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JUNE 18, 2019 FORMAL SESSION MINUTES
e, sass a�4,„y' U it Y=CT. i4 .T f OUR RT\O .( VIRGINIA BEACH CITY COUNCIL Virginia Beach, Virginia June 18, 2019 Mayor Robert M. Dyer called to order the CITY COUNCIL/MANAGER'S BRIEFINGS in in the City Council Conference Room, Tuesday,June 18, 2019, at 2:00 P.M. Council Members Present: Jessica P.Abbott,Michael F. Berlucchi,Mayor Robert M Dyer,Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson - Vacation 2 CITY COUNCIL/CITY MANAGER'S BRIEFINGS BUILDING 2—CONTINUITY OF OPERATIONS/INTERIM PLAN ITEM#69347 2:00 P.M. Mayor Dyer welcomed Mark Johnson, Director—Public Works, Bob Montague, Director—Public Utilities, Kevin Fairley-Information Services Administrator, Bobby Tajan, Director—Planning and Community Development and Thomas Nicholas, Facilities Engineer—Public Works. Mr. Johnson expressed his appreciation to City Council for their continued support: } t t Continuity of ` Mor Operations �e ` Planning and Implementation _ _ ‘•Following the events of 31May19 June 18,2019 f -J • 4111 Here is an overview of Operations Building, B2: .......................... Operations C:i)1 Building, Bi Building 2—95,207 GSF,379 Employees -Public Works—26,707 SF Assigned,81 Employees • •*if $ © �'' -Public Utilities—20,826 SF Assigned,127 :5 © 0 •- Employees fPt �' ` p p , /`"` -Planning-19,326 SF Assigned,119 Employees �•ti''I immt -Information Technology—20,826 SF tea•' Assigned,68 Employees -Unassigned/Circulation—8,155 SF June 18, 2019 3 CITY COUNCIL/CITY MANAGER'S BRIEFINGS BUILDING 2—CONTINUITY OF OPERATIONS/INTERIM PLAN ITEM#69347 (Continued) Mr. Johnson advised the Continuity of Operations Planning commenced at approximately 9:30 P.M on Friday, May 31, 2019, with identifying representatives from each department to develop the "core team": Continuity of Operations Planning • Commenced 6:30 a.m. on Saturday, 01 JUN • IdenS`Ication of available spaces • Power/IT Drops/Furnshing • =t- l 1 ft I • Core Planning Team in B-18 t (11r' • Faclities Management Office(2) • Building Maintenance(2) _ t • Information Technology—Telecommunications(3) t p ` • Planning Reps from PW/PU/PLANNING/IT • Identified functional and space needs • Plan Briefed to MLT at 1200 on Sunday,02 JUN • Commenced Space Preparations, Sunday,02 JUN 111 Here is an overview of the Public Works Department relocation sites: Building 2, 3rd Floor Public Works RelocatiorummiggiNgiummummg Building 23 - _-,:.:.:.ET-.-.." Jairectorsoffice;Aitirveggconter Admin 122}; _ : - Sult► g Ft Transportation Storffw ter 7`raific 4 ::€.i:i:-::= - —- . Building 8 _ - • coasta.(o) Public Works Dam Neck Operation • Storm,Nater Regt112toi 47..) June 18, 2019 4 CITY COUNCIL/CITY MANAGER'S BRIEFINGS BUILDING 2—CONTINUITY OF OPERATIONS/INTERIM PLAN ITEM#69347 (Continued) Mr. Johnson turned the brief over to Mr. Montague who provided an overview of the Public Utilities Department relocation sites: Building 2, 2nd Floor Public Utilities Relocation Building 1-(5) _____ • Directors Office,Line Gees<' 111111 Building,19—(2) • • Admirt Finance i Building 23—(41) • Business Center •' ' Public Utilities Dam Neck Operation (72j ' L • Records and File Roorts • Service Inspectors • GIS MaPPing - - - - - -- - - - - Mr. Montague turned the brief over to Mr. Tajan who provided an overview of the Planning Department relocation sites: Building 2, 1st Floor Planning Relocation Building 19North—(28) • PrFniis and Inspeetinns Clark exsen fluUldin 30 • Dire ctbr5pfriEE.gAlt r'': • Sianr ng Admin #Va r - - L,k • Zoning Admin EMS Admin—(36) ■ msµ,. • Buliding&Zoning Inspectors -.. . - Sandler Center—(25) - • Development Services Center .. ...' June 18, 2019 5 CITY COUNCIL/CITY MANAGER'S BRIEFINGS BUILDING 2—CONTINUITY OF OPERATIONS/INTERIM PLAN ITEM#69347 (Continued) Mr. Tajan turned the brief over to Mr. Fairley who provided an overview of the IT Department relocation sites: Building 2, Basement IT Relocation Building 10—(16) ::,' "'' • DBA,Data Science Management :! ..._ --:I~� 7...�:.{.d: :!: t Building 17—(9) • Data Center Staff Manager-tient ... Building 2—(4, Rotating Shifts from B17') ti - ----.— • DofaCtnter'OPerations ' BuElding 21 (15) ::::-';' . — �c 1,i1 • GIS,Public,nfrastr ctuteIN- - Building 22—(1) \r` • I&O Fiber Management _ Building 5—(10) • IT Business Center Housing Resource Center—(10),', • Project Management,FPM,irfo Sec T-111-;"11-=--' �-�-'�+�'�=rT!12'!-'!' .. ss:.==;._._'._:.:;.i i:;'°`:`r:_,-__isia:-:.:.[.:.::.:.:.:.:.:.:...'.:. , :: 4801 Columbus(Lease) (7) :::__:_'= '_.::::: ::_::::____:_::::_:_c..:.:.. • Director's Office Mr. Fairley turned the brief over to Mr. Nicholas who provided an overview of the Ongoing Planning: ....... ..... .... ..... .. .................................................................... ................ ..... .. ......................................... ......................... Ongoing Planning • Improved Furnishings • Sandler Center(DSC) 4 • Clark Nexsen Building(Planning,Zoning Admin) - `i,' Y • Public Utilities Dam Neck Operations I < (Engineering) '' l • Intermediate Term Leased Space „ ,, for Planning Department— Now! tifS i • PW/PU/IT Intermediate Term Needs 'IT .4; being discussed, 24 June 0 q! .'' 40 • Long Term Municipal Center Options Presentation, 18 June June 18, 2019 6 CITY COUNCIL/CITY MANAGER'S BRIEFINGS BUILDING 2—CONTINUITY OF OPERATIONS/INTERIM PLAN ITEM#69347 (Continued) Leased space at 2875 Saber Street, Suites#250 and#500, will accommodate 132 Planning Department personnel and two (2)personnel from the Treasurer's Office: 2875 Saber St., Virginia Beach • Suites 500/ 250—20,475 SF/9,000 SF • Intermediate Home for Planning- 132 • Director's Office-23 • Planning Administration - 12 w.F a • Permits & Inspections-54 • Development Services Center- 25 • Zoning- 16 = ` • City Treasurer Staff—2 • Build Out "Program" Complete, 14 June • Build Out of Interior Ongoing • Commence Move-In, 1 July III _t Discussion 1;: ..# ' i /I VQ ,s, r once, Mr. Nicholas proceeded into the next briefing. June 18, 2019 7 CITY COUNCIL/CITY MANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 2:33 P.M. Mr. Nicholas continued with the Municipal Center Facilities Long-Term brief roe' A The Path Forward Facilities Concepts for the Municipal Center Post May 31, 2019 Events June 18,2019 The next four(4)slides provide an overview of the Facilities Capital Projects at the Municipal Center prior to May 31, 2019: Facilities Capital Projects at the Municipal Center (Where we were on 30 May . . .) • CIP 3-072 New City Hall: $50,250,000(Fully Funded) • CIP 3-160 Building One Renovations:$29,096,199 ($2.8M Funded) • CIP 3-512 Public Safety Building Renovation:$18,582,893 ($1M Funded) • Future CIP—Conversion of B-2(two floors)fc3 swing space • Support CIP 3-512 Public Safety Building Renovai€V • 13-18 Renovation k -='Y-`- • B-19 Renovation .. ....................:...................................... June 18, 2019 8 CITY COUNCIL/CITY MANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) CIP 3-072 City Hall Replacement Status • CIP 3-072: $50,250,000 • Bids Opened,30 APR 19 • Low Bidder,McKenzie Construction-$36,981,000.00 • Construction bid does not include design fees, FF&E,IT Equipment, A/V equipment, Lenel security,Move Management,Contingency • Conducted value engineering with McKenzie • Target Award—June 2019 • Target NTP—July 2019 • Target Beneficial Occupancy—Summer 2021 CIP 3-160 Building One Renovations • CIP 3-160, $29,096,199 submitted in FY20 CIP Program • CIP 3-160 approved,but with only$800K in FY20 and$2M in FY21 • Building 1—83,973 GSF • Vacate B-1 during the fall of 2021 (move into New City Hall) • Ongoing consultant study evaluating which departments from B-2 would be best choice for a renovated B-1 • If renovation design is complete prior to the fall of 2021, construction could be complete by summer 2023. • Two B-2 departments could move into renovated B-1 in fall of 2023. �I1Y x June 18, 2019 9 CITY COUNCIL/CITYMANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) CIP 3-512 Public Safety Building Renovation • CIP 3-512,$18,582,893 submitted in FY20 budget. • CIP 3-512 approved,but with only$1M in FY23 • Building 11—57,588 GSF • Future CIP for swing space renovation of two floors of B-2 • Once 2 departments vacate B-2 in fall of 2023,two floors of B-2 would be converted to"swing space"to house First Precinct and Police Admin during renovation of B-11 • Two floors of B-2 vacant by fall 2023. Conversion to swing space could be done by spring 2024 • B-11 renovation could take place spring 2024 to fall 2025(18 Months) All employees working in Building 2 on May 31', will be permanently relocated. This provides opportunities to repurpose approximately 95,000 square feet of space: As of May 31st, we have a new reality . . : • Building 2-95,207 GSF • Public Works—26,074 SF Assigned d " • Public Utilities—20,826 SF Assigned 5'- t3 5'"5"5 l3 5H 5 • Planning—19,326 SF Assigned 20 1E1010 H 3 3 • IT—20,826 SF Assigned I fl 7 U U 3 n • Unassigned/Circulation-8,155 SF .� a —• ! i..��� ;• • Opportunities to Repurpose: �, • 1n/2"d/3rd Floor-66,226 SF • Entire Building-95,207 SF • Will not be re-occupied by PW/PU/Planning/ IT June 18, 2019 10 CITY COUNCIL/CITY MANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) Here is the "Big Picture": • Big Picture . . . • The events of the past week allow us to consider a comprehensive approach to address: • Constructing the New City Hall • Providing new or renovated space for PW/PU/Planning/IT at Municipal Center • Providing new or renovated space for 1st Precinct and Police Admin Option 1;Design-Bid-Build Enhanced City Hall could include wings on each side to accommodate employees from Building 2: Option 1: Design-Bid-Build Enhanced City Hall • Overview: • Stop award of New City Hall as currently designed • Use available CIP Funds to have AE prepare concepts • Example:New City Hall,relocated westward,with wings on each side—234,000 SF • PW/PU/Planning/IT into the wings • Demolish 8-2 • Use available CIP Funds to prepare 100%construction documents • Re-advertise for new project bids • Select low bidder • Build Enhanced New City Hall • Continue with current plan for separate CIPs for Public Safety Building Renovation and/or Building One Renovation June 18, 2019 11 CITY COUNCIL/CITY MANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) Here is an overview of Option 1 - Cost: Option 1: Design-Bid-Build Enhanced City Hall (Continued) • Cost: $144.5M • Enhanced City Hall:$95.5M • $5M from CIP 3-072 already spent on design and IT fiber relocation • $35M/134,000=$261.19 per SF • 234,000 SF x$261.19 per SF=$61M for construction • Additional Design-$3M • FF&E-$SM • IT-$5M • A/V-$7M • Moving Expenses-$500,000 • Contingency-$9M(10%) • Renovate B-1:$30M • Renovate B-11:$19 **It's possible that either B-1 or B-11 would not need renovated Here is an overview of Option 1 —Schedule: Option 1: Design-Bid-Build Enhanced City Hall (Continued) • Schedule • Develop and present enhanced City Hall concepts:1 August 2019 • Prepare 100%Construction Documents and solicit:1 June 2020 • Open bids:15 July 2020 • Award Construction Contract:Fall 2020 • NTP:Fall 2020 • Construction Completion:Fall 2023 • Design and Renovate B-1 and B-11:Spring 2021—Fall 2025 • CIP/Funding Timing • $50M authorized • $45.5M required in FY21 • $49M required in FY22 June 18, 2019 12 CITY COUNCIL/CITYMANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) Here are Option 1 —Pro's and Con's: Option 1: Design-Bid-Build Enhanced City Hall (Continued) Pro's Con's • Complete control of design— • Slowest delivery method you get exactly what you want. • Extends stay/risk in B-1 by 2 • All City core-services delivered years under a single roof. • Still need to place VBPD into • Price is determined �»TM renovated B-1 or move out and competitively. renovate B-11. Delays PD occupancy to 2025. Option 2; Solicited PPEA for B-2, B-1 and B-11 involves preparation of Brief Requirements Document for One Project to renovate B-2 for 1'Precinct and Police Administration, renovate B-1 for Public Works and IT Departments and renovate B-11 for Public Utilities and Planning Departments: Option 2: Solicited PPEA for B-2, B-1 and B-11 • Concept: • Prepare Brief Requirements Document for One Project • 1"Precinct and Police Admin into a Renovated 8-2,1"/2nd/3rd Floor • B-11,57,588 SF • 8-2,1^/2n1/3`d Floor,66,226 SF • New Parking Lot,thanks to CIP 3-072 New City Hall • Data Center would remain in B-2 • Rename the building,B-531 • Public Works and IT into a Renovated B-i • B-2 PW and IT Space—60,000 SF • Renovated B-1 SF—86,973 x.80=69,578 SF • Public Utilities and Planning into a Renovated B-11 • B-2 PU and Planning Space—40,152 SF • Renovated B-11 SF—57,588 SF x.80—46,070 SF June 18, 2019 13 CITY COUNCIL/CITYMANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) Here is an overview of Option 2—Concept and Cost: Option 2: Solicited PPEA for B-2, B-1 and B-11 (Continued) • Concept: • Solicit PPEA Design/Build Concepts and Qualifications • Select preferred DB Team based upon preferred concept and qualifications • Negotiate GMP and Contingencies with Selected Team • Sign Comprehensive Agreement • Get to Work—B-2 first,followed by B-1 and B-11 at the same time • CIP for New City Hall is not altered and proceeds simultaneously,as planned • Cost:$129M • $30M for B-11,, • $30M for B-2 • $19M for B-11 • $S0M for New City Hall Here is an overview of Option 2—Schedule: Option 2: Solicited PPEA for B-2, B-1 and B-11 (Continued) • Schedule • Develop Requirements Document and Solicit PPEA:1 August 2019 • Receive PPEA Proposals:1 October 2019 • Select preferred DB Team:1 December 2019 • Negotiate GMP and Contingencies with Selected Team:15 February 2020 • Sign Comprehensive Agreement:1 April 2020 • NTP:1 May 2020 • B-2:Start May 2020,Finish Summer 2021,Move VBPD Fall 2021 • B-1/B-11:Start Fall 2021,Finish Spring 2023,Move PU/PW/IT/PLNG Summer 2023 • CIP/Funding Timing • $50M authorized • $30M required in FY20 • $49M required in FY21 June 18, 2019 14 CITY COUNCIL/CITY MANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) Here are Option 2—Pro's and Con's: Concept 2: Solicited PPEA for B-2, B-1 and B-11 (Continued) Pro's Con's • Prep of Requirements Doc is • Design for PD, PW,PU, IT and fast and easyPlanning in a Design-Build format would be challenging. Owner • PPEA of this magnitude brings gives up"control of requirements to PPEA team. select group of designers/builders • Specialized design of PD and Data Center are challenging in a PPEA • Selection based upon • Price is fixed at signing of qualifications,not price Comprehensive Agreement. Changes are hard to • Very fast delivery method accommodate. Option 3;Design-Build RFP for B-2, B-1 and B-11 involves preparation of Bridging Documents for a Single Project to renovate B-2 for Isr Precinct and Police Administration, renovate B-1 for Public Works and IT Departments and renovate B-11 for Public Utilities and Planning Departments: Option 3: Design-Build RFP for B-2, B-1 and B-11 • Concept: • Prepare Comprehensive Bridging Documents for a Single Project • 1"Precinct and Police Admin into a Renovated B-2,1"/2"d/3`d Floor • B-11,57,588 SF • B-2,1"/2"/3'd Floor,66,226 SF • New Parking Lot,thanks to CIP 3-072 New City Hall • Data Center would remain in 8-2 • Rename the building,B-531 • Public Works and IT into a Renovated B-1 • B-2 PW and IT Space-60,000 SF • Renovated B-1 SF-86,973 x.80=69,578 SF • Public Utilities and Planning into a Renovated B-11 • B-2 PU and Planning Space-40,152 SF • Renovated B-11 SF-57,588 SF x.80-46,070 SF June 18, 2019 15 CITY COUNCIL/CITYMANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) Here is an overview of Option 3—Concept and Cost: Concept 3: Design-Build RFP for B-2, B-1 and B-11 (Continued) • Concept: • Post Request for Design-Build Proposals • Select"Best Value"DB team,price and technical factors considered • Award Design-Build Contract • Get to Work—B-2 first,followed by B-1 and B-11 at the same time • CIP for New City Hall is not altered and proceeds simultaneously,as planned • Cost:$133M • $30M for B-1 • $30M for B-2 +tea- • $19M for B-11 • $4M for preparation of bridging documents • $50M for New City Hall ,;fix ` Here is an overview of Option 3—Schedule: Concept 3: Design-Build RFP for B-2, B-1 and B-11 (Continued) • Schedule • Develop Bridging Documents and Solicit:1 April 2020 • Receive RFP Proposals:1 June 2020 • Award Design-Build Contract:15 July 2020 • NTP:15 Aug 2020 • B-2:Start Aug 2020,Finish Fall 2021,Move VBPD in early 2022 • B-1/B-11:Start Spring 2022,Finish Summer 2023,Move PU/PW/IT/PLNG in Fall 2023 • CIP/Funding Timing • $50M authorized • $4M required in FY20 • $30M required in FY21 • $49M required in FY22 June 18, 2019 16 CITY COUNCIL/CITYMANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) Here are Option 3—Pro's and Con's: Concept 3: Design-Build RFP for B-2, B-1 and B-11 (Continued) Pro's Con's • DB RFP of this magnitude brings • Completing design for PD, PW, select group of PU, IT and Planning in a Design- designers/builders Build format would be • Fast delivery method challenging,but Bridging Documents provide much more • Selection based upon guidance than PPEA process. qualifications and price • Price is fixed at signing of DB • Price is determined contract. Changes are hard to competitively accommodate. Here is the Summary Comparison: Summary Comparison Total Cost Final Completion Notes Option 1: $95.5M+$49M=$144.5M Fall 2025 $49M is cost of B-1 and B-11, (Enhanced final completion is date of VPPD City Hall) move into new facility Option 2: $79M+$SOM=$i29M Summer 2023 $50M is cost of New City Hall (PPEA) Option 3: $83M+$50M=$133M Fall 2023 $50M is cost of New City Hall (DB RFP) June 18, 2019 17 CITY COUNCIL/CITY MANAGER'S BRIEFINGS MUNICIPAL CENTER FACILITIES LONG-TERM ITEM#69348 (Continued) Here is an overview of the Funding Considerations: Funding Considerations (1)General Fund pays for new construction or renovation of buildings • General Fund pays debt service if bonds are sold • Public Utilities(Enterprise Fund)leases space at all-inclusive lease rates (2)General Fund and PU Enterprise Fund each pay for their respective 1,11 spaces if bonds are sold,each fund pays respective debt service • Each fund pays for respective custodial,utilities and maintenance expenses (3)External funding sources could be explored for B-2 renovations ,. **City needs to identify a funding source to pay for the projects tti ....... .. ...... ... ........................ ........................................ 4 .. Discussion Mayor Dyer expressed his appreciation to Mr. Nicholas for the presentation. June 18, 2019 18 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 3:21 P.M. Mayor Dyer welcomed Lyndon Remias, City Auditor. Mr. Remias expressed his appreciation to City Council for their continued support: • • Audit of the Virginia Beach Community Development Corporation ( Virginia Beach COMMUNITY DEVELOPMENT CORPORATION Building,Supporting&Preserving Communities since 1985. Office of the City Auditor Presented by Lyndon Remias and Tony Gonzalez June 18,2019 Here are the current VBCDC Board Members: • e= Board Members Members Term Beginning Date Expiration Date Notes 1 Rodgers,Terron 4 10/8/2014 12/31/2019 Secretary 2 Cooper,Wanda 4 9/1/2015 12/31/2019 Chair 3 Lalonde,Courtney 4 1/1/2016 12/31/2019 Vice Chair 4 White,Richard 3 1/1/2017 12/31/2020 Resignay ation23,2e019ffective M 5 Brown,Christopher l 4 9/4/2018 8/31/2022 6 Ewell,Robert 4 9/4/2018 8/31/2022 7 Nahra,Myron 4 9/4/2018 8/31/2022 8 Wray,Eric Unexpired+4 12/4/2018 12/31/2024 9 Johnson,Jeremy Unexpired 1/8/2019 12/31/2020 10 Berlucchi,Michael Unexpired+4 1/15/2019 12/31/2024 RepbylacCite-y AppCouncointeild 11 Hindle,Tammy 4 9/16/2015 12/31/2019 Resgnetbn effective January 1,2019 June 18, 2019 19 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) During the audit,Addie Wright Thomason—Chief Executive Officer(CEO), resigned and was replaced by Jessica Guglielmo as the Interim CEO: • :•• (Virginia Beach vwrtr aa111w41.aw91” Executive Team • Addie Wright Thomason,Chief Executive Officer -Resigned during audit • Jessica Guglielmo,Chief Operating Officer -Named interim CEO by Board • Kim Johnson,Chief Financial Officer Council Liaisons • John Moss • Michael Berlucchi(replaced Shannon Kane) City Staff • Ronald Williams,Deputy City Manager • Andrew Friedman,Director,Department of Housing and Neighborhood Preservation Here is the Timeline of Audit: •••• Timeline of Audit Date Events December 7,2018 Official audit notification emailed to City Council and Management(management to notify VBCDC) December 20,2018 Email From CEO,Addie Thomason,received: 'Hi Karen and Andy-We are in process of determining whether the City has standing to perform an audit of VBCDC,based on our corporate documents and our one contract with Human Services.This process will include consultation with our board officers and corporate attorney.We are not prepared to engage in a pre-audit meeting during the first week of January.However,I will fellow-up with you in January,with our findings." January 13,2019 Received tetter Front City Attorney,Mark Stiles advising per city code we did have authority to audit January 14,2019 Email from CEO,Addie Thomason Received: "Hi Lyndon, We hove not able to identify the City's legal authority for conducting this audit.If you have identified this authority,please send it to me." January 15,2019 Spoke With Ms.Thomason to discuss authority to conduct audit. January 28,2019 Audit Entrance Conference with VBCDC management to commence audit. February 27,2019 Presentation to VBCDC Board regarding objectives of audit(both City Council representatives and Andrew Friedman, Director of Housing and Neighborhood Preservation were in attendance). April 22,2019 Met with Ms.Thomason and Executive Management team to provide an update of the audit,preliminary findings,and timelines for conclusion. April 24,2019 Ms.Thomason emails resignation to board and community stakeholders citing a hostile work environment.Sends a follow-up email citing hostile work environment relates to specific Council members. May 20,2019 Exit Conference with management held. May 22,2019 Presentation of audit results to VBCDC Board(Public meeting).Report will be sent to Board and Council prior to mtg. June 18,2019 Presentation of audit results to City Council. June 18, 2019 20 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) Here is an overview of VBCDC: • s: VBCDC DCD � gBeach VBCDC is a 501(c)(3)nonprofit housing development corporation operating in the City of Virginia Beach(City). • In September 1985,Virginia Beach City Council(City Council)created VBCDC to assist in the revitalization of targeted neighborhoods,develop new affordable housing,and rehabilitate existing housing and make it affordable. • Many of its projects are coordinated with the City Department of Housing and Neighborhood Preservation(DHNP)and the Department of Human Services(DHS). • City Council appoints members to VBCDC's Board and provides both direction and policy oversight to the organization. • City Council must also approve all changes to its by-laws. • VBCDC has multiple financial relationships with the City,and its financial results are included in the City's Comprehensive Annual Financial Report(CAFR)as a component unit because of the City's appointment of the Board,which gives the City the potential to impose its will on VBCDC.If VBCDC ceases to exist,the assets provided by the City must be returned to the City. VBCDC C D C Virginia Beach D SMMN�^00110P1011 COAVUt11ft • The VBCDC owns and operates 443 units of housing for low-income individuals and families, persons with developmental and mental health disabilities,homeless families and individuals, and homeless and disabled veterans. • Has a total property value of$26,874,665,net of accumulated depreciation. • Long-term debt from mortgages is$19,742,093. • $5.2M of the debt relates to the purchase of Grand Cypress Apartments in 2016. • Has a staff of 31 full-time employees(FTEs). • Annual budget for FY 2019,$5,450,607. June 18, 2019 21 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) Here is an overview of Second Act Communities; VBCDC's affiliate non-profit organization: • s . Second Act Communities 2 Second Act Communities • In 1992,VBCDC created an affiliate nonprofit organization known today as Second Act Communities. SAC was created to receive a special allocation of funding under the Federal HOME program for organizations meeting the Community Housing Development Organization(CHDO)requirements. • Since 2016,SAC has not received any CHDO funding because it did not have any projects in the City. Instead,CHDO funding was awarded to other CHDO organizations,namely Habitat for Humanity and Community Alternatives. • Between 1992 and 2010,SAC acquired and rehabilitated properties then transferred ownership and mortgages to VBCDC to lease,manage,and maintain as affordable housing.For this reason,SAC has limited resources to have its own employees,facilities,line of credit,and bank financing. • Currently,SAC has 11 rental properties,maintained by VBCDC employees. Second Act Communities 2Second Act Communities • July 2016,SAC officially separated from VBCDC at the initiative of the CEO in order to fully comply with CHDO entity requirements and to explore development opportunities outside of Virginia Beach. • SAC is governed by its own Board and managed by VBCDC executives who hold the same position in SAC. June 18, 2019 22 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) The VBCDC's Strategic Goals were the focus during the audit. The following slides provide an overview of each of the fifteen (15)Findings: STRATEGIC GOALS Management has not been effective in accomplishing the critical goals of the Virginia Beach Community Development Corporation(VBCDC)Strategic Plan. 1. Remain Financially Sustainable 2. Service more Neighbors in New Ways 3. Attract and Retain the Best and Brightest Talent The next seven (7)slides provide an overview of the three (3)Findings that focused on Strategic Goal 1. - Remain Financially Stable. Below is an overview of Finding 1—Financial Losses Mounting: • REMAIN FINANCIALLY STABLE Finding 1:Financial Losses Mounting Business practices over the last three fiscal years have resulted in a significant and increasing operational loss trend. To finance normal operations,funds generally reserved for housing development opportunities were used. Summary of Financial Results Net Positions Operating Net Position 16,000,x00 514 452.,236 Fiscal Year s>3 , Income/(Loss) at Year-End 1^• � su0za6w 13.000.000 2015 $320,304 $14,452,236 10,x00,000 2016 $(1,454,662) e•a0o,o00 $13,107,260 bxm,xox 2017 $(1,435,433) $12,024,656 3, , 2018 $(1,568,459) $11,111,737 2015 2016 201-i 2018 Financial Statements show a three year operational loss average of$1.5M.Cumulative losses have reduced VBCDC's net position by$3.3 M. Warning from CPA Firm to Board:With the need to update property and this being the second year of a decrease in net position,be aware of cash flow and financial position to keep the organization operational. June 18, 2019 23 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) As total revenues fell and total expenses rose,financing for normal operations came from funds reserved for housing development opportunities resulting in VBCDC's inability to compete with its peers: • • REMAIN FINANCIALLY STABLE VBCDC Line of Credit L& .000 To finance normal operations,funds generally reserved $1$11.73' for housing development opportunities were used. 1.00.000 3.200,000 $i A line of credit was used to fund operations and has L000,004 continued to increase. 000,000 mow 10011111 2015 ' 1036 Zoic OEIR Here is an overview of Other Financial Concerns: • •t_ Other Financial Concerns • To finance normal operations,funds generally reserved for housing development opportunities were used,which resulted in VBCDC's inability to compete with its peers. • Prior years'retained earnings of$343K were depleted. • Seven revenue-producing assets were sold(with one more under contract to be sold) • In 2016,VBCDC provided a grant of$528,784 to SAC to help fund SAC's operations. • VBCDC is the guarantor of SAC's Cypress Landing Apartment's(located in Chesapeake,VA) construction loan for$4.25M. In addition,as of May 15,2019,SAC owes VBCDC$424K for services performed under the Shared Services Agreement. • VBCDC is also facing the maturation of$5.2M of notes payable debt.VBCDC acquired the Grand Cypress Apartments in 2016 with short term financing with the realization that the loans would be refinanced upon maturity in 2021($2.2M)and 2022($3M). June 18, 2019 24 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) • Other Financial Concerns • Results from two fundraising events were significantly below expectations.Total revenues from both events was estimated at$250K,but the actual result was a$46K loss;a$296K difference • Planning for The Spot took two years,but it was only operational for seven months because it was never fully utilized by the community.The total direct loss was$67K(including rental revenue) plus countless hours of compensated employee time. • We found at least 20 violations of the Travel Reimbursement Policy.Policy spending limits for rental cars and hotels accommodations,charged through corporate credit cards for employee and consultants'travels,were exceeded,as well as a prevalence of non-submission of itemized receipts. • The CEO's credit card charges totaled$79K,from January 2016 to October 2018.The Finance Department had constant difficulty accounting for expenses,as they did not have expense reports or adequate supporting documentation. Note:The CEO cancelled her corporate credit card in October 2018. Here is an overview of Finding 2—No Concrete Plans in Place to Address Financial Losses: • e REMAIN FINCIALLY STABLE Finding 2:No Concrete Plans in Place to Address Financial Loses Management was unable to provide us with critical plans or analysis that would change the direction of VBCDC,such as: New development/acquisitions to increase revenue New grants to increase revenues Increasing turnaround rate of rental properties Effectively reducing overall operating expenses June 18, 2019 25 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) Below is an overview of VBCDC's Debt: • g REMAIN FINCIALLY STABLE Financial decisions/concerns: • In 2016,VBCDC provided a grant of$528,784 to SAC to help fund SAC's operations. • VBCDC is the guarantor of SAC's Cypress Landing Apartment's construction loan for$4.25M. • As of May 15,2019,SAC owes VBCDC$424K for services performed under the Shared Services Agreement. • VBCDC is facing the maturation of$5.2M of notes payable debt. • Results from two fundraising events were significantly below expectations.Total revenues from both events was estimated at$250K,but the actual result was a$46K loss. Results of Fundraising Events Event Det. Revenue Expenses Gain/Non) Comments Top Golf September 22,2017 $24,740 $39,708 $(14,968) Spdng Gala Cancelled - $30,750 $(30,7501 Due to lack of interested donors Totals $24,740 $70,458 $(45,718) A$296K difference from the budgeted revenue of$250K Here is an overview of Finding 3—Internal Controls over Storeroom Supplies need to be Enhanced: • • REMAIN FINCIALLY STABLE Finding 3:Internal Controls over Storeroom Supplies need to be Enhanced • Access to the storeroom is not restricted.The Asset Management Director estimates that the storeroom has$15K in supplies and another$15K in tools,at any given time. • There is no checkout process for supplies and equipment. • The periodic inventory count is not effective due to the access and checkout deficiencies mentioned above. • Additional areas where corporate policies need to be updated/developed: • Code of Conduct • Replacement Reserve Policy June 18, 2019 26 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) The next three(3)slides provide an overview of the four(4)Findings that focused on Strategic Goal 2. - Serve More Neighbors. Below is an overview of Finding 4— Unable to Develop or Acquire Properties: ▪ SERVE MORE NEIGHBORS Completed VBCDC Housing Development and Rehabilitation Projects Finding 4:Unable to Develop or Acquire Properties FY 2016—FY 2018 The number of developed and/or acquired Projects in Units in properties is well below the Strategic Plan's goal of Project Type wrginN Vkginla Comments 450 additional properties in Virginia Beach. Beach Beach Apartment Grand Cypress Apartments VBCDC was only able acquire one project having 55 Complex 1 55 purchased under the current CEO in units(12%of its goal). Acquisition December 2016. Although not a VBCDC project, VBCDC did provide assistance to the New Housing development SAC's Cypress landing Development 0 0 Apartments in Chesapeake.Project planning and coordination began under the prior CEO in September 2013 Scattered SiteVBCDC has stopped acquisition and Acquisition 0 0 rehabilitation to its scattered site inventory since 2015. Total 1 55 Below is an overview of Finding 5—Inability to Maintain Current Housing Stock: • E SERVE MORE NEIGHBORS Finding 5:Inability to Maintain Current Housing Stock In 2018,75%of VBCDC properties inspected by the City Housing Code Inspectors failed initial inspection due to code violations. • 22%that were eventually re-inspected failed re-inspection. • 85%had not been rescheduled for re-inspection at the time of our review. INSPECTION ❑PASSE) June 18, 2019 27 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) Below is an overview of Finding 6—Questionable Management Decisions to Outsource Facilities Maintenance Team and Finding 7—Discontinuation of Programs let to Lost Revenues: • • SERVE MORE NEIGHBORS Finding 6:Questionable Management Decisions to Outsource Facilities Maintenance Team • VBCDC dissolved its in-house facilities team in 2015. • Outsourcing arrangement lasted only eight months,from September 2015 to May 2016,due to contractor losses in the maintenance of VBCDC properties. • The facilities team's current staffing of six maintenance technicians is smaller than its former size of nine.This may have driven to VBCDC's high rate of property inspection failures. Finding 7:Discontinuation of Programs led to Lost Revenues • Homeowner Rehabilitation Program,FY 2017 lost revenue was$148,273 • Transitional Housing Program,FY 2017 lost revenue was$392,393 The next five (5)slides provide an overview of the four(4)Findings that focused on Strategic Goal 3. - Attract and Retain the Best and Brightest Talent for its Staff and Board. Below is an overview of Finding 8—Pattern of CEO Absence: • * ATTRACT AND RETAIN THE BEST AND BRIGHTEST TALENT FOR ITS STAFF AND BOARD Finding 8:Pattern of CEO Absence CEO was frequently away from the office.Some of the reasons stated for her absences were attendance at conferences,out-of-state meetings,working from home,and taking compensatory(comp)time for various tasks.Some of the absences appeared questionable. For example: • February 18,2019—February 21,2019—CEO was unable to account for her absence,stated she was attending a Conference on Attainable housing. • January 13,2019—CEO emailed staff working from home for the entire week. • September2017 and October 2017—the CEO had five out-of-state travels for conferences and meetings. • Taking compensatory time that she had earned: • October 2018,sent four separate emails • January 2019,sent five separate emails June 18, 2019 28 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) • •C FINDING 8 Direct quotes from Survey about the CEO's Absences: • "1 have nothing against" • "I think VBCDC could be a the CEO "but have only great place to work with seen her a hand full of the right leadership, who times, mostly at group is present and available to events, rarely at the office help grow the on a daily basis." organization." • "We need that leader to be • "CEO needs to invest more present in the office and to time in VBCDC verses SAC." set a good example from the top." Resignation of CEO During the Audit,the CEO Resigned. April 25,2019-CEO clarified her earlier April 25,2019-CEO emailed the Board email stating, April 30,2019—VBCDC Board holds a that she was resigning effective May 31, 'Mi All,I want to clarify my earlier special Board meeting and votes to 2019. message.The'hostile work" place the CEO on administrative leave CEO stated,'My resignation is due to environment reference below relates to effective May 2,2019 through her the stress that I hove endured,in a specific City Council members.Make no resignation date of May 31,2019.The hostile work environment,for the last mistake,our board,our staff and our Board named the COO as the Interim 4.5 years." neighbors hove done nothing but CEO. support and appreciate our work.' June 18, 2019 29 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) Below is an overview of Finding 9—Procurement Process not followed in Hiring of Consultants and Finding 10— Use of the Remote Employee may not be Beneficial: • • ATTRACT AND RETAIN THE BEST AND BRIGHTEST TALENT FOR ITS STAFF AND BOARD Finding 9:Procurement Process not followed in Hiring of Consultants Consultants from Chicago Service Provided: Amount Paid: Information Technology $ 64,8421 Procurement to update policy $�_- 32,186 'Graphic designer for events $ 18,952' Human Resources $ 8,433 Various consulting work $ 6,89i Total $ 131,310 Finding 10:Use of the Remote Employee may not be Beneficial • The Executive Assistant to the CEO/Board Liaison works remotely from Atlanta,GA. • VBCDC employed a full time HR Director that worked remotely from Chicago,IL from August 2015 to August 2018. • VBCDC incurred$235K for the HR Director's compensation and thousands of dollars more on travel costs to Virginia Beach(at least once per quarter). Below is an overview of Finding 11 —Low Board Makeup/Attendance has Adversely Impacted Necessary Oversight: • Board Finding 11:Low Board Makeup/Attendance has Adversely Impacted Necessary Oversight Average Board Attendance and Board membership and attendance need improvement for Membership proper execution of governance duties. 