contribution from the Aquarium Foundation. 14. Modify the roadway section of the CIP by: reducing CIP 2-111 "Traffic Safety Improvements Phase IV" by $1,029,624 in FY 2020-21; reducing CIP 2-078 Sandbridge Road — Nimmo Parkway Phase VII-A by $1,009,376 in FY 2020-21 and increasing the project by $2,039,000 in FY 2021-22; and increase CIP 2-088 "West Neck Road Phase IV" by$2,039,000 in FY 2020-21 and reducing the project by the same amount in FY 2021-22. The details for the funding sources and the adjustments are identified on the attachments. I want to thank the public who came out to the various town hall meetings and public hearings to offer their comments on the FY 2017-18 Operating Budget and CIP as well as staff for their efforts to provide answers to our various questions. If you have any questions, please contact me directly. Sincerely�, --P61" /,If • SC\Nat.- - Louis R. Jones, Vice Mayor Attachment Operating Budget Changes Item on Letter Description Revenue Appropriations Decrease General Fund portion of HRT True-Up Payment (1,186,393) Increase Pay-as-you-Go Transfer to General Government CIP Projects 1,186,393 Decrease TIP Payment for HRTTrue-up (386,072) Increase Reserve for Future Commitments the in TIP Fund 386,072 Increase Pay-as-you-Go Transferto Storm Water CIP Projects 1,084,1W Decrease(ay-aas-you-Go Transfer to General Government CIP Projects (1,084,100) Contribution to Children's Hospital of the Kings Daughters 25,000 Contribution to Arts and Humanities Commission 25,000 Contribution to STOP 13,700 Restoration of funding for Atlantic Waterfowl Museum 13,033 Restoration of funding for Old Coast Guard Museum 14,908 Historic Houses Special Events 49,000 Reduction of Opportunity Grants (140,641) Increase Sheriff's Compensation 12,363 Reduce Reserves-Sheriff's Special Revenue Fund (12,363) Increase Lake Treatment Program 50,000 Reduce Reserves-Storm Water Fund (50,000) Delay Recreation Center Membership Fee Increase (100,000) Reduce Transfer to Parks and Recreation Capital Projects (100,000) Increase Tax Relief for the Elderly and Disabled(Veteran's Exemption) 450,000 Decrease General Fund Reserve for Contingincies (450,000) Increase Interest Income 250,000 Restore 3-1-1 to 24 Hour/Day 7 Days/Week Operations 250,000 Total Operating Budget Changes 150,000 150,000 CIP Changes Nem on Letter ATD FY18 FY19 FY20 FY21 FY22 FY23 Appropriation Changes 7-053 Lake Chubb/Bradford Lake 2 9084,100 1,084,100 1,084,100 1,084,100 1,084,1® 9084,100 3-697 City Software Upgrade/Replacement Plan 2 (1,084,190) (1,084,100) 3-139 Various Site Acquisitions 2 (1,084,100) 3-137 Various Buildings Rehabilitation and Renewal 2 (1,084,100) (9084,100) 3-504 Beach Maintenance Facility 2 (1,084,100) 4-300Community Recreation Centers Repairs 6 (100,000) 5-101 ViBes District Water Improvements 9 600,000 6101 ViBes District Sewer Improvements 10 1,000,000 3-344 Police Fourth Precinct- Replacement 11 925,000 CIP 4-509 Replacement of Kempsville Recreation Center 11 (925,000) 2-141 Norfolk Southern Right-of-Way Acquisition Refund 12 (20,000,000) 3-292 Virginia Aquarium Marine Animal Care Center 13 9000,000 2-078 Sandbridge Road-N immo Parkway Phase VU-A 14 (1,009,326) 2,039,000 2-111 Traffic Safety Improvements IV 14 (9029624) 2-088 West Neck Road Phase IV 14 9039,000 (2,039,000) Total CIP Appropriation Changes: (16,500,000) - - - - - Revenue Changes Pay-as-you-go from General Fund 1 1,180393 General Fund-Fund Balance True-up Change 1 (1180393) Pay-as-you-go from Parks and Recreation Fund 5 (100,000) Retained Earnings-Water Utility 9 600,000 Retained Earnings-Sewer Utility 10 1,000,000 General Fund-Fund Balance(from light rail funding) 12 (20,000,000) Contribution-Aquarium Foundation 13 2,009000 Total CIP Revenue Changes: (16,500,0®) - - - - -7- Item -I-F.la-1 ORDINANCES/RESOLUTIONS ITEM#67037 (Continued) Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FY 2017-2018 Operating Budget: i. APPROPRIATE $1,969,677,901 for Operations for the Fiscal Year, beginning July 1, 2017 and ending June 30, 2018 Voting: 8-3 Council Members Voting Aye: M Benjamin Davenport, Barbara M Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P. Abbott Robert M Dyer John D. Moss Council Members Absent: None May 9, 2017 1 AN ORDINANCE MAKING APPROPRIATIONS FOR THE FISCAL YEAR 2 BEGINNING JULY 1,2017 AND ENDING JUNE 30,2018 IN THE SUM 3 OF$1,969,677,901 FOR OPERATIONS 4 WHEREAS, the City Manager has heretofore submitted an Annual Budget for the City for the fiscal year 5 beginning July 1,2016 and ending June 30, 20178 and it is necessary to appropriate sufficient funds to cover said 6 budget; 7 8 NOW,THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 9 10 Sec.1. That the amounts named aggregating$2,754,862,624 consisting of$573,176,352 in inter-fund transfers, 11 $212,008,371 for internal service funds,and$1,969,677,901 for operations,are hereby appropriated subject to the 12 conditions hereinafter set forth for the use of departments,and designated funds of the City government, and for 13 the purposes hereinafter mentioned, as set forth in the Annual Operating Budget,which is hereby incorporated by 14 reference, for the fiscal year beginning July 1, 2016 and ending June 30, 20178 (hereinafter, the"Fiscal Year"),a 15 summary of which is attached to this ordinance as"Attachment A—Appropriations"The City Council elects to fund 16 the Virginia Beach City Public Schools by lump sum appropriation. 17 18 Sec.2. That in accordance with Section 5.04 of the City Charter, Estimated Revenue in Support of Appropriations 19 is set forth in said Annual Operating Budget, with a summary of Estimated Revenue in Support of Appropriations 20 attached to this ordinance as"Attachment B—Revenues" 21 22 Sec.3. With the exception of the funds under the control of the School Board, specifically the funds numbered 23 104, 107, 108, 109, 112,114,115,116,117,119,614,and 615(hereinafter referred to as"School Board Funds"),the 24 total number of full-time permanent positions shall be the maximum number of positions authorized for the various 25 departments of the City during the Fiscal Year, except for changes or additions authorized by the Council or as 26 hereinafter provided. The City Manager may from time to time increase or decrease the number of part-time or 27 temporary positions provided the aggregate amount expended for such services shall not exceed the respective 28 appropriations made therefore.The City Manager is further authorized to make such rearrangements of positions 29 within and between the departments as may best meet the needs and interests of the City, including changes 30 necessary to implement the employee transition program. 31 32 Sec.4. To improve the effectiveness and efficiencies of the government in service delivery,the City Council hereby 33 authorizes the City Manager or his designee to transfer appropriated funds and existing positions throughout the 34 Fiscal Year as may be necessary to implement organizational adjustments that have been authorized by the City 35 Council. Unless otherwise directed by the City Council, such organizational adjustments shall be implemented on 36 such date or dates as the City Manager determines, in his discretion, to be necessary to guarantee a smooth and 37 orderly transition of existing organizational functions. The City Manager shall make a report each year to the City 38 Council identifying the status and progress of any such organizational adjustments. 39 40 Sec.5. All current and delinquent collections of local taxes shall be credited to the General Fund, Special Service 41 District Funds, Tax Increment Financing Fund or any fund to which City Council has, by ordinance, dedicated a tax 42 levy. 43 44 Sec.6. All balances of the appropriations payable out of each fund of the City Treasury at the close of the Fiscal 45 Year, unless otherwise provided for,are hereby declared to be lapsed into the fund balance of the respective funds, 46 except all appropriations to School Board Funds derived from local public sources which shall lapse and revert to the 47 General Fund Balance, and may be used for the payment of the appropriations that may be made in the 48 appropriation ordinance for the fiscal year beginning July 1,20178. Prior to the expenditure of any sums that have 49 lapsed to the fund balance of any fund,an appropriation by the City Council shall be required. 50 51 Sec.7. That the City's debt management policies for the Water and Sewer Enterprise Fund shall serve as a basis 52 for developing financial strategies for the water and sanitary sewer system based on the following guidelines:(a)for Fiscal Year 2017-18 Budget Ordinances 53 the Water and Sewer Fund, the goal of retaining working capital equal to 80%to 100% of one year's operating 54 expense shall be pursued;(b)for the Water and Sewer Fund,the goal shall be for debt service coverage on its water 55 and sewer revenue bonds at not less than 1.50 times and,on a combined basis,including water and sewer general 56 obligation bonds,at no less than 1.20 times and(c)for the Water and Sewer Fund,contributions from non-borrowed 57 funds,on a five-year rolling average basis, will be sought for approximately 25%of the annual capital program for 58 the water and sewer system. 59 60 Sec.8. All balances of appropriations in each fund which support authorized obligations or are encumbered at the 61 close of the business for the Fiscal Year,are hereby declared to be re-appropriated into the fiscal year beginning July 62 1,20138 and estimated revenues adjusted accordingly. 63 64 Sec.9. All balances of appropriations attributable to grants or other similar funding mechanism from state or 65 federal sources and trust or gift funds,whose period of expenditure extends beyond the fiscal year ending on June 66 30, 20167 are hereby declared to be re-appropriated into the Fiscal Year, and estimated revenues adjusted 67 accordingly.The close-out of any grantor similar funding mechanism shall account for all expenditures in such grant, 68 and provided there is any remaining balance in the grant, the portion of the balance attributable to local sources 69 shall revert to the General Fund,special revenue fund,or enterprise fund that provided the local contribution. 70 71 Sec.10. No department or agency for which appropriations are made under the provisions of this ordinance shall 72 exceed the amount of such appropriations except with the consent and approval of the City Council first being 73 obtained. It is expressly provided that the restrictions with respect to the expenditure of the funds appropriated 74 shall apply only to the totals for each Appropriation Unit included in this ordinance and does not apply to Inter-fund 75 Transfers. 76 77 Sec. 11. That revenues collected or appropriated in FY 2016-17 that exceed expenditures within the Multi-modal 78 fund are moved into the fund balance of the General Fund;hereby,eliminating the Multi-Modal Fund. Any revenues 79 previously directed to the Multi-Modal Fund are subject to the appropriations set forth herein. 80 81 Sec.12.That$386,072 is hereby transferred from the TIP Fund to the Multi-modal Fund in the FY 2016-17 operating 82 budget and $1,186,393 is hereby transferred within the Multi-modal fund in the FY 2016-17 operating budget for 83 the payment of the FY 2015-16 true-up for Hampton Roads Transit. 84 85 Sec.4413.The City Manager or the Director of Budget and Management Services is hereby authorized to approve 86 transfers of appropriations in an amount up to$100,000 between any Appropriation Units included in this ordinance 87 through the accrual period.The City Manager shall make a monthly report to the City Council of all transfers between 88 $25,000 and $100,000. In addition, the City Manager may transfer, in amounts necessary, appropriations from all 89 Reserves for Contingencies except Reserve for Contingencies—Regular,within the intent of the Reserve as approved 90 by City Council. 91 92 Sec.4314.The City Manager or the Director of Budget and Management Services is hereby authorized to establish 93 and administer budgeting within Appropriation Units consistent with best management practices, reporting 94 requirements, and the programs and services adopted by the City Council. Consistent with best management 95 practices, the City utilizes a modified accrual system of accounting. Revenues are considered available when 96 collectible either during the current period or after the end of the current period, but in time to pay year-end 97 liabilities. Expenditures are recognized when a transaction or event is expected to draw upon current spendable 98 resources rather than future resources. In practical effect,the modified accrual system allows a window of 45 days 99 wherein the City may accrue back to the immediately preceding fiscal year revenues and expenditures. The City 100 Manager or the Director of Budget and Management Services is further authorized to establish administrative 101 directives to provide additional management oversight and control to ensure the integrity of the City's budget. 102 103 Sec.4315. The City Manager or the Director of Budget and Management Services is hereby authorized to change 104 the Estimated Revenues included in this ordinance to reflect expected collections. If the Estimated Revenue in 105 support of an Operating Appropriation Unit declines,the City Manager or the Director of Budget and Management Fiscal Year 2017-18 Budget Ordinances 106 Services is hereby authorized to reduce, subject to any other provision of law, those appropriations to equal the 107 decline in Estimated Revenue.The City Manager shall give prior notice to the City Council of any reduction to total 108 appropriations exceeding $100,000. The notice to City Council shall identify the basis and amount of the 109 appropriation reduction and the Appropriation Units affected.The accounting records of the City will be maintained 110 in a manner that the total of Estimated Revenue is equal to the total of the Appropriation Units for each of the City's 111 funds.The City Manager or the Director of Budget and Management Services is hereby authorized to transfer any 112 excess appropriations to the Reserve for Contingencies after all anticipated expenditures for which those funds were 113 appropriated have been incurred.Nothing in this section shall be construed as authorizing any reduction to be made 114 in the amount appropriated in this ordinance for the payment of interest or principal on the bonded debt of the City 115 Government. 116 117 Sec. 14 16. The Department of Economic Development is hereby authorized to pay an amount up to $1,000,000 118 from their FY 20167-178 Operating Budget to the Virginia Beach Economic Development Authority,for the purpose 119 of pursuing,implementing,and furthering initiatives recommended by the Bio-medical Task Force. 120 121 Sec.1617.Allowances made from the appropriations made in this ordinance by any or all of the City departments, 122 bureaus,or agencies,to any of their officers and employees for expenses on account of the use by such officers and 123 employees of their personal automobiles in the discharge of their official duties shall follow the Internal Revenue 124 Service standard mileage rates used to calculate the deductible costs of operating an automobile for business, 125 charitable,medical or moving purposes. 126 127 Sec. 16 18.In the event of an emergency and under emergency circumstances wherein the City Council cannot 128 reasonably hold a meeting, the City Manager is authorized to transfer and expend appropriated sums from any 129 budget account to ensure that the emergency is handled as efficiently and expeditiously as possible. Immediately 130 following the expenditure of funds under this provision,and as soon as the City Council can reasonably meet under 131 the existing circumstances,the City Manager shall notify the City Council of the reason for such action, how funds 132 were expended,and present to the City Council for adoption an emergency appropriations ordinance that sets forth 133 what measures are required to ensure that funds are forthwith restored to the appropriate accounts and that the 134 budget is balanced at the end of the fiscal year in which the emergency expenditures occurred. 135 136 An emergency is defined for the purposes of this provision as an event that could not have been 137 reasonably foreseen at the time of the adoption of the budget, and in which 0) an immediate threat to the public 138 health,safety or welfare is involved,such as clean-up after a hurricane, and/or)ii) immediate action is required to 139 protector preserve public properties. 140 141 Sec. 13 19. All travel expense accounts shall be submitted on forms approved by the Director of Finance and 142 according to regulations approved by the City Council.Each account shall show the dates expenses were incurred or 143 paid; number of miles traveled; method of travel; hotel expenses; meals;and incidental expenses.The Director of 144 Finance is specifically directed to withhold the issuance of checks in the event expense accounts are submitted for 145 "lump-sum"amounts. 146 147 .. .. .. : . . 148 :.. ..... .. .. . . ... . .. . .. . . 149 ... - - .. - ..... 150 .. . .. -- - - . .. .. . . 151 :., .. . . .. . ..... . ,.. 