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HomeMy WebLinkAboutCouncil Actions 10-10-94EDWARDS 32197 REGULAR WEEKLY SESSION ROANOKE CIIT COUNCIL October 1 O, 1994 10:00 a.m. AGENDA FOR THE COUNCIL Call to Order Roll Call. A~ Presen~ The Invocation was delivered by the Reverend David C. Brown, Associate Rector, St. Johns Episcopal Church. The Pledge of Allegiance to the Flag of the United States of America was led by Mayor Bowers. Welcome. Mayor Bowers. The regular meeting of the Greater Roanoke Transit Company will be held at 11:30 a.m., in the City Council Chamber. A joint informal meeting of Roanoke City Council and the D-Day War Memorial Committee will be held at 12:00 noon, in the Social Services Conference Room, Room 306, Municipal North. Public hearings will be conducted during the 7:00 p.m. session of City Council. 1 e C-1 C-2 CONSENT AGENDA (APPROVF. D 7-0) ALL MATrERS LIS'IF.D UND~ THE CONSENT AGENDA ARE CONSIDERED TO BE ROUTINE BY THE MAYOR AND MEMBERS OF CITY COUNCIL AND WILL BE ENACTED BY ONE MOTION IN THE FORM, OR FORMS, LISTF. D BELOW. THERE WILL BE NO SEPARATE DISCUSSION OF THE ITEMS. IF DISCUSSION IS DESIRED, THE ITEM WILL BE REMOVF. D FROM THE CONSENT AGENDA AND CONSIDERED SEPARATELY. A communication from Mayor David A. Bowers requesting an Executive Session to discuss vacancies on various authorities, boards, commissions and committees appointed by Council, pursuant to Section 2.1- 344 (A)(1), Code of Virginia (1950), as amended. RECOMMENDED ACTION: File gl 10--132 Concur in request for Council to convene in Executive Session to discuss vacancies on various authorities, boards, commissions and committees appointed by Council, pursuant to Section 2.1-344 (A)(1), Code of Virginia (1950), as amended. A communication from Council Member William White, Sr., recommending appointment of two members of City Council to work with the City Manager to develop a team building and long range planning strategy for consideration by Council. RECOMMENDED ACTION: Concur in recommendation. REMOVF~D FROM CONSENT AGENDA FOR DISCUSSION. (See Item C-2 on page 3.) 2 C-3 A report of the City Manager with regard to the education program in the Roanoke City Jail. RECOMMENDED ACTION: Receive and file. REMOV~.D FROM CONSENT AGENDA FOR DISCUSSION. C-3 listed below.) (See Item A report of the City Manager requesting that Council convene in Executive Session to discuss disposition of real property, specifically the use and possible conveyance of interests in real property for economic development purposes, pursuant to Section 2.1-344 (A)(3), Code of Virginia (1950), as amended. RECOMMENDED ACTION: File #132-450 Concur in request for Council to convene in Executive Session to discuss die, position of real property, specifi~y the use of and possible conveyance of interests in real property for economic development purposes, pursuant to Section 2.1-?.4 (A)(3), Code of Virginia (1950), as amended. REGULAR AGENDA C-2 C-3 A communication from Council Member wrflliam White, Sr., recommending appointment of two members of City Council to work with the City Manager to develop a team building and long range planning strategy for consideration by Council. Council concurred in the recommendation, and the Mayor appointed Council Members Bowles and White. Vile #132-200-217 A report of the City Manager with regard to the education program in the Roanoke City Jail. Action on the report was deferred for 60 days pending receipt of additional information from the City Manager with regard to the 3 number of individuals who successfiflly completed the GED program while incarcerated compared to the recidivism rate of those who did not complete the program. The City Manager was further requested to investigate other available programs for inmates prior to release from the Roanoke City Jail, such as GED classes and Adult Education classes sponsored by the Roanoke City Public School system, as well as programs sponsored by Total Action Against Poverty and Virginia CARES, Inc. FHe #123-467 HEARING OF CITIZENS UI~N PUBLIC MA~S: Presentation of the Annual Report of the Roanoke Civic Commission. Vernon M. Danielsen, Chairperson. (10 minutes) File #109-192 Center Request to address Council with regard to violent crime in the City of Roanoke. Mr. Dara A. Jilla, Spokesperson. (5 minutes) Received and filed. The matter was referred to the City Manager for appropriate response. File 45-66 OTHER HEARING OF CITIZENS: 4. PETITIONS AND COMMUNICATIONS: 5. REPORTS OF OFFICERS: a. CITY MANAGER: BRIEFINGS: None. ITEMS RECOMMENDED FOR ACTION: 4 A report recommending acceptance of the bid submitted by Cost Containment, Inc., to provide food stamp issuance services for the period of November 1, 1994 through October 31, 1995. Adopted Resolution No. 32197-101094. (7-0) File #72 A report recommending acceptance of a Local Government Challenge Grant, in the amount of $2,910.00, from the Virginia Commission for the Arts. Adopted Budget Ordinance No. 32198-101094 and Resolution No. 32199-101094. (7-0) File ~:~-236-261-318-348-349 e A report recommending that the City Manager not require the Hotel Roanoke L.L.C. to procure, a financial guarantee bond at City expense. Adopted Resolution No. 32200-101094. (6-1, Council Member Wyatt voted no.) File #178-236-247-258 o A report recommending an amendment to the City Code to abolish the Air Pollution Control Advisory and Appeal Board. Adopted Ordinance No. 32201-101094. (7-0) F'fle g24--110-199 e A report recommending approval of Change Order No. 2, in the amount of $69,195.00, to the City's contract with Laramore Construction Co., Inc., in connection with consmaction of Carvins Cove Phase II, Contract A-2. Adopted ordinance No. 32202-101094. (7-0) File g'27-183-405-468 5 A report recommending approval of Change Order No. 1, in the amount of $12,110.00, to the City's contract with E. C. Pace Co., Inc., in connection with construction of Carvins Cove Phase II, Contract C-1. Adopted Ord~inance No. 32203-101094. (7-0) File/f27-183-405-468 A report with regard to execution of a multi-jurisdictional agreement providing for expansion of certain joint use sewage facilities and for provision of bulk sewage treatment services. Adopted Resolution No. 32204-101094. (7-0) File g27-53-217-468 A report recommending award of an engineering services contract to Black and Veatch, in the amount of $1,595,000.00, to provide engineering services relating to the Roanoke River Interceptor Sewer; and appropriation of funds in connection therewith. Adopted Budget Ordinance No. 32205-101094 and Resolution No. 32206-101094. (7-0) File g27-53-60-183-268-405 A report recommending award of an engineering services contract to Hayes, Seay, Mattern and Mattern, in the amount of $379,000.00, to provide engineering services relating to the Tinker Creek Interceptor Sewer; and appropriation of funds in connection therewith. Adopted Budget Ordinance No. 32207-101094 and Resolution No. 32208-101094. (7-0) File #27-53-60-183-268-405-514 10. A report recommending award of a lump sum contract to Malcolm Pirnie, Consulting Engineers, and Mattern and Craig, Inc., as their associate, to provide engineering services to design 6 and administer the construction of the renovation and expansion of the Water Pollution Control Plant, in the amount of $1,996,338.00. Adopted Budget Ordinance No. 32209-101094 and Resolution No. 32210-101094. (7--0) File g27-53--60-183-405-468 b. CITY ATTORNEY: A report recommending certain amendments to the City Code to allow police officers to ticket unoccupied vehicles for failure to display a valid City decal. Adopted Ordinance No. 32211-101094. (7--0) File ~-20-24-34-106-111-133-299-301 6. REPORTS OF COMMI'rFEES: None. 7. UNFINISHED BUSINF3S: None. INTRODUCTION AND CONSIDERATION ORDINANCF3 AND RF3OLUTIONS: OF ae Ordinance No. 32188, on second reading, authorizing the proper City officials to enter into a five year lease extension between the City and Budget Rent-A-Car Systems, Inc., for use of a one acre parcel of City-owned property on Municipal Road, N. W., for said corporation's rental car business, upon certain terms and conditions. Adopted Ordinance No. 32188-101094. (7-0) File ~)-166-373-468 7 Ordinance No. 32196, on second reading, accepting an offer'to purchase a portion of real property owned by the City, described as 118 West Campbell Avenue and bearing Official Tax Map No. 1011512, and providing for the sale and conveyance of said property. Adopted Ordinance No. 32196-101094. (7-0) File g2-166-468 9. MOTIONS AND MISCELLANEOUS BUSINF3S: 10. ao Inquiries and/or comments by the Mayor and Members of City Council. Vacancies on various authorities, boards, commissions and committees appointed by Council. OTI-1F~R HEAR1NGS OF CITIT:F~NS: None. Recessed at 11:25 a.m. Reconvened at 11:50 a.m. CERTIFICATION OF EXECIfl'WE SESSION. (7-0) Reappointed W. Bolling Izard and J. Darryl Burks to the Development Authority. File #15-110-207 Industrial Recessed at 11:55 a.m. Reconvened at 1:50 p.m. The Mayor declared the existence of a quorum and Council convened in Executive Session. Reconvened in open session at 2:40 p.m. CERTIFICATION OF EXECUTIVE SESSION. (7-0) 8 At 2:42 p.m., the Mayor declared the Council meeting in recess until 7:00 p.m. 7:00 P.M. SESSION: Call to Order Roll Call. All Present. The Invocation was delivered by Mayor Bowers. The Pledge of Allegiance to the Flag of the United States of America was led by Mayor Bowers. PUBLIC HEARINGS Ae Public hearing on the request of Douglas Trout that a tract of land located at 752 Orange Avenue, N. E., bearing Official Tax No. 3042002, be rezoned from HM, Heavy Manufacturing District, to C-2, General Commercial District, subject to certain conditions proffered by the petitioner. Jonathan Apgar, Attorney. Adopted Ordinance No. 32212 on first rea_ding. (7-0) File Public hearing on the request of Artie Minnix Burton and Sarah Minnix Artrip, that a tract of land lying on the east side of Hollins Road, N. E., and the north side of Lindbergh Lane, described as 3103 Plantation Road, N. E., Official Tax No. 3150311, be rezoned from RM-1, Residential Multi-family, Low Density District, to CN, Neighborhood Commercial District, subject to certain conditions proffered by the petitioners. Edward A. Natt, Attorney. Adopted Ordinance No. 32213 on first reading. (7-0) l~fle g51 9 Em Public hearing on the request of PAGE, L.C., that a 2.12 acre tract of land located off of Townside Road, S. W., bearing Official Tax No. 5490307, be rezoned from RM-2, Residential Multi-family, Medium Density District, to C-2, General Commercial District, subject to certain conditions proffered by the petitioner. William H. Sapp, Jr., Attorney. Adopted Ordinance No. 32214 on first reading. (7--0) File Public hearing on the request of Hem'y M. and Kimberly M. Caldwell and Ann S. Simmons and Janie Mary Harris, that a 1.717 acre tract of land located at the southerly right-of-way of Orange Avenue (Route 460) at the intersection of Orange Avenue and Walton Street, N. E., and bearing Official Tax Nos. 3221414 - 3221418, inclusive, and 3221735 - 3221741, inclusive; and an adjacent .65 acre tract of land, more or less, bearing Official Tax Nos..3221518, 3221519, 3221520, 3221521, 3221501 and 3221502, be rezoned from LM, HM and RM-1, Light Manufacturing, Heavy Manufacturing and Residential Multifamily, Low Density Districts, to C-2, General Commercial District, subject to certain conditions proffered by the petitioners. David C. Helscher, Attorney. Adopted Ordinance No. 32215 on first reading. (7-0) File g51 Public hearing on the request of The Peter C. Snyder Residual Trust by Central Fidelity Bank and Georgia Anne Snyder-Falkinham, Successor Co-Trustees, that a tract of land containing 0.671 acre, more or less, located at 207 Bullitt Avenue, S. E., bearing Official Tax Nos. 4013314 and 4013316, be rezoned from LM, Light Manufacturing District, to C-3, Central Business District, subject to certain conditions proffered by the petitioners. Joseph L. Anthony, Attorney. Adopted Ordinance No. 32216 on first reading. (7-0) File #51 10 He Public hearing on the request of The Peter C. Snyder Residual Trust by Central Fidelity Bank and Georgia Anne Snyder-Falkinham, Successor Co-Trustees, that an alleyway running between Norfolk Southern Corporation Railway right-of-way and U. S. Interstate- 581, bounded on both sides by Official Tax Nos. 4013314 and 4013316; and the spur of Third Street, S. E., running between Bullitt Avenue, and the aforedescribed alleyway bounded on one side by U. S. Interstate - 581 and by real estate owned by the petitioner on the other side, be permanently vacated, discontinued and closed. Joseph L. Anthony, Attorney. Adopted Ordinance No. 32217 on first reading. (7-0) File #514 Public heating on the request of Beatrice T. Witt, that a portion of 6 1/2 Street, S. E., bounded on the north by the southern boundary of Morrill Avenue, S. E., bounded on the west by the eastern boundary of Official Tax No. 4141409, and bount~ed on the east by the western boundary of Official Tax No. 4141530, be permanently vacated, discontinued and closed. Tamalyn R. Reed, Agent. Adopted Ordinance No. 32218 on first reading. (5-2, Mayor Bowers and Council Member McCadden voted no.) File #514 Public heating on the request of the Comachi Corporation that a portion of Baker Avenue, between 25th Street and 30th Street, N. W., be permanently vacated, discontinued and closed. Wayne L. Cook, President, Spokesperson. Adopted Ordinance No. 32219 on first reading. (7-0) File ~14 Public hearing on the request of Habitat for Humanity in the Roanoke Valley, Inc., that a certain 250 foot portion of Spottswood Avenue, S. W., bounded on the north by Cleveland Avenue, on the west by Official Tax No. 1221009, on the east and south by property owned by Norfolk Southern Corporation, and on the east by Official Tax No. 11 Ke 1221101; and all of that certain 15 foot wide alley bordered on the north by Cleveland Avenue, on the west by Official Tax No. 1221101, and on the east and south by land of Norfolk Southern Corporation, be permanently vacated, discontinued and closed. David A. Camper, President, Spokesperson. Adopted Ordinance No. 32220 on first reading. (5-2, Mayor Bowers and Council Member McCadden voted no.) File #514 Public hearing on the request of Richard A. Newcomb that an alley extending north to south from Official Tax Nos. 2310701 -2310705, inclusive, and Official Tax Nos. 2310706 and 2310714, approximately 260 feet from Shenandoah Avenue, N. W., to Centre Avenue, N. W.; and an alley extending west to east approximately 275 feet to a point contiguous with the lot line separating Official Tax Nos. 2310710 and 2310711, be vacated, discontinued and closed. Richard A. Newcomb, Spokesperson. Adopted Ordinance No. 32221 on first reading. (7-0) File//514 Public hearing on the request of the House of Care of Southwest Virginia, Inc., on the question of adoption of a resolution in support of the organization's request to obtain tax-exempt status from the General Assembly of Virginia. Sara B. Winn, Attorney. Adopted Resolution No. 32222-101094. (7-0) File #79-137-169 Public hearing on the request of the Roanoke City School Board on the proposed issuance of bonds by the City of Roanoke to provide funds, together with other available funds, to finance certain capital 12 projects for school purposes, in an estimated maximum amount of $4,200,000.00, for improvements and additions to Virginia Heights Elementary School and Morningside Elementary School. Richard L. Kelley, Executive for Business Affairs, Spokesperson. Adopted Resolution No. 32223-101094. (7-0) File #53-467 Me Public hearing on the request of the City of Roanoke Redevelopment and Housing Authority with regard to Amendment No. 3 to the Deanwood Community Redevelopment Project. H. Wesley White, Jr., Spokesperson. Adopted Resolution No. 32224-101094. (7-0) File #178-200 OTHER HEARINGS OF CITIZENS: None. 13 DAVID A. BOWERS Mayor CITY OF ROANOKE OFFICE OF THE',I yOR' 215 Church Avenue, S.W., Room 452 Roanoke, Virginia 240ckh-1574~ r _ 6 Telephone: (703) 98 ?'-~444~- : I October 6, 1994 The Honorable Vice-Mayor and Members of the Roanoke City Council Roanoke, Virginia Dear Members of Council: Pursuant to your telephone conversations with the City Clerk's Office, the Members of Council will hold an informal luncheon meeting with the D-Day War Memorial - Committee on Monday, October 10, 1994, at 12:00 noon, in the Social Services Conference Room, Room 306, Municipal North. Best personal regards. Sincerely, David A. Bowers Mayor DAB: sm pc: W. Robert Herbert, City Manager James D. Ritchie, Assistant City Manager Wilburn C. Dibling, Jr., City Attorney James D. Grisso, Director of Finance /--Mary F. Parker, City Clerk William F. Clark, Director, Public Works AGENDA LUNCHEON MEETING - CITY COUNCIL/D-DAY COMMITTEE OCTOBER 10, 1994- 12:00 NOON Welcome by Mayor I1. Invocation by Mrs. Bowles III. Lunch IV. Presentation by City Manager and Staff Comments by Council Members VI. Comments by D-Day Committee VII. Adjournment DAVID A. BOWERS Mayor CITY OF ROANOKE OFFICE OF THE MAYOR 215 Church Avenue, S.W., Room 452 Roanoke, Virginia 24011-1594 Telephone: (703) 981-2444 October 10, 1994 The Honorable Vice-Mayor and Members of the Roanoke City Council Roanoke, Virginia Dear Members of Council: I wish to request an Executive Session to discuss vacancies on various authorities, boards, commissions and committees appointed by Council, pursuant to Section 2.1- 344 (A) (1), Code of Virginia (1950), as amended. Sincerely, Mayor DAB: se MARY F. PARKER, CMC/AAE Cio/Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #123-467 W. Robert Herbert City Manager Roanoke, Virginia Dear Mr. Herbert: Your report with regard to the education program in the Roanoke City Jail was before the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. On motion, duly seconded and unanimously adopted, action on the report was deferred for 60 days pending receipt of additional information with regard to the number of individuals who successfully completed the GED program while incarcerated compared to the recidivism rate of those who did not complete the program. You were further requested to investigate other available programs for inmates prior to release from the Roanoke City Jail, such as GED classes and Adult Education classes sponsored by the Roanoke City Public School system, as well as programs sponsored by Total Action Against Poverty and Virginia CARES, Inc. Sincerely, Mary F. Parker, ClV[C/AAE City Clerk MFP: sm pc: The Honorable W. Alvin Hudson, Sheriff E. Wayne Harris, Superintendent of Roanoke City Public Schools '94 Office of the City Manager October 10, 1994 Honorable Mayor and Members of City Council Roanoke, Virginia Subject: Education Program in the Roanoke City Jail Dear Mayor Bowers and Members of Council: At the August 22, 1994 meeting of City Council, the matter of hiring an employee to administer the General Educational Development (GED) Program to inmates in the Roanoke City Jail and to provide follow-up services at~er completion of the program was referred to the City Manager and the Sheriff for study, report and recommendation. This letter is in response to your request. The Roanoke City Jail presently has two educational programs, although one serves a very limited inmate population due to strict eligibility requirements imposed by the State. These programs are the Special Education Program and the Adult Basic Education Program. Special Education Program: The Special Education Program is a mandated program offered to inmates under the age of 18 desiring education services. It is also available for inmates between the ages of 18 and 22 with documented learning or mental disabilities. The goal of this program is to provide an educational program to the eligible inmates so that they may obtain a GED level of education. Since 75% of the Roanoke City Jail inmates are over the age of 22, this program covers a very small percentage of the jail population. During the past fiscal year, approximately 49 inmates were involved in this program. For fiscal years 1992, 1993 and 1994, the Special Education Program for the Roanoke City Jail was funded as part of a pilot project approved by the 1992 General Assembly. For the current fiscal year, however, state grant funds are no longer available. The Roanoke City Schools have agreed to provide 0.6 FTE of a nine-month teaching position to continue this program. The remaining 0.4 FTE of this position is being funded through the operating budget in the Jail. The total salary and fringe benefits cost for the current teacher at the Jail is $49,702. The School share of this position is $29,821, leaving a City share of $19,881. Room 364 Municipal Building 215 Church Avenue, S.W. Roanoke, Virginia 24011-1591 (703) 981-2333 Adult Basic Education Program: In 1987 Governor Baliles initiated a Literacy Program for inmates incarcerated in the Virginia Department of Corrections. This program was intended to reduce recidivism among inmates by encouraging inmates of any age to obtain a GED level of education and thereby increase their abilities to obtain jobs once released from custody. Since fiscal year 1989 federal pass-through grant funds have been made available to local jails to provide educational programs for inmates. The Roanoke City Jail has received these grant funds for the past six fiscal years to employ a part-time teacher necessary to provide the adult basic education program. While not mandated, this program has proven to be extremely valuable to inmates in the Roanoke City Jail. A total of 806 inmates have been enrolled in the educational program since fiscal year 1989. A total of 320 inmates have completed the educational program while incarcerated in the Roanoke City Jail. Of these inmates, 110 inmates were tested by the State Department of Education and received their GED certificates while still incarcerated in the Roanoke City Jail and 2 more inmates have been tested and are waiting for the results. At present, there are 59 inmates enrolled in this program, with 25 inmates on a waiting list for admission. This part-time program is funded at $18,333 for the current fiscal year. The program cost will not exceed $16,500 from the State Department of Education plus a $1,833 local cash match. In addition, funding in the amount of $10,846.60 has been requested from the State Department of Education to operate a 12 month full-time program for fiscal year 1995. The Sheriff believes he has a good chance of receiving these additional funds as he did during fiscal year 1994. On September 26, 1994, Sheriff.Hudson received verbal notification that an additional grant in the amount of $8,300 was approved. He is awaiting written confirmation. The cost to employ a full-time teacher to staffthe Roanoke City Jail's Adult Education Program for 12 months per year would be $36,715.23. This cost would include a base salary of $28,225.60 and $8,489.63 in fringe benefits. Department of Education funding now covers $16,500 of this and an additional $10,846.60 in federal pass-through funds has been applied for, as mentioned above. When considering federal grant funds available now, the actual cost to the City of Roanoke to fund this teacher's position full-time for 12 months a year during the current fiscal year would be at maximum $20,215.23 or, if additional federal grant funds are obtained as a requested for this year, a minimum of $9,368.63 to $11,915.23. The Sheriff should receive written confirmation by mid-October of this year stating the amount of additional federal grant funds that will be provided for this program. Budgetary_ Issues: The actual cost of the operation of the Roanoke City Jail and the provision of courtroom security for fiscal year 1994 was $4,855,278. State and federal revenues covered $4,167,920 of the expenditures, leaving a local share of $687,358. In the upcoming fiscal year (1996) additional expenditures will occur. With the opening of the Jail expected to be in December, 1995, fifty-one additional personnel will be employed during fiscal year 1996. Until the expanded facility is approved by the State and opened for inmates, costs for training and employment of the personnel will most likely not be reimbursed by the State Compensation Board. It is, however, essential that these personnel be well trained in advance of the facility's opening and we are committed to funding this local-only cost. Besides additional personal services costs, other operating costs such as utilities will increase in fiscal year 1996. At this point, we estimate the expanded facility will require in excess of $438,000 annually in additional local operating funds. These costs may, however, be offset through additional funding sources generated by the Sheriffs office. Conclusion: The additional costs in the Roanoke City Jail are among many human service needs the City is facing. In the past few years, costs in the areas of social services and youth programs have risen and we expect them to continue to do so. In the near future, work will begin on the expansion of the Juvenile Detention Home. As with the Jail, operating costs will increase for the Detention Home as well. As I have explained, there are many competing needs throughout the City, with limited local funding available. I am certainly supportive of providing our local match for these much-needed jail education programs. However, I do not believe we should send the message to federal and state agencies that we are willing to cover the entire costs of the education programs. When we receive word of approval for the additional federal education funds, then I will bring back to you a report accepting the grant and appropriating our local share. I will be happy to discuss this matter with you at your convenience. Sincerely, City Manager CC~ Diane S. Akers, Budget Administrator Wilburn Dibling, City Attorney James D. Grisso, Director of Finance W. Alvin Hudson, City Sheriff George C. Snead, Director of Public Safety October 10, 1994 The Honorable Mayor and Members of City Council Roanoke, Virginia Re: Request for Executive Session Dear Mayor Bowers and Members of Council: This is to request that Council convene in Executive Session to discuss the disposition of real property, specifically the use and possible conveyance of interests in real property for economic development purposes, pursuant to Section 2.1-344(A)(3), Code of Virginia (1950), as amended. Very truly yours, W. Robert Herbert City Manager KMK/lsc cc: Wilburn C. Dibling, Jr., City Attorney Mary F. Parker, City Clerk MARY F. PARKER, CMC/A~ E City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #132-200-217 The Honorable Elizabeth T. Bowles Council Member 3637 Grandview Avenue, N. W. Roanoke, Virginia 24012 The Honorable William White, Sr. Council Member 902 Lafayette