12 We reviewed data from January 27,2016 to November28,2018. to a The attendance rate of City Council liaisons is also very low.Of -• the 30 Board meetings held between January 27,2016 to 6 November 28,2018,one liaison was present at four meetings a and both were present at one meeting,for a total attendance 2 rate of 17%. 0 2016 2017 2018 Attendance per meeting - Membership June 18, 2019 30 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) The next four(4)slides provide an overview of the four(4)Findings that focused on VBCDC and SAC's Business Relationship Needs Profound Definition. Below is an overview of Finding 12—Shared Services Agreement not Followed to the Detriment of VBCDC: • g VBCDC and SAC's Business Relationship Needs Profound Definition SAC became a separate organization in July 1,2016,but it remains heavily dependent on VBCDC to provide resources for its operations. Finding 12:Shared Services Agreement not Followed to the Detriment of VBCDC • Conflict of interest:The CEO,COO,CFO of VBCDC hold the same positions in SAC.They make the decisions for both organizations. • VBCDC no longer charges fees or interest.Started in FY 2018,management determined that SAC no longer had the ability to pay for fees or interest due to lack of revenue prospects. • SAC currently owes VBCDC$424K. Below is an overview of Finding 13—Conflict ofInterest Between VBCDC/SAC Executive Management Team: • •x VBCDC and SAC's Business Relationship Needs Profound Definition Finding 13:Conflict of Interest Between VBCDC/SAC Executive Management Team Management receives a stipend from SAC that amounts to approximately 5%of their VBCDC salaries.However,since VBCDC already compensates them fully,any compensation received for their services to SAC that is within the 40-hour workweek should belong to VBCDC. Management's Nouns and Stipends Three-Year Avera:e ms2016-2018 Managers %Not Devoted VBCDC SAC SAC to VBCDC Stipend Chief Executive 20 20 $6,684 50% Officer Chief Operating 30 10 $4,980 25% Officer VP,Development 10 30 $5,053 75% Chief Financial 30 10 $4,636 25% Officer June 18, 2019 31 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) • * VBCDC and SAC's Business Relationship Needs Profound Definition • SAC Board granted VBCDC's CEO an additional 40 hours of annual leave on August 24,2016. Note:The VBCDC Board was not notified about this nor have been made aware of this decision.VBCDC is the employer of record and,as such,is the only authority that can grant any form of additional benefits. • No Requirement for SAC to Share Development Fees With VBCDC. • SAC has not Qualified for any CHDO Funding in Over Three Years. Below is an overview of Finding 14—No Requirement for SAC to Share Development Fees with VBCDC and Finding 15—SAC has not Qualified for any Community Housing Development Organization Funding in Over Three Years: VBCDC and SAC's Business Relationship Needs Profound Definition Finding 14:No Requirement for SAC to Share Development Fees with VBCDC Both organizations have a contractual agreement for VBCDC to manage SAC's Cypress Landing Apartments.However,there is no contractual agreement on sharing the developer fees of any SAC project to VBCDC. Finding 15:SAC has not Qualified for any Community Housing Development Organization Funding in Over Three Years SAC has received$0 because it has zero projects completed.SAC did not have qualified CHDO projects,so funding went to Habitat for Humanity and Community Alternatives. For FY 2019,the CHDO funding was$180K. June 18, 2019 32 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— AUDIT RESULTS ITEM#69349 (Continued) Here is the Conclusion: • e:, CONCLUSION Based upon our audit,we determined that:VBCDC is currently facing severe financial challenges;VBCDC has not been able to meet its goals of serving more individuals;and VBCDC is having challenges retaining both staff and Board members. Without remediating the findings noted,VBCDC's sustainability and viability could adversely be impacted. • e , THANK YOU Mayor Dyer expressed his appreciation to Mr. Remias for the presentation and advised he is hopeful that by disclosing these negative audit results, it demonstrates transparency and will build public trust. June 18, 2019 33 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— VBCDC MANAGEMENT RESPONSE AND CORRECTIVE ACTION PLAN ITEM#69350 3:47 P.M. Mayor Dyer welcomed Chris Brown, VBCDC Member. Mr. Brown expressed his appreciation to City Council for their continued support. Mr. Brown advised the VBCDC Management acknowledges and agrees with the Auditor's findings. Mr. Brown introduced Jessica Guglielmo, Interim Chief Executive Officer(CEO), to provide VBCDC's corrective actions to the findings: I ;I III Virginia Beach Community Development Corporation Response to City Auditor's Report June 18,2019 f 1VBCDC Here is VBCDC's Mission Statement: Mission Statement VBCDC's mission is to provide affordable housing opportunities for low and moderate income individuals and families and assist the City with neighborhood revitalization. -VBCDC June 18, 2019 34 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— VBCDC MANAGEMENT RESPONSE AND CORRECTIVE ACTION PLAN ITEM#69350 (Continued) Here is an overview of VBCDC Housing and Services: VBCDC Housing and Services • VBCDC owns and operates 462 units of housing serving low-income individuals and families, persons with developmental and mental health disabilities, homeless families and individuals,and homeless and disabled veterans. • VBCDC is a leader in the region serving vulnerable veterans and their families by providing critical supportive and financial assistance. • VBCDC serves approximately 1000 persons each year through attainable housing programs and supportive services. • VBCDC's assessed property value = $49,000,000. • Annual budget for FY 2020 is$5,432,570. Ms. Guglielmo advised she is currently developing a detailed action plan, with timelines, to be reviewed with the Board Members and Andrew Friedman. The following slides provide an overview of the initial VBCDC Corrective Actions in response to each of the Auditor's Findings: VBCDC Corrective Action Plan Finding 1: Financial Losses Mounting Finding 2: No Concrete Plans to Address Financial Losses VBCDC Corrective Actions: VBCDC receives revenue from rental properties,grants,and successful acquisition of revenue producing properties and we are seeking to increase revenue in all three areas. VBCDC's Board passed a budget with an operating surplus for FY 20 of$118,000 (represents net turnaround of$300,000). Effective July 1,2018,VBCDC no longer advances funds to SAC for development.Any expenses incurred by SAC are paid directly by SAC. VBCDC eliminated"non-essential"positions and redirected personnel to support core business functions. All"non-essential"spending such as unnecessary travel,events and unfunded programs are eliminated. Asset Management is prioritized as core business. Available resources will be directed to ensure adequate staffing to maintain the properties, maximize rent potential through higher occupancy&quicker turn rates. June 18, 2019 35 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— VBCDC MANAGEMENT RESPONSE AND CORRECTIVE ACTION PLAN ITEM#69350 (Continued) VBCDC Corrective Action Plan Finding 3: Internal Controls need to be enhanced over Storeroom Supplies and Corporate polides need updates VBCDC Corrective Actions: Code of Conduct-Board of Directors will review and update the policy.Staff will be trained. Replacement Reserve Policy-VBCDC's replacement reserve policy was created in collaboration with the City's Finance Director in 2004. VBCDC has maintained compliance with this policy. VBCDC Board will revisit and update. Supply Inventory-VBCDC has a policy for supply inventory which includes regular inventory counts to verify controls over issuance and storage of supplies. Staff have been trained and policies will be enforced. ( VBCDC VBCDC is currently exploring the acquisition of a 24-unit apartment complex in collaboration with the Department of Housing and Neighborhood Preservation (DHNP): VBCDC Corrective Action Plan Finding 4: Unable to Develop of Acquire Properties VBCDC Corrective Actions: VBCDC is currently exploring potential acquisition of a small multi-family property in Virginia Beach in partnership with DHNP. VBCDC continues to pursue opportunities to acquire and/or develop attainable housing in Virginia Beach. December 2016-VBCDC Acquired Grand Cypress Apartments March 2018-VBCDC submitted bid to purchase Baker Crossing r" )VBCDC June 18, 2019 36 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC) — VBCDC MANAGEMENT RESPONSE AND CORRECTIVE ACTION PLAN ITEM#69350 (Continued) VBCDC is working with DHNP to identify and correct current violations with plans to hire Asset Management Staff VBCDC Corrective Action Plan Finding 5:Inability to Maintain Current Housing Stock VBCDC Corrective Actions: VBCDC actively cooperates with DHNP Code Enforcement to identify and correct any current violations. Majority of violations were maintenance items-not health and safety violations. As resources become available,VBCDC will invest in Asset Management staff resulting in: Quicker turns Increased response rates for maintenance and violations Proactive maintenance VBCDC will conduct cost benefit analyses to determine program implementation or discontinuation but has no plans to discontinue critical supportive programs: VBCDC Corrective Action Plan Finding 6:Outsourcing of Facilities Maintenance Team VBCDC Corrective Action: VBCDC re-established its Property Management and Maintenance Staff in 2016. Our focus is on rebuilding the Asset Management Team. Finding 7: Discontinuation of Programs led to Lost Revenues VBCDC Corrective Action: VBCDC currently provides critical supportive and financial assistance to vulnerable veterans and homeless singles(SSVF,Veteran's First,New Haven) Cost-benefit analyses will be completed to support decisions prior to program implementation or discontinuation. June 18, 2019 37 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— VBCDC MANAGEMENT RESPONSE AND CORRECTIVE ACTION PLAN ITEM#69350 (Continued) VBCDC will conduct training on Personnel and Procurement Policies: VBCDC Corrective Action Plan Finding 8: Pattern of CEO Absence VBCDC Corrective Action: VBCDC Board of Directors will monitor its Executive Team's(CEO,COO,and CFO) performance and compliance with policies on a quarterly basis through its personnel committee. Management will review current personnel polkies,update where needed to improve,and provide training to all staff resulting from changes. Finding 9: Procurement Process not followed in Hiring of Consultants from Chicago: VBCDC Corrective Action: VBCDC will review the procurement policy and other Board approved policies goveming spending thresholds and will make changes as needed. Training on policy revisions will be provided to staff. f -5VBCDC All remote employees have been eliminated in the FY 19-20 Budget: VBCDC Corrective Action Plan Finding 10: Use of Remote Employees may not be Beneficial VBCDC Corrective Action: The FY 19-20 budget eliminates the remote employee. Finding 11: Low Board Makeup/Attendance has Adversely Impacted Oversight VBCDC Corrective Action: VBCDC is committed to our mission and partnering with the City to achieve its goals related to attainable housing and looks forward to having a full Board. VBCDC needs three(3)additional members to have a full Board per the Bylaws. VBCDC's is committed to working closely with the City's Housing Advisory Board and the DHNP staff liaisons for future housing development related projects. VBCDC June 18, 2019 38 CITY COUNCIL/CITYMANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— VBCDC MANAGEMENT RESPONSE AND CORRECTIVE ACTION PLAN ITEM#69350 (Continued) VBCDC agrees with Findings related to the conflict with VBCDC/SAC Executives: BCDC Corrective Action Plan Finding 12: Shared Services Agreement not Followed to the Detriment of VBCDC Finding 13: Conflict of Interest Between VBCDC/SAC Executive Management Team Finding 14: No Requirement for SAC to Share Development Fees with VBCDC Finding 15: SAC has not Qualified for CHDO Funds in over 3 years VBCDC Corrective Action: VBCDC Board is in agreement that VBCDC Executives may not serve as SAC Executives with the existing relationship and structure. VBCDC will work in collaboration with DHNP and SAC to review the relationship and structure and to eliminate the conflict and make recommendations to both Boards regarding the future of SAC. \'B('i)(, Questions Thank you! Jessica Guglielmo Interim President and Chief Executive Officer (757)500-2745 jguglielmo@vbcdc.org (VBCDC Mayor Dyer expressed his appreciation to Mr. Brown and Ms. Guglielmo for the presentation. June 18, 2019 39 CITY COUNCIL/CITY MANAGER'S BRIEFINGS VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION(VBCDC)— STAFF RESPONSE AND WAY FORWARD ITEM#69351 4:03 P.M. Mayor Dyer welcomed Andrew Friedman, Director—Housing and Neighborhood Preservation. Mr. Friedman expressed his appreciation to City Council for their continued support and distributed a copy of today's brief which is attached hereto and made a part of the record. Mr. Friedman advised DHNP inspections were conducted on the outside of 319 properties with no health or safety violations. There were 31 units (10%)having minor exterior violations and 21 units(6%) had property maintenance violations. That is the average the City finds. Mr. Friedman advised VBCDC housing stock includes valuable and unique properties that meet the needs of both affordable housing and applicants with special needs. Mr. Friedman also advised, while there are concerns with VBCDC, they are still able to receive state and federal funding and are in good standing with the Virginia Housing Development Authority (VHDA), HUD and their properties have passed inspections. Mr. Friedman provided the following six(6) requirement recommendations: 1. Quickly fill the remaining and upcoming VBCDC Board vacancies. One option is to appoint appropriate City Staff to serve in the short-term or Ex-Officio roles. 2. Engage an outside agency with the appropriate expertise to conduct an assessment of VBCDC expenses and income related to their properties and property management. The VHDA has offered to provide this service to the City at no charge. 3. Immediately begin addressing the short-term debt,specifically the line of credit and the debt on Grand Cypress Apartments. Arrangements to refinance the Grand Cypress loans should commence immediately with City Staff support. 4. Monthly coordinated, but separate reports, by VBCDC and City Staff should be prepared for the Council Liaisons and provided to City Council. These reports should include measures of progress on addressing all of the recommendations of the Auditor and Staff. 5. Postponing any actions of VBCDC and staff until the results of the property assessment can be received and reviewed by all parties. 6. City Council should direct the City Auditor to conduct a follow-up review of VBCDC's progress. Mayor Dyer expressed his appreciation to Mr. Friedman for the briefing and recommendations. June 18, 2019 0141A'BFAc� zx City of Virginia Seach 4 • 9,� S OF.OUR NA10� VBg(n.com OFFICE OF THE CITY MANAGER MUNICIPAL CENTER OFFICE(757)-385-4242 BUILDING 1 FAX (757)385-5626 2401 COURTHOUSE DRIVE VIRGINIA BEACH,VA 23456-9001 June 14, 2019 The Honorable Robert M. "Bobby" Dyer, Mayor Members of City Council RE: VBCDC —Staff Response and Way Forward Dear Council Members: Staff have reviewed the City Auditor's report as well as the VBCDC response, and have the following observations and recommendations for City action. 