155 156 Sec. 19 20. A salary increase of 1.340% on the pay period relating back to June 22, 20167 for all full-time City 157 employees and employees of the Constitutional Officers is hereby provided. and-A salary increase of 2.0%on the 158 pay period dating back to June 22,2017 for the five Constitutional Officers,part-time City employees,and part-time Fiscal Year 2017-18 Budget Ordinances 159 employees of the Constitutional Officers is also hereby provided. -- .--- - -- ' -- - • - - • -161 162 Sec. 38 21. A 1% merit pay increase is authorized for full-time City employees with a performance feedback 163 completed from December July 1, 20156 to November June 30, 20167 that indicates overall performance meets 164 expectations.The merit pay increase shall be calculated against the mid-point of each pay range and paid as a flat 165 dollar amount to full-time employees on that pay range. Notwithstanding the timing provisions provided by City 166 Code§§2-109 and 2-116, the merit pay increase authorized by this section shall be provided on mber July 1, 167 20167. The other requirements provided by City Code§§2-109 and 2-116 such as the eligibility for such merit pay 168 being limited to non-probationary employees shall still apply. To ensure accountability, the failure of a supervisor 169 responsible for preparing the performance feedback, to complete the same prior to December July 1, 20167 shall 170 result in the supervisor and employee(s) merit pay increase being delayed until such time as the performance 171 feedback is completed. In those cases, the merit pay increase will be retroactive upon completion of the 172 performance feedback for both the supervisor responsible for completing the performance feedback and the 173 employee(s).This section shall also apply to the employees of the Constitutional Officers. Any additional stipends 174 special pay. or executive entitlement pay to employees appointed by the City Council and subiect to City Code §2- 175 89 or Constitutional Officers must be approved by a separate action of the City Council. 176 177 178 180 . . .. -. . .. - - -. .. . . .... . .. ... .. 181 increase set forth in S..ction 20 sba'I apply to issuance of the merit pay inrease only. 182 183 185 186 187 transition- 188 189 Sec.2222. Violation of this ordinance may result in disciplinary action by the City Manager against the person or 190 persons responsible for the management of the Appropriation Unit in which the violation occurred. 191 192 Sec.3423. This ordinance shall be effective on July 1, 20167. The portion of Sections 18 and 19 addressing the 193 r ,Rband the payroll period that crosses fiscal years shall be effective June 22,20167.Section 12 of 194 this ordinance shall become effective as of the date of adoption of this ordinance. 195 196 Sec.36 24. If any part of this ordinance is for any reason declared to be unconstitutional or invalid,such decision 197 shall not affect the validity of the remaining parts of this ordinance. 198 199 Requires an affirmative vote by a majority of all of the members of City Council. 200 201 202 Adopted by the Council of the City of Virginia Beach,Virginia,on the 9 t play of May,2017. 203 204 APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: (---3David Bradley ar r Budget and Management Services City Attorney's Office Fiscal Year 2017-18 Budget Ordinances City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment A-Appropriations FY 2017-18 Adopted 002 General Fund Agriculture 837,120 Benefits Administration 735,538 Board of Equalization 3,004 Budget and Management Services 1,442,622 Circuit Court 1,096,374 City Attorney 4,226,703 City Auditor 851,682 City Clerk 648,579 City Manager 2,296,969 City Real Estate Assessor 3,238,304 City Treasurer 6,067,276 Clerk of the Circuit Court 3,428,563 Commissioner of the Revenue 4,624,431 Commonwealth's Attorney 8,380,781 Communications Office 1,611,987 Community Organization Grants 501,436 Computer Replacement Program 1,590,365 Convention and Visitor Bureau 10,133,691 Cultural Affairs 2,383,283 Debt Service 53,067,145 Department of Aquarium and Museums 12,656,076 Economic Development 4,232,370 Emergency Communications and Citizen Services 10,909,854 Emergency Management 451,130 Emergency Medical Services 11,587,020 Employee Special Benefits 7,928,800 Finance 5,051,767 Fire 52,343,161 General District Court 462,413 Health 3,395,214 Housing and Neighborhood Preservation 3,921,477 Human Resources 4,698,598 Human Services 115,918,906 Independent Financial Services 164,999 Information Technology 25,531,789 Juvenile and Domestic Relations District Court 181,768 Juvenile Probation 1,501,428 Leases 1,762,659 Library 17,887,739 Magistrates 70,483 Municipal Council 517,719 Parks and Recreation 14,625,340 Planning 18,210,269 Police 101,108,264 Public Works 67,807,041 Regional Participation 2,364,973 Reserve for Contingencies 10,400,690 Revenue Reimbursements 15,290,376 Strategy,Transparency,Innovation&Resiliency Office 687,625 Transfer to Other Funds 508,325,125 Vehicle Replacements 5,357,514 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment A-Appropriations FY 2017-18 Adopted Virginia Beach Living River Trust 100,000 Voter Registration&Elections 1,812,948 Fund 002 Appropriation Totals 1,134,431,388 098 School Reserve Special Revenue Fund Transfer to Other Funds 8,803,897 Fund 098 Appropriation Totals 8,803,897 104 Green Run Collegiate Charter School Education 3,763,447 Fund 104 Appropriation Totals 3,763,447 107 School Equipment Replacement Special Revenue Fund Reserve for Contingencies 170,193 Fund 107 Appropriation Totals 170,193 108 School Instructional Technology Fund Instructional Technology 79,579 Fund 108 Appropriation Totals 79,579 109 School Vending Operations Fund Vending 229,702 Fund 109 Appropriation Totals 229,702 112 School Communication Tower Technology Fund Instructional Technology 850,000 Fund 112 Appropriation Totals 850,000 114 School Cafeteria Fund Cafeteria 31,679,250 Fund 114 Appropriation Totals 31,679,250 115 School Operating Fund Debt Service 45,417,364 Education 743,182,490 Transfer to Other Funds 11,673,239 Fund 115 Appropriation Totals 800,273,093 116 School Grants Fund Grants 58,856,748 Fund 116 Appropriation Totals 58,856,748 117 School Textbook Fund Textbook 5,179,602 Fund 117 Appropriation Totals 5,179,602 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment A-Appropriations FY 2017-18 Adopted 119 School Athletic Special Revenue Fund Athletic 5,099,823 Fund 119 Appropriation Totals 5,099,823 130 Law Library Fund Library 256,582 Reserve for Contingencies 13,483 Transfer to Other Funds 40,000 Fund 130 Appropriation Totals 310,065 140 Commonwealth Attorney's Fed & State Seized Assets 512F Commonwealth's Attorney 100,000 Fund 140 Appropriation Totals 100,000 142 Police Federal & State Seized Assets SRF Police 285,915 Fund 142 Appropriation Totals 285,915 146 State Rental Assistance Program Housing and Neighborhood Preservation 833,796 Reserve for Contingencies 83,380 Fund 146 Appropriation Totals 917,176 147 Federal Section 8 Program Special Revenue Fund Housing and Neighborhood Preservation 21,208,400 Fund 147 Appropriation Totals 21,208,400 149 Sheriff's Department Special Revenue Fund Reserve for Contingencies 491,743 Sheriff and Corrections 46,685,572 Fund 149 Appropriation Totals 47,177,315 151 Parks and Recreation Special Revenue Fund Debt Service 4,564,702 Parks and Recreation 31,774,342 Public Works 3,100,000 Reserve for Contingencies 1,392,739 Transfer to Other Funds 1,472,427 Fund 151 Appropriation Totals 42,304,210 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment A-Appropriations FY 2017-18 Adopted 152 Tourism Investment Program Fund Convention and Visitor Bureau 4,593,595 Cultural Affairs 50,500 Debt Service 23,411,427 Parks and Recreation 633,250 Planning 1,200,862 Public Works 2,713,545 Reserve for Contingencies 6,887,863 Transfer to Other Funds 14,873 Fund 152 Appropriation Totals 39,505,915 157 Sandbridge Special Service District Spec Rev Fd Public Works 972,695 Transfer to Other Funds 4,235,380 Fund 157 Appropriation Totals 5,208,075 161 Agriculture Reserve Program Special Revenue Fund Agriculture 215,859 Debt Service 4,035,717 Reserve for Contingencies 658,792 Fund 161 Appropriation Totals 4,910,368 163 Tourism Advertising Program Special Revenue Fund Convention and Visitor Bureau 12,162,292 Reserve for Contingencies 22,020 Transfer to Other Funds 56,838 Fund 163 Appropriation Totals 12,241,150 166 Sandbridge Tax Increment Financing Fund Future C.I.P.Commitments 8,000,000 Reserve for Contingencies 140,323 Transfer to Other Funds 2,114,620 Fund 166 Appropriation Totals 10,254,943 169 Central Business District-South TIF (Twn Cntr) Fd Debt Service 7,150,000 Transfer to Other Funds 150,000 Fund 169 Appropriation Totals 7,964,195 172 Open Space & Park Infrastructure Development & Maintenance SRF Debt Service 2,557,043 Parks and Recreation 400,331 Reserve for Contingencies 1,535,238 Transfer to Other Funds 1,000,000 Fund 172 Appropriation Totals 5,492,612 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment A-Aoorooriations FY 2017-18 Adopted 174 Town Center Special Service District Parks and Recreation 60,338 Town Center Special Tax District 1,951,144 Transfer to Other Funds 479,999 Fund 174 Appropriation Totals 2,491,481 180 Community Development Special Revenue Fund Housing and Neighborhood Preservation 1,660,449 Transfer to Other Funds 128,858 Fund 180 Appropriation Totals 1,789,307 181 CD Loan and Grant Fund Housing and Neighborhood Preservation 756,831 Fund 181 Appropriation Totals 756,831 182 Federal Housing Assistance Grant Fund Housing and Neighborhood Preservation 882,798 Fund 182 Appropriation Totals 882,798 183 Grants Consolidated Fund Commonwealth's Attorney 792,808 Emergency Communications and Citizen Services 2,000 Emergency Medical Services 375,000 Fire 862,857 Housing and Neighborhood Preservation 1,381,742 Human Services 1,888,462 Public Works 20,000 Transfer to Other Funds 1,111,057 Fund 183 Appropriation Totals 6,433,926 241 Water and Sewer Fund Debt Service 21,794,421 Public Utilities 83,903,334 Reserve for Contingencies 1,728,909 Transfer to Other Funds 18,499,445 Fund 241 Appropriation Totals 125,926,109 253 Parking Enterprise Fund Debt Service 580,130 Planning 3,684,658 Reserve for Contingencies 8,287 Transfer to Other Funds 728,879 Fund 253 Appropriation Totals 5,001,954 254 Waste Management Enterprise Fund Public Works 37,330,758 Reserve for Contingencies 192,120 Transfer to Other Funds 2,988,429 Fund 254 Appropriation Totals 40,511,307 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment A-Appropriations FY 2017-18 Adopted 255 Storm Water Utility Enterprise Fund Debt Service 3,543,563 Public Works 26,803,733 Reserve for Contingencies 887,575 Transfer to Other Funds 10,716,746 Fund 255 Appropriation Totals 41,951,617 310 Old Donation Creek Area Dredging SSD Reserve for Contingencies 2,881 Transfer to Other Funds 67,940 Fund 310 Appropriation Totals 70,821 311 Bawille Creek Neighborhood Dredging SSD Fund Transfer to Other Funds 87,105 Fund 311 Appropriation Totals 87,105 312 Shadowlawn Area Dredging SSD Reserve for Contingencies 1,299 Transfer to Other Funds 24,908 Fund 312 Appropriation Totals 26,207 313 Chesopeian Colony Dredging SSD Transfer to Other Funds 214,922 Fund 313 Appropriation Totals 214,922 314 Harbour Point Dredging SSD Transfer to Other Funds 17,892 Fund 314 Appropriation Totals 17,892 315 Gills Cove Dredging SSD Transfer to Other Funds 24,774 Fund 315 Appropriation Totals 24,774 316 Hurds Cove Dredging SSD Reserve for Contingencies 23,173 Transfer to Other Funds 198,999 Fund 316 Appropriation Totals 222,172 540 General Government Capital Projects Fund Building Capital Projects 10,322,812 Coastal Capital Projects 9,386,385 Economic and Tourism Development Capital Projects 4,326,966 Information Technology Projects 5,223,763 Parks and Recreation Capital Projects 5,324,270 Roadways Capital Projects 13,446,712 Fund 540 Appropriation Totals 48,030,908 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment A-Appropriations FY 2017-18 Adopted 541 Water and Sewer Capital Projects Fund Water and Sewer Capital Projects 8,000,000 Fund 541 Appropriation Totals 8,000,000 555 Storm Water Capital Projects Fund Storm Water Capital Projects 12,920,501 Fund 555 Appropriation Totals 12,920,501 606 City Garage Internal Service Fund Public Works 13,488,885 Reserve for Contingencies 152,423 Fund 606 Appropriation Totals 13,641,308 607 Risk Management Internal Service Fund Finance 18,254,856 Fund 607 Appropriation Totals 18,254,856 610 Capital Projects Internal Service Fund City Treasurer 70,000 Finance 174,030 Public Works 379,525 Fund 610 Appropriation Totals 623,555 613 School Landscaping Internal Service Fund Parks and Recreation 4,117,918 Reserve for Contingencies 49,990 Fund 613 Appropriation Totals 4,167,908 614 School Risk Management Fund School Risk Management 6,805,724 Fund 614 Appropriation Totals 6,805,724 615 City and School Health Insurance Fund City and School Health Insurance 155,908,780 Fund 615 Appropriation Totals 155,908,780 616 Fuels Internal Service Fund Public Works 5,638,349 Fund 616 Appropriation Totals 5,638,349 620 Telecommunications Internal Service Fund Information Technology 2,957,958 Reserve for Contingencies 268,635 Fund 620 Appropriation Totals 3,226,593 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment A-Appropriations FY 2017-18 Adopted 621 Subscriptions Internal Service Fund Information Technology 3,498,797 Reserve for Contingencies 242,501 Fund 621 Appropriation Totals 3,741,298 908 City Beautification Fund Parks and Recreation 100,000 Fund 908 Appropriation Totals 100,000 909 Library Gift Fund Library 6,060 Fund 909 Appropriation Totals 6,060 910 Parking Meters - Homeless Donation Fund Housing and Neighborhood Preservation 1,000 Fund 910 Appropriation Totals 1,000 911 Parks and Recreation Gift Fund Parks and Recreation 55,000 Fund 911 Appropriation Totals 55,000 916 Social Services Gift Fund Human Services 34,500 Fund 916 Appropriation Totals 34,500 Total Budget Appropriations 2,754,862.624 Less Internal Service Funds 212,008,371 Less Interfund Transfers 573,176,352 NET BUDGET APPROPRIATIONS 1,969,677,901 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment B - Revenue FY 2017-18 Adopted 002 General Fund Revenue From Local Sources Automobile License 10,807,765 Business License 46,786,036 Charges for Services 40,774,745 Cigarette Tax 11,113,112 Fines and Forfeitures 5,800,656 From the Use of Money and Property 6,043,760 General Sales Tax 65,135,023 Hotel Room Tax 7,215,382 Miscellaneous Revenue 5,662,019 Other Taxes 19,668,372 Permits,Privilege Fees,and Regulatory Licenses 5,535,829 Personal Property 155,933,379 Real Estate 521,861,044 Restaurant Meal Tax 43,841,222 Utility Tax 41,972,385 Revenue from the Commonwealth Other Sources from the Commonwealth 102,814,312 Revenue from the Federal Government 20,737,501 Specific Fund Reserves 6,264,165 Transfers from Other Funds 16,464,681 Fund 002 Revenue Totals 1,134,431,388 098 School Reserve Special Revenue Fund Specific Fund Reserves 8,803,897 Fund 098 Revenue Totals 8,803,897 104 Green Run Collegiate Charter School Transfers from Other Funds 3,763,447 Fund 104 Revenue Totals 3,763,447 107 School Equipment Replacement Special Revenue Fund Specific Fund Reserves 170,193 Fund 107 Revenue Totals 170,193 108 School Instructional Technology Fund Specific Fund Reserves 79,579 Fund 108 Revenue Totals 79,579 109 School Vending Operations Fund Revenue From Local Sources Miscellaneous Revenue 192,550 Specific Fund Reserves 37,152 Fund 109 Revenue Totals 229,702 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment B- Revenue FY 2017-18 Adopted 112 School Communication Tower Technology Fund Revenue From Local Sources From the Use of Money and Property 510,000 Specific Fund Reserves 340,000 Fund 112 Revenue Totals 850,000 114 School Cafeteria Fund Revenue From Local Sources Charges for Services 11,620,238 From the Use of Money and Property 25,750 Miscellaneous Revenue 350,000 Revenue from the Commonwealth Other Sources from the Commonwealth 500,000 Revenue from the Federal Government 18,086,468 Specific Fund Reserves 1,096,794 Fund 114 Revenue Totals 31,679,250 115 School Operating Fund Revenue From Local Sources Charges for Services 2,216,638 From the Use of Money and Property 465,000 Miscellaneous Revenue 836,703 Revenue from the Commonwealth Other Sources from the Commonwealth 273,443,481 State Shared Sales Tax 73,718,340 Revenue from the Federal Government 12,669,684 Transfers from Other Funds 436,923,247 Fund 115 Revenue Totals 800,273,093 116 School Grants Fund Revenue From Local Sources Miscellaneous Revenue 440,958 Revenue from the Commonwealth Other Sources from the Commonwealth 15,365,288 Revenue from the Federal Government 39,736,533 Transfers from Other Funds 3,313,969 Fund 116 Revenue Totals 58,856,748 117 School Textbook Fund Revenue From Local Sources From the Use of Money and Property 26,611 Miscellaneous Revenue 27,000 Revenue from the Commonwealth Other Sources from the Commonwealth 4,462,985 Specific Fund Reserves 663,006 Fund 117 Revenue Totals 5,179,602 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment B- Revenue FY 2017-18 Adopted 119 School Athletic Special Revenue Fund Revenue From Local Sources Charges for Services 499,000 From the Use of Money and Property 5,000 Transfers from Other Funds 4,595,823 Fund 119 Revenue Totals _ 5,099,823 130 Law