Boulevard, N. W. Roanoke, Virginia 24017 Dear Mrs. Bowles and Mr. White: At a regular meeting of the Council of the City of Roanoke held on Monday, October 10, 1994, you were appointed by the Mayor to work with the City Manager to develop a team building and long range planning strategy for consideration by Council. Sincerely, Mary F. Parker, E City Clerk MFP: sm pc: W. Robert Herbert, City Manager DAVID A. BOWERS Mayor CITY OF ROANOKE CITY COUNCIL 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011-I 536 Telephone: (703) 981-2541 October 3, 1994 Honorable Mayor and Members of City Council Roanoke, Virginia Dear Mayor Bowers and Members of Council: Subject: Long-Range Planning by City Council Council Members: Elizabeth T. Bowles John S. Edwards Delvis O. "Mac" McCadden John H. Parrott William White, Sr. Linda F. Wyatt In recent years, City Council has had the opportunity to participate in a variety of long-range planning efforts with the city administration. In 1988, for example, City Council worked with a professional facilitator and city staffto develop the current mission statement of the City as well as six strategic issues which became the guiding principles upon which future administrative and policy decisions would be made. This session was followed by a second similar planning session in 1991 which resulted in the adoption of the same mission statement and a slightly different set of strategic issues (see Attachment A) that remain unchanged today. City Council also participated in a financial planning session with city administrators in 1993 that consisted of a discussion of then current financial trends and future fiscal challenges. And, City Council has been an active participant in the ongoing Roanoke Vision planning process designed to update our comprehensive plan. Finally, members of Council recently participated in the development and adoption of our 5-year Capital Improvement Program. There are only two current members of City Council that have participated in all of the long-range planning activities dating back to 1988. Only three current members participated in the 1991 session, and four current members participated in the 1993 financial planning session. Most current Council members have participated in the Roanoke Vision and Capital Improvement Program planning processes. I believe that, in order for City Council to provide the necessary guidance to the City Manager so that he can be responsive to our wishes, we must develop a clear, concensus-based agenda founded upon a common understanding of the major issues facing our City in the future. I am concerned that, because all current Council members have not had the opportunity to participate in previous long-range planning sessions, this common understanding may not exist. I also believe that we must continue to function as cohesively as possible under the relatively new leadership of our Mayor and Vice-Mayor. I have discussed my concern with the City Manager and he has advised me that Roanoke is not unique in this matter. Many urban cities in Virginia, including Charlottesville, Danville, Hampton, Lynchburg, Norfolk and Virginia Beach, have had similar concerns about the effect of attrition among Council members on the continuity of long-range planning processes and the Council's functional cohesiveness. These cities have addressed this concern by using facilitation services offered by organizations like the Center for Public Service at the University of Virginia on an ongoing basis to promote a team-based, continuous approach to long-range planning. I feel that we should explore such a strategy in more detail, and I would like to recommend that City Council consider this matter as part of its consent agenda on Monday, October 10th. An appropriate first step might be to appoint two members of City Council to work with the City Manager to develop a recommended team-building and long-range planning strategy for consideration by City Council. Thank you for your consideration of this matter. Respectfully submitted, Councilmember Attachment MISSION STATEMENT AND STRATEGIC ISSUES Attachment A MISSION STATEMENT: Roanoke, the "Star City", will be the most exceptional place to live and work in the South. STRATEGIC ISSUES: 1. ECONOMIC DEVELOPMENT Roanoke shall create and maintain a broad range of quality development and employment opportunities to meet the needs of our diverse population and strengthen our tax base. 2. EDUCATION Roanoke shall provide the highest quality education possible to develop the full potential of all our citizens. 3. ENVIRONMENTAL QUALITY Roanoke's high quality environment shall be preserved and enhanced. 4. IMAGE Roanoke shall create the most positive image achievable. 5. REGIONAL APPROACHES The people of our region share common interests and needs, and Roanoke shall strive to create with others a focused, unified agenda to address regional issues. CITY OF ROANOKE INTERDEPARTMENT DATE: TO: FROM: SUBJECT: September 20, 1994 Mary Parker, City Clerk Vernon M. Danielsen, Chairman Civic Center Commission City Council Agenda This is to request time on the City Council agenda for Monday, October 10, 1994 for approximately seven to ten minutes to present City Council with the Civic Center's Annual Report. ROANOKE CIVIC CENTER OPERATING HIGHLIGHTS UTILIZATION Events Patrons Roanoke Outside Roanoke Utilization 1993-94 222 677,000 428,000 249,000 81% 1992-93 194 541,000 317,000 224,000 77% 1991-92 204 460,000 274,000 186,000 76% Total Ticket Sales $4,900,000 $3,600,000 $2,980,0007 FINANCIAL HIGHLIGHTS 1993-1994 PATRON SPENDING In Roanoke Outside Roanoke TOTAL $20,291,000 998,000 $21,289,000 Tax Revenue Received by Roanoke $1,545,000 Civic Center Operating Revenue Operating Expenses (Including Capital Outlay) Deficit $1,596,000 2,128,000 ($532,000) City Supplement Tax Revenue Net Revenue to City ($532,265) $1,545.000 $1,01 3,000 ROANOKE CIVIC CENTER MAJOR EVENTS CONVENTION JehovasWitnesses 20,000 SweetAdelines 1,200 Church of God of Prophecy 1,800 FAMILY MUSIC SPORTS CULTURAL Shrine Circus 26,700 The America Tour 7,800 James H. Drew Expo 60,000 Glen Fry/Joe Walsh 4,905 Aerosmith 9,750 Reba McEntire 7,933 Brooks & Dunn 7,911 Travis Tritt 5,242 Charlie Daniels 10,589 ZZ Top 11,000 Express Hockey (37 games) 160,453 ($933,601 sales) SRO Motorsports 14,837 VA Tech/UVa Basketball 9,222 Les Miserables 16,470 Grease 2,333 Oklahoma 2,343 Jeff Foxwo~hy 4,674 Garrison Keillor 4,978 Man of Lamancha 2,303 Tony Bennett 1,806 Moody Blues 4,482 Symphony 11,468 TICKET SALES $460,000 $1,200,000 $1,240,000 $1,076,000 MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #5-66 W. Robert Herbert City Manager Roanoke, Virginia Dear Mr. Herbert: At a regular meeting of the Council of the City of Roanoke held on Monday, October 10, 1994, Mr. Dara A. Jilla addressed Council with regard to violent crime in the City of Roanoke. On motion, duly seconded and unanimously adopted, the matter was referred to you for appropriate response. Sincerely, Mary F. Parker, City Clerk MFP: sm pc: Mr. Data A. Jilla, P. O. Box 13985, Roanoke, Virginia 24038-3985 & Design Center American of Lynchburg, Inc. ~ _:~0 VIA FAX & FIRST CLASS MAIL FAX TRANSMITTAL TO: 703/224-3145 September 29, 1994 Ms. Mary F. Parker Clerk - City of Roanoke 215 Church Ave., S.W. - Room 456 Roanoke, Virginia 24011-1536 In Ref: Roanoke City Council Meeting - October 10, 1994 10:00 AM Dear Ms. Parker: By this letter, we respectfully request that you put us on the agenda for the Roanoke City Council Meeting to be held on October 10th at 10:00 AM. The subject matter which we wish to bring-up at the Council Meeting is VIOLENT CRIME. The undersigned has been a victim of violent crime, which occurred at our place of business located in Roanoke City. To-date, this violent crime remains UNSOLVED by the Roanoke City Police Department. If you have any questions or if I may be of assistance in any regard, please do not hesitate to contact me. Sincerely, Dara A. Jilla DAJ/jt P.O. BOX 13985, ROANOKE, VIRGINIA 24038-3985 · (703) 344-7100 (Showroom: 2615-C Orange Avenue N.E. · Roanoke, Va. 24012) MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #72 Davis L. Conklin Administrative Manager Cost Containment, Inc. 308-B Sherwee Drive Raleigh, North Carolina 27603 Dear Mr. Conklin: I am enclosing copy of Resolution No. 32197-101094 authorizing acceptance of a bid and execution of a contract with Cost Containment, Inc., for provision of Food Stamp Issuance Service, for the period of November 1, 1994 through October 31, 1995, at an annual cost of approximately $48,000.00, with the option to renew for two additional one-year periods, upon such terms and conditions as more particularly set forth in a report of the City Manager under date of October 10, 1994. Resolution No. 32197-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, E City Clerk MFP: sm Eric. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No.~32197-101094. A RESOLUTION authorizing the acceptance of a bid and execution of a contract with Cost Containment, Inc., for the provision of Food Stamp Issuance Service. BE IT RESOLVED by the Council of the City of Roanoke that: 1. The bid of Cost Containment, Inc., being the only bid received for the provision of Food Stamp Issuance Service, such service being more particularly described in the October 10, 1994 report of the City Manager to this Council, is hereby ACCEPTED. 2. The City Manager or the Assistant City Manager and the City Clerk are hereby authorized, for and on behalf of the City, to execute and attest, respectively, a contract with Cost Containment, Inc., for the services listed above for the period November 1, 1994 through October 31, 1995, at an annual cost of approximately $48,000.00, with the option to renew upon the same terms and conditions for two additional one-year periods, upon such terms and conditions as are more fully set out in the report to this Council dated October 10, 1994. 3. The form of the contract with such bidder shall be approved by the City Attorney. ATTEST: City Clerk. Roanoke, Virginia October 10, 1994 '?4 Honorable Mayor and City Council Roanoke, Virginia Dear Members of Council: SUBJECT: Bid For Issuance of Food Stamps, Bid No. 94-8-34 I. Background Since 1987, the City of Roanoke Department of Social Services has contracted for the issuance of Food Stamps to an organization specifically designed to provide that kind of service. The service was bid again in 1991 and an award of a contract was made. The existinq contract is scheduled to expire on October 31, 1994. De Specifications were developed and were sent to specific firms that had requested the opportunity to bid. A public advertisement was also published in the Roanoke Times and Roanoke Tribune. II. Current Situation ae Only One (1) bid was received. That bid, from Cost Containment, Inc. was publicly opened and read in the Office of General Services at 2:00 p.m. on Friday, September 2, 1994. Be The bid was evaluated, in a consistent manner, by representatives of Social Services and General Services Departments. Ce Cost Containment, Inc. has provided a bid that meets all required specifications for a cost of .55 per transaction, with a monthly maximum of $3,600.00, plus postage cost. De Cost Containment, Inc. is the current provider and the cost per transaction quoted is the same as the current cost. Issuance of Food Stamps Bid No, 94-8-34 Page 2 III. Issues A. Accountability B. Compliance with Specifications C. Cost D. Timinq IV. Alternatives ae Council accept the bid provided by Cost Containment, Inc. to provide for the issuance of Food Stamps for the period November 1, 1994 through October 31, 1995, with the option to renew upon the same terms and conditions, for two (2) additional one (1) year periods. Accountability - The contract with Cost Containment, Inc. will insure the requisition, inventory, control and distribution of Food Stamps. Compliance with Specifications - The bid submitted by Cost Containment, Inc. meets all required specifications. Cost - Approximate cost of this service, including postage, is $48,000 per year. Funds are available in the Social Services account 001-054-5313-2010 to provide for this service. Timinq - Approval and acceptance of this bid will allow for the continuation of the service without interruption. Bo Council not accept the bid submitted by Cost Containment, Inc. Accountability - Another system of issuance would have to be developed immediately to meet Federal requirements. 'Compliance with specifications would not be a factor in this alternative. Issuance of Food Stamps Bid No. 94-8-34 Page 3 CC: Cost is anticipated to increase if Food Stamps were issued by Social Services due to the requirement for additional staff, additional space and storage for the inventory that would have to be maintained. Timinq - Changing the method of issuance of Food Stamps would temporarily interrupt that service to the recipients. V. Recommendation Council concur with Alternative "A" - accept the bid submitted by Cost Containment, Inc. to provide Food Stamp Issuance Service for the period November 1, 1994 through October 31, 1995 with the option to renew upon the same terms and conditions, for two (2) additional one (1) year periods. Authorize the City Manager to enter into a contract, in a form approved by the City Attorney, with Cost Containment, Inc. to provide the required Food Stamp Issuance Service. Respectfully Submitted, W. Robert Herbert, City Manager City Attorney Director of Finance Management & Budget MARY F. PARKER, CMC/A ~E City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #60-236-261-318-348-349 Peggy J. Baggett Executive Director Commission for the Arts Lewis House - 2nd Floor 223 Governor Street Richmond, Virginia 23219-2010 Dear Ms. Baggett: I am enclosing copy of Resolution No. 32199-101094 authorizing acceptance of a grant from the Virginia Commission for the Arts, in the amount of $2,910.00, to be used for those purposes identified in a report of the City Manager under date of October 10, 1994. Resolution No. 32199-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, CMU/AAE City Clerk MFP: sm Eno. pc: Patricia L. Avis, Executive Director, Roanoke Symphony Society, 541 Luck Avenue, S. W., Roanoke, Virginia 24016 Mark Scala, Interim Curator, Art Museum of Western Virginia, One Market Square, Roanoke, Virginia 24011 Linda Webb, Director, Marketing and Development, Mill Mountain Theater, One Market Square, Roanoke, Virginia 24011 Susan W. Jennings, Executive Director, Arts Council of the Blue Ridge, 10 East Church Avenue, Roanoke, Virginia 24011 IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32199-101094. A RESOLUTION authorizing the acceptance of a grant from the Virginia Commission for the Arts. BE IT RESOLVED by the Council of the City of Roanoke that the City Manager, or his designee, is authorized to accept a grant from the Virginia Commission for the Arts in the amount of $2,910.00 to be used for those purposes identified in the report of the City Manager to Council dated October 10, 1994; ~nd the City Manager, or his designee, is authorized to execute the requisite grant documents in order to accept said grant on behalf of the City. All documents shall be approved by the City Attorney. ATTEST: City Clerk. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA The 10th day of October, 1994. No. 32198-101094. AN ORDINANCE to amend and reordain certain sections of the 1994-95 Grant Fund Appropriations, and providing for an emergency. WHEREAS, for the usual daily operation of the Municipal Government of the City of Roanoke, an emergency is declared to exist. THEREFORE, BE IT ORDAINED by the Council of the City of Roanoke that certain sections of the 1994-95 Grant Fund Appropriations, be, and the same are hereby, amended and reordained to read as follows, in part: Appropriations Parks, Recreation and Cultural Challenge Grant - FY95 (1) ....................... Revenue Parks, Recreation and Cultural Challenge Grant - FY95 (2) ....................... 1) Subsidies (035-054-8729-3700) $ 2,910 2) State Grant Revenue (035-035-1234-7180) 2,910 $ 62,961 2,910 $ 62,961 2,910 BE IT FURTHER ORDAINED that, an emergency existing, this Ordinance shall be in effect from its passage. ATTEST: City Clerk. October 10, 1994 Roanoke, Virginia Honorable Mayor and City Council Roanoke, Virginia Members of Council: SUBJECT: VIRGINIA COMMISSION CHALLENGE GRANT FOR THE ARTS LOCAL GOVERNMENT I. BACKGROUND ae The City of Roanoke was notified of a Local Government Challenge Grant available through the Virginia Commission for the Arts. Local Government Challenge Grant Funds are available on a 50 - 50 matching basis, 50 percent state and 50 percent local. Ce Application for the grant was made at the request of the The Arts Council of Roanoke Valley, Roanoke Symphony Orchestra, and Mill Mountain Theatre. II. CURRENT SITUATION Notification from the Commission for the Arts has been received that a grant of $2~910.00 is available. Be The grant will supplement funds already appropriated from the City to the organization through the Citizens Services Committee. The local funds will meet the 50 - 50 match. The Grant funds of $2~910.00 will be distributed to The Arts Council of Roanoke Valley ($970), Roanoke Symphony Orchestra ($970), and Mill Mountain Theatre ($970). III. ae ISSUES Need for Funding. Timing. Cost to the City. IV. ALTERNATIVES City Council accept the $2,910.00 Local Government Challenge Grant from the Virginia Commission for the Arts. Need for Funding. The Arts Council of Roanoke Valley, Roanoke Symphony Orchestra, and Mill Mountain Theatre will use funding to make quality arts activities available to citizens of Roanoke. Timing. The grant must be accepted and properly executed papers returned to the Virginia Commission of the Arts prior to release of funds. Cost to the City. Matching funds have been appropriated in the City's FY 1994-95 General Fund Budget through the Citizens Services Committee. No additional funding is required. City Council not accept the $2t910.00 grant from the Virginia Commission for the Arts. Need for Funding. The Arts Council of Roanoke Valley, Roanoke Symphony Orchestra, and Mill Mountain Theatre will lose $2t910.00 in funding which would be used to make quality arts activities available to the citizens of Roanoke. 2. Timing· Not an issue. Cost to the City· No impact. Local funds have been appropriated in the City's General Fund Budget through the Citizens Services Committee. V. RECOMMENDATION City Council concur with Alternative A and accept th~ $2~910.00 grant from the Virginia Commission for the Arts. Appropriate $2~910.00 to accounts to be established by the Director of Finance in the Grant Fund. Authorize the City Manager or his designee to execute the Local Government Challenge Grant on behalf of the City of Roanoke. Respectfully submitted, City Manager WRH/GDR/gr cc: Wilburn C. Dibling, Jr., City Attorney James D. Grisso, Acting Director of Finance Barry L. Key, Management and Budget James D. Ritchie, Director of Human Resources Director of Human Development June 20, 1994 Peggy J. Baggett, Executive Director Commission for the Arts Lewis House - 2nd Floor 223 Governor Street Richmond, VA 23219-2010 Dear Ms. Baggett: In accordance with your letter of June 10, 1994, this is to advise you that Roanoke City Council has approved by Resolution No. 32028-060694 Arts appropriations for 1994-1995 as follows: Art Museum of Western Virginia (Originally Roanoke Museum of Fine Arts) Roanoke Symphony Society The Arts Council of the Blue Ridge Mill Mountain Theater $ 500.00 4,000.00 2,500.00 1,000.00 We appreciate your approval of our Local Government Challenge Grant and plan to disperse the funds through the appropriate agencies upon receipt. Sincerely, Director of Human Development GDR:gr Room 356, Municipal Building 215 Church Avenue, S.W., Roanoke, Virginia 24011-1539 (703) 981-2302 IETARY AMOUNT: Remittance/PaYment Advice Remittonce Informotion Onlg ** Credit *, 8,611. 00 N/x PAYMENT METHOD:ACH PAYMENT FORMAT: CCP OFI ID NO OUALIFIER:ABA Transit Routing Number DFI ID NUMBER: 051400846 ACCOUNT NUMER OUAL:Oemand Deposit ' ACCOUNT NUMBER: 0000 002§ ORIGINATING COMPANY ID: E5q8001745 DFI IO NO OUALIFIER: ABA Transit Routing OFI ID NUMBER: 051400549 ACCOUNT NUMBER OUAL:Oemand Deposit ACCOUNT NUMBER: 200100741888~ EFFECTIVE ENTRY DATE: 08/2§/§4 TRACE: Current Transaction Trace Numbers=TO008250 REFERENCE: Batch Number:0825942102 Transaction Creation Date = 08125/94 ~1: NBPM .............. *~ Pagee m~- ROANOKE CITY TREASURER 5q600156900 Federal Tax ID PO BOX 1451 ROANOKE, VA CONTROL~ 000000117 Including Check Number Including Check 24007 (COUNTRY: US) ................... ** Payer ** .................... COMM OF VA CONTACT: Accounts Pagable Oepartment:OEPARTMENT OF Telephone 8046748465 MONETARY AMOUNT , 7 Notes: A187940883'~ _~ REFERENCE: Mutually Oefined:3RD REFERENCE: Voucher=1270602N EMERGENCY. OUARTER E~A FYg4 INV DESC ........... -** Payer ** .................... COMM OF VA CONTACT: Telepho No REF REF REF SERVICES Accounts Pay~.~-e Department: VIRGINIA COMMISSION FOR THE ARTS ne 8042253132 -- -~ !; £~S ~'~ Jc>~q '-71 ~0 NETARY AMOUN T:I~ ~,s,J tes: Azqegq08 ~AR ~h~ ~.~f.~ ~ ERENCE: Seller's Invoice NumbeF=LGCG ERENCE: Hutuallg Defined=95-OOq~ INV DESC ~l~u~e~ ERENCE: Vouclner=9500~13N COMMISSION MEMBERS NANCY BAGLEY ADAMS, CHAIR HAMPTON MARGARET IRBY CLEMENT, VICE CHAIR DANVILLE HERMINA WALTHALL BUTCHER, SECRETARY LYNCHBURG FAYE Y. BENTON RICHMOND DONNA F. BERGHEIM ALEXANDRIA ROBERT E. BROWN NORFOLK JANET COPPLE DAVIS WINCHESTER BETH E. DOZORETZ NORFOLK MARY S. ELLETT LYNCHBURG MARY TRENT JONES ABINGDON JAMES C. McKEEVER, JR. FAIRFAX JANET A. PAYNE FREDERICKSBURG KEN WRIGHT CHESAPEAKE W. Robert Herbert, City Manager Roanoke, City of 215 Church Avenue, S.W. Room 356, Municipal Building Ronaoke, VA 24011 COMMONWEALTH of VIRQ RICHMOND, VIRGINIA 23219-2010 (804) 225-3132 Voice~DD June 10, 1994 Re: Local Government Challenge Grant 95-0042 - $2,910 EIN: 546001569 FIPS: 770 Dear Mr. Herbert: It is a pleasure to inform you that the Virginia Commission for the Arts has awarded your jurisdiction a grant of $2,910 in the Local Government Challenge Grant category. Your signature on the certification of assurances attached to the application indicated your agreement to the grant conditions. Any substantive changes in the activities or budget described in your application must be approved in advance by the Commission staff. In all published material and announcements regardJ.no your local re-oranting proqram~ acknowledgment mUst be ~ade that the pr6gram is partially supported by a grant from the Virginia Commission for the Arts and the National Endowment for the Arts. In order to release the funds, the Commission must receive written confirmation that your local government has appropriated 1994-95 funds for arts organizations matching or exceeding the amount of the grant. This confirmation may take the form of a brief letter from an authorized official or a copy of the pertinent section of your jurisdiction's approved 1994-95 budget, but it must refer to the actual dollar amounts appropriated for arts organizations. Roanoke, City of June 10, 1994 Page Two You may expect payment of the entire grant amount upon receipt of this confirmation. All funding is conditional upon action of the Governor and of the Virginia General Assembly. The Commission is grateful for your cooperation and for your contribution in making high quality arts activities available to the citizens of Virginia. Please accept our best wishes for your continued success. Sincerely, P{g~J. ~agge~t Executive Director MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #178-236-247-258 Neva J. Smith Executive Director City of Roanoke Redevelopment and Housing Authority 2624 Salem Turnpike, N. W. Roanoke, Virginia 24017 Brian J. Wishneff Acting Director Hotel Roanoke Conference Center 111 Franklin Plaza Suite 230 Roanoke, Virginia 24011 Dear Ms. Smith and Mr. Wishneff: I am enclosing copy of Resolution No. 32200-101094 declining to require the Hotel Roanoke, L.L.C. to procure a performance or financial guaranty bond, at City expense, in connection with the loan of federal funds, in the amount of $6,000,000.00, for the Hotel Roanoke project. Resolution No. 32200-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, CMC/AAE City Clerk MFP: sm Enc. pc: Raymond D. Smoot, Jr., Vice President for Business Affairs and Treasurer, 312 Burruss Hall, Virginia Tech, Blacksburg, Virginia 24061-0142 Margie W. Thomas, Secretary of Virginia Tech Board of Visitors, 210 Burruss Hall, Virginia Tech, Blacksburg, Virginia 24061-0142 IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32200-101094. A RESOLUTION declining to require the Hotel Roanoke, L.L.C. to procure a performance or financial guaranty bond, at City expense, in connection with the loan of federal funds for the Hotel koanoke project. WHEREAS, by Resolution 31774-111593, this Council authorized the execution of an agreement (the "108 Agreement") with the City of Roanoke Redevelopment and Housing Authority ("RRHA") and the Hotel Roanoke, L.L.C. ("HRLLC") providing for the loan of $6,000,000.00 of federal funds to the Hotel Roanoke project; WHEREAS, Section 15(a) of the 108 Agreement provides that at the option of the City, the City may require the HRLLC to provide RRHA, at the sole expense of the City, a performance or financial guaranty bond conditioned upon HRLLC's completion and reopening of the Hotel Roanoke. NOW THEREFORE, BE IT RESOLVED by the Council of the City of Roanoke that Hotel Roanoke, L.L.C. not be required to provide to the Roanoke Redevelopment and Housing Authority a performance or financial guaranty bond in connection with the loan of $6,000,000.00 of federal funds to the Hotel Roanoke project. ATTEST: City Clerk October 10, 1994 Honorable Mayor and Members of Council Roanoke, Virginia Dear Mayor and Council Members: Subject: Performance Bond for the Hotel Roanoke I. BACKGROUND Citv Council aDoroved on November 15. 