2026-09-29 - City Council Work Session

Summary

Deputy City Manager Williams presented the Major Projects update.
Chrysler Hall renovation: $111 million budget, W.M. Jordan as contractor, completion expected summer 2028, with $20 million in historic tax credits anticipated.
New Murray High School: $220 million contract with Heartland Construction; substantial completion expected summer 2028.
Norfolk Fitness and Wellness Center: $68 million contract for a combined recreation and library facility of about 105,000 sq ft.
East Street Garage: $15 million design-build with Breedon Construction; a change order on the agenda brings it to 624 spaces.
Norfolk Casino (Boyd Gaming): $750 million investment, with the hotel topping out at the end of 2026.
A Target opens October 11 at Wards Corner.
Opportunity Zones 2.0: all 29 eligible census tracts were nominated; staff estimated 7 to 10 may be approved by the Commonwealth.
Military Circle Mall demolition: $2.88 million contract with Reclaim Company, with a $371K state grant.
MacArthur Center: studies are complete and a purchase and development agreement is targeted for council consideration in November or December.
School site redevelopment: staff recommended starting marketing and rezoning of vacant school sites; a joint meeting with the school board was requested.
Short-term rental briefing from the Planning Director: vacation rental parcels in Willoughby rose from 37 in 2024 to 50. See Short-Term Rental Overlay and Permits.
Council went into closed session around 5:50 PM to discuss a lease of property on Main Street, Ward Two. See City Property Leases and Sales.
Related: 2026-09-29 - City Council.

Agenda

Agenda PDF posted; see Sources.

Sources

Agenda: https://www.norfolk.gov/AgendaCenter/ViewFile/Agenda/_09292026-1322
Action results (Minutes PDF): https://www.norfolk.gov/AgendaCenter/ViewFile/Minutes/_09292026-1322
Video, work session: https://www.youtube.com/watch?v=0fVIfKB6AxY (NorfolkTV YouTube channel)
Agenda Center: https://www.norfolk.gov/AgendaCenter

Video

Transcript

These are uploader-provided captions; names and numbers may be misheard.

Transcript

00:04Council of the City of

Norfolk will now commence.

00:06Mr. Roberts, the floor is yours.

00:08Thank you.

00:09Mayor, vice mayor,

members of City Council.

00:10I will take a minute and

provide an overview of the

00:13proposed agenda for this

afternoon's work session

00:15meeting and the first

presentation entitled Major

00:17Projects Update.

00:19Kim Williams will provide an

overview of Norfolk's major

00:23public, private and combination

of public private projects

00:27going on throughout the city in

various stages of development

00:29and construction, including

00:31some current or

upcoming milestones.

00:34Following that presentation, we

00:36will get a short

term rental briefing.

00:38Bobby Tahan, Director of

Planning, is going to give an

00:41overview of answers to

questions from your previous

00:44discussion on this

recommended policy.

00:47This is in advance of staff

asking Council to take a vote

00:51to put the new STR policy

in effect on October 13th.

00:55We do have a couple of items

that require consideration of a

00:58closed session motion.

01:00And so without objections or

amendments to the agenda, I

01:03would like to invite

to the lectern.

01:05DCM Williams on the

major projects update.

01:08Without objection.

01:08DCM Williams.

01:09Welcome, sir.

01:10Good afternoon Council.

01:15This is a blended

portfolio overview.

01:18We have here.

01:19So I may be calling on

DCM Jorge or DCM Beaver.

01:21And we have our city engineer

Sid Kitterman with us.

01:25But this is a lot

of exciting things.

01:28Norfolk is on the move, and

this is going to highlight some

01:31of the public investment

projects that we have.

01:35Yes, sir.

01:36Yes, sir.

01:37It's contagious.

01:40Um.

01:43Uh, uh, the projects that we

have listed here on the screen,

01:48um, and I will point out for

the council and the public

01:51that's viewing that a lot

of these can be found on our

01:53website at the, the link there

at the bottom of Dot gov slash.

01:58Major projects.

01:59And so we keep that updated

regularly for all things that

02:03are happening across the city.

02:06If someone

02:08walks on,

02:11it will show where that

particular project is.

02:15Any in the development,

construction or finance phase?

02:18Yes. For the.

02:20Yes. A lot of them are public

projects, projects that we're

02:23doing the investment.

02:24But yes, we also have also been

building pages, particularly

02:27for these public private

development opportunities in

02:30the city.

02:30Yes.

02:32And Kelly released a whole

series of updates today to

02:36several of them.

02:38Yeah. So jumping into the major

public investment projects.

02:42Chrysler Hall

renovation is underway.

02:48This is coming in at $111

million total budget, which

02:54includes scope and

Chrysler Hall central plant

02:57rehabilitation is part of that.

02:59Um, the award of the contract.

03:01See them at risk

contract to W.M.

03:03Jordan. Uh, this past summer

03:04with the notice to

proceed in June.

03:07Uh, construction started

in earnest in July, and the

03:10anticipated completion

is summer of 28.

03:13There'll also be a temporary

shutdown of scope in July of 27

03:17required to complete

the project.

03:18Because of that,

that central plant.

03:21And right now, the grand

opening is planned for the fall

03:25of 2028.

03:26We also should mention that,

uh, as supportive of the

03:30project as we anticipate the

potential for about $20 million

03:33of historic tax credits.

03:35And because of some of the work

that's being done in scope, we

03:38believe we can capture some

additional credits there.

03:41Uh, and then there is the

potential for philanthropic

03:44support upwards of $15 million

or so to support the project.

03:51Uh, just as a reminder, what

are we getting with the, with

03:54this renovation.

03:56Um, we get an expanded lobby on

the sides, new access pathways

04:00to seating, which I think is

probably the most exciting for

04:03a lot of people who have ever

had to cross the, the whole row

04:07of a Chrysler Hall performance,

um, expanded restrooms, better

04:11acoustics and lighting,

rigging and stage improvements,

04:14elevator upgrades, expanded

loading docks, which is really

04:17good for the performing acts

that come there, uh, accessible

04:21performer catering entrance as

well to support them and then

04:24upgraded support

spaces at all levels.

04:26And as I said, the, the

mechanical and the central plan

04:30in particular and

some roofing upgrades.

04:32So a very exciting project.

04:34And, uh, we have temporarily

moved most of the shows over to

04:38the Harrison Opera House.

04:39Um, and so far

that's working well.

04:46Moving on to new

Murray High School.

04:52$220 $20 million contract

04:55awarded to Heartland

Construction.

04:57Phase one is is complete.

05:00That was achieved in August,

which included the relocation

05:02of the baseball and softball

05:04fields and relocation

of some utilities.

05:07Phase two is underway with the

05:08new school and most

of the site work.

05:11It includes a small field house

east of Llewellyn and provides

05:14restrooms, concessions

and storage.

05:17We expect some substantial

05:18completion in the summer of 2028

05:22in time for the

2029 school year.

05:25And then phase three will be

demolition of the non-historic

05:28parts of the old to allow

additional parking and

05:30completion of the turf

field behind the new school.

05:33Completion for that is

expected in January of 2029.

05:37Some progress photos here.

05:38You can see that that we are

starting to see the school, the

05:41L shaped high school

start to rise up.

05:44You've got your stairwell

towers there that are being

05:47built and foundations

are well underway.

05:49You also see the auditorium

there to the right corner and

05:53then the baseball field looks

amazing that that was recently

05:56completed there and

ready for action.

06:07Moving on to a project that

has been years in the making,

06:11Norfolk Fitness and

Wellness Center.

06:14The new Combined Recreation

and Library Center facility of

06:17approximately 105,000ft.

06:19$68 million contract was

awarded to the fitness center

06:23and Natatorium include a

significant amount of water

06:26activities, including eight

lane lap pool diving platforms,

06:31lazy river splash pad,

basketball courts, cardio rooms

06:35and multi sport open fields,

06:37outdoor seating

and walking trails.

06:39A really great

facility on that site.

06:42Construction is well underway,

with the completion anticipated

06:46in the fall of 2027.

06:48And give you a little bit

of progress report here.

06:50Some visuals from the interior

06:52starting to close

the building in.

06:54And then as you see in the top

there, views from the north

06:58looking south and then views

from the south looking north.

07:01Buildings really

starting to take shape.

07:08New project just got underway.

07:10The East Street garage.

07:14It's a $15 million design build

contract awarded to Breedon

07:17Construction, and the base

project included garage with

07:22491 spaces.

07:24And you actually have an

ordinance on your agenda this

07:27evening, pH eight, which would

authorize a change order to add

07:3130 additional spaces in the

garage and include demolition

07:35of the Sheriff administrative

building to allow for 103 space

07:38surface parking lot.

07:40That would give us the highest

parking capacity on site, with

07:43a single garage

total of 624 spaces.

07:47The project as designed is very

07:49constructible,

maintainable, durable.

07:52It's designed for future

flexible phase two expansion,

07:56and it started this month with

projected completion in the

07:59fall of 2027.

08:01Uh, this is a view of the

08:04garage looking down Main Street.

08:06Overall, the architecture does

not overwhelm the buildings in

08:10downtown or or City Hall.

08:12Helps bridge the city's visual

identity over to Harbor Park.

08:16Um. Along the light rail

corridor and the tall stair

08:20towers are oriented towards the

highway to announce arrival in

08:24Norfolk for highway, uh,

traffic visiting the city and

08:27helps visitors to Harbor Park

to easily find the parking.

08:32This gives you an image of

what the garage and the surface

08:35parking would be, and you

see how much it complements

08:38complements the future

entertainment district around

08:41Harbor Park and potential

future uses if we have any

08:44other redevelopment

in this area.

08:50So moving on to two highlighted

private developments.

08:55Norfolk Casino

08:57and their tagline A

true destination resort.

09:00Uh. Construction is well

underway as you can see.

09:03Uh, in the skyline.

09:05Uh, the podium and garage hotel

will top out at the end of this

09:09calendar year.

09:10Uh, currently, they're running

three construction shifts six

09:14days a week, over 365,000 man

hours and 12.3 million in wages

09:21paid to date.

09:22And it's on schedule for

opening next fall as required.

09:25Um, they are targeting

800 plus employees.

09:28They're working with local

universities and the Department

09:30of Defense with the skill

09:31bridge program for their hiring.

09:33And they will be establishing

a hiring center likely here in

09:36downtown Norfolk.

09:37And then really.

09:39Boyd. Boyd gaming, being a

great partner to our community,

09:43has already had

some philanthropic

09:45donations and partnerships

with local organizations.

09:49$750 million

investment to our city.

09:54This is some progress.

09:55Photos. You see the

parking garage here?

09:57Uh, in the in the foreground

hotel at the end there.

10:02And then look in here by the

river, the hotel coming up.

10:04And they have additional

the additional overlook that

10:08overlooks the Harbor Park that

they'll be extending here in

10:11the next few weeks.

10:16The Amtrak parking is supposed

to be on the back side of that.

10:20Um, right.

10:22Are they is there a plan to

10:25finish try to

finish that before.

10:27Um well they're still doing

construction or are they still

10:30using that as access to

get to the other parts?

10:33You might not know

the answer to that.

10:35Um, I've been on its iterative,

um, I think that some of the

10:40spaces I believe are in the

garage itself that are going to

10:43be dedicated 103 spaces

dedicated in the garage.

10:47Yes.

10:48I just thought I remembered a

10:50rendering that had

spaces on that.

10:53I don't know if you go

back to the back picture.

10:54Yeah. More like a drop

off lane, I think.

10:57Go back to the

11:00right. There to the left.

11:02Um, I thought there

were spaces along that.

11:05I think I think

it's more drop off.

11:07Okay. Yeah.

11:07As I understand it.

11:08But we can get a better

detail for you on that.

11:10Maybe opening that up sooner

or you don't think they got to

11:13wait until the whole

building is open?

11:18Looking at the flow of

construction, I think we're

11:21probably looking spring summer

before you get that, when you

11:25actually start to get more

enclosure of the building and

11:27the garage is complete, and

they could have even some

11:30temporary activation of like

construction workers parked in

11:33the garage, for example.

11:36Yes. Miss Johnson.

11:37Did you go to the slide

where you were discussing the

11:41charitable, charitable

contribution?

11:44Could you name those out for

our citizens who may be viewing

11:51our meetings?

11:52Sure.

11:53So they partnered in charitable

11:54donations with Norfolk

State University.

11:57Um, of the $1,000,000 million

in Norfolk State University,

12:02uh, 900,000 to both the food

banks in our in our region,

12:06100,000 to the USO, uh, 50,000

to community college, 50,000 to

12:12Old Dominion University, and

12:14then some smaller

donations, partnerships.

12:16And then they've been given

tide baseball tickets to local

12:19organizations as well.

12:20Thank you.

12:21Sir.

12:25Okay, moving on to Wards Corner.

12:27Uh, target wards corner.

12:29Uh, this is target's second

location in Norfolk and

12:32scheduled to open October 11th

at the former Kroger site.

12:36Approximately 129,000ft.

12:39About a $15 million investment.

12:41More than 140 new

team member positions.

12:44They're going to have standard

12:45hours of 8 to 10

Monday through Sunday.

12:48The store is funded as part

of target's larger $5 billion

12:51corporate capital investment

plan, aimed at fueling its next

12:54chapter of growth.

12:55It features a larger grocery

store and food forward

12:58selection than typical target

locations, including grab and

13:02go meals.

13:03It also will include a CVS

pharmacy and a Starbucks cafe

13:07equipped with electric vehicle

charging stations in the

13:10parking lot.

13:11And it offers drive up order

pickup, same day delivery via

13:14Target Circle 360 and next day

delivery across Norfolk, and

13:19features wider aisles and

adult beverage offerings.

13:24So very exciting there.

13:28So moving into public private

developments, and this is

13:31really capturing some things

that are underway and some

13:34things that are opportunities.

13:38So kindred at Saint Paul's

I think the council and the

13:42community can continue to to

cheer about the success of

13:45where where we've been so far

with the kindred development.

13:49The new infrastructure and

connectivity for phase one is

13:52complete with the Freemason

extension, and the signal is

13:55working there.

13:57Uh, 319 units were completed in

phase one, and now we have 191

14:01that are in construction

and 191 in financing.

14:05We also have the 22 acre blue

green stormwater recreational

14:09park coming underway.

14:11And the people First services

continue, and so far have

14:14served 577 Norfolk families.

14:19A new announcement this

week was that the National

14:23Association of Housing and

Redevelopment Officials awarded

14:27the Award of Merit winner to

14:29the city and NRA for

this development.

14:32Uh, they'll be honored at the

14:34National conference

in Colorado mid-month.

14:37Um, and the submission

highlighted restoring people

14:41home place together coordinate

a public private partnership at

14:44scale, leveraging a

braided funding source.

14:48The People First initiative

mixed income housing design

14:52excellence, environmental

resilience is a community

14:55asset, and then economic and

community activation, and a

14:59replicable model for community

revitalization that we can use

15:02in the future.

15:07Under construction right now is

kinship at Kindred blocks nine,

15:1116, nine and ten.

15:13As you see highlighted here

with the arrows, those they're

15:16well underway with anticipated

completion of all three of

15:22those blocks by this winter.

15:24Well, lease up is in progress.

15:26Um and Tower Garden residents

have a 45 day exclusive leasing

15:30period as part of this.

15:32Next, I'll move on to the

resilience block with 62 units

15:35that include both well elevator

building, but also some walk up

15:40units and townhomes.

15:42That is going to start this

upcoming winter and with

15:45completion next summer.

15:46And if anyone wants any more

details about the floor plans

15:50and opportunities for leasing

15:52this website down here,

[email protected]

15:56gives the

opportunities for that.

16:02Now, this is an idea that that

has been a long time coming.

16:04This really was first word of

the first Dutch dialogs and a

16:08resiliency understanding of our

where our city was and what the

16:14stormwater needs are.

16:15And sometimes that you have

to let the water be where the

16:18water was because

it's coming back.

16:19And so this stormwater

resilient park is meant to, to

16:24serve the area and to better

enhance the Tidewater drive

16:27Brambleton and

kindred development.

16:29Uh, our

16:32phase one stormwater

construction RFP is being is

16:36released this fall.

16:38We expect construction to start

with the stormwater work in 26

16:44into early 27, and then in

phase two, we would be would be

16:48the amenities of the park that

we will be releasing about a

16:51year from now.

16:52The RFP for that.

16:59So moving over to

17:01another project area, the

former Globe Iron Site.

17:06Uh,

17:07this land assemblage is

approximately 25 acres across

17:11six parcels of Maltby, Kerry,

17:13Julian Avenue, and Bruce's Park.

17:16Uh, we have a $3 million

demolition project of the steel

17:20warehouses and the one

story office building.

17:23We also received from

Congress a $1 million from the

17:27congressionally directed

spending grant to support the

17:30demolition cost.

17:31Uh, it will start this late

17:32fall with completion

in about a year.

17:35Uh, bids have been received and

17:37under review for contract award.

17:39And what this site does is it

provides us future development

17:42opportunity that we can start

to market this fall, which we

17:46would anticipate an RFP

with council support in this

17:49upcoming winter for mixed use

and or residential development.

17:59So I know the manager, I

believe, communicated with,

18:02with you about, uh, um, plans

that we, we will be working

18:08through for excess properties

from the Norfolk public school

18:12system, school consolidation

and facilities plan.

18:15And then also we have some,

uh, already in city ownership,

18:19former school facilities.

18:21Um, but as you can see, we have

a pipeline of school facilities

18:25all across the city that

18:27provide great redevelopment

opportunities.

18:30Um, and we want to talk to

you about a couple of things.

18:32The first is on the schools

that we already have and that

18:37are coming, excuse me, from the

school consolidation plan this

18:40fall, the Willoughby

Early Childhood Center.

18:44Um, both this and the Northview

Elementary School are pending

18:48the final school board action.

18:50But once they do finalize that

action, then they come into the

18:54possession of the city.

18:55Um, we do have early

recommendations for these two.

18:59One is that we've been

approached by the contractor

19:02for HRBT construction to lease

that for the remainder of their

19:07project, at least start

out with a year lease.

19:09And then we have some

resiliency work as part of our

19:12resiliency work that we'd also

like to use that as part of a

19:15lay down space.

19:16Um, so that would if once we

receive the school and with

19:20council support, we would work

through that lease for that

19:22temporary use of that building

19:26for Northview Elementary, we're

recommending that we, uh, that

19:30we do put that out for

the market to respond to

19:33residential development, with

retention of the community

19:36center as part of a

development there.

19:39And so what the process looks

like for that is that in

19:42October, we secured

the school site.

19:44We issue an RFP.

19:46We'll work through a selection

process for developer.

19:49We'll complete community

outreach, adopt a development

19:52agreement, rezoning

and subdivisions.

19:54That would be part of that plan.

19:56And then the developer,

hopefully we would have the

19:58opportunity for them to

initiate construction.

20:03The other schools that we have

coming in the pipeline in the

20:06upcoming years, next

year we have five.

20:08For example, we need to be

cognizant that based on our

20:11recent history, the average

maintenance and security cost

20:15of a school site we're seeing

is just under $1 million.

20:20A significant amount of

that is, is security.

20:23And we know that some of the

experiences that we've had with

20:26some of our our vacant school

buildings, um, the opportunity

20:29cost that the longer we wait

before we redevelop, is that we

20:33have the potential for 3738000

20:36per acre in real estate tax

across all the schools that are

20:41coming our way.

20:42We have about 120 acres, so

it's potentially $4.5 million a

20:46year in tax revenue that we

could be receiving once we get

20:49these under development.

20:51And so recommending for

consideration is that rather

20:55than wait for the school board

to take their action, and then

20:59we before we're going to

market, have a vacant building

21:02that we have to manage and

operate, that we start the

21:05process now sooner than later

on marketing the sites and

21:10start to work through those

community engagements, those

21:14potential rezonings,

those site plans.

21:17And so that when the school

board actually transfers the

21:21property to us, we are then

immediately transferring that

21:25to a developer and

can be underway.

21:27So you're seeing this for the

first time, but something we'd

21:31like to come back to and

discuss further and flesh out

21:33the plan.

21:34But we'd like to to

socialize this with you.

21:39So the.

21:43Potential transfer or

conveyance acquisition of a

21:47school site and then

21:50waiting on the city to actually

take possession in order to,

21:55to convey it.

21:57Um.

22:00Council doesn't take action in

the developer goes through the

22:03process of spinning planning.

22:09Contractual.

22:14The terms of the contract

should include, um, what are

22:18the consequences of the stars

not coming into alignment to

22:22allow the development

to go forward.

22:23So at any point, any of the

prerequisites to the transfer

22:27failing, um The contract is

going to have to have those

22:30terms, and it may require

reimbursing some of their

22:33development costs, design costs.

22:37Mr. Johnson

22:39Mr. Mayor, that's an

excellent question.

22:42I would add to it also that

during the negotiations that

22:47the City Council is also aware

of what the potential agreement

22:54is between the city and the

possibility of the developer

22:59developing the land.

23:01Thank you sir.

23:03Um, Ron, you and I have

discussed this, but

23:07particularly yet school

and Granby Elementary.

23:10Um, and the opportunity

for before we give it to a

23:14developer, um, working with the

school system to see if those

23:17sites would be better utilized

as additional athletic fields

23:21for the two high schools there.

23:24Um, and you didn't mention that

23:26you just talked about developer.

23:27But I know that and we've

talked a little bit about

23:30Carrollton and what could

happen there, but how are we

23:34determining what sites would

be better for development with

23:38housing versus continuing to be

23:41open space or

possibly filled space?

23:44So at a future opportunity,

perhaps later this fall or at

23:48the council retreat in the

winter, um, staff does have

23:52recommendations based on

the comprehensive plan.

23:55And then we would

take guidance on that.

23:58So where you do see that

there are public amenities or

24:01additional supportive school

opportunities that we could

24:04pivot on that direction.

24:06And in the same way they are

potential that and, you know, a

24:10process that we have used

before could be used as to do

24:13actually the, the PPE, a

process where you are then

24:16requesting that a developer

come in partner to deliver that

24:20public amenity.

24:21Is there also, um, any plans

for the historic Morey.

24:27Uh, is that in in

this process as well?

24:31Yes. Yes.

24:33So I'll also add very early on,

just add a, an opportunity for

24:38public engagement

24:40for a developer, uh, start

to spend money to, to gauge

24:47the sentiment of the public.

24:48These have opportunity

for public engagement.

24:51Mr. Clinton.

24:53Mr. mayor, there are two things

I appreciate Mr. Smego bringing

24:55up about the Morey piece, but

I know that there was a larger

24:58conversation with the school

board about even though we're

25:01doing the consolidation of

schools, um the recommendation

25:04had also been looking at

25:05larger, uh, newer

elementary schools.

25:08And so I do believe that it

25:09warrants a continuation

of the conversation.

25:11And so I'd just like to make a

request that before we end this

25:14year, that we have another

joint meeting to just get an

25:17update between the school board

and council as to just how

25:21things are going so we can

get that on the calendar.

25:25All right.

25:28All right.

25:28So we'll be back on that part.

25:30But for the former schools

that we currently have in our

25:32possession, just as a reminder,

we do have a purchase and sale

25:35agreement for Madison School

under negotiation with Lambert

25:39Point Partners.

25:41Um, and we have asked Lambert

Point Partners to do additional

25:43public outreach based

on their current plan.

25:48Uh, and that's scheduled for

October and that's for the

25:50Madison school for

that redevelopment.

25:52Uh, and then we continue to

market Coronado School for

25:56potential residential

development.

25:57And we have had some

interest lately.

26:04Okay. Um, as we're talking

about opportunity, I thought it

26:07was appropriate.

26:08I'm sure some of you were

starting to get questions about

26:10the Opportunity Zones 2.0.

26:13Um, we have the administration,

the Commonwealth, and the

26:18governor is currently reviewing

survey results and quantitative

26:22data to decide on Virginia's

Opportunity Zone nominations.

26:27Um, and that the US Treasury

extended the nomination

26:30deadline 30 days.

26:32And so we did have some

mission this summer.

26:36And sorry, the alignment of

that slide got a little funky

26:38there, but um, we did, um, we

were eligible to nominate 29

26:43census tracks based on the,

the criteria, uh, that is

26:47established for the program.

26:48And we submitted all 29

tracks as a priority.

26:52Um, these are the, the tracks

that were, that were nominated.

26:57Um, and as a reminder,

so opportunity zones are

27:01economically distressed

communities, but by the scale

27:04of the US government program,

where private investments

27:08receive special tax benefits

to encourage long term economic

27:12growth and job creation, uh,

investors can channel their

27:15unrealized capital gains

into these special investment

27:18vehicles in these zones.

27:20And if they hold the investment

for at least ten years.

27:24Any new appreciation or profit

on that specific investment

27:28becomes entirely tax free.

27:31The Opportunity Zones 2.0,

27:34established as a

permanent program.

27:36Unlike the 1.0 that is now

sunsetting with a ten year

27:41renewal cycle, and the new maps

would take effect in January of

27:472027 and last through 2026.

27:50And it introduced stricter

lower income eligibility rules

27:54and enhanced reporting

requirements.

27:56So, um,

27:58we're predicting that we think

potentially 7 to 10 of these

28:02opportunity zones would be

approved by the Commonwealth.

28:07Um, and in part it's based on

28:10again the low

income eligibility.

28:13But then also is there

actually potential development

28:16opportunity in those zones.

28:18Um some areas, if it's a zone

that's a neighborhood that's

28:21completely built out, it may

not be considered for that.

28:25So that's some of the criteria

28:26that the state is

reviewing on these.

28:30Can you just what's the

significance of the numbers.

28:34The census tract numbers.

28:36I'm sorry.

28:37Yes, yes.

28:39So yeah, each of these

are census tract.

28:41Um, yeah.

28:43Um, so as we get that approval

this upcoming winter, um, based

28:47on what we just were talking

about with schools, for

28:49example, and then other

commercial properties, it gives

28:52us another alignment

opportunity for looking for

28:54investors in our city.

28:58We were part of the

Opportunity Zones 1.0.

29:01Yes. We were actually

at the white House.

29:03Yes. Um,

29:05was there a bill signing?

29:07Um they have a pen somewhere.

29:10Um,

29:12but the census tracts that we

had approved, I think Governor

29:16Northam was at the time, it

was still challenging to get

29:21private investment in some

of these census tracts.

29:25Um, we should look at the data,

look at the previous zones, and

29:30to actually report out the

private dollars that actually

29:36were invested in the

census tract before.

29:39Um, so that we don't

29:42say, um, we'll call it a

mistake, but we won't go down

29:47the same rabbit hole that we

did before because again, we

29:49had census tracts and still

it was very difficult to get

29:53private investors to invest in

some of those hard depressed

29:58areas, as you mentioned.

30:01Miss Johnson.

30:03It didn't miss

after Miss Johnson.

30:06Um, Williams for the the

average citizen when they're

30:11looking at this map as far

as census tracts, how can we.

30:18um, present it in a way that

they're understanding when

30:24we're talking about opportunity

zones and the census tracts as

30:29it relates to where they live.

30:32Because right now

30:36we have census tract.

30:38But if the citizen is looking

at this, no matter what your

30:42background is,

it's just numbers.

30:45Sure. Let me just I think

because what we did before we

30:49put together a prospectus and

somebody who was part of it, we

30:53put together a prospectus, all

of the properties that were in

30:57the census tracts.

30:58We actually had invited

investors from around the area

31:03and we hosted them.

31:04Uh, and we, we showed

31:06renderings and we

showed possibilities.

31:10Um, but to Mr. Johnson's

point, the average citizen, um,

31:16was. to wear.

31:18And those numbers

to Mr. Clinton's.

31:20Uh, those numbers

are inside baseball.

31:23But I think we should put the

name of the community alongside

31:27the number to give that

qualitative narrative of the

31:32areas that we're

actually talking about.

31:33Please continue.

31:35And also, it helps with

developers and contractors

31:39because, um, when we did the

showcase at the Kroc Center,

31:46one of the advantages that we

had at that day long event to

31:52invite them in,

31:54they were very excited

to know exactly

31:58what the properties were,

where they're located.

32:02And it was a guide for them.

32:04That's time that they did not

need to take away from their

32:08schedule to go out and hunt our

32:13properties down and

then make a decision.

32:16It was right there for

them in their hands.

32:19So thank you, sir.

32:20It'll it'll definitely take an

effort for us to refresh and

32:24have a repository and marketing

32:26materials for each

of these areas.

32:28And.

32:30That that is one of the areas.

32:32Yeah. And we did

32:35attract some some

development along the road.

32:38Um, and.

32:42In other areas where

it is successful.

32:46It's the frequency that we have

to apply for opportunity zones.

32:50Uh, so it was, it was

a ten year program.

32:54And so it's Sunsetted and we

won't be applying anymore.

32:58It's, it's the federal

government applying their

33:00criteria to our census tracks.

33:02Um, but.

33:05Now, but you were saying we

would likely only be approved

33:07for 7 to 10.

33:08Realistically, yes, there.

33:10Is a criteria.

33:12It's much stricter.

33:13Got it.

33:13Yes.

33:15Um, so more challenging

to find the right fit.

33:20Um, because of the more

strict requirements.

33:22Um, but on the flip side,

unlike the last round where it

33:27was only organically that

we typically knew about a

33:31development this will have

so they can track it better

33:35reporting where people

actually have to know where the

33:37investments are going.

33:38Will always have opportunity

zones, but just based on the

33:41criteria of the

federal government.

33:42Yes. Okay.

33:45So it's not an every

ten renewal anymore.

33:47They're calling

it a ten renewal.

33:49But the zones are going to

stay the same essentially.

33:52That's what they say.

33:53Um thank.

33:54You. And I don't know if Sean

or Brian has anything to add on

33:57that different.

33:59Um, yeah.

34:01All right.

34:01Continue.

34:02Okay. Uh, looking at current

34:05military circles,

current status.

34:07So, um, as we know, the

ownership was transferred this

34:11past year from the Economic

Development Authority to the

34:13city, and we actually are

going to start demolition.

34:17The mobilization will commence

34:19in October 2026 with

a 15 month duration.

34:23And I'll talk a little more

detail about that in a minute.

34:26And then through the EDA,

we were awarded a Virginia

34:29Business Ready site grant

of 371,000 from the Virginia

34:34Economic Development

Partnership, with a goal of

34:37advancing the site from tier

two to tier four status.

34:41So tier two means you have

control or you purchase a site,

34:45and the comprehensive plan is

34:47aligned to support

commercial development.

34:49Tier three means you have

completed necessary due

34:52diligence such as stormwater

analysis, power grid analysis,

34:56geotechnical, all

those types of studies.

34:58You've done, infrastructure

evaluations, you've got a

35:01master plan and preliminary

35:03engineering to get to tier four.

35:05That's when it becomes by the

VDP, a certifiable site with

35:09any site issues resolved

that were identified in due

35:12diligence, that the

infrastructure is designed and

35:15ready for construction within

a 12 month period, and then the

35:19permit issues are identified.

35:22Um, and what that becomes is

then VDP being a partner to

35:26help market the site

to the world really.

35:29But then also if you're at tier

four, you have the availability

35:33to apply for infrastructure

funding support from the VDP to

35:37actually build some of the plan.

35:39Um, if you get the right

commercial development

35:41opportunity, we have had

35:44interest from

residential developers.

35:47And so we have to weigh those,

balance those opportunities

35:51with whatever, um, you know,

potentially the market produces

35:55for us.

35:57Uh, so just as a reminder that

when we talk about military

36:01circle mall, uh, it's the mall

itself, but then also the area,

36:06but then even within the mall,

36:08the city doesn't

own all of the them.

36:09All that.

36:11Sentara purchased the former

JCPenney from us a number of

36:14years ago and own a portion

of that parking lot that's

36:17highlighted here in yellow.

36:19And then we where the Hardee's

is, that parcel and that

36:21parking surrounding that is

actually a long term ground

36:25lease that the city doesn't

actually own those two parcels.

36:28So when we look for

redevelopment opportunity, we

36:31still look to see can are there

any other parcels that we can

36:34acquire through the

city or the EDA?

36:38But then the

planning becomes, um,

36:41you know, finessed and actually

to, to actually look at what

36:44you're going to redevelop here.

36:46Um, so what we'll see over

the next few months, um, the

36:50demolition scope, abatement of

hazardous materials, uh, we got

36:54a very favorable, I should

say, we got a very favorable

36:57response contract was awarded

to reclaim company, um, for

37:012.88 million.

37:03Um, so the work includes

the abatement of hazardous

37:06materials, demolition of the

Demolition of the structures to

37:08slab on grade.

37:10The work will be sequenced.

37:12The Sentara and Ross buildings

will remain and they'll have

37:16infill Demising walls will

37:18maintain the utilities

and operations.

37:20Generally, work will be

Monday through Friday, 7 to 5.

37:25The contractor is going to use

the former Sears Auto Center as

37:28a site office.

37:29We're going to maintain church

parking on the southwest corner

37:32to be maintained.

37:33The partnership with Calvary

HRT Bus Transfer stations can

37:37be relocated in the May

2027 time frame, uh,

37:43to Glenrock so that they are

out of the construction zone.

37:47And then substantial completion

of the project is scheduled for

37:51January 2028.

37:53Um, how sequentially

it will move around.

37:55And this is, this image is

hot off of the construction

37:59planning meeting desk.

38:01Um, but, uh, this will start

38:03with the former

theater on the south.

38:06It will That'll start.

38:07And the December time frame,

uh, with, uh, with internal

38:11abatement and

demolition in January.

38:14Uh, then phase two will

move up to the former Sears.

38:17Phase three will be the,

38:19actually the interior

main mall part.

38:22Then we'll move on

to the former Macy's.

38:25Uh, then they'll come back

down to the hotel, which has a

38:27significant amount of asbestos

abatement that's going to be

38:30required there.

38:31Uh, and then they will then

they will finalize with the

38:34Sears Auto Center out parcel

demolition and wrap up at the,

38:39uh, from the remainder of 27

into 28 with the site work and

38:45restoration of the

foundation work.

38:49Yes, Mister Johnson

38:52building.

38:59Have we looked at this

long term ground leasing?

39:07Um, in.

39:09In terms of um we have um some

buildings that have long term

39:16ground leases.

39:18Mhm. Does that impact our

39:20future growing

within our own city?

39:28Um, well, this one specifically

is, is something that we, um,

39:34as part of the acquisition,

we assumed, um, and we have

39:38approached the owners and they

have no interest in selling.

39:41Um, and so that was one that

was established decades ago

39:46and, and still has many decades

on the lease arrangement for

39:49that one.

39:50Um, as a strategy, if the city

is being part of, of having to

39:56pay for the land lease, I don't

think that is a strategy that

39:58we don't have as a

priority or recommendation.

40:02On the flip side, we have done

several developments where we

40:07prefer to retain

control of the property.

40:10And so, you know, through the

NRA or through the EDA, we can

40:15enter into arrangements like

we did with the Maine, where we

40:18prefer to maintain the control

of that parcel strategically.

40:22Um, and we've done

opportunities like that, but as

40:26a common practice of us having

a long term land use is not

40:29recommended that we, for

governmental purposes do that.

40:32Thank you.

40:33Mr.. Mr..

40:35Mr.. Thank you.

40:38Ron.

40:39What is the timeline to move

from tier two to tier four as

40:42part of the grant process?

40:44Um, the, the analysis and

studies that the VDP is

40:47supporting for us is going

to take about 6 to 9 months.

40:50Um, so sometime in 2027, we

start to get some to some

40:54conclusions that then

determine, do we need to do

40:57additional things like

the plans to preliminary

40:59engineering that concurrently?

41:02Correct. Yes.

41:03Yeah, we've already

been awarded that.

41:05Uh, your cooperation agreement

that you passed, uh, authorized

41:08a few weeks ago, uh, enabled

the, um, the, the, the, the

41:13city to assist in reimbursing

the, in the interim before we

41:17get reimbursement from EDA for

the grants and the work we're

41:21doing there.

41:22Yeah.

41:23All right.

41:26So moving on to the last major

project update, uh, is, is

41:30about the future of

MacArthur Center Mall.

41:33As we know, the Downtown Plan

2030 was adopted into the

41:37city's comprehensive

plan in 2020.

41:40Um, and it marked five decades

of public feedback shaping the

41:44plan for infrastructure

41:46resilience, economic

development.

41:48Previous plans the downtown

plans have been done every ten

41:51years, uh, led to the creation

of Town Point Park Waterside,

41:56the connection to Freemason

41:58downtown residential

development.

42:00TCS urban campus.

42:02MacArthur. Center.

42:03The tides over

the main and more.

42:08The 2030 plan had.

42:09Has four drivers coastal

42:11resilience, slow

to slow traffic.

42:14To improve walkability, to

enhance East West connections

42:19and that all new development

must provide active public

42:21spaces, including housing.

42:23Incorporate public art.

42:25Provide opportunities

for small businesses.

42:28The focus of this plan is

demolishing MacArthur center.

42:32While MacArthur center was

highly successful at one point

42:35bringing residents and visitors

downtown, it was the last

42:39enclosed suburban style mall

built in the United States, and

42:42it created barriers eradicating

the downtown street grid and

42:46and disconnecting Saint Paul's

from downtown and downtown from

42:51even Freemason.

42:53The downtown plan explores

three options punching through

42:57with many connections as

42:59possible or even

full demolition.

43:02And as part of a community

engagement in 2019 and 2020.

43:05Hundreds of residents engage

with these ideas prior to the

43:08adoption of the plan.

43:10Um, the proposed plans for the

future MacArthur center will

43:14build on this plan and

that we are working on now.

43:19The design vision is a vibrant,

walkable neighborhood downtown,

43:23enhancing existing urban fabric

43:25and reconnecting

the city assets.

43:27A neighborhood where there are

retail shops, entertainment

43:30destinations, a grocery store.

43:33It's a priority.

43:34Central square, where

families can gather and the

43:36neighborhoods can come together.

43:38New hotels that broaden the

offerings in downtown and

43:41appeal to more guests,

particularly supportive of the

43:43cruise business and the casino

business that we have housing

43:47ownership, opportunity and

rental and amenities that

43:51attract downtown businesses

to to businesses, to downtown

43:55Norfolk and continue as a

43:57catalyst for growth

in our region.

43:59Authentic, high quality

destinations, experiences that

44:03drive repeat visits and become

44:05part of daily life

in the region.

44:07If we look back at our historic

downtown street grid with the

44:11with the looking at 1921 map on

the left there with MacArthur

44:15center laid over it, you see

that we had much more of that

44:18of what we just described with

44:19that knitted fabric

of a of a downtown.

44:22And on the right, you'll see

how our downtown evolved to

44:25much larger blocks.

44:27The dotted lines there

44:28represent what were

former streets.

44:31And so these mega blocks, the

opportunity to kind of break

44:33into that is what we're looking

at for the future development.

44:38So stitching together and

filling the heart of downtown

44:42where we don't have a suburban

structure, but we have that

44:46urban structure that that

gives us the opportunity for

44:49connections all the way from

Freemason to kindred, even into

44:53Harbor Park Entertainment

District over by the casino and

44:57gives you the opportunity to

reestablish Bank Street from

45:00Chrysler Hall all the way

down MacArthur Memorial and

45:03reestablish Market Street

crossing over at Monticello.

45:08So where are we and

what are the next steps?

45:10We have completed the financial

modeling, Parking feasibility,

45:14HSD capacity review, Dominion

power capacity review, and

45:19demolition feasibility.

45:21They're all complete.

45:22Um, we are ready to finalize

the purchase and development

45:26agreement drafting and are

aiming to schedule that PDA for

45:31your consideration in the

November December time frame.

45:35We also continue management and

45:36security plans of the

existing property.

45:39We are repurposing, uh,

equipment including forklifts,

45:42scissors, lifts, benches,

and even holiday decorations.

45:45Uh, that some of our programing

45:47partners are going

to use this winter.

45:49Uh, we're preparing for public

auctions this upcoming winter

45:52of the F and E and

the art sculptures.

45:55And then this evening you

have on R4 ordinance, which

46:00authorizes funding to support

dedicated downtown ambassadors

46:03through D and C for a team

to augment for clean and safe

46:07conditions at MacArthur

center property.

46:09We have private security on

the interior and still have our

46:13active camera system in there.

46:15We have sheriff's deputies in

the garages, and then this team

46:18would augment roving around.

46:21They will be scheduled in

midday into the early evening

46:24so that they're there to

assist, particularly office

46:28workers still parking in the

46:29garage in the

evening going back.

46:32They'll also be making sure

that landscaping, trash and

46:35things of that nature, um,

keep their eyes out for any

46:39potential graffiti.

46:40So that's the next steps and

46:43that's where we are

for the evening.

46:48So the work that you

cite as being completed.

46:51Preliminary analysis,

preliminary um financial

46:54modeling, the parking

feasibility, the capacity

46:57review, the building and

power capacity review.

47:00Uh, when will.

47:03Those analysis be

discussed in detail?

47:08Phase. At what point can we

discuss the work that you.

47:13Provide that in advance of

scheduling the vote for a

47:18purchase and

development agreement?

47:19Some of that I think we can

publish some of that on the

47:23project website and make sure

47:24Council has access

to it as well.

47:27Yes.

47:29I'm just wondering why we're

auctioning off the artwork and

47:33not trying to relocate that

to other parts of the city.

47:38And I'm just going to say in

Ward three, Ward four, and Ward

47:42five, we don't have as much

47:44artwork as Ward

two and Ward one.

47:47So

47:49are there opportunities

to move that artwork?

47:52Um, as Karen looked at it and

said, there's, I know the the

47:57birds.

47:59Yeah, people have asked about

that, particularly down in

48:02Ocean View.

48:03Um, we got a request right

away when we found out.

48:06Why are we auctioning that?

48:07Do we really need the money

from that to pay bills at

48:11MacArthur, or can we end up

saving money by not having to

48:14purchase future artwork?

48:16We're certainly open to reuse

48:18for municipal use

or community use.

48:20If you want us to vet that for

each of these things, we can.

48:24Do, we know.

48:25Do we have an inventory

of the artwork?

48:26Do we?

48:27The two sculptures?

48:28Yes, the mermaids.

48:30The mermaid.

48:31Uh,

48:33there's yeah, there's the

one is mermaid chocolate.

48:38It is silver and chocolate.

48:39Yeah. And it's privately owned

and we've worked, we're working

48:43with the owner for a relocation

into a public facility.

48:46Um.

48:47Okay. And I know that there

are, I don't know how many, but

48:50there's mermaids that were

48:52carved into tile

throughout the mall.

48:55Um, they were strategically

placed if that could be removed

49:00and used together somewhere.

49:02There's different mermaids.

49:04It used to be a hunt.

49:05You could go through the

mall and try to find them.

49:09So I think the approach I

recommend is perhaps have a

49:13look at that first, as opposed

to just being up for grabs.

49:16Everybody else feels.

49:17But I just.

49:18Think that was a

heck of a great idea.

49:21What's the value

of the sculptures.

49:23Approximately for each one?

49:24150,000.

49:31So I mean.

49:33I understand it's easy for you

to say, but there are places in

49:36Norfolk that have been

neglected with artwork.

49:38I mean, there's just public art

49:40tends to be focused

more to downtown.

49:42If there's an opportunity or if

you're going to use the money

49:44from the sale of these to

commission future artwork, then

49:48I'd be fine with that.

49:49But I think there's an

opportunity with us.

49:52So for.

49:53Sure,

49:54the Arts Commission, to take a

look and see if we can relocate

49:57them in a public or community

50:00space and before

they go to be sold.

50:03Yes, sir.

50:05I wanted to listen to

the whole presentation.

50:07Great presentation.

50:08Thank you.

50:10Uh, but going all the way back,

and this is a question before I

50:12got on council, we had a

parking garage downtown

50:16adjacent to City Hall that

was used for the courthouse.

50:19And I know that was

before your time.

50:21Well, maybe you were.

50:22Oh, you were here,

left and came back.

50:24Uh, do you know why that

parking garage was torn down?

50:29So

50:30he started to fall down.

50:32It was it was very, very old

50:36and started to fall apart.

50:38So we made a surface

lot, uh, two.

50:43Structurally unsound.

50:46And next with Military Circle.

50:47Uh, so grateful that we're

getting these updates, that we

50:50know that the work is going to

start and that we're going to

50:53go forward regardless

of potential obstacles.

50:55But if our teams could go out

and talk to the surrounding

50:58businesses, they have a lot of

questions, a lot of concerns.

51:02And if we can keep them

abreast, we can make sure that

51:05they're not trying to change

their address while we wait to

51:09get through these tough times

as to what we're actually going

51:11to do.

51:12Absolutely. Yeah.

51:13We wanted it was just this

past week, we worked out the

51:16demolition schedule.

51:17We wanted to make sure we had

the best information, and then

51:20we're ready for a whole new

51:21wave of going out to businesses.

51:24South Side Task Force or

51:26anybody or East Side task force.

51:29Everybody in the area.

51:30Yeah.

51:30Yeah, yeah.

51:31In the vicinity.

51:32Yeah.

51:33In military service.

51:33And we certainly have already

51:34been in discussions

with the church.

51:40Yes, sir.

51:40All right mister.

51:43Thank you.

51:44Thank you.

51:45Mr. Hahn has the next

presentation on short term

51:47rental policy.

51:58Thank you, Mr.

52:00Mayor. Vice mayor,

members of city council.

52:02The crest of the of

Councilman Smeagol.

52:04I wanted to be able to provide.

52:06And the rest of the Council

provide an update on the short

52:09term rental study Group report

that was provided in 2024.

52:13Um, there was additional there

was information here that had

52:15looked at the operations of

short term rentals throughout

52:18the city, mostly focusing on

the coastal areas of the city

52:21and how the short

term rentals operate.

52:25So the first, the group was

initially convened in February

52:28of 2024.

52:29It was led by council members

Smigel and McClellan, with

52:32planning commissioners Bateman

and Pendleton as part of the

52:34group in the discussion.

52:36They met through June 2024

monthly, and they focused on

52:39the short term rental, the

vacation rentals that were

52:41located in the Coastal

Character District of the city,

52:44which is in Ocean View.

52:46we went through discussions

with citizens and operators, as

52:49well as staff, to understand

the existing processes and

52:52existing shortcomings and the

things that we may be doing

52:54well, and it was presented at

52:55the November 2024

City Council retreat.

53:00These are the four study group

goals that were laid out by the

53:04by the City Council members,

by Councilman Smigel and

53:07McClellan, uh, to determine

the feasibility of short term

53:10rental, um, generated funds

going directly to the Coastal

53:14Character district

improvements, increased staff

53:16efficiency and improved short

term rental approval and

53:18enforcement processes.

53:20Educate the public on short

term rental benefits and

53:22impacts, and to embrace short

term rentals as an acceptable

53:25lodging use alternative in the

53:27city and market to

increase tourism.

53:31As part of this group, we did a

lot of self-reflection as well

53:34as looking towards the

operators and community for

53:37their comments.

53:39This first slide here shows

kind of a reflection of what

53:41operators and the city can do

to improve, which came through

53:44our input that we received.

53:46One is to provide more

information to guests as far as

53:49rules and events.

53:50Verification of the operator

address to ensure violation and

53:53notifications are going

to the correct address.

53:55Defining parking so that

guests can know where to go.

53:58Exactly. For some of the

properties, that may be a bit

54:01more difficult to find.

54:02And as well as to unify the

signage so that it's easier to

54:07to identify as well as to see

54:10for those that may

need to call in.

54:14Short term rental operators

provided additional input,

54:18which included the possibility

of adding some type of city

54:21endorsed badge to the listings

54:23to show some type of

city certification.

54:26Um, providing additional

information with familiarity to

54:29the long term rentals versus

short term rentals and how they

54:32operate throughout the city.

54:34Um, renewals, if there's a way

to possibly have a lower fee or

54:37an expedited process, um, and

IDs on homes, uh, on, on house

54:42equipment, so things that

people may be utilizing that

54:44may be provided by operators

so that they know that if it's

54:47being left out, that it

can be brought back in.

54:50Many of these things that were

discussed have been discussed

54:52internally by staff, with

operators, especially this

54:55equipment issue, where they may

be borrowing things, and some

54:58of them may have left it

out at that point in time.

55:01Um, most people, most of the

operators have, um, tried to

55:05tighten up their operations.

55:07And it has shown because

violations that have been

55:10recorded for short term rental

operators, um, are not as high

55:14as, as other operations

throughout the coastal area.

55:17And of course there was a

discussion about response by

55:20the city versus the operator.

55:21So when an issue happens at a,

at a property, who's supposed

55:24to respond, um, depending on

what kind of situation happens.

55:30We also received citizen

impact, um, citizen input

55:34regarding, um, short

term rental operations.

55:38They were the citizens were

interested in first and

55:40foremost in kind of a rapid

response team, which which

55:43dealt with potentially having

a standing group of NPD fire

55:48marshal and zoning staff to

be able to respond to issues.

55:52Um, although we have not stood

up this team, we do have a, we

55:56do have on call zoning

inspectors as well as folks

55:59that are available

to respond to issues.

56:01Um, this went into

further detail, I believe.

56:04City attorney had some

information where other

56:06localities use police powers

to be able to potentially evict

56:09people that were operating as

short term rentals illegally.

56:11Um, but we have not made any

progress to move that forward.

56:16Um, and since 2024, um.

56:21Sorry, on that first point to,

we had discussed that there

56:25would be a database that if a

call came in on a short term

56:29rental to 911 or non-emergency

that they would know when the

56:33police officer responded that

that was a registered STR, that

56:38an owner would have

to respond to do that.

56:41I don't think that

that's been set up.

56:42It was more of educating our

MPD when they were coming to

56:46respond, that they knew that,

look for a phone number on the

56:49outside to call the operator

and engage them in that.

56:53That would also help with

understanding what is the

56:56complaints were coming from

from a registered SDR versus a

56:59non-registered one.

57:01And that way there could be

follow up with citations for

57:03operating an illegal SDR.

57:06Yes, sir.

57:07I don't think anything has come

57:08from that with

education from police.

57:11There has been information

sharing, um, on um, not to

57:14blame software, but because of

the two systems don't, don't

57:17integrate very well that we

have, um, that has been an

57:20issue, but we do have a

standing monthly report that

57:23gets sent out to all the

teams to, to identify it.

57:26Um, we do have better working,

uh, significantly better after

57:29hours working relationships

with MPD as well as fire where

57:31we're able to coordinate

these kind of issues.

57:34I will say that the, the

illegal operations of short

57:37term rentals or parties has not

come up as a regular issue that

57:40our team has had to respond

to these last two years.

57:45Um, again, the the citizens

also had concerns about clear

57:49direction on who to call

when there are issues.

57:51Um, again, a lot of the burden

that also was voiced by the

57:55Willoughby Civic League, as

we've been discussing the short

57:58term rental overlay that they

were talking about and is

58:01coming for your consideration

as to who to call.

58:04When an issue happens, do

they call the operator?

58:06Do they call the city?

58:08And what do we do with that?

58:10Um, there was a desire to have

a balance of short term rental

58:12and residence density.

58:15Um, to make sure that there was

not a significant impact on the

58:18existing neighborhood.

58:19Um, the citizens also wanted

to make sure that there was

58:22information for those that are

utilizing short term rentals so

58:25that they, they knew what was

around in the community, um,

58:28and weren't just staying just

at the short term rental.

58:30There were also participating

in the rest of the community

58:33and restaurants and other

58:34things that are

available to them.

58:36Uh, they did talk about

directing taxes to be

58:38reinvested in areas carrying

the short term rental density,

58:41which is significantly

oceanview and has continued to

58:43be increased.

58:45In Oceanview, um, there was

discussion about operators

58:48being more visible to the to

the community so that the civic

58:52leagues and leaders could be

able to know who they are and

58:54introduce themselves.

58:55Um, even when there are no

zoning permits or cups that

58:58were required.

58:59And again, there's this

discussion, uh, continued

59:02discussion about providing more

resources about entertainment

59:05and other things that are

happening in the area, um, that

59:08the citizens wanted to make

sure that those that were

59:10visiting had, uh, for them.

59:14Um,

59:16some civic organizations did

not, did not want to remove or

59:19reduce the conditional use

permit requirements, which was

59:22different from the operators.

59:24That is information

that we did receive.

59:26Um, there were concerns about

continued operations and um,

59:30densities or concentrations of

59:32short term rentals

in those areas.

59:36From the short term

Rental Working group.

59:38These. There were a list of

some potential policies and

59:41amendments to meet some of

these study group goals.

59:44The first one was to

potentially look at three

59:46different routes for a single

family short term rentals.

59:49One was to keep the current

permitted short term rentals

59:51that are permitted by

right by zoning permit.

59:54So in the Coastal Character

district, if you're under four

59:56bedrooms, you can you can

operate utilizing a zoning

59:58permit without going through

a conditional use permit.

60:01Um, then there was a discussion

about having the certified or

60:04on site management, um,

for all short term rentals.

60:07And if you, if you had this

certified, um, or on site

60:10management that was vetted by

the city and you were more than

60:14the three bedrooms, you could

still go through the, the

60:18approval process, but not have

60:19to get a conditional use permit.

60:20And then there was, if you

don't meet those requirements,

60:22you would still go

through the Cup.

60:24Uh, staff did hold additional

meetings with operators and,

60:27and citizens, uh,

with civic leagues.

60:30We've got a whole

bunch of comments.

60:32We didn't gain much

traction in that discussion.

60:35There was a lot of discussion

about how do we do certify it?

60:38What's the expectation

for the operator?

60:40What's the citizen getting

out of this in exchange?

60:43Again, concern about the

vetting process for them

60:46through that.

60:46So we held two meetings.

60:48I've got pages of notes that

60:50came from both of

those meetings.

60:51And and we didn't kind of

60:54get off first base kind of

talking about how to, how to

60:57make this work.

60:59Um, there was discussion about

61:00if there are more

permitted by right.

61:01Should there, should a

density cap be explored?

61:04Um, and then if there is a cap

that could be required if there

61:06over the density cap.

61:08And I think this is where this

led the Willoughby discussion

61:10that there was

concerns about density.

61:15Do you know how many permitted

short term rentals existed in

61:20Willoughby in 2024 when

this was being considered?

61:25Um.

61:26I actually.

61:27Have.

61:27That on the slide at the end.

61:28If yes.

61:29How many additions since then?

61:31Yes, I showed I showed.

61:32That to set you up

for your next slide?

61:34Yes, sir,

61:36I will.

61:36That is just to provide the

61:38information the mayor requested.

61:39Kind of seeing where the

short term rentals are going.

61:42Um, there was continued

discussion to meet the goals

61:45to, to create a rapid

response team for enforcement.

61:48Although we did not meet to the

exactly what the the group had

61:52requested, we do have on call

zoning enforcement staff that

61:54is available on the weekends.

61:56And when we know that there are

hotspot issues, we are working

61:58towards going to them during

62:00the weekend and

trying to respond.

62:01Um, like I said, the violations

for legally operating short

62:05term rentals, we don't

see very many of that.

62:07Um, on, on operational basis,

we do have some that are

62:11continuing to thumb their nose

at us that we have cited and

62:13they continue to operate, but

we're looking at being more

62:16creative in our in our ways

to try to get them under

62:20compliance as we've had this

longer discussion through the

62:23Willoughby process.

62:28That was last year.

62:29Yes, sir.

62:30How does one.

62:33We.

62:35Right now it comes in as as

could happen, I either get a

62:40phone call from the call center

that there's an issue or from

62:43the council members of the

manager during the weekend.

62:47No, the Norfolk Cares or or

non-emergency will contact.

62:51Over the weekend.

62:52The non-emergency could

reach out to me as well.

62:54Um, Halima tends to also still

operate during the weekend

62:58reading things if things pop up.

62:59So she'll still send it out as.

63:01As you're aware of that,

she'll she'll do to.

63:03But

63:05yeah,

63:07we, we haven't

formalized that process.

63:09The kicker to the on call

zoning requirement is that the

63:13zoning violation is still the

same on Monday as it is on

63:17Saturday, because the zoning

inspector doesn't won't be able

63:20to go out and tell

people to leave.

63:21Right. The zoning inspector

can still see it inside it.

63:24So, um, what we're trying to do

is we're trying to come up with

63:27a better way to kind of

address those issues.

63:29Um, if there is something that

is overcrowding or a noise

63:33issue, that should be PD

and with some augmentation.

63:37So when we've had issues,

PD has reached out to me.

63:40DCM Rogers has reached out to

me during the weekend, and I'll

63:43either myself or a zoning

inspector go out to support PD

63:45going through that process.

63:46So it's currently ad hoc a

little bit, but we are we are

63:49responding as we get

that information.

63:51We do need to we have discussed

internally, and we plan on

63:55continuing that discussion

about enforcement and how to

63:58get that better tuned in

over the next few months.

64:02Um, and then there's also

discussion about a quick

64:05process for short term

rental cups when they renew,

64:07potentially utilizing the

similar process that's used for

64:10addition of outdoor dining or

changing of managers for ABC

64:13establishments, um, potentially

having those, if they have no

64:16violations, go directly

to city council.

64:18Um, again, short term rentals,

um, that short term rentals

64:24that operate legally are not

64:25usually are the ones

that we're chasing.

64:27We're normally chasing the ones

that are operating illegally.

64:34Yes.

64:36Yes, ma'am.

64:37For the Rapid Response team.

64:40For enforcement.

64:41How does that impact the rest

of the enforcement throughout

64:45the city?

64:47This. So the one that what we

have implemented now is for is

64:50essentially for the entire city.

64:52We have we we have someone on

call, a zoning inspector on

64:55call the entire weekend.

64:57Um, and whenever there's an

issue that they may need to go

64:59to this, it kind of came from

this, that there should be a

65:03discussion about having someone

available to handle it, but

65:06there isn't one dedicated

solely to ocean view or short

65:08term rentals right now.

65:10That's what we need to market

to our citizens because the way

65:14that it's presented, it seems

as though it's just for the

65:20coastal, um, character district.

65:24But this is something for the

entire city dealing with issues

65:30as well as stars.

65:32Correct. Thank you sir.

65:38Um,

65:39this key one, I believe the

manager last year set the

65:43framework for this through

the budget process to explore

65:45direct directing proportional

amounts of taxes collected from

65:48short term rentals to

the ocean view area.

65:50A framework was put together

and I believe in the last

65:52budget, um, determining staff

and providing to provide for

65:57marketing communication

information for visitors.

65:59Visit Norfolk.

66:01If you've seen in some of their