Library Fund Revenue From Local Sources Charges for Services 270,065 From the Use of Money and Property 1,000 Specific Fund Reserves 39,000 Fund 130 Revenue Totals 310,065 140 Commonwealth Attorney's Fed & State Seized Assets SRF Specific Fund Reserves 100,000 Fund 140 Revenue Totals 100,000 142 Police Federal & State Seized Assets SRF Specific Fund Reserves 285,915 Fund 142 Revenue Totals 285,915 146 State Rental Assistance Program Revenue from the Commonwealth Other Sources from the Commonwealth 917,176 Fund 146 Revenue Totals 917,176 147 Federal Section 8 Program Special Revenue Fund Revenue From Local Sources Charges for Services 2,694,500 Miscellaneous Revenue 2,000 Revenue from the Federal Government 18,396,900 Transfers from Other Funds 115,000 Fund 147 Revenue Totals 21,208,400 149 Sheriff's Department Special Revenue Fund Revenue From Local Sources Charges for Services 4,595,608 From the Use of Money and Property 11,000 Miscellaneous Revenue 2,000 Revenue from the Commonwealth Other Sources from the Commonwealth 18,450,000 Revenue from the Federal Government 140,000 Specific Fund Reserves 260,000 Transfers from Other Funds 23,718,707 Fund 149 Revenue Totals 47,177,315 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment B- Revenue FY 2017-18 Adopted 151 Parks and Recreation Special Revenue Fund Revenue From Local Sources Charges for Services 15,099,963 From the Use of Money and Property 1,629,967 Miscellaneous Revenue 1,400 Permits,Privilege Fees,and Regulatory Licenses 1,000 Real Estate 18,841,662 Revenue from the Commonwealth Other Sources from the Commonwealth 11,000 Specific Fund Reserves 725,708 Transfers from Other Funds 5,993,510 Fund 151 Revenue Totals 42,304,210 152 Tourism Investment Program Fund Revenue From Local Sources Amusement Tax 6,331,312 Cigarette Tax 793,794 Fines and Forfeitures 458,900 From the Use of Money and Property 802,333 Hotel Room Tax 17,608,079 Miscellaneous Revenue 3,500 Permits, Privilege Fees,and Regulatory Licenses 275,798 Restaurant Meal Tax 13,232,199 Fund 152 Revenue Totals 39,505,915 157 Sandbridge Special Service District Spec Rev Fd Revenue From Local Sources From the Use of Money and Property 7,037 Hotel Room Tax 3,739,385 Real Estate 735,744 Specific Fund Reserves 635,909 Transfers from Other Funds 90,000 Fund 157 Revenue Totals 5,208,075 161 Agriculture Reserve Program Special Revenue Fund Revenue From Local Sources From the Use of Money and Property 31,917 Real Estate 4,878,451 Fund 161 Revenue Totals 4,910,368 163 Tourism Advertising Program Special Revenue Fund Revenue From Local Sources Charges for Services 101,600 From the Use of Money and Property 46,504 Hotel Room Tax 5,834,443 Miscellaneous Revenue 17,000 Restaurant Meal Tax 6,241,603 Fund 163 Revenue Totals 12,241,150 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment B-Revenue FY 2017-18 Adopted 166 Sandbridge Tax Increment Financing Fund Revenue From Local Sources From the Use of Money and Property 28,126 Real Estate 10,226,817 Fund 166 Revenue Totals 10,254,943 169 Central Business District-South TIF (Twn Cntr) Fd Revenue From Local Sources From the Use of Money and Property 2,000 Hotel Room Tax 500,000 Real Estate 7,107,950 Specific Fund Reserves 354,245 Fund 169 Revenue Totals 7,964,195 172 Open Space & Park Infrastructure Development & Maintenance SRF Revenue From Local Sources Restaurant Meal Tax 5,492,612 Fund 172 Revenue Totals 5,492,612 174 Town Center Special Service District Revenue From Local Sources Charges for Services 24,300 Fines and Forfeitures 50,000 From the Use of Money and Property 259,500 Real Estate 2,007,681 Transfers from Other Funds 150,000 Fund 174 Revenue Totals 2,491,481 180 Community Development Special Revenue Fund Revenue from the Federal Government 1,282,136 Transfers from Other Funds 507,171 Fund 180 Revenue Totals 1,789,307 181 CD Loan and Grant Fund Non-Revenue Receipts 125,000 Revenue from the Federal Government 495,565 Transfers from Other Funds 136,266 Fund 181 Revenue Totals 756,831 182 Federal Housing Assistance Grant Fund Non-Revenue Receipts 75,000 Revenue from the Federal Government 807,798 Fund 182 Revenue Totals 882,798 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment B- Revenue FY 2017-18 Adopted 183 Grants Consolidated Fund Revenue From Local Sources Charges for Services 33,068 Revenue from the Commonwealth Other Sources from the Commonwealth 3,078,756 Revenue from the Federal Government 2,089,957 Transfers from Other Funds Revenue from the Federal Government 421,191 Fund 183 Revenue Totals 6,433,926 241 Water and Sewer Fund Non-Revenue Receipts 2,585,634 Revenue From Local Sources Charges for Services 119,800,900 From the Use of Money and Property 535,148 Miscellaneous Revenue 225,464 Revenue from the Federal Government 945,982 Transfers from Other Funds 1,832,981 Fund 241 Revenue Totals 125,926,109 253 Parking Enterprise Fund Revenue From Local Sources Charges for Services 4,691,181 Fines and Forfeitures 180,000 From the Use of Money and Property 8,500 Permits, Privilege Fees,and Regulatory Licenses 55,000 Transfers from Other Funds 67,273 Fund 253 Revenue Totals 5,001,954 254 Waste Management Enterprise Fund Revenue From Local Sources Charges for Services 33,816,980 From the Use of Money and Property 130,000 Miscellaneous Revenue 694,286 Permits,Privilege Fees,and Regulatory Licenses 113,000 Revenue from the Commonwealth Other Sources from the Commonwealth 45,000 Transfers from Other Funds 5,712,041 Fund 254 Revenue Totals 40,511,307 255 Storm Water Utility Enterprise Fund Revenue From Local Sources Charges for Services 41,509,147 From the Use of Money and Property 85,000 Miscellaneous Revenue 60,000 Revenue from the Federal Government 267,597 Transfers from Other Funds 29,873 Fund 255 Revenue Totals 41,951,617 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment B - Revenue FY 2017-18 Adopted 310 Old Donation Creek Area Dredging SSD Revenue From Local Sources Real Estate 70,821 Fund 310 Revenue Totals 70,821 311 Bayville Creek Neighborhood Dredging SSD Fund Revenue From Local Sources Real Estate 87,105 Fund 311 Revenue Totals 87,105 312 Shadowlawn Area Dredging SSD Revenue From Local Sources Real Estate 26,207 Fund 312 Revenue Totals 26,207 313 Chesopeian Colony Dredging SSD Revenue From Local Sources Real Estate 204,035 Specific Fund Reserves 10,887 Fund 313 Revenue Totals 214,922 314 Harbour Point Dredging SSD Revenue From Local Sources Real Estate 17,606 Specific Fund Reserves 286 Fund 314 Revenue Totals 17,892 315 Gills Cove Dredging SSD Revenue From Local Sources Real Estate 13,601 Specific Fund Reserves 11,173 Fund 315 Revenue Totals 24,774 316 Hurds Cove Dredging SSD Revenue From Local Sources Real Estate 222,172 Fund 316 Revenue Totals 222,172 540 General Government Capital Projects Fund Transfers from Other Funds 48,030,908 Fund 540 Revenue Totals 48,030,908 541 Water and Sewer Capital Projects Fund Transfers from Other Funds 8,000,000 Fund 541 Revenue Totals 8,000,000 555 Storm Water Capital Projects Fund Transfers from Other Funds 12,920,501 Fund 555 Revenue Totals 12,920,501 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment B - Revenue FY 2017-18 Adopted 606 City Garage Internal Service Fund Revenue From Local Sources Charges for Services 13,456,308 Miscellaneous Revenue 185,000 Fund 606 Revenue Totals 13,641,308 607 Risk Management Internal Service Fund Revenue From Local Sources Charges for Services 18,139,856 From the Use of Money and Property 40,000 Miscellaneous Revenue 75,000 Fund 607 Revenue Totals 18,254,856 610 Capital Projects Internal Service Fund Revenue From Local Sources Charges for Services 623,555 Fund 610 Revenue Totals 623,555 613 School Landscaping Internal Service Fund Revenue From Local Sources Charges for Services 4,167,908 Fund 613 Revenue Totals 4,167,908 614 School Risk Management Fund Revenue From Local Sources Charges for Services 6,805,724 Fund 614 Revenue Totals 6,805,724 615 City and School Health Insurance Fund Revenue From Local Sources Miscellaneous Revenue 155,908,780 Fund 615 Revenue Totals 155,908,780 616 Fuels Internal Service Fund Revenue From Local Sources Charges for Services 5,638,349 Fund 616 Revenue Totals 5,638,349 620 Telecommunications Internal Service Fund Revenue From Local Sources Charges for Services 3,220,118 From the Use of Money and Property 6,475 Fund 620 Revenue Totals 3,226,593 621 Subscriptions Internal Service Fund Revenue From Local Sources Charges for Services 2,562,707 Specific Fund Reserves 1,178,591 Fund 621 Revenue Totals 3,741,298 City of Virginia Beach, Virginia Fiscal Year 2017-18 Budget Ordinance Attachment B-Revenue FY 2017-18 Adopted 908 City Beautification Fund Revenue From Local Sources Miscellaneous Revenue 100,000 Fund 908 Revenue Totals 100,000 909 Library Gift Fund Revenue From Local Sources Miscellaneous Revenue 6,060 Fund 909 Revenue Totals 6,060 910 Parking Meters - Homeless Donation Fund Revenue From Local Sources Miscellaneous Revenue 1,000 Fund 910 Revenue Totals 1,000 911 Parks and Recreation Gift Fund Revenue From Local Sources Miscellaneous Revenue 55,000 Fund 911 Revenue Totals 55,000 916 Social Services Gift Fund Revenue From Local Sources Miscellaneous Revenue 6,500 Specific Fund Reserves 28,000 Fund 916 Revenue Totals 34,500 Total Budget Revenues 2.754,862.624 Less Internal Service Funds 212,008.371 Less Interfund Transfers 573,176,352 NET BUDGET REVENUES 1,969,677,901 -8- Item -I-F.la-ii ORDINANCES/RESOLUTIONS ITEM#67038 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FY 2017-2018 Operating Budget: ii. ESTABLISH the Tax Levy of One Dollar and Twenty-Five Hundredths of a Cent ($1.0025) per one-hundred dollars ($100)assessed valuation on Real Estate for FY 2018 Voting. 8-3 Council Members Voting Aye: M. Benjamin Davenport, Barbara M. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P. Abbott Robert M. Dyer John D. Moss Council Members Absent: None May 9, 2017 AN ORDINANCE ESTABLISHING THE TAX LEVY ON REAL ESTATE FOR 2 FISCAL YEAR 2018 3 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 4 5 Sec.1. Amount of Levy on Real Estate. 6 There shall be levied and collected for fiscal year 20138 taxes for general purposes on all real estate, 7 including all separate classifications of real estate set forth in the Code of Virginia, not exempt from taxation and 8 not otherwise provided for in this ordinance,at the rate of ninety-nine one dollar and twenty-five hundredths of a 9 cent ($0:99 1.0025) on each one hundred dollars($100) of assessed valuation thereof. The real property tax rate 10 that has been prescribed in this section shall be applied on the basis of one hundred percentum of the fair market 11 value of such real property, except for public service real property, which shall be on the basis as provided in 12 Section 58.1-2604 of the Code of Virginia. It is the intention of the Council that four cents of the tax rate is 13 dedicated, subject to annual appropriation, to provide funding for the Schools to offset the decrease in State 14 funding through the Local Composite Index, - .- - .- - ' • •:, : 15 appropriation, to offset the State reduction in funding for urban road construction and the increased local 16 obligations under the Line of Duty Act.The Council directs the City Manager in the production of future budgets to 17 provide an analysis of State funding for Schoolsr Lirben-FOOfi-EGPEARIEVORrand the Line of Duty Act.At such time as 18 the State restores funding above the following benchmarks: funding for Schools at $350M (per annum, net of 19 School Facility Funds); . .. ... :. ':• . e . . - ; and Line of Duty Act at$0(per annum), the 20 City Manager will recommend a reduction, in whole or in part, to the four cent or two cent tax rate dedication in 21 an amount roughly equal to the increased State funding with a corresponding decrease in the real estate tax rate. 22 23 Sec.2. Amount of Levy on "Certified Storm Water Management Developments and Property," "Certified Solar 24 Energy Recycling Equipment, Facilities or Devices" Classified as Real Estate, and "Environmental 25 Restoration Sites," Real Estate Improved by Erosion Controls, and Certain Wetlands and Riparian 26 Buffers. 27 In accordance with Sections 58.1-3660(A),58.1-3660.1,58.1-3661,58.1-3664,58.1-3665 and 58.1-3666 of 28 the Code of Virginia,there shall be levied and collected for general purposes for fiscal year 20138,taxes on all real 29 estate (a) certified by the Department of Environmental Quality as "Certified Storm Water Management 30 Developments and Property," (b) certified as provided by Code of Virginia Section 58.1-3661 as "Certified Solar 31 Energy Equipment, Facilities or Devices," or "Certified Recycling Equipment, Facilities or Devices," (c) defined by 32 Code of Virginia Section 58.1-3664 as an "Environmental Restoration Site," (d) improved to control erosion as 33 defined by Code of Virginia §58.1-3665, or(e)qualifying as wetlands and riparian buffers as described by Code of 34 Virginia§58.1-3666, not exempt from taxation,at a rate of , _ one dollar and twenty-five hundredths of a 35 cent ($0,99 1.0025) on each one hundred dollars of assessed valuation thereof. The real property tax rates 36 imposed in this section shall be applied on the basis of one hundred percentum of fair market value of such real 37 property except for public service property, which shall be on the basis as provided in Section 58.1-2604 of the 38 Code of Virginia. 39 40 Sec.3. Amount of Levy on Real Estate Within the Sandbridge Special Service District. 41 There shall be levied and collected for fiscal year 20178 taxes for the special purpose of providing beach 42 and shoreline restoration and management at Sandbridge on all real estate within the Sandbridge Special Service 43 District, not exempt from taxation, at the rate of six cents($0.06)on each one hundred dollars($100)of assessed 44 value thereof. This real estate tax rate shall be in addition to the real estate tax rate set forth in Section 1 of this 45 ordinance. For real property that qualifies for Land Use Assessment, pursuant to Division 2 of Chapter 35 of the 46 City Code, or Exemption, or Freeze for Elderly and Disabled Persons, pursuant to Division 3 of Chapter 35 of the 47 City Code, this real estate tax rate shall be applied in the same manner as the real estate tax rate set forth in 48 Section 1 of this ordinance. The real estate tax rate imposed herein shall be applied on the basis of one hundred 49 percentum of the fair market value of such real property except for public service real property,which shall be on 50 the basis as provided in Section 58.1-2604 of the Code of Virginia. 51 52 Sec.4. Amount of Levy on Real Estate Within the Town Center Special Service District. Fiscal Year 2017-18 Budget Ordinances 53 For the special purpose of operating and maintaining the parking garage and providing enhanced services 54 for the plaza and public spaces within the boundaries of the service district at the Town Center, as well as other 55 additional services authorized by Virginia Code § 15.2-2403, there shall be levied and collected for fiscal year 56 20138 taxes on all real estate within the Town Center Special Service District, not exempt from taxation, at the 57 rate of forty-five cents ($0.45)on each one hundred dollars ($100) of assessed value thereof.This real estate tax 58 rate shall be in addition to the real estate tax set forth in Section 1 of this ordinance. For real property that 59 qualifies for Land Use Assessment, pursuant to Division 2 of Chapter 35 of the City Code, or Exemption or Freeze 60 for Elderly and Disabled Persons, pursuant to Division 3 of Chapter 35 of the City Code, this real estate tax rate 61 shall be applied in the same manner as the real estate tax rate set forth in Section 1 of this ordinance. The real 62 estate tax rate imposed herein shall be applied on the basis of one hundred percentum of the fair market value of 63 such real property, except for public service real property, which shall be on the basis as provided in Section 58.1- 64 2604 of the Code of Virginia. 65 66 Sec.5. Amount of Levy on"Energy-Efficient Buildings". 67 In accordance with Section 58.1-3221.2 of the Code of Virginia and any relevant section of the City Code, 68 there shall be levied and collected for general purposes for the fiscal year 20138 taxes on all real estate that has 69 been classified as an energy efficient building, not exempt from taxation, at a rate of eighty-4u+five and twenty- 70 five hundredths of a cents($0.84525)on each one hundred dollars of assessed valuation thereof.The real property 71 tax rate imposed in this section shall be applied on the basis of one hundred percentum of fair market value of 72 such real property except for public service property,which shall be on the basis as provided in Section 58.1-2604 73 of the Code of Virginia. 74 75 Sec.6. Amount of Levy on Properties Listed in the Virginia Landmarks Register. 76 In accordance with Section 58.1-3221.5 of the Code of Virginia and any relevant section of the City Code, 77 there shall be levied and collected for general purposes for the fiscal year 20138 taxes on buildings that are 78 individually listed on the Virginia Landmarks Register, not including the real estate or land on which the building is 79 located, so long as the building is maintained in a condition such that it retains the characteristics for which it was 80 listed on the Virginia Landmarks Register at a rate of fifty-two three and twenty-five hundredths of a cent 81 ($0.52325) on each one hundred dollars of assessed valuation thereof. The real property tax rate imposed in this 82 section shall be applied on the basis of one hundred percentum of fair market value of such real property except 83 for public service property,which shall be on the basis as provided by Section 58.1-2604 of the Code of Virginia. 