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HomeMy WebLinkAboutJANUARY 14, 1992 MINUTES cit-@ @f NTit-g4ii-liEl "WORLD'S LARGEST RESORT CITY" CITY COUNCIL -IOR .@EM BE--RF@ " 1,@ ,,- .1y.@ @ FE'L@SS S-ER, j@,, I.. cl.URN, IIUL j @NTEI@IE, P.- --l' JR. -LIE L LLLI, 'i,, CITY COUNCIL AGENDA @17 11111 JANUARY 14, 1992 ITEM 1. CITY MANAGER'S BRIEFING - Council Chamber 11:30 AM A. MASTER WATER AND SANITARY SEWER REVENUE BOND RESOLUTIONS Chester Johnson, Financial Advisor, Government Finance Associates Mary Jo White, Bond Counsel, Hunton and Williams ITEM 11. INFORMAL SESSION Council Chamber 12:15 PM A. CALL TO ORDER - Mayor Meyera E. Oberndorf B. ROLL CALL OF CITY COUNCIL C. RECESS TO EXECUTIVE SESSION ITEM Ill. FORMAL SESSION Council Chamber 2:00 PM A. CALL TO ORDER - Mayor Meyera E. Oberndorf B. INVOCATION: Reverend Richard J. Keever Bayside Presbyterian Church C. PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA D. ELECTRONIC ROLL CALL OF CITY COUNCIL E. CERTIFICATION OF EXECUTIVE SESSION F. MINUTES 1. INFORMAL & FORMAL SESSION - January 7, 1992 G. PUBLIC HEARING 1. ESTABLISH ELECTION DISTRICTS AND VOTING PLACES WITHIN THE CITY H. ORDINANCES 1. Ordinance to AMEND and REORDAIN Chapter 10, Sections 10.1 and 10.2 ot the Code of the City of Virginia Beach, Virginia, establishing an election district and voting place at ocean Lakes Elementary School within the City. 2. Ordinance to TRANSFER $400,000 from the Economic Development Investment Program Account to the Virginia Beach Development Authority re on-site and off-site Intrastructure Improvements to CIGNA's Direct Marketing Division's Customer Service Center. 1. RESOLUTIONS 1. Resolution authorizing dlstribution of Preliminary Official Statement re sale of Water and Sewer System Revenue Bonds, Series of 1992, of the City of Virginia Beach, Virginia, in the approximate amount of $19,975,000. 2. Resolution authorizing distribution of Preliminary Official Statement re sale of General Obligation Refunding Bonds, Series of 1992, of the City of Virginia Beach, Virginia, in the approximate amount of $38,250,000. 3. Resolution appointing Management Underwriters re issuance of REFUNDING BONDS: a. Craigie, Inc. b. Paine Webber, Inc. c. Lehman Brothers d. Scott and Stringfellow Investment Corporation e. Wheat, First Securities, Inc. 4. Resolution requesting the General Assembly adopt legislation in the 1992 Sesslon granting power of condemnation to the Virginia Beach Development Authority. (Sponsored by Vice Mayor Robert E. Fentress and Councllman Louis R. Jones) J. PUBLIC HEARING 1. PLANNING a. Petition of STAR OF THE SEA CATHOLIC CHURCH for the discontinuance, closure and abandonment of a portion of Lakeside Drive beginning at the boutmern boundary of 15th Street and running In a Southerly direction to the Northern boundary of Arctic Crescent, containing 10,229 square teet (VIRGINIA BEACH BOROUGH). Recommendation: APPROVAL b . Application of ALLEN J. GETTEL for a Chanqe of Zoninq District Classification from n t to R Res I en 1 a I u I sTr I ct On the North s i de ot Far i i ament Dr I ve, 350 feet more or less East of Princess Anne Road (5620 Parliament Drive), containing 2.237 acres (KEMPSVILLE BOROUGH). Recommendation: APPROVAL c. Application ot CAPITAL ONE, INC. for a Conditional Use Permit for an autornotive redair establishment at the Southwest corner ot vir North Lynnhaven Road (2901 Virginia Beach Boulevard), containing 33,364 square feet (LYNNHAVEN BOROUGH). Recommendation: APPROVAL d. Ordinance to AMEND and REORDAIN Sections 234 and 501 of the City Zonlng Ordinance re signs for home occupations and accessory activities. Recommendation: APPROVAL e. Ordinance to AMEND the Master Street and Highway Plan of the City of Virginia Beach addlng, relocating and deleting certain roads (Map/plans on file in the Planning Department): 1/5. Holland Road (change) 2. Elbow Road (change) 3. Courthouse Loop Extended (change) 4. Southeastern Expressway (change) 6. Princess Anne Road (change) 7. Residential Collector (delete) 8. Indian River Road (change) 9. Rosemont Road (delete) 10. Oceana Boulevard (define) 11. Dam Neck Road (change) 12. Grayson Road (designate) Recommendation: APPROVAL K. CONSENT AGENDA All matters listed under the Consent Agenda are considered in the ordinary course of business by City Council and will be enacted by one motion In the form listed. If an item is removed from the Consent Agenda, It will be discussed and voted upon separately. 1. Resolution increasing the number of members on the Parks and Recreation Commission. (Sponsored by Vice Mayor Robert E. Fentress) 2. Resolution to establish an additional Deferred Compensation Plan and appoint the ICMA Retirement Corporation to serve as Administrator. 3. Ordinance authorizing City Attorney to convey and record deeds dated June 20, 1989, executed by Virginis Beach Erosion Council. 4. Ordinance authorizing acqulsltion of property in fee simple for right-of-way for Atlantic Park Drainage (CIP 2-020) with temporary and permanent easements of right-of-way, either by agreement or condemnation. 5 . Ordinance authorizing a temporary encroachment into a portion of the Canal No. 2 drainage easement to Hermes Abraslves to install parking lot fencing (LYNNHAVEN BOROUGH). 6. LOW BID: DJW CONSTRUCTION Beach Restoration $461,145.00 COMPANY, INC. Spring 1992 L. UNFINISHED BUSINESS M. NEW BUSINESS 1. CANCEL/RESCHEDULE CITY COUNCIL SESSIONS a. Tuesday, March 10, 1992 Natlonal League of Cities, Washington, D.C. b. Tuesday, May 5, 1992 Counclimanlc Election N. ADJOURNMENT 1/9/92 cmd M I N U T E S VIRGINIA BEACH CITY COUNCIL Virginia Beach, Vlrginia January 14, 1992 Mayor Meyera E. Oberndorf called to order the VIRGINIA BEACH CITY COUNCIL for the CITY MANAGER'S BRIEFING in the Council Chamber, City Hall Building, on January 14, 1992, at 11:30 A.M. Council Members Present: James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Absent: John A. Baum (ENTERED: 11:45 A.M.) - 2 - C I T Y M A N A G E R ' S B R I E F I N G MASTER WATER AND SANITARY SEWER REVENUE BOND RESOLUTIONS 11:30 A.M. ITEM # 35223 Cl aren ce War nstaf f, Director of Pub I ic Uti I it!es, adv!sed a pr esentation wl II be made by Chester Johnson, Financial Advisor, Government Finance Associates and Mary Jo White, Bond Counsel, Hunton and Williams, concerning MASTER WATER AND SANITARY SEWER REVENUE BOND RESOLUTIONS. Mr. Warnstaff referenced the Resolution authorizing distribution of Preliminary Official Statement re sale of Water and Sewer System Revenue Bonds, Series ot 1992, of the City of Virginia Beach, Virginia, in the amount of $19,975,000 (See Item 111-1.3 under RESOLUTIONS). In order for the process to begin to market the bonds, it would be necessary for City Council to adopt this Resolution. Approval of the Resolution is recommended. The sale of the bonds is scheduled for February 11, 1992. On February 11, 1992, Paine Webber will present their pricing proposal and a Master Bond Resolution for Water and Sanitary Sewer Revenue Bonds for City Council's approval. Approximately $12.2- MILLION of this sale is for improvements to the sanitary sewer system. The remaining $7.7-MILLION is for improvements to the water system. Included in the $19.9-MILLION, there are approximately 62 projects to be funded: 28 sanitary sewer projects and 34 water projects. Each project to receive funding from this proposed sale has been authorized by the City Council in prior Capital Improvement Programs. Some of these projects have been completed, some are under design and some under construction. A list of those projects was torwarded to City Council on January 2, 1992. To-date the City Council has authorized the issuance of approximately $75-MILLION Revenue Bonds. The amount issued to date is approximately $27-MILLION. The issue before the Council now is approximately $20-MILLION, which leaves a balance of $28-MILLION in Revenue Bonds to be issued (subject to City Council approval). Over the years, there have been a number of double-barrel bond Issues. These are General Obligation Bonds where the revenue from the water and sewer system is pledged to retire the debt. In 1977 and again in 1982, double-barrel bonds were authorized in the amount of approximately $86-MILLION. The most recent use of these double- barrel bonds was in 1988 to fund the construction of the Lake Gaston project. The City has an established history ot utilizing both double-barrel bonds and revenue bonds to fund the City's water and sanitary sewer system. This resolution to authorize the Preliminary Official Statement and the subsequent sale on February Eleventh represents the tirst time the City will go into the "open market" to issue those revenue bonds. Chester Johnson, Financial Advisor, Government Finance Associates, distributed a copy of his letter of January Ninth. The use of revenue bonds for Water and Sewer capital purposes first appeared in the City's Capital Improvement Program as early as 1986. The City authorized the issuance $13-MILLION Revenue Bonds for water and sewer purposes through the Virginia Resources Authority in 1989; the use of the VRA tor this purpose was accomplished, in large part because the City had not, at that time, developed its own complete financing program to sell water and sewer revenue debt on its own, notwithstanding the fact that the city's commitments to VRA are substantially the same as exist in the proposed water and sewer revenue bond program. The rating agencies and the financial community have anticipated the issuance of water and sewer revenue debt by Virginia Beach for a number of years, based upon the contents of the City's capital improvements program and the communications between the rating agencies/financing community, City officials and representatives. This program is modest in its size and supplements the capital construction requirements for Lake Gaston, which will be funded by double-barrel, general obligation debt authorized by the citizens of Virginia Beach. - 3 - C IT Y MANA GE R ' S B R I E F IN G MASTER WATER AND SANITARY SEWER REVENUE BOND RESOLUTIONS ITEM # 35223 (Continued) The justification for the use of water and sewer revenue debt has relied substantially on the following reasons: Expansion and Diversity of Debt Management Instruments Extension of the Enterprise Fund Arrangement Preservation of General Obligation Debt Capacity Preservation of Charter Bonds for Non-Self-Supporting Debt Alternate Investor Pool Growth in Revenue Debt Broad Use of Water and Sewer Revenue Bonds by Major American Cities Efficiency and Ease of Issuance of Water and Sewer Revenue Bonds. Mr. Johnson advised over the last three weeks, the City program received investment grade ratings one notch below the City itself for this revenue bond program. Mr. Johnson advised the water and sewer revenue bonds would be rated A-1 by Moody's and A+ by Standard and Poor's. Virginia Beach is a likely candidate to receive a double-A rating for its water and sewer debt once the Lake Gaston litigation is resolved and water supply itself ceases to be an overwhelming local issue. A greater diversity of debt products sold by the City can increase the market acceptance for each type of security that the City uses for funding its Capital Improvement Program, as long as it is clearly understood that the City controls each of the types of debt obligations. This statement would not be made, if someone else was going to be issuing debt for the City of Virginia Beach. A large number of investors prefer purchasing revenue bonds over general obligation debt. At present, the City does not access this part of the market. The water and sewer revenue bond program will allow the City to do so. Since the City has normally sold only general obligation debt for capital construction purposes, a significant segment of the tax-exempt investor market is not tapped by the City. By accessing this part of the market and by reducing the amount of general obligation debt that would otherwise have to be sold, demand for the City's general obligation debt could actually be improved; otherwise, over time, investors would have a proportionately higher level of general obligation debt of the City, thus reducing the demand for such securities in future debt issues. During the 1970's and early 1980's, a larger amount of revenue bonds was sold. This substantial, incremental increase of revenue debt was one of the more dramatic adjustments that the market experienced during this period. The City's existing and proposed water and sewer revenue program is a reflection of this significant growth, beginning in the 1970's, of revenue debt representing a growing proportion of the market's tax-exempt volume. Revenue bonds do not have many of the restrictions that are applicable to general obligation debt. Under the proposed structure, the City Council can decide to fund various projects and imediately issue debt to provide the monies for construction, as long as the various tests are met in the resolution, without other significant authorizing actions being taken. Mary Jo White, Bond Counsel for Hunton and Williams, advised the focus of the Master Bond Resolution was flexibility. The Master Resolution provides various requirements for the issuance of additional bonds. Among those is the revenue test. The test requires that for the last 24 months, the City must meet two independent requirements for a consecutive 12-month period. These two requirements are as follows: - 4 - C IT Y MANA GE R ' S B R I E F IN G MASTER WATER AND SANITARY SEWER REVENUE BOND RESOLUTIONS ITEM # 35223 (Continued) During the 12-month period, Revenues were sufficient to equal (a) Operating expenses for the period, (b) 115% of maximum annual debt service in the current or any future fiscal year on outstanding prior revenue bonds and all Bonds (issued under the Master Resolution), and (c) 100% of the maximum annual debt service in the current or any future fiscal year on all pariety double-barrel bonds and pariety debt service components, after taking the following into account: (i) If the City had increased its rates, and such rates were in effect after the beginning of the 24-month period or scheduled to go into effect within two years after the issuance of the Bonds, it may be assumed that the rates were in effect during the 24-month period. (ii) The customer base at the end of the period may be assumed to be the customer for the entire period. (iii) Operating expenses resulting from and revenues being collected from any acquisition of facilities that have become or will become a part of the System must be taken into account. Revenues during the 12-month period at least equaled the second revenue covenant requirement which requires that there be sufficient Revenues to pay operating expenses and to make the required deposits into every fund and account under the Master Resolution. The ability to transfer up to 2% of the excess of retained earnings from the immediate fiscal year over the prior fiscal year to the general fund was added to the DRAFR Master Bond Resolution. This ability does not have to be employed and would require City Council action to utilize same. Mr. Johnson advised as the water and sewer revenue bonds will receive investment grade ratings one notch below the City itself, these bonds will be more expensive than a double A rating. Nevertheless, examining the reduced volume of debt issued for water and sewer purposes, the City is going to pick UP greater demand for the general obligation debt and this should reduce the overall cost. The Master Bond Resolution does prohibit giving away free water service or free sanitary sewer service. However, in the past there have been certain cases where the General Fund has stepped in on behalf of someone and paid those fees to the utility fund. This may continue. The use of Revenue Bonds provides the City Council increased flexibility in funding of necessary required projects. Mr. Warnstaff advised utilizing the 20 basis points, the cost on an annual basis would be approximately $30,000, which equates to approximately one-third of one cent per 1,000 gallons on the water rate. The City's Annual Budget for utilities is over $50-MILLION. When revenue and double-barrel bonds were issued in the past, it has been the City's policy to establish the water and sewer rates at a sufficient level to cover its costs. The program to issue water and sewer revenue bonds will not effect the characteristic of the system. Water rates and sewer rates will still have to be established in future years. The City Manager advised Paine Webber will present their pricing proposal and a Master Bond Resolution for Water and Sanitary Sewer Revenue Bonds at the City Council Session of February 11, 1992. - 5 - C ON C E R N S OF T HE MAYOR ITEM # 35224 Mayor Oberndorf advised the Chairman of the Planning Commission, has extended an invitation, on behalf of HAMPTON UNIVERSITY, to Members of the City Council, Planning Commission, Development Authority, Resort Area Advisory Commission, Economic Development Department, Department of Tourism and the public relative: Presentation by HAMPTON UNIVERSITY 1117th STREET VISION" January 30, 1992 7:00 P.M. City Council Chamber ITEM # 35225 Robert Matthias, Intergovernmental Relations Director, advised Thursday, February 13, 1992, is LEGISLATIVE DAY for the General Assembly in Richmond. Mayor Oberndorf referenced the Memorandum being circulated concerning City Council's preference as to having dinner with the Legislators on February 13, 1992. - 6 - ITEM # 35226 The INFORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL was called to order by Mayor Meyera E. Obern dor t in the Counci I Chambers, City HAII Bui I d i ng, on Tuesday, January 14, 1992, at 12:48 P.M- Council Members Present: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McCianan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Absent: None - 7 - ITEM # 35227 Mayor Meyera E. Oberndorf entertained a motion to permit City Counci I to conduct its EXECUTIVE SESSION, pursuant to Section 2.1 -344, Code of Virginia, as amended, for the tollowing Purposes: 1. PU LICLY-HELD PROPERTY: Discussion or consideration of the condition, a t real property for public purpose, or of the d ublicly-held property, or of plans for the future of an institution wh c could affect the value of property owned or desirable for ownership by such institution pursuant to Section 2.1-344(A) (3). To-Wit: Advance Acquisition - Right-of-Way - Princess Anne Road Near Buzzard's Neck Road Acquisition of Real Property - Princess Anne Borough/Municipal Complex 3. LEGAL MATTERS: Consultation with legal counsel or briefings by staff members, consultants, or attorneys pertaining to actual or probable litigation, or other specific legal matters requesting the provision of legal advice by counsel pursuant to Section 2.1-344 (A) (7). To-Wit: t of V',r ',n',a Be.,-h ,. ESG Enter r,ses, Inc. Upon motion by Vice Mayor Fentress, seconded by Councilman Clyburn, City Council voted to proceed into EXECUTIVE SESSION. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McCianan, Nancy K. Parker, Mayor Meyera E. Oberndorf and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent None - 8 - F 0 R M A L S E S S I 0 N VIRGINIA BEACH CITY COUNCIL January 14, 1992 2:00 P.M. Mayor Meyera E. Oberndorf cal led to order the FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL in the Counci I Chambers, City Hal I Bul lding, on Tuesday, January 14, 1992, at 2:00 P.M. Council Members Present: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McCianan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Absent: None INVOCATION: Reverend Richard J. Keever Bayside Presbyterian Church PLEDGE OF ALLEGIANr'g: TO T14F F]Ar 0 ATES OF AMERICA 9 item III-E.I- CERTIFICATION OF EXECUTIVE SESSION ITEM 35228 Upon motion by Counci iman Heischober, seconded bv Counci lman Sessoms, City Council CERTIFIED THE EXECUTIVE SESSION TO BE IN XCCORDANCE WITH THE MOTION TO RECESS. Only public business matters lawfully exempted from Open Meeting requirements by Virginia law were discussed in Executive Session to which this certification resolution applies; AND, Only such public business matters as were ldentif ied in the motion convening the Executive Session were heard, discussed or considered by Virginia Beach City Council. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None 4b, ar,ooluttilit - CERTIFICATION OF EXECTJTIVE SESSION VIRGINIA BEACH CITY COUNCIL WHEREAS: The Virginia Beach City Council convened into EXECUTIVE SESSION, pursuant to the affirmative vote recorded in ITEM # 35227, Page No. 7 and in accordance with the provisions of The Virginia Freedom of Information Act; and, WHEREAS: Section 2.1-344.1 of the Code of Virginia requires a certification by the governing body that such Executive 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 Executive Session to which this certification resolution applies; and, (b) only such public business matters as were identified in the motion convening this Executive Session were heard, discussed or considered by Virginia Beach City Council. @th Hodg E City Clerk January 14, 1992 - 10 - Item 111-F-1. MINUTES ITEM # 35229 Upon motion by Vice Mayor Fentress, seconded by Councilman Jones, City Council APPROVED the Minutes oi the INFORMAL & FORMAL SESSIONS ot January 7, 1992. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndort, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None item 111-G-1. PUBLIC HEARING ITEM 35230 Mayor Oberndorf DECLARED a PUBLIC HEARING: ESTABLISH ELECTION DISTRICTS AND VOTING PLACES WITHIN THE CITY The tol lowing registered to speak but spoke relative REAPPORTIONMENT rather than the addition of election districts and voting places in the City (Ocean Lakes, Ocean Lakes Elementary School): Lou Pace, 1908 Hunts Neck Court, Phone: 468-0925 Bob Engesser, 5290 Vestry Drive, Phone: 499-3157 There being no further speakers, Mayor Oberndorf CLOSED the PUBLIC HEARING. - 12 - Item 111-H-1. ORDINANCES ITEM # 35231 Upon motion by Vice Mayor Fentress, seconded by Councilman Baum, City Council ADOPTED: Ordinance to AMEND and REORDAIN Chapter 10, Sections 10.1 and 10.2 of the Code of the City ot Virginia Beach, Virginia, establishing an election district and voting place at ocean Lakes Elementary School within the City. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McCianan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None 1 AN ORDINANCE TO AMEND AND 2 REORDAIN SECTION 10-1 OF THE 3 CODE OF THE CITY OF VIRGINIA 4 BEACH, VIRGINIA, PERTAINING TO 5 ELECTION DISTRICTS AND VOTING 6 PLACES WITHIN THE CITY OF 7 VIRGINIA BEACH. 8 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA 9 BEACH, VIRGINIA: 10 That Section 10-1 of the Code of the City of Virginia Beach, 11 Virginia, is hereby amended and reordained to read as follows: 12 Section 10-1. Establishment of election districts and voting 13 places. 14 There are hereby established in the City of Virginia Beach the 15 following election districts and their respective voting places, as 16 set forth below: 17 is ELECTION DISTRICT VOTING PLACES 19 20 Alanton Alanton Elementary School 21 Aragona Adult Learning Center 22 Arrowhead Arrowhead Elementary School 23 Bayside Bayside Elementary School 24 Bellamy Indian Lakes Elementary School 25 Blackwater Blackwater Fire Station 26 Bonney Center for Effective Learning 27 Brandon Brandon Junior High School 28 Cape Henry Research and Enlightenment 29 Building (Edgar Cayce Library) 30 Capps Shop P. A. Mosquito Control Building 31 Centerville Centerville Elementary School 32 Chesapeake Beach Bayside Baptist Church 33 College Park College Park Elementary School 34 Courthouse Courthouse Fire Station 35 Creeds Creeds Fire Station 36 Davis Corner Bettie F. Williams Elementary 37 School 38 Fairfield Fairfield Elementary School 39 Forest St. Nicholas Catholic Church 40 Glenwood Glenwood Elementary School 41 Great Neck Francis Asbury United Methodist 42 Church 43 Green Run Green Run Elementary School 44 Holland Holland Elementary School 45 Homestead Providence Presbyterian Church 46 Kempsville Point of View Elementary School 47 Kings Grant Kings Grant Elementary School 48 Kingston Kingston Elementary School 49 Lake smith Shelton Park Elementary School 50 Larkspur St. Andrews United Methodist 51 Church 52 Linkhorn The Evangelical Lutheran church 53 of the Good Shepherd 54 Little Neck St. Aidan's Episcopal church 55 London Bridge London Bridge Baptist Church 56 Lynnhaven Lynnhaven colony United Church of 57 Christ 58 Magic Holland Roma Lodge No. 254 59 Malibu Malibu Elementary School 60 Meadows Pembroke Meadows Elementary School 61 Mt. Trashmore Windsor Woods Elementary School 62 Oceana scott memorial United Methodist 63 Church 64 ocean Lakes 001 65 Ocean Park Bayside Christian Church 66 Old Donation old Donation center for Gifted 67 Pembroke Pembroke Elementary School 68 Plaza Lynnhaven Elementary School 69 Providence Kempsville Recreation Center 70 Red Wing Fire Training center 71 Salem Salem Baptist church 72 Seatack Seatack Elementary School 73 Shannon Church of the Ascension 74 Sherry Park st. Matthews Catholic Church 75 Sigma Sandbridge Fire Station 76 Stratford Chase Providence Elementary School 2 77 Thalia Thalia Elementary school 78 Thoroughgood Independence Junior High school 79 Timberlake White oaks Elementary School so Trantwood Virginia Beach Christian Church 81 Virginia Beach - A Galilee Episcopal Church 82 Virginia Beach - B Virginia Beach Junior High School 83 virginia Beach - C Cooke Elementary School 84 Windsor oaks Windsor oaks Elementary School 85 Witchduck Bayside Presbyterian Church 86 Wolfsnare Eastern Shore Chapel 87 Woodstock Avalon Church of Christ 88 Central Absentee Voter Agriculture/Voter Registrar 89 Election District Building 90 Adopted by the Council of the City of virginia Beach, virginia 91 on the 14 dav of Janua 1992. 92 CA-4532 93 \ordin\proposed\lo-ool.pro 94 R-2 APPPO@fF:r) LL--C,'sALCU :,Y 3 1 3 Item 111-H.2. ORDINANCES ITEM # 35232 The tollowing registered in OPPOSITION to the Ordinance: Lou Pace, 1908 Hunts Neck Court, Phone: 468-0925 Reverend Jerome C. Ross, 310 North Birdneck Road, Phone: 422-5048, Mount Olive Baptist Church Upon mot 1 on by Counc i I man He i schober, seconded by V i ce Mayor Fentress, City Council ADOPTED: ordinance to TRANSFER $400,000 from the Economic Development Investment Program Account to the Virginia Beach Development Authority re on-site and off-site Infrastructure improvements to CIGNA's Direct Marketing Division's Customer Service Center. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McCianan, Mayor Meyera E. Oberndort, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None 1 AN ORDINANCE AUTHORIZING THE CITY MANAGER TO 2 TRANSFER FUNDS FROM THE ECONOMIC DEVELOPMENT 3 INVESTMENT PROGRAM ACCOUNT TO THE CITY OF 4 VIRGINIA BEACH DEVELOPMENT AUTHORITY 5 6 7 WHEREAS, the City of Virginia Beach Development Authority 8 (the "Authority") was created pursuant to Chapter 643 of the Acts 9 of Assembly of 1964 (as amended) (the "Acts"); 10 WHEREAS, one of the primary purposes of the Authority as 11 set forth in the Acts is to "promote industry and develop trade by 12 inducing manufacturing, industrial, governmental and commercial 13 enterprises to locate in or remain in the [city] .... "; 14 WHEREAS, the Authority has induced CIGNA Corporation to 15 locate its Direct Marketing Division's Customer Service Center in 16 the City of Virginia Beach; 17 WHEREAS, the inducement included an agreement to provide 18 CIGNA Corporation certain incentives which include assisting CIGNA 19 with the costs of certain on-site and off-site infrastructure 20 improvements to CIGNA's temporary and permanent facilities, and 21 providing traffic improvements to two intersections along Lynnhaven 22 Parkway that will provide improved access to CIGNA's permanent 23 facility. 24 WHEREAS, funds are available in the Economic Development 25 Investment Program Account (Project 2-141), which was approved in 26 the FY 1990-91/1994-95 Capital Improvement Program, to provide 27 infrastructure improvements on sites and along roadways to enhance 28 the economic viability of property; 29 WHEREAS, at its regularly-scheduled meeting on November 30 19, 1991, the Authority, by a vote of 6-0 (with one member absent) , 31 determined that the provision of the aforementioned incentives to 32 CIGNA Corporation would serve a valid public purpose and would be 33 in furtherance of the purposes for which the Authority was created; 34 and 35 WHEREAS, the total cost of these incentives, to be 36 provided over a period of several years, will not exceed $400,000. 3 7 NOW, THEREFORE, BE IT ORDAINED BY THE COUMCIL OF THE CITY 38 OF VIRGINIA BEACH: 39 That the City Manager is hereby authorized to transfer 40 funds from the Economic Development Investment Program Account to 41 the City of virginia Beach Development Authority in an amount not 42 to exceed $400,000 to enable the Authority to provide incentives to 43 CIGNA corporation as an inducement for CIGNA Corporation's location 44 of its Direct Marketing Division's Custoiner Service Center in the 45 city of virginia Beach. 46 Adopted by the Council of the City of Virginia Beach this 47 14 day of January 1992. 48 49 50 51 CA-4515 52 Noncode\CIGNA.ORD 53 R-2 APPROVED AS TO CONTE@,lf'@ SIGNATUIE DEPARTM-NI AP,?ROVED.A6 TO i.,GAi SUF CITY ATTORNEY 2 ESTIMATED ANNUAL MUNICIPAL TAX REVENUES CIGNA DIRECT 14ARKETING CUSTOMER CENTER PROJECT CITY OF VIRGINIA BEACH OCEANA WEST CORPORATE PARK Real Estate* $12,000,000 $1.09 per $100 $130,800 Personal Property $ 8,000,000 $3.80 per $100 $304,000 Electricity, Gas $ N/A 15% first $500 $ 6,240 and Water 5% next $1,100 Telephone $ N/A 20% first $400 $ 60 TOTAL $442,000 f it-. Phase I - 65,000 sq. ft. Class A Office and Phase II - 65,000 sq. ft. Class A Office @ $80 per sq. ft. and 8.0 acres of land @ $200,000 per acre. Term of the CIGNA leases to be a minimum of ten (10) years with additional lease options. Over 10 years CIGNA estimates that the Project will generate a minimum of $300,000,000 in labor revenues for the local economy. The CIGNA Companies have assets of more than $60 billion. CIGNA is a leading provider of insurance, health care, employee benefits, pension and investment management and related financial services to business and individuals worldwide. 14 - item RESOLUTIONS ITEM # 35233 Upon motion by Vice Mayor Fentress, seconded by Councilman Jones, city Council ADOPTED: Resolution appointing Management Underwriters re issuance of REFUNDING BONDS: a. Craigle, Inc. b. Paine Webber, Inc. c. Lehman Brothers d. Scott and Stringfellow investment corporation e. Wheat, First Securities, Inc. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None 1 RESOLUTION FOR APPROVAL OF 2 UNDERWRITERS FOR REFUNDING BONDS 3 WHEREAS, the city of Virginia Beach, Virginia (the 4 licityl-), has debt outstanding; 5 WHEREAS, the City, in conjunction with its financial 6 advisors, has deternined that it is in the best interest of the 7 city to refund certain portions of outstanding debt: its 1982 8 General Obligation Road Bonds (Series of 1982); its 1982 Public 9 improvement Bonds (Series of 1982) ; its 1982 Water and Sewer Bonds 10 (Series of 1982) ; its 1984 Public Improvement Bonds (series of 11 1984); its 1984 Water and Sewer Bonds (Series of 1984); its 1985 12 Public Improvenent Bonds (Series of 1985) ; its 1985 Water and Sewer 13 Bonds (Series of 1985); its 1987 Public Inprovenent Bonds (Series 14 of 1987); and 15 WHEREAS, after soliciting and reviewing applications of 16 investment banking firms and interviewing certain firms, the city 17 staff, upon consultation with representatives of Government Finance is Associates, Inc. and Government Finance Research Center, the 19 "Financial Advisors" of the City, have recommended a managing 20 underwriting team for such issuance of refunding bonds. 21 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY 22 OF VIRGINIA BEACH, VIRGINIA: 23 1. Craigie, Incorporated and Paine Webber, Inc. , are 24 hereby appointed as the Underwriters for the planned issuance of 25 Refunding Bonds in the approximate amount of $38,250,000.00. 26 craigie Incorporated is appointed the book-running senior manager 27 and Paine Webber, Inc., is appointed as co-senior manager. 28 2. The City Manager and staff of the Department of 29 Finance are hereby authorized to appoint, as co-managers or as a 30 selling qroup, additional underwriters, including, but not limited 3 1 to Lehman Brothers, Scott and Stringfellow Investment Corp. and 32 Wheat, First Securities, Inc. 33 3. This resolution shall take effect itnmediately. 34 Adopted by the Council of the city of Virginia Beach, 35 Virginia, on the 14 day of January 1992. AP@i!OVED AS TO CONTEN-1.@@ 36 CA-92-4536 37 NONCODE\CA-4536.res SIGNATUP,E 38 R3 A7, T@ L[-I-IAL Ai :D FOIM Y T7 T@RNEY 2 Government Finance Associates, Inc. Suite 1301 71 Broadway New York, New York iOOO6 (212) 809-5700 TO: jAmEs iL SPORE ciTy MANAGER FROM: GOVFRNMENT FINANCE ASSOCIATES, INC. SUBJECT: SELECTION OF UNDERWRITERS FOR poTENTIAL REFUNDING OF GENFRAL OBLIGATION DEBT DATE: JANUARY 6,1992 Over the past several months, the City of Virginia Beach Finance Department, in coniunction with tbe City's financial advisors, Government Finance Assoelates, Inc., and (;overnment Finance Research Center, has been closely monitoring the municipal bond market for an opportunity for,t@le City to take advantige of low interest rates to refund existing high coupon general ooligaiion debt. intere@t rates in the tax-exempt market are at extremelv attractive levels-at this time, on an historically comparative basis, having declined a-imost without interruption since June of this year. ]3y reolaciniz existing high interest rate debt with new bonds at lower rates, the City can signiticantly- reduce-the debt service burden on the its annual operating budget. The City and its financial advisors conducted preliminary analysis in early December which confirmed that significant savings were available in the current market. In order to conduct a refinancing, it is necessary, under almost all circumstances, to conduct the sale on a n&gotiated, rather than on a competitive basis. A negotiated transaction allows an issuer to time its entry into the market to achieve maximum savings and to perform the complex financial calculations related to the establishment of an escrow fund necessary at the time that refunding bonds are sold. 'ne City developed and distributed a request for proposal (RFP) for senior managing underwriter for advance refunding bonds. -B6 RFP requested pertinent information as to each of the following firm@s capability to satisfy the City's requirements as an underwriter/manager of thistt) e of City indebtedness. @e request for proposal was issued by the City's Departmen OTPurchasing to the following eight firms on December 13, lq9l. Craigie Incorporated Goldman, Sachs & Co. Leizjz Mason Wood Walker, Inc. Le@man Brothers Merrill Lynch & Co. PaineWebber, Incorporated Scott & Strinpfellow-Investment Corporation Wheat, First @ecurities, Inc. Princeton New York San Francisco New Jersey New York California C,overnment Finance Associates, Inc. 'ne following firms responded to the RFP: Craigie Incorporated Lehman Brothers PaineWebber, Incorporated scott & Strinafellow Investment Corporation Wheat, First @ecurities, Inc. Tbe City and its financial advisors reviewed the proposals accordiniz to a predetermined set of criteria which consisted of the following categOTies, @ach of which was assigned a relative weight. oi,d A funding Issue. OP i 1. pr n 2. Mark 3. Pricin 0 S 4. Firm xp ing Issues. Ba,,ed upon review of the prol)osals by the Finance Department and the City's financial adviSOTs, according to the c@ teria above, the City coficluded that the firm of ri ed was best qualified to manage the bond issue and therefore ning co-senior manager. The Finance Department, in na@cial advisors, det-ermined that in order to conduct a achieve tbe maximum possible savings, several additional the distribution of the bonds. In order to construct the cing team, it was necessary to establish a balance between firms with their princip investment banking.activiiies centered in Virginia and those with n ginia, but also a national focus. An excellent p ainewebber Incorporated. The City d r as co-senior manag-er and the other firms listed b better bond distribution and consequently lower cost. Co-managers: Lehman Brothers Scott & Stringfellow Investment Corporation Wheat, First @ecurities, Inc. This team of managers, as a result of its combination of extensive local retail brokerage networks and national experience, should be able to achieve a high level of savings for the City. The City has set out as an objective in this financing, in order to obtai-n the highest level of savings available, that the management team focus the sale of the bonds on retail investors in the Commonwealth. Extremely strong demand for municipal obligations among this type of investor should assure the best reception for the City's bonds. In accordance with the above discussion, we now expect to assii,zn the followinp, amounts, as targeted levels, to each category of underwriting participation in the transaction. If any of the firms do not p@rform well with respect to the participations assigned to them, then a readjustment of the available bonds will have to occur. Book-running co-senior manager 40-45% Co-senior manager 15-20% Co-managers 10-15% Page 2 FOPM NO. P.A 12 REC)UEST FOR PROPOSAL ptrp mim 12/13/91 MO- #1215 City of Virgiiiia ]3each DATE ---- CLOSM DATE @NG ADENT 1 2/31 /91 @ 321 C" @ MLOINO TWE WWPNIA Von*-A 3100 P.M. NAME REPEREME R. BERRY/Jmw ATTENTION OF O"EFKOAS IS l@D To BECT. 15. 1-73 CODE OF VIR(M NiA [CONFUCT OF Pff PAI!$TL DESCRIPTION OF REOUEST FOR PROPOSAL SENIOR MANAGING UNDERWRITER FOR ADVANCE REFUNDING BONDS ENCLOSURE THE FOLLOWING SECTION MUST 13E EXECUTED AND SIGNED BY AN AUTHORIZED REPRESENTATIVE OF YOUR COMPANY. PERSON OUOTINO: DATE; TITLE: Enclosures CITY OF VIRGINIA BEACH, VIRGINIA DEPARTMENT OF FINANCE REQUEST FOR PROPOSALS to serve as SENIOR MANAGING UNDERWRITER for ADVANCE REFUNDING BONDS RFP Issue Date: December 13,1991 RFP Item 41215 Proposals Due: December 31, 1991 SECTION I INTRODUCTION The purpose of this Request for Proposals ("RFP") is to select a Senior Managing Underwriter for the City of Virginia Beach's planned issuance of tax-exempt bonds to obtain annual debt service savings by defeasing outsLanding debt through an advance refunding. A complete list of the City's outstanding bonds by maturity and coupon rate is included in the City's Annual Long Term Debt Rcport. The Firin(s) selected must have demonstrable experience in the structuring and sale of general obligation refunding bonds. T'he selected firm(s) will work with representativcs of the City, iLs rinancial advisors (Govemment Finance Associates, Inc. and Govemment Finance Research Center) and bond counsel (Hunton and Williams) to ensure that the rinancing is completed in a fimely manner and that the securities are well received by the market. A selection committee consisting of representatives from the City and iLs financial advisors will review the proposals and present a recommcndation to the Virginia Beach City Council (the "Council"). -ne City may choose to conduct interviews of selected rtrms pfior to presenting a recommendafion to the Council. 'ne City anticipates that these interviews would be conducted on January 6, 1992. Contact during the RFP process, regarding the selection of underwfiters, with any public officials of the City, exccpt as exprcssly provided for herein, is prohibited. 'ne City reserves the right to reject the proposal of any firtn engaged in such contact. The City shall not be liable for any expenses incurred by proposers in their preparation and presentation of the proposals. The City reserves the right to reject all proposals. All proposals submitted to the City pursuant to Lhis RFP will become the property of the City. FirTns responding to Lhis RFP must express dieir willingness to work on a contingency basis. The City will not be responsible for any expenses nor will it pay any fees to the rinn(s) selected in the event the financing is not completed, including but not limited to a refusal by the State Council on Local Debt to approve the issuance of such bonds. The City reserves Lhe right to waive any informalities in any proposal. Where there is a discrcpancy between numeral and written text, the wfitten text shall be considered binding. 'ne City reserves the right to designate a co-manager for the financing, in r I h II n 1 SECTION 11 PROPOSAL PREPARATION AND SUBMIS$ION REQUIREMENTS Instruction to Proposers Questions conceming this RFP should be directed in wfiting to Mr. Rick Berry, Purchasing Agent for the City of Virginia Beach no later than December 20, 1991. Written responses to all questions received will be distributed to each firin to which the RFP has been sent (f-irms receiving this RFP from a source other than the City should contact Kimberly Edwards or Chester Johnson aL the addresses provided below to ensure that they will receive written responses to questions). Failure of the City to respond to written questions or failure of any individual to receive written responses shall not affect the validity of the RFP. Supplemental instructions, if any, issued by the City, shall be in writlen form and sent by registered mail to all persons on the original mailing list. Failure of any proposer to receive supplemental instructions shall not relieve the proposer from any obligaflon under the proposal as submitted. All addenda so issued shall become an integral part of this RFP- General Proposal Requirements n : To be considered responsive, please send the ofiginal and four (4) copies of your proposal to Mr. Rick Berry at the address cited below by 3-.00 P.M. local time on Tuesday, December 31, 1991. Proposals shall be placed in a separate envelope or package and identified with the Request for Proposal's item number and the name and addrcss of the Offeror. Addifionally, proposers are rcquired to send two (2) copies of thcir proposal to each of the City's financial advisors, Ms. Kimberly K. Edwards and Mr. Chester Johnson, at the addresses provided below. L-a m,l h I n Rick Berry Purchasing Agent City of Virginia Beach Room 321 Municipal Ccnter - City Hall Building Virginia Beach, VA 23456 (804) 427-4438 Kimberly K. Edwards Govemment Finance Rese=h Center 1750 K Street, N.W., Suite 200 Washington, D.C. 20006 (202) 429-2750 J. Chester Johnson Govemment Finance Associates 71 Broadway, Suite 1301 New York, N.Y. 10006 (212) 809-5700 2 Proposal Preparation Proposal should be signed by an auLhori7.ed representative of the pr6poser. All information requested must bc submitted. Failure to submit all information requested may result in a proposal being considered "non-responsivc" and therefore rejected. Excluding tabular material and schedules requcsted in this RFP, the textual presentadon should not be longer than fifteen (I 5) pages, singled spaced. Proposals should be prepared simply and economically, providing straightforward, concise responses to sadsfy RFP requirements. No printed brochurcs Or materials other than written responses to thc specific requirements should be Providcd. Each copy of the propo-,al should be bound in a singlc volume. All documentafion submitted with th, Proposals should be bound in that single volumc. Offcrors shall check with the issuing office wilhin 48 hours prior to the proposal closing to secure any addenda affecdng bidding. The attached anticollusion/nondiscrimination form incorporated hercin must be executed and retumed with the request for Proposal documents to receive consideration. Offcrors are advised that Chaptcr 7 of Title II (specifically Secdon 1 1-52) of the Code of Virginia - - i.e., the Virginia Public Procurement Act - - shall govem public inspecdon of all records submitted by the Offcror. Speciric Proposal Requirements and Response Fortnat In order to provide for a unifonn review process and to obtain comparability, proposals must be organized as described below. Failure to follow this forinat may be cause for rejection of your proposal. Adherence to this format is critical for the City's evaluation process. a. Title Page The dde page should reflect the RFP subject, name of the f-irm, address, telephone number, contact person and date of preparadon. b. Table of Contents Indicate the materials includcd by section and page number. The table of contents should mirror the format described in this secdon of the RFP, including items c - e as described herein. C. Letter of Transmittal Each proposal should be accompanied by a letter of transmittal noL exceedini! two pages which summarizes the key points of the proposal and which is signed by an officer of the firm who is responsible for committing the f-irm's resources. 3 d. Firm Qualifications P]CM describe your firm's experience as a senior manager or co-manager for tax-exempt refunding bonds tliat have been sold since January 1, 1989. The list should bc limited to bond issues for the Commonwcalth of' Virginia, its agencies and authorities, and municipal govemments within the state. Specify the bond issucs for which you served as senior manager and idenfify Lhe par amount, true interest cost, credit rating, final maturity, dollar amount of total and present value savings, and savings ratios (present value savings as a pcrcentage of refunded and refunding bonds) for those issues. if the refunding was undertaken by the stalc or local government for reasons other than debt service savings, the rationale for the refunding should be stated clearly. Some of the information may be provided in tabular fonn at the respondent's opfion. From this list of refunding bond issues, please provide three references, including a contact pcrson's name, tide, address and phone number. Please provide the name of thc public finance profcssionals assigned to this financing. C. Proposed Refunding Structure The City requests that proposers stmcture a refunding bond issue to defease a porfion of the City's outstanding bonds. The refunding issue must comply with Lhe State Council on LecaI Debt, Guidelines for Approval of Refunding Bonds, dated November 20, 1991 ("the guidelines") and should qualify as Type A refundings, as def-ined under Sections 2.1 through 2.2 of the guidelines. T'he refunding bonds must not increase the average life of the City's outstanding debt nor may it lengthen the Final maturity of the outstanding debt. The City seeks to obtain approximately level savings in each fi'scal year as a result of the refunding. Please provide Lhe following schedules to illustrate the refunding: i. Present Value Savings Report, using Lhe TIC on the refunding bonds (calculated as dcFtned in the State Council on Local Dcbt guidelines) as the discount rate ii. Sources and Uses of Funds Schedule for the Refunding Bonds iii. Debt Scrvice of Refunding Bonds - including proof of TIC and interest rate scale iv. Escrow Sizing Report with proof of Escrow Yield and Arbitrage Yield Limit V. Debt Service Schedule of Rcfunded Bonds prior to refunding - showing principal and interest componenls and including only currenlly outstanding maturities vi. Called Bonds Report - Debt Service Schedule of called maturities, indicating all datcs and call premiums vii. Combined Debt Service - debt service of Refunding Bonds and Refunded Bond aftcr refunding, including non-refunded maturides of Refunded Bonds viii. Financing assumptions for the Refunding Bonds, including dated date, closing date, interest compounding intervals and payment dates, principal payment dates, interest rate assumptions, escrow assumptions, including investment yield and cscrow requirements, and, if neccssary, cash contribu6ons by City. Note: If more than one scries of bonds are being refunded to produce aggregate savings, then attach items i and v for each issue. Include and explain in full any cash contributions to the escrow or costs of i,su,n,,. At the beginning of each f-iscal year, the City deposits in the debt service funds for each bond issue the amount of debt service due in that fiscal year. After debt service payments have been made, these funds are not replenished until the beginning of the following fiscal year. 4 The relationship between the average Lakedown and the couppn rates obtained on the securities is wcll understood. The City's goal is to obtain thc highest level of savings at the lowest possible cost. The refunding plan therefore must be accompanied by a principal maturity schedule that lists the coupon rates and takedown (sales commission) for each maturity of the refunding bonds. The informafion should be set forth in the format illustrated in Exhibit 1. The n m r17 I 1. The firm's ability to sell iLs bonds aggressivcly at a reasortable takedown will constitute an imponant criterion for selecfion. @e f*irm selectcd to underwrite the bonds will be held accountable for its proposal. Although unexpected and demonstrable changes in market condidons can result in a change in the pricing structure, the selected firm will be required to justify any change through a detailed market analysis. Therefore, unreasonably low estimates will be counterproductive and viewed negatively. The refunding plan should identify the category of investor that will be targeted (i.e.; Properly and Casualty, Bank Trust, Mutual Fund, Individual Retail). Tbe City resmes the right to direct the managing underwriter to establish a priority of orders at pricing that favors individual retail investors. The proposal also should include a firm indication of the total spread (in dollars/$1,000) which would be required if your firm is selected as the underwritcr for the tax-exempt issue. Please complete the pricing fonn provided as Exhibit 2, The underwriting fee, if any, should be set forth on a "not-to-exceed" basis. The management fee and expense components of the spread will be considered as f-irm bids. In proposing your management fee, be advised that the City's f-inancial advisor will retain general oversight responsibilities for the preparation of Lhe off-icial statement and radng agency communica6ons. Moody's and S&P are scheduled to visit with the City prior to January 1, 1992. Therefore, an additional trip to New York will not be necessary. Tbc expcnse component of the spread should bc priced accordingly. 5 SECTION Ill - EVALUATION AND AWARD CRITERIA The City shall apply two principal criteria in its cvalua6on of proposals from investment banking firms seeking a position as scnior managing undcrwriter of the refunding bonds. The two criteria are set forth below. I . Experience of the finn wilh the sale of refunding bonds by the Commonwealth of Virginia, iLs agencies, and municipal govemments within the Commonwealth; ability of the firm to aggressively market the City's t>onds. 2 . Ability to achieve the highest level of savings al the lowest possible cost to the City. The City will assess the f-irm's ability to meet this criterion by evaluating the factors set forth below, a. Demonstrated ability to structure general obligation refunding bonds to achieve the maximum level of annual debt service savings, based on responsiveness to the specific requirements and format of this RFP. b. Cost, as defined by the proposed underwriting spread n" the coupon rates (true interest cost] proposed for the refunding bond issue. Cost will be evaluated according to the information provided on Exhibits I and 2. Respondents are reminded Lhat unr@isfic spreads and yields will be viewed negatively. 6 Exhibit 2 Cost Component G.O. Rel Issue in 11 r Avemge Takedown $ Management Fee $ Underwriters'Expenses* $ (iv.) Underwridng Fee (Risk) $ Total Spread s (i.) Underwriters'Counsel (t) $ (ii.) TraveI $ (iii.) Fed Funds (tt) $ (iv.) Document Printing (ttt) $ (v.) Ovemight Dclivery s (vi.) Other (specify) $ Total s Submitted By: Firm Name: Telephone: (t) Assume sepatate und@rwrit'll' l,u,,,I, provide f@ on a "not-to-exceed" basis. (tt) Assume a closing with same-day funds. (ttt) Excludes POS/OS printi.g; Lhe f-in@cial ad@is.r @ill -ve,@m prepuati,n f th, Offi,i,l Sttem.nt. 8 Exhibit I I YIELDS AND TAKEDOWNS Year of Principal Coupon Average Maturity Amount (Yicld) Use additional pages if necessary. 7 ANTICOLLUSION/NOXDISCRIMINATION CLAUSES ANTICOLLUSION CLAUSE: lt4 THE PREPARATION AND SUBMISSION OF THIS PROPOSAL, SAID OFFEROR DID NOT EITHER DIRECTLY OR INDIRECTLY ENTER INTO ANY COMBINATION OR ARRANGEMENT WITH ANY PERSON, FIRM OR CORPORATION, OR ENTER INTO ANY AGREEMENT, PARTICIPATE IN ANY COLLUSION, OR OTHERWISE TAKE ANY ACTION IN THE RESTRAINT OF FREE, COMPETMVE BIDDlt4G IN VIOLATION OF THE SHF-RMAN ACT (15 U.S.C. SECTTON 1), SEC77ONS 59.1-9.1 THROuGn 59.1-9.17 OR SEC-NONS 59.1-68.6 OF THE CODE OF VIRGINIA. THE UNDERSIGNED OFFEROR HEREBY CERTIFIES THAT THIS AGREEMENT, OR ANY CLAIMS RESULTING THEREFROM, IS NOT THE RESULT OF, OR AFFECTED BY, ANY ACT OF COLLUSION WITH, OR ANY ACr OF, ANOTHER PERSON OR PERSONS. FIRM OR CORPORATION ENGAGED IN THE SAME LINE OF BUSINESS OR COMMERCE; AND THAT NO PERSON ACTING FOR, OR EMPLOYED BY, THE CITY OF VIRGINIA BEACH HAS AN @REST IN, OR IS CONCERNED WITH, THIS PROPOSAL; AND, THAT NO PERSON OR PERSONS, FIRM OR CORPORATION OTHER THAN THE UNDERSIGNED, HAVE @REST OR ARE, INTEREST-ED IN THIS PROPOSAL. NONDISCRIMINATION CLAUSE: EMPLOYMENT DISCRIMINATION BY CONTRACTOR SHALL BE PROHIBITED 1) DURING THE PERFORMANCE OF THIS CONTRACT, THE CONTRACTOR AGREES AS FOLLOWS: A. THE CONTRACTOR, WILL NOT DISCRIMINATE AGAINST ANY EMPLOYEE OR APPLICANT FOR EMPLOYMENT BECAUSE OF RACE, RELIGION, SEX, AGE, NATIONAL ORIGIN, OR HANDICAP, EXCEPT WHERE RELIGION, SEX, AGE, NANONAL ORIGIN OR HANDICAP IS A BONA FIDE OCCUPATIONAL QUALIFICATION REASONABLY NECESSARY TO THE NORMAL OPERATION OF THE CONTRACTOR. THE CONTRACTOR AGREES TO POST IN CONSPICUOUS PLACES, AVAILABLE TO EMPLOYEES AND APPLICANTS FOR EMPLOYMENT, NOTICES SETITNG FORTH THE PROVISIONS OF THIS NONDISCRIMINATION CLAUSE. 13. THE CONTRACTOR, IN kLL SOLICITATIONS OR ADVERTISEMENTS FOR EMPLOYEES PLACED BY OR BEHALF OF THE CONTRACTOR. WILL STATE THAT SUCH CONTRACrOR IS AN EQUAL OPPORTUNITY EMPLOYER. C. NOTICES, ADVERTISEMENTS, AND SOLICITATIONS PLACED IN ACCORDANCE WITH FEDERAL LAW, RULE OR REGULATION SHALL 13E DEEMED SUFFICIENT FOR THE PURPOSE OF MEETING THE REQUIREMENTS OF THIS SECNON. Name and Address of FirTn Date: By: Signature in Ink Printed Name Telephone Number Tide 9 - 15 - Item 111-1.2. RESOLUTIONS ITEM # 35234 Michael Grifferty, Assistant Vice President - Government Finance Associates, Inc., advised savings are estimated at $2.3-MILLION with a present value of approximately $1.7-MILLION. Upon motion by Vice Mayor Fentress, seconded by Councilman Heischober, City Council ADOPTED: Resolution authorizing distribution of Preliminary Official Statement re sale of General Obligation Refunding Bonds, Series of 1992, of the City of Virginia Beach, Virginia, in the approximate amount of $38,250,000. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William 0. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None RESOLUTION AUTHORIZING DISTRIBUTION OF PRELIMINARY OFFICIAL STATEMENT IN CONNECTION WITH THE SALE OF GENERAL OBLIGATION REFUNDING BONDS, SERIES OF 1992, OF THE CITY OF VIRGINIA BEACH, VIRGIMIA, IN THE APPROXIMATE AMOUNT OF $38,250,000 WHEREAS, the City of Virginia Beach, Virginia (the "City"), proposes to issue its Gen@ral obligation Refunding Bonds, Series of 1992 (the "Bonds"), in the approximate amount of $38,250,000 to refund all or a portion of the following maturities of bond issues of the City: (a) General obligation Road Bonds, Series of 1982, maturing on November 1, 1993 and 1994, in the aggregate outstanding principal amount of $130,000; (b) General obligation Public Improvement Bonds, Series of 1982, maturing on November 1, 1993 and 1994, in the aggregate principal amount of $2,070,000; (c) General obligation water and Sewer Bonds, Series of 1982, maturing on November 1, 1993 and 1994, in the aggregate principal amount of $800,000; (d) Public Improvement Bonds, Series of 1984, maturing on July 15, 1995 and 1996, in the aggregate principal amount of $2,620,000; (e) Water and Sewer Bonds, Series of 1984, maturing on July 15, 1995 and 1996, in the aggregate principal amount of $1,700,000; (f) General obligation Public Improvement Bonds, series of 1985, maturing on February 1, 1996 through 2001, in the aggregate principal amount of $10,995,000; (g) General Obligation Water and Sewer Bonds, Series of 1985, maturing on August 1, 1996 through 2000, in the aggregate principal amount of $2,530,000; (h) General Obligation Public Improvement Bonds, Series of, 1987, maturing on May 1, 2001 through 2007, in the aggregate principal amount of $13,060,000; and WHEREAS, there have been presented to this meeting a draft of a Preliminary Official Statement to be dated January 22, 1992, with respect to the offering of the Bonds (the "Preliminary Official Statement"); BE IT RESOLVED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA: 1. The City approves the Preliminary Off icial Statement, in substantially the form presented to this meeting, with such completions, omissions, insertions and changes not inconsistent with this resolution as the City Manager, in collaboration with the City's financial advisors, deems appropriate. The City authorizes the distribution of the Preliminary Official Statement to prospec- tive purchasers of the Bonds; provided, however, the distribution of the Preliminary Official Statement shall not occur unless the issuance of the Bonds has been approved by the state council on Local Debt. 2. The City authorizes and directs the City Manager, in collaboration with the City's financial advisors, to deem the Preliminary official Statement final on behalf of the City as of its date within the meaning of Rule 15c2-12 of the Securities and Exchange Cominission, except for the omission of certain pricing and other information permitted to be omitted pursuant to such Rule 15c2-12. The distribution of the Preliminary official Statement to prospective purchasers of the Bonds shall be conclusive evidence that it has been deemed final as of its date by the city, except for the omission of such pricing and other information permitted to be omitted pursuant to Rule 15c2-12. 3. This resolution shall take effect immediately. Adopted by the Council of the city of Virginia Beach, Virginia, on the 14 day of January 1992. -2- 16 - Item 111-1.3. RESOLUTIONS ITEM # 35235 Chester Johnson, Financial Advisor, Government Finance Associates, responded to City Council's inquiries. Upon motion by Vice Mayor Fentress, seconded by Counci Iman Clyburn, City Council ADOPTED: Resolution authorizing distribution of Preliminary Official Statement re sale of Water and Sewer System Revenue Bonds, Series of 1992, of the City of Virginia Beach, Virginia, in the approximate amount of $19,975,000. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None RESOLUTION AUTHORIZING DISTRIBUTION OF PRELIMINARY OFFICIAL STA IN CONNECTION WITH THE SALE OF WATER AND SEWER SYSTEM REVENUE BONDS, SERIES OF 1992, OF THE CITY OF VIRGINIA BEACH, VIRGINIA IN THE APPROXIMATE AMOUNT OF $19,975,000 WHEREAS, the City of Virginia Beach, Virginia (the "City"), proposes to issue its Water and Sewer System Revenue Bonds, Series of 1992 (the "Bonds"), in the approximate amount of $19,975,000 to finance improvements to its water and sanitary sewer system; and WHEREAS, there has been presented to this meeting a draft of a Preliminary Official Statement to be dated January 22, 1992, with respect to the offering of the Bonds (the "Preliminary Official Statement") ; BE IT RESOLVED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA: 1. The City approves the Preliminary official Statement, in substantially the form presented to this meeting, with such completions, omissions, insertions and changes not inconsistent with this resolution as the City Manager, in collaboration with the City's financial advisors, deems appropriate. The City authorizes the distribution of the Preliminary Official Statement to prospective purchasers of the Bonds. 2. The City authorizes and directs the City Manager, in collaboration with the City's financial advisors, to deem the Preliminary Official Statement final on behalf of the City as of its date within the meaning of Rule 15c2-12 of the Securities and Exchange Commission, except for the omission of certain pricing and other information permitted to be omitted pursuant -lo such Rule 15c2-12. The distribution of the Preliminary Official Statement to prospective purchasers of the Bonds shall be conclusive evidence that it has been deemed final as of its date by the City, except for the omission of such pricing and other information permitted to be omitted pursuant to Rule 15c2-12. 3. This resolution shall take effect immediately. Adopted by the Council of the City of Virginia Beach, Virginia, on the 14 day of January , 1992. APPROVED AS TO CONTEWS DEPARTMENT AppitoVED As TO LEGAL suFFICIENCY - 17 - Item III-I.4. RESOLUTIONS ITEM # 35236 Kenneth E. Palmer, 1805 Templeton Court, Phone: 481-0788, Chairman - Development Authority, spoke in SUPPORT of the Resolution. The following registered in OPPOSITION: Issac Herbert, 1264 Tim Road, Phone: 464-5849, represented the Burton Station Civic League Thomas Jennings, 1325 Church Street, represented the Newlight Civic League Alice Green, 1237 General Street, represented the Newlight Civic League and Coalition of Minority Civic Leagues Reverend Jerome C. Ross, 310 North Birdneck Road, Phone: 422-5048, represented the Mount Olive Baptist Church E. George Minns, President - NAACP, Post Office Box 4548, Phone: 671-2827 Rae H. LeSesne, 5325 Thornburg Lane, Phone: 497-8008, President - Citizens Action Coalition, Inc. Lou Pace, 1908 Hunts Neck Court, Phone: 468-0925 Ernest L. Benson, Sr., 2945 Queen City Road, Phone: 420-4137, represented the Queen City Civic League. Robert Engesser, 5290 Vestry Drive, Phone: 499-3157 Upon motion by Councilman Jones, seconded by Councilman Baum, City Council ADOPTED, AS AMENDED*: Resolution requesting the General Assembly adopt legislation in the 1992 Session granting power of condemnation to the Virginia Beach Development Authority. *The following verbiage shall be added on line 34, after "That the General Assembly is hereby requested to adopt legislation in the 1992 Session that would grant the power of condemnation to the City of Virginia Beach Development Authority ...": "...in geographical areas of the City of Virginia Beach designated by the Virginia Beach City Council as industrial development parks in a public agenda session." Voting: 6-5 Council Members Voting Aye: John A. Baum, Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, and William D. Sessoms, Jr. Council Members Voting Nay: James W. Brazier, Jr., Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf and Nancy K. Parker Council Members Absent: None 1 A RESOLUTION REQUESTING THE GENERAL 2 ASSEMBLY TO ADOPT LEGISLATION IN THE 3 1992 SESSION TO GRANT THE POWER OF 4 CONDEMNATION TO THE CITY OF VIRGINIA 5 BEACH DEVELOPMENT AUTHORITY 6 WHEREAS, the City of Virginia Beach Development Authority 7 (the "Authority") was created pursuant to Chapter 643 of the Acts 8 of Assembly of 1964 (as amended) (the "Actsio); 9 WHEREAS, the purpose of the Authority, as set forth 10 in the Acts, is to "promote industry and develop trade by inducing 11 manufacturing, industrial, governmental and commercial enterprises 12 to locate in or remain in [the City] .... "; 13 WHEREAS, Section 6 of the Acts provides, in part, 14 that the Authority has the power 11[t]o acquire, whether by 15 purchase, exchange, gift, lease or otherwise ... real and personal 16 properties or interests therein which the commissioners of the 17 Authority deem necessary and convenient to carry out the purpose of 18 this act;" 19 WHEREAS, the commissioners of the Authority have 20 determined that it would greatly facilitate its ability to enhance 21 economic development within the City if the General Assembly were 22 to incorporate into the Authority's powers, the power to acquire 23 real and personal property by condemnation; 24 WHEREAS, City Council recognizes the importance of 25 economic development to the continued growth of the City; and 26 WHEREAS, City Council further recognizes the 27 benefits that a grant of the power of condemnation to the Authority 28 would have to the City's overall economic development efforts. 29 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY 30 OF VIRGINIA BEACH, VIRGINIA: 31 That the General Assembly is hereby requested to 32 adopt legislation in the 1992 Session that would grant the power of 33 condemnation to the City of Virginia Beach Development Authority in 34 geographical areas of the City of Virginia Beach designated by the 35 Virginia Beach City council as industrial development parks in a 36 public agenda session. 37 Adopted by the Council of the city of Virginia Beach, 38 Virginia, on the ]4th day of January -, 1992. 39 CA-4527 40 ORDIN\NONCODE\CHAP-643.RES 41 R-5 2 1 8 Item 111-J.1. PUBLIC HEARING ITEM # 35237 PLANNING Mayor Meyera E. Oberndorf DECLARED a PUBLIC HEARING on: PLANNING (a) STAR OF THE SEA CATHOLIC CHURCH STREET CLOSURE (b) ALLEN J. GETTEL CHANGE OF ZONING (c) CAPITAL ONE, INC. CONDITIONAL USE PERMIT (d) CITY ZONING ORDINANCE AMEND AND REORDAIN Sections 234 and 501 signs for home occupations/ accessory activities. (e) MASTER AND STREET AND HIGHWAY PLAN AMEND/relocating and deleting certain roads. - 19 - Item III-J.l.a. PUBLIC HEARING ITEM # 35238 PLANNING Attorney Jerry Mack Douglas, Jr. , 4356-2 Bonney Road, Suite 102-A, Phone: 334-0199, represented the applicant Charles S. Kiley, represented the applicant Upon motion by Vice Mayor Fentress, seconded by Councilman Sessoms, City Council APPROVED subject to coinpliance of conditions by July 14, 1992, the petition of STAR OF THE SEA CATHOLIC CHURCH for the discontinuance, closure and abandonment of Lakeside Drive. Application of Star of The Sea Catholic Church for the discontinuance, closure and abandonment of Lakeside Drive beginning at the southern boundary of 15th Street and running in a southerly direction to the northern boundary of Arctic Crescent. Said parcel contains 10,229 square feet. VIRGINIA BEACH BOROUGH. The following conditions shall be required: 1. It appears that the applicant owns the underlying fee for the right-of-way proposed for closure and purchase froin the City will not be required. This is subject to verification by the City Attorney's Office. 2. The applicant is required to resubdivide the property and vacate internal lot lines to incorporate the closed area into adjoining parcels, as well as to ensure that all lots have access to a public street. 3. A drainage easement over the existing storm drain must be retained along the southern boundary (northern boundary of Arctic Crescent). 4. The applicant shall submit a revis&d ordinance closing the right-of-way to the City Attorney's Office. The redraft shall include a "save and except" clause for the drainage easement referenced in Condition #3. 5. The applicant shall provide evidence to the City Attorney's Office that title of the right-of-way proposed for closure shall vest with the church when closed by the City. 6. Closure of the right-of-way shall be contingent upon compliance with the above stated conditions within 180 days of the approval by City Council (by July 14, 1992). - 20 - Item 111-J.l.a. PUBLIC HEARING ITEM # 35238 (Continued) PLANNING Voting-. 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndort, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None ORDINANCE NO. All Of that parcel of land located to the west of Pacific Avenue and between 14th Street and 15th Street in the Virginia Beach Borough in the City of Virginia Beach, Virginia, and being shown as Lakeside Drive (30 feet wide right of way) in Map No. 5 of the property of the Virginia Beach Developrnent Co. (which map is recorded in the Office of the Clerk of the Circuit Court of the City of virginia Beach, Virginia, in Map Book No. 5 at page 21) and being more particularly bounded and described as follows: Beginning at a point located in the south right of way line of the abovedescribed 15th Street which point is located south 820 08' 30" west, a distance of 45.05 feet, as measured along the abovedescribed south right of way line of 15th Street, from the west right of way line of the abovedescribed Pacific Avenue, and frorn said point of beginning running thence in a southwesterly direction along a curve to the left, which curve follows the east right of way line of Lakeside Drive and which curve has a radius of 78.50 feet, an arc distance of 97.95 feet to a point located in the abovedescribed east right of way line of Lakeside Drive; thence running in a southerly direction along a curve to the left, which curve follows the abovedescribed east right of way line of Lakeside Drive and which curve has a radius of 264.00 feet, an arc distance of 108.34 feet to a point located in the abovedescribed east right of way line of Lakeside Drive; thence running in a southerly direction along a curve to the right, which curve follows the abovedescribed east right of way line of Lakeside Drive and which curve has a radius of 190.00 feet, an arc distance of 91.19 feet to a point located in the abovedescribed east right of way line of Lakeside Drive; thence running along a curve to the left, which curve follows the abovedescribed east right of way line of Lakeside Drive and which curve has a radius of 234.00 feet, an arc distance of 25.45 feet to a point located in the north right of way line of the abovedescribed 14th Street; thence turning and running south 760 24' 18" west, along the abovedescribed north right of way line of 14th Street, a distance of 74.92 feet to a point located in the abovedescribed north right of way line of 14th Street; thence turning and running in a northeasterly direction along a curve to the left, which curve follows the west right of way line of Lakeside Drive and which curve has a radius of 62.37 feet, an arc distance of 71.09 feet to a point located in the abovedescribed west right of way line of Lakeside Drive; thence running in a northerly direction, along a curve to the left, which curve follows the above- described west right of way line of Lakeside Drive and which curve has a radius of 160.00 feet, an arc distance of 76.79 feet to a point located in the abovedescribed west right of way line of Lakeside Drive; thence running in a northerly direction along a curve to the right, which curve follows the abovedescribed west right of way line of Lakeside Drive and which curve has a radius of 294.00 feet, an arc distance of 120.65 feet to a point located in the abovedescribed west right of way line of Lakeside Drive; thence running in a northwest direction along a curve to the left, which curve follows the abovedescribed west right of way line of Lakeside Drive and which curve has a radius of 40.00 feet, an arc distance of 73.28 feet to a point located in the south right of way line of the abovedescribed 15th Street; thence turning and running north 820 08' 03" east, along the abovedescribed south right of way line of 15th Street, a distance of 138.62 feet to the point and place of beginning of this description. WHEREAS, it appearing by affidavit that proper notice has been given by Star of the Sea Catholic Church, that they would make application to the Council of the City of Virginia Beach, Virginia, on November 26, 1991, to have the hereinabove described portion of a certain st@eet discontinued, closed and vacated; and WHEREAS, it is the judgment of the Council that the hereinafter described portion of said street be discontinued, closed and vacated; NOW, THEREFORE, SECTION I BE IT ORDAINED by the Council of the City of Virginia Beach, Virginia, that the hereinafter described portion of said street be discontinued, closed and vacated: All of that parcel of land located to the west of Pacific Avenue and between 14th Street and 15th Street in the Virginia Beach Borough in the City of Virginia Beach, Virginia, and being shown as Lakeside Drive (30 feet wide right of way) in Map No. 5 of the property of the Virginia Beach Development Co. (which map is recorded in the office of the Clerk of the Circuit Court of the City of Virginia Beach, Virginia, in Map Book No. 5 at page 21) and being more particularly bounded and described as follows: Beginning at a point located in the south right of way line of the abovedescribed 15th Street which point is located south 820 081 30" west, a distance of 45.05 feet, as measured along the abovedescribed south right of way line of 15th Street, from the west right of way line of the abovedescribed Pacific Avenue, and from said point of beginning running thence in a southwesterly direction along a curve to the left, which curve follows the east right of way line of Lakeside Drive and which curve has a radius of 78.50 feet, an arc distance of 97.95 feet to a point located in the abovedescribed east right of way line of Lakeside Drive; thence running in a southerly direction along a curve to the left, which curve follows the abovedescribed east right of way line of Lakeside Drive and which curve has a radius of 264.00 feet, an arc distance of 108.34 feet to a point located in the abovedescribed east right of way line of Lakeside Drive; thence running in a southerly direction along a curve to the right, which curve follows the abovedescribed east right of way line of Lakeside Drive and which curve has a radius of 190.00 feet, an arc distance of 91.19 feet to a point located in the abovedescribed east right of way line of Lakeside 2 Drive; thence running along a curve to the left, which curve follows the abovedescribed east right of way line of Lakeside Drive and which curve has a radius of 234.00 feet, an arc distance of 25.45 feet to a point located in the north right of way line of the abovedescribed 14th Street; thence turning and running south 760 241 18" west, along the abovedescribed north right of way line of 14th Street, a distance of 74.92 feet to a point located in the abovedescribed north right of way line of 14th Street; thence turning and running in a northeasterly direction along a curve to the left, which curve follows the west right of way line of Lakeside Drive and which curve has a radius of 62.37 feet, an arc distance of 71.09 feet to a point located in the abovedescribed west right of way line of Lakeside Drive; thence running in a northerly direction, along a curve to the left, which curve follows the above- described west right of way line of Lakeside Drive and which curve has a radius of 160.00 feet, an arc distance of 76.79 feet to a point located in the abovedescribed west right of way line of Lakeside Drive; thence running in a northerly direction along a curve to the right, which curve follows the abovedescribed west right of way l'ine of Lakeside Drive and which curve has a radius of 294.00 feet, an arc distance of 120.65 feet to a point located in the abovedescribed west right of way line of Lakeside Drive; thence rtnning in a northwest direction al6ng a curve to the left, which curve follows the abovedescribed west right of way line of Lakeside Drive and which curve has a radius of 40.00 feet, an arc distance of 73.28 feet to a point located in the south right of way line of the abovedescribed 15th Street; thence turning and running north 820 081 03" east, along the abovedescribed south right of way line of 15th Street, a distance of 138.62 feet to the point and place of beginning of this description. Said parcel of land being a portion of Lakeside Drive. SECTION II A certified copy of this Ordiance shall be filed in the Clerk's Office of the Circuit dourt of the City of Virginia Beach, indexed in the name of the City of Virginia Beach, as grantor. Adopted: G-PIN - 21 - Item 111-J.l.b. PUBLIC HEARING ITEM # 35239 PLANNING Allen J. Gettel, 5620 Parliament Drive, the applicant, represented himselt Upon motion by Counci Iman Clyburn, seconded by Counci Iman Heischober, City Counci I ADOPTED an Ordinance upon application of ALLEN J. GETTEL for a Change of Zoning District Classification: ORDINANCE UPON APPLLCATION OF ALLEN J. GETTEL FOR A CHANGE OF ZONING DISTRICT CLASSIFICATION FROM 1-1 TO R-40 Z01921338 BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA Ordinance upon application of Allen J. Gettel for a Change of Zoning District Classification from 1-1 Light Industrial District to R-40 Residential District on the north side of Parliament Drive, 350 feet more or less east of Princess Anne Road. The proposed zoning classification change to R-40 Residential District is for single-famiy residential land use at a density no greater than I dwelling unit per acre. The Comprehensive Plan recommends use of this parcel for office land use. Said parcel is located at 5620 Parliament Drive and contains 2.237 acres. KEMPSVILLE BOROUGH. This Ordinance shall be effective in accordance with Section 107 (f) of the Zoning Ordinance. Adopted by the Council of the City of Virginia Beach, Virginia, on the Fourteenth of January, Nineteen Hundred and Ninety-Two. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, @ayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None - 22 - Item III-J.I.c. PUBLIC HEARING ITEM # 35240 PLANNING Attorney R. J. Nutter, II, 4425 Corporation Lane, Suite 300, Phone: 671-6037, represented the applicant Upon motion by Councilman Brazier, seconded by Councilman Sessoms, City Council ADOPTED an Ordinance upon application of CAPITAL ONE, INC. for a Conditional Use Permit: ORDINANCE UPON APPLICATION OF CAPITAL ONE, INC. FOR A CONDTTIONAL USE PERMIT FOR AN AUTOMOTIVE REPAIR ESTABLISHMENT R01921410 BE IT HEREBY ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA BEACH, VIRGINIA Ordinance upon application of Capital One, Inc. for a Conditional Use Permit for an automotive repair establishment at the southwest corner of Virginia Beach Boulevard and North Lynnhaven Road. The parcel is located at 2901 Virginia Beach Boulevard and contains 33,364 square feet. LYNNHAVEN BOROUGH. The following conditions shall be required: 1. The logo and yellow background may only cover the pediment on the front offset portion of the building and the side facing North Lynnhaven Road. An eighteen- (18-) inch strip may continue around the building under the roof eve. 2. A six- (6-) foot planting bed landscaped in accordance with the "Parking Lot and Foundation Landscaping Specifications and Standards" shall be provided along the perimeter of the site. 3. The two (2) curb cuts closest to the intersection of Virginia Beach Boulevard and North Lynnhaven Road shall be closed. Temporary barriers in the form of a landscape planting bed six (6) feet in width or planter boxes compatible with the site may be used for a period of three years. These curb cuts must be closed permanently by installing new curb and gutter, required landscaping, etc., by the end of this three-year period. 4. No outside storage of parts or automobiles is allowed overnight. 5. The substitution of existing vegetation for the required screening along the Southern property line is subject to approval by Landscape Services. This Ordinance shall be effective in accordance with Section 107 (f) of the Zoning Ordinance. Adopted by the Council of the City of Virginia Beach, Virginia, on the Fourteenth of January, Nineteen Hundred and Ninety-Two. - 23 - Item III-J.1-c- PUBLIC HEARING ITEM # 35240 (Continued) PLANNING voting: 10-1 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf and William D. Sessoms, Jr. Council Members Voting Nay: Nancy K. Parker Council Members Absent: None - 24 - Item 111-J.1-d. PUBLIC HEARING ITEM # 35241 PLANNING Upon motion by Vice Mayor Fentress, seconded by Counci lman Baum, City Counci I ADOPTED: ordinance to AMEND and REORDAIN Sections 234 and 501 of the City Zoning Ordinance re signs for home occupations and accessory activities. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None 1 AN ORDINANCE TO AMEND AND 2 REORDAIN SECTIONS 234 AND 501 OF 3 THE CITY ZONING ORDINANCE OF THE 4 CITY OF VIRGINIA BEACH, 5 VIRGINIA, PERTAINING TO SIGNS 6 FOR HOME OCCUPATIONS AND 7 ACCESSORY ACTIVITIES OPERATED 8 FOR PROFIT IN RESIDENTIAL 9 DWELLING UNITS. 10 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF VIRGINIA 11 BEACH, VIRGINIA: 12 That Sections 234 and 501 of the City Zoning Ordinance of the 13 City of Virginia Beach, Virginia, is hereby amended and reordained 14 to read as follows: 15 Section 234. HoMe occupations. 16 In districts where they are generally permitted, an occupation 17 may be conducted in a dwelling unit, provided that: is (a) Not more than twenty (20) percent of the floor area of 19 the dwelling unit and accessory structures shall be used 20 in the conduct of the activity. Provided, however, this 21 limitation shall not have application to family day-care 22 homes. 23 (b) No traffic, including traffic by commercial delivery 24 vehicles, shall be generated by such activity in greater 25 volumes than would normally be expected in the 26 neighborhood, and any need for parking generated by,the 27 conduct of such activity shall be met off the street and 28 other than in a required front yard. 29 (c) No mete than ene (3:) identification sign shall be 30 permitte 31 area, shall be menilluninated, and shall be meanted fiat- 32 -, -.-st the ifall ef- the r-esidenee. However, as an 33 exception, the City council, upon a finding that a sign 34 would not be detrimental to the surrounding neicrhborhood, 35 may as a condition of the use Permit allow up to one 3 6 sign, nonilluminated, not to exceed one sauare foot in 37 area, mounted flat against the wall of the residence. 38 (d) No use shall create noise, dust, vibration, smell, smoke, 39 glare, electrical interference, fire hazard, or any other 40 hazard or nuisance to any greater or more frequent extent 41 than would normally be expected in the neighborhood under 42 normal circumstances wherein no home occupation exists. 43 (e) The following uses are specifically excluded: 44 Convalescent or nursing homes, tourist homes, massage 45 parlors, radio or television repair shops, auto repair 46 shops, or similar establishments. 47 Section 501. Use recjulations. 48 . . . 49 (b) Accessory uses and structures. Uses and structures which 50 are customarily accessory and clearly incidental and subordinate to 51 principal uses and structures and where such accessory structures 52 do not exceed the height of the principal structure and do not 53 exceed five hundred (500) square feet of floor area or twenty (20) 54 percent of the floor area of the principal structure, whichever is 55 greater. Such accessory uses and structures include but are not 56 limited to: 57 (1) Detached quest house and servants quarters within the 58 R-40 District only; 59 (2) Bees; 60 (3) Swimming pools, boat houses, piers, etc.; 61 (4) In connection with agricultural use, no more than one 62 roadside stand for sale of agricultural products produced 63 on the premises; provided that no such stand shall exceed 64 five hundred (500) square feet in floor area nor be 65 erected within twenty (20) feet of the property line 66 fronting any street; 67 (5) An accessory activity operated for profit in a 68 residential dwelling unit where there is no change in the 69 outside appearance of the building or premises or any 70 visible or audible evidence, including signs, detectable 2 71 from out@ide the building lot, either permanently or 72 intermittently, of the conduct of such business emeept 73 eLe- 74 the- 75 where no traffic is generated, including 76 traf f ic by commercial delivery vehicles, by such activity 77 in greater volumes than would normally be expected in the 78 neighborhood, and any need for parking generated by the 79 conduct of such activity is met off the street and other 80 than in a required front yard; where the activity is 81 conducted on the premises which is the bona fide 82 residence of the principal practitioner, and no person 83 other than members of the immediate family occupying such 84 dwelling units is employed in the activity; where such 85 activity is conducted only in the principal structure on 86 the lot; where there are no sales to the general public 87 of products or merchandise from the home; and where the 88 activity is specifically designed or conducted to permit 89 no more than one (1) patron, customer, or pupil to be 90 present on the premises at any one time. The following 91 are specifically prohibited as accessory activities: 92 Convalescent or nursing homes, tourist homes, massage 93 parlors, radio or television repair shops, auto repair 94 shops, or similar establishments. 95 Adopted by the Council of the City of virginia Beach, Virginia 96 on the 14 day of January 1992 97 CA-4547 98 \ordin\proposed\45-234.pro 99 R-1 3 - 25 - Item III-J.l.e. PUBLIC HEARING ITEM # 35242 PLANNING Tim Green, 3200 Twinflower Lane, Phone: 427-0984, represented the Landstown Meadows Lakes Civic League and requested DEFERRAL of Amendments 1-8 until Landstown Meadows Lakes Civic League has the opportunity to meet and discuss the proposed Amendments. Upon motion by Councilwoman McClanan, seconded by Councilman Brazier, City Council DEFERRED to the City Council Session of January 28, 1992: Ordinance to AMEND the Master Street and Highway Plan of the City of Virginia Beach adding, relocating and deleting certain roads (Map/plans on file in the Planning Department): 1/5. Holland Road (change) 2. Elbow Road (change) 3. Courthouse Loop Extended (change) 4. Southeastern Expressway (change) 6. Princess Anne Road (change) 7. Residential Collector (delete) 8. Indian River Road (change) 9. Rosemont Road (delete) 10. Oceana Boulevard (define) 11. Dam Neck Road (change) 12. Grayson Road (designate) Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None - 26 - Item I I I -K. CONSENT AGENDA 1TEM # 35243 Upon motion by Vice Mayor Fentress, seconded by Counci lwoman Parker, City Council APPROVED In ONE MOTION, Items 1, 2, 3, and 6 of the CONSENT AGENDA. Items 4 and 5 were voted upon separately. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndort, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None - 27 - Item Ill-K-1 CONSENT AGENDA ITEM # 35244 Upon motion by Vice Mayor Fentress, seconded by Counci [woman Parker, City Council ADOPTED: Resolution increasing the number ot members on the Parks and Recreation Commission. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Ciyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndort, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None 1 A RESOLUTION TO INCREASE THE NUMBER OF 2 MEMBERS ON THE PARKS AND RECREATION 3 COMMISSION FROM ELEVEN TO TWELVE 3 WHEREAS, the Council of the city of virginia Beach, 4 Virginia established a Parks and Recreation commission on August 1, 5 1988; 6 WHEREAS, the Commission presently consists of eleven 7 members, one for each of the seven boroughs and four at-large 8 seats; and 9 WHEREAS, it is council's desire to provide for an 10 additional at-large member. 11 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY 12 OF VIRGINIA BEACH, VIRGINIA: 13 That the membership of the Parks and Recreation 14 commission is hereby increased by one additional member for a total 15 of twelve members. The new member shall be an "at-large" member. 16 The initial term of such member shall expire August 31, 1994. 17 Thereafter, the term of such appointed nember shall be for three is years. 19 This resolution shall be deemed effective from the first day 20 of January 1992. 21 Adopted by the Council of the City of Virginia Beach, 22 virginia, on the 14 day of January 1992. 23 CA-92-4539 24 \NONCODE\CA-4539.Res R 25 -3 A -,7) 'TO - 28 - item Ill-K-2 CONSENT AGENDA ITEM # 35245 Upon motion by by Vice Mayor Fentress, seconded by Councilwoman Parker, City City Council ADOPTED: Resolution to establish an additional Deferred Compensation Plan and appoint the ICMA Retirement Corporation to serve as Administrator. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndort, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None 1 RESOLUTION TO ESTABLISH AN ADDITIONAL 2 DEFERRED COMPENSATION PLAN 3 WHEREAS, the City of Virginia Beach has employees 4 rendering valuable services; 5 WHEREAS, the establishment of an additional deferred 6 compensation plan for such employees will serve the interests of 7 the city by enabling it to provide reasonable retirement security 8 for its employees, by providing increased flexibility in its 9 personnel management system, and by assisting in the attraction and 10 retention of competent personnel; 11 WHEREAS, the City has determined that the establishment 12 of an additional deferred compensation plan to be administered by 13 the ICMA Retirement corporation will serve the above objectives; 14 WHEREAS, the city desires that the investment of funds 15 held under the additional deferred compensation plan be 16 administered by the ICMA Retirement corporation, as Trustee, with 17 the understanding that such funds will be held by the ICMA 18 Retirement Trust, a trust established by public enployers for the 19 purpose of representing the interests of such employers with 20 respect to the collective investment of funds held under their 21 deferred compensation plans. 22 NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY 23 OF VIRGINIA BEACH, VIRGINIA: 24 That the City of Virginia Beach hereby adopts the 25 deferred compensation plan, attached hereto as Appendix A, and 26 appoints the ICMA Retirement Corporation to serve as Administrator 27 thereunder; 28 BE IT FURTHER RESOLVED: 29 That the City Manager is hereby authorized to execute the 30 ICMA Retirement Trust, attached hereto as Appendix B; 31 BE IT FURTHER RESOLVED: 32 That the City of Virginia Beach hereby adopts the trust 33 agreement, attached hereto as Appendix C, and appoints the ICMA ion as Trustee thereunder, nd directs the ICMA 34 Retirement Corporat tee, to invest all funds held under 35 Retirement Corporation, as Trus 36 this deferred compensation plan through the ICMA Retirelnent Trust 37 as soon as is practicable; and 38 BE IT FURTHER RESOLVED: is hereby 3 9 That the City,s Payroll Administrator 1 receive 40 designated the coordinator for this program and shal 41 necessary reports, notices, etc. from the ICMA Retirement 42 Corporation as kdministrator, and shall cast, on behalf of the CitY 43 of virginia Beach, any required votes under the prograln. 44 Administrative duties to carry out the plan may be assigned to the 45 appropriate departments. 46 Adopted by the Council of the CitY of Virginia Beach, 47 virginia, on this 14 day of January 1992. 48 CA-4540 49 NONCODE\COMP.RES 50 R-1 RESOLUTION TD ESTABLISH AN ADDITIONAL DEFERRED COMPENSATION PLAN (ATTACHMENT) Appendix A - DeFerred Compensation Plan, Appendix B - ICNA Retirement Trust and Appendix C - Trust Agreement with ICKA Retirement Corporation are all on file in the Payroll Division of the Finance Department. - 29 - Item Ill-K.3 CONSENT AGENDA ITEM # 35246 Upon motion by by Vice Mayor Fentress, seconded by Counci lwoman Parker, City City Council ADOPTED: ordinance authorizing City Attorney to convey and record deeds dated June 20, 1989, executed by Virginia Beach Erosion Council. Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None 1 AN ORDINANCE AUTHORIZING RECORDATION OF DEEDS 2 DATED JUNE 20, 1989 EXECUTED BY VIRGINIA BEACH 3 EROSION COUNCIL JUNE 29, 1989. 4 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA 5 BEACH, VIRGINIA: 6 WHEREAS, by deeds, one dated May 11, 1952 and the other 7 dated December 31, 1953, the Virginia Beach Erosion Council 8 acquired the fee simple title to the western portion of the bottom 9 of Lake Wesley, and; 10 WHEREAS, by resolutions which the virginia Beach Erosion 11 Council considered and adopted at their meetings held on July 19, 12 1988 and December 20, 1988, the Erosion Council agreed to convey, 13 at the requesting owner's expense, portions of property owned by 14 the Erosion Council to adjacent property owners in order to clear 15 up titles or permit encroaching structures of the adjacent property 16 owners; and 17 WHEREAS, there are two unrecorded deeds dated June 20, 18 1989, and executed by the Virginia Beach Erosion Council June 29, 19 1989; and 20 WHEREAS, when the Virginia Beach Erosion Council ceased 21 to exist on July 1, 1989 by act of the General Assembly, the City 22 of Virginia Beach, by operation of law succeeded as successor in 23 interest to all rights, titles and interest in and to real and 24 tangible personal property owned by the Erosion Council; and 25 WHEREAS, the property which was to be conveyed by the 26 Erosion Council to the adjacent property owners became the property 27 of the City of Virginia Beach and now said deeds must be conveyed 28 and recorded pursuant to SS 15.1-307 of the Code of Virginia. 29 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY 30 OF VIRGINIA BEACH, VIRGINIA: 31 That the City Attorney is authorized to convey and record 32 the aforesaid deeds in the manner he deems in the best interest of 33 the City of Virginia Beach. 34 Adopted by the Council of the City of Virginia Beach, 35 virginia, on the @4th day of , 1992. 36 Note: Pursuant to V.C.A 15.1-307 a recorded affirmative vote of 37 three-fourths of all the members elected to council is required. 38 CA-4535 39 ORDIN\NONCODE\CA-4535.ORD 40 R-3 A, 4T AF',IPOVE-Cl! AS TO LCGAL SUFFICIENCY, AND FORM CITY A77ORNEY 2 - 30 - Item III-K.4 CONSENT AGENDA ITEM # 35247 The following spoke in SUPPORT of the Ordinance: Geneva 0. Wills, 236 Shipp Lane, Phone: 428-2548 E. George Minns, Post Office Box 4548, Phone: 671-2827, President - NAACP Upon motion by Councilman Brazier, seconded by Vice Mayor Fentress, City Council ADOPTED: Ordinance authorizing acquisition of property in fee simple for right-of-way for Atlantic Park Drainage (CIP 2-020) with temporary and permanent easements of right-of-way, either by agreement or condemnation. Voting: 10-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf and Nancy K. Parker Council Members Voting Nay: None Council Members Absent: William D. Sessoms, Jr. Councilman Sessoms left at 4:48 P.M. 1 AN ORDINANCE TO AUTHORIZE ACQUISITION OF 2 PROPERTY IN FEE SIMPLE FOR RIGHT OF WAY FOR 3 ATLANTIC PARK DRAINAGE CIP 2-020 AND THE 4 ACQUISITION OF TEMPORARY AND PERMANENT 5 EASEMENTS OF RIGHT OF WAZ, EITHER BY AGREEMENT 6 OR CONDEMNATION 7 WHEREAS, in the opinion of the Council of the City of 8 virginia Beach, Virginia, a public necessity exists for the 9 construction of this important drainage system for the preservation 10 of the safety, health, peace, good order, comfort, convenience, and 11 for the welfare of the people in the City of Virginia Beach: 12 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY 13 OF VIRGINIA BEACH, VIRGINIA: 14 Section 1. That the City of Virginia Beach is hereby 15 authorized to acquire by purchase or condemnation pursuant to 16 sections 15.1-236, et seg., 15.1-898, 15.1-899, 25-46.1 et seg., 17 and Section 33.1-89, et seg. , Code of Virginia of 1950, as amended, 18 all that certain real property in fee simple, including temporary 19 and permanent easements of right of way as shown on the location 20 map entitled "ATLANTIC PARK DRAINAGE C.I.P. NO. 2-020," this 21 location map being on file in the off ice of Real Estate Department 22 of Public Works, Virginia Beach, Virginia. 23 Section 2. That the City Manager is hereby authorized to 24 make or cause to be made on behalf of the City of Virginia Beach, 25 to the extent that funds are available, a reasonable offer to the 26 owners or persons having an interest in said lands, if refused, the 27 City Attorney is hereby authorized to institute proceedings to 28 condemn said property. 29 Adopted by the council of the City of Virginia Beach, 30 Virginia, on the 14 day o@, January 1992. 3 1 CA-4495 32 NONCODE\CA-4495.ORD 33 R-1 TO CONTENTS APPROVED AS TO LEGAL SUFFICI]MCY AND FORM CITY ATTORNKY - 31 - Item III-K.5 CONSENT AGENDA ITEM # 35248 Gunther Degen, 524 Viking Drive, Phone: 486-6623, President - Hermes Abrasives Upon motion by Councilman Brazier, seconded by Councilman Baum, City Council ADOPTED: Ordinance authorizing a temporary encroachment into a portion of the Canal No. 2 drainage easement to Hermes Abrasives to install parking lot fencing (LYNNHAVEN BOROUGH). The following conditions shall be required: 1. The owner agrees to remove the encroachment when notified by the City of Virginia Beach, at no expense to the City. 2. The owner agrees to keep and hold the City free and harmless of any liability as a result of the encroachment. 3. The owner agrees to maintain said encroachment so as not to become unsightly or a hazard. 4. The owner agrees to provide two gates, one along each side property line with a minimum fifteen- (15-) foot opening. Said gates to be located between the existing parking lot and the top of bank. If gates are locked, keys must be provided to the City of Virginia Beach, Department of Public Works, Highways Division. Voting: 10-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf and Nancy K. Parker Council Members Voting Nay: None Council Members Absent: William D. Sessoms, Jr. I AN ORDINANCE TO AUTHORIZE 2 A TEMPORARY ENCROACHMENT 3 INTO A POR'TION OF THE 4 CANAL NO. DRAINAGE 5 EASEMENT TO HERMES 6 ABRASIVES, !TS HEIRS, 7 ASSIGNS AND SUCCESSORS IN 8 TITLE 9 BE IT ORDAINED BY THE COUNCIL OF THE CITY OF VIRGINIA 10 BEACH, VIRGINIA: 11 That pursuant to the authority and to the extent thereof 12 contained in Section 15.1-893, Code of virginia, 1950, as amended, 13 Hermes Abrasives, its heirs, assigns and successors in title, is 14 authorized to construct and maintain a temporary encroachment into 15 the Canal No. 2 drainage easement. 16 That the temporary enc:roachment herein authorized is for 17 the purpose of constructing and maintaining an eight-foot high 18 chain link and barbed wire fence and that said encroachment shall 19 be constructed and maintained in accordance with the City of 20 Virginia Beach Public Works Department' s specifications as to size, 21 alignment and location, and further that such temporary 22 encroachment is more particularly described as follows: 23 An area of encroachment into a 24 portion of the City's property known 25 as Canal No. 2, on the certain plat 26 entitled: "ENCROACHMENT PLAT 27 PROPOSED FENCE FOR HERMES ABRASIVES 28 9-9-91,11 a copy of wliich is on file 29 in the Department of Public Works 30 and to which referenc-- is made for a 31 inore particular description. 32 PROVIDED, IIOWEVER, -,bat the temporary encroachment herein 33 authorized shall terminate upon riotice by the City of Virginia 34 Beach to any officer of Hermes Abrasives, itself, its heirs, 35 assigns and successors in title and that within thirty (30) days 36 after such notice is given, said encroachment shall be removed from 37 the City's property known as Canal No. 2 and that it, its heirs, 38 assigns and successors in title sha"l bear all costs and expenses 39 of such removal. 40 AND, PROVIDED FURTHER, that it is expressly understood 41 and agreed that Hermes Abrasives, its heirs, assigns and successors 42 in title shall indemnify and hold harmless the City of Virginia 43 Beach, its agents and employees from and against all claims, 44 damages, losses and expenses including reasonable attorney's fees 45 in case it shall be necessary to file or defend an action arising 46 out of the location or existence of such encroachment. 47 AND, PROVIDED FURTHER, that the party of the second part 48 agrees to maintain said encroachment so as not to become unsightly 49 or a hazard. 50 AND, PROVIDED FURTHER. tliat this ordinance shall not be 51 in effect until such time that Hermes Abrasives executes an 52 agreement with the City of Virginia Beach encompassing the 53 aforementioned provisions. 54 Adopted by the Council of the City of Virginia Beach, 55 Virginia, on the 14 day of January 19 92 56 KL/ta 57 09/18/91 58 hermes.ord A@ROVLD AS fO CONTENT SIGN@TURF DEPA.' T@@@NT AP@ T,,) PRC IND Y.,d LOCATION MAP LLI qu ts LL 0 z 0 cn cn 0 z is @day of THIS AGREEMENT, made th 19 by and between the CITY OF VIRGINIA BEACH, VIRGINIA, a R municipal corporation, party of the first part, and HERMES ABRASIVES, a virginia corporation, ITS ASSIGNS AND SUCCESSORS IN TITLE, party of the second part. W I T N E S S E T H: That, WHEREAS, it is proposed by the party of the second part to construct and maintain an eight-foot chain link and barbed wire fence in the City of Virginia Beach; and WHEREAS, in constructing and maintaining such fence, it is necessary that the said party of the second part encroach into ii a portion of City property known as Canal No. 2; and said party ii l@ of the second part has requested that the party of the first part grant a temporary encroachment to facilitate such fence within a portion of the City's property known as Canal No. 2. NOW, THEREFORE, for and in consideration of the premises and of the benefits accruing or to accrue to the party of the second part and for the further consideration of one Dollar ($1.00), in hand paid, to the said party of the first owledged, the party of the part, receipt of which is hereby ackn first part doth grant to the party of the second part a temporary encroachment to use a portion of the City's property known as Canal No. 2 for the purpose of constructing and maintaining such fence. it is expressly understood and agreed that such temporary encroachment will be constructed and maintained in a,ccordance with the laws of the Commonwealth of Virginia and the city of Virginia Beach, and in accordance with the City of virginia Beach Public Works Department's specifications and approval as to size, aligriment and location and is more particularly described as follows, to wit: An area of encroachment into a portion of the city's property known as Canal No. 2 as shown on that certain plat entitled: "ENCROACHMENT PLAT PROPOSED FENCE FOR HERMES ABRASIVES 9-9-91,11 a copy of which is attached hereto as Exhibit "A" and to which reference is made for a more particular description. it is further expressly understood and agreed that the itemporary encroachment herein authorized shall terminate upon notice by the City of Virginia Beach to the party of the second part, and that within thirty (30) days after such notice is given, such temporary encroachment shall be removed from the City's property known as Canal No. 2 by the party of the second arty of the second part shall bear all costs part; and that the p and expenses of such removal. j@ It is further expressly understood and agreed that the party of the second part shall indemnify and hold harmless the City of Virginia Beach, its agents and employees, from and against all claims, damages, losses and expenses including reasonable attorney's fees in case it shall be necessary to file @ii or defend an action arising out of the location or existence of i! such temporary encroachment. It is further expressly understood and agreed that nothing herein contained shall be construed to enlarge such or permission and authority to permit the maintenance construction of any encroachmeilt other than that specified herein xtent specified herein, nor to permit the and to the limited e croachment by anyone other maintenance and construction of any en party of the second part. than the nd agreed that the it is further expressly understood a ntain said encroachment so party of the second part agrees to mai ightly or a hazard. as not to become uns it is further expressly understood and agreed that the party of the second part will provide two gates, one along each foot opening. i side property line with a minimum fifteen (15) Said gates to be located between the existing parking lot and the top of bank. If gates are locked, keys must be provided to the city of virginia Beach, Department of public Works, Highways Division. It is further expressly understood and agreed that the party of the first part, upon revocation of such authority and ove any such encroachment and permission so granted, may rem charge the cost thereof to the party of the second part, and ovided by law for the collection icollect the cost in any manner pr of local or state taXeS; may recluire the party of the second part to remove such temporary encroachment; and pending such removal, the party of the first part may charge the party of the second 11 part compensation for the use of such portion of the City's 3 right-of-way encroached upon the equivalent of what would be the real property tax upon the land so occupied if it were owned bY the party of the second part; and if such removal shall not be made within the time ordered hereinabove by this Agreement, the city stiall impose a penalty in the sum of one Hundred Dollars ($100.00) per day for each and every day that such encroachment is allowed to continue thereafter, and shall collect such compensation and penalties in any manner provided by law for the collection of local or state taxes. IN WITNESS WHEREOF, the said HERMES ABRASIVES has caused this Agreement to be executed in its corporate name and on its behalf by its president, and its corporate seal to be hereto affixed and duly attested by its corporate secretary with due authority by its board of directors. Further, that the City of Virginia Beach has caused this Agreement to be executed in its name and on its behalf by its City Manager and its seal be hereunto affixed and attested by its City Clerk. CITY OF VIRGINIA BEACH By Designee of the City Manager (SEAL) ATTEST: 4 HERMES ABRASIVES, a virginia corporatbn B (iuntrier Degen,/President (SEAL) ATTEST: (Title) STATE OF VIRGINIA CITY OF VIRGINIA BEACH, to-wit: I a Notary Public in and for the City and State aforesaid, do hereby certify that CITY MANAGER/AUTHORIZED DESIGNEE OF THE CITY MANAGER PURSUANT TO SECTION 2-154 OF THE CITY CODE, whose name is signed to the foregoing Agreement bearing date on the day of 19 has acknowledged the same before me in my City and State aforesaid. GIVEN under my hand this day of 19 Notary Public @MY Commission Expires: ISTATE OF VIRGINIA CITY OF VIRGINIA BEACH, to-wit: a Notary Public in and for the City and State aforesaid, do hereby certify that RUTH HODGES SMITH, City Clerk for the CITY OF VIRGINIA BEACH, 5 whose name is signed to the foregoing Agreement bearing date on the day of 19 _, has acknowledged the saine before me in my Cit,, -ind State aforesaid. GIVEN under @his day C)f 19-. Notary Public My Commission Expires: STATE OF VIRGINIA CITY OF VIRGINIA BEACH. to-wit,; a Notary Public iii aiid for the Ci.ty and Stata aforesaid, do hereby certify that Gunther Degen, President, on behalf of HERMES ABRASIVES, whose iiame is signed to the foregoing writing, bearing date the day of 1-9_D, has acknowledged the same before me in my City and State aforesaid. Given under my liand this day of Notar@ My Coimission Expires: KL/tga 09/12/91 (encroac,@h\hermes.agr) APPROVLL) AS TC) 6 - 32 - Item Ill-K.6 CONSENT AGENDA ITEM # 35249 Upon motion by by Vice Mayor Fentress, seconded by Counci lwoman Parker, City City Council APPROVED: LOW BID: DJW CONSTRUCTION Beach Restoration $461,145.00 COMPANY, INC. Spring 1992 Voting: 11-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McCianan, Mayor Meyera E. Oberndorf, Nancy K. Parker and William D. Sessoms, Jr. Council Members Voting Nay: None Council Members Absent: None - 33 - Item Ill-L.1 UNFINISHED BUSINESS ITEM # 35250 Upon motion by Counci Iman Jones, seconded by Counci iman Baum, City Counci I APPROVED: Request of Vice Mayor for reimbursement of $240.88 expense in officially representing the Mayor. Vice Mayor Fentress referenced the Ordinance restricting Travel Expenses tor Councilmembers (ADOPTED by City Council on Feburary 12, 1991) and the Ordinance estab] ishing a Reimbursement Pol Icy for In-City Travel and Meal Expenses incurred by Members of City Council while conducting official business (ADOPTED by City Council on August 21, 1989). These Ordinances seem to conflict and perhaps should be AMENDED. Voting: 7-1 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Harold Heischober, Louis R. Jones, Paul J. Lanteigne and Mayor Meyera E. Oberndorf Council Members Voting Nay: Nancy K. Parker Council Members Abstaining: Vice Mayor Robert E. Fentress and Reba S. McCianan Council Members Absent: William D. Sessoms, Jr. - 34 - Item 111-M.l. NEW BUSINESS ITEM # 35251 Upon motion by Vice Mayor Fentress, seconded by Councilman Jones, City Council: CANCELLED CITY COUNCIL SESSION: Tuesday, May 5, 1992 Councilmanic Election The City Council Session of March 10, 1992, will remain as SCHEDULED. Voting: 10-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf and Nancy K. Parker Council Members Voting Nay: None Council Members Absent: William D. Sessoms, Jr. - 35 - Item 111-M.2. NEW BUSINESS ITEM # 35252 ADD-ON Councilman Lanteigne distributed copies of a proposed resolution: Resolution directing the City Manager to review other localities re term limitations of governing bodies. Councilman Lanteigne requested this Resolution be SCHEDULED for the City Council Session of January 28, 1992. - 36 - Item III-M.3. NEW BUSINESS ITEM # 35253 ADD-ON Mayor Oberndorf requested the City Clerk ascertain Council's availability for a Workshop to review the Budget Survey (FY 1992 - 1993 OPERATING BUDGET) either January 21, 1992, or January 28, 1992. - 37 - Item Ill-M.4. NEW BUSINESS ITEM # 35254 Councilman Brazier formally requested the City Manager prepare a survey for the CAPITAL IMPROVEMENT PROGRAM similar to the one distributed to the City Council for the FY 1992 - 1993 OPERATING BUDGET. - 38 - Item Ill-N.I. RECESS INTO EXECUTIVE SESSION ITEM # 35255 Mayor Meyera E. Oberndort entertained a motion to permit City Counci I to conduct its EXECUTIVE SESSION (5:25 P.M.), pursuant to Section 2.1 -344 (A), Code of Virginia, as amended, for the following purposes: 2. LEGAL MATTERS: Consultation with legal counsel or brietings by staff members, consultants, or attorneys pertaining to actual or probable litigation, or other specific legal matters requesting the provision of legal advice by counsel pursuant to Section 2.1-344 (A) (7). To-Wit: City of Virginia Beach v. ESG Enterprises, Inc. Upon motion by Councilman Baum, seconded by Councilman Clyburn, City Council voted to proceed into EXECUTIVE SESSION. Voting: 10-0 Council Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Harold Heischober, Louis R. Jones, Paul J. Lanteigne, Reba S. McCianan, Mayor Meyera E. Oberndorf and Nancy K. Parker Council Members Voting Nay: None Council Members Absent: William D. Sessoms, Jr. - 39 - Item 111-N.2. RECONVENE FORMAL SESSION ITEM # 35256 Mayor Meyera E. Oberndorf RECONVENED the FORMAL SESSION of the VIRGINIA BEACH CITY COUNCIL in the Counci I Chamber, City Hal I Bul Iding, on Tuesday, January 14, 1992, at 6:08 P.M. Council Members Present: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndorf and Nancy K. Parker Council Members Absent: Harold Heischober and William D. Sessoms, Jr. - 40 - Item 111-N.3. CERTIFICATION OF ITEM # 35257 EXECUTIVE SESSION Upon motion by Counci lman Heischober, seconded by Counci Iman Sessoms, City Council CERTIFIED THE EXECUTIVE SESSION TO BE IN ACCORDANCE WITH THE MOTION TO RECESS. Only public business matters lawfully exempted from Open Meeting requirements by Virginia law were discussed in Executive Session to which this certification resolution applies; AND, Only such publ lc business matters as were identif ied in the motion convening the Executive Session were heard, discussed or considered by Virginia Beach City Council. Voting: 9-0 Councll Members Voting Aye: John A. Baum, James W. Brazier, Jr., Robert W. Clyburn, Vice Mayor Robert E. Fentress, Louis R. Jones, Paul J. Lanteigne, Reba S. McClanan, Mayor Meyera E. Oberndort and Nancy K. Parker Council Members Voting Nay: None Council Members Absent: Harold Heischober and William D. Sessoms, Jr. CERTIFICATION OF EXECUTIVE SESSION VIRGINIA BEACH CITY COUNCIL WHEREAS: The Virginia Beach City Council convened into EXECUTIVE SESSION, pursuant to the affirmative vote recorded in ITEM # 35255, Page No. 38 and in accordance with the provisions of The Virginia Freedom of Information Act; and, WHEREAS: Section 2.1-344.1 of the Code of Virginia requires a certification by the governing body that such Executive Session was conducted in conformity with Virginia law. NOW, THEREF-ORE, 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 Executive Session to which this certification resolution applies; and, (b) only such public business matters as were identified in the motion convening this Executive Session were heard, discussed or considered by Virginia Beach City Council. Ruth Hodges Srrith, CMC/AAE City Clerk January 14, 1992 41 - Item III-0.1. ADJOURNMENT ITEM # 35258 Upon motion by Councilman Baum, and BY CONSENSUS, City Council ADJOURNED the Meeting at 6:10 P.M. BeverlcpO. Hooks, CMC Chief Deputy City Clerk Uth Hodges-Smith, CMC/AAE MI@y a(5. Oberndorf City Clerk Mayor City of Virginia Beach Virginia