1) We agree with all the recommendations in the City Auditor's report. 2) We have reviewed VBCDC's responses and agree with them. Our recommendations assume that all of VBCDC's responses will be adopted, and therefore we do not repeat them. 3) We assume/suggest the following goals for Council to consider that will provide a framework for consideration of our recommendations: ➢ VBCDC's existing stock of affordable housing should be well-maintained and preserved into the future to the extent possible, to preserve it as a resource for residents and to preserve the city's investment in it. ➢ VBCDC's activities should be fully aligned with City Council's overall guidance and staff's specific guidance. ➢ VBCDC as an organization should be sustainable, well managed, and reflect well on the city. Its activities should be limited to those which support the maintenance and expansion of affordable housing opportunities, and city-identified neighborhood improvement issues and activities. The Honorable Robert M. "Bobby" Dyer, Mayor Members of City Council RE: VBCDC—Staff Response and Way Forward June 14, 2019 Page 2 4) We provide the following observations and assessments as context for our recommendations: VBCDC has some very positive assets, as follows: ➢ Staff leadership is experienced and capable ➢ Its housing stock is diverse, it serves people with a variety of needs, and is generally well-maintained despite recent issues. At my direction, in June, Code Enforcement staff conducted exterior physical inspections of 319 townhome, condominium and single-family units. The results are as follows: o No health or safety violations were found o 31 units, or 10%, had minor building code violations o An additional 21 units, or about 6%, had property maintenance violations such as overgrown grass. ➢ The net equity in VBCDC's real estate is over$11 million. In the non-profit world, this is an extremely positive position. ➢ VBCDC does have cash reserves for property replacement and repair that comply with its current policies; as recommended by the auditor, those policies will be reviewed and updated in consultation with the City Finance department. ➢ VBCDC's annual cash operating results are less negative than the official external audit portrays them. The external audit, which the City Auditor's report is based on, portrays depreciation of the housing stock as an annual loss of over $1 million. This is neither a cash loss nor a real loss, as we see it. ➢ VBCDC provides valuable housing and support services to previously homeless veterans ➢ VBCDC provides valuable facilities and property management services for the Department of Human Services for multiple special-needs clients. ➢ Despite recent issues, VBCDC is still well-regarded by the key state and Federal housing agencies—VHDA and HUD. ➢ If VBCDC achieves stability and alignment with Council goals, it can be a valuable partner into the future to help achieve the city's housing and neighborhood revitalization goals ➢ Additionally, our recommendations recognize that Council should have the best possible assessment of VBCDC's potential future, before making significant or long-term decisions about it. The Honorable Robert M. "Bobby" Dyer,Mayor Members of City Council RE: VBCDC— Staff Response and Way Forward June 14, 2019 Page 3 Recommendation #1: City Council should quickly fill the remaining and upcoming VBCDC board vacancies. One option to consider on an interim basis is to appoint appropriate City staff to serve, possibly in short term or ex-officio roles, thus helping to quickly provide the full membership that the board needs,and helping to ensure that Council's guidance is fully expressed and utilized in board deliberations and decisions. The director of Housing and Neighborhood Preservation and the Deputy City Manager for development both have the detailed knowledge and understanding of the issues that VBCDC is addressing and could serve to support the remaining board members as well as express Council's guidance. Recommendation #2: The City should engage an outside agency with the appropriate expertise to conduct an assessment of VBCDC's properties, property management, and the expenses and income related to that, and provide Council its opinion regarding sustainability of these activities and how to achieve it.The Virginia Housing Development Authority(VHDA), has offered to conduct a physical assessment of VBCDC's properties and provide its informal guidance to VBCDC and the City without any fee; this would be the first and most critical step in the process. Staff recommends that we accept VHDA's offer, and based on what we learn, consider what, if any additional steps are required, and make additional recommendations at that time. Recommendation #3: VBCDC needs to immediately begin dealing with its short-term debt, specifically the line of credit and the debt on Grand Cypress apartments. VBCDC's FY 19-20 operating budget is a small start on paying down the line of credit, but much more must be done. Arrangements to refinance the Grand Cypress loans should commence immediately, and we believe this is very achievable. Staff will work with VBCDC to look at multiple options to determine the extent to which the city can facilitate achieving these goals. Recommendation#4: Monthly coordinated but separate reports by VBCDC and city staff should be prepared for the Council liaisons and then provided to City Council. These reports should provide measures of progress on addressing all of the recommendations of the auditor and staff, especially focusing on the achievement of financial stability and improved property maintenance. In addition, quarterly briefings, if desired by Council, should be provided. Recommendation #5: Should Council agree with the VBCDC response and staff's recommendations, we recommend postponing any longer-term decisions about VBCDC while we monitor and report on the results of the proposed actions by VBCDC and the staff, and until the results of the property assessment can be received and reviewed by all parties. A review of VBCDC's by-laws and articles of incorporation should be conducted and considered during this process. Recommendation #6: Council should direct the City Auditor to conduct a follow-up review of VBCDC's progress at the appropriate time. The Honorable Robert M. "Bobby" Dyer, Mayor Members of City Council RE: VBCDC—Staff Response and Way Forward June 14, 2019 Page 4 Thank you for the opportunity to provide these recommendations. Please let me know if you have any questions or need more information. Respectfully, David L. Hansen City Manager DLH:AMF:pam c: Ronald H. Williams, Jr. Deputy City Manager Andrew M. Friedman, Director, Housing and Neighborhood Preservation 40 CITY COUNCIL/CITY MANAGER'S BRIEFINGS SIX WEEK FAMILY LEAVE POLICY ITEM#69352 4:15 P.M. Mayor Dyer welcomed Regina Hilliard,Director—Human Services. Ms. Hilliard expressed her appreciation to City Council for their continued support: Maternity and Parental Leave CITY COUNCIL MEETING JUNE 18, 2019 REGINA S. HILLIARD DIRECTOR OF HUMAN RESOURCES The next two (2)slides provide an overview of the current Maternity/Parental Leave Policy: Maternity/Parental Leave Effective January 1, 201P Provides three weeks of paid Maternity Leave to birthing parent for the birth of a child Non-birthing parent receives two weeks of paid Parental Leave for the birth of a child for bonding Parents receive two weeks of paid Parental Leave after the adoption of a child for bonding June 18, 2019 41 CITY COUNCIL/CITY MANAGER'S BRIEFINGS SIX WEEK FAMILY LEAVE POLICY ITEM#69352 (Continued) Maternity/Parental Leave Additional Commoner° / Employees receive up to one week of paid Parental / Leave to care for a parent Leave does not have to be taken consecutively The average age offull-time employees is 45, many who have both maternity needs as well as the need to help care for aging parents: Maternity/Parental Leave Why Provides paid leave for valuable time needed for bonding and parental care Average age of full-time City employees is 45 — "sandwich generation" June 18, 2019 42 CITY COUNCIL/CITY MANAGER'S BRIEFINGS SIX WEEK FAMILY LEAVE POLICY ITEM#69352 (Continued) Here is an overview of Maternity/Parental Leave Benefit Usage for 2018 and 2019: Maternity/Parental Leave Benefit Usage 2018 FML Cases Birthing Parent Non-Birthing Pat Parent: / 2019 FML Cases Birthing Parent: Non-Birthing Parent: 49 Parent: 86 Maternity/Parental Leave • Slow growfr • Not a benefit in tiamoton Roads iocaiitie' June 18, 2019 43 CITY COUNCIL/CITYMANAGER'S BRIEFINGS SIX WEEK FAMILY LEAVE POLICY ITEM#69352 (Continued) Here are Other Leave Program Components: Maternity/Parental Leave Other Leave • Sick leave ae M ' • PTO with si / J Leave dona. Here is the Conclusion: Maternity/Parental Leave Conclusion • Maternity/Parental x .o. r unique for Hampton Roads / / • Multiple components to leave program • Consider 4 weeks for birthing parent Mayor Dyer expressed his appreciation to Ms. Hilliard for the presentation. June 18, 2019 44 CITY COUNCIL COMMENTS ITEM#69353 4:29 P.M. Council Member Berlucchi distributed a copy of a Resolution drafted for consideration to submit to the General Assembly Special Session on July 9, 2019, which is attached hereto and made a part of this record. Council Member Berlucchi advised the Resolution could be considered for today or during our next meeting but it is important to discuss. Mr. Berlucchi requested to get feedback on the Resolution and a consensus for recommendation. After discussion, this Resolution will be considered at a future meeting after being advertised and printed as part of the normal Agenda process. June 18, 2019 Requested by Councilmember Berlucchi 1 A RESOLUTION URGING THE GENERAL ASSEMBLY TO 2 PROVIDE INCREASED FUNDING FOR MENTAL HEALTH 3 4 WHEREAS, in the aftermath of the tragic events of May 31, 2019, Governor 5 Northam called for a special session of the General Assembly; 6 7 WHEREAS, nearly 1.5 million adults in the Commonwealth have some kind of 8 mental illness, but inadequate funding has been allocated to adequately address those in 9 need of mental health services; 10 11 WHEREAS, the lack of adequate mental health services can have devastating 12 effects both for those suffering from the illness as well as their loved and others with whom 13 they come into contact; and 14 15 WHEREAS, the City Council believes that increased mental health funding would 16 result in improved access to vitally important mental health services and would greatly 17 benefit not only those suffering from such illnesses but also all residents of the 18 Commonwealth; 19 20 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF 21 VIRGINIA BEACH, VIRGINIA: 22 That the City Council strongly urges the General Assembly to provide substantially 23 more funding to better meet the Commonwealth's mental health needs. Adopted by the Council of the City of Virginia Beach, Virginia this day of , 2019. APPROVED AS TO LEGAL SUFFICIENCY: Deputy City Attorney Roderick R. Ingram CA1 /R-2/June 15, 2019 45 CITY COUNCIL COMMENTS ITEM#69354 (Continued) Council Member Moss advised the VML recently provided the State Budget Opportunities Brief and requested to have City Council's VML Representative provide information on the VML's position is on any tax increases being advocated for by the VML. June 18, 2019 46 CITY COUNCIL COMMENTS ITEM#69355 (Continued) Mayor Dyer advised never, as the Mayor, or as a resident of the City, has he been prouder of the City and the response to the recent tragedy. The actions of all members of Public Safety were superb and it is of most importance now, to reinforce and re-establish that confidence. Mayor Dyer advised he and the Vice Mayor have met with many members of Public Safety in the recent weeks and he has complete confidence in their professionalism and ability to continue the investigation going forward and the City will become stronger in many ways. June 18, 2019 47 CITY COUNCIL COMMENTS ITEM#69356 (Continued) Council Member Wooten advised she attended the Virginia Municipal League (VML)Legislative Committee Meeting on June 6, 2019. Council Member Wooten advised during the meeting the Committee discussed and requested the City vote on a measure to recommend gun legislation to the Governor. Council Member Wooten advised the Committee then voted to move forward with a measure to ban weapons in government buildings and made the recommendation to the Governor. Council Member Tower requested to add to Council Member Wooten's comment and advised he spoke with the VML Executive Director about the policies and legislative positions of VML. Council Member Tower advised the Executive Director informed him the VML's position of the past ten (10)years is there should be local options to regulate firearms in the state. June 18, 2019 48 AGENDA REVIEW SESSION ITEM#69357 4:37P.M. BY CONSENSUS, the following shall compose the Legislative CONSENT AGENDA: H. ORDINANCES/RESOLUTIONS 1. Ordinances re Schilling Point Neighborhood Dredging: a. AMEND City Code to ADD Section 35.3-14 and CREATE Schilling Point Neighborhood Dredging Special Service District(SSD)and LEVY additional taxes b. ESTABLISH Capital Improvement Project#8-037 and TRANSFER from the General Fund Reserve $137,718 re engineering and design work and $173,896 to Capital Improvement Project#8-027 re costs related to the maintained City spur 2. Ordinance to ADD City Code Section 18-108.3 re certain mobile food units 3. Resolutions to DIRECT the City Manager to: a. DEVELOP and IMPLEMENT a policy re paid six (6) week family leave (requested by Council Member Moss) -Deferred from May 14, 2019 b. EVALUATE and RECOMMEND re implementation enhanced security for City buildings (requested by Council Member Wooten) 4. Resolution in MEMORY of the Victims re May 31, 2019 Tragedy (requested by Council Member Wooten) 5. Resolution to SUPPORT a Bill re allow Localities to prohibit the carrying of firearms in governmental buildings(requested by Council Members Tower and Wooten) 6. Ordinance to APPOINT three(3)viewers for one-year terms beginning July 1, 2019 re view streets and alleys proposed to be altered or vacated 7. Ordinance to AUTHORIZE a temporary encroachment into a portion of City right-of-way known as Sandfiddler Road adjacent to 3540 Sandfiddler Road re four(4)existing block pillars and two (2) existing block walls (Deferred from May 21, 2019) 8. Ordinances to AUTHORIZE and ACCEPT a donation re use of office space at 2875 Sabre Street from 2700 International Parkway Corporation for a period of one(1)year with the option to extend for two (2) one-year terms a. Suite 250 b. Suite 500 June 18, 2019 49 AGENDA REVIEW SESSION ITEM#69357 (Continued) 9. Ordinances to TRANSFER: a. $40,000 within Public Works FY 2018-19 Operating Budget re purchase of thermoplastic paint kettles b. $330,000 from the Police Department FY 2018-19 Operating Budget to the Fire Department Operating Budget re overtime expenses c. $130,000 Juvenile Probation within the FY 2018-19 Operating Budget for contingencies and $20,000 from the General Fund Reserve re contingencies to support Juvenile Dispositional Court Services d. Ordinance to TRANSFER $1.5-Million from the Police Department and Public Works FY 2018-19 Budgets and AMEND the scope of Capital Improvement Project#3-149(the Various Buildings Rehabilitation and Renewal IV)re SUPPORT expenses from May 31,2019 Tragedy 10. Ordinance to APPROPRIATE $600,000 of Fund Balance from the Sheri's Office Special Revenue Fund to the Sheriff's Office FY 2018-19 Operating Budget re payroll obligations and medical expenses ITEM#la WILL BE CONSIDERED SEPARATELY ITEM#lb WILL BE CONSIDERED SEPARATELY ITEM#3a WILL BE CONSIDERED SEPARATELY ITEM#3b WILL BE CONSIDERED SEPARATELY ITEM#4 WILL BE CONSIDERED SEPARATELY ITEM#5 WILL BE CONSIDERED SEPARATELY ITEM#7 WILL BE CONSIDERED SEPARATELY June 18, 2019 50 AGENDA REVIEW SESSION ITEM#69357 (Continued) BY CONSENSUS, the following shall compose the Planning CONSENT AGENDA: I. PLANNING 1. INDIAN COVE RESORT ASSOCIATION, INC.for a Modification of Conditions re overflow parking or relocation of pavilion within the campground at 1053 Sandbridge Road DISTRICT 7 —PRINCESS ANNE 2. TIMBERLAKE SHOPPING CENTER ASSOCIATES,LLC for an Amendment to the Timberlake PD-HI Land Use Plan re ADD an Indoor Recreational Facility over 7500 square feet as a permitted use at 4239 Holland Road DISTRICT 3—ROSE HALL 3. DML DESIGNS, LLC, T/A TRINITY TATTOO CO./MISHORIM GOLD VAB, LP for a Conditional Use Permit re tattoo parlor& body piercing establishment at 2720 North Mall Drive, Suites 112 & 116 DISTRICT 3—ROSE HALL 4. AT ASSOCIATES,LLP for a Conditional Use Permit re car wash facility at 2677 Virginia Beach Boulevard DISTRICT 6—BEACH 5. JOSEPHINE P. PARKER for a Conditional Use Permit re automobile repair garage and a Modification of Conditions re bulk storage yard at 573 Central Drive DISTRICT 6—BEACH 6. MISHORIM GOLD VAB,LP for a Conditional Use Permit re indoor recreational facility at 2720 North Mall Drive, Suite 100 DISTRICT 3—ROSE HALL 7. Ordinances to AMEND City Zoning Ordinance(CZO): a. Section 103 re notification to property owners b. Section 107 re time limitations for City Council referral of Zoning Amendments to Planning Commission for action ITEM#5 WILL BE CONSIDERED FOR DEFERRAL TO AUGUST 6, 2019 ITEM#6 WILL BE CONSIDERED FOR DEFERRAL TO AUGUST 6, 2019 June 18, 2019 51 ITEM#69358 Mayor Robert M Dyer entertained a motion to permit City Council to conduct its CLOSED SESSION, pursuant to Section 2.2-3711(A), Code of Virginia, as amended,for the following purpose: PERSONNEL MATTERS: Discussion, consideration, or interviews of prospective candidates for employment, assignment, appointment, promotion, performance, demotion, salaries, disciplining or resignation of specific public officers, appointees or employees of any public body pursuant to Section 2.2-3711(A)(1) • Council Appointments: Council, Boards, Commissions, Committees,Authorities, Agencies and Appointees • Council Appointee Evaluations June 18, 2019 52 ITEM#69358 (Continued) Upon motion by Council Member Jones, seconded by Council Member Abbott, City Council voted to proceed into CLOSED SESSION at 4:43 P.M. Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott,Michael F. Berlucchi,Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson Break 4:43 P.M.—4:50 P.M. Closed Session 4:50P.M. —5:59 P.M. June 18, 2019 53 FORMAL SESSION VIRGINIA BEACH CITY COUNCIL JUNE 18, 2019 6:00 P.M. Mayor Dyer called to order the FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL in the City Council Chamber, City Hall, on Tuesday, June 18, 2019, at 6:00 P.M. Council Members Present: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M. Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K. Tower, Rosemary Wilson, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: None INVOCATION: Father John Manuel Saint Nicholas Greek Orthodox Church PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA Council Member Rosemary Wilson DISCLOSED that she is a real estate agent affiliated with Howard Hanna Real Estate Services("Howard Hanna'), who's Oceanfront Office is located at 303 34`J'Street Suite 102, Virginia Beach, VA 23451. Because of the nature of realtor and real estate agent affiliation, the size of Howard Hanna, and the volume of transactions it handles in any given year, Howard Hanna 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 (the "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 of the agenda for any given meeting of the Council, she identifies a matter in which she has a "personal interest, "as defined in the Act, she will file the appropriate disclosure letter to be recorded in the official records of the City Council. Council Member Wilson regularly makes this disclosure. Her letter of February 20, 2018, is hereby made part of the record. June 18, 2019 54 Council Member 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 does 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 identify 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 Member Wilson's letter of June 2, 2015, is hereby made a part of the record. June 18, 2019 55 ITEM— V-E CERTIFICATION ITEM#69359 Upon motion by Council Member Moss, seconded by Council Member Abbott, City Council CERTIFIED THE CLOSED SESSION TO BE IN ACCORDANCE WITH THE MOTION TO RECESS Only public business matters lawfully exempt from Open Meeting requirements by Virginia law were discussed in Closed Session to which this certification resolution applies. AND, Only such public business matters as were identified in the motion convening the Closed Session were heard, discussed or considered by Virginia Beach City Council. Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott,Michael F. Berlucchi, Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K. Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 rf.....4.. 4,.1 1.1 E -4,--,-':,- 'ry :'05' 0 OURNPT°° RESOLUTION CERTIFICATION OF CLOSED SESSION VIRGINIA BEACH CITY COUNCIL WHEREAS: The Virginia Beach City Council convened into CLOSED SESSION, pursuant to the affirmative vote recorded in ITEM#69358 Page 52 and in accordance with the provisions of The Virginia Freedom of Information Act; and, WHEREAS:Section 2.2-3712 of the Code of Virginia requires a certification by the governing body that such Closed Session was conducted in conformity with Virginia law. NOW, THEREFORE,BE IT RESOLVED: That the Virginia Beach City Council hereby certifies that, to the best of each member's knowledge, (a)only public business matters lawfully exempted from Open Meeting requirements by Virginia law were discussed in Closed Session to which this certification resolution applies; and, (b) only such public business matters as were identified in the motion convening this Closed Session were heard, discussed or considered by Virginia Beach City Council. t11, ,', il A zi,aBarn's, M C City Clerk June 18, 2019 56 ITEM-V.F MINUTES ITEM#69360 Upon motion by Council Member Abbott, seconded by Council Member Berlucchi, City Council APPROVED the MINUTES of the INFORMAL and FORMAL SESSION of June 4,2019 Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi,Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 57 ITEM— Y.G. PUBLIC HEARING ITEM#69361 Mayor Dyer DECLARED a PUBLIC HEARING: CREATION OF A SPECIAL SERVICE DISTRICT(SSD) Schilling Point Neighborhood Dredging Project The following registered to speak: Barbara Messner, P. O. Box 514, spoke in OPPOSITION There being no additional speakers,Mayor Dyer CLOSED the PUBLIC HEARING June 18, 2019 58 FORMAL SESSION AGENDA ITEM— V.H. ITEM#69362 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council APPROVED, BY CONSENT,Agenda Items I: Ordinances/Resolutions 2, 6, 8, 9a/b/c/d and 10 and Planning Items J: 1, 2, 3, 4, 5, 6 and 7a/b Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi, Mayor Robert M.Dyer, Barbara M. Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K. Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent.• Rosemary Wilson ORDINANCES/RESOLUTIONS: ITEM#la WILL BE CONSIDERED SEPARATELY ITEM#lb WILL BE CONSIDERED SEPARATELY COUNCIL MEMBER JONES WILL ABSTAIN ON ITEM#la COUNCIL MEMBER JONES WILL ABSTAIN ON ITEM#16 ITEM#3a WILL BE CONSIDERED SEPARATELY ITEM#3b WILL BE CONSIDERED SEPARATELY ITEM#4 WILL BE CONSIDERED SEPARATELY ITEM#5 WILL BE CONSIDERED SEPARATELY ITEM#7 WILL BE CONSIDERED SEPARATELY PLANNING ITEMS: ITEM#5 WILL BE CONSIDERED FOR DEFERRAL TO AUGUST 6, 2019 ITEM#6 WILL BE CONSIDERED FOR DEFERRAL TO AUGUST 6, 2019 June 18, 2019 59 ITEM— VI.la ORDINANCES/RESOLUTIONS ITEM#69363 The following registered to speak: Barbara Messner, P. O. Box 514, spoke in OPPOSITION Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED Ordinance re Schilling Point Neighborhood Dredging: a. AMEND City Code to ADD Section 35.3-14 and CREATE Schilling Point Neighborhood Dredging Special Service District(SSD)and LEVY additional taxes Voting: 9-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi, Mayor Robert M Dyer, Barbara M Henley, John D. Moss, Aaron R. Rouse, Guy K. Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Abstaining: Louis R. Jones Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO AMEND THE CITY CODE TO CREATE 2 THE SCHILLING POINT NEIGHBORHOOD DREDGING 3 SPECIAL SERVICE DISTRICT AND TO LEVY ADDITIONAL 4 TAXES ON REAL PROPERTY WITHIN THE SCHILLING 5 POINT NEIGHBORHOOD DREDGING SPECIAL SERVICE 6 DISTRICT 7 8 SECTION ADDED: 35.3-14 9 10 WHEREAS, the City of Virginia Beach has received signed petitions from at least 11 80% of the residents of the Schilling Point Dredging Area waterfront property owners; 12 and 13 14 WHEREAS, the petitions provide the signers commit to the imposition of special 15 service district ("SSD") taxes and other contributions as set forth in further detail herein; 16 and 17 18 WHEREAS, the Schilling Point Area Dredging Project ("Project") includes three 19 (3) cycles of dredging; and 20 21 WHEREAS, although the SSD taxes will begin July 1, 2019, the first dredging is 22 planned for FY 2021-2022, the second is planned for FY2027-28, and the third is 23 planned for FY 2034-35; and 24 25 WHEREAS, the Project is a partnership addressing related dredging activities: 26 the community channel dredging, which is supported by City contributions to the Special 27 Service District; the neighborhood channel dredging, which is supported by the levy of 28 Special Service District taxes; and the access channels, which are supported by 29 individual contributions to the Special Service District; and 30 31 WHEREAS, the rate established by this Ordinance is based on the FY2018-19 32 real estate assessed value of the subject properties; and 33 34 WHEREAS, City staff will re-calculate the estimated Project costs at a minimum 35 of every four (4) years; and 36 37 WHEREAS, the City Council of the City of Virginia Beach believes that 38 undertaking the Project is in the best interest of the public and is a reasonable exercise 39 of the City's authority to promote general welfare, including commerce and industry of 40 the City and the inhabitants thereof. 41 42 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 43 VIRGINIA BEACH, VIRGINIA: 44 45 1. That the Code of the City of Virginia Beach, Virginia, is hereby amended to add 46 Section 35.3-14 as follows: 47 48 Section 35.3-14. Creation of the Schilling Point Area Dredging Special Services 49 District. 50 a. There is hereby created the Schilling Point Area Dredging Special Service 51 District for the purposes set forth in this chapter and those set forth in Code of 52 Virginia, section 15.2-2403. 53 b. The boundaries of the Schilling Point Area Dredging Special Service District shall 54 be described in detail by the map attached to this ordinance. 55 c. The Schilling Point Area Dredging Special Service District shall dissolve on July 56 1, 2035, if not sooner. 57 58 2. There shall be levied and collected taxes for the special purpose of providing 59 neighborhood dredging on all real estate within and pursuant to the Hurd's Cove Area 60 Dredging Special Service District at the rate of 40.4 cents ($0.404) on each one 61 hundred dollars ($100) of assessed value thereof. This real estate tax rate shall be in 62 addition to the real estate tax rate set forth by the General Real Estate Tax Levy 63 adopted by City Council. Any deferral of such levies for elderly or disabled persons 64 shall be subject to § 35.3-5.1. As set forth in Code of Virginia § 15.2-2403(6), written 65 consent is required to apply this tax rate to the full assessed value of properties subject 66 to special use value assessment. The real estate tax rate imposed herein shall be 67 applied on the basis of one hundred percentum (100%) of the fair market value of such 68 real property except for public service real property, which shall be on the basis as 69 provided in Code of Virginia § 58.1-2604. 70 71 3. The City Manager or designee is hereby authorized to enter into contracts and to 72 perform other actions consistent with this ordinance. 73 74 4. Paragraphs 1 and 3 shall be effective immediately. 75 76 5. Paragraph 2 shall be effective July 1, 2019. Adopted by the Council of the City of Virginia Beach, Virginia, on the 18th day of June , 2019. Requires an affirmative vote by a majority of all of the members of City Council. APPROVED AS TO CONTENT: APPROVED AS TO CONTENT: c ci,A,A7 d Management Services Public Works APPROVED AS TO LEGAL SUFFICIENCY: Cit t ney's Office CA14760 R-1 May 28, 2019 60 ITEM— V.Llb ORDINANCES/RESOLUTIONS ITEM#69364 The following registered to speak: Barbara Messner, P. O. Box 514, spoke in OPPOSITION Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED Ordinance to AMEND City Code and ADD Section 35.3-14: b. ESTABLISH Capital Improvement Project#8-037 and TRANSFER from the General Fund Reserve $137,718 re engineering and design work and $173,896 to Capital Improvement Project#8-027 re costs related to the maintained City spur Voting: 9-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M. Henley, John D. Moss, Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Abstaining: Louis R.Jones Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO CREATE CAPITAL PROJECT #8-037, 2 "SCHILLING POINT NEIGHBORHOOD DREDGING" AND 3 TO AMEND BOTH THE FY 2018-19 CAPITAL 4 IMPROVEMENT PROGRAM AND FY 2019-20 OPERATING 5 BUDGET 6 7 WHEREAS, by separate ordinance the City Council established the Schilling Point 8 Neighborhood Dredging Special Service District; 9 10 NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF 11 VIRGINIA BEACH, THAT: 12 13 1. Capital Improvement Project #8-037, "Schilling Point Neighborhood Dredging" is 14 hereby established in the FY 2018-19 Capital Improvement Program; and 15 16 2. $137,718 is hereby transferred from the General Fund Reserve for Contingencies, 17 Neighborhood Dredging, to Capital Project #8-037 for engineering and design 18 work; and 19 20 3. $173,896 is hereby transferred from the General Fund Reserve for Contingencies, 21 Neighborhood Dredging, to Capital Project #8-027, "Neighborhood Dredging Spur 22 Channels" for costs related to the City maintained spur associated with the 23 Schilling Point Special Service District. Adopted by the Council of the City of Virginia Beach, Virginia, on the 18th day of June , 2019. APPROVED AS TO CONTENT: APPROVED AS TO CONTENT: it /‘ Management Services Public Works APPROVED AS TO LEGAL SUFFICIENCY: • A tt.rney's Office CA14761 R-1 June 4, 2019 / �& 1 ,... le f� 4 i 1 / ^-- �' - 1 1--Z-- 4_ ) 4,,..., _._. // O +4 �-u i i � 4 --,,..„ - / /--- / ,/,, s � ey4yAT 044 ti \ ' A loos ! ->. a� O O € \\ X14 1009 10 S pY ac6 / 4056 tin O�'Qp ' ... e . \l ,� v 4 O 404.9 I / 1021 11 -17'; O 4041 \ `'"1 4040 N t NM O 1018 , *it 41k0 j 1012 1008 i 77 8 '\ 1 ' 4044 s \ __ O 0 • • 4- , ,.. ,, ,_,,zil,„, *A, - - s;,L_ # \ --t-- . , .,e.,:‘ , .. . 3 CKING POINT It:i \, :FOIL__ ..,,,,,..„/..-- \,.... 4. ,P _ Legend �� '�' 1 Main Channel - li ®City Funded Spur J ED Neighborhood Funded Spur ' ` OStudy Area Property City Property - ---- , L f Property Lines b� . ...,_,...�_._.... a.,...a..�.,Ma..�..,.,.,�. ATTACHMENTA o F �y o W 100 „ ® F..1 Schilling Point SSD Dredging Project STPF (11 Properties) ATTACHMENT B - PROPERTY LISTING NEIGHBORHOOD DREDGING FOR THE PROPOSED SCHILLING POINT SSD GPIN Address 14880489680000 4041 BRIDGEHAMPTON LN 14880563320000 4049 BRIDGEHAMPTON LN 14880571360000 4045 BRIDGEHAMPTON LN 14880521660000 1013 SAW PEN POINT TRL 14880532740000 1009 SAW PEN POINT TRL 14880543420000 1005 SAW PEN POINT TRL 14880439540000 4049 SCHILLING PT 14880540910000 4048 SCHILLING PT 14880436940000 1012 WITCH POINT TRL 14880456910000 1008 WITCH POINT TRL 14880464960000 1004 WITCH POINT TRL #SSD Participants: 11 o„41A.BE4 c$ City of ViI inia Beach y a OF OUR".,NAj`pCN LOUIS R.JONES June 18 2019 PHONE: (757)583-0177 COUNCILMAN-DISTRICT 4-BAYSIDE ' FAX (757)426-5669 Mrs. Amanda Barnes City Clerk Municipal Center Virginia Beach, Virginia 23456 Re: Disclosure and Abstention Pursuant to Virginia Code § 2.2-3115(F) Dear Mrs. Barnes: Pursuant to the Virginia Conflict of Interests Act, Sections 2.2-3115(F), Code of Virginia, I make the following declarations: 1. I am executing this written disclosure regarding City Council's discussion and vote on (1) an ordinance to amend the City Code to create the Schilling Point Neighborhood Dredging Special Service District and to levy additional taxes on real property within the district; and (2) an ordinance to create CIP #8-037, "Schilling Point Neighborhood Dredging" and to transfer funds to CIP #8-037 and CIP #8-027, "Neighborhood Dredging Spur Channels." 2. I have an ownership interest in real property located at 1008 Witch Point Trail, which is within the service area that is the subject of these two ordinances. 3. Although the City Attorney has advised me that the Conflict of Interests Act allows me to participate in this transaction without restriction as a member of a group upon disclosure of my interest, I nevertheless wish to abstain from voting on this matter. I respectfully request that you record this declaration in the official records of City Council. Thank you for your assistance in this matter. Sincerely, 4tA jtit,/• Louis R. Jon Councilmember LRJ/RRI 1008 WITCH POINT TRAIL,VIRGINIA BEACH,VA 23455-5645 61 ITEM— V.I.2 ORDINANCES/RESOLUTIONS ITEM#69365 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED, BY CONSENT, Ordinance to ADD City Code Section 18-108.3 re certain mobile food units Voting: 10-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO ADD SECTION 18-108.3 2 TO THE CITY CODE PERTAINING TO 3 CERTAIN MOBILE FOOD UNITS 4 5 SECTION ADDED: § 18-108.3 6 7 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH, 8 VIRGINIA: 9 10 1. That Section 18-108.3 is hereby added to the City Code and reads as follows: 11 12 Sec. 18-108.3 — Mobile Food Units; New Business; Registration; Penalties. 13 14 (a) For purposes of this business license sub-classification, the following definitions shall 15 apply: 16 17 1. "Mobile food unit" means a restaurant that is a self-propelled motor vehicle or 18 trailer and readily movable from place to place at all times during operation. 19 2. "New business" means a business that locates for the first time to do business 20 in a Virginia locality. A business shall not be deemed to be a new business 21 based on a merger, acquisition, similar business combination, name change, 22 or change to its business form. 23 24 (b) If the owner of a new business that operates a mobile food unit pays the license tax 25 required by another Virginia locality in which the mobile food unit is registered, such 26 owner shall not be required to pay a license tax in the city for a period of two license 27 years after the payment of the initial license tax in the Virginia locality in which the 28 mobile food unit is registered. The preferential business license tax treatment provided 29 by this section may apply to up to three mobile food units provided all three units are 30 registered in the same Virginia locality and there is a shared owner of the three units. 31 32 (c) At the conclusion of the two license year period described in subsection b, the mobile 33 food unit shall register for the business license set forth in section 18-108.2 and 34 complete all requirements set forth therein. 35 36 (d) Prior to operation in the City, any owner of a mobile food unit subject to this section 37 shall register with the commissioner of the revenue regardless of whether the owner 38 is exempt from paying the license tax pursuant to this section. 