84 85 Sec.7. Amount of Levy on Real Estate Within the Various Dredging Special Service Districts. 86 There shall be levied and collected for fiscal year 20128 taxes for the special purpose of providing 87 neighborhood channel dredging of creeks and rivers to maintain existing uses on all real estate within each special 88 service district listed below: 89 a. Old Donation Special Service District, not exempt from taxation, at the rate of eighteen and four- 90 tenths cents($0.184)on each one hundred dollars($100)of assessed value thereof. 91 b. Bayville Creek Special Service District, not exempt from taxation, at the rate of thirty fifty six and 92 three-nine-tenths cents($0.363 569)on each one hundred dollars($100)of assessed value thereof. 93 c. Shadowlawn Special Service District, not exempt from taxation, at the rate of fifteen and ninety-four 94 hundredths cents($0.1594)on each one hundred dollars($100)of assessed value thereof. 95 d. Chesopeian Special Service District, not exempt from taxation,at the rate of twenty nine and thirteen 96 hundredths cents($0.2913)on each one hundred dollars($100)of assessed value thereof. 97 e. Harbour Point Special Service District, not exempt from taxation,at the rate of seven and nine-tenths 98 cents($0.079)on each one hundred dollars($100)of assessed value thereof. 99 f. Gills Cove Special Service District, not exempt from taxation, at the rate of six and three-tenths cents 100 ($0.063)on each one hundred dollars($100)of assessed value thereof. 101 g. Hurd's Cove Special Service District, not exempt from taxation, at the rate of forty-three and eight- 102 tenths cents($0.438)on each one hundred dollars($100)of assessed value thereof. 103 104 This real estate tax rate shall be in addition to the real estate tax rate set forth in Section 1 of this ordinance. 105 Except as provided explicitly in Chapter 35.3 of the Code of the City of Virginia Beach, this tax rate shall apply Fiscal Year 2017-18 Budget Ordinances 106 without reduction to any properties subject to ad valorem taxes including those properties enrolled in the 107 Exemption or Freeze for Elderly and Disabled Persons, City Code§§35-61, et seq. As set forth in Code of Virginia, 108 section 15.2-2403(6), written consent is required to apply this tax rate to the full assessed value of properties 109 subject to special use value assessment. The real estate tax rate imposed herein shall be applied on the basis of 110 one hundred percentum (100%) of the fair market value of such real property except for public service real 111 property,which shall be on the basis as provided in Section 58.1-2604 of the Code of Virginia. 112 113 Sec.8 Severability. 114 If any portion of this ordinance is for any reason declared to be unconstitutional or invalid, such decision 115 shall not affect the validity of the remaining portions of this ordinance. 116 117 Sec.9 Effective Date. 118 The effective date of this ordinance shall be July 1,20167. 119 120 Requires an affirmative vote by a majority of all of the members of City Council. 121 122 Adopted by the City Council of the City of Virginia Beach,Virginia on the 9 tJ y of May,2017. 123 124 APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: .9a;A.) David Bradley Dana rme er Budget and Management Services City Attorney's Office Fiscal Year 2017-18 Budget Ordinances -9- Item -I-F.1a-iii ORDINANCES/RESOLUTIONS ITEM#67039 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FY2017-2018 Operating Budget: iii. ESTABLISH the Tax Levy on Personal Property, Machinery and Tools for Calendar Year 2018 Voting: 8-3 Council Members Voting Aye: M. Benjamin Davenport, Barbara M Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P.Abbott Robert M Dyer John D. Moss Council Members Absent: None May 9, 2017 1 AN ORDINANCE ESTABLISHING THE TAX LEVY ON PERSONAL 2 PROPERTY AND MACHINERY AND TOOLS FOR THE 3 CALENDAR YEAR 2018 4 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 5 6 Sec.1. Amount of Levy on the General Classification of Tangible Personal Property. 7 In accordance with Chapter 35 of Title 58.1 of the Code of Virginia, taxes shall be levied and collected for 8 general purposes for the calendar year 20178 on all tangible personal property, including all separate 9 classifications of personal property set forth in the Code of Virginia, not exempt from taxation and not otherwise 10 provided for in this ordinance, at the rate of four dollars ($4.00) on each one hundred dollars ($100) assessed 11 valuation thereof. 12 13 Sec.2. Personal Property Tax Relief. 14 As required by § 58.1-3523 of the Code of Virginia, qualifying vehicles (as defined by § 58.1-3523), not 15 otherwise exempted from taxation in this ordinance or by law,shall be subject to the following: 16 1. Any qualifying-vehicle with a total assessed value of$1,000 or less will be levied no tax, reflecting 17 a reimbursement of 100%Personal Property Tax Relief Act. 18 2. Any qualifying vehicle with an assessed value of between$1,001 and $20,000 will be levied 47.9% 19 48.9%of the computed tax based on the total assessed value of the vehicle. Reimbursement is expected from the 20 state under the Personal Property Tax Relief Act equal to the remaining 52.1%51.1%of the computed tax on the 21 first$20,000 of assessed value. 22 3. Any qualifying vehicle with an assessed value of over $20,000 will be levied 479% 48.9% of the 23 computed tax based on the first$20,000 of assessed value and 100%of the computed tax based on the assessed 24 value in excess of$20,000. Reimbursement is expected from the state under the Personal Property Tax Relief Act 25 equal to the remaining 52.1%51_1%1%of the computed tax on the first$20,000 of assessed value. 26 27 Sec.3. Amount of Levy on Certain Classifications of Tangible Personal Property 28 In accordance with Chapter 35 of Title 58.1 of the Code of Virginia,taxes shall be levied and collected for 29 general purposes for the calendar year 20178 on the certain classifications of tangible personal property set forth 30 below at the rate of four dollars($4.00)on each one hundred dollars($100)assessed valuation thereof. 31 a. heavy construction equipment as described in Code of Virginia§58.1-3506(A)(8); 32 b. computer equipment as described in Code of Virginia 458.1-3506(A)(11); 33 c. tangible personal property as described in (a) Code of Virginia § 58.1-3506 as "certified pollution 34 control equipment and facilities" and (b) Code of Virginia § 58.1-3661 as "certified solar equipment, facilities or 35 devices and certified recycling equipment,facilities or devices"; 36 d. furniture,office,and maintenance equipment as described in Code of Virginia§58.1-3506(A)(24); 37 e. all tangible personal property employed in a trade or business other than described in subdivisions A 38 1 through A 18,except for subdivision A 17,of§58.1-3503 as described in Code of Virginia§58.1-3506(A)(26); 39 f. programmable computer equipment and peripherals employed in a trade or business ad described in 40 Code of Virginia 458.1-3506(A)(27); 41 g. tangible personal property used in the provision of internet service as described in Code of Virginia § 42 58-1-3506(A)(31); 43 h. forest harvesting and silvicultural activity as described in Code of Virginia§58-1-3506(A)(33); 44 i. equipment used primarily for research, development, production or provision of biotechnology as 45 described in Code of Virginia§58-1-3506(A)(34); 46 j. tangible personal property which is owned and operated by a service provider who is not a CMRS 47 provider and is not licensed by the FCC used to provide,for a fee,wireless broadband internet service as described 48 in Code of Virginia §58-1-3506(A)(37). 49 50 Sec.4. Amount of Levy on Manufactured Homes. 51 There shall be levied and collected for general purposes for the calendar year 20178 taxes on all vehicles 52 without motive power, used or designated to be used as manufactured homes, as defined by Section 36-85.3 of Fiscal Year 2011-18 Budget Ordinances 53 the Code of Virginia, at the rate of one dollar and twenty-five hundredths of a cent ($1.0025) ..'-_ , fling __nt5 54 ($0.99)on each one hundred dollars($100)of assessed valuation thereof. Such property declared a separate class 55 of tangible personal property in Section 58.1-3506(A)(10). 56 57 Sec.5. Amount of Levy on All Boats or Watercraft Used for Business Purposes Only. 58 There shall be levied and collected for general purposes for the calendar year 20178 taxes on all boats or 59 watercraft used for business purposes(both boats weighing less than five(5)tons and boats weighing five(5)tons 60 or more), except as provided for in Section 8 of this ordinance, at the rate of one dollar and fifty cents($1.50) on 61 each one hundred dollars($100)of assessed valuation thereof. Such property declared a separate class of tangible 62 personal property in Sections 58.1-3506(A)(35)and(A)(36). 63 64 Sec.6.Amount of Levy on All Boats or Watercraft Not Used Solely for Business Purposes. 65 There shall be levied and collected for general purposes for the calendar year 20178 taxes on all boats or 66 watercraft not used solely for business purposes weighing less than five (5) tons, and weighing five (5) tons or 67 more,except as provided for in Section 8 of this ordinance, at the rate of one dollar and fifty cents($1.50)on each 68 one hundred dollars ($100) of assessed valuation thereof. Such property declared a separate class of tangible 69 personal property in Sections 58.1-3506(A)(1) (a)and(A)(1)(b). 70 71 Sec.7. Amount of Levy on Machinery and Tools. 72 In accordance with Section 58.1-3507 of the Code of Virginia, there shall be levied and collected for 73 general purposes for the calendar year 20178 taxes on machinery and tools, including machinery and tools used 74 directly in the harvesting of forest products or semiconductor manufacturing, not exempt from taxation, at the 75 rate of one millionth of one cent($.000001)on each one hundred dollars($100)of assessed valuation thereof.As 76 provided by Code of Virginia § 58.1-3506 (B), the following personal property shall also be taxed at the rate of 77 machinery and tools: 78 a. all tangible personal property used in research and development businesses,as described in Code of 79 Virginia§58.1-3506(A)(7); 80 b. generating or cogenerating equipment,as described in Code of Virginia 458.1-3506(A)(9);and 81 c. all motor vehicles, trailers and semitrailers with a gross vehicle weight of 10,000 pounds or more 82 used to transport property for hire by a motor carrier engaged in interstate commerce, as described in Code of 83 Virginia§58.1-3506(A)(25). 84 85 Sec.8.Amount of Levy on Privately Owned Pleasure Boats and Watercraft Used for Recreational Purposes Only. 86 There shall be levied and collected for general purposes for the calendar year 20178 taxes on all privately 87 owned pleasure boats and watercraft used for recreational purposes only,at the rate of one millionth of one cent 88 ($.000001) on each one hundred dollars ($100) of assessed valuation thereof. Such property declared a separate 89 class of tangible personal property in Sections 58.1-3506(A)(12), (A)(28),and(A)(29). 90 91 Sec.9.Amount of Levy on Privately Owned Camping Trailers, Privately Owned Travel Trailers,and Motor Homes 92 Used for Recreational Purposes Only,and Privately Owned Horse Trailers. 93 There shall be levied and collected for general purposes for the calendar year 20178 taxes at the rate of 94 one dollar and fifty cents ($1.50) on each one hundred dollars ($100) of assessed valuation thereof on the 95 following property:(a)all privately owned camping trailers and motor homes as defined in Section 46.2-100 of the 96 Code of Virginia and privately owned travel trailers as defined in Code of Virginia §46.2-1900, that are used for 97 recreational purposes only; and (b) privately owned trailers as defined in § 46.2-100 of the Code of Virginia that 98 are designed and used for the transportation of horses,except those trailers described in subdivision (A) (11)of§ 99 58.1-3505 of the Code of Virginia.Such property declared a separate class of tangible personal property in Sections 100 58.1-3506(A)(18)and(A) (30). 101 102 Sec.10.Amount of Levy on One Motor Vehicle Owned and Regularly Used by a Disabled Veteran. 103 There shall be a reduced tax, levied and collected for general purposes for the calendar year 20178 at the 104 rate of one dollar and fifty cents ($1.50) on each one hundred dollars ($100) of assessed valuation, on one (1) 105 motor vehicle owned and regularly used by a veteran who has either lost,or lost the use of,one or both legs,or an Fiscal Year 2017-18 Budget ordinances 106 arm or a hand, or who is blind, or who is permanently and totally disabled as certified by the Department of 107 Veterans'Affairs.Any motor vehicles in addition to the one(1)so taxed shall not qualify for the taxation at the rate 108 established herein, and shall be taxed at the rate or rates applicable to that class of property. To qualify, the 109 veteran shall provide a written statement to the Commissioner of the Revenue from the Department of Veterans' 110 Affairs that the veteran has been so designated or classified by the Department of Veterans'Affairs as to meet the 111 requirements of Section 58.1-3506 (A) (19), and that his or her disability is service connected. Such property 112 declared a separate class of tangible personal property in Section 58.1-3506(A)(19). 113 114 Sec.11.Amount of Levy on a Motor Vehicle Owned and Used Primarily by or for Someone at Least Sixty-Five 115 Years of Age or Anyone Found to be Permanently and Totally Disabled. 116 a. In accordance with Sections 58.1-3506.1 et seq.of the Code of Virginia,there shall be a reduced tax, 117 levied and collected for general purposes for calendar year 20178 at the rate of three dollars($3.00)on each one 118 hundred dollars($100.00)of assessed valuation,on one(1)automobile or pickup truck owned and used primarily 119 by or for anyone at least sixty-five years of age or anyone found to be permanently and totally disabled,as defined 120 in Section 58.1-3506.3 of the Code of Virginia,subject to the following conditions: 121 1. The total combined income received, excluding the first $7,500 of income, from all sources 122 during calendar year 20156 by the owner of the motor vehicle shall not exceed twenty-two thousand dollars 123 ($22,000). 124 2. The owner's net financial worth, including the present value of all equitable interests, as of 125 December 31 of calendar year 20156 excluding the value of the principal residence and the land, not exceeding 126 one(1)acre, upon which it is situated,shall not exceed seventy thousand dollars($70,000). 127 3. All income and net worth limitations shall be computed by aggregating the income and assets, 128 as the case may be, of a husband and wife who reside in the same dwelling and shall be applied to any owner of 129 the motor vehicle who seeks the benefit of the preferential tax rate permitted under this ordinance,irrespective of 130 how such motor vehicle may be titled. 131 b. Any such motor vehicle owned by a husband and wife may qualify if either spouse is sixty-five or over 132 or if either spouse is permanently and totally disabled, and the conditions set forth in subsection (a) have been 133 satisfied. 134 135 Sec.12.Assessed Value Determination. 136 In accordance with Section 58.1-3103 of the Code of Virginia, personal property mentioned in the above 137 sections shall be assessed at actual fair market value, to be determined by the Commissioner of the Revenue for 138 the City of Virginia Beach. 139 140 Sec. 13.Severability. 141 If any portion of this ordinance is for any reason declared to be unconstitutional or invalid, such decision 142 shall not affect the validity of the remaining portions of this ordinance. 143 144 Sec.14. Effective Date. 145 This ordinance shall be effective January 1,20178. 146 147 Requires an affirmative vote by a majority of all of the members of City Council. 148 149 Adopted by the City Council of the City of Virginia Beach,Virginia on the9 t day of May,2017. 150 151 APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: y \ David Bradley Dana Har ye Budget and Management Services City Attorney's Office Fiscal Year 101718 Budget Ordinances -10- Item-I-F.l a-iv ORDINANCES/RESOLUTIONS ITEM#67040 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FY 2017-2018 Operating Budget: I. DECLARE$8-Million as SURPLUS within the Sandbridge Tax Increment Financing District (SSD) re beach and shoreline restoration and management at Sandbridge Voting: 8-3 Council Members Voting Aye: M. Benjamin Davenport, Barbara Al. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P. Abbott Robert Al. Dyer John D. Moss Council Members Absent: None May 9, 2017 1 AN ORDINANCE TO DECLARE $8,000,000 OF FUNDING 2 WITHIN THE SANDBRIDGE TAX INCREMENT FINANCING 3 DISTRICT AS SURPLUS FUNDS IN THE FY 2016-17 OPERATING 4 BUDGET 5 WHEREAS, the Sandbridge Tax Increment Financing District (Sandbridge TIF) and the Sandbridge Special 6 Service District(Sandbridge SSD),were established to provide a funding source for beach and shoreline restoration 7 and management at Sandbridge; 8 9 WHEREAS,an analysis of the Sandbridge TIF and the Sandbridge SSD occurs annually to ensure that funding 10 is adequate for long-term beach and shoreline restoration and management along Sandbridge; 11 12 WHEREAS,current projections indicate that the Sandbridge TIF and Sandbridge SSD have sufficient funding 13 to meet long-term obligations for beach and shoreline restoration and management; 14 15 WHEREAS, projections also indicate that the funding available exceeds the long-term obligations of the 16 project;and 17 18 WHEREAS,$8,000,000 is available as an unencumbered appropriation in the FY 20156-167 Sandbridge TIF 19 Reserve for Future Commitments. 20 21 NOW,THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 22 23 That$8,000,000 of funding within the Sandbridge TIF is hereby declared to be in excess of the long-term 24 obligations for beach and shoreline restoration and management and is hereby declared surplus. 25 26 BE IT FURTHER ORDAINED:That this ordinance shall be effective on June 30,2017. 27 28 Adopted by the City Council of the City of Virginia Beach,Virginia,on the 9 ttAay of May,2017. 29 30 APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: David Bradley Dana Harmeyer Budget and Management Services City Attorney's Office fiscal Year 2017-18 Budget Ordinances -11- Item-I-F.la-v ORDINANCES/RESOLUTIONS ITEM#67041 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FT 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FT 2017-2018 Operating Budget: v. IMPLEMENT the 2018 Employee and Retiree Health Insurance Plans Voting: 8-3 Council Members Voting Aye: M Benjamin Davenport, Barbara M Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P.Abbott Robert M. Dyer John D. Moss Council Members Absent: None May 9, 2017 1 A RESOLUTION REGARDING THE CITY'S 2018 EMPLOYEE AND 2 RETIREE HEALTH INSURANCE PLANS 3 4 WHEREAS,the next Health Insurance Plan Year takes effect January 1, 20138; 5 6 NOW THEREFORE,BE IT RESOLVED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA THAT 7 8 1. The City Manager or his designee is hereby authorized to work with the Consolidated Benefits Office to 9 implement the Health Insurance Offerings to City and School Employees as outlined below: 10 11 a. Implement the plan design changes set forth in Attachment A for plan year 20178 and maintain three 12 plan offerings of Basic,Standard,and Premier. 13 14 b. Establish an employer contribution strategy as to provide a defined contribution to each tier of each 15 of the three plans offered, resulting in the following monthly defined employer contributions: 16 Employee Only $490.53 Retiree Only $567.68 Employee Plus Child $743.77 Retiree Plus Child $820.94 Employee Plus Children $1,079.14 Retiree Plus Children $1,157.87 Employee Plus Spouse $904.84 Retiree Plus Spouse $1,065.69 Family $1,285.23 Retiree Family $1,447.53 17 18 c. A one-time lump sum Health Savings Account contribution in the amount of$500 will be made for 19 members choosing to newly enroll in the Basic POS plan effective January 1, 20178 as well as to 20 newly enrolled members that were eligible in 20167 but did not previously receive a contribution. 21 22 d. Employees hired on or after July 1,2014,will not receive an employer contribution to retiree health 23 insurance.Per State law(Virginia Code 15.2-1517),such employees with fifteen years of continuous 24 service with the City or Schools may elect to continue on a City and School Health Insurance Plan 25 upon retirement,but the retiree would be responsible for the full premium cost of the selected plan. 26 27 2. The City Auditor is directed to conduct an audit of health care claims by an independent outside firm. The 28 City Auditor is also directed to perform periodic audits of the health care program as deemed necessary. 29 30 3. The City Auditor is directed to provide for an actuarial valuation of retiree health insurance costs biennially 31 to meet the Government Accounting Standards Board(GASB)45 pronouncement concerning fully costing 32 out Other Post-Employment Benefits. 33 34 4. This Resolution shall become effective on January 1, 20138. 35 36 Adopted by the Council of the City of Virginia Beach,Virginia,on the 9[bay of May,2017. 37 38 APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: s ^ `%Ih- David Bradley eyer Budget and Management Services City Attorney's Office Fiscal Year 2017-18 Budget Ordinances • AltxhmentA Calendar Year Plans for 2018 Compared to Current Yew 2017 Plans 2018 Plans POS Premier POS Standard POS Basic POB Premier POS Standard POS Basic Deductibles $850/$1,71X) $1300/$2,600' $2,000/$4000' $850/$1)00 $1,3m/$2,6415 $2,000/$4,000' (non-.rr bedded) loonema°dedl (non-embedded) Inooememdedl HSA Eligible No Yes Yes No Yes Yes HSA Funding N/A No $500' N/A No $50 0' Out of Pocket Max $3,000/$6000 $3,500/$7,N0' $4,000/$8,0008 $3,0ID/$6,000 $3,500/$7,000' $4000/$8.0005 Nm to exceed$6850 for one Norio exceed$1,151)for one individual) individual/ SQCN'PCP $20 Copse 10%Coinsurance° 15%CoinsuranceP° $20 Copae 10%Coinsuance° 15%Coinsurance"° Non-SQCN PCP $40Copae 20%Coinsurance° 25%Coinsurance° $40 Copal? 20%Coinsurance° 25%CoinsuranceP° Preventive Visit l004' 100%' 100%' 100%' 100%,' 1LYW' SQCN'Specialis[ $40 Copse 17%Coinsurance° 15%CoinsuranceP° $40 Copal? 10%Coinsurancem 15%Coinsurance"° Non-SQCN Specialist $GOCopae 20%Coinsurance"D 25%Coinsurance"° $60 Dopey' 2O%Coinsurancem 25%Coinsurance"° Diagnostic(x-ray,blood work) 15%CoinsuranceP° 20%CoinsuranceA°. ....25%Coinsurance_°- 15%Coinsurance"° 2O%Coinsurance° 25%Coinsurance"° Imaging ICT/PET/MAI) 15%Coinsurance° 20%Coi nsurance° 25%CoinsuranceP° 15%Coinsurance"° 20%Coinsurance1p 25%Coinsurance" ° Inpatient Hospital 15%CoinsuranceP° 20%Col nsurance"° 25%Coinsurance" 15%Coinsurance"° 2O%Coinsurance"° 25%CoinsuranceP° Outpatient Surgery rg ry 15%Coinsurance" 20%Col nsurance° 25%Coinsurance° 15%CoinsuranceP° 2O%Coinsurance"° 25%Coinsurance° Maternity Care $350 CODae20%Col nsurance° 15%CoinsuranceP° $350 Cope? 2036 Coinsurance". 15%Coinsuance"° Preferred Pharmacy' - -- �— _-� Ma'greens,Wtlmen4arm 0odl Tier 1 $10Copae $10 Copae° $10 Coney"' $10 Copse $10Copae° $10 Copa?° Tier 2 $25 Copae $25 Copae° 525 Copay° $25 Copae $25 Copae° $25 Copal"D Tier3 Covered at 75%' Covered at 75%' Covered at 75%' 25%Coinsurance' 25%CoinsuranceP° 25%Coinsurance1. Max$50) (Max$50) (Max$5O) (Max$50) IMax$50) (Max$50) Non-Preferred Pharmary. iierl $25 Cope? $25 Copay' $25Copay3 $25Copae $25Copae° $25Copa/° Tier 2 $45 Copal?' $45 Cope? 545 Copal,' $45 Cope? $45 Copey"0 $45 CopayA° Tier 3 Covered at 75%t Covered at 75%' Covered at 75%' 25%Coinsurance' 25%CoinsuranceA° 25%Coinsurance"° ___......._ (Max$75) (Max$751 _._ (Max$75) (Max$75) _._ (Max$75) (Max$75) Specialty Pharmary Covered at 75%3 Covered at 75%3 Covered at 25%Coinsurance' 25%Coinsurance"° 25%Col nsurance"0 (Max$2W) (Max$200) (Max 5200) (Max 5200) Max$210) (Max$21107 __... Notes: ' Basic$500 HSA contribution offeredfirst plan year ONLY 2 Sentare Quality Care Network ' Deductible does not apply to this service ' Closed Formulary Prescription Drug Benefit-Contains speOfic drugs in each drug dass.Non-formulary medications must meet medial necessity criteria through an exception processto be covered ' Pending IRS 2018 deductible limits for qualifred HSA compatible plans ° After Deductible Fiscal Year 2017-18 Budget Ordinances -12- Item -I-F.la-vi ORDINANCES/RESOLUTIONS ITEM#67042 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FY 2017-2018 Operating Budget: xi. AUTHORIZE the City Manager to submit an Annual Funding Plan to the U.S. Department of Housing and Urban Development(HUD) Voting: 8-3 Council Members Voting Aye: M. Benjamin Davenport, Barbara M. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John K Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P. Abbott Robert M. Dyer John D. Moss Council Members Absent. None May 9, 2017 1 AN ORDINANCE TO AUTHORIZE THE CITY MANAGER TO SUBMIT AN ANNUAL 2 FUNDING PLAN TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 3 4 WHEREAS, the United States Congress has established legislation designated as the Housing and 5 Community Development Act of 1974 that sets forth the development of viable urban communities as a national 6 goal; and has established additional legislation addressing the goals of reducing homelessness, increasing 7 affordable housing opportunities,and providing housing for people with HIV/AIDS;and 8 9 WHEREAS,there is federal assistance available to help achieve these goals and conduct related activities; 10 and 11 12 WHEREAS, as a prerequisite to receiving the above-referenced federal assistance, the City of Virginia 13 Beach has developed an Annual Funding Plan for submission to the Department of Housing and Urban 14 Development and has created the necessary mechanisms for its implementation in compliance with federal and 15 local directives, 16 17 NOW,THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 18 19 That the City Manager is hereby authorized and directed, as the executive and administrative head of the 20 City, to submit the City's FY 20147-138 Annual Funding Plan (the "Plan") and amendments thereto, along with 21 understandings and assurances contained therein and such additional information as may be required, to the 22 Department of Housing and Urban Development to permit the review,approval,and funding of the Plan. 23 hh 24 Adopted by the Council of the City of Virginia Beach,Virginia,on the 9t , ' ay of May,2017. 25 26 APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: �„ T •i David Bradley --r. . ar ye Budget and Management Services City Att.rney's Office Fiscal Year 2017-18 Budget Ordinances -13- Item-I-F.1 a-vii ORDINANCES/RESOLUTIONS ITEM#67043 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FY 2017-2018 Operating Budget: xii. AMEND Section 32.5-2 of the City Code re Equivalent Residential Unit(ERU) Fee Voting: 8-3 Council Members Voting Aye: M. Benjamin Davenport, Barbara M Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P. Abbott Robert M. Dyer John D. Moss Council Members Absent None May 9, 2017 1 AN ORDINANCE TO AMEND THE CITY CODE PERTAINING TO THE 2 EQUIVALENT RESIDENTIAL UNIT(ERU)FEE 3 SECTION AMENDED: §32.5-2 4 WHEREAS, City Council held public a hearing on the proposed fee increase to provide for public 5 comment; 6 7 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 8 9 That Section 32.5-2 of the Code of the City of Virginia Beach, Virginia is hereby amended and reordained 10 to read as follows: 11 12 Sec.32.5-2.Definitions. 13 The following words and terms used in this section shall have the following meanings: 14 (a) Equivalent residential unit or ERU means the equivalent impervious area of a single-family 15 residential developed property per dwelling unit located within the city based on the statistical 16 average horizontal impervious area of a single-family residence in the city. An equivalent 17 residential unit (ERU) equals two thousand two hundred sixty-nine (2,269) square feet of 18 impervious surface area. 19 (b) ERU rate means the utility fee charged on an equivalent residential unit, which shall ferry-Hues 20 - -- -- - -- e.• :. , ' - . , t be forty-five and eight-tenth cents 21 )$0.458) per day, effective July 1, 2017; forty-eight and three-tenth cents ($0.483) per day 22 effective July 1, 2018, fifty and eight-tenth cents ($0.508) per day, effective July 1, 2019, fifty- 23 three and three-tenth cents($0.533)per day.effective July 1.2020.and fifty-five and eight-tenth 24 cents(50.558)per day,effective July 1, 2021. 25 26 27 BE IT FURTHER ORDAINED:That the effective date of this ordinance shall be July 1,2017. 28 9th 29 Adopted by the Council of the City of Virginia Beach,Virginia,on this_day of May,2017. 30 APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: David Bradley D a‘hs4^rso✓ r Budget and Management Services / City Attorney's Office Fiscal Year 2017-18 Budget Ordinances -14- Item-I-F.1a-viii ORDINANCES/RESOLUTIONS ITEM#67044 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FY 2017-2018 Operating Budget: viii. AMEND Sections 35.1-4 and 35.1-5 of the City Code re Sandbridge Special Service District(SSD) Voting: 8-3 Council Members Voting Aye: M. Benjamin Davenport, Barbara Al. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P.Abbott Robert M. Dyer John D. Moss Council Members Absent: None May 9, 2017 1 AN ORDINANCE TO AMEND SECTIONS 35.1-4 AND 2 35.1-5 OF THE CITY CODE PERTAINING TO THE 3 SANDBRIDGE SPECIAL SERVICE DISTRICT 4 5 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH THAT SECTIONS 35.1-4 AND 35.1-5 6 ARE AMENDED AND REORDAINED AS FOLLOWS: 7 8 Sec.35.1-4.Facilities and services to be provided within the Sandbridge Special Service District. 9 10 The Sandbridge Special Service District is created for the purpose of providing financing for the local 11 share of any beach and shoreline management and restoration project for the construction, maintenance, 12 replenishment and restoration of the beach and shoreline on the Atlantic Ocean within the service district. 13 This purpose shall include maintenance of the recreational amenity that is the Sandbridge beach including 14 services required in provide beautification, access, and upkeep of the beach. Toward that end, there shall 15 be provided within the Sandbridge Special Service District those facilities and services necessary or desirable 16 to accomplish the purpose of the service district, including, without limitation,administrative,engineering 17 and other professional services, sand dredging, pumping,grading and hauling facilities and equipment and 18 such other equipment and facilities as may,from time to time,be needed to accomplish the purpose of the 19 service district. 20 21 Sec. 35.1-S. Proposed plan for providing facilities and services within the Sandbridge Special 22 Service District. 23 24 The plan is to accumulate dedicated revenue generated for use within the Sandbridge Special Service District 25 to fund the creation and maintenance of a beach berm having an elevation approximately six(6)feet above 26 mean sea level and a width of approximately fifty (50) feet from the nourishment line with a slope of 27 approximately twenty to one(20:1)to the Atlantic Ocean.Implementation of the plan is expected to produce 28 a designed dry beach area of approximately one hundred and twenty(120)feet,which in combination with 29 the fifty-foot berm will yield a dry beach of approximately one hundred and seventy(170)feet at mean tide 30 level.Actual or planned elevations,slopes and beach area may vary from time to time as determined by the 31 district engineer of the Army Corp of Engineers, Norfolk District, and the city's director of public works. In 32 addition to nourishment activities, the Special Service District shall also provide services for the 33 beautification,access,and upkeep of the beach berm. 34 35 36 Adopted by the City Council of the City of Virginia Beach,Virginia,on this 9 t Iday of May,2017. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: CID David Bradley Dana Har ye Budget and Management Services City Attorney's Office Fiscal Year 2017-18 Budget Ordinances -15- Item-1-F.la-ix ORDINANCES/RESOLUTIONS ITEM#67045 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re:FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FY 2017-2018 Operating Budget: ix. AMEND Sections 35-64 and 35-67 of the City Code re Exemption or Deferral of Real Estate Taxes for the elderly or disabled Voting: 8-3 Council Members Voting Aye: M. Benjamin Davenport, Barbara M. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John K Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P.Abbott Robert M. Dyer John D. Moss Council Members Absent: None May 9, 2017 1 AN ORDINANCE TO AMEND SECTIONS 35-64 AND 35-67 OF 2 THE CITY CODE PERTAINING TO THE EXEMPTION OR 3 DEFERRAL OF REAL ESTATE TAXES FOR ELDERLY OR DISABLED 4 PERSONS 5 SECTIONS AMENDED:§§35-64 AND 35-67 6 WHEREAS,the City Council has previously directed adjustments to the income component of the tax relief for 7 elderly and disabled persons to be adjusted annually to mirror the average increase or decrease of the value of 8 single family residences. 9 10 NOW,THEEFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 11 12 That Sections 35-64 and 35-67 of the City Code are hereby amended and reordained to read as follows: 13 14 Sec.35-64. General prerequisites to grant;effect of residency in hospital,nursing home,etc. 15 16 (a) Either the exemption or freeze, but not more than one (1), as provided for in this division shall be 17 granted to persons subject to the following provisions: 18 19 (1) The title to the property for which exemption or freeze is claimed is held, or partially held, on 20 June thirtieth immediately preceding the taxable year, by the person or persons claiming exemption, deferral or 21 freeze and is occupied as the sole dwelling of such person or persons. 22 23 (2) The head of the household occupying the dwelling and owning title or partial title thereto or 24 either spouse in a dwelling jointly held by a husband and wife is either permanently and totally disabled or is sixty- 25 five (65) years of age or older on June thirtieth of the year immediately preceding the taxable year; provided, 26 however,that a dwelling jointly held by a husband and wife may qualify if either spouse is over sixty-five(65)years 27 of age. 28 29 (3) For the tax exemption programs, the total combined income received from all sources during 30 the preceding calendar year by:(i)the owner or owners of the dwelling who use it as their principal residence and 31 (ii)the owner's or owners' relatives who live in the dwelling,shall not exceed 32 s($52,2,0)fifty three thousand seven hundred and fifty three five dollars($53,7531 provided that 33 the first ten thousand dollars($10,000.00)of income of each relative,other than a spouse of the owner,who is living 34 in the dwelling, shall not be included in such total: and provided further that the first ten thousand dollars 35 ($10,000.00) or any portion thereof of income received by a permanently and totally disabled owner shall not be 36 included in such total. 37 38 (4) For the tax freeze program, the total combined income received from all sources during the 39 preceding calendar year by: (i)the owner or owners of the dwelling who use it as their principal residence and (ii) 40 the owner's or owners'relatives who live in the dwelling,shall not exceed seventy thousand one hundred and thirty 41 seven dollars($70,1371 -- -. • ;provided that the first 42 ten thousand dollars($10,000.00)of income of each relative,other than a spouse of the owner,who is living in the 43 dwelling, shall not be included in such total; and provided that the first ten thousand dollars ($10,000.00) or any 44 portion thereof of income received by a permanently and totally disabled owner shall not be included in such total. 45 46 (5) For the tax exemption programs, the net combined financial worth, including equitable 47 interests,as of December thirty-first of the year immediately preceding the taxable year,of the owners, and of the 48 spouse of any owner, excluding the value of the dwelling and the land (not exceeding one acre) upon which it is 49 situated,shall not exceed three hundred and fifty thousand dollars($350,000.00). 50 51 (6) For the tax freeze program, the net combined financial worth, including equitable interests,as Fiscal Year 2017-18 Budget Ordinances 52 of December thirty-first of the year immediately preceding the taxable year,of the owners,and of the spouse of any 53 owner,excluding the value of the dwelling and the land(not exceeding one acre)upon which it is situated,shall not 54 exceed three hundred and fifty thousand dollars($350,000.00). 55 56 57 (7) The dwelling is occupied. 58 . . . 59 Sec.35-67. Amount of exemption. 60 When a person claiming exemption under this division conforms to the standards and does not exceed 61 the limitations contained in this division,the tax exemption shall be as shown on the following schedule: 62 63 Total income, 64 All Sources Tax Exemption 65 $0.60-830,944.00 $0.00-$41,022.00 100% 66 $39,9^4-01 $43?43-°0 $41,022.01-$44,205.00 80% 67 $43,043.01 $^6,1^2.M $44,205.01-$47,388.00 60% 68 $^6,1^2.01 $^9,2^1.M $47,388.01-$50,571.00 40% 69 $49,244-81 $r-7,3^0.00 $50,571.01-$53,753.00 20% 70 71 No lien shall accrue as a result of the amount certified as exempt. 72 73 BE IT FURTHER ORDAINED: That this ordinance shall be effective on July 1, 2017. 74 75 Adopted by the City Council of the City of Virginia Beach,Virginia,on this o j ay of May,2017. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: 12, David Bradley �a0a . '-yer Budget and Management Services City Attorney's Office Fiscal Year 2017-18 Budget Ordinances -16- Item-I-F.l a-x ORDINANCES/RESOLUTIONS ITEM#67046 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FY 2017-2018 Operating Budget: x. AMEND Revenue Dedications for the Agricultural Reserve and Open Space Programs and REDIRECT revenue previously directed to Multi-Modal Fund to the General Fund in support of Storm water and General Capital Projects Voting: 8-3 Council Members Voting Aye: M. Benjamin Davenport, Barbara M Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P.Abbott Robert M. Dyer John D. Moss Council Members Absent None May 9, 2017 1 AN ORDINANCE TO AMEND THE REVENUE DEDICATIONS FOR THE 2 AGRICULTURE RESERVE PROGRAM AND THE OPEN SPACE PROGRAM 3 AND TO REDIRECT REVENUE PREVIOUSLY DIRECTED TO MULTI- 4 MODAL FUND TO THE GENERAL FUND IN SUPPORT OF 5 STORM WATER AND GENERAL GOVERNMENT CAPITAL PROJECTS 6 WHEREAS, the City Council has periodically dedicated revenues to targeted programs, and such revenue 7 dedications are subject to appropriation of funds by the Council;and 8 9 WHEREAS, on May 9, 1995, the City Council adopted the Agricultural Lands Preservation Ordinance, 10 establishing the Agricultural Reserve Program ("ARP")for the preservation of agricultural lands within the City,and 11 the City Council initially dedicated One and one-half cent of the real estate tax for purposes of funding the ARP; 12 and 13 14 WHEREAS, on May 11, 2004,the City Council lowered the amount of real estate tax dedicated to the ARP 15 from one and one-half cent($0.015)to one cent($0.01);and 16 17 WHEREAS, on May 9, 2006, the City Council lowered the amount of real estate tax dedicated to the ARP 18 from one cent($0.01)to nine tenths of one cent($0.009);and 19 20 WHEREAS, on May 15, 2001, the City Council adopted an ordinance that in part allocated the revenue 21 generated by forty-four hundredths of a cent(0.44%)of the tax on meals purchased at food establishments to the 22 Open Space Special Revenue Fund;and 23 24 WHEREAS, on May 12, 2015, the City Council adopted an ordinance that lowered the amount of real 25 estate tax dedicated to the ARP from nine tenths of one-cent($0.009)to fifty-six hundredths of one-cent($0.0056) 26 and lowered the amount of the tax on meals purchased at food establishments dedicated to the Open Space 27 Special Revenue Fund from forty four hundredths of one percent (0.44%) to twenty-two hundredths of a percent 28 (0.22%);and 29 30 WHEREAS, on May 12, 2015, the City Council adopted ordinances that increased the vehicle license fee 31 from twenty-five dollars ($25.00)to thirty dollars ($30.00) and the real estate tax from ninety-three cents ($0.93) 32 to ninety-nine cents($0.99)per$100 of valuation;and 33 34 WHEREAS,the City Council directed that the revenue derived from the five dollar($5.00)increase on the 35 vehicle license fee and a portion of the revenue derived from the six-cent ($0.06) increase in the real estate tax 36 equal to one and eight tenths of a cent($0.018)of the real estate tax be directed to the Multimodal Fund; 37 38 WHEREAS,the City Council desires to re-direct revenues from the Multimodal Fund because the voters of 39 the City answered a referendum question in November 2016 regarding local funding for light rail in the negative. 40 41 WHEREAS, the City Council has prioritized its Stormwater Program to address storm water impacts and 42 chronic flooding upon the City's residents. 43 44 NOW,THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 45 46 1. That the allocation of the real estate tax to the Agricultural Reserve Program is hereby increased from 47 fifty-six hundredths of a cent ($0.0056) to nine tenths of a cent($0.009)to preserve property in the 48 Transition Area and fund other Agricultural Reserve Program costs; 49 2. That the allocation of the meals yax to the Open Space Program is hereby increased from twenty-two 50 hundredths of a cent(0.22%)to forty four hundredths of a cent(0.44%); 51 3. That the Open Space Program includes the development and maintenance of open space and park 52 infrastructure; 53 4. That the revenue derived from the five dollar ($5.00) increase in the vehicle license fee and eight- 54 tenths of a cent ($0.008) of the real estate tax are hereby redirected to the General Fund for the 55 financing of general government capital projects;and 56 5. That the revenue derived from one cent ($0.01) of the real estate tax is hereby redirected to the 57 General Fund for the financing of Storm Water utility capital projects and operations in the storm 58 water utility fund. 59 60 BE IT FURTHER ORDAINED:That the effective date of this ordinance shall be July 1,2017. 61 62 Adopted by the Council of the City of Virginia Beach,Virginia,on th0 t h day of May, 2017. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: David Bradley xana - eyer Budget and Management Services City Attorney's Office -17- Item-I-F.1 a-xi ORDINANCES/RESOLUTIONS ITEM#67047 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FT 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): a. FT 2017-2018 Operating Budget: xi. PROVIDE additional local supplement to the Sheriff re Career Development Program Voting: 8-3 Council Members Voting Aye: M. Benjamin Davenport, Barbara M. Henley, Vice Mayor Louis K Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P. Abbott Robert M. Dyer John D. Mass Council Members Absent: None May 9, 2017 1 AN ORDINANCE TO PROVIDE AN ADDITIONAL LOCAL SUPPLEMENT TO 2 THE VIRGINIA BEACH SHERIFF 3 WHEREAS, since his assumption to Office of Sheriff, City has provided to the existing Sheriff a local 4 supplement (or stipend) that matches the Career Development Program paid by the Commonwealth through its 5 Compensation Board; 6 7 WHEREAS,for FY 2017-18 the stipend amount from the Career Development Program is$12,363,which is 8 equal to 9.3%of the approved Compensation Board salary for the Sheriff; 9 10 WHEREAS, the Council acknowledges that removing the local supplement match of the Career 11 Development Program is effectively a substantial pay cut for the Sheriff, so this ordinance would authorize the 12 continuation of such local supplement until:(i)the Council, in its sole discretion, revokes it; or(ii)the election of a 13 new Sheriff. 14 15 WHEREAS, it is the Council's intent that upon the election of a new Sheriff will not be provided the local 16 supplement match of the Career Development Program,which will allow the salary of the Sheriff to not exceed the 17 salary of the Police Chief. 18 19 NOW,THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 20 21 That a local stipend equal to the amount provided by the Commonwealth of Virginia Compensation Board 22 for the Career Development Program, which totals $12,363 for FY 2017-18 is hereby added to the compensation 23 for the Virginia Beach Sheriff. 24 25 Adopted by the Council of the City of Virginia Beach,Virginia on the 9th day of May 2017. 26 27 APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: jy David Bradley ey Budget and Management Services City Attorney's Office -18- Item -I-F.Ib-i ORDINANCES/RESOLUTIONS ITEM#67048 Councilman Moss requested confirmation that no expenditures will be incurred against the Appropriation for the proposed Field House until directed by City Council. City Manager agreed. Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): b. FY 2017-2018 Capital Budget: i. AUTHORIZE FY2018/FY2023 Capital Improvement Program (CIP) and APPROPRIATE $300,456,122, subject to funds being provided Voting: 9-2 Council Members Voting Aye: M. Benjamin Davenport, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P. Abbott John D. Moss Council Members Absent: None May 9, 2017 1 AN ORDINANCE TO ADOPT THE FY 2018/FY 2023 CAPITAL 2 IMPROVEMENT PROGRAM AND TO APPROPRIATE $300,456,122 FOR 3 THE FY 2018 CAPITAL BUDGET SUBJECT TO FUNDS BEING PROVIDED 4 FROM VARIOUS SOURCES SET FORTH HEREIN 5 WHEREAS,the City Manager,on March 28,2017,presented to City Council the Capital Improvement Program for fiscal 6 years 2018 through 2023; 7 8 WHEREAS,City Council held public hearings on the program to provide for public comment; 9 10 WHEREAS, based on public comment, City Council has determined the need for certain projects in the Capital 11 Improvement Program;and 12 13 WHEREAS,it is necessary to appropriate funds for both existing projects and projects beginning in the 2018 fiscal year, 14 as set forth in said Capital Improvement Program. 15 16 NOW,THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 17 18 Section 1. That the Capital Improvement Program,as modified,for the construction of,or addition to,capital facilities 19 identified for fiscal years 2018 through 2023 is hereby adopted,and the projects listed therein are hereby approved as capital 20 projects. 21 22 Section 2. That the projects shall be financed from funds to be appropriated periodically by City Council, and until 23 funds are so provided,the projects are for planning purposes only and may be deleted,altered,or rescheduled in any manner 24 at any time by City Council. 25 26 Section 3. That funds in the amounts aggregating$300,456,122 for capital projects in the Capital Budget for the 2018 27 fiscal year, as set forth in said Capital Improvement Program, are hereby appropriated, by project and subject to the 28 conditions set forth herein. The amount of funding for individual projects is set forth in "Attachment A—Capital Budget 29 Appropriations,"a copy of which is attached hereto. 30 31 Section 4. That in accordance with Section 2-196 of the City Code,financing sources in support of the Capital Budget 32 for the 2018 fiscal year as set forth in said Capital Improvement Program is attached to this ordinance as"Attachment B— 33 Financing Sources." 34 35 Section5. That capital project funds appropriated in prior fiscal years are to be adjusted in accordance with said Capital 36 Improvement Program and reallocated as identified in "Attachment C—Transfers,"a copy of which is attached hereto. 37 38 Section 6. That reductions in financing sources in support of the Capital Budget for the 2018 fiscal year as set forth in 39 said Capital Improvement Program are attached to this ordinance as"Attachment D—Changes in Financing Sources." 40 41 Section 7. That additional appropriations,the addition of capital projects,and changes in project scope shall not be 42 initiated except with the consent and approval of the City Council first being obtained.An appropriation for a project in the 43 Capital Improvement Program shall continue in force,and,to the extent required by law, re-appropriated for use in FY 2017- 44 18 until the purpose for which it was made has been accomplished or abandoned. 45 46 Section 8. That all contracts awarded for approved and appropriated capital projects, exclusive of school projects, 47 must be certified as to the availability of funds by the Director of Finance prior to the initiation of work on the contract. 48 49 Section 9. That subject to any applicable restriction of law or of any bonds or bond issue, the City Manager or the 50 Director of Budget and Management Services is authorized to approve transfers of appropriations in an amount up to 51 $100,000 between capital projects as may best meet the needs of the City. The City Manager shall make a monthly report to 52 the City Council of all transfers between$25,000 and$100,000. The City Manager or the Director of Budget and Management Fiscal Year 2016-17 Ordinances 53 Services is hereby authorized to establish and administer the budgeting of capital projects consistent with best management 54 practices,reporting requirements and the Capital Improvement Program adopted by the City Council. 55 56 Section 10. That to ensure timely completion of water and sewer projects, appropriations for water and sewer 57 companion projects may be transferred between these projects by the City Manager(or designee). "Companion projects" 58 mean water and sewer projects having the same name or project scope and description with the exception of"water" or 59 "sewer"being in the title and/or project scope and description. 60 61 Section 11. That the City Manager or the Director of Budget and Management Services is hereby authorized to change, 62 subject to any applicable restriction of law or of any bonds or bond issue,the financing sources for the various capital projects 63 included in this or previous ordinances to reflect effective utilization of the financing sources and actual collections and/or 64 realized revenues. If the financing sources in support of capital projects decline,the City Manager or the Director of Budget 65 and Management Services is authorized to reduce,subject to any applicable restriction of law or of any bonds or bond issue, 66 those appropriations to equal the changed financing source.The City Manager must give prior notice to the City Council of 67 any reductions to total appropriations exceeding$100,000. The notice to City Council shall identify the basis and amount of 68 the appropriation reduction and the capital projects affected. The accounting records of the City will be maintained in a 69 manner where the total of financing sources is equal to the total appropriations for each of the City's capital projects funds. 70 71 Section 12. That the funding source for an appropriation of$2,782,989 to CIP#2-092"Virginia Beach Transit Extension 72 Project" and an appropriation of$570,011 to CIP#2-108 "Light Rail Corridor Shared-Use Path", are hereby changed from 73 Public Facility Revenue Bonds to General Fund Fund Balance for the close-out of all expenditures related to light rail that 74 occurred within these projects. 75 76 Section 47. 13. That the Capital Improvement Program debt management policies contained and included in the 77 Resource Management Plan document shall be the policy guidelines of the City,and the City Manager shall annually report 78 on the status of those guidelines and the projected impact of the proposed Capital Improvement Program on those guidelines, 79 such information to be included in the Resource Management Plan submittal. The City Manager may propose modifications 80 to those policies and guidelines through the Resource Management Plan. 81 82 Section 43 14. That subject to the appropriation of sufficient funds within a capital project, the acquisition of real 83 property necessary for the project is authorized by means of voluntary negotiation with willing sellers. 84 85 Section 44.15. Attachment B of this Ordinance includes$28,001,385 of funding using Public Facility Revenue Bonds 86 ("PFRB Financing"). "Attachment F —Projects Utilizing Public Facility Revenue Bonds," attached hereto and incorporated, 87 provides a list of projects that include PFRB Funding and the amount of PFRB Funding for Fiscal Year 2018. Without changing 88 the amount of total PFRB Funding authorized by this Ordinance,the Director of Finance is authorized to adjust the allocations 89 and/or amounts among the projects to ensure that the tax-exempt status for any resulting bonds is retained. 90 91 Section 46.16.That violation of this ordinance shall result in the City Manager taking disciplinary action against the 92 person or persons responsible for the capital project in which the violation occurred. 93 94 Section 46.17. That if any portion of this ordinance is for any reason declared to be unconstitutional or invalid,such 95 decision shall not affect the validity of the remaining portions of this ordinance. 96 97 Section 47.18. That this ordinance shall be in effect from the date of its adoption;however,appropriations for the FY 98 2018 Capital Budget shall be effective on July 1,2017. 99 100 Requires an affirmative vote of the majority of City Council 101 102 103 Adopted by the Council of the City of Virginia Beach,Virginia,on the 9 tbay of May, 2017. 104 105 Fiscal Year 2016-17 Ordinances 106 APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: David Bradley D-•. ' - eye. Budget and Management Services City Attorney's Office Fiscal Year 2016-17 Ordinances City of Virginia Beach,Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FY 2017-18 Buildings and Assets 3025000 Building 2 Electrical Upgrade 2,138,400 3056000 Public Safety Equipment Replacement Project 1,200,000 3065000 Central Plant Generator 5,305,585 3071000 VA Beach Public Library Transformation 3,820,501 3072000 City Hall Replacement 910,000 3075000 Fire/EMS Station Burton Station 6,085,307 3103000 Heritage Building Maintenance 625,000 3115000 Judicial Center Maintenance 254,678 3121000 EOC Space Revisions,Tech and Security Upgrade 500,000 3122000 Police Department Helicopter 4,500,000 3133000 Fire Training Center Improvements III 1,111,057 3134000 Fire Apparatus III 2,648,254 3136000 Various Buildings HVAC Rehabilitation&Renewal III 2,250,000 3137000 Various Buildings Rehabilitation and Renewal III 1,950,000 3139000 Various Site Acquisitions II 343,644 3140000 Energy Performance Contracts(City) 350,000 3146000 VA Aquarium Bldg Systems&Facility Infrastructure 1,500,000 3278000 Virginia Aquarium Renewal and Replacement II 470,000 3292000 Virginia Aquarium Marine Animal Care Center 2,000,000 3506000 Fire Facility Rehabilitation and Renewal III 500,000 3508000 ARC Flash Mitigation 700,000 3510000 Intermediate Care Facilities Renewal/Replacement 120,627 3518000 Convention Center Capital Maintenance 643,560 Total Buildings and Assets Projects 39,926,613 Coastal 8011000 Various Minor Dredging Projects II 350,000 8013000 Lynnhaven Inlet Maintenance Dredging II 325,000 8015000 Beach Profile Monitoring Program II 110,000 8020000 Bay Beaches Resiliency Study and Restoration 125,000 8021000 Croatan Beach Restoration 1,760,000 8025000 Beach Replenishment II 1,150,000 8026000 Sandbridge Beach Restoration III 6,050,000 8405000 Sandbridge Beach Access Improvements II 300,000 8406000 Rudee Inlet Federal Dredging II 400,000 8407000 Rudee Inlet Outer Channel Maintenance Dredging II 700,000 8409000 Chesapeake Beach Restoration 4,000,000 Total Coastal Projects 15,270,000 City of Virginia Beach,Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FV 2017-18 Economic and Tourism Development 9020000 ViBe District Street Infrastructure Improvements Ph I 1,250,000 9021000 London Bridge Commerce Center Infrastructure Improvements 1 795,100 9028000 Lynnhaven Parkway Corridor Improvements 1,947,319 9041000 Convention Center Field House 4,000,000 9059000 Oceana&ITA Conformity&Acquisition II 886,100 9082000 Oceanfront Parking Facilities Capital Maintenance/Development 1,100,000 9083000 Town Center Garage and Plaza Capital Maintenance 352,726 9096000 Oceanfront Capital Projects Reinvestment 600,000 9141000 Economic Development Investment Program(On-Going) 2,540,140 9500000 Virginia Beach Amphitheater Capital Maintenance 200,000 Total Economic and Tourism Development Projects 13,671,385 Information Technology 3068000 CIT-IT Network Infrastructure Replacement II 1,214,952 3095000 CIT-Police Integrated Public Safety Record Management 1,233,777 3119000 CIT-Cable Access Infrastructure Replacement I 322,000 3615000 CIT-Business Rev/Personal Property RACS Implementation 350,000 3652000 CIT-Telecommunications Replacement II 550,000 3663000 CIT-Enterprise Scheduling and Timekeeping System 1,519,070 3664000 CIT-Next Generation Network 1,000,000 3681000 CIT-Electronic Procurement System 1,402,547 3693000 CIT-IT Service Continuity II 1,123,000 3695000 CIT-215T Century Enterprise Resource Planning(ERP)System 1,000,000 3697000 CIT-City Software Upgrade/Replacement Plan 1,415,900 3706000 CIT-Sheriff Inmate Tracking and Status Monitoring 1,036,930 3707000 CIT-Sheriff Inmate Video Visitation System 500,000 Total Information Technology Projects 12,668.176 City of Virginia Beach,Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FV 2017-18 Parks and Recreation 4064000 City Bikeways and Trails Plan Implementation II 475,000 4080000 Sportsplex/Field Hockey National Trng Ctr Rep/Reno I 226,135 4300000 Community Recreation Centers Repairs and Renovations III 1,900,000 4301000 Parks and Special Use Facilities Development/Reno III 1,352,949 4302000 Golf Courses Contractual Obligations-Maintenance I 120,000 4303000 Greenways,Scenic Waterways and Natural Areas III 250,000 4305000 Tennis Court Renovations III 300,000 4306000 Open Space& Park Infrastructure Development& Maintenance II 1,000,000 4307000 Athletic Fields Lighting and Renovations III 275,000 4500000 Park Playground Renovations III 377,167 4502000 Lynnhaven Boat Ramp& Beach Facility Repairs/Reno I 21,019 4517000 Stumpy Lake Golf Course Contractual Obligations I 27,000 4519000 Bikeways/Trails Repairs and Renovations I 280,000 Total Parks and Recreation Projects 6,604,270 City of Virginia Beach, Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FY 2017-18 Roadways 2022000 Major Bridge Rehabilitation II 1,460,000 2024000 Rural Road Improvements II 200,000 2026000 Street Reconstruction II 1,150,000 2027000 Various Cost Participation Projects II 25,000 2028000 Wetlands Mitigation Banking II 100,000 2038000 Rosemont Road Phase V 1,853,822 2040000 Laskin Road Bridge Replacement 3,192,878 2050000 Landstown Road Improvements Phase I 1,455,522 2078000 Sandbridge Road-Nimmo Phase Vll-A 800,000 2094000 Bus Stop Infrastructure and Accessibility Improvements 586,157 2111000 Traffic Safety Improvements IV 2,119,099 2117000 Shore Drive Corridor Improvements Phase III 5,000,000 2119000 Providence Road Sidewalk 30,570 2120000 West Great Neck Road Sidewalk 63,953 2126000 Laskin Road Phase I-A(VDOT) 5,000,000 2127000 1-264/Independence Interchange Improvements 250,000 2130000 Buccaneer Road Bulkhead Replacement 4,500,000 2138000 Atlantic Avenue Reconfiguration 245,000 2141000 Norfolk-Southern Right-of-Way Acquisition Refund 5,000,000 2146000 Laskin Road Phase III 300,000 2158000 Holland Road-Phase VI (VDOT) 1,005,990 2160000 Citywide Street Lighting Improvements II 60,000 2168000 Lesner Bridge Replacement 317 2176000 Transportation Network Modeling 100,000 2195000 Princess Anne Road Phase VP 5,200,000 2256000 Indian River Road Phase VILA 20,000,000 2401000 Greenwich Rd Crossover&Cleveland St Improvements 5,061,250 2409000 Centerville Turnpike Phase II 3,870,433 2410000 Traffic Signal Rehabilitation II 350,000 2414000 Shipps Corner Road Improvements 149,271 2416000 Sandbridge Road Bridge Replacement 2,189,789 2418000 Indian River Rd/Kempsville Rd Intersection Improvements 2,142,796 2419000 Centerville Turnpike Phase III 1,110,000 2501000 Nimmo Parkway Phase II 1,619,317 Total Roadways Projects 76,191,164 City of Virginia Beach, Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FY 2017-18 Schools 1003000 Renovation and Replacement Energy Management/Sustainability 1,000,000 1004000 Tennis Court Renovations II 200,000 1025000 Kempsville High School Entrepreneurial Academy Improvements 500,000 1043000 Thoroughgood Elementary School Replacement 14,000,000 1056000 Princess Anne Middle School Replacement 20,491,000 1099000 Renovations and Replacements Grounds II 1,250,000 1102000 21st Century Learning Environment Improvements 2,100,000 1103000 Renovations and Replacements HVAC Systems II 5,700,000 1104000 Renovations and Replacements Reroofing II 4,000,000 1105000 Renovations and Replacements Various II 1,750,000 1110000 Energy Performance Contracts II 5,000,000 Total Schools Projects 55,991,000 Sewer Utility 6019000 Resort Area Neighborhood Revitalization 360,000 6041000 Pump Station Modifications V 7,970,000 6043000 Landstown Road Sewer Improvements 20,000 6058000 Royal Palm Arch Sanitary Sewer Rehabilitation 150,000 6070000 Infiltration,Inflow,and Rehabilitation V 520,000 6075000 Laskin Road Sewer Improvements Phase I(VDOT) 410,000 6091000 Sewer Requests&Agreements VI 51%Program 50,000 6092000 Vacuum Valve Monitoring System 785,000 6099000 Arrowhead Susquehanna Sanitary Sewer Rehabilitation Ph III 50,000 6101000 ViBes District Sewer Improvements 1,000,000 6121000 Camp Pendleton Sewer Improvements 700,000 6122000 Service Order Automation Phase II 300,000 6151000 Landstown Yard Improvements IV 1,415,000 6405000 Customer Information System Version Migration 500,000 6551000 System Expansion Cost Participation Agreements III 1,030,000 6552000 Sanitary Sewer System Revitalization Program II 3,000,000 6556000 Various Roadway/Storm Water Coordination VI 1,030,000 6557000 SGA Sanitary Sewer System Improvements 350,000 6601000 First Colonial Rd/VA Beach Blvd Intersection Improvements 50,000 6604000 Witchduck Road Phase II Sewer Improvements 125,000 6804000 Sanitary Sewer Regulatory Compliance Program I 390,000 6953000 Sewer Tap Installation Program II 575,000 Total Sewer Utility Projects 20,780,000 City of Virginia Beach,Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FY 2017-18 Storm Water 7005000 North Lake Holly Watershed 1,400,000 7016000 South Lake Holly Watershed 600,000 7023000 Primary System Infrastructure Improvements II 2,270,000 7024000 Southern Canal/Lead Ditch and Culvert Improvements 300,000 7026000 Residential Drainage Cost Participation Program II 50,000 7027000 SWM Master Planning,Analysis,and Inventory 2,700,000 7028000 Windsor Woods Drainage 2,000,000 7042000 Surface Water Regulatory Compliance Program 2,400,000 7043000 Water Quality and Restoration Participation Projects II 150,000 7047000 Ashville Park Drainage Improvements 2,000,000 7048000 Sherwood Lakes Drainage Improvements 1,000,000 7050000 Princess Anne Plaza Drainage Area 2,000,000 7051000 The Lakes Drainage Improvements 2,000,000 7053000 Lake Chubb/Bradford Lake 1,084,100 7151000 Eastern Shore Drive Drainage Phase I 1,000,000 7153000 Lynnhaven Watershed Restoration 1,209,068 7400000 Aragona Drainage Improvements 1,400,000 7406000 Elizabeth River TMDL Implementation Plan 2,800,000 7410000 Southern Rivers TMDL Implementation Plan 300,000 7411000 Oceanfront Storm Water Facilities Maintenance 1,650,000 7412000 Storm Water Pump Station Modifications 1,750,000 7413000 Neighborhood SW Infrastructure Improvements II 550,000 7414000 Storm Water Quality Enhancements II 1,752,694 7415000 Lake Management II 4,947,652 7416000 SW Infrastructure Rehabilitation&Improvements II 5,750,000 Total Storm Water Projects 43.063.514 City of Virginia Beach,Virginia Attachment A—Capital Budget Appropriations Project Appropriations Number Projects FV 2017-18 Water Utility 5010000 Lake Gaston Raw Water Transmission System Rehabilitation I 3,220,000 5028000 Witchduck Rd Phase II Water Improvements 305,000 5031000 System Expansion Cost Participation Agreements III 120,000 5043000 Landstown Road Water Improvements 270,000 5045000 Rosemont Road PH V Water Improvements 3,740,000 5101000 ViBes District Water Improvements 600,000 5121000 Camp Pendleton Water Improvements 600,000 5122000 Service Order Automation-Phase II 300,000 5151000 Landstown Yard Improvements Phase IV 1,415,000 5168000 Shore Drive Water Line Improvements Phase IV 175,000 5207000 Laskin Road Water Improvements Phase I(VDOT) 325,000 5251000 Various Roadway&Storm Water Coordination VI 600,000 5254000 Water Requests&Agreements VI 51%Program 50,000 5405000 Customer Information System Version Migration 500,000 5501000 Water Transmission System Upgrade Program I 1,930,000 5601000 First Colonial Rd/VA Beach Blvd Intersection Improvements 25,000 5604000 Princess Anne Road Water Improvements Phase VII 260,000 5708000 Resort Area Neighborhood Revitalization 1,500,000 5953000 Water Tap Installation Program II 355,000 Total Water Utility Projects 16,290,000 Total Capital Budget 300,456,122 City of Virginia Beach,Virginia Attachment B—Financing Sources Capital Budget Financing Sources FY 2017-18 Contractual Obligation Debt -25,175,888 Developer Contribution 1,316,626 Federal Contribution 3,872,653 Franchise Fees 322,000 Fund Balance-General Fund 23,539,544 Fund Balance-Other 1,500,000 General Appropriations 53,101,409 General Obligation Bonds 66,176,110 Interest Income 100,000 Lease of Properties(BRAC) 54,938 Lease of Property 98,172 Medicaid Cost Settlement 120,627 Miscellaneous Funding 1,315,548 Parking Enterprise Fund 350,000 Private Contribution 2,000,000 Public Facility Bonds 28,001,385 Retained Earnings-Parking Enterprise Fund 750,000 Retained Earnings-Telecommunications 550,000 Retained Earnings-Water and Sewer Fund 27,770,000 Sale of Equipment 2,100,000 Sale of Property 4,497 762 State Contribution 62,452,223 Storm Water Utility Bonds 30,143,013 Storm Water Utility Fund 7,500,000 Water and Sewer Fund 8,000,000 Total Capital Budget 300,456,122 Attachment C-Transfers Appropriations Prior to Project# FY 2017-18 Economic and Tourism Development Transfer To: 9100000 19th Street Infrastructure Improvements $ 4,063,500 9022000 Burton Station Roadway Improvements I $ 3,895,035 9020000 ViBe District Street Infrastructure Improvements I $ 1,301,608 9030000 VA Beach Bio Infrastructure I $ 642,548 9028000 Lynnhaven Parkway Corridor Improvements $ 52,681 Total Transfer To: $ 9,955,372 Transfer From: 9091000 Burton Station Phase III $ 3,895,035 9069000 19th Street Corridor Improvements $ 1,301,608 9017000 Arena Infrastructure Development-Off Site $ 2,563,500 9108000 29th Street Improvements $ 695,229 9015000 Arena Infrastructure Site Improvements-On Site $ 1,500,000 Total Transfer From: $ 9,955,372 Roadways Transfer To: 2158000 Holland Road Phase VI $ 1,095,226 2419000 Centerville Turnpike Phase III 1,381,000 2111000 Traffic Safety Improvements IV 500,000 2410000 Traffic Signal Rehabillitation II 500,000 2152000 Elbow Road Phase II-B $ 1,751,878 2152000 Elbow Road Phase II-B(Federal Funding) $ 377,698 2152000 Elbow Road Phase II-B(State Funding) $ 94,424 2040000 Laskin Road Bridge Replacement $ 287,122 Total Transfer To: $ 5,987,348 Transfer From: 2107000 Seaboard Road $ 500,000 2149000 Birdneck Road-Phase II 1,250,000 2176000 Transportation Network Analysis 1,226,226 2048000 Princess Anne Rd/Kempsville Rd intersection Imp 500,000 2088000 West Neck Road Phase IV $ 2,039,000 2145000 Wesleyan Drive(Federal Funding) $ 377,698 2145000 Wesleyan Drive(State Funding) $ 94,424 Total Transfer From: $ 5,987,348 Storm Water Transfer To: 7416000 SW Infrastructure Rehabilitation&Improvements II $ 184,116 Fiscal Year 2017-18 Ordinances Attachment C-Transfers Appropriations Prior to Project a FY 2017-18 Total Transfer To: $ 184,116 Transfer From: 7035000 $ 5,268 7038000 $ 310 7049000 $ 57,721 7063000 $ 9,626 7902000 $ 111,191 Total Transfer From: $ 184,116 Coastal Transfer To: 8025000 Beach Replenishment II $ 1,500,000 Total Transfer To: $ 1,500,000 Transfer From: 8008000 Beach Replenishment $ 1,500,000 Total Transfer From: $ 1,500,000 Parks and Recreation Transfer To: 4306000 Open Space Park Development and Maintenance II $ 2,673,276 4044000 Lynnhaven Marina Bulkhead and Replacement and Facility $ 1,300,000 4500000 Park Playground Renovations III $ 21,500 Total Transfer To: $ 3,994,776 Transfer from: 4308000 Open Space Program Site Acquisition III $ 2,021,500 4506000 Parks Infrastructure Renewal and Replacement $ 1,973,276 Total Transfer From: $ 3,994,776 Water and Sewer Utility Transfer To: 6041000 Pump Station Modification Program v $ 2,983,442 Total Transfer To: $ 2,983,442 Transfer From: 5024000 Holland Road Phase VI $ 500,000 5037000 Pacific Avenue Water Improvements $ 315,456 5116000 Prosperity Road Water Improvements 51%Program $ 547,615 5252000 Water Quality Program-Phase IV $ 46,423 5407000 Computerize Mapping and Infrastruction Management III $ 88,825 5408000 Nimmo Parkway-Water Main Replacement-Phase V(VDOT) $ 160,522 fiscal Year 2017-18 Ordinances Attachment C-Transfers Appropriations Prior to Project# FY 2017-18 6037000 Pacific Avenue Sewer Improvements $ 317,131 6057000 Holland Road Phase VI $ 500,000 6085000 Sanitary Sewer Asset Management Program $ 164,213 6106000 Various Roadway/Stormwater Coordination V $ 214,264 6116000 Prosperity Road Sewer Improvements 51%Program $ 18,443 6565000 Information,Mapping and Records Management Iniatives Ill $ 88,825 6973001 Sanitary Sewer Capacity Program-Phase I $ 21,727 Total Transfer From: $ 2,983,442 Buildings and Assets Transfer To: 3072000 City Hall Replacement $ 1,590,000 3137000 Various Buildings Rehabilitation and Renewal Ill $ 1,319,177 3292000 Virginia Aquarium Marine Animal Care Center $ 750,000 3139000 Various Site Acquisitions II $ 35,000 Total Transfer To: $ 3,694,177 Transfer From: 3037000 Thalia Station Revitalization and Conversion $ 23,526 3248000 Fire and Rescue Station-Blackwater $ 262,050 3262000 TCC Expansion/Operation Smile Headquarters $ 373,601 3503000 Housing Resource Center $ 3,000,000 3060000 TCC Site Improvements II $ 35,000 Total Transfer From: $ 3,694,177 Miscellaneous Transfer To: 3344000 Fourth Police Precinct- Replacement $ 925,000 3137000 Various Buildings Rehabilitation and Renewal III $ 140,823 Total Transfer To: $ 1,065,823 Transfer From: 4509000 Replacement of Kempsville Recreation Center $ 925,000 3097000 CIT-Aquarium Ticketing and Financial System Integration $ 140,823 Total Transfer From: $ 1,065,823 Schools Transfer To: 1035000 John B. Dey Elementary School Modernization $ 2,700,000 1095000 Comprehensive Long Range Facilities Planning Update $ 300,000 Total Transfer To: $ 3,000,000 Transfer From: 1103000 Renovations and Replacements-HVAC-Phase II $ 2,100,000 Fiscal Year 2017-18 Ordinances Attachment C-Transfers Appropriations Prior to Project# FY 2017-18 1104000 Renovations and Replacements-Reroofing-Phase II $ 510,000 1006000 Various School Site Acquisition -Phase I $ 390000 $ 3,000,000 Fiscal Year 2017-18 Ordinances Attachment D-Reductions in Funding Amount of Reduction in Appropriations Prior to Funding Project it FV2017-18 Source Roadways 2409000 Centerville Turnpike Phase III 1,500,000 State 2092000 Virginia Beach Transit Extension 19,850,000 State 2092000 Virginia Beach Transit Extension 14,867,011 PFRB 2108000 Light Rail Corridor Shared-Use Path 17,115,989 PFRB Total Reduction: $ 53,333,000 Sewer Utility 6116000 Prosperity Road Sewer Improvements-51%Program $62,500 Developer Contribution Total Reduction: $62,500 Water Utility 5116000 Prosperity Road Water Improvements-51%Program $62,500 Developer Contribution Total Reduction: $62,500 Fiscal Year 2017-18 Ordinances Attachment E-Projects Utilizing Public Facility Bonds Summary of Adopted Public Facility Bonds: 9041000 Convention Center Field House $ 4,000,000 1110000 Energy Performance Contracts 11 5,000,000 1056000 Princess Anne Middle School Replacement 13,000,000 3071000 VA Beach Public Library Transformation 651,385 3140000 Energy Performance Contracts(City) 350,000 2130000 Buccaneer Road Bulkhead Replacement 4,500,000 2040000 Laskin Road Bridge Replacement 500,000 Total: $ 28,001,385 Fiscal Year 2017-1a Ordinances -19- Item -I-F.lb-ii ORDINANCES/RESOLUTIONS ITEM#67049 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): b. FY 2017-2018 Capital Budget: ii. AUTHORIZE issuance of General Obligation Public Improvement Bonds in the maximum amount of$69,272,406 Voting: 9-2 Council Members Voting Aye: M. Benjamin Davenport, Robert M Dyer, Barbara Al. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr.,John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P.Abbott John D. Moss Council Members Absent: None May 9, 2017 1 AN ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL 2 OBLIGATION PUBLIC IMPROVEMENT BONDS OF THE CITY OF VIRGINIA 3 BEACH,VIRGINIA, IN THE MAXIMUM AMOUNT OF $69,272,406 FOR 4 VARIOUS PUBLIC FACILITIES AND GENERAL IMPROVEMENTS 5 WHEREAS, the City of Virginia Beach, Virginia (the "City"), desires to authorize the issuance of general 6 obligation public improvement bonds for various purposes in the maximum amount of$69,272,406,as permitted by the City 7 Charter,without submitting the question of their issuance to the qualified voters. 8 9 WHEREAS,City Council held public hearings on the program to provide for public comment; 10 11 NOW,THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 12 13 1. That it is hereby determined to be necessary and expedient for the City to construct and improve various 14 public facilities and make general improvements,all of which will promote the public welfare of the City and its inhabitants and 15 will facilitate the orderly growth, development, and general welfare of the City, and to finance the costs thereof through the 16 borrowing of up to$69,272,406 and issuing the City's general obligation bonds therefore. 17 18 2. That, pursuant to the City Charter and the Public Finance Act of 1991, there are hereby authorized to be 19 issued general obligation public improvement bonds of the City in the maximum amount of$69,272,406, to provide funds, 20 together with other funds that may be available,for various public improvement projects, including School, Roadway,Coastal, 21 Economic and Tourism,and Building projects,for project activities that include,but are not limited to,the following: preliminary 22 studies and surveys,permit compliance, environmental assessment, planning, design, engineering, site acquisition, relocation 23 of residents, utility relocation, construction, renovation, expansion, repair, demolition, site improvement, site work, legal 24 services, inspection and support services,furniture and equipment,and contingencies. 25 26 3. That the bonds may be issued as a separate issue at one time or in part from time to time or combined 27 with bonds authorized for other purposes and sold as part of one or more combined issues of public improvement bonds. 28 29 4. That the bonds shall bear such date or dates, mature at such time or times not exceeding 40 years from 30 their dates, bear interest, be in such denominations and form, be executed in such manner and be sold at such time or times 31 and in such manner as the Council may hereafter provide by appropriate resolution or resolutions. 32 33 5. That the bonds shall he general obligations of the City for the payment of the principal, premium, if any, 34 and interest on which its full faith and credit shall be irrevocably pledged. 35 36 6. That the City Clerk is directed to make a copy of this ordinance continuously available for inspection by 37 the general public during normal business hours at the City Clerk's office from the date of adoption hereof through the date of 38 the issuance of the Bonds. 39 40 7. That the City Clerk, in collaboration with the City Attorney, is authorized and directed to immediately file 41 a certified copy of this ordinance with the Clerk of the Circuit Court of the City of Virginia Beach. 42 43 8.That this ordinance shall be in full force and effective from its passage. 44 45 Adoption requires the affirmative vote of two-thirds of all members of the City Council. 46 47 Adopted by the Council of the City of Virginia Beach,Virginia,on the t Iday of May, 2017. 48 APPROVED AS TO CONTENT: r AS TO L.C L SUFFICIENCY: Jv . David Bradley Dan. H. • eyer Budget and Management Services City Attorney's Office Fiscal Year 2017-18 Ordinance -20- Item-I-F.1b-iii ORDINANCES/RESOLUTIONS ITEM#67050 Upon motion by Vice Mayor Jones, seconded by Councilman Wood, City Council ADOPTED, Ordinances/Resolutions re: FY 2017-2018 RESOURCE MANAGEMENT PLAN(BUDGET): b. FY 2017-2018 Capital Budget: iii. AUTHORIZE issuance of Storm Water Utility System Revenue Bonds in the maximum amount of$30,143,013 Voting: 9-2 Council Members Voting Aye: M Benjamin Davenport, Robert M. Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr., John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P. Abbott John D. Moss Council Members Absent: None May 9, 2017 1 AN ORDINANCE AUTHORIZING THE ISSUANCE OF STORM WATER UTILITY 2 SYSTEM REVENUE BONDS OF THE CITY OF VIRGINIA BEACH,VIRGINIA,IN 3 THE MAXIMUM AMOUNT OF$30,143,013 4 WHEREAS,the City of Virginia Beach,Virginia(the"City"),desires to authorize the issuance of storm water utility 5 system revenue bonds in the maximum amount of$30,143,013 for financing improvements and expansions to the City's storm water 6 utility system(the"System"),as permitted by the City Charter without submitting the question of their issuance to the qualified voters. 7 8 WHEREAS,City Council held public hearings on the program to provide for public comment; 9 10 NOW,THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH,VIRGINIA: 11 12 1. That it is hereby determined to be necessary and expedient for the City to continue its program of improving and 13 extending the System, which will promote the public welfare of the City and its inhabitants and will facilitate the orderly growth, 14 development and general welfare of the City,and to finance the costs thereof through the borrowing of$30,143,013 and issuing the 15 City's revenue bonds therefore. 16 17 2. That,pursuant to the City Charter and the Public Finance Act of 1991,there are hereby authorized to be issued 18 storm water utility system revenue bonds of the City in the maximum amount of$30,143,013 to provide funds,together with other 19 available funds,for financing the costs of improvements and expansions to the System. 20 21 3. That the bonds shall bear such date or dates,mature at such time or times not exceeding 40 years from their 22 dates,bear interest,be in such denominations and form,be executed in such manner and be sold at such time or times and in such 23 manner as the Council may hereafter provide by appropriate resolution or resolutions. 24 25 4. That the System is an undertaking from which the City may derive a revenue. The bonds shall be limited 26 obligations of the City,payable as to principal,premium, if any,and interest solely from the revenues derived by the City from the 27 System,and shall not be included within the otherwise authorized indebtedness of the City. The bonds shall not be deemed to create 28 or constitute an indebtedness of,or a pledge of the faith and credit of,the Commonwealth of Virginia or of any county,city,town,or 29 other political subdivision of the Commonwealth,including the City. The issuance of the bonds and the undertaking of the covenants, 30 conditions,and agreements to be contained in resolutions to be adopted or agreements to be entered into hereaftershall not directly, 31 indirectly,or contingently obligate the Commonwealth,the City,or any other political subdivision of the Commonwealth to levy and 32 collect any taxes whatsoever or make any appropriation therefore except fromthe revenues pledged to the payment of the principal of 33 and premium,if any,and interest on the bonds. 34 35 5. That such resolutions to be adopted and agreements to be entered into hereafter authorizing the issuanceofthe 36 bonds and providing the details thereof shall contain appropriate covenants requiring the City to fix,charge,and collect such rates, 37 fees,and other charges for the use of and the services furnished by the System and to revise the same from time to time and as often 38 as shall be necessary so as to produce sufficient net revenues to pay principal of and premium,if any,and interest on the bonds as the 39 same become due and to provide a margin of safety therefore. Such resolutions and agreements shall also include such additional 40 covenants,agreements,and other terms as are customary for the protection of the holders of storm water revenue obligations. 41 42 6. That the City Clerk is directed to make a copy of this ordinance continuously available for inspection by the 43 general public during normal business hours at the City Clerk's office from the date of adoption hereof through the date of the issuance 44 of the bonds. 45 46 7. That the City Clerk, in collaboration with the City Attorney, is authorized and directed to immediately file a 47 certified copy of this ordinance with the Clerk of the Circuit Court of the City of Virginia Beach. 48 49 8. That this ordinance shall be in full force and effect from its passage. 50 51 Adoption requires the affirmative vote of a majority of all members of the City Council. 52 Adopted by the Council of the City of Virginia Beach,Virginia,on the9 t Itday of May, 2017. 53 Fiscal Year 2017-18 Ordinance 54 APPROVED AS TO CONTENT: • ]Ja• D AS TO LEGAL SUFFICIENCY: David Bradley •a 'y:F.lifr ey:r Budget and Management Services City Attorney's Office Fiscal Year 2017-18 Ordinance -21- Item -I-F.2 ORDINANCES/RESOLUTIONS ITEM#67051 As the FY2017-2018 Resource Management Plan was adopted in its entirety, NO ACTION was taken re the Resolution to DIRECT the City Attorney draft Ordinances re removal of Light Rail Taxes and Fee Increases(deferred May 2, 2017) May 9, 2017 -22- Item-I-F.3 ORDINANCES/RESOLUTIONS ITEM#67052 Upon motion by Council Lady Henley, seconded by Vice Mayor Jones, City Council ADOPTED, Resolution to CONFIRM the intent to re-direct tax streams from Light Rail and Multimodal Projects to other City priorities (requested by Council Lady Henley) Voting: 9-2 Council Members Voting Aye: M. Benjamin Davenport, Robert M Dyer, Barbara M. Henley, Vice Mayor Louis R. Jones, Shannon DS Kane, Mayor William D. Sessoms, Jr.,John E. Uhrin, Rosemary Wilson and James L. Wood Council Members Voting Nay: Jessica P. Abbott John D. Moss Council Members Absent: None May 9, 2017 REQUESTED BY COUNCILMEMBER HENLEY 1 A RESOLUTION TO AFFIRMATIVELY STATE THE INTENT 2 OF THE CITY COUNCIL TO RE-DIRECT THE TAX 3 STREAMS PREVIOUSLY DEDICATED FOR LIGHT RAIL 4 AND RELATED MULTIMODAL PROJECTS TO OTHER 5 CITY PRIORITIES 6 7 WHEREAS, as part of the FY16 Budget, the City Council established the 8 MultiModal Fund within the City's Operating Budget, and as part of that Budget, the 9 Council raised real estate taxes 1.8 cents and increased by $5 the vehicle license tax; 10 11 WHEREAS, the FY16 Budget also redirected .34 of one cent of the real estate 12 tax that was formerly dedicated to the Agricultural Reserve Program and .22 of one 13 cent of the meals tax that was formerly dedicated to Open Space to the MultiModal 14 Fund; 15 16 WHEREAS, the plan of finance presented to the City Council in the FY16 Budget 17 provided for advance funding of projects such as the Light Rail Project, the Shared Use 18 Path, and future acquisition of buses to support enhanced bus service, and such 19 advance funding was intended to reduce the amount of the required tax rate increases 20 necessary for projected debt service and transit service; 21 22 WHEREAS, in November 2016, the voters of the City rejected a referendum that 23 asked if local funds should be used for the Light Rail Project; 24 25 WHEREAS, the City Council allowed the tax increases from the FY16 Budget to 26 stay in place to the conclusion of FY17 to allow sufficient funds to repay the 27 Commonwealth, reserve funds in case the City is required to repay the Federal 28 Government, and to cover expenses incurred by the project; 29 30 WHEREAS, the City Manager's Proposed FY18 Budget seeks to redirect the 31 balance of the MultiModal Fund to the General Government Capital Improvement 32 Program and to return the Open Space and Agricultural Reserve Program dedications 33 to the level of support previous to FY16; 34 35 WHEREAS, the City Manager's Proposed Budget, as supplemented at the 36 Council Reconciliation, rededicates 1 cent of the real estate tax increase from FY16 37 Budget to the City's Stormwater Management Capital Program; and 38 39 WHEREAS, the City Manager's Proposed Budget, as supplemented at the 40 Council Reconciliation, rededicates.8 of one cent of the real estate tax increase and the 41 $5 vehicle license tax from the FY16 Budget to the City's General Government Capital 42 Improvement Program. 43 44 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY 45 OF VIRGINIA BEACH, VIRGINIA, THAT: 46 47 It is the intent of the City Council that no revenues in the FY18 Budget be 48 dedicated to the pursuit of the Light Rail Project and that the revenue streams 49 previously dedicated to that project be maintained and directed to other City priorities. 50 51 BE IT FURTHER RESOLVED, THAT: 52 53 The City Council concurs with the proposed redirection of revenues included in 54 the City Manager's Proposed Budget, as supplemented at the Council Reconciliation, 55 which prioritize the City's Stormwater Management Capital Program and the City's 56 General Government Capital Program while also returning revenues to the Agricultural 57 Reserve Program and the Open Space Program. Adopted by the City Council of the City of Virginia Beach, Virginia the 9th day of May , 2017. APPROVED AS TO LEGAL SUFFICIENCY: Daire"flarmey_ of City Attorney's Office CA14052 R-1 May 3, 2017 -23- Item -I-F ADJOURNMENT ITEM#67053 Mayor William D. Sessoms,Jr., DECLARED the City Council Meeting ADJOURNED at 8:23 P.M. inda Finley-Barnes,/MC ChiefDeputy City Clerk - th Hodges Fraser, MMC William D. Sessoms, Jr. City Clerk Mayor City of Virginia Beach Virginia May 9, 2017