1993 an Agreement between the City of Roanoke Redevelopment and Housing Authority (RRHA), the City of Roanoke and the Hotel Roanoke, L.L.C. (HRLLC) providing for RRHA to loan $6 million of Housing and Urban Development (HUD) 108 loan funds to the HRLLC for the Hotel Roanoke project. Section 15(a), of the Agreement provides that at the option of the City, "the City may require HRLLC to provide RRHA, in form acceptable to RRHA, a performance bond or financial guaranty bond in the amount of $6 million conditioned upon HRLLC's completion and opening of the rehabilitated and restored Hotel"... "If the City exercises its option to require such bond, the cost of such bond shall be at the sole expense of the City." The DurDose of this provision is to allow the RRHA to recover the money loaned to HRLLC in the event that the Hotel is not completed or reopened. The City must make a decision whether to exercise its option to require the HRLLC to provide the bond prior to closing the HUD 108 loan. II. CURRENT SITUATION A. Closing on the HUD 10R loan is scheduled for early October 1994. B. Renovation on the Hotel is 60% complete. III. ISSUES A. Cost. B. Timing. C. Effect. IV. ALTERNATIVES A. ~ decline to require the HRLLC to provide RRHA a performance bond Honorable Mayor and Members of Council - 2 - October 10, 1994 or financial guaranty bond, at City expense, and authorize the disbursement of HUD 108 loan without such bond. Vm The cost of such a bond would be at least $120.000. The construction of the Hotel is more than 60% complete and in a solid position to be completed within the remaining available funds. The current conditions on the project make this expense appear unnecessary. 2. Timing is critical so that the loan closing may occur in mid October. Effect - City has no bond protection if funds for completion are not available after loan funds have been expended. The City's annual CDBG allocation for future years would be required to repay the HUD 108 loan on schedule. City Council require the HRLLC to provide RRHA a performance bond or financial guaranty bond, at City expense, prior to disbursement of 108 loan. 1. Cost would be a minimum of $120.000. 2. Timing is important in that LLC needs funds disbursed by mid-October. Bond would protect the Section 108 loan funds loaned to the HRLLC in the event the Hotel is not completed and reopened on schedule. RECOMMENDATION Recommend Alternative A, City Council authorized City Manager not to require the HRLLC to procure a financial guarantee bond at City expense. Respectfully submitted, W. Robert Herbert City Manager WRH/BJW:kdc cc: City Attorney Director of Finance Manager, Management and Budget Acting Director, Hotel Roanoke Conference Center Commission Risk Manager Ms. Neva J. Smith, Roanoke Redevelopment and Housing Authority Dr. Raymond D. Smoot, Virginia Tech MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 F~e #5-20-24-34-106-110-111-133-199-299-301 Evelyn Jefferson Vice President - Supplements Municipal Code Corporation P. O. Box 2235 Tailahassee, Florida 32304 Dear Ms. Jefferson: I am enclosing copy of Ordinance No. 32201-101094 amending the Code of the City of Roanoke (1979), as amended, by repealing Chapter 3, Air Pollution Control, Articles I through V, Section 3-1 through Section 3-87, inclusive, and abolishing the Air Pollution Control Advisory and Appeai Board. Ordinance No. 32201-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. I am also enclosing copy of Ordinance No. 32211-101094 amending and reordaining Section 20-33.1, Same - Requirements; obtaining license plate, tag, or decal a condition precedent to discharge of violation, by adding new subsections (c), (d), (e), (f), (g), and (h), and Section 20-33.2, Same - Requirements for operation~ obtaining license plate, tag or decal a condition precedent to discharge of violation, by amending subsections (a) and (b) and adding new subsections (c), (d), (e), (f), (g), and (h), of Article II, Vehicle Licenses, of Chapter 20, Motor Vehicles and Traffic, Code of the City of Roanoke (1979), as amended, to alio'~ ~-li~-~ ~~ }-~ ticket unoccupied, parked vehicles for failure to display a valid decal and provide for a penalty therefor, effective November 1, 1994. Ordinance No. 32211-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Please include Ordinance Nos. 32201-101094 and 32211-101094 in Supplement No. 33 to the Roanoke City Code. Sincerely, Mary F. Parker, CMC/KAE City Clerk MFP: sm Enc. MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #5-20-24-34-106-110-111-133-199-299-301 Raymond F. Leven Public Defender Suite 4B Southwest Virginia Building Roanoke, Virginia 24011 Dear Mr. Leven: I am enclosing copy of Ordinance No. 32201-101094 amending the Code of the City of Roanoke (1979), as amended, by repealing Chapter 3, Air Pollution Control, Articles I through V, Section 3-1 through Section 3-87, inclusive, and abolishing the Air Pollution Control Advisory and Appeal Board. Ordinance No. 32201-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. I am also enclosing copy of Ordinance No. 32211-101094 amending and reordaining Section 20-33.1, Same - Requirements; obtaining license plate, tag, or decal n condition precedent to discharge of violation, by adding new subsections (c), (d), (e), (f), (g), and (h), and Section 20-33.2, Same- Requirements for operation; obtaining license plate, tag or decal a condition precedent to discharge of violation,, by amending subsections (a) and (b) and adding new subsections (c), (d), (e), (f), (g), and (h), of Article II, Vehicle Licenses, of Chapter 20, Motor Vehicles and Traffic, Code of the City of Roanoke (1979), as amended, to allow police officers to ticket unoccupied, parked vehicles for failure to display a valid decal and provide for a penalty therefor, effective November 1, 1994. Ordinance No. 32211-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, City Clerk MFP: sm Enc. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32201-101094. AN ORDINANCE amending the Code of the City of Roanoke (1979), as amended, by repealing Chapter 3, Air Pollution Control, Articles I through V, §3-1 through S3-87, inclusive, and abolishing the Air Pollution Control Advisory and Appeal Board; and providing for an emergency. BE follows: 1. IT ORDAINED by the Council of the City of Roanoke as Chapter 3, Air Pollution Control, Articles I through V, §3-1 through §3-87, inclusive, of the Code of the City of Roanoke (1979), as amended, are hereby REPEALED. 2. The Air Pollution Control Advisory and Appeal Board is hereby ABOLISHED. 3. This Council expresses its appreciation to the members oF the Air Pollution Control Advisory and Appeal Board for their service to the City. 4. In order to provide for the usual daily operation of the municipal government, an emergency is deemed to exist, and this ordinance shall be in full force and effect upon its passage. ATTEST: City Clerk. Roanoke, Virginia October 10, 1994 Honorable Mayor and Members of City Council Roanoke, Virginia Dear Members of City Council: Subject: AMENDMENT TO CITY CODE TO ABOLISH THE AIR POLLUTION CONTROL ADVISORY AND APPEAL BOARD I. Background' The purpose of the Air Pollution Control Advisory and Appeal Board is to advise City Council and the City Manager in matters concerning the protection of air resources and the promotion of health, safety, and welfare in the City and to hear appeals in case of enforcement actions initiate~l by the City Manager. The City's Air Pollution Control Ordinance (City Code Section 3-1 through 3-87) was adopted prior to 1972 and is largely preempted by more recent State and Federal regulations, except when the City's Ordinance is more stringent. The State Department of Environmental Quality (DEQ) opened a local office on Peters Creek Road in November, 1979. II. Current Situation: Ao The field of air pollution control has become increasingly complex and extensively regulated by State and Federal legislation in recent years. The Air Pollution Control Advisory and Appeal Board no longer serves a useful purpose. All matters relating to air pollution are being referred to the State Department of Environmental Quality on Peters Creek Road. Discussion with the two (2) current members of the Board, Robert C. Hudson and Versal R. Dearing, reveals that the Board has not met since Mr. Dearing was initially appointed in May, 1983. There are no minutes from any previous meeting filed with the City Clerk. Both members concur in the recommendation to abolish the Board and allow the State to assume all responsibility in this area. Honorable Mayor and Members of City Council AMENDMENT TO CITY CODE TO ABOLISH THE AIR POLLUTION CONTROL ADVISORY AND APPEAL BOARD Page 2 October 10, 1994 III. Issues: Need to remove outdated requlations Administrative effort Possible legal conflicts IV. Alternatives: A. City Council authorize the abolition of the Air Pollution Control Advisory and Appeal Board and repeal the Air Pollution Control Ordinance, thereby allowing the State to assume all responsibility in this area, and instruct the City Attorney to prepare the proper measure recognizing the service of the Board members. 1. Need to remove outdated requlations from City Code is met. Administrative effort necessary to maintain the Air Pollution Control Advisory and Appeal Board would be eliminated. o Possible leqal conflicts with State regulations and public confusion will be eliminated. City Council not authorize the abolition of the Air Pollution Control Advisory and Appeal Board and repeal the Air Pollution Control Ordinance, thereby retaining responsibility in this area. Need to remove outdated requlations from City Code is not met. The Board will be retained, but continue to be inactive. Administrative effort to maintain the Air Pollution Control Advisory and Appeal Board will remain an unnecessary responsibility for City staff. Possible leqal conflicts with State regulations and public confusion will continue. Honorable Mayor and Members of City Council AMENDMENT TO CITY CODE TO ABOLISH THE AIR POLLUTION CONTROL ADVISORY AND APPEAL BOARD Page 3 October 10, 1994 Mo Ao Recommendation is that City Council take the following action: Concur with the implementation of Alternative 'A": 1. Abolish the Air Pollution Control Advisory and Appeal Board, 2. Repeal the Air Pollution Control Ordinance (City Code Section 3-1 through 3-87), 3. Ask the City Manager to communicate with the DEQ the Council's desire for the State to continue all responsibilities in this area, and 4. Ask the City Attorney to prepare the proper measure recognizing the service of the Board members. Respectfully submitted, W. Robert Herbert City Manager WRH/WFC/SEF/kh CC: City Attorney Director of Finance Director of Public Works Director of Utilities and Operations Assistant to City Manager for Community Relations City Engineer MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 18, 1994 File #15-110-199 Mr. Versal R. Dearing 2219 Langdon Road, S. W. Roanoke, Virginia 24015 Dear Mr. Dearing: I am enclosing copy of Ordinance No. 32201-101094 amending the Code of the City of Roanoke (1979), as amended, by repealing Chapter 3, Air Pollution Control, Articles I through V, Section 3-1 through Section 3-87, inclusive, and abolishing the Air Pollution Control Advisory and Appeal Board. Ordinance No. 32201-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. The Members of Council requested that I express their sincere appreciation for the many services you have rendered to the City of Roanoke as a member of the Air Pollution Control Advisory and Appeal Board from May 23, 1983 to October 10, 1994. Please find enclosed an aerialview photograph of the Roanoke Valley and a Certificate of Appreciation issued by the Mayor on behalf of the Members of the Roanoke City Council. Sincerely, MFP: sm En¢. Mary F. Parker, CMC/AAE City Clerk MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 18, 1994 File #15-110-199 Mr. Robert C. Hudson 606 N. Broad Street Salem, Virginia 24153 Dear Mr. Hudson: I am enclosing copy of Ordinance No. 32201-101094 amending the Code of the City of Roanoke (1979), as amended, by repealing Chapter 3, Air Pollution Control, Articles I through V, Section 3-1 through Section 3-87, inclusive, and abolishing the Air Pollution Control Advisory and Appeal Board. Ordinance No. 32201-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. The Members of Council requested that I express their sincere appreciation for the many services you have rendered to the City of Roanoke as a member of the Air Pollution Control Advisory and Appeal Board from April 13, 1987 to October 10, 1994. Please find enclosed an aerialview photograph of the Roanoke Valley and a Certificate of Appreciation issued by the Mayor on behalf of the Members of the Roanoke City Council. Sincerely, MFP: sm Mary F. Parker, CMC/AAE City Clerk Eric. MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #27-183-405-468 John H. Laramore, President Laramore Construction Co., Inc. P. O. Box 1656 Danville, Virginia 24543 Dear Mr. Laramore: I am enclosing copy of Ordinance No. 32202-101094 approving the City Manager's issuance of Change Order No. 2 to the City's contract with Laramore Construction Co., Inc., in connection with Carvins Cove Filter Plant Improvements - Phase II, Contract A-2, in the amount of $69,195.00, for a total contract amount including Change Order No. 2 of $1,541,701.00. Ordinance No. 32202-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, ~IC/AAE City Clerk MFP: sm Enc. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32202-101094. AN ORDINANCE approving the City Manager's issuance of Change Order No. 2 to the City's contract with Laramore Construction Company, Inc., in connection with Carvins Cove Filter Plant Improvements - Phase II, Contract A-2; and providing for an emergency. BE IT ORDAINED by the Council of the City of Roanoke that: 1. The City Manager or the Assistant City Manager is authorized and empowered to issue, for and on behalf of the City, upon form approved by the City Attorney, Change Order No. 2 to the City's contract with Laramore Construction Company, Inc., in connection with Carvin's Cove Filter Plant Improvements - Phase II, Contract A-2. 2. Such Change Order shall provide for the following changes in the work to be performed: ORIGINAL CONTRACT AMOUNT Contract amount including Previous Change Orders CHANGE ORDER NO. 2: 1. Tunneling at Williamson Road near Kroger store. $1,469,735.00 $1.472.506.00 55,195.00 2. Adjust sanitary sewer laterals 14,000.00 TOTAL AMOUNT OF CHANGE ORDER NO. 2 $ 69,195.00 CONTRACT AMOUNT INCLUDING CHANGE ORDER NO.2 $1.541.701.00 ADDITIONAL TIME REQUIRED FOR CHANGE ORDER NONE 3. In order to provide for the usual daily operation of the municipal government, an emergency is deemed to exist, and this ordinance shall be in full force and effect upon its passage. ATTEST: City Clerk. Roanoke, Virginia October 10, 1994 Honorable Mayor and Members of City Council Roanoke, Virginia Dear Members of City Council: Subject: CHANGE ORDER NO. 2 CARVINS COVE PHASE II CONTRACT A-2, LARAMORE CONSTRUCTION COMPANY, INC. Background: Acceptance of a bid submitted by Laramore Construction Company, Inc. for the Carvins Cove Phase II water main project, Contract A-2, was made by City Council on March 7, 1994. B. Work was started on the project as of May 23, 1994. II. Current Situation: Ao The project extends a water main from Williamson Road at Plantation Road southward to Florist Road near Verndale Drive. The plans prepared by Dewberry & Davis require the road crossing at Williamson Road near the Kroger store be installed by tunneling. An existing 36 inch diameter water main is crossed by the proposed main. It is critical the existing main not be damaged or taken out of service. (See attached sketch.) Based upon the actual field location of the existing water main, it is necessary for the contractor to increase the depth of the crossing and tunnel in rock. This is a changed condition from those depicted by the bid plans. The not-to-exceed cost for this additional work is $55,195. Additionally, construction of the new water main has required the adjustment of sanitary sewer laterals owned by Roanoke County. This work was not anticipated in the original bid. The estimated cost to adjust sanitary sewer laterals is $14,000 and will be paid on a unit price basis. Change Order No. 2, in the amount of $69,195, provides for both of these items of additional work. The proposed corrective actions have been reviewed and accepted by the consulting engineer, the contractor, and City staff. Honorable Mayor and Members of City Council CHANGE ORDER NO. 2 CARVINS COVE PHASE II CONTRACT A-2, LARAMORE CONSTRUCTION COMPANY, INC. Page 2 October 10, 1994 Current funds are encumbered in the amount of $1,469,735 for this contract. The original contract award provided for a $146,794 contingency fund for this project. Original Contract Amount Amount of Change Order No. 1 Amount of Change Order No. 2 New Contract Amount $1,469,735 2,771 69,195 $1,541,701 III. Issues in order of importance are: A. Funds B. Cost C. Need IV. Alternatives are: A. Approve Change Order No. 2 to the contract with Laramore Construction Company, Inc. in the amount of $69,195. 1. Funds are available in the project contingency fund in account number 002-056-8373-9003. 2. Cost is reasonable and reflects current market conditions. 3. Need for the payment of a contract obligation is met. B. Do not approve Change Order No. 2 to the contract with Laramore Construction Company, Inc. in the amount of $69,195. 1. Funds remain available in the project contingency fund. 2. Cost is not an issue. Honorable Mayor and Members of City Council CHANGE ORDER NO. 2 CARVINS COVE PHASE II CONTRACT A-2, LARAMORE CONSTRUCTION COMPANY, INC. Page 3 October 10, 1994 3. Need for the payment of a contract obligation is not met. Recommendation is that City Council take the following action: City Council approve Alternative "A" thereby authorizing the execution of Change Order No. 2 in the amount of $69,195 to the contract with Laramore Construction Company, Inc. Respectfully submitted, W. Robert Herbert City Manager WRH/PCS/kh Attachments CC; City Attorney Director of Finance Director of Public Works Director of Utilities and Operations Assistant to City Manager for Community Relations City Engineer Construction Cost Technician Accountant, Contracts and Fixed Assets Budget Administrator ..................................................................................................... ~ ~ .................................................... ~'""-'"'t ~ .................... ............... E ~ .................... ~ ............................... t ......................................................'-~'~ ~ ...................................................... h' .................................................... ~ ...... ................. ~ = .......................... ~ ................................... 1 ..................................................................... ~ ...................................... ~ .................................................... ~ .............. ~ .......................... ................ , ........................ ~ I .~ ~5':-'~= ~_, ~'~ ............................................... ~ .... _ - ..... ~==~=~~:" ~_::~ ~.: ............ _ ....................... ~~~ ......................................... ~ ....................:Fi ......................... ;~-~.~b-.- .~ ....................................................................... ~ ~=. i~ .................................................. : ~ ==::: ===:: ===== ==:- ......... - ..... _ -__" '"-"~ ..... ~:~x:..... . 122+00 123+00 MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #27-183-405-468 E. C. Pace, III, President E. C. Pace Co., Inc. P. O. Box 12685 Roanoke, Virginia 24027 Dear Mr. Pace: I am enclosing copy of Ordinance No. 32203-101094 approving the City Manager's issuance of Change Order No. 1 to the City's contract with E. C. Pace Co., Inc., in connection with Carvins Cove Filter Plant Improvements - Phase II, Contract C-l, for a net reduction in the amount of $12,110.00, for a total contract amount including Change Order No. 1 of $1,473,866.80. Ordinance No. 32203-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, City Clerk MFP: sm Ene. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32203-101094. AN ORDINANCE approving the City Manager's issuance of Change Order No. 1 to the City's contract with E.C. Pace Company, Inc., in connection with Carvins Cove Filter Plant Improvements - Phase II, Contract C-l; and providing for an emergency. BE IT ORDAINED by the Council of the City of Roanoke that: 1. The City Manager or the Ass£stant City Manager is authorized and empowered to issue, for and on behalf of the City, upon form approved by the City Attorney, Change Order No. 1 to the City's contract with E.C. Pace Company, Inc., in connection with Carvin's Cove Filter Plant Improvements - Phase II, Contract C-1. 2. Such Change Order shall provide for the following changes in the work to be performed: ORIGINAL CONTRACT AMOUNT $1,485,976.80 CHANGE ORDER NO. 1: Eliminate 14 linear feet of steel encasement. $ (12,110.00) TOTAL AMOUNT OF CHANGE ORDER NO. 1 (12,110.00) CONTRACT AMOUNT INCLUDING CHANGE ORDER NO. 1 $1,473,866.80 ADDITIONAL TIME REQUIRED FOR CHANGE ORDER NONE 3. In order to provide for the usual daily operation of the municipal government, an emergency is deemed to exist, and this ordinance shall be in full force and effect upon its passage. ATTEST: City Clerk. Roanoke, Virginia October 10, 1994 Honorable Mayor and Members of City Council Roanoke, Virginia SUBJECT: CHANGE ORDER NO. 1 CARVINS COVE PHASE II CONTRACT C-1 Background: Ao Acceptance of a bid submitted by E. C. Pace Company, Inc. for the Carvins Cove Phase II Water Main, Contract C-1, was made by City Council on June 28, 1993. B. Work was started on the project as of September 9, 1993. II. Current Situation: Ao The project extends a water main from the area of Orange Avenue and Williamson Road, generally following 13th Street to the Roanoke River. The proposed alignment crosses the Lick Run channel at Hollins Road. The contractor has proposed an aerial crossing of the Lick Run channel that has reduced the amount of underground boring necessary. The contract quantities for steel encasement have been reduced by 14 linear feet to provide a net contract reduction of $12,110.00, calculated at $875.00 per linear foot. The proposed aerial crossing has been reviewed by the consultant, the contractor, and the Engineering Department staff. Current funds are encumbered in the amount of $1,485,976.80 for this contract. Original Contract Amount Amount of Change Order No. 1 New Contract Amount $1,485,976.80 ( 12,110.00) $1,473,866.80 III. Issues in Order of Importance: A. Funds B. Cost Honorable Mayor and Members of City Council CHANGE ORDER NO. 1 CARVINS COVE PHASE II CONTRACT C-1 Page 2 October 10, 1994 IV. Alternatives: A. Approve Change Order No. 1 to the contract with E. C. Pace Company, Inc. in the amount of (912,110.00). 1. Funds will be made available to other projects. 2. Cost is reasonable and reflects the bid price. B. Do not approve Change Order No. 1 to the contract with E. C. Pace Company, Inc. in the amount of (912,110.00). 1. Funds remain available in the project account. 2. Cost is not an issue. Recommendation: City Council approve Alternative "A" thereby authorizing the execution of Change Order No. 1 in the amount of (912,110.00) to the contract with E. C. Pace Company, Inc. Respectfully submitted, W. Robert Herbert City Manager WRH/PCS/kh CC: City Attorney Director of Finance Director of Public Works Director of Utilities and Operations Assistant to City Manager for Community Relations City Engineer Construction Cost Technician Accountant, Contracts and Fixed Assets Budget Administrator MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #27-53-217-468 Carolyn S. Ross Clerk of Council Town of Vinton P. O. Box 338 Vinton, Virginia 24179 Ned McElwaine, Clerk Botetourt County Board of Supervisors One West Main Street, Box 1 Fincastle, Virginia 24090 Mary H. Allen, Clerk Roanoke County Board of Supervisors P. O. Box 29800 Roanoke, Virginia 24018-0798 Forest G. Jones Clerk of Council City of Salem P. O. Box 869 Salem, Virginia 24153-0869 Ladies and Gentlemen: I am enclosing copy of Resolution No. 32204-101094 authorizing execution of an agreement among the City of Roanoke, the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton providing for the financial contribution and other terms and conditions of participation of the parties in the expansion and renovation of the Roanoke Sewage Treatment Plant and replacement of portions of the Roanoke River Interceptor and the Tinker Creek Interceptor and in the use, operation and maintenance of the facilities; and directing that the City Clerk transmit copies of said resolution to the governing bodies of the other political subdivisions. Resolution No. 32204-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, . Parker, CMU/AAE City Clerk MFP: sm Eno. Carolyn S. Ross Ned McElwaine Mary H. Allen Forest G. Jones October 13, 1994 Page 2 pc: B. Clayton Goodman, III, Town Manager, Town of Vinton, P. O. Box 338, Vinton, Virginia 24179 Gerald A. Burgess, County Administrator, Botetourt County, One W. Main Street, Box 1, Fineastle, Virginia 24090 Randolph M. Smith, City Manager, City of Salem, P. O. Box 869, Salem, Virginia 24153-0869 Elmer Co Hodge, County Administrator, Roanoke County, P. O. Box 29800, Roanoke, Virginia 24018-0798 IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA The 10th day of October, 1994. No. 32204-101094. A RESOLUTION authorizing execution of an agreement among the City of Roanoke, the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton providing for the financial contribution and other terms and conditions of participation of the parties in the expansion and renovation of the Roanoke Sewage Treatment Plant and the replacement of portions of the Roanoke River Interceptor and the Tinker Creek Interceptor and in the use, operation and maintenance of these facilities; and directing that the City Clerk transmit copies of this resolution to the governing bodies of the other political subdivisions. BE IT RESOLVED by the Council of the city of Roanoke that: 1. The Mayor and the City Clerk are hereby authorized on behalf of the City to execute and attest respectively, the agreement among the City of Roanoke, the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton setting forth the financial contribution and other terms and conditions of participation of the parties in the expansion and renovation of the Roanoke Sewage Treatment Plant and the replacement of portions of the Roanoke River Interceptor and the Tinker Creek Interceptor and in the use, operation and maintenance of these facilities. Such agreement is to be in substantially the form attached to the October 10, 1994, report of the City Manager to this Council and approved as to form by the City Attorney. 2. The City Clerk is directed to transmit a copy of this resolution to the clerks of the governing bodies of the County of Botetourt, the County of Roanoke, the city of Salem and the Town of Vinton. ATTEST: City Clerk Roanoke, Virginia October 10, 1994 Honorable Mayor and City Council Roanoke, Virginia Dear Members of Council: Subject: Authorization to Execute a Multi-Jurisdictional Agreement Providing for the Expansion of Certain Joint Use Sewage Facilities and for the Provision of Bulk Sewage Treatment Services The attached Water Resources Committee report was considered and approved by Council on December 13, 1993. The form of agreement has been drafted and negotiated by the City Attorney working with the attorneys for the other jurisdictions. Council was briefed on the terms of the proposed agreement on September 26, 1994. A copy of the form of agreement is attached. This is to recommend that Council authorize the appropriate officials to execute the agreement on behalf of the City of Roanoke once the agreement has been approved as to form by the City Attorney. Respectfully submitted, W. Robert Herbert City Manager WRH:KBK:afm Attachment cc: City Attorney Director of Finance City Clerk Director of Utilities & Operations Director of Public Works City Engineer Sewage Treatment Plant Manager Utility Line Services Manager Roanoke, Virginia December 13, 1993 Honorable Mayor and City Council Roanoke, Virginia Dear Members of Council: Subject: Agreement for Renovation and Expansion of Certain Joint Use Sewer Facilities and Recommended Method of Financing The attached report was considered by the Water Resources Committee at its regular meeting on November 22, 1993. The Committee recommends that Council: Indicate its intent to approve an agreement with the other participating Jurisdictions once the contract language has been drafted and approved by attorneys for the five Jurisdictions. Approve a $15.7 million general obligation bond issue to fund the City's share. Co Approve a phased-in three step adjustment to sewage rates and charges as outlined in the attached schedule. Ail in accordance with conditions stated in the attached report. Respectfully submit~d, Elizabeth T. Bowles, Chairperson Water Resources Committee ETB:KBK:afm Attachments cc' City Manager City Attorney Director of Finance Director of Utilities & Operations City Engineer Manager, Sewage Treatment Plant Manager, Utility Line Services CITY OF ROANOKE INTERDEPARTMENTAL COMMUNICATION DATE: TO: FROM: November 22, 1993 Members, Water Resources Committee. ~ y ~'% .-~ I~ ~.~~~ W. Robert Herbert, City Manage~'~' Wilburn C. Dibling, City Attorne~ , Financ James D. Grisso Director of SUBJECT: Agreement for Renovation and Expansion of Certain Joint Use Sewer Facilities and Recommended Method of Financing Background: Current Sewage Treatment Plant was expanded in the early 1970's to meet the projected needs of Roanoke City, Roanoke County, City of Salem, Town of Vinton and Botetourt County through the year 1985. Be Water Resources Committee recommended in 1985, and subsequently approved by City Council, the employment of a consultant to look at the sewage treatment needs of the Valley for the next 20 plus years. Ce 1987 Report entitled Sewage Facilities Plan prepared.by Malcolm Pirnie Engineers recommended the renovation and expansion of the sewage treatment plant and the enlargement of the Roanoke River Interceptor, from the western City boundary to the Sewage Treatment Plant, and the enlargement of the Tinker Creek Interceptor from U.S. Route 460 to the Sewage Treatment Plant. De Heavy rainfall and hiqh sewage flows in 1989 and 1990 required re-evaluation of the projected amount of expanded capacity. Page 2 Current and proposed capacities are as follows (Million Gallons Per Day - MGD): Sewage Treatment Plant Current Flows Proposed Normal Weather Flow Proposed Wet Weather Flow Roanoke City 15.83 Roanoke County 9.00 City of Salem 6.65 Town of Vinton 1.62 Botetourt County 1.90 19.20 32.90 10.30 17.65 7.80 13.39 2.10 3.60 2.60 4.46 35.00 42.00 72.00 Roanoke River Interceptor at Conn. to Plant Roanoke City Roanoke County City of Salem Town of Vinton Botetourt County Current Flows Proposed Normal Weather Flow Proposed Wet Weather Flow 31.44 N/A 32.07 2.60 N/A 23.00 4.96 N/A 22.50 N/A N/A N/A N/A N/A N/A 39.00 77.57 Tinker Creek Interceptor at Conn. to Plant Current Flows Proposed Normal Weather Flow Proposed Wet Weather Flow Roanoke City 14.78 Roanoke County 4.11 City of Salem N/A Town of Vtnton 1.19 Botetourt County 1.42 N/A 15.93 N/A 12.00 N/A N/A N/A 5.25 N/A 8.50 21.50 41.68 Water Resources Committee recommended to Council and Council agreed that the City would be represented in negot~ations by the City Manager, City Attorney and Director of Finance, working through the Water Resources Committee. Other Jurisdictions elected in 1992 to hire a consultant to represent their Joint interests in negotiations with the City. Page 3 II. Agreement in principal was reached in August, 1993 with Council receiving a formal briefing on September 13, 1993. Briefing Documents are attached. Council directed that staff provide information to our citizens and then make a formal report of recommendation to include method of financing. Current Situation: A. The followinq public information has been presented: 109 letters of information and offer to make a presentation were sent to civic and neighborhood organizations. 55 letters of information and notice of a scheduled meeting were sent to the largest sewage service users. 20 briefings and information meetings have been held. Hundreds of the attached brochure Clean Water: Shared Responsibility have been handed out. A News reports have been given and news articles written (sample news articles are attached). Video and discussion have been aired on the television show "City Manager Report". Proposed terms of agreement: 1. Capacity allocations as provided in Section I(E) of this report. Cost sharing - Based on a 1993 engineering estimate of $41,500,000. Roanoke City: 38.0%, estimated at $15.77 million Roanoke County: 29.8%, estimated at $12.35 million City of Salem: 24.1%, estimated at $10.0a million Town of Vlnton: 2.7%, estimated at $ 1.12 million Botetourt County:5.4%, estimated at $ 2.26 million 3. Term - 40 years from date of execution Status of 1972 contract provisions dealing with debt and credits: Page 4 Outstanding debt will be paid as provided in the 1972 contract, through that contract term of 2002. Annual credits varying between $129r740.45 and $159,499.48, depending on the jurisdiction, through 2002 for rate calculation purpose has been averaged to a unit figure of $142r902.70. Reserve for replacement, allowing for an annual 2% recovery for capital outlay from revenue, has been changed to provide for more equitable reimbursement of any City front funded expenditure. Henceforth, flows will be averaged for a three year period for the purpose of calculating the annual rate of operation and maintenance cost rather than using single year flows. This will help to stabilize the fluctuation of bulk sewage treatment rates. Fundinq for construction will be provided by each jurisdiction as construction proceeds, with the City invoicinq each ~urisdiction on a 30 day basis upon receipt of contractor construction payment invoices, generally along the lines of the overall percentages outlined in II.C.2. above. The City of Roanoke's share is recommended to be funded by a general obligation bond issue of $15.7 million to be entirely paid from City sewage rate adjustments. The City's current legal debt margin is 10% of the "assessed" valuation of real estate within the City limits. As of June 30, 1993, the legal debt margin for increased long-term debt (general obligation bonds) was $249,802,814. Our additional legal debt margin is substantially above our current general fund revenue ¢&paclt¥. The use of $15.7 million of the general obligation legal debt margin will not have any future foreseeable impact related to the issuance of general obligation debt. We anticipate requesting sealed bids Page 5 on a general obligation bond issue at a special meeting of City Council in January 1994 for the following: Sewage Treatment Facilities Expansion Conference Center at Hotel Roanoke Jail Expansion Juvenile Detention Expansion $15,700,000 13,800,000 4,800,000 1,500~000 Total Issue $35,800,000 The total bond issuance cost and related interest cost over the life of the Sewage Treatment Facilities Expansion Bonds will provide the City cost avoidance of approximately $1.5 million compared to the issuance of a separate revenue bond issue. increase in plant operation and maintenance expense. 16% inched ~J take effect March 1, 1994, ~lm~%-~--~ease effective on January 1, 1995 and 14% increase effective January 1, 1996 on all sewage fees agd charges as outlined by the attached rate schedule. These rates are proposed to be effective for all new service lateral contracts, for all septic tank disposal, and all sewage treatment bills on and after the effective dates. Rate adjustments are required to fund the City's share of $15t770~000 in 1993 cost amortized over the term of the bond issue plus an additional $650~000 annually for existing pipeline maintenance work and $350~000 annual A III. Issues: A. Need B. Contract terms C. Reqional approach D. Fundinq IV. Alternatives: ae Comittee recommends that Council indicate its intent to authorize an aqreement with the previously named Jurisdictions to renovate and enlarge the sewaqe treatment plant and previously identified interceptor pipe lines with the City share of the total project being 38% in accordance with the basic agreement terms previously outlined and adjust the sewage rates per the attached rate schedule, with %he final contract language being subject to the final approval of Council Page 6 once the contract language has been drafted and approved by attorneys for the five jurisdictions. Need for the project and the increased funding has been previously outlined in the September 13, 1993 Council briefing. Contract terms have previously been outlined. Copies of both the current (1972) and the proposed agreement are available upon request. Regional approach to sewage treatment will be continued. Funding will be provided by each jurisdiction for their prorata share of construction, operation and maintenance with the City share being produced by a phased-in three step adjustment in sewage fees and charges. Be Committee recommend that Council take some different approach to this needed project. Need will continue to exist until the capacity problem is solved. 2. Contract terms will continue to be discussed· Reqional aDDroach would be unknown at this time. Funding requirements would depend on the final solution that has a concurrence of City Council. Recommendation: Committee recommends that Council: Indicate its intent to approve an agreement with the other participating Jurisdictions once the contract language has been drafted and approved by attorneys for the five Jurisdictions· A $15.7 million general obligation bond issue to fund the City's share. Page 7 A phased-in three step adjustment to sewage rates and charges as outlined in the attached schedule. Ail in accordance with Alternative "A.". WRH:WCD:JDG:KBK:afm Attachments cc: City Clerk Director of Utilities & Operations City Engineer Manager, Sewage Treatment Plant Manager, Utility Line Services SEWAGE F~C[L~TIES ~MPI~OV~MENT$ Council Briefing Se$~:e~r 13, 1993 Joint Use Facilities A. Define Be Ce Do Capacity Capacity Now Needed 1. Sewage Treat~nt Plant 35 MGD 42' to 72-* MGD 2. Roanoke River Interceptor 35 70.4 MGD 3. Tinker Creek Interceptor 25 34.5 MGD * - Base Flow ** - Wet Weather Flow Need - Refer to attach~ bar chart of total flows and City of Roanoke flows over past four (4) years Improvement Costl (Estimate4 in 1993 dollars) 1. Plant Renovation $ 2,000,000 2. Plant Expansion $17,063,000 3. Roanoke River Interceptor Rep1. $17,800,000 4. Tinker Creek Inte=cep~or Repl. $ 4f620,000 $41,483,000 City of Roanoke Capacity & Cost Share of Joint Use Facilities 15.83 2, ~8 Proposed 19.20 ~D Base Flow 32.83 ~D Wet Weather Flow 38% x lltiflmtoci CoSt of $41,483,000" $15,763,540 + Add 8% to Mid Point of Construction lf261~083 Annuelised capital $17,024,623 9 7% over 30 $17,024,623 $1,372,014/yr. ?age 2 Aging Bqu£pBent and Pipes (O & M Costs) Portions of the Sewage Treatment Plant have different ages, in 20 - 40 year range. Also, parts of =he plan= have been under wa=er (flooded) four (4) times in =he pas= 25 years. These po£n= out =ha= =he plan= has an increasing need of maintenance. An additional $350,000/year is needed for increased main=seance and labor A review of the attached bar char= shows how susceptible =he flow =o the plan= from the City collector pi~es is during periods of sustained or heavy rainfall. This is indicative of the fact =ha= our sewer pipes are old, that they are,prone =o receiving infiltration and inflow (I/I). We need =o continue our efforts of sewer shed monitoring and I/I reduction. Our current three (3) year program of $1,000,000 per year will, when added to increasing plant maintenance cost indicated a~ove, expend all retained earnings in =he sewer fund. This program should continue, however, on a somewhat reduced scale in the $6$0,000/year range. 39 Joint Use Facilities Expansion & Replacement Plant Labor and Maintenance Infiltration and Inflow Containment $1,372,014/yr. 3$0,000/yr. 650,000/yr. $2,372,014/yr. 49 $0.9'; proposed (% Increase) Effective Jan. If 1994 Jan. 1; 1995 $1.13 (16%) $1.29 (14%) Jan. 1, 1996 $1.47 (14%) Cost /~c SRO00 4~&Xlone i4r Honth (% Xncre&se) 199~ I~ate- vi~e Aw~. 1993 City Pro~ 1994 p~~ 1995 $15.73 $6.47 $7.54 (16%) $8.60 (14%) Pro~oled 1996 $9.80 (14%) Public Informmtion Program A. Public briefing of City Council - September 13, 1993 B. Set up and train Speakers Bureau C. Prepare visual Aids (Video & Poster Boards) for Speakers' use D. Develop handout brochure E. Seek speaking engagements with: Civic Leagues & Service Organizations Buliness Groupl Home Builders & Board of Realtors Neighborhood Organizations F. Feature on October City Manager's Report{ TV show on Cox Cable Ch. 3 G. Send letters to largest users, explain overall issue and invite H. Dilcusl bi-monthly or budget billing I. Make final report of recommendation =o Council with final contract documents - November or December, 1993 MOD II. XXX. SlWAGI FIlS Current & Tont&t£voly Pro~a~ Current Proposed J~l~. l, J~n. 1, J~n. 1, 1994 1995 1996 $0.97/100 $1.13/100 $1.29/100 Sl.47/100 cu. f=. cu. ft. cu. ft. cu. ft. Septic Ta~JK O£lpolml FNlt Current Pro~oeod Jan. 1, Jan. 1, Jan. Up to 1,500 gal./ truck - S20.00 Ore= 1,500 gal./ t=uck - $30.00 $23.20 $26.45 $30.15 $34.80 $39.6? $45.22 lnduwtrJ~l Oomt Bmcovm~ (Applies ~o uoe=l roquir£ng treatment of 30,000 gallone or more per day)z Per 1,000 g&l~ons BOO, Per 1,000 Lbo. SS, Per 1,000 Lbo. P, Per 1,000 lbs. TIC]l, Per 1,000 lbs. jan. 1, Jan. 1, Jan. 1, ~ 1994 1998 1996 I 41.06 I <1..23 $ A.1.40 $ 41.60 $ 45.64 $ 52.94 $ 60.35 $ 68.80 $ 36.23 $ 42.03 $ 47.91 $ 54.6:2 $320.99 $382.70 $436.38 $497.47 $380.37 $4S0.51 $sx3.s8 $585.48 4-LAth or Jan. lw Jan. 1, Jan. 1, Gurreg~ 1994 1998 1996 $ 300.00 I 348.00 t 396.72 S 452.26 $ 7S0.00 S 870.00 $ 991.80 $1,130.65 $1,500.00 Sl,740.00 $1,983.60 12,262.3o Fr Ldav Sewage growth agreed on m,m ~m, mmm~--~ m m .m m~ ~m mlwm Rmm~m .m~m m i m ~m W mm mmm ~m ~m~ mammm'.u m m~m~ u mm ~m mmm~m m~mUm~m~mmmm m~lmmm~mp ~l~m mmmlm mmm ~my ~,m ~mm~m m m aimlml. Om Omm m md. em- aommc lrOW~ tumid M MMd. "were m tam. you L-m-'t hl,~m dm~eloommsL*' Slrovd 14mmm~m woe Miyor leve.~/I~ LmeC.'Wk IUd .m tim ,-- m cmmhmmm a ~u mvlmm: IIIGOOQ. Z4 ~ Sewer rote may climb 50 percent Roanoke may [flcre~ more to held ~y for exDand~ tae ~ treatment Dl~t and overl~ ~er Imm. The avera[e customer's montaly ch~ would ~ly c~ ~mm S6.4~ tO S9 ~0 ~ 1~ oMs. ~s ~s the ~ for a c~mm~ u~ml ~.~ ~llons of water ~d~tl~ ~. the ~. w~ ~n f~ Iow t~ s~M iv~ of R~'s ~hm ~ R~ v~. R~ C~, S27.~ vim ~a~~ ~ m ~ C~ C~ d~~i~m ~m~im~~ ~ C~. S1~35 ~ ~ SIO.~ ~: ~ ~. Si.~ ~ m vim s~.~ ~ it ~ m ~y ~ m Same plant, but sewer rates vary JOEL "LJRNER They all use the same ~ewage treatment plant, but you would never suspect It if you looked at their customers' bills. In Roanoke. a homeowner pays $6.47 a month for treatm$ 5,000 ~allons o1¢ sew~e, an average amount for a residential customer. In Roanoke County, a customer pays $9.49 to treat the same amount ot' sewa[e. The bill is even lar~er in Botetourt Coun- "The difference comes in the cost and maintenance of sewer lines and the administration... ' ~y, where a customer pays S I S.50 a month for 5.000 saJlons. So why do ~e rates vm~ so much? OfficiaLs say the~e am several fKtor~ The outstandin$ debt on sewer lia~s, the aeed to build ne~ lines and the size of the custon~r base are amoa8 the ma~oas. The hilber the debt on sewer lines, the hilher the rates needed to mgny the money. And if a loeali~ needs to build new liam to serve developinl ames. that also ~an d~ive up rates. Attention ha~ been focuMd on ~,su~ ~ recently, because Roanoke must inemnM i~ rates by 50 percent over. ~ mt ~ ~ ~ pay for expendinl the tmmmem I~Smt and Even after tl~ ~ Iknmmim's aswa. other Rommlm Valls~ ~ And Rommlm's emai~imd bil far mq~K and water service wil mmeia Imm~ ,h-- ~m of eny o~,r iocMip/. WATER/SEWER RATES All costs ~ 0fl utllizatio~ of 5,000 gallons I~r monm FLOW ALLOCATION /~ ~ ~llmlW~ Bot~tourt Vinton i ~ ' TOTAL 35 Botetourt Vinton ~.~ t.ll Staff :keteering laws be used against abortion~inic attackers Sewer C~OM PAGE C~ Xll five valley localities pa>' ba- slcall> the same rate ['or treaung sewage. Roanoke owns the treatment plant and treats sewage from the o~er [oc~ht~es on a contractual Under the ~o~ul~ ~or de~er- mimn~ the cost ~or each locality, a tre~tmen~ ~ee is calculated each ~e~r based on ~he piano's o~ratlon costs. The total operation costs are divided by the volume of ~wage treated, ned a chat~e for each ~ion Balloes ~s calculated. The cha~e then is a~plied to each i~'s ~wa~ volume. The l~aliti~' cune~t cha~es [~ tteatmB ~ million ~ons o~w- a~ ate: ~tetoun County. $371.88: ~ntoa. $371.88; S~em. $373.76: and Roanoke Count, $~75.61. The c~ v~ sli~dy cau~ ~e te~ of the cent~ wt~ R~oke provide ~ pt s~ additio~ r~ to ~pi~ ¢~ wbee the p~et w~ ex~d~ two d~d~ ~e ca~. It's apt e~ ~- e~ to have ~y ~~ e~- ~ot of u~ ~d o~o~ c~t ~d ~nt~ of ~ a~ ~ ~mi~on o~ ~ b~- i~ a~ o~ o~" ~ ". ~e c~ ~d ~ ~e ~- ti~ to R~ for ~t Roanoke's sewer rates are low. par'ti? because the crt?' doesn't have any debt on lines and is not build- ing new lines. · 'We have an old s.~stem that teaks sometimes, but ~t's pard for." ~ser said. By contrast, suburban Botetourt and Roanoke counties still are developm$ and bufldm$ sev, er ~lnes. Clifford Craig. Roanoke Coun- V,'S utilit> director, said the count>' still is budding lines, such as a S3 mdlion interceptor to ser~'e the area west of Salem. · 'We are still expanding, and we have to build new tines to serve growmg areas." Craig said. The county sells bonds to help finance new lines. Unlike Roanoke. where houses are close together, the county is densely populated. As a result, the county h~s to build lines in some areas where houses and sulxiivi- sions ate rat apart. Craig said this necessitates hi~et rates to help pay trot He lines. "Sometimes. we milht have to ~o 300 to 400 feet between [se~er] connection" Craig said. Crai$ ~id Roanoke County operates ~ts se~et s¥~em po aa te~me rued. so only ~*~et custom- em ~ not ~11 taxi, yen -- pay rot treatment and new lines. Roanoke hu little vacant land and doesn't fa~e the cost for extend- in[ iine~. But tl~ ci~ will have to issue bonds to help pay its sh~re of tl~ S41.5 million ~ost rot expand- in[ tl~ t~atm~nt plant and in[ ~everal major lines. Roanoke has a much ta~r ~ of cu~tomm -- iy 40,000 -- ~ the otlaet ties. Tee c(m~ ate Sl)te~ mote cu~omets, ami the impact on ~ is less. B? comparison. Botetou.-. 1.300 customers. Roanoke Count', has 20.000. Because of the scarc:t~, ~t ,,.:s- :omers. Botetourx's rates ~r~ highest ~n the Roanoke ~, · 'We still ha~e some ae-~:s :~ our lines and ~e dOn't ~a~ customer base as the other ues," sa~d Kur: Botetour~'s director pt' works. ~ser predicts the other help pay for the plant expansion and new lines. Craig sa~d tt wdl be dtt'ficuh Roanoke Count,,, to a~otd a mcrea~, In ~ddmon :o ~ts S:23 million s~re.of :he plank expan- sion. the count> needs to spend additional $3 mtlhon on lme s~ons and repmn, he smd. Even after the se~er rate crew, Roanoke's com~me~ ~d[ for 5,~ ~iloas of sewer and ~ater will ~ lower than the state a~ erage. The cost for expanding the plant is b~d on ~veral factors, including ~e pro)~ted sewage f~m each l~ality. The cost %ill be split t~l~ way: ~ R~noke. $IS.~T m~llion. ~tCe~t ~Roanoke County. ~12.35 milton, 29.8 ~em. $10.46 million. 25.2 ~ ~tetou~ Count>. S I 93 lipa. 4.6 ~tcent. ~Via~. $990.~. 2.~ per- ~e ~ t~atment plant has a ~g of 35 million gallons a ~y. It wi~ ~ expanded to ~2 lio~ ~o~s. R~oke will u~ nearly halt' ~t ~ty ~ 19.2 million Io~ ~e all~tion for the other i~i~ ~ ~: Roanoke Count>. 10.3 ~lioa; ~lem. ~ million: ~ Couat~, 2.6 mdlton: and Visine. 2.1 mdlion. II. III. IV. FINAL RECOg~J~NDATION TO WATER R~SO~RCES COg~ITTEE NOVEMBER 22, 1993 SEWAGE FEES Current & Tentatively Proposed Standard Treatment Charge Fees: Current Prol:x:med Mar. 1, J~.n. 1, Jan. 1, 1994 1995 1996 $0.97/100 $1.13/100 $1.29/100 $1.47/100 cu. ft. cu. ft. cu. ft. cu. ft. Septic Tank D£epoaal Fees: Nar. 1, J~. 1, J~11. 1, 1994 1995 1996 Up to 1,500 gal./ truck - $20.00 Over 1,500 gal./ truck - $30.00 $23.20 $26.45 $30.15 $34.80 $39.67 $45.22 Induetr£al Co~t ~ (Applies to users requiring treatment of 30,000 gallons or more per day): Per 1,000 gallons BOD, Per 1,000 lbs. SS, Per 1,000 lbs. P, Per 1,000 lbe. TKN, Peg 1,000 lbl. M~X'. 1, Jail. 1, Jail. 1, 1994 1995 1996 4-inch o= 6-inch 8-inch lO-inch $ .106 $ .123 $ .140 $ .160 $ 45.64 $ 52.94 $ 60.35 $ 68.80 $ 36.23 $ 42.03 $ 47.91 $ 54.62 $329.99 $382.79 $436.38 $497.47 $388.37 $450.51 $513.58 $585.48 M&Z'. 1, J~. 1, Ja/l. 1, ~t 1994 199S 1996 $ 300.00 $ 348.00 $ 396.72 $ 452.26 $ 750.00 $ 870.00 $ 991.80 $1,130.65 $1,500.00 $1,740.00 $1,983.60 $2,261.30 THIS CONTRACT, made and entered into this day of , 1994, by and between the CITY OF ROANOKE, hereinafter referred to as the "City"; and the COUNTY OF BOTETOURT, and the COUNTY OF ROANOKE, and the CITY OF SALEM, and the TOWN OF VINTON (all parties being political subdivisions of the Commonwealth of Virginia); W I T N E S S E T H: WHEREAS, the City of Roanoke operates within and without its boundaries, a sewage treatment plant facility with a system of interceptors leading therefrom providing service within the City's corporate limits and to certain points beyond said corporate limits which Plant and System are capable of treating wastes which otherwise would be discharged into the waters of the Roanoke River and its tributaries; and WHEREAS, it is the desire of the parties to protect the health and well-being of their citizens, the community and its environment, and to dispose of the waste by-products of the community in a safe and efficient manner sharing costs and benefits fairly; and WHEREAS, the City of Roanoke entered into agreements with the County of Botetourt on March 23, 1972, the County of Roanoke on March 17, 1972, the City of Salem on February 29, 1972 and the Town of Vinton on March 22, 1972 (collectively "the 1972 Contracts"), for use of the Plant and System as a regional facility to accept, Area of Roanoke County: all of the unincorporated area or territory of Roanoke County, Virginia not assigned as the service area of the Town of Vinton; and not served by the Montgomery County Public Service Authority. Area of City of Salem: all of the incorporated area or territory of the City of Salem, Virginia. Area of the Town of Vinton: all of the incorporated area or territory of the Town of Vinton and those portions of eastern Roanoke County that are served by the Town of Vinton, pursuant to an agreement between Roanoke County and the Town of Vinton dated May 25, 1979. Areas: Areas, taken collectively. B. City: C. b.o.d. all of the above-defined individual The City of Roanoke, Virginia. or b.o.d, content: the quantity of oxygen utilized in the biochemical oxidation of organic matter under standard laboratory procedure in five days at 20o C., expressed in parts per million by weight. D. Debt: Principal payments of indebtedness, both long-term and short-term, on City-owned Joint Use Facilities existing as of the date of this Agreement with final payment on April 15, 1995, in the amount of $250,000.00. E. Fiscal Year: July 1 of each year to June 30 of each succeeding year. F. Industrial wastes: liquid waste delivered through the sanitary sewer system, other than normal sewage, which 3 L. Objectionable Material: any substance in liquid waste which may damage, obstruct or create a maintenance problem within the System or which could reasonably be expected to upset or create an unusual cost in the treatment process, or which is in violation of the Code of the City of Roanoke (1979), as amended (the "City Code"). M. Other Parties= County of Botetourt, County of Roanoke, City of Salem, and Town of Vinton, collectively. N. Person= any individual, firm, company, association or corporation, including public agencies. O. pH: the logarithm of the reciprocal of the weight of hydrogen ions in grams per liter of solution; a stabilized pH will be considered as one which does not change beyond the specified limits when the waste is subjected to aeration. P. Plant: the sewage treatment plant and immediately related treatment facilities owned and operated by the City. Q. p.p.m.: part(s) per million. R. Responsible Party: The governing body responsible for the relevant Area. S. Suspended Solids: solids measured in mg/1 that either float on the surface of, or are in suspension in water, sewage, wastewater or other liquids, and which are removable largely by a laboratory filtration device. 5 representations, the City may require the Responsible Party to limit or control such delivery to conform with the data and information provided. The City shall be obligated to receive flow from each of the Other Parties in quantity only to the allocated design capacity of the City's interceptors and sewer lines receiving such flow and the allocated design capacity of its Plant. Each of the Other Parties shall have the right to evaluate the capacities of the City interceptors and sewer lines receiving such flow. In cases of dispute over line capacity, an engineer representing the City and one engineer representing the party or parties disputing the capacity, together with a third mutually acceptable engineer shall resolve the capacity in dispute. The delivery points to the City shall be determined by the City based upon reasonable criteria established by the City, and any disputes resolved as above. The City agrees to accept, at said point or points, all of the Normal Wastes and acceptable Industrial Wastes from the Areas and to transport the same therefrom, through its interceptor line or lines, to the Plant, and to accept and treat all such Wastes in the Plant to the same extent and degree that it shall accept and treat Wastes originating within the City. Such treatment shall be the exclusive responsibility of the City. No Normal Wastes or acceptable Industrial Wastes shall be discharged from within the Areas directly or indirectly to a stream except as may be permitted from time to time by the Virginia Department of Environmental Quality, or its successor. All Normal Wastes and 7 Should the Responsible Party extend by interceptor or interceptors from its boundaries directly to connect with the City's sewer lines at the City's boundaries, then the meter or meters shall be installed at the other Responsible Party's boundaries and a determination as to the requirement of a meter or meters at the connections to the lines within the City's boundaries shall be made at a later time dependent upon the progress of connections. 