39 40 (e) The commissioner of the revenue shall assess a statutory assessment for meals taxes 41 for any owner that fails to register with the commissioner of the revenue prior to 42 conducting taxable meals tax transactions. 43 44 (f) Upon the second occurrence of a mobile food unit failure to register with the 45 commissioner of the revenue as required by subsection d, the commissioner shall levy 46 a penal fine of $500 upon the owner of the mobile food unit. This fine shall be in 48 addition to any statutory assessment or other remedy for the failure to collect and remit 49 meals taxes. 50 51 (g) Upon the second or subsequent occurrence of a mobile food unit failure to register 52 with the commissioner of the revenue as required by subsection d, the commissioner 53 of the revenue shall require the mobile food unit post a bond with corporate surety to 54 insure the faithful performance of the mobile food unit's duties to the city as to meals 55 taxes collected and held in trust for the city. The bond, including corporate surety 56 thereon, shall be in a form deemed satisfactory to the city attorney. The bond shall 57 not be in an amount less than $1000. The commissioner of the revenue may accept 58 an irrevocable letter of credit in lieu of a bond required by this subsection, provided 59 the letter must be reviewed and approved by the city attorney. The owner of a mobile 60 food unit required to obtain the bond described herein shall be guilty of a Class 1 61 misdemeanor for the failure to produce the evidence of compliance when demand for 62 same has been made by either an agent of the commissioner of the revenue or any 63 law enforcement officer. 64 65 (h) Any requirement imposed under the City's police power to require a criminal records 66 check or certain limitations upon parking set forth in Section 18-108.2 or elsewhere in 67 the City Code shall apply to any business subject to this section. 68 69 2. This ordinance shall be effective July 1, 2019. Adopted by the City Council of the City of Virginia Beach, Virginia, on this 18th day of June , 2019. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: ommissioner of the Revenue Ci y or ey's Office CA14757 R-1 June 6, 2019 62 ITEM— VI.3a ORDINANCES/RESOLUTIONS ITEM#69366 The following registered to speak: Barbara Messner, P. O. Box 514, spoke in OPPOSITION Upon motion by Council Member Moss, seconded by Vice Mayor Wood, City Council DEFERRED INDEFINITELY Resolution to DIRECT the City Manager to: a. DEVELOP and IMPLEMENT a policy re paid six(6) week family leave (requested by Council Member Moss) (Deferred from May 14, 2019) Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott,Michael F. Berlucchi, Mayor Robert M Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 63 ITEM— V.I.3b ORDINANCES/RESOLUTIONS ITEM#69367 The following registered to speak: Travis Fox, Phone: 615-1675, spoke in OPPOSITION Barbara Messner, P. O. Box 514, spoke in OPPOSITION Dianna Howard, 1057 Debaca Court, Phone: 567-9021, spoke in OPPOSITION Virginia Wasserberg, 4412 Sanibel Circle#101, Phone: 963-8679, spoke in SUPPORT Upon motion by Council Member Wooten, seconded by Council Member Tower, City Council ADOPTED, AS AMENDED,Resolution to DIRECT the City Manager to: b. EVALUATE and RECOMMEND re implementation enhanced security for City buildings(requested by Council Member Wooten) Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi, Mayor Robert M.Dyer, Barbara M. Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 AMENDED VERSION Requested by Councilmember Wooten 1 A RESOLUTION DIRECTING THE CITY MANAGER TO 2 EVALUATE AND RECOMMEND FOR IMPLEMENTATION 3 ENHANCED SECURITY AT CITY BUILDINGS 4 5 WHEREAS, the tragic events of May 31 , 2019, highlight the need for increased 6 security measures at City governmental buildings and for governmental meetings, 7 including forums sponsored by governmental and elected officials; 8 WHEREAS, increased security measures could include the installation of metal 9 detectors at all entrances to City buildings and the presence of law enforcement or 10 security officers at all City buildings or governmental meetings or forums, among other 11 things; 12 WHEREAS, consideration also must be given to the costs of such measures and 13 the impacts on employees and visitors to City facilities and the unique features of certain 14 City facilities; and 15 WHEREAS, the City Council needs additional information in order to make 16 informed decisions about enhanced security measures. 17 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF 18 VIRGINIA BEACH, VIRGINIA: 19 That the City Manager is hereby directed to evaluate enhanced security measures 20 at City buildings and for governmental meetings and shall provide the City Council with 21 recommendations for implementation of such measures. The evaluation and 22 recommendations shall take into account any pertinent findings of the law enforcement 23 investigation of this incident. It is expected that the City Manager's evaluation will be 24 undertaken on a parallel track with the law enforcement investigation and his 25 recommendations will be provided to the City Council approximately thirty (30) days after 26 the law enforcement investigation is completed. Adopted by the Council of the City of Virginia Beach, Virginia this 18ttday of June , 2019. APPROVED AS TO LEGAL SUFFICIENCY: Deputy City Attorn oderick R. Ingram CA14781 R-2 June 18, 2019 64 ITEM— VI.4 ORDINANCES/RESOLUTIONS ITEM#69368 The following registered to speak: Virginia Wasserberg, 4412 Sanibel Circle#101, Phone: 963-8679, spoke in SUPPORT Barbara Messner, P. O. Box 514, made comments regarding the victims Upon motion by Council Member Wooten, seconded by Council Member Tower, City Council ADOPTED, AS AMENDED,Resolution in MEMORY of the Victims re May 31,2019 Tragedy (requested by Council Member Wooten) Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi,Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 Requested by Councilmember Wooten 1 A RESOLUTION IN MEMORY OF THE VICTIMS OF THE 2 MAY 31, 2019 TRAGEDY 3 4 WHEREAS, twelve victims died as a result of the tragic events of May 31, 2019: 5 LaQuita C. Brown of the Public Works Department; 6 Ryan Keith Cox of the Public Utilities Department; 7 Tara Welch Gallagher of the Public Works Department; 8 Mary Louise Gayle of the Public Works Department; 9 Alexander Mikhail Gusev of the Public Works Department; 10 Joshua O. Hardy of the Public Utilities Department; 11 Michelle "Missy" Langer of the Public Utilities Department; 12 Richard H. Nettleton of the Public Utilities Department; 13 Katherine A. Lusich Nixon of the Public Utilities Department; 14 Christopher Kelly Rapp of the Public Works Department; 15 Herbert "Bert" Snelling, a local contractor and resident of Virginia Beach; 16 and 17 Robert "Bobby" Williams of the Public Utilities Department; 18 WHEREAS, the City Council, along with the residents of Virginia Beach and people 19 around the world, mourn the senseless loss of these victims and express deepest 20 condolences to their loved ones and friends; and 21 WHEREAS, the City Council remains hopeful for the recovery of the additional four 22 victims who survived the May 31, 2019 tragedy but suffered terrible injuries; 23 WHEREAS, in addition to this resolution of remembrance, the City Council also 24 desires the creation of a memorial to the memory of the victims who lost their lives as a 25 result of this tragedy. 26 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF 27 VIRGINIA BEACH, VIRGINIA: 28 That the City Council extends its heartfelt condolences to family, friends and loved 29 ones of the victims of May 31, 2019. 30 31 BE IT FURTHER RESOLVED: 32 That the City Manager is requested to propose an appropriate memorial to these 33 victims so they and their sacrifices will always be remembered. Adopted by the Council of the City of Virginia Beach, Virginia this 18thday of June , 2019. APPROVED AS TO LEGAL SUFFICIENCY: , d.,,- 4,e.;4 Ec------ Deputy City Attorney Roderick R. Ingram CA14782/R-1/June 12, 2019 65 ITEM— V.I.5 ORDINANCES/RESOLUTIONS ITEM#69369 The following registered to speak: Vincent Smith, 985 Wasserman Drive, Phone: 540-847-4766, spoke in OPPOSITION Chris Wijtowicz, 896 Sandoval Drive, Phone: 322-7791, spoke in OPPOSITION Tracey Sanford, 3972 Wilmington Road, Phone: 995-5923, spoke in SUPPORT Marian Kiehl-Kearney, 317 Galleon Drive, Phone: 374-9954, spoke in SUPPORT Kate Loring, 1369 Stephens, Phone: 469-9689, spoke in SUPPORT Wes Printz, 2128 Pier Pointe Place, Phone: 639-3518, spoke in OPPOSITION Luis Cortes, 39 Outer Drive, Phone: 348-1019, spoke in OPPOSITION Donald Bell, 445 Woodlake Road, Phone: 435-1009, spoke in SUPPORT Holly Edwards, 5604 Quarter Path Gate, Phone: 740-464-8440, spoke in SUPPORT Phillip Van Cleave (President- Virginia Citizens Defense League) 5509 West Bay Court, Midlothian, Phone: 804-874-8235, spoke in OPPOSITION Conrad Schesventer, 1367 Hafford Road, Phone: 719-2113, spoke in SUPPORT Karen Havkost, 421 Lakewood Circle, Phone: 288-7301, spoke in SUPPORT Joseph Elliott, 1305 Princess Anne Road, Phone: 506-4662, spoke in OPPOSITION Terry Santure, 5900 Minister Lane, Phone: 449-3200, spoke in OPPOSITION Michael Durig, 3637 Croft Pride Drive, Phone: 288-4337, spoke in OPPOSITION Neal Jefferis, 5404 Stewart Drive, Phone: 353-1528, spoke in OPPOSITION Karen Green-Halgh, 4545 Commerce Street#2004, Phone: 284-9047, spoke in OPPOSITION Barbara Messner, P. O. Box 514, spoke in OPPOSITION Kelly Fowler, 4588 South Plaza Trail, Phone: 706-318-4928, spoke in SUPPORT Todd Grissom, 1101 Amy Drive, Phone: 617-5647, spoke in OPPOSITION David Jarman, 446 Slate Street, Chesapeake, Phone: 621-9462, spoke in OPPOSITION Tim Worst, 2556 Entrada Drive, Phone: 353-1555, spoke in OPPOSITION Robert McCall, 1267 Sir George Circle, Phone: 771-2948, spoke in OPPOSITION Dianna Howard, 1057 Debaca Court, Phone: 567-9021, spoke in OPPOSITION Virginia Wasserberg, 4412 Sanibel Circle#101, Phone: 963-8679, spoke in SUPPORT Leslie Wright, 2649 Cove Point Place, Phone:636-4156. spoke in OPPOSITION Gary Moeller, 1413 Clantiny Court, Phone: 373-2148, spoke in OPPOSITION Douglas Peterson, (Virginia Citizens Defense League) 5 Quail Place, Phone: 874-8106, spoke in OPPOSITION June 18, 2019 66 ITEM— VI.5 ORDINANCES/RESOLUTIONS ITEM#69369 (Continued) Rob Donnelly, 4419 East Honeygrove Court, Phone: 845-988-6614, spoke in SUPPORT Bill Techanchuk, 2920 Heron Ridge Drive, spoke in SUPPORT Andrew Jackson, 153 Upperville Road, Phone: 490-9190, spoke in SUPPORT Bryan Clark, spoke in OPPOSITION After City Council discussion, Council Member Tower made a motion, seconded by Council Member Wooten, to ADOPT Resolution to SUPPORT a Bill re allow Localities to prohibit the carrying of firearms in governmental buildings(requested by Council Members Tower and Wooten) Council Member Abbott then made a SUBSTITUTE MOTION, seconded by Vice Mayor Wood, to DEFER INDEFINITELY,Resolution to SUPPORT a Bill re allow Localities to prohibit the carrying of firearms in governmental buildings (requested by Council Members Tower and Wooten) Voting: 8-2 Council Members Voting Aye: Jessica P. Abbott,Michael F. Berlucchi, Mayor Robert M.Dyer, Barbara M. Henley, Louis R. Jones, John D. Moss, Aaron R. Rouse, and Vice Mayor James L. Wood Council Members Voting Nay: Guy K Tower Sabrina D. Wooten Council Members Absent: Rosemary Wilson *The Main Motion was lost to the affirmative vote on the Substitute Motion June 18, 2019 67 ITEM— V.L6 ORDINANCES/RESOLUTIONS ITEM#69370 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED, BY CONSENT, Ordinance to APPOINT three (3) viewers for one-year terms beginning July 1, 2019 re view streets and alleys proposed to be altered or vacated Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi, Mayor Robert M Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE APPOINTING THREE (3) VIEWERS FOR 2 ONE-YEAR TERMS BEGINNING JULY 1, 2019, TO VIEW 3 EACH STREET OR ALLEY PROPOSED TO BE CLOSED 4 5 WHEREAS, Section 33-11.2 of the City Code provides that "[t]hree (3) viewers 6 shall be appointed each year to serve terms of one year beginning July 1 to view each 7 and every street or alley proposed to be altered or vacated during the term;" and 8 9 WHEREAS, it is the desire of City Council to appoint the Directors of the 10 Departments of Planning, Public Works and Parks and Recreation to serve as viewers 11 for one-year terms, beginning July 1, 2019 and ending June 30, 2020. 12 13 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 14 VIRGINIA BEACH, VIRGINIA: 15 16 That the Director of Planning, Director of Public Works and Director of Parks and 17 Recreation of the City of Virginia Beach are each hereby appointed as a viewer to serve 18 a one-year term beginning July 1, 2019 and ending June 30, 2020, to view each and 19 every application to close a street or alley, and to report in writing their opinion of what 20 inconvenience, if any, would result from discontinuing the street or alley or portion 21 thereof. Adopted by the Council of the City of Virginia Beach, Virginia on the 18th day of June , 2019. APPROVED AS TO LEGAL SUFFICIENCY: City Attorney's Office CA14783 R-1 June 13, 2019 68 ITEM— VI.7 ORDINANCES/RESOLUTIONS ITEM#69371 The following registered to speak: Simin Hambaz, 3540 Sandfiddler Road, spoke in SUPPORT Upon motion by Council Member Henley, seconded by Council Member Moss, City Council DENIED Ordinance to AUTHORIZE a temporary encroachment into a portion of City right-of-way known as Sandfiddler Road adjacent to 3540 Sandfiddler Road re four(4)existing block pillars and two(2)existing block walls(Deferred from May 21, 2019) Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi, Mayor Robert M.Dyer, Barbara M. Henley, Louis R. Jones,John D. Moss, Aaron R. Rouse, Guy K Tower (Verbal Aye), Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 69 ITEM— V.L8a ORDINANCES/RESOLUTIONS ITEM#69372 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED, BY CONSENT, Ordinance to AUTHORIZE and ACCEPT a donation re use of office space at 2875 Sabre Street from 2700 International Parkway Corporation for a period of one (1)year with the option to extend for two (2)one-year terms: a. Suite 250 Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi, Mayor Robert M Dyer, Barbara M. Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 ORDINANCE TO AUTHORIZE THE 2 ACCEPTANCE OF A DONATION OF THE USE 3 OF OFFICE SPACE LOCATED AT 2875 4 SABRE STREET, SUITE 250, FROM 2700 5 INTERNATIONAL PARKWAY CORPORATION 6 FOR A PERIOD OF ONE YEAR 7 8 WHEREAS, 2700 International Parkway Corporation ("2700 IPC"), a Virginia 9 corporation, owns an office building located at 2875 Sabre Street (GPIN: 1496-37-6836) 10 (the "Property"); 11 12 WHEREAS, 2700 IPC desires to donate to the City 8,275 sq. ft. of office space at 13 the Property, designated as Suite 250 (the "Premises") for a period of one year; 14 15 WHEREAS, the Premises will temporarily house City staff from Building 2 of the 16 Municipal Center, who were displaced by the tragic events of May 31 , 2019, and for 17 storage of items from Building 2; 18 19 WHEREAS, the donation consists of a substantial discount from market rate rent 20 for the Premises; 21 22 WHEREAS, the rent for the Premises will be a nominal amount for the first year 23 ($1.00/year); and 24 25 WHEREAS, 2700 IPC will grant the City the option to extend the lease for two (2) 26 one-year terms at $16.00 per sq. ft. 27 28 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, 29 VIRGINIA: 30 31 That the donation of office space at the Premises for a period of one-year is hereby 32 accepted from 2700 International Parkway Corporation. Adopted by the Council of the City of Virginia Beach, Virginia on the 18th day of June , 2019. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: I>e (I Public Works/Management Services City Attorney's Office CA14660 R-1 June 6, 2019 70 ITEM— V I.8b ORDINANCES/RESOLUTIONS ITEM#69373 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED, BY CONSENT, Ordinance to AUTHORIZE and ACCEPT a donation re use of office space at 2875 Sabre Street from 2700 International Parkway Corporation for a period of one(1)year with the option to extend for two (2)one-year terms: b. Suite 500 Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott,Michael F. Berlucchi, Mayor Robert M.Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 ORDINANCE TO AUTHORIZE THE 2 ACCEPTANCE OF A DONATION OF THE USE 3 OF OFFICE SPACE LOCATED AT 2875 4 SABRE STREET, SUITE 500, FROM 2700 5 INTERNATIONAL PARKWAY CORPORATION 6 FOR A PERIOD OF ONE YEAR 7 8 WHEREAS, 2700 International Parkway Corporation ("2700 IPC"), a Virginia 9 corporation, owns an office building located at 2875 Sabre Street (GPIN: 1496-37-6836) 10 (the "Property"); 11 12 WHEREAS, 2700 IPC desires to donate to the City 20,475 sq. ft. of office space 13 at the Property, designated as Suite 500 (the "Premises") for a period of one year; 14 15 WHEREAS, the Premises will house City staff from Building 2 of the Municipal 16 Center, who were displaced by the tragic events of May 31, 2019; 17 18 WHEREAS, the donation consists of a substantial discount from market rate rent 19 for the Premises; 20 21 WHEREAS, the rent for the Premises will be a nominal amount for the first year 22 ($1.00/year); and 23 24 WHEREAS, 2700 IPC will grant the City the option to extend the lease for two (2) 25 one-year terms at $16.00 per sq. ft. 26 27 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, 28 VIRGINIA: 29 30 That the donation of office space at the Premises for a period of one-year is hereby 31 accepted from 2700 International Parkway Corporation. Adopted by the Council of the City of Virginia Beach, Virginia on the 18th day of June , 2019. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: Public Wdrks/Management Services City Attorney's Office CA14659 R-1 June 6, 2019 71 ITEM— V.I.9a ORDINANCES/RESOLUTIONS ITEM#69374 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED, BY CONSENT, Ordinance to TRANSFER: a. $40,000 within Public Works FY 2018-19 Operating Budget re purchase of thermoplastic paint kettles Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi,Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO TRANSFER FUNDING WITHIN 2 THE DEPARTMENT OF PUBLIC WORKS 3 4 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH, 5 VIRGINIA, THAT: 6 7 That $40,000 is hereby transferred within Public Works FY 2018-19 Operating 8 Budget for the purchase of thermoplastic paint kettles. Adopted by the Council of the City of Virginia Beach, Virginia on the 18th day of June , 2019. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: fit �J y Budget and Management Services bity or6ey's office CA14777 R-1 June 6, 2019 72 ITEM— V.L9b ORDINANCES/RESOLUTIONS ITEM#69375 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED, BY CONSENT, Ordinance to TRANSFER: b. $300,000 from the Police Department FY 2018-19 Operating Budget to the Fire Department Operating Budget re overtime expenses Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi, Mayor Robert M Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO TRANSFER $330,000 TO THE 2 FIRE DEPARTMENT OPERATING BUDGET FOR 3 OVERTIME EXPENSES 4 5 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, 6 VIRGINIA: 7 8 That $330,000 is hereby transferred from the FY2018-19 Operating Budget of the 9 Police Department to the Fire Department to cover overtime expenses. Adopted by the Council of the City of Virginia Beach, Virginia on the 18th day of June , 2019. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: 0A(A) . c)/\9,4b1A, Budget and Management Services - ' •rn: 's Office CA14778 R-1 June 6, 2019 73 ITEM— V.I.9c ORDINANCES/RESOLUTIONS ITEM#69376 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED, BY CONSENT, Ordinance to TRANSFER: c. $130,000 Juvenile Probation within the FY 2018-19 Operating Budget for contingencies and$20,000 from the General Fund Reserve re contingencies to support Juvenile Dispositional Court Services Voting: 10-0 Council Members Voting Aye: Jessica P. Abbott,Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K. Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO TRANSFER $130,000 WITHIN 2 JUVENILE PROBATION AND$20,000 FROM THE GENERAL 3 FUND RESERVE FOR CONTINGENCIES TO SUPPORT 4 JUVENILE DISPOSITIONAL COURT SERVICES 5 6 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, 7 VIRGINIA THAT: 8 9 1. $130,000 is hereby transferred within the FY2018-2019 Operating Budget of 10 Juvenile Probation to support mandated dispositional services and; 11 12 2. $20,000 is hereby transferred from the FY2018-2019 General Fund Reserve for 13 Contingencies to Operating Budget of Juvenile Probation to support dispositional 14 services. Adopted by the Council of the City of Virginia Beach, Virginia on the 18th day of June 2019. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: -49 a/jc a Budget and Management Services -qty_ forn= 's Office CA14775 R-1 June 5, 2019 74 ITEM— V.I.9d ORDINANCES/RESOLUTIONS ITEM#69377 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED, BY CONSENT, Ordinance to TRANSFER: d. $1.5-Million from the Police Department and Public Works FY 2018-19 Budgets and AMEND the scope of Capital Improvement Project #3-149 (the Various Buildings Rehabilitation and Renewal IV)re SUPPORT expenses from May 31,2019 Tragedy Voting: 10-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi,Mayor Robert M Dyer, Barbara M. Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO TRANSFER $1 .5 MILLION TO 2 SUPPORT EXPENSES RELATED TO THE MAY 31, 3 2019 TRAGEDY AND TO AMEND THE SCOPE OF 4 CAPITAL IMPROVEMENT PROJECT #3-149, 5 VARIOUS BUILDINGS REHABILITATION AND 6 RENEWAL IV 7 8 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA BEACH, 9 THAT: 10 11 1 . $750,000 is hereby transferred from FY2018-19 Operating Budget of the Police 12 Department to Capital Improvement Project #3-149, "Various Buildings 13 Rehabilitation and Renewal IV; 14 15 2. $500,000 is hereby transferred from the FY2018-19 Operating Budget of the 16 Department of Public Works to Capital Improvement Project #3,149; 17 18 3. $250,000 is hereby transferred from the FY2018-19 Operating Budget of the 19 Department of Public Works to establish a dedicated reserve for costs associated 20 with the May 31, 2019 tragedy; and 21 22 4. The project description and scope for Capital Improvement Project # 3-149 are 23 hereby amended to authorize the build-out of both City-owned and leased space 24 related departmental displacements and other facility needs related to the May 31, 25 2019 event. Adopted by the Council of the City of Virginia Beach, Virginia, on the 18th day of June , 2019. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: Budget and Management Sewices e -' e o • Cit Att rney CA14779 R-1 June 12, 2019 75 ITEM— V.I.10 ORDINANCES/RESOLUTIONS ITEM#69378 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council ADOPTED, BY CONSENT, Ordinance to APPROPRIATE $600,000 of Fund Balance from the Sheriff's Office Special Revenue Fund to the Sheriff's Office FY 2018-19 Operating Budget re payroll obligations and medical expenses Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi, Mayor Robert M Dyer, Barbara M.Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO APPROPRIATE $600,000 OF 2 FUND BALANCE FROM THE VIRGINIA BEACH 3 SHERIFF'S OFFICE SPECIAL REVENUE FUND TO 4 THE VIRGINIA BEACH SHERIFF'S OFFICE FY 2018- 5 19 OPERATING BUDGET FOR PAYROLL 6 OBLIGATIONS AND MEDICAL EXPENSES 7 8 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF 9 VIRGINIA BEACH, VIRGINIA, THAT: 10 11 $600,000 of fund balance from the Virginia Beach Sheriff's Office Special 12 Revenue Fund is hereby appropriated, with estimated revenue increased accordingly, to 13 the Virginia Beach Sheriff's Office FY 2018-19 Operating Budget to be used for payroll 14 obligations and medical expenses. Adopted by the Council of the City of Virginia Beach, Virginia on the 18th day of June , 2019. Requires an affirmative vote by a majority of all of the members of City Council. APPROVED AS TO CONTENT APPROVED AS TO LEGAL SUFFICIENCY j2)1/4) Budget and Management Services : oKey's Office CA14776 R-1 June 6, 2019 76 ITEM—V-J.1 PLANNING ITEM#69379 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council, APPROVED, MODIFIED CONDITIONS,BY CONSENT,Application of INDIAN COVE RESORT ASSOCIATION, INC. for a Modification of Conditions re overflow parking or relocation of pavilion within the campground at 1053 Sandbridge Road DISTRICT 7—PRINCESS ANNE BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA INDIAN COVE RESORT ASSOCIATION, INC.for a Modification of Conditions re overflow parking or relocation of pavilion within the campground at 1053 Sandbridge Road (GPINS 2423354320, 2423358080)DISTRICT 7—PRINCESS ANNE The following conditions shall be required: 1. All conditions attached to the Conditional Use Permit granted by the City Council on November 23, 1981, are deleted and are hereby replaced with the conditions listed below. 2. A buffer zone of 400 feet shall be provided between the on-site, private sewage plant and any campsites for habitation, and a well lot 100 feet x 100 feet shall be centered on the wells and enclosed with a minimum six-foot chain link fence. The well site must be dedicated and recorded in the Office of the Clerk of the Circuit Court. 3. The developer shall dedicate an easement for Canal No. 1 along Hells Point Creek 150 feet from the center line of the canal. 4. The proposed parking area shall be limited to the temporary parking of boat trailers, golf carts, and private vehicles of members while on site. In no case shall this area be used for parking or storage of vehicles for greater than 90 days. 5. The removal of any existing healthy tree canopy or understory woody vegetation shall be prohibited. Any damaged or removed vegetation shall be mitigated at a 3 to 1 ratio. 6. Permanent and/or temporary soil stabilization measures shall be applied to all disturbed/ denuded area(s). All disturbed or denuded areas shall be stabilized in accordance with the Virginia Erosion and Sediment Control Law and Regulations. 7. All recreational vehicles shall be licensed and road ready to be relocated out of the Special Flood Hazard Area in the event of the issuance of a hurricane warning for the City of Virginia Beach, as well as prior to any approaching significant storm or wind tide flooding. June 18, 2019 77 ITEM—V-11 PLANNING ITEM#69379 (Continued) 8. No dredging,filling, bulkheading or other waterfront related activities shall be allowed without the proper permits from the appropriate local, state, and federal agencies. 9. Encroachment into any environmentally sensitive portion of the property, including but not limited to the 50 foot Southern Rivers buffer, the Special Flood Hazard Area, and tidal or non-tidal wetlands for any development or land disturbance, including permanent or temporary structures, shall be prohibited without obtaining all applicable permits from federal, state and local agencies. This Ordinance shall be effective in accordance with Section 107(f) of the Zoning Ordinance. Adopted by the City Council of the City of Virginia Beach, Virginia, on the 18`x'day of June Two Thousand Nineteen. Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M. Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 w' r 1 N il. lif Tr e— 0 1 r MO W N. O N In O (.0 et) lik. 0 Vin 1 C 0 R3 m U 5 io,st‘ ,,,t46.,,140,-,s.-li c'14 0 ,,,,, .... ‘110,!:1144 •..... 4111161111N1\144 . A. , ft. f.,1 de"'7'. ..„&t ''' . ‘, ss; i.‘ V (n° "1:1 461*'.j* V111111 N,,, X viiit.'" , . CD C .&, - 1 41 I i%1IN 1 ' . 4..Zil I I 4 oh•A L& '. re co NI : _,*„.:L.. ,1. ;.,"*‘6v. . ,- ''!,...:,,L i I I VI liN, Ilik N". l r i > ch 1111` 0 V. L c N th I -. � -. — 7:-cir-I-, ---7- `,‘ F-77., 11.1111.11, a, __N ,! r� i - �' ,... ith,.44.41. ) Oil 11 ` C o _ r J 0 c I' m ., i II C/? N CD Cl } 78 ITEM—V-J.2 PLANNING ITEM#69380 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council, APPROVED,AS PROFFERED, BY CONSENT, Application of TIMBERLAKE SHOPPING CENTER ASSOCIATES, LLC for an Amendment to the Timberlake PD-HI Land Use Plan re ADD an Indoor Recreational Facility over 7500 square feet as a permitted use at 4239 Holland Road DISTRICT 3—ROSE HALL BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA TIMBERLAKE SHOPPING CENTER ASSOCIATES, LLC for an Amendment to the Timberlake PD-HI Land Use Plan re ADD an Indoor Recreational Facility over 7500 square feet as a permitted use at 4239 Holland Road(GPIN 1476868558)DISTRICT 3—ROSE HALL The following conditions shall be required: An Agreement encompassing Proffers shall be recorded with the Clerk of the Circuit Court This Ordinance shall be effective in accordance with Section 107(f)of the Zoning Ordinance. Adopted by the City Council of the City of Virginia Beach, Virginia, on the 18`"day of June Two Thousand Nineteen. Voting: 10-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi,Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 ' : � w, 'r IA VI I Li. cp ,. . 17--/ <>.. ''' 0 Wit_ ��a rc, -_k;ir..-4,-,. \-, -- `, N ` 0 % °fir;- 4\ Ivik . "c) O 4tii. ,, _, 4ifi NIL - iir•e>..., ' SY Nio .0,11,,,,% ::. ....44-4,-* vsf V •. "4 441.74711, . 46.111,Nr.flelik . , %, - -4116,6 . itIt4"4".0. i;tlikliff. ,. 40.4, 010.00., C -a '1 1 N N"N,,,,,„N. S•04 4 0 1/4\A104 40 40.,., ,.... ...... . , .# N a y .%'*'s\''N\NA 44116,...\4 , 44,1 ..... . . . . .a. 0, ‘,.. - , -, 41410 \ =.17.: M-Adeer . - 'err: C,,,,,\.N, --, - ,, 4411"..Ill° 1 /OP' 1 II,.il lir2. \‘ : =', , 0 i III, Iiiiii / ._4•.,,,efia I ,li i'vlifi .ill mit g • a) 63 \ 'xv„ • <10 Nil- ----se. ''''''38 oliiiiNIMIU1 . 011.019 ..ir..r..aio . jai--imArimmieNT ' idt_'MliiiMION ' '..•• E i 1:7 - 1illiiiiMilli�;. mow__ TA m_ 1131 iiir L ! . liftii % .�iii ' hooka it .ei . * !Ex L' I I i Iqii!E '3111E111 ` :11wmi F� ap en � X111- - =T•° _.T - ., CD C I' r 8+11 •0 I`et I"1 P J 4 4t C ! L N u1111t� Y+L �I �e �� Q. t7 (75 N C TIMBERLAKE SHOPPING CENTER ASSOCIATES, LLC,a Virginia limited liability company TO(PROFFERED COVENANTS, RESTRICTIONS AND CONDITIONS) CITY OF VIRGINIA BEACH,a municipal corporation of the Commonwealth of Virginia THIS AGREEMENT, made this 4th day of April, 2019, by and between TIMBERLAKE SHOPPING CENTER ASSOCIATES, LLC, ("Timberlake Shopping Center") a Virginia limited liability company, Grantor; and THE CITY OF VIRGINIA BEACH, a municipal corporation of the Commonwealth of Virginia, Grantee,party of the third part. WITNESSETH: WHEREAS, the Grantor is the owner of a parcel of property located in the Rose Hall District of the City of Virginia Beach,containing approximately 9.725 acres of land which is more particularly described in Exhibit"A"attached hereto and incorporated herein by this reference. Said parcel is herein referred to as the"Property";and WHEREAS,the Grantor has initiated a conditional amendment to the Zoning Map of the City of Virginia Beach,Virginia,by petition addressed to the Grantee so as to modify the PD-H1 Land Use Plan with a B-2 Commercial Designation applicable to the Property;and WHEREAS, the Grantee's policy is to provide only for the orderly development of land for various purposes through zoning and other land development legislation;and WHEREAS, Timberlake Shopping Center acknowledges that the competing and sometimes incompatible uses conflict and that in order to permit differing uses on and in the area of the Property and at the same time to recognize the effects of change, and the need for various types of uses, certain reasonable conditions governing the use of the Property for the protection of the community that are not generally applicable to land similarly zoned are needed to cope with the situation to which Timberlake Shopping Center's rezoning application gives rise; and GPIN: 1476-86-8558-0000 (Part of) Prepared By: R.Edward Bourdon,Jr.,Esquire VSB#22160 Sykes,Bourdon,Ahern&Levy,P.C. 281 Independence Boulevard Pembroke One,Fifth Floor Virginia Beach,Virginia 23462 WHEREAS, Timberlake Shopping Center has voluntarily proffered, in writing, in advance of and prior to the public hearing before the Grantee, as a part of the proposed modification to the PD-Hi Land Use Plan applicable to the Property in addition to the regulations provided for the PD-Hi and B-2 Zoning Districts by the existing overall Zoning Ordinance,the following reasonable conditions related to the physical development,operation, and use of the Property to be adopted as a part of said amendment to the Zoning Map relative and applicable to the Property,which has a reasonable relation to the rezoning and the need for which is generated by the rezoning. NOW, THEREFORE, Timberlake Shopping Center, for itself, its successors, personal representatives, assigns, grantee, and other successors in title or interest, voluntarily and without any requirement by or exaction from the Grantee or its governing body and without any element of compulsion or quid pro quo for zoning, rezoning, site plan, building permit, or subdivision approval, hereby make the following declaration of conditions and restrictions which shall restrict and govern the physical development,operation,and use of the Property and hereby covenants and agrees that this declaration shall constitute covenants running with the Property, which shall be binding upon the Property and upon all parties and persons claiming under or through Timberlake Shopping Center,its successors,personal representatives,assigns, grantee,and other successors in interest or title: i. The PD-Hi Land Use Plan applicable to the Property shall be modified to allow that portion of the building containing approximately 17,728 square feet and currently designated as Suite 764 in the Timberlake Shopping Center to be renovated and used as a Recreation Facility , other than one of an outdoor nature, with a floor area greater than 7500 square feet substantially as depicted on the "PHYSICAL SURVEY OF TIMBERLAKE SHOPPING CENTER", dated 6-30-95, prepared by Basgier & Associates which has been exhibited to the Virginia Beach City Council and is on file with the Virginia Beach Department of Planning("Physical Survey"). 2. When the Suite is renovated, the building mounted sign will be substantially as depicted on the "SIGN RENDERING FOR BLINK FITNESS" dated April 4, 2019, which has been exhibited to the Virginia Beach City Council and is on file with the Virginia Beach Department of Planning("Sign Rendering"). 3. Further conditions may be required by the Grantee during detailed Site Plan review and administration of applicable City Codes by all cognizant City agencies and departments to meet all applicable City Code requirements. 2 The above conditions, having been proffered by Timberlake Shopping Center and allowed and accepted by the Grantee as part of the amendment to the Zoning Ordinance, shall continue in full force and effect until a subsequent amendment changes the zoning of the Property and specifically repeals such conditions. Such conditions shall continue despite a subsequent amendment to the Zoning Ordinance even if the subsequent amendment is part of a comprehensive implementation of a new or substantially revised Zoning Ordinance until specifically repealed. The conditions,however, may be repealed,amended,or varied by written instrument recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach, Virginia, and executed by the record owner of the Property at the time of recordation of such instrument,provided that said instrument is consented to by the Grantee in writing as evidenced by a certified copy of an ordinance or a resolution adopted by the governing body of the Grantee, after a public hearing before the Grantee which was advertised pursuant to the provisions of Section 15.2-2204 of the Code of Virginia,1950,as amended. Said ordinance or resolution shall be recorded along with said instrument as conclusive evidence of such consent, and if not so recorded,said instrument shall be void. Timberlake Shopping Center covenants and agrees that: (1) The Zoning Administrator of the City of Virginia Beach,Virginia, shall be vested with all necessary authority, on behalf of the governing body of the City of Virginia Beach, Virginia, to administer and enforce the foregoing conditions and restrictions, including the authority (a) to order, in writing, that any noncompliance with such conditions be remedied; and (b) to bring legal action or suit to insure compliance with such conditions, including mandatory or prohibitory injunction, abatement,damages, or other appropriate action,suit,or proceeding; (2) The failure to meet all conditions and restrictions shall constitute cause to deny the issuance of any of the required building or occupancy permits as may be appropriate; (3) If aggrieved by any decision of the Zoning Administrator,made pursuant to these provisions,Timberlake Shopping Center shall petition the governing body for the review thereof prior to instituting proceedings in court; and (4) The Zoning Map may show by an appropriate symbol on the map the existence of conditions attaching to the zoning of the Property, and the ordinances and the conditions may be made readily available and accessible for public inspection in the office of the Zoning Administrator and in the Planning Department,and they shall be recorded in the Clerk's Office 3 of the Circuit Court of the City of Virginia Beach, Virginia, and indexed in the name of Timberlake Shopping Center and the Grantee. 4 WITNESS the following signature and seal: Grantor: Timberlake Shopping Center Associates, LLC, a Virginia limited liability company P ____(SEAL) rederick J.Napolitano,Operating Manager STATE OF VIRGINIA CITY OF VIRGINIA BEACH,to-wit: •The foregoing instrument was acknowledged before me this day of April, 2019,by Frederick J.Napolitano,Operating Manager of Timberlake Shopping Center Associates, LLC,a Virginia limited liability company. *WO? 277 aiLLL fjakei Notary Public My Commission Expires: SHARON MANit pAeNEs NotaryRegistration Number: 144(. 33 NOTARY PUBLIC gl REGISTRATION#194633 COMMONWEALTH OF VIRG MY COMMISSION EXPIRE FEBRUARY 29.2020 5 EXHIBIT"A" LEGAL DESCRIPTION FOR TIMBERLAKE SHOPPING CENTER ALL THAT certain tract, piece or parcel of land, lying and being in the Kempsville Borough of the City of Virginia Beach,Virginia and recorded in the Clerk's Office of the Circuit Court of the City of Virginia Beach,Virginia and being more particularly bounded as follows: Commencing at the southwest corner of Holland Road and South Plaza Trail, thence running along the western line of South Plaza Trail,the following courses and distances; S 03°00'22"E, 48.93'to a point; thence S 40°26'58"W, 166.3o'to the point of beginning;being a point on the western line of South Plaza Trail, said point also being the southeastern corner of Parcel 2; thence,following along the western line of South Plaza Trail S 40°26'58"W,468.59'to a point; thence,following the northerly bounds of Timberlake-Section Sixteen,N 46°31'4o"W,844.76' to a point; thence, following the bounds of Parcel H-2-1, N 43° 28' 20" E, 105.01' to a point; thence N o6° 14' 39" W, 23.19' to a point; thence N 46° 31' 4o" W, 87.0o' to a point; thence, following the easterly bounds of parcel 49,000 H-3,N 43°28'20"E,560.00'to a point;thence, following the southerly right of way of Holland Road, along a curve to the right with a radius of 223.40'; and an arc length of 50.55'to a point of reverse curvature; thence following a curve to left with a radius of 223.40'and an arc length of 50.30'to a point;thence S 46°27'41"E,loom' to a point;thence S 11°45'58"E,15.81'to a point;thence S 42°09'46"W,9.93'to a point;thence S 46° 27'41"E,80.00'to a point;thence N 43°32'19"E,10.00'to a point;thence N 84°04'59" E, 26.95'to a point; thence S 46° 31'4o" E. 269.50' to a point of curvature; thence following a curve to the right with a radius of 211.20' and an arc length of 50.61' to a point of reversed curvature;thence,following a curve to the left with a radius of 211.20'and an arc length of 50.35' to a point; thence S 46° 27'41" E, 33.70'to a point; thence, following the bounds of Parcel 2, 5 43°32'19"W, 198.75'to a point;thence S 46° 11'56"E,210.78'to the point of beginning. LESS AND EXCEPT Parcel 3 conveyed to Bank of Virginia, dated September 3o, 1983 and recorded in Deed Book 2287,Page 983. LESS AND EXCEPT Parcel 4 conveyed to Boddie-Noell Enterprises,Inc.dated March 10, 1983 and recorded in Deed Book 2244,Page 1938. LESS AND EXCEPT Parcel 6 conveyed to ZP NO 66,L.L.C.dated August 17,1998,and recorded in Deed Book 3938,Page 811. LESS AND EXCEPT Parcels 7 and 8 as shown on that plat entitled,"Subdivision of Timberlake Shopping Center, Kempsville Borough,Virginia Beach,Virginia", in Map Book 147,at Pages 13 and 14. GPIN: 1476-86-8558-0000 (Part of) H:\AM\Amendment PDH Plan\Timberlake Shopping Center Associates\Proffer Agreement.docx 6 79 ITEM—V-J.3 PLANNING ITEM#69381 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council, APPROVED,AS CONDITIONED, BY CONSENT, Application of DML DESIGNS, LLC, T/A TRINITY TATTOO CO./ MISHORIM GOLD VAB, LP for a Conditional Use Permit re tattoo parlor & body piercing establishment at 2720 North Mall Drive, Suites 112& 116 DISTRICT 3—ROSE HALL BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA DML DESIGNS, LLC, TM TRINITY TATTOO CO./ MISHORIM GOLD VAB, LP for a Conditional Use Permit re tattoo parlor & body piercing establishment at 2720 North Mall Drive, Suites 112 & 116 (GPIN 1496273469)DISTRICT 3—ROSE HALL The following conditions shall be required: 1. A business license for the Tattoo Parlor and Body Piercing Establishment shall not be issued to the applicant without the approval of the Health Department to ensure consistency with the provisions of Chapter 23 of the City Code. 2. The actual application of tattoos and body piercing shall not be visible from the exterior of the establishment or from the waiting and sales area within the establishment. 3. Any on-site signage for the establishment shall meet the requirements of the City Zoning Ordinance (CZO), and there shall be no neon, electronic display or similar sign installed on the exterior of the building or in any window, or on the doors. A separate sign permit shall be obtained from the Planning Department for the installation of any new signs. This Ordinance shall be effective in accordance with Section 107(f) of the Zoning Ordinance. Adopted by the City Council of the City of Virginia Beach, Virginia, on the 18`x`day of June Two Thousand Nineteen. Voting: 10-0 Council Members Voting Aye: Jessica P. Abbott, Michael F. Berlucchi, Mayor Robert M. Dyer, Barbara M. Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K. Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 . Lail" .., .,, ..,, rL. U -71 11--- ' --V.:_'. e4A:.--`-; � __ r 7 ,.„ , ..., ,4 n -') :1I fdU 138 --t'-.." --'01)..),....: r lc.., -. 1 \\11611111k 116. :IS 1.1 ' ',...--m . -,40,,,,,,-NN4 , lir , 01.11 lkir' .,,,..miwinic A ,iiii.111\\\. :., ' . loomoN , . .:;,....,, , I slt 1 1 \c. \i"..\. ,. . , cz-1, .... s %lh, -1\ ri I I ,v4 \ •-, CI T" 'j ',a �� 4\ •••• .%- [- o z a� . ,L 1 , .,_ .., _ . a .4-° i , kb. 1:01.......\\killif.\\. %,. __ _. __,.. C� l gin O86 µ , ...„ .1 ...----' - - - 36 I",--------- r ti....:, r-=' -t f ' .--' $Vg� '1.. =raves Trail _ Eli:.{ Le..i } �- t - J L—_,—� v o a ,,e01 ., 1 ti I'll n • to - . , ���wwwvvv"' mu) ! .--C2 IT .. Nci.) ..0 023 c! ' --..--rt---;1 1:113 0 ---; . M, 80 ITEM—V-14 PLANNING ITEM#69382 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council,APPROVED,AS CONDITIONED, BY CONSENT, Application of AT ASSOCIATES, LLP for a Conditional Use Permit re car wash facility at 2677 Virginia Beach Boulevard DISTRICT 6—BEACH BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA AT ASSOCIATES,LLP for a Conditional Use Permit re car wash facility at 2677 Virginia Beach Boulevard (GPIN 1497552196) DISTRICT 6 — BEACH The following conditions shall be required: 1. The Conditional Use Permit for a Bulk Storage Yard, granted by City Council on April 19, 2017, is hereby voided with City Council's approval of this request. 2. When the site is developed, it shall be in substantial conformance with the site layout entitled "BEACH FORD CAR WASH, 2677 VIRGINIA BEACH BLVD, VIRGINIA BEACH, VA 23452", prepared by Clark Nexsen. 3. When the site is developed, the building shall have the architectural style, colors and materials with the rendering entitled "BEACH FORD CAR WASH, 2677 VIRGINIA BEACH BLVD, VIRGINIA BEACH, VA 23452",prepared by Clark Nexsen. 4. All signage on the site must be in accordance with sign regulations of the Zoning Ordinance. 5. Any freestanding sign on the site shall be monument style, no taller than eight feet and have a brick base. 6. No vehicles shall be parked within any portion of the public right-of-way. 7. No water produced by activities at the facility lot shall be permitted to fall upon or drain across the public streets or sidewalks or adjacent properties. 8. There shall be no signs that contain or consist of pennants, ribbons, streamers, spinners, strings of light bulbs, or other similar moving devices on the site. There shall be no signs that are pasted or attached to utility poles, trees, or fences, or in an unauthorized manner to walls or other signs. There shall be no portable or nonstructural signs, or electronic display signs on the site. 9. If at any time the existing landscaping on the site is removed or dies, the applicant shall replace it with plant material as recommended in the Virginia Beach Landscape Guide. June 18, 2019 81 ITEM—V-J.4 PLANNING ITEM#69382 (Continued) This Ordinance shall be effective in accordance with Section 1070 of the Zoning Ordinance. Adopted by the City Council of the City of Virginia Beach, Virginia, on the 18`"day of June Two Thousand Nineteen. Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott,Michael F. Berlucchi, Mayor Robert M Dyer,Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 4- Obi. / A. Q ,,------, . . y4 2/.--z, N / C, f � o I O -1 / 7.' ' A 11 Li j b y [ — V / N/ t M ft? CO tIS > CD r - \ 44 ,. /j 1 03 N J ' {1fr eV CO 1 a 03 ( ,-• , laMfr ts CD 4..oj i` ;. • I I �' m fI = t , C o r, e fid . / w_ 82 ITEM—V-J.5 PLANNING ITEM#69383 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council, DEFERRED TO AUGUST 6,2019,BY CONSENT,Application of JOSEPHINE P.PARKER fora Conditional Use Permit re automobile repair garage and a Modification of Conditions re bulk storage yard at 573 Central Drive DISTRICT 6—BEACH Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott,Michael F.Berlucchi,Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 83 ITEM—V-16 PLANNING ITEM#69384 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council, DEFERRED TO AUGUST 6, 2019, BY CONSENT, Application of MISHORIM GOLD VAB, LP for a Conditional Use Permit re indoor recreational facility at 2720 North Mall Drive, Suite 100 DISTRICT 3—ROSE HALL Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott,Michael F. Berlucchi, Mayor Robert M.Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R. Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 84 ITEM—V-17a PLANNING ITEM#69385 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council, ADOPTED, BY CONSENT, Ordinance to AMEND City Zoning Ordinance (CZO): a. Section 103 re notification to property owners Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott, Michael F.Berlucchi,Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K. Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO AMEND SECTION 103 2 OF THE CITY ZONING ORDINANCE 3 PERTAINING TO NOTIFICATION TO 4 PROPERTY OWNER 5 6 Section Amended: § 103 of the City Zoning 7 Ordinance 8 9 WHEREAS, the public necessity, convenience, general welfare and good zoning 10 practice so require; 11 12 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA 13 BEACH, VIRGINIA: 14 15 That Section 103 of the City Zoning Ordinance is hereby amended and 16 reordained to read as follows: 17 18 Sec. 103. —Administration. 19 20 . . . . 21 22 (I) The zoning administrator shall provide written notice to the owner of any real 23 property that is the subject of a request for a written order, requirement, decision, 24 or determination of the zoning administrator. Such notice shall be given by the 25 zoning administrator or by the applicant on forms provided by the zoning 26 administrator within ten (10) days of the date of the request. The appeal period for 27 such order, requirement, decision or determination shall not commence until the 28 notice is sent by registered or certified mail to, or posted at, the last known 29 address or usual place of abode of the property owner or its registered agent, if 30 any. There is a rebuttable presumption that the property owner's last known 31 address is that shown on the current real estate tax assessment records, or the 32 address of a registered agent that is shown in the records of the Clerk of the State 33 Corporation Commission. Adopted by the Council of the City of Virginia Beach, Virginia, on the 18th day of June , 2019. THIS ORDINANCE SHALL BE EFFECTIVE ON JULY 1, 2019. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: Planning Department City Attorney's Office CA14732//R-2/April 9, 2019 85 ITEM—V-17b PLANNING ITEM#69386 Upon motion by Vice Mayor Wood, seconded by Council Member Abbott, City Council, ADOPTED, BY CONSENT, Ordinance to AMEND City Zoning Ordinance (CZO): b. Section 107 re time limitations for City Council referral of Zoning Amendments to Planning Commission for action Voting: 10-0 Council Members Voting Aye: Jessica P.Abbott,Michael F. Berlucchi, Mayor Robert M Dyer, Barbara M Henley,Louis R.Jones,John D.Moss,Aaron R.Rouse, Guy K Tower, Vice Mayor James L. Wood and Sabrina D. Wooten Council Members Absent: Rosemary Wilson June 18, 2019 1 AN ORDINANCE TO AMEND SECTION 107 2 OF THE CITY ZONING ORDINANCE 3 PERTAINING TO CITY COUNCIL REFERRAL 4 OF AMENDMENT 5 6 Section Amended: § 107 of the City Zoning 7 Ordinance 8 9 WHEREAS, the public necessity, convenience, general welfare and good zoning 10 practice so require; 11 12 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA 13 BEACH, VIRGINIA: 14 15 That Section 107 of the City Zoning Ordinance is hereby amended and 16 reordained to read as follows: 17 18 Sec. 107. —Amendments. 19 20 (a) Initiation. Whenever the public necessity, convenience, general welfare, or good 21 zoning practice requires, the city council may by ordinance, amend, supplement, or 22 change the regulations, district boundaries, or zoning district classifications of 23 property. Any such action may be initiated by resolution of the city council, or by 24 motion of the planning commission, or, where a change of the zoning district 25 classification of property is sought, by petition of the owner, contract purchaser 26 with the owner's written consent, or the owner's duly authorized agent therefor, of 27 the property which is the subject of the proposed change of zoning district 28 classification, addressed to the city council. City Council may refer to Planning 29 Commission an amendment or reenactment of the Zoning Ordinance. Unless a 30 shorter time is prescribed in the referral resolution, Planning Commission must 31 report its recommendation within 100 days of its first meeting after the date of the 32 referred ordinance. City Council shall require a report in less than 100 days only 33 after a public hearing. Notice of such public hearing shall be published in a 34 newspaper having general circulation in the locality at least two weeks prior to the 35 public hearing and such notice shall also be published on the city website. In the 36 latter case, Any petition submitted by an owner, contract purchaser with the 37 owner's consent or the owner's duly authorized agent the petition shall be 38 addressed to city council but shall be filed with the director of planning. The 39 director shall cause the petition to be placed on the agenda of the planning 40 commission. For purposes of this section, a change of zoning district classification 41 shall be deemed to include modifications of the conditions of a conditional change 42 of zoning district classification pursuant to subdivision (h). 43 44 . . . . THIS ORDINANCE SHALL BE EFFECTIVE JULY 1, 2019. 1 Adopted by the Council of the City of Virginia Beach, Virginia, on the 18th day of June , 2019. APPROVED AS TO CONTENT: APPROVED AS TO LEGAL SUFFICIENCY: /I , Planning Depa ment City Attorney' . ice CA14733 R-3 May 7, 2019 2 86 ITEM V-K. APPOINTMENTS ITEM#69387 BY CONSENSUS, City Council RESCHEDULED the following APPOINTMENTS: ARTS AND HUMANITIES COMMISSION BAYFRONT ADVISORY BOARD BEACHES AND WATERWAYS ADVISORY COMMISSION BIKEWAYS AND TRAILS ADVISORY COMMITTEE BOARD OF BUILDING CODE APPEALS —ELECTRICAL DIVISION —NEW CONSTRUCTION DIVISION —PLUMBING AND MECHANICAL DIVISION CLEAN COMMUNITY COMMISSION COMMUNITY SERVICES BOARD EASTERN VIRGINIA MEDICAL SCHOOL HISTORIC PRESERVATION COMMISSION HOUSING ADVISORY BOARD INVESTIGATIVE REVIEW PANEL OLD BEACH DESIGN REVIEW COMMITTEE OPEN SPACE ADVISORY COMMITTEE PARKS AND RECREATION COMMISSION PUBLIC LIBRARY BOARD SOCIAL SERVICES BOARD VIRGINIA BEACH COMMUNITY DEVELOPMENT CORPORATION WETLANDS BOARD June 18, 2019 87 ADJOURNMENT ITEM#69388 Mayor Robert M Dyer DECLARED the City Council Meeting ADJOURNED at 8:55 P.M. erzz -. ie�ius Chief Deputy City Clerk / JJi ; /OA manda Barn if C Robert M Dyer City Clerk Mayor City of Virginia Beach Virginia June 18, 2019