3. Should the Responsible Party transmit Wastes from its Area by transmission lines or facilities external to this Agreement by arrangement satisfactorily made between all parties concerned and consistent with existing related contractual agreements of the City, then the metering, sampling and other installations at the boundaries of the Responsible Party shall be provided by the other party for measurement of Wastes transmitted from its Area. Where meters are determined by the City to be inadequate in operation, performance or in size, the City may replace, or direct the Responsible Party(s) to replace, such meters with satisfactory meters. At each new point of delivery to the City and at each present point of delivery of Wastes to the City where a recording flow meter currently in place or being installed water service, the volume of sewage flow shall be determined to be 140% of the volume of metered water unless there is a different valid basis for estimating Infiltration and/or Inflow. If the service area characteristics change for any such line so as to render metering practical, a meter shall be installed in accordance with the provisions of the preceding paragraph. As of the first working day of the month, or as close thereto as practical, immediately following the commencement of transmission of Wastes from an Area to the City, and monthly thereafter, the City shall read all meters recording flow from the Area to the City. Such meter readings, plus the calculated sewage flow of any then un-metered lines and prorated Infiltration and/or Inflow as provided in the preceding paragraph and Subsection I.G. shall be the basis of charges made to the Responsible Parties under Section IV of this Agreement. Should weather conditions, malfunctioning of a meter or other circumstances beyond immediate remedy by the City reasonably prohibit the City from a regular reading of a meter, then the sewage flow through such line for the month shall be the average of the sewage flow for the three immediately preceding months with similar rainfall patterns, as determined by the City, wherein actual sewage flows were recorded. Records of metered and calculated sewage flow, obtained and maintained by the City, shall be reported to the Responsible Party and such records shall be available for inspection by the Other Parties during all normal business hours. Any dispute over such a sewage flow determined by the City shall be resolved as provided for disputes in Subsection II.B. 11 terms and at the charges provided for in this Agreement any Wastes originating outside the limits of the Areas. III. CHARACTER OF WASTES: A. Except as provided in subsection B, the Other Parties agree to take whatever measures are necessary to deliver only Normal Wastes to the System. The Other Parties agree that the Wastes, as delivered to the System, shall comply with all requirements and limitations as set forth in the City Code current at the time and shall not contain any elements or concentrations in violation of any local, State or Federal statute, law, regulation, or ordinance. The Other Parties expressly agree that the definition of Normal Waste may be amended should the City, as the owner and operator of the Plant, be required to upgrade the sewage treatment process or be ordered or compelled by State or federal regulatory authorities to increase the quality of effluent discharged by the Plant into the waters of the Roanoke River, provided that the City applies and enforces the same definition on Wastes permitted to be introduced into its Plant or System within the corporate limits of the City. The City agrees that the above limitations or restrictions on character of Wastes shall also be applicable to Wastes collected by the City and delivered to the Plant. The City agrees to notify the Other Parties of any changes in the City Code relating to the Plant or the System. Should the City determine that one or more of the Other Parties are delivering Objectionable Materials to the System, the City, through it City Manager, shall notify the Responsible Party by certified mail with return receipt, through its chief 13 1,000 p.p.m.b.o.d, or 1,000 mg/1 Suspended Solids or containing such other concentrations of constituents in violation of the then prevailing City Sewer Use Ordinance. The Responsible Party shall pay the City a surcharge for the treatment of other than Normal Wastes, beyond the Base Monthly Rate as provided in Section IV. C. Each Other Party expressly agrees to adopt, maintain and enforce within its respective Area compulsory ordinances, no less regulatory or restrictive than ordinances effective within the City, regulating, limiting or prohibiting the introduction of substances, matter or materials which are objectionable, either as to quality or quantity, into the System. CHARGES FOR SEWAGE TRANSMISSION AND TREATMENT IV. SERVICE: The Other Parties agree to pay the City the following charges for transmitting and treating all Wastes delivered to the System. Such Wastes are to be measured at each point of delivery from the Areas. No part of such charges shall constitute or create an equity or ownership interest of the Other Parties in the value of the City's Plant or System. A. The annual rates for transmission and treatment of Waste from the Areas shall be set for each Fiscal Year based on the external annual audit. The Base Monthly Rate for Wastes per one million gallons of such Wastes accepted' for transmission and treatment shall be determined by the method set out in Subsections B., C., D., and E. Notwithstanding any other provision of this Agreement, the charges for transmission and treatment of such 15 ae be Operation and Maintenance: Actual cost of operation and maintenance of the Plant and System, excluding the cost of the City's enforcement of the industrial pretreatment program within the City, and including but not limited to the following items of cost: personal services, stationery and office supplies and equipment, postage, telephone, other communications, insurance and bond premiums, automotive, travel, supplies, fuel, electricity, water, repairs, workers' compensation costs, management, engineering, legal, treasury, accounting, employees retirement, hospitalization and social security as paid by the City and miscellaneous expense. The above expenses shall be reduced by revenues received by the City during the year from (1) the sale of waste products of said Plant, and (2) the surcharge fees collected by the City and those provided the City by the Other Parties and (3) expenses for maintenance and construction costs of sewer lines solely owned and used by the City, to determine expenses of operation and maintenance. Capital Outlay from Re¥~nu~: Capital Outlay from Revenue on Joint Use Facilities shall be determined annually for each Fiscal Year by the City and included as Operation and Maintenance costs. Expenditures for Joint Use Facilities shall be those costs funded from retained earnings and shall be used to determine the succeeding Fiscal Year's costs for sewage treatment, except in those instances when any such annual expenditures shall exceed $500,000 in 1994 dollars adjusted annually by the Engineering News Record Construction Cost Index. If these costs do exceed $500,000, the City may elect to make an· adjustment to the then prevailing rate at that time by.recalculating the current Fiscal Year rate as if the aforementioned expenditure had occurred the preceding Fiscal Year with the adjusted rate calculated to recover the necessary expenditure during the remaining months of the Fiscal Year. If these costs for a single expenditure exceed $1,000,000 or if these costs for cumulative expenditures exceed $2,000,000 (in 1994 dollars) adjusted by the Engineering News Record Construction Cost Index in any one year, these costs shall be capitalized over ten (10) years, at the prevailing "20 Year -Bond" Municipal General Obligation Index as published weekly by ~ ~LY_9~, in effect at the end of the fiscal year, plus 1%, said rate to remain fixed over the 10 year term, with the cost expressed as debt principal and interest added to the cost calculation formula. 17 allocated capacities in the facility. Such expenses shall include all repairs necessitating the use of heavy construction equipment or the employment of a private contractor. D. In any month during any Fiscal Year during which additional treatment costs are incurred by the City due to the need for or requirement of additional treatment or handling, either due to quality or quantity of Wastes, the charge to the Other Parties per million gallons for that month shall be adjusted by addition of such additional cost to the City based on actual monthly flow. E. Should the strength of the wastes at any point of delivery to the City, or at the point of delivery to another party for delivery to the City, exceed a b.o.d, of 300 p.p.m, or Suspended Solids of 300 mg/1, as determined by the City through metering and sampling, then the Responsible Party agrees to pay to the City a surcharge in addition to the Base Monthly Rate for Normal Wastes. Such surcharge shall be actual cost, but not less than two percent (2%)of the Base Monthly Rate for each ten (10), p.p.m, of b.o.d, or 10 mg/1 of Suspended Solids, or each fraction thereof, for the transportation and treatment of Wastes, within the limits set forth in Subsection III.C. The Responsible Party shall continue to pay the surcharge until the Wastes are determined by 19 in ~6.1-330.53 of the Code of Virginia (1950), as amended or any successor section. The Other Parties agree that the full amounts of any and all taxes and assessments that may be lawfully assessed or imposed upon the City during the term of this Agreement by the Other Parties resulting in any manner whatsoever because of the City's providing the services required by this Agreement, shall, prior to the payment dates, be added to such monthly bill and paid by each of the Other Parties as billed. H. Should any issues or disputes arise between the City and one or more of the Other Parties relating to the accuracy or the computation of the charges, resolution of such issues or disputes shall be determined by a majority of a committee of three, composed of the City's Director of Finance, an individual designated by the governing body of the disputing party(s) and an independent certified public accountant, to be chosen by the foregoing two. Any expenses incurred in hiring the independent certified public accountant shall be borne equally by the City and the disputing party(s). I. Nothing in this Section IV. and in Section VII., shall be deemed or construed to constitute an assumption by the Other Parties of any indebtedness of the City, bonded or 21 Roanoke County City of Salem Town of Vinton Botetourt County 29.2% 20.9% 5.6% 7.0% The Total Project Cost shall include all costs necessary to provide the capacity for the respective elements as set forth in Appendix A, including but not limited to design, acquisition of all necessary property interests, inspection, permit fees, construction and preparation and any and all claims arising out of the project and the legal defense or prosecution thereof. The parties agree that the Other Parties will not be responsible for any costs associated with the City's flood reduction project which are not directly related to sewage/effluent, such costs shall include environmental mitigation such as cleanup of hazardous materials or sites or historic resources investigations. 1. Each party agrees to provide its own financing in order to provide the funds required to pay its percentage of costs for the improvements referred to in Appendix A. 2. During the design and construction of the projects set forth in Appendix A, the City of Roanoke will invoice 23 being so delivered to the City for transportation and treatment, the City at its option, may: 1. Cause the Responsible Party to immediately discontinue the delivery of any such Industrial Wastes or Objectionable Materials and/or to reduce the b.o.d, and Suspended Solids content of such Wastes so that the b.o.d, and Suspended Solids content thereof Subsection III.B.; and 2. will conform with the provisions of Require the Responsible Party to pay such additional charge for the treatment of such Wastes, as are provided in Section IV. Imposition of a surcharge may be retroactive over a determined period during which the violation occurred. Payment by the Responsible Party shall not constitute a basis for continuation of the delivery of Wastes in violation of this Agreement. The acceptance by the City of such surcharge shall not be construed as agreement by the City to vary from the terms of this Agreement. B. The City, in the presence of the Responsible Party, shall have the right to sample and/or measure the quantity or quality of the Wastes delivered into the sewer lines of the Responsible Party by any individual, firm or corporation and, on request, the Responsible Party shall arrange for and accompany any 25 2. It is the further intent of this section that none of the parties shall act in an unreasonable manner so as to deter a recognizable need of the other to obtain orderly means of transporting Wastes, to the point of treatment. Each party has, and is anticipated to continue to have, a schedule or program of major sewer line requirements projections pertaining thereto. and financing capabilities or Such schedules or programs shall be coordinated to the greatest extent possible between the parties, for the purposes of assuring mutual abilities to perform under this section and for avoiding the need of the transportation requirements of one party constituting an unexpected demand upon the other. 3. An overall objective of the provisions of this section is that the design, construction and location of sewer lines shall be such as to anticipate, to the extent that can be reasonably determined, the maximum or ultimate volume, based on existing and potential development, of Wastes that will be required to be transported from or through the Areas of the Other Parties. B. SEWER LINg CONSTRUCTION: 1. Ail parties agree that all sanitary sewer system interceptors, mains, lines and other facilities and all additions thereto and extensions thereof within each respective 27 However, the City shall not construct duplicating or competitive lines in any portion of another party's Area then actively supplied with sewage transmission service by that party. (c) Should the City enter into separate agreement with another governmental subdivision, or other governmental agency for providing City allocated capacity, for the transportation and treatment of Wastes, then any sewer lines constructed by any party to this Agreement under this section which may be used or of use in the City's transportation of Wastes from that other governmental subdivision or agency shall be designed, constructed and located as to permit the use of such line by all appropriate parties to this Agreement, should the other(s) so desire, and a proportionate division of the costs of designing and constructing such line shall reflect all such parties' designed use of such line. Construction by the Other Parties: (a) Each Other Party shall construct or cause to be constructed without cost to the City all sewer lines within its own Area which are designed for the sole use of its Area and which are deemed necessary to be constructed for the purpose of collecting and transmitting Wastes in its own Area for delivery to the City for treatment. 29 way and shall bear all costs of said line and all maintenance thereof. Notwithstanding the above, no such main or interceptor line shall be used to serve property located within the City except upon approval of the governing body of the City expressed by resolution. The City shall not act to unduly restrict the ability of the constructing party(s) to proceed hereunder. Should the City, subsequent to construction, desire to use any portion of the line, such VII.S.4.(f). request shall be handled pursuant to Paragraph Construction - Generally: (a) When any party anticipates construction of any new or relief sewage transportation facilities which could potentially be useable by another party, the constructing party shall advise the other and invite participation in the design and construction. The constructing party shall apply for any applicable State or Federal grant monies, with concurrence and support from the other party. costs of design, construction, The local share of all capital reconstruction, enlargement or replacement shall be borne by both parties on a ratio equal to the percentage of design flow allocated to each party in the new facilities, as shall be mutually agreed upon. 31 (e) For the purpose of determining design of Joint-use sewer lines to be constructed by any of the parties to this Agreement, the party interested in joint use shall submit to the constructing party data and information to support the requested design capacity or to provide a sound evaluation of the capacity requirements projected for the Area to be, or which might ultimately be served by the sewer line. The City shall make available to the constructing party, data and information pertinent to the City in planning and design of Joint-use sewer lines within the City. (f) After the date of this Agreement, if one party constructs an interceptor or outfall line not designed for joint use, either because Joint use was not anticipated or because the other party failed or declined to participate in the cost of construction as provided above, the other party may be allowed temporary use of excess or unused capacity of the line. Each party agrees and covenants granted until such time as the that such permission shall be excess or unused capacity is required for use by the party financing the cost of construction. Prior to terminating Joint use of an interceptor or outfall line not designed for joint use, notice of not less than eighteen months shall be given to the party using the excess capacity during which 33 to the requesting party under the provisions of this subsection and by mutual agreement thereof. (g) Every effort shall be made by all parties to avoid unnecessary capital expenditures. The parties agree, where feasible, to alter direction of flows to make use of existing sewer lines with available capacity or to provide temporary facilities, in some instances, to avoid or defer expenditures. In this manner, undue burdens on any other involved party can be deferred until the need arises for major construction which would fully benefit all involved parties. (h) In the event of any party's termination of the use of any sewer line, there shall not be an obligation, unless otherwise mutually agreed upon, for that party to refund or repay the other party or parties sharing the facility, any portion of funds theretofore supplied by such terminating party for construction of such line or for operation and maintenance expenses of said line under this Agreement. VIII. ~T~.ATION OF CAPACITY: A. The parties agree that the Plant shall serve as a regional facility in order to be of beneficial use to those political subdivisions, or to portions thereof within the Roanoke Valley area and its environs, which contract with the City for such 35 shall be renegotiated. The reimbursement for this additional capacity shall be computed as shown in Appendix B. temporary usage shall be billed on a monthly basis. The City shall keep records to the extent practical of Joint Use Facility usages on a monthly basis and provide a summary to the Other Parties on an annual basis. C. In the event there should be added or annexed to the corporate boundary of a party to this Agreement any portion of the territory of the Other Parties within which are located sewer lines transmitting to the Plant, the annexing party shall have the right to acquire such lines, together with all appurtenant rights of a way and easements. The terms of the acquisition shall be as stipulated by the Court ordering the annexation. IX. ASSIGNMENT: It is agreed by the parties that their rights and obligations under this Agreement may be assigned and transferred to a public agency organized or created by some or all of the parties under the laws of the Commonwealth of Virginia, but no such assignment shall be construed as relieving the parties or their governing bodies of any of their responsibilities and lawful undertakings herein lawfully agreed to be undertaken. temporary This 37 22, 1972 Agreement with the Town of Vinton, and to the extent of any inconsistency, supersedes any and all other previous agreements between the City and any of the Other Parties. No revision or amendment of this Agreement shall be valid unless made in writing and signed by the parties hereto. XIV. COPIES: This Agreement shall be executed in quintuplicate, any one of which shall be deemed the original. XV. REPRESENTATIONS: Each party represents for itself and warrants to the Other Parties hereto that it has all requisite power and authority to enter into this Agreement which is legally binding upon it and that it has all requisite power and authority to perform its obligations under this Agreement and incidental hereto. ATTEST: WITNESS the following signatures and seals: CIT~ OF IOA~OK~ Mary F. Parker, City Clerk David A. Bowers, Mayor 39 Roanoke River Interceotor The planned improvements will replace the Roanoke River Interceptor from the Regional Sewage Treatment Plant to the City of Salem. The parties to this Agreement agree to the following minimum design flow capacities expressed in MGD in the various segments of the Roanoke River Interceptor: Segment A Segment B Segment C Sewage Treatment Plant to Ore Branch Ore Branch to Mudlick Creek Mudlick Creek to City of Salem Connection 77.57 MGD 56.90 MGD 34.50 MGD The parties to this Agreement agree to the following allocation of flow capacities in the various segments of the Roanoke River Interceptor expressed in MGD: Segment A Segment B Segment C (MGD) {MGD) {MGD) City of Roanoke Roanoke County City of Salem 32.07 16.40 6.00 23.00 18.00 6.00 22.50 22.50 22.50 TOTAL 77.57 MGD 56.90 MGD 34.50M~D Tinker Creek Intercegto[ The planned improvements will replace the Tinker Creek Interceptor from the Regional Sewage Treatment Plant to Orange Avenue. The parties to this Agreement agree to the following minimum design flow capacities expressed in MGD in the various segments of the Tinker Creek Interceptor: Segment A Segment C Sewage Treatment Plant to Vinton Connection Vinton Connection to Glade Creek Glade Creek to Orange Avenue 41.68 MGD 38.38 MGD 26.88 MGD The parties to this Agreement agree to the following allocation of A-1 APPENDIX B TO THE 1994 SEWAGE TREATMENT AGREEMENT Reimbursement for temporary utilization of the unused capacity of a Joint Use Facility belonging to another party to this Agreement shall be calculated in accordance with Item VIII B as follows: EXAMPLE - PLANT CAPACITF In the year 2000, Entity A wants to purchase 1.0 MGD of Entity B's available capacity in the Plant. Entity B has a total of 12.0 MGD of capacity in the Plant and is not using all of its capacity. The following method would be used to calculate reimbursement: Plant Capacity Reimbursement = 1/12 of Entity B's share of the capital cost of the 1994 plant expansion adjusted to the then current date by the Engineering News Record Construction Cost Index and amortized over 20 years at the prevailing "20 Year Bond" Municipal General Obligation Index as published weekly by The Bond Buyer, plus 1% as shown below. Entity B's Share of 1994 Expansion Plant Cost $10,000,000 Engineering News Record Construction Cost Index Year Index 1994 5340 2000 6408 20 Year Municipal Bond Index Rate (2000) 7% Original Share of Plant Cost Adjusted to 2000: $10,000,000 x (6408/5340) = $12,000,000 Adjusted Plant Cost(2000)Amortized over 20 years at 8%(7% + 1%): $12,000,000 x (A/P, 8%, 20) = $12,000,000 x 0.10185 = $1,222,200/year Payment by Entity A to Entity B for 1.0 MGD of Plant Capacity for one year: $1,222,200 x 1/12 = $101,850/year EX~MPI,E - INTERCEPTOR CAPACI~/ Entity A wants to purchase 1.0 MGD of Entity B's available capacity in the Tinker Creek Interceptor. Entity B has a total of 10.0 MGD of capacity in the interceptor and is not using all of its capacity. The following method would be used to calculate the reimbursement: Interceptor Capacity Reimbursement = 1/10 of Entity's B share of the capital cost of the 1994 interceptor upgrade adjusted to the then current date by Engineering News Record Construction Cost Index and amortized over 40 years at the prevailing "20 Year Bond" Municipal General Obligation Index as published weekly by the Bond Buyer, plus 1%. Entity B's Share of 1994 Interceptor Upgrade Cost $ 2,000,000 Engineering News Record Construction Cost Index 1994 2000 5340 6408 20 Year Municipal Bond Index Rate (2000) 7% Original Share of Interceptor Cost Adjusted to 2000: $2,000,000 x (6408/5340) = $2,400,000 Adjusted Interceptor Cost(2000)Amortized over 40 years at 8%(7% + 1%): $2,400,000 x (A/P, 8%, 40) $2,400,000 x 0.08386 = $201,264/year Payment by Entity A to Entity B for 1.0 MGD of Tinker Creek Capacity for one year: $201,264 x 1/10 = $20,126/year MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #27-53-60-183-268-405 Brent Reuss Project Manager Black & Veatch 8604 Cliff Cameron Drive Suite 164 Charlotte, North Carolina 28269 Dear Mr. Reuss: I am enclosing copy of Resolution No. 32206-101094 authorizing execution of an agreement with Black & Veatch to provide certain engineering services, in connection with the Roanoke River Interceptor Sewer Project expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton, in the amount of $1,595,000.00. Resolution No. 32206-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, C City Clerk MFP: sm Enc. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32206-101094. A RESOLUTION authorizing the execution of an agreement with Black & Veatch to provide certain engineering services in connection with the Roanoke River Interceptor Sewer Project expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vlnton. BE IT RESOLVED by the Council of the City of Roanoke that: 1. The City Manager or the Assistant City Manager and the City Clerk are hereby authorized, for and on behalf of the City, to execute and attest, respectively, an agreement with Black & Veatch for the provision by such firm of engineering services, specifically, various professional services in connection with the Roanoke River Interceptor Sewer Project, as more particularly set forth in the October 10, 1994, report of the City Manager to this Council. Such authorization is expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton providing for the financial contribution and the terms and conditions of participation of the parties in the expansion and renovation of the Roanoke Sewage Treatment Plant and the replacement of portions of the Roanoke River Interceptor and the Tinker Creek Interceptor. 2. The contract amount authorized by this resolution shall be $1,595,000.00 3. The form of the contract with such firm shall be approved by the City Attorney. ATTEST: City Clerk. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA The 10th day of October, 1994. No. 32205-101094. AN ORDINANCE to amend and reordain certain sections of the 1994-95 Sewage Fund Appropriations, and providing for an emergency. WHEREAS, for the usual daily operation of the Municipal Government of the City of Roanoke, an emergency is declared to exist. THEREFORE, BE IT ORDAINED by the Council of the City of Roanoke that certain sections of the 1994-95 Sewage Fund Appropriations, be, and the same are hereby, amended and reordained to read as follows, in part: Capital Outlay Roanoke River Interceptor Sewer (1-2) ........... STP Expansion Bonds - 1994 (3) .................. Due from Other Governments (4-5) ................ 1) Appropriated from Bond Funds 2) Appropriated from Other Governments 3) Appropriated from Bond Funds 4) Due from City of Salem 5) Due from Roanoke County (003-056-8469-9001) $ 614,725 (003-056-8469-8999) 1,060,275 (003-056-8465-9001) ( 614,725) (003-1071) (003-1072) 564,475 495,800 18,318,857 1,675,000 15,085,275 1,060,275 BE IT FURTHER ORDAINED that, an emergency existing, this Ordinance shall be in effect from its passage. ATTEST: City Clerk. Roanoke, Virginia October 10, 1994 Honorable Mayor and Members of City Council Roanoke, Virginia Dear Members of City Council: SUBJECT: ENGINEERING SERVICES ROANOKE RIVER INTERCEPTOR SEWER Background: The City of Roanoke and the neighboring jurisdictions of Roanoke County and the City of Salem have agreed that the Roanoke River interceptor is in need of repairs and expanded capacity. The cost allocations between jurisdictions for the proposed improvements have been determined by separate agreement. The estimated cost for the Roanoke River Interceptor Sewer project is $17.8 million. City Council indicated its support of proposed sanitary sewer facilities improvement by indicating its intent to approve agreements with other participating jurisdictions, approval of a general obligation bond issue in the amount of $15.7 million, and a phased adjustment of sewage rates. In order to proceed with the proposed improvements, the following engineering services are necessary: Survey the route of the existing interceptor sewer and evaluate logical routes for the proposed replacement. Determine soil and geologic conditions that will govern the engineering design of the interceptor sewer. Identify and evaluate potential environmental concerns along the existing and proposed interceptor sewer corridor. Honorable Mayor and Members of City Council ENGINEERING SERVICES ROANOKE RIVER INTERCEPTOR SEWER Page 2 October 10, 1994 Prepare preliminary designs to determine the maximum practical size of the sewer, its location, the type of construction, and its estimated cost. Several design alternatives will be evaluated. The preliminary design will also consider the potential environmental concerns with the proposed construction and recommend alternatives to minimize impact and liability. Prepare construction plans and documents necessary to gain appropriate regulatory approvals and solicit bids from qualified contractors. Prepare right-of-way and easement acquisition plats. Provide construction support services during construction of the proposed interceptor sewer. II. Current Situation: A. Request for Professional Services with qualifying proposals was advertised in the ROANOKE TIMES & WORLD NEWS for engineering services with seven (7) firms responding with a statement of qualifications. B. A selection committee composed of the following persons was designated: Charles M. Huffine, P.E., City Engineer, City of Roanoke Philip C. Schirmer, P.E., Civil Engineer II, City of Roanoke Jesse H. Perdue, Jr., Manager, Utility Line Services, City of Roanoke Kevin Sherer, P.E., County Engineer, Botetourt County Robert W. Benninger, P.E., Assistant Town Manager, Vinton Honorable Mayor and Members of City Council ENGINEERING SERVICES ROANOKE RIVER INTERCEPTOR SEWER Page 3 October 10, 1994 Eo After review of all qualification statements, the following firms were invited for interviews: 1. Hayes, Seay, Mattern & Mattern, Inc. of Roanoke, Virginia 2. Black & Veatch of Charlotte, North Carolina 3. Finkbeiner, Pettis & Strout, Ltd. of Roanoke, Virginia 4. Mattern & Craig, Inc. of Roanoke, Virginia 5. Hazen & Sawyer, P.C. of Raleigh, North Carolina Personal interviews were conducted in the Office of the City Engineer on February 22 and February 25, 1994. The selection committee, following presentations, decided Black & Veatch of Charlotte, North Carolina, was most qualified to perform the engineering design based on the following criteria: 1. Familiarity with the proiect conditions needed for the design of the proposed interceptor sewers 2. Prior experience with similar facilities 3. Professional staff with sufficient technical personnel and equipment to meet the established schedule for the project Negotiation meetings were held with Black & Veatch to establish a cost- effective approach for the design and contract document development for the interceptor sewer. Black & Veatch has agreed to perform the work for the amount of 91,595,000.00. Honorable Mayor and Members of City Council ENGINEERING SERVICES ROANOKE RIVER INTERCEPTOR SEWER Page 4 October 10, 1994 III. Issues in Order of Importance: A. Engineering concerns in establishing a reliable but cost-effective method of design and construction B. Schedules to provide initial contract documents for bidding by mid-year 1995 C. Reasonableness of fees proposed by the selected firm D. Funding IV. Alternatives: Award engineering services contract for the work as stipulated in the Request for Professional Services to Black & Veatch of Charlotte, North Carolina, in the amount of $1,595,000.00. Engineering concerns will be addressed during concept development for the proposed interceptor sewer design. 2. Schedules to meet the established bid dates have been incorporated into the consultant's contract. Reasonableness of fees has been confirmed, based on the Scope of Work involved and estimated cost of the facilities. The proposed fee is 11.2% of the estimated project cost. .. Funding is available in the Sewer Plant Expansion Bonds to fund the City's portion of this contract. The other affected jurisdictions have agreed to reimburse the City for their prorated share as follows: Roanoke County 29.6% City of Salem 33.7% Honorable Mayor and Members of City Council ENGINEERING SERVICES ROANOKE RIVER INTERCEPTOR SEWER Page 5 October 10, 1994 Do not award engineering services contract for the work as stipulated in the Request for Professional Services to Black & Veatch of Charlotte, North Carolina: Engineering concerns will not be met in establishing a reliable, cost-effective design for the construction of a new Roanoke River interceptor sewer. Schedules to meet the desired facility completion date cannot be maintained. Reasonableness of fees will have to be reestablished at a later date. 4. Funding will not be an issue at this time. Recommendation is that the City: Award engineering services contract, upon execution of agreements with participating jurisdictions, in a form acceptable to the City Attorney, to Black & Veatch of Charlotte, North Carolina in the amount of $1,595,000.00. Appropriate $1,675,000.00 to a new account entitled "Roanoke River Interceptor Sewer" to be allocated as follows: Contract Value Contingency Total $1,595,000.00 80,000.00 $1,675,000.00 Transfer $614,725.00 from account number 003-056-8465-9001, Water Pollution Control Plant Expansion - 1994 Bonds, to the new account. Establish an account receivable in the amount of $495,800.00 for reimbursement from Roanoke County and $564,475.00 from the City of Salem. Honorable Mayor and Members of City Council ENGINEERING SERVICES ROANOKE RIVER INTERCEPTOR SEWER Page 6 October 10, 1994 Respectfully submitted, W. Robert Herbert City Manager WRH/PCS/fm/kh cc: City Attorney Director of Finance Director of Public Works Director of Utilities and Operations Assistant to City Manager for Community Relations City Engineer Construction Cost Technician Accountant, Contracts and Fixed Assets Budget Administrator Manager, General Services MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #27-53-60-183-268-405-514 William M. Zollman Project Manager Hayes, Seay, Mattern and Mattern, Inc. 1315 Franklin Road, S. W. Roanoke, Virginia 24016 Dear Mr. Zollman: I am enclosing copy of Resolution No. 32208-101094 authorizing execution of an agreement with Hayes, Seay, Mattern & Mattern, Inc., to provide certain engineering services, in connection with the Tinker Creek Interceptor Sewer Project expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton, in the amount of $379,000.00. Resolution No. 32208-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, City Clerk MFP: sm MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #27-53-60-183-268-405-514 B. Clayton Goodman, III Town Manager Town of Vinton P. O. Box 338 Vinton, Virginia 24179 Gerald A. Burgess County Administrator Botetourt County One W. Main Street, Box 1 Fincastle, Virginia 24090 Randolph M. Smith City Manager City of Salem P. O. Box 869 Salem, Virginia 24153-0869 Elmer C. Hodge County Administrator Roanoke County P. O. Box 29800 Roanoke, Virginia 24018-0798 Gentlemen: I am enclosing copy of Resolution No. 32208-101094 authorizing execution of an agreement with Hayes, Seay, Mattern & Mattern, Inc., to provide certain engineering services, in connection with the Tinker Creek Interceptor Sewer Project expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton, in the amount of $379,000.00. Resolution No. 32208-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, City Clerk MFP: sm Eric o IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32208-101094. A RESOLUTION authorizing the execution of an agreement with Hayes, Seay, Mattern & engineering services in Interceptor Sewer Project Mattern, Inc., to provide certain connection with the Tinker Creek expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton. BE IT RESOLVED by the Council of the City of Roanoke that: 1. The City Manager or the Assistant City Manager and the City Clerk are hereby authorized, for and on behalf of the City, to execute and attest, respectively, an agreement with Hayes, Seay, Mattern & Mattern, Inc., for the provision by such firm of engineering services in connection with the Tinker Creek Interceptor Sewer Project, as more particularly set forth in the October 10, 1994, report of the City Manager to this Council. Such authorization is expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton providing for the financial contribution and the terms and conditions of participation of the parties in the expansion and renovation of the Roanoke Sewage Treatment Plant and the replacement of portions of the Roanoke River Interceptor and the Tinker Creek Interceptor. 2. The contract amount authorized by this resolution shall be $379,000.00 3. The form of the contract with such firm shall be approved by the City Attorney. ATTEST: City Clerk. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA The 10th day of October, 1994. No. 32207-101094. AN ORDINANCE to amend and reordain certain sections of the 1994-95 Sewage Fund Appropriations, and providing for an emergency. WHEREAS, for the usual daily operation of the Municipal Government of the City of Roanoke, an emergency is declared to exist. THEREFORE, BE IT ORDAINED by the Council of the City of Roanoke that certain sections of the 1994-95 Sewage Fund Appropriations, be, and the same are hereby~ amended and reordained to read as follows, in part: Capital Outlay Tinker Creek Interceptor Sewer (1-2) ............ STP Expansion Bonds - 1994 (3) .................. 1) 2) 3) 4) 5) 6) Due from Other Governments (4-6) ................ $ (003-056-8468-9001) $ 183,600 (003-056-8468-8999) 216,400 (003-056-8465-9001) ( 183,600) (003-1072) 131,600 (003-1073) 80,400 (003-1074) 4,400 Appropriated from Bond Funds Appropriated from Other Governments Appropriated from Bond Funds Due from Roanoke County Due from Botetourt County Due from Town of Vinton 18,318,857 400,000 14,901,675 216,400 BE IT FURTHER ORDAINED that, an emergency existing, this Ordinance shall be in effect from its passage. ATTEST-. City Clerk. Roanoke, Virginia October 10, 1994 Honorable Mayor and Members of City Council Roanoke, Virginia Dear Members of City Council: SUBJECT: ENGINEERING SERVICES TINKER CREEK INTERCEPTOR SEWER I. Background: The City of Roanoke and the neighboring jurisdictions of Roanoke County, Botetourt County, the Town of Vinton, and the City of Salem have agreed that the Tinker Creek interceptor is in need of repairs and expanded capacity. The cost allocations between jurisdictions for the proposed improvements have been determined by separate agreement. The estimated cost for the Tinker Creek Interceptor Sewer project is $4.62 million. City Council indicated its support of proposed sanitary sewer facilities improvement by indicating its intent to approve agreements with other participating jurisdictions, approval of a general obligation bond issue in the amount of $15.7 million, and a phased adjustment of sewage rates. In order to proceed with the proposed improvements, the following engineering services are necessary: Survey the route of the existing interceptor sewer and logical routes for the proposed replacement. 2. Determine soil and geologic conditions that will govern the engineering design of the interceptor sewer. Identify and evaluate potential environmental concerns along the existing and proposed interceptor sewer corridor· Honorable Mayor and Members of City Council ENGINEERING SERVICES TINKER CREEK INTERCEPTOR SEWER Page 2 October 10, 1994 ., Prepare preliminary designs to determine the maximum practical size of the sewer, its location, the type of construction, and its estimated cost. Several design alternatives will be evaluated. The preliminary design will also consider the potential environmental concerns with the proposed construction and recommend alternatives to minimize impact and liability. Prepare construction plans and documents necessary to gain appropriate regulatory approvals and solicit bids from qualified contractors. Prepare right-of-way and easement acquisition plats. Provide construction support services during construction of the proposed interceptor sewer. II. Current Situation: A. Request for Professional Services with qualifying proposals was advertised in the ROANOKE TIMES & WORLD NEWS for engineering services with seven (7) firms responding with a statement of qualifications. B. A selection committee composed of the following persons was designated: Charles M. Huffine, P.E., City Engineer, City of Roanoke Philip C. Schirmer, P.E., Civil Engineer II, City of Roanoke Jesse H. Perdue, Jr., Manager, Utility Line Services, City of Roanoke Kevin Sherer, P.E., County Engineer, Botetourt County Robert W. Benninger, P.E., Assistant Town Manager, Vinton Honorable Mayor and Members of City Council ENGINEERING SERVICES TINKER CREEK INTERCEPTOR SEWER Page 3 October 10, 1994 After review of all qualification statements, the following firms were invited for interviews: 1. Hayes, Seay, Mattern & Mattern, Inc. of Roanoke, Virginia 2. Black & Veatch of Charlotte, North Carolina 3. Finkbeiner, Pettis & Strout, Ltd. of Roanoke, Virginia 4. Mattern & Craig, Inc. of Roanoke, Virginia 5. Hazen & Sawyer, P.C. of Raleigh, North Carolina Personal interviews were conducted in the Office of the City Engineer on February 22 and February 25, 1994. The selection committee, following presentations, decided Hayes, Seay, Mattern & Mattern, Inc. of Roanoke, Virginia, was most qualified to perform the engineering design based on the following criteria: Familiarity with the project conditions needed for the design of the proposed interceptor sewers 2. Prior experience with similar facilities Professional staff with sufficient technical personnel and equipment to meet the established schedule for the project Negotiation meetings were held with Hayes, Seay, Mattern & Mattern, Inc. to establish a cost-effective approach for the design and contract document development for the interceptor sewer. Hayes, Seay, Mattern & Mattern, Inc. has agreed to perform the work for the amount of $379,000.00. Honorable Mayor and Members of City Council ENGINEERING SERVICES TINKER CREEK INTERCEPTOR SEWER Page 4 October 10, 1994 III. Issues in Order of Importance: A. Engineering concerns in establishing a reliable but cost-effective method of design and construction B. Schedules to provide initial contract documents for bidding by mid-year 1995 C. Reasonableness of fees proposed by the selected firm D. Funding IV. Alternatives: Award engineering services contract for the work as stipulated in the Request for Professional Services to Hayes, Seay, Mattern & Mattern, Inc. in the amount of $379,000.00. 1. Engineering concerns will be addressed during concept development for the proposed interceptor sewer design. 2. Schedules to meet the established bid dates have been incorporated into the consultant's contract. Reasonableness of fees has been confirmed, based on the Scope of Work involved and estimated cost of the facilities. The proposed fee is 8.2% of the estimated project cost. Funding is available in the Sewer Plant Expansion Bonds to fund the City's portion of this contract. The other jurisdictions have agreed to reimburse the City for their prorated share as follows: Roanoke City 45.9% Roanoke County 32.9% Honorable Mayor and Members of City Council ENGINEERING SERVICES TINKER CREEK INTERCEPTOR SEWER Page 5 October 10, 1994 Town of Vinton 1.1% Botetourt County 20.1% Do not award engineering services contract for the work as stipulated in the Request for Professional Services to Hayes, Seay, Mattern & Mattern, Inc.: Engineering concerns will not be met in establishing a reliable, cost-effective design for the construction of a new Tinker Creek interceptor sewer. Schedules to meet the desired facility completion date cannot be maintained. Reasonableness of fees will have to be reestablished at a later date. 4. Funding will not be an issue at this time. Recommendation is that the City: Award engineering services contract, upon execution of agreements with participating jurisdictions, in a form acceptable to the City Attorney, to Hayes, Seay, Mattern & Mattern, Inc. of Roanoke, Virginia, in the amount of $379,000.00. Establish an account receivable in the amount of $216,400.00 for reimbursement from the other jurisdictions. Appropriate $183,600.00 from the Sewer Plant Expansion Funds included in the 1994 bond issue. Appropriate $400,000.00 to a new account entitled "Tinker Creek Interceptor Sewer" to be allocated as follows: Contract Value Contingency Total $379,000.00 21,000.00 $400,000.00 Honorable Mayor and Members of City Council ENGINEERING SERVICES TINKER CREEK INTERCEPTOR SEWER Page 6 October 10, 1994 Respectfully submitted, W. Robert Herbert City Manager WRH/PCS/fm/kh City Attorney Director of Finance Director of Public Works Director of Utilities and Operations Assistant to City Manager for Community Relations City Engineer Construction Cost Technician Accountant, Contracts and Fixed Assets Budget Administrator Manager, General Services MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #27-53-60-183-405-468 Phillip K. Feeney Project Manager Malcolm Pirnie, Inc. Consulting Engineers 11832 Rock Landing Drive Suite 400 Newport News, Virginia 23606-4206 Stewart W. Hubbell Project Manager Mattern & Craig, Inc. Consulting Engineers 701 First Street, S. W. Roanoke, Virginia 24016 Gentlemen: I am enclosing copy of Resolution No. 32210-101094 authorizing execution of an agreement with Malcolm Pirnie, Consulting Engineers, and Mattern & Craig, Inc., as their associate, to provide certain engineering services, in connection with renovation and expansion of the Water Pollution Control Plant expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton, in the amount of $1,996,338.00. Resolution No. 32210-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, CMC/AAE City Clerk MFP: sm Eric. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32210-101094. A RESOLUTION authorizing the execution of an agreement with Malcolm Pirnie, Consulting Engineers, and Mattern & Craig, Inc., as their associate, to provide certain engineering services, in connection with the renovation and expansion of the Water Pollution Control Plant expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton. BE IT RESOLVED by the Council of the City of Roanoke that: 1. The City Manager or the Assistant City Manager and the City Clerk are hereby authorized, for and on behalf of the City, to execute and attest, respectively, an agreement with Malcolm Pirnie, Consulting Engineers, and Mattern & Craig, Inc., as their associate, for the provision by such firms of engineering services, in connection with the renovation and expansion of the Water Pollution Control Plant, as more particularly set forth in the October 10, 1994, report of the City Manager to this Council. Such authorization is expressly conditioned upon the City entering into an agreement with the County of Botetourt, the County of Roanoke, the City of Salem and the Town of Vinton providing for the financial contribution and the terms and conditions of participation of the parties in the expansion and renovation of the Roanoke Sewage Treatment Plant and the replacement of portions of the Roanoke River Interceptor and the Tinker Creek Interceptor. 2. The contract amount authorized by this resolution shall be in the amount of $1,996,338.00 Attorney. The form of the contract shall be approved by the City ATTEST: .City Clerk. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA The 10th day of October, 1994. No. 32209-101094. AN ORDINANCE to amend and reordain certain sections of the 1994-95 Sewage Fund Appropriations, and providing for an emergency. WHEREAS, for the usual daily operation of the Municipal Government of the City of Roanoke, an emergency is declared to exist. THEREFORE, BE IT ORDAINED by the Council of the City of Roanoke that certain sections of the 1994-95 Sewage Fund Appropriations, be, and the same are hereby, amended and reordained to read as follows, in part: Capital Outlay Renovation/Expansion-Water Pollution Control Plant (1-2) ........................... STP Expansion Bonds - 1994 (3) .................. Revenue Due from Other Governments (4-7) ................ 1) Appropriated from Bond Funds 2) Appropriated from Other Governments 3) Appropriated from Bond Funds 4) Due from Roanoke County 5) Due from City of Salem (003-056-8470-9001) $ 763,284 (003-056-8470-8999) 1,283,054 (003-056-8465-9001) ( 763,284) (003-1072) (003-1071) 597,531 427,685 19,818,311 2,046,338 14,138,391 1,283,054 6) Due from Botetourt County 7) Due from Town of Vinton (003-1073) (003-1074) 143,243 114,595 BE IT FURTHER ORDAINED that, an emergency existing, this Ordinance shall be in effect from its passage. ATTEST: City Clerk. Roanoke, Virginia October 10, 1994 Honorable Mayor and Members of City Council Roanoke, Virginia Dear Members of Council: SUBJECT: ARCHITECTURAL/ENGINEERING SERVICES CONTRACT RENOVATION AND EXPANSION WATER POLLUTION CONTROL PLANT ROANOKE, VIRGINIA Background: A. Renovation and Expansion of the Water Pollution Control II. Plant and Related Work was approved by City Council on December 13, 1993. Work to be accomplished is the Renovation and Expansion work at the Water Pollution Control Plant. The replacement of the interceptor sewers on Roanoke River and Tinker Creek is under another contract. Current situation is that Engineering Services Qualification Proposals for the necessary design were publicly advertised and proposals were received from the following firms on January 13, 1994. 1. Camp, Dresser and McKee in association with HDH Technical 2. Hazen and Sawyer, PC 3. Black & Veatch, PC and Anderson & Associates O'Brien & Gere; Metcalf and Eddy; Finkbeiner, Pettis and Strout Hayes, Seay, Mattern & Mattern, Inc.; Greely and Hansen; L.T.I. Malcolm Pirnie, Consulting Engineers; Mattern & Craig, Inc. as their associate. Ail six firms were interviewed by the Committee composed of the consortiums of the City of Roanoke, Town of Vinton and Botetourt County representatives; Roanoke County and the City of Salem chose not to be represented. Honorable Mayor and Members of City Council RE: RENOVATION/EXPANSION WATER POLLUTION CONTROL PLANT October 10, 1994 Page 2 Be Malcolm Pirnie~ Consulting Engineers~ and their associate~ Mattern & Craiq~ Inc. were selected as the most qualified firm to perform this project. Malcolm Pirnie, Consulting Engineers, had performed the Wastewater Facility Plan Study in 1987 and were more familiar with the work that had to be done at the Water Pollution Control Plant than the other firms interviewed. The "Scope of Work" required is to increase the capacity of the WPCP from 36 million gallons per day (MGD) to 42 MGD annual average daily flow with a peak hydraulic capacity to 72 MGD, and to upgrade the treatment provided to meet the resultant effluent requirements as will be defined by the State. Dm Lump sum fee covers the studies to comply with the regulations as defined by the Virginia Department of Environmental Quality (DEQ); the meeting required in conjunction with acquiring their permitting limits and the establishment of the design parameters to meet their limits. Once this has been approved by DEQ, then prepare the contract documents to comply with the approved permitting limits, receive bids, and contract administration, with a full-time resident project representative. Full services engineering fee $1,996~338.00 III. Issues in order of importance are: A. Inclusion of a proper work scope B. Ability to meet time schedule C. Reasonableness of fee(s) D. Availability of funding Honorable Mayor and Members of City Council RE: RENOVATION/EXPANSION WATER POLLUTION CONTROL PLANT October 10, 1994 Page 3 IV. Alternatives are: Award a lump sum contract to Malcolm Pirnie, Consulting Engineers and Mattern & Craig, Inc. as their associate, for full engineering services to design and administer the construction of the Renovation and Expansion of the Water Pollution Control Plant as defined by Scope of Work as listed in Attachment A. Work to include all permitting required by the Virginia DEQ to increase plant capacity from 36 million gallons per day (MGD) to 42 MGD annual average daily flow with a peak hydraulic capacity to 72 MGD. 1. Inclusion of the proper work scope has been reviewed, revised and verified. Ability to meet time schedule has been demonstrated by Malcolm Plrnie, Consulting Engineers. They are ready to begin immediately. It is anticipated that six months of negotiations will be required with the DEQ to arrive at the permitted loading, six months to complete the contract documents and a two year construction time frame. Reasonableness of negotiation with February, 1994. fee has been established by the selected firm since mid- Funding is available from the sale of sewage fund bond issue and from our neighboring jurisdictions as described in the Water Resources Committee Report dated November 22~ 1993. A total budget of $19,080,000.00 has been identified for this project. Each participating jurisdiction will pay their prorated share as follows: Roanoke City = 37.3% Roanoke County = 29.2% Salem City = 20.9% Botetourt Co. = 7.0% Vinton = 5.6% Total = 100.0% The City of Roanoke will be reimbursed within 30 days after invoicing the other jurisdictions. Honorable Mayor and Members of City Council RE: RENOVATION/EXPANSION WATER POLLUTION CONTROL PLANT October 10, 1994 Page 4 B. Do not award an engineering contract at this time. Inclusion of the proper work scope would have to be re-determined if there was a significant delay. 2. Ability to meet the time schedule would be in jeopardy. Reasonableness of fee would have to be negotiated at a later date. Fundinq would not be encumbered at this time but would remain with each jurisdiction. V. Recommendation is as follows: ae Authorize the City Manager to enter into a contractural agreement for Renovation and Expansion of the Water Pollution Control Plant, upon execution of agreement with participating jurisdictions, as hereinbefore described, with Malcolm Pirnie, Consulting Engineers, and Mattern & Craig, Inc., as their associate, for the sum of $1~996~338.00. The schedule of work under this engineering contract would be one year for completion of the contract documents and two years construction time, a total contract time of three years. Be Establish a contingency amount of $40,000.00 additional services and reimbursable expenses. for Ce Encumber the sum of $10~000.00 in this contract for public information meetings to be approved for payment to the Engineer by the City Engineer. Transfer $763,284.00 for the City's share from Account Number 003-056-8465-9001 (WPCP Expansion Bonds - '94) to a new account entitled Renovation and Expansion of the Water Pollution Control Plant. ApDropriate $1,283,054.00 of funding from other localities to the new account and establish accounts receivable in the following amounts: Roanoke County City of Salem Botetourt County Town of Vinton $597,531.00 $427,685.00 $143,243.00 $114,595.00 Honorable Mayor and Members of City Council RE: RENOVATION/EXPANSION WATER POLLUTION CONTROL PLANT October 10, 1994 Page 5 Respectfully submitted, W. Robert Herbert City Manager WRH/LBC/fm cc: City Attorney Director of Finance Director of Public Works Director of Utilities & Operations City Engineer Assistant to the City Manager for Community Relations Construction Cost Technician Accountant, Contracts and Fixed Assets Manager, Office of Management & Budget IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32211-101094. AN ORDINANCE amending and reordaining Section 20-33.1, Same - Requirements~ obtaining license plate~ tag~ or decal a condition precedent to discharge of violation, by adding new subsections (c), (d), (e), (f), (g), and (h), and Section 20-33.2, Same - Requirements for operation; obtaining license plate~ tag or decal a condition precedent to discharge of violation, by amending subsections (a) and (b) and adding new subsections (c), (d), (e), (f), (g), and (h), of Article II, Vehicle Licenses, of Chapter 20, Motor Vehicles and Traffic, Code of the City of Roanoke (1979), as amended, to allow police officers to ticket unoccupied, parked vehicles for failure to display a valid decal and provide for a penalty therefor; and providing for an emergency and an effective date. BE IT ORDAINED by the Council of the City of Roanoke that: 1. Section 20-33.1, Same - Requirements~ obtaining license plate, tag, or decal a condition precedent to discharge of violation, and Section 20-33.2, Same - Requirements for operation; obtaining license plate~ tag or decal a condition precedent to discharge of violation, of Article II, Vehicle Licenses, of Chapter 20, Motor Vehicles and Traffic, Code of the City of Roanoke (1979), as amended, are hereby amended and reordained to read and provide as follows: Sec. 20-33.1. Same - Requirements; obtaining license plate, tag, or decal a condition precedent to dischar_qe of violation. (c) Local law enforcement officers are authorized to issue citations, summonses, parking tickets, or uniform t~affic summonses for violation of this section. (d) Every person receiving written notice from a police officer that he has violated this section may waive his right to appear and be formally tried for the violation set forth in the notice upon the voluntary payment of a penalty in the amount of twenty-five dollars ($25.00). Such penalty shall be paid to the city treasurer during the regular business hours of his office. The city treasurer shall not accept payment of this penalty except upon presentation of satisfactory evidence that the required decal has been obtained. The city treasurer shall not be authorized to accept partial Payment of the penalty due. (e) If this penalty is not paid within ten (10) days of the issuance by an officer of a notice of violation, a notice pursuant to S46.2-941, Code of Virginia (1950), as amended, shall be sent by the city's office of billings and collections to the violator. Any violator to whom such a notice is sent may pay such penalty of thirty-five dollars ($35.00) and present satisfactory evidence that the required decal has been obtained within five (5) days of receipt of such notice. The city treasurer shall not accept payment of this penalty except upon presentation of satisfactory evidence that the required decal has been obtained. The city treasurer shall not be authorized to accept partial payment of the penalty due. (f) If the violator fails to pay the penalty provided for above within five (5) days of receipt of a notice sent pursuant to §46.2-941, Code of Virginia (1950), as amended, the clerk of the general district court and the officer responsible for issuing the parking summons shall be notified of the failure to pay such penalty, in order that a summons may be issued. (g) In the event the commissioner of revenue or the city treasurer is advised that any person desires to contest a violation of this section, the commissioner of revenue or the city treasurer shall transmit notice of such fact as soon as possible to the city's office of billings and collections, which shall certify such fact in writing in an appropriate form, to the clerk of the general district court. (h) Every person tried and convicted of a violation of this section shall be guilty of a Class 4 misdemeanor the penalty for which shall be inclusive of the penalty set forth above for a violation of this section. Unless otherwise ordered by the judge in whose court this violation is tried, or in which the same is cognizable, all fines and penalties arising under this section shall be paid into the city treasury. Sec. 20-33.2. Same - Requirements for operation; obtaining license plate, tag or decal a condition precedent to discharge of violation (a) It shall be unlawful for any owner or operator of a motor vehicle, trailer, or semitrailer to fail to obtain and display a local license decal required by any ordinance of the county, city, or town, which is a party to a regional enforcement compact with the city and in which the vehicle is registered or to display upon a motor vehicle, trailer, or semitrailer any such local license decal after its expiration date. The fact that the current license tax of the situs jurisdiction has been paid on such vehicle shall not bar prosecution for a violation of this section. (b) Any violation of this section by an owner of the vehicle may not be discharged by payment of a fine except upon presentation of satisfactory evidence that the required license decal herein required has been obtained. Any fine paid under this section shall be deposited to the credit of the general fund of the city, and no accounting need be made thereof to the situs jurisdiction of such vehicle. (c) Local law enforcement officers are authorized to issue citations, summonses, parking tickets, or uniform traffic summonses for violation of this section. (d) Every person receiving written notice from a police officer that he has violated this section may waive his right to appear and be formally tried for the violation set forth in the notice upon the voluntary payment of a penalty in the amount of twenty-five dollars ($25.00). Such penalty shall be paid to the city treasurer during the regular business hours of his office. The city treasurer shall not accept payment of this penalty except upon presentation of satisfactory evidence that the required decal has been obtained. The city treasurer shall not be authorized to accept partial payment of the penalty due. (e) If this penalty is not paid within ten (10) days of the issuance by an officer of a notice of violation, a notice pursuant to S46.2-941, Code of Virginia (1950), as amended, shall be sent by the city's office of billings and collections to the violator. Any violator to whom such a notice is sent may pay such penalty of thirty-five dollars ($35.00) and present satisfactory evidence that the required decal has been obtained within five (5) days of receipt of such notice. The city treasurer shall not accept payment of this penalty except upon presentation of satisfactory evidence that the required decal has been obtained. The city treasurer shall not be authorized to accept partial payment of the penalty due. (f) If the violator fails to pay the penalty provided for above within five (5) days of receipt of a notice sent pursuant to S46.2-941, Code of Virginia (1950), as amended, the clerk of the general district court and the officer responsible for issuing the parking summons, shall be notified of the failure to pay such penalty, in order that a summons may be issued. (g) In the event the commissioner of revenue or the city treasurer is advised that any person desires to contest a violation of this section, the commissioner of revenue or the city treasurer shall transmit notice of such fact as soon as possible to the city's office of billings and collections, which shall certify such fact in writing in an appropriate form, to the clerk of the general district court. (h) Every person tried and convicted of a violation of this section shall be guilty of a Class 4 misdemeanor the penalty for which shall be inclusive of the penalty set forth above for a violation of this section. Unless otherwise ordered by the judge in whose court this violation is tried, or in which the same is cognizable, all fines and penalties arising under this section shall be paid into the city treasury. 2. In order to provide for the usual daily operation of the municipal government, an emergency is deemed to exist, and this ordinance shall be in full force and effect on and after November 1, 1994. ATTEST: City Clerk. 4 WILBURN C. DIBMNG, JR. CITY ATTORNEY CITY OF ROANOKE OFFICE OF CITY ATTORNEY 464 MUNICIPAL BUILDING 215 CHURCH AVENUE, SW ROANOKE, VIRGINIA 24011-1595 TELEPHONE: 703-961-2431 TELECOPIER: 703-224-3071 October 10, 1994 WI~MXPARSONS S~VENJ. TA~VI ~L~NM~KRONAU GLADYS~YA~S ASSISTANT CI~A~NEYS The Honorable Mayor and Members of City Council Roanoke, Virginia Re: Amendments to City Code to allow police officers to ticket unoccupied vehicles for failure to display a valid decal Dear Mayor Bowers and Council Members: Officer Ronald E. Cassell, a Police Officer in the Traffic Bureau, has submitted a suggestion in accordance with the City's Employee Suggestion Program which warrants consideration. The officer has proposed that the necessary steps be taken to permit police officers to ticket unoccupied, parked vehicles which fail to display a valid City decal. Currently, the City Code makes it unlawful for an owner of a vehicle to fail to obtain and display a decal. See §§20-33.1 and 20-33.2. However, there is no provision for enforcement of these sections unless the vehicle is occupied. See §20-26 of the Code of the City of Roanoke (1979), as amended. I am recommending adoption of the attached ordinance which will amend ~20-33.1 and 20-33.2 to enable police officers to ticket unoccupied parked vehicles which fail to display a valid decal. An additional amendment to these code sections would establish the $25.00 penalty for a violation of these code sections and also establish the consequences if a violator fails to obtain a decal and pay the $25.00 penalty. If the owner should fail to pay the penalty and obtain the decal within ten days, the owner would receive a legal notice of the violation by mail and the penalty would be increased to $35.00. If the decal is not purchased and the penalty paid within five days after receipt of such notice, the owner of the vehicle would receive a summons to court. The Police Department, the Office of thc Commissioner of Revenue, the City Treasurer, the O[fice of Billings and Co].lections, the Director of Public Safety, the Office of Management and Budqet, CIS, the Commonwealth Attorney's Office, and The Honorable Mayor and Members of City Council October 10, 1994 Page 2 my Office have been involved in the evaluation and review of Officer Cassell's suggestion and in developing the process for its implementation. I am pleased to recommend the foregoing amendments to you, and am also pleased to advise you that the recommended ordinance has been reviewed and approved by all offices involved in the evaluation and implementation of this employee suggestion. Should members of Council have any legal questions with respect to this matter, I will be pleased to address them. With kindest personal regards, I am ~~ S L~cere lv-~ur~, . Wilburn ~. Dibling, Jr. City Attorney WCDj/GLY:sm Attachment cc: The Honorable Marsha Compton Fielder, Commissioner of the Revenue The Honorable Gordon E. Peters, City Treasurer The Honorable Donald S. Caldwell, Commonwealth's Attorney W. Robert Herbert, City Manager James D. Grisso, Director of Finance George C. Snead, Jr., Director of Public Safety M. David Hooper, Chief of Police Officer Ronald E. Cassell, Traffic Bureau, Police Department Deborah J. Moses, Chief, Billings and Collections John Rorrer, CIS MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #9-166-373-468 Harold Callahan, Director Properties & Facilities Budget Rent-A-Car Corporation 4225 Naperville Road Lisle, Illinois 60532-3662 Dear Mr. Callahan: I am enclosing copy of Ordinance No. 32188-101094 authorizing the proper City officials to enter into a five year lease extension between the City and Budget Rent-A-Car Systems, Inc., for lease of a one acre parcel of City-owned property on Municipai Road, N. W., which is a portion of a 12.93-acre parcel, identified as Official Tax No. 6640105, to be used for said corporation's rental car business, commencing January 1, 1995, at an annual rental of $9,972.96, upon certain terms and conditions. Ordinance No. 32188-101094 was adopted by the Council of the City of Roanoke on first reading on Monday, September 26, 1994, also adopted by the Council on second reading on Monday, October 10, 1994, and will take effect ten days following the date of its second reading. Sincerely, Mary F. Parker, CMC//~AE City Clerk MFP: sm Enc. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32188-101094. AN ORDINANCE authorizing the proper City officials to enter into a five year lease extension between the City and Budget Rent- A-Car Systems, Inc., for use of a one acre parcel of City-owned property on Municipal Road, N.W., for said corporation's rental car business, upon certain terms and conditions. BE IT ORDAINED by the Council of the City of Roanoke that the City Manager and City Clerk are authorized to execute and attest, respectively, on behalf of the City of Roanoke, in form approved by the City Attorney, the appropriate lease extension agreement with Budget Rent-A-Car Systems, Inc., for lease of a one acre parcel of City-owned property on Municipal Road, N.W., which is a portion of a 12.93-acre parcel bearing Official Tax No. 6640105, to be used for said corporation's rental car business, for a five (5) year period, commencing January 1, 1995, at an annual rental of $9,972.96, and upon such other terms and conditions as are deemed appropriate and as more particularly set forth in the report to this Council dated September 26, 1994. ATTEST: City Clerk. Roanoke,.0~irgi~ia ~-~ .~ Septembe~"~26, i994: ~ Honorable Mayor and City Council Roanoke, Virginia Dear Members of Council: Subject: Lease of City-Owned Property Budget Rent-A-Car Systems, Inc. Municipal Road, N.W. The attached report was considered by the Water Resources Committee at its regular meeting on September 12, 1994. The Committee recommends that Council authorize the appropriate officials to enter into a five (5) year lease extension for property on Municipal Road, N.W., with Budget Rent-A-Car Systems, Inc., in accordance with conditions stated in the attached report. ETB:KBK:afm Attachments cc: Respectfully submitted, Elizabeth T. Bowles, Chairperson Water Resources Committee City Manager City Attorney Director of Finance Director of Utilities & Operations Real Estate Agent Chief, Billings & Collections City Engineer Harold Callahan, Budget Rent-A-Car CITY OF ROANOKE INTERDEPARTMENTAL COMMUNICATION DATE: TO: FROM: SUBJECT: September 12, 1994 M~embers~ Water Resources Committee /~B. ~, Dirtier,..,.., · Utilities and Operations thru W. Robert Herbe~ Manager LEASE OF CITY-OWNED PROPERTY BUDGET RENT-A-CAR SYSTEMS, INC. MUNICIPAL ROAD, N.W. Backqround: ao Execution of a five (5) year renewal of the lease agreement dated December 21, 1984, for a one (1) acre site to Budget Rent-A-Car was authorized by Council on January 16, 1990. o Current lease extension, which will expire in December, 1994, provided for an additional five (5) year extension on mutually agreeable terms and conditions. Current annual lease rate is $8,616.00, or $718.00 per month. II. Current Situation: ao Extension of the lease for an additional five (5) year term has been requested by Budget Rent-A-Car Systems, Inc. B o Terms of the extension shall include an annual lease rate of $9,972.96, or $831.08 per month, in a form approved by the City Attorney. III. Issues: A. Need B. Timinq C. Income to City Members, Water Resources Committee LEASE OF CITY-OWNED PROPERTY BUDGET RENT-A-CAR OF ROANOKE, INC. MUNICIPAL ROAD, N.W. Page 2 September 12, 1994 IV. Alternatives are: ao Committee recommend that Council authorize the appropriate City officials to enter into a five (5) year lease extension with Budget Rent-A-Car Systems, Inc. for a one (1) acre parcel of land on Municipal Road, N.W., a portion of a 12.93 acre parcel bearing Official Tax No. 6640105, in a form approved by the City Attorney, at an annual rate of $9,972.96. Need by the lessee for continued use of the facility is met. o Timinq to grant the extension before expiration of the current lease is met. 3. Income to City is $9,972.96 annually. o Committee not recommend that Council authorize the extension of a lease with Budget Rent-A-Car Systems, Inc. Need by the lessee for continued use of the facility is not met. Timinq to grant the extension before expiration of the current lease is not met. 3. Income to City is zero. Vo Recommendation is that City Council take the following action: Authorize the appropriate officials to enter into a five (5) year lease extension for property on Municipal Road, N.W., with Budget Rent-A-Car Systems, Inc. in accordance with Alternative "A". WRH/KBK/SEF/kh Attachment cc: City Attorney Director of Finance Director of Utilities & Operations Chief, Billings & Collections City Engineer l~nL ~ Cur 4225 N~pcrville Ro~d Li~lc, IL 60532-3662 Phone; 70Bt%5-1900 Fax; 708/%5-7799 August 16, 1994 Mr. Kit B. Kiser Director, utilities & Operations City of Roanoke Room 345 Municipal Building 215 Church Avenue, SW Roanoke, VA 24011 RE: Ground Lease Renewal, City of Roanoke - Budqet Rent a Car (as assigned to Budget by Lynn Leasing, Inc.)Municipal Road, N.W., Roanoke, VA, (Roanoke Airport Service Facility) Dear Mr. Kiser: Confirming a phone conversation this date between your Ms. Sarah Fitton and the writer, please be advised that the rental for the above-referenced property is agreed to be $9,972.96 per year ($831.08 per month) for each year of the extended five year term which ia to begin January 1, 1995. Tha~ you for your consideration. / $i~rely, Properties & Faeilitie-~ MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #2-166-468 Mr. Michael Vest 331 East 65th Street New York, New York 10021 Dear Mr. Vest: I am enclosing copy of Ordinance No. 32196-101094 accepting your offer to purchase real property commonly known as 118 West Campbell Avenue, identified as Official Tax No. 1011512, for the sum of $40,000.00, and providing for sale and conveyance of said property. Ordinance No. 32196-101094 was adopted by the Council of the City of Roanoke on first reading on Monday, September 26, 1994, also adopted by the Council on second reading on Monday, October 10, 1994, and will take effect ten days following the date of its second reading. Sincerely, Mary F. Parker, City Clerk MFP: sm Enc. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32196-101094. AN ORDINANCE accepting an offer to purchase a portion of real property owned by the City, described as 118 West Campbell Avenue and bearing Official Tax Map No. 1011512, and providing for the sale and conveyance of said property. BE IT ORDAINED by the Council of the City of Roanoke that: 1. The offer, as more particularly set forth in the report to this Council dated September 26, 1994, of Michael Vest, to purchase real property commonly known as 118 West Campbell Avenue, identified by Official Tax Map No. 1011512, and owned by the City, for the consideration of $40,000.00 is ACCEPTED. All costs incident to the transfer of title to this land shall be paid by the purchaser. 2. The City Manager and City Clerk are authorized, for and on behalf of the City, to execute, seal and attest, respectively, the requisite contract of sale, deed, and other necessary documents to convey this property to Michael Vest. All documents shall be in a form approved by the City Attorney. ATTEST: City Clerk. September 26, 1994 Honorable Mayor and City Council Roanoke, Virginia Dear Members of Council: Subject: Campbell Avenue Historic Properties 118, 120, 122 and 124 West Campbell Avenue I. BACKGROUND: me City Council authorized by Ordinance No. 29372 dated November 26, 1988, the execution of Sale and Exchange Agreement with James L. and Muriel King Trinkle, providing that the City purchase property owned by the Trinkles at 120 and 122 West Campbell Avenue for $164,000.00, and further providing that the City exchange real estate owned at 124 Kirk Avenue for real estate owned by the Trinkles at 118 and 124 West Campbell Avenue. Bo Virginia Department of Conservation and Historic Resources provided a $100,000.00 grant toward the acquisition of the Campbell Avenue Historic properties. Co The City of Roanoke agreed to donate historic preservation easements on the buildings to the Virginia Historic Landmarks Commission (VHLC) or to require as a condition of sale that the purchaser or purchasers donate historic preservation easements to the VHLC, as required by the State Grant Agreement. Do The City of Roanoke prepared and submitted an acceptable National Register Nomination to the VHLC, requesting that the buildings be formally added to the State Register and nominated to the National Register of Historic Places. The Nomination has been approved at State and National levels. Eo $55,005.00 was the low bid for the removal of asbestos from the Campbell Avenue Historic Properties. The majority of the asbestos was in 118 West Campbell Avenue. (The asbestos has not been removed.) II. CURRENT SITUATION: A. $40,000.00 offer for 118 West Campbell Avenue has been received from Michael Vest. The lbllowing contingencies were requested: Honorable Mayor and City Council Page 2 III. IV. Purchaser be given 90 days after agreement on conditions of sale to secure identified financing including amount, term and interest rate. ii. Purchaser obtaining title insurance policy. Bo $49,300.00 is the latest assessed value of 118 West Campbell Avenue for tax purposes. Co $44,000.00 was the estimated market value of the property on September 7, 1994, by the City's Office of Real Estate Valuation. This value does not take into account any costs such as asbestos removal, brokerage fees, etc., that may be incurred in the process of marketing the property. De Purchaser will take the Campbell Avenue Historic Property as it now exists acknowledging existence of asbestos and responsibility for its removal. mo Purchaser will donate historic preservation easement to the VHLC as required by the State Grant Agreement. Fo Commercial and residential are the envisioned uses of the property and will be owner occupied. ISSUES: A. Historic preservation. B. Downtown redevelopment. C. Tinting. ALTERNATIVES: mo City Council authorize the execution of necessary documents relating to the sale of 118 West Campbell Avenue for a sum of $40,000.00 subject to the following conditions: Honorable Mayor and City Council Page 3 Purchaser be given 90 days after agreement on conditions of sale to secure identified financing including amount, term and interest rate. ii. Purchaser obtaining title insurance policy. Historic preservation will be maintained with the redevelopment of the Campbell Avenue Historic Buildings. Downtown redevelopment will continue with a new business and residence locating into the renovated property. Timing will allow the City to convey ownership of the properties without having to incur additional expense to stabilize the buildings. B. City Council not authorize the sale of 118 West Campbell Avenue. Historic preservation will not be enhanced due to buildings' desperate need for renovation. Downtown redevelopment will not be enhanced due to store fronts remaining empty, jobs will not be created and an opportunity will be missed for downtown housing. Timing will be negatively impacted due to the work the City will need to do to maintain the existing structure. V. RECOMMENDATION: City Council authorize the execution of necessary documents in form approved by City Attorney relating to the sale of 118 West Campbell Avenue for a sum of $40,000.00 in accordance with Alternative "A" subject to the following conditions: Purchaser be given 90 days after agreement on conditions of sale to secure identified financing including amount, term and interest rate. Honorable Mayor and City Council Page 4 ii. Purchaser policy. WRH:PFS:js cc: City Attorney City Clerk Director of Utilities and Operations Director of Finance Director of Public Works Chief of Economic Development Civil Engineer II (Bane Coburn) obtaining title insurance Respectfully submitted, W. Robert Herbert City Manager MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #79-137-169 The Honorable Marsha Compton Fielder Commissioner of the Revenue Roanoke, Virginia Dear Ms. Fielder and Mr. Peters: The Honorable Gordon E. Peters City Treasurer Roanoke, Virginia I am enclosing copy of Resolution No. 32222-101094 supporting tax exemption of property owned by the House of Care of Southwest Virginia, Inc., in the City of Roanoke used by it exclusively for charitable purposes on a non-profit basis. Resolution No. 32222-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Pursuant to Paragraph 4, I am directed to forward an attested copy of Resolution No. 32222-101094 to you for the purpose of assessment and collection, respectively, of the service charge established by said Resolution, and to Sara Bugbee Winn, counsel for the Applicant. Sincerely, Mary F. Parker, City Clerk MFP: sm MARY F. PARKER, CMC/AAE · City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #79-137-169 Sara B. Winn, Attorney Woods, Rogers & Hazlegrove, p.L. C P. O. Box 14125 ' Roanoke, Virginia 24038-4125 Dear Ms. Winn: I am enclosing copy of Resolution No. 32222-101094 supporting tax exemption of property owned by the House of Care of Southwest Virginia, Inc., in the City of Roanoke used by it exclusively for charitable purposes on a non-profit basis. Resolution No. 32222-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Pursuant to Paragraph 4, I am directed to forward an attested copy of Resolution No. 32222-101094 to the Commissioner of the Revenue and the City Treasurer for the purpose of assessment and collection, respectively, of the service charge established by said Resolution, and to you, counsel for the Applicant. Sincerely, MFP: sm ary F. Parker, CMC//~3,E City Clerk Eno. IN THE COUNCIL OF THE CITY OF R0~ANOKE~ VIRGINIA, The 10th day of October, 1994. No. 32222-101094. A RESOLUTION supporting tax exemption of property owned by the House of Care of Southwest Virginia, Inc., in the City of Roanoke used by it exclusively for charitable purposes on a non-profit basis. WHEREAS, House of Care of Southwest Virginia, Inc., (hereinafter "the Applicant") has petitioned this Council for support for a bill to be introduced at the 1995 Session of the General Assembly to exempt certain property of the Applicant from taxation pursuant to Article X, S6(a)(6) of the Constitution of Virginia; WHEREAS, a public hearing at which all citizens had an opportunity to be heard with respect to the Applicant's petition was held by Council on October I0, 1994; WHEREAS, the provisions of subsection B of S30-19.04, Code of Virginia (1950), as amended, have been examined and considered by the Council. WHEREAS, the Applicant agrees that the property to be exempt from taxation is the personal property of the Applicant and buildings and as much land as is reasonably necessary to the use of its buildings which Applicant may acquire in the future, providing such personal .~nd real property shall be used by the Applicant exclusively for charitable purposes on a non-profit basis; WHEREAS, in consideration of Council's adoption of this Resolution and Counclls's support of a bill hereinafter described in Paragraph 1 to be introduced on behalf of the Applicant at the ].995 Session of the General Assembly, the Applicant has voluntarily agreed, if it acquires any real property, to pay each year a service charge in an amount equal to twenty percent (20%) of the City of Roanoke real estate tax levy, which would be applicable to real property of the Applicant were the Applicant not exempt from such taxation, for so long as the Applicant's real property is exempted from State and local taxation; THEREFORE, BE IT RESOLVED by the Council of the City of Roanoke as follows: 1. Council support a bill to be introduced at the 1995 Session of the General Assembly whereby House of Care of Southwest Virginia, Inc., (hereinafter "The Applicant"), a non-profit organization, seeks to be classified and designated a charitable organization within the context of S6(a)(6) of Article X of the Constitution of Virginia, and whereby property owned by the Applicant, which is used by it exclusively for charitable purposes on a non-profit basis, shall be exempt from State and local taxation. 2. In consideration of Council's adoption of this Resolution and Council's support of the bill described in Paragraph 1 of this Resolution to be introduced at the 1995 Session of the General Assembly, the Applicant agrees, if it acquires any real property, to pay to the City of Roanoke on or before October 5 of each year a service charge in an amount equal to twenty percent (20%) of the City of Roanoke real estate tax levy, which would be applicable to real property of the Applicant, in the Ci'ty of Roanoke, were the Applicant not exempt from State and local taxation, for so long as the Applicant is exempted from State and local taxation. 3. In adopting this Resolution, the Council has examined and considered the provisions of Subsection B of S30-19.04, Code of Virginia (1950), as amended, and pursuant to Subsection C of the same section, Council recommends to the General Assembly that the specific classification shall be charitable. 4. The City Clerk is directed to forward an attested copy of this Resolution to the Commissioner of Revenue and the City Treasurer for purpose of assessment and collection, respectively, of the service charge established by this Resolution, and to Sara Bugbee Wlnn, counsel for the Applicant. 5. This Resolution shall be in full force and effect at such time as a copy, duly signed by an authorized officer of the Applicant, has been filed with the City Clerk. ATTEST: City Clerk. ACCEPTED, AGREED TO and EXECUTED by House of Care of Southwest Virginia, Inc., this ~OT~day of OcT , 1994. HOUSE OF CARE OF SOUTHWEST VIRGINIA, INC. By ~-/~ ~'r~__) (SEAL) Office of the City Manager October 10, 1994 Thc Honorable David A. Bowers, Mayor and Members of City Council Roanoke, Virginia Dear Mayor and Members of Council: The property which is commonly referred to as the Ronald McDonald House was originally owned by Commonwealth Health Services, Inc., and ownership was transferred to Carillon Enterprises, Inc., on September 9, 1993. The official name of the property was changed at that time to the House of Care of Southwest Virginia, Inc. The change was required to meet qualifications to become a Ronald McDonald House. In its official capacity the House of Care of Southwest Virginia, Inc., is the governing body of the Ronald McDonald House and owns all the personal property. Prior to transfer, this property was listed as tax exempt. Although the property is still used to house thc families of Roanoke Memorial cancer and leukemia patients for little or no fee, it has been taxed as a for-profit operation since its ownership was assumed by Carilion. The attached report asks that the personal property tax paid by the House of Care of Southwest Virginia, Inc., be tax exempt. The City has the authority to recommend to the General Assembly of the Commonwealth of Virginia that a tax exemption be granted on the personal property. In fact, the Commissioner of Revenue's Office indicates that exempt status can be recommended to the General Assembly for any tax levied by the City. The House of Care of Southwest Virginia, Inc., the official name for Ronald McDonald House of Southwest Virginia, is not the owner of the property, but a lessee. Should House of Care of Southwest Virginia, Inc., eventually purchase the real estate defined as Tax Map #4070102, a twenty percent (20%) service charge would be levied by the City in lieu of real estate taxes. Finally, Roanoke City's Commissioner of the Revenue, Marsha Compton Fielder, has determined that this property conforms to the nature of those non-profit organizations qualifying for exemption. Article 4, Section 58.1-3650 of the Code of Virginia allows exemption from taxation for property used exclusively by "organizations for a religious, charitable, patriotic, historical, benevolent, cultural or public park or playground purpose". The City of Roanoke has previously allowed exemptions for TAP, American National Red Cross and others, these exemptions include real estate and personal property. Room 364 Municipal Building 215 Church Avenue, S.W. Roanoke, Virginia 24011-1591 (703) 981-2333 October 10, 1994 Honorable Mayor and City Council Roanoke, Virginia Dear Members of Council: Subject: Request for Support for Tax Exempt Status from House of Care of Southwest Virginia, Inc. (Ronald McDonald House) I. Background: II. III. ho Commonwealth Health Services, Inc., was the original owner of record of what is now called House of Care of Southwest Virginia, Inc. (Tax Map//4070102). Bo Commonwealth Health Services, Inc., enjoyed tax exempt status on Tax Map //4070102 from the Virginia General Assembly until they transferred the property to Carilion Enterprises, Inc., (taxable status) on September 9, 1993. Co The Commissioner of the Revenue has placed Tax Map//4070102 on the City's Real Estate and Personal Property taxable roll as a result of the change in ownership of the property. Do House of Care of Southwest Virginia, Inc., petitioned City Council on September 12, 1994, requesting adoption of a Resolution in support of the organization's request to obtain tax exempt status from the General Assembly on personal property located in the City of Roanoke. House of Care of Southwest Virginia, Inc., does not own real property in the City and intends to remain a lessee of Tax Map//4070102. Current Situation: he City Council adopted Resolution No. 30884-021897 on February 18, 1992, to establish guidelines for organizations seeking support for exemption from taxation. (See Attachment A). Bo Notification of a Public Hearing to be held on October 10, 1994, was advertised in the Roanoke Times and World News on October 3, 1994. Isstles: A. Compliance with City Policy. B. Service to Citizens. Honorable Mayor and City Council Page 2 IV. C. Cost to the City. D. Determination by Commissioner of the Revenue. Alternatives: Bo City Council grant the request of House of Care of Southwest Virginia, Inc.. for Council support of their request to the 1995 General Assembly to be designated exempt from taxation pursuant to Article ×, Section 6(a)6 and Article IV, Section 58.1-3650 et seq. of the Constitution of Virginia. Compliance with City Policy has been met through the filing of their petition (See Attachment B). Service to Citizens is met as House of Care of Southwest Virginia, Inc., provides meals and lodging for the families of children and adult oncology and leukemia patients for a nominal fee which is waived for any guest who is unable to pay. One-third of the guests make no payments. o Cost to the City will be $854.81 in personal property taxes. If House of Care should ever purchase the real estate located at Tax Map//4070102 a twenty per cent (20%) service charge would be levied by the City in lieu of real estate taxes. Determination by Commissioner of the Revenue, Ms. Marsha Compton Fielder, has opined that the stated purpose and activities of House of Care of Southwest Virginia, Inc., conforms to the nature of those non-profit organizations qualifying for exemption under the Virginia Exemption by Classification Statute. City Council deny request of House of Care of Southwest Virginia, Inc.. for Council support of their request to the 1995 General Assembly to be designated exempt from taxation pursuant to Article X, Section 6(a)6 and Article IV, Section 58.1-3650 et seq. of the Constitution of Virginia. Compliance with City Policy has been met through the filing of their petition (See Attachment A). 2. Service to Citizens would probably not be affected. 3. Cost to the City will not be an issue. Honorable Mayor and City Council Page 3 Vo o Determination by Commissioner of the Revenue, Ms. Marsha Compton Fielder, has opined that the stated purpose and activities of House of Care of Southwest Virginia, Inc., conforms to the nature of those non-profit organizations qualifying for exemption under the Virginia Exemption by Classification Statute. Recommendation: Ao City Council concur in Alternative "A" to grant the request of House of Care of Southwest Virginia, Inc., for Council support of their request to the 1995 General Assembly to be designated exempt from taxation pursuant to Article ×, Section 6(a)6 and Article IV, Section 58.1-3650 et seq. of the Constitution of Virginia. Respectfully submitted, W. Robert Herbert City Manager WRH:EDC:js Attachment CC: Ms. Sara Winn, Woods, Rogers & Hazlegrove, 10 South Jefferson Street, Roanoke, Virginia, 24011 Mr. Tom Palmer, Woods, Rogers & Hazelgrove, 10 South Jefferson Street, Roanoke, Virginia, 24011 City Attorney Director of Finance City Clerk Director of Real Estate Valuation Commissioner of the Revenue Director of Human Resources Manager, Management and Budget ATTACI~IENT "A" IN THE COUNCIL FOR THE CITY OF ROANOKE, VIRGINIA, The 18th Day of February, 1992. No. 30884-021892. A RESOLUTION establishing the policy of the City with respect to supporting requests of certain non-profit organizations to exempt certain property from taxation pursuant to Article X, S6(a)(6) of the Constitution of Virginia. WHEREAS, this Council from time to time, has been requested to adopt a resolution in support of a non-profit organizations request of the General Assembly to be designated exempt from taxation pursuant to Article X, Section 6(a)(6) 9f the Constitution of Virginia; WHEREAS, this Council has not heretofore adopted any policy with respect to those organizations requests and the terms and conditions under which Council will support an organizations request for tax-exempt status; WHEREAS, a written policy will assist Council in considering whether an organization should be given Council's support of its request for tax exempt status, and a written policy also will help to insure that all similarly situated organizations are treated uniformly; THEREFORE, BE IT RESOLVED by the Council of the City of Roanoke as' follows: 1. That effective March 1, 1992, as a condition to receiving a resolution from Council supporting its request of the General Assembly to be designated exempt from taxation pursuant to Article X, Section 6(a)(6) organizations must: of the Constitution of Virginia, all (a) request a written determination from the Commissioner of revenue whether the organization is tax-exempt by classification or designation under the Code of Virginia; (b) notify the City Clerk, in writing, of the organization's intent to seek new or additional space for its activities, such notice shall be given 45 days prior to the organization's entering into any contract for the purchase of real property for which it intends to seek tax-exempt designation; (c) agree to pay to the City an annual service charge in an amount equal to twenty percent (20%) of the City of Roanoke real estate tax levy, which would be applicable to the real property of the organization, in the City of Roanoke, were the organization not exempt from such taxation, for so long as the organization's real property is exempted from State and local taxation; (d) submit to the City Manager detailed answers to the questions set forth in subsection B of S30-19.04 of the Code of Virginia (1950), as amended, such answers must be submitted no later than November 15 in order to receive a resolution to be considered by the next session of the General Assembly; and (e) file a petition for tax-exempt status with City Council at least sixty (60) days in advance of the first day of the next session of the General Assembly. 2. If the Council adopts a resolution supporting an organization's request of the General Assembly, and the request is granted: (a) the value of all exempted taxes shall be deducted from any funding provided by the City to the organization; and (b) the Commissioner of Revenue and the Office of Real Estate Valuation will monitor the tax-exempt status of the property through the use of: (1) biennial application for tax-exemption; and (2) regular use compliance checks Office of Real Estate Valuation. ATTEST: by the City Clerk. ATTACHMENT "B" [AZLEGI~OVE, P.L.C. VIRGINIA: IN THE COUNCIL OF THE CITY OF ROANOKE RE: PETITION FOR A RESOLUTION SUPPORTING THE EXEMPTION FROM TAXATION OF CERTAIN PROPERTY PURSUANT TO ARTICLE X, § 6 (a)(6) OF THE CONSTITUTION OF VIRGINIA TO THE HONORABLE MAYOR AND MEMBERS OF COUNCIL OF THE CITY OF ROANOKE: 1. Your Petitioner, House of Care of Southwest Virginia, Inc., a Virginia, non-stock, not for profit corporation, is the lessee of certain real property located on the east side of Jefferson Street northeast of its intersection with Twenty-Second Street in the City of Roanoke, Virginia, which property is more particularly described on Exhibit A attached hereto. 2. Your Petitioner desires to be an organization designated by a section within Article 4, S58.1-3650 et seq. of the 1950 Code of Virginia, as amended, in order that the referenced persOnal property housed on such real property and used exClusively for charitable and benevolent purposes in responding to the needs of ill children and adults and their families be exempt from taxation under the provisions of Article X, S 6 (a)(6) of the Constitution of Virginia so long as your Petitioner is operated not for profit and the property so exempted is used in accordance with the purpose for which your Petitioner is classified. 3. Your Petitioner respectfully requests that the Council of the City of Roanoke adopt a resolution in accordance with the requirements of ~30-19.04 (B) of the 1950 Code of Virginia, as amended, after holding a public hearing with respect thereto M~167628 [AZLEGI~OVE, P.L.C. where citizens shall have an opportunity to be heard in order that legislation involving the designation of property to be exempted from taxation pursuant to Article X, S 6 (a)(6) of the Constitution of Virginia may be presented to the General Assembly of Virginia. In compliance with S30-19.04 (B) the following questions are submitted for consideration: Whether the organization is exempt from taxation pursuant to S501 (c) of the Internal Revenue Code of 1954. (A) Your Petitioner is exempt from taxation pursuant to ~ 501 (c) of the Internal Revenue Code of 1954. Whether a current annual alcoholic beverage license for serving alcoholic beverages h~s been issued by the Alcohol Beverage Control Board to such organization for such use on such property. (A) No alcoholic beverage license has been or will be requested or issued for use on the referenced property. Whether any director or officer of the organization has been paid compensation in excess of reasonable allowances for salaries or other compensation for personal services which such director or officer actually renders. (A) No officers or directors of your Petitioner are paid compensation in excess of reasonable allowances for salaries or other compensation for personal services actually rendered. Your Petitioner has one salaried employee and that employee is not an officer or director. Whether any part of the net earnings of such organization inures to the benefit of any individual and whether any significant portion of the services provided by such organization is generated by funds received by donations, contributions or local, state or federal grants. As used in this subsection donations shall include the providing of personal services or the contribution of in kind or other material services. M#167628 W. LEGROVE, PL.C. M#167628 (A) No part of the net earnings of your Petitioner inures to the benefit of any individual and no significant portion of the service provided by your Petitioner is generated by local, state or federal grants. Your Petitioner provides services primarily through the generation of donations and contributions. Whether the organization provides services for the common good of the public. (A) Your petitioner provides services for the common good of the public in as much as it provides meals and lodging for ill children and adults and their families. Whether a substantial part of the activities of the organization involves carrying on propaganda, or otherwise attempting, to influence legislation and whether the organization participates in, or intervenes in, any political campaign on behalf of any candidate for public office. (A) Your Petitioner is not involved in propaganda, influencing legislation or any political campaign on behalf of any candidate for public office. No rule, regulation, policy or practice of the organization discriminates on the basis of religious conviction, race, color, sex or national origin. (A) No rule, regulation, policy or practice of your Petitioner discriminates on the basis of religious conviction, race, color, sex or national origin. The revenue impact to the locality and its taxpayers of exempting the property. (A) No significant impact is anticipated as a result of the exemption. Any other criteria, facts and circumstances which the governing body deems pertinent to the adoption of such resolution. (A) Your Petitioner provides meals and lodging for the families of children and adult oncology and leukemia patients; such services are provided for a nominal fee which fee is waived for any guest who indicates that they are unable to pay; one third of your Petitioner's guests make no payments. WHEREFORE, your Petitioner, House of Care of Southwest Virginia, Inc., respectfully requests to the Council of the City of Roanoke (1) that a resolution be adopted pursuant to S30-19.04 of the Code.of Virginia stating the provisions of subsection B of that Code section have been examined and considered in conjunction with this petition seeking the designation of property to be exempted from taxation pursuant to Article X, S 6 (a)(6) of the Constitution of Virginia at a public hearing at which citizens have had an opportunity to be heard and (2) that a recommendation be made to the General Assembly of Virginia that the personal property of your Petitioner be designated by a Section within Article IV, ~58.1-3650 e_~ seq. exempting the personal property of your Petitioner from taxation so long as your Petitioner is operated not for profit and the property so exempt is used for the particular purposes of providing lodging for ill children and adults and their families. Respectfully Submitted, HOUSE OF CARE OF SOUTHWEST VIRGINIA, INC. '-LEGI~VI~, P.L.C. Sara Bugbee Winn, Esquire WOODS, ROGERS & HAZLEGROVE, P.L.C. Dominion Tower, Suite 1400 10 South Jefferson Street P.O. Box 14125 Roanoke, Virginia 24038-4125 (703) 983-7580 M#167628 :? tososoa ~ S-]' R E F_: 2: PUBLISHER'S FEE - CITY OF ROANgKL: C/O MARY F PARKER CITY CLERKS OFFIC~ ~O[]M .56 MUNICIPAL h~O~' NIl KE Va 24Oll $3 ! · 20 ?4 ] '- ," STATE! OF VIRGINI:~ C I TY C]F £(.)A,N(]Ki: '?;FFIOaViT ,DF PU~LIC:~TION I, (TiiE UNOF-RSIuNED) AN qUTHORIZED PFP~<~:S~N'FP, TIVE OF FHE TIMF-S-WORLD COR- F'E')RATION~ ~HICH Cg'qP~R~TION IS PUBLISHER OF TH~7- R(DANONE TI~4ES S WORLO-NENS~ A DAILY NEWSPAPER PLJ:.:;L!SHED I~N ROANOKE, iN TriE STAT;S IF V!RGINIC. DO CEPTIFY THAT THE ~NNEXF-D NOTI(~ W~S PUSLISH~O IN SAID NEwSPiP~RS ON Td~ FLILLCINING DATES ' "'~ ' N ln/O3/94 4uR ~ITN6SS, THIS L~Td il) aY OF OCTOBER 1994 AUTHO~I ZE Q SIGNATURE NOTICE OF PUBUC HEARING Notice Is hereby ~ that the City Council of the City of Roanoke will hold a public hearing at Its regular meeti..ng to be held on October 1994 commencing at. 7:00 p.m., in the Councl Chambers, 4th flonf, Municipad Building, 215 Church AtIN)p~_, S. W., Roanoke, VIr~'IM the ques- Uon of eduction of a rse~Iutlon pursuant to Sec. 30-19.04, Code of Virginia (1950), as amended, on request of House Inc., roi' dselgngdon of plop(~ty Citizens shall have the ~pportu- nity to be heard and express their opinions on Said matter. GIVEN under my hand this 26th Mary F. ~, City ~ (108/29) NOTICE OF PUBLIC HEARING Notice is hereby given that the City Council of the City of Roanoke will hold a public hearing at its regular meeting to be held on October 10, 1994, commencing at 7:00 p.m., in the Council Chambers, 4th floor, Municipal Building, 215 Church Avenue, S. W., Roanoke, Virginia, on the question of adoption of a resolution pursuant to Sec. 30-19.04, Code of Virginia (1950), as amended, on request of House of Care of Southwest Virginia, Inc., for designation of property to be exempted from taxation. Citizens shall have the opportunity to be heard and express their opinions on said matter. GIVEN under my hand this 26th day of September, 1994. Mary F. Parker, City Clerk NOTE TO PUBLISHER: Please publish once in the Roanoke Times & World News on Monday, October 3, 1994. Send Publisher's Affidavit and Bill to: Mary F. Parker, City Clerk Room 456, Municipal Building Roanoke, Virginia 24011 MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk September 13, 1994 File #79-137-169 W. Robert Herbert City Manager Roanoke, Virginia Dear Mr. Herbert: I am attaching copy of a communication from Sara B. Winn, Attorney, representing House of Care of Southwest Virginia, Inc., transmitting a petition requesting adoption of a resolution in support of the organization's request to obtain tax-exempt status from the General Assembly of Virginia on certain real property located in the City of Roanoke, which communication was before the Council of the City of Roanoke at a regular meeting held on Monday, September 12, 1994. On motion, duly seconded and unanimously adopted, the communication was referred to you for study, report and recommendation to Council. Sincerely, Mary F. Parker, CMC/AAE City Clerk MFP: sm Enc. pc: Sara B. Winn, Attorney, Woods, Rogers and Hazlegrove, P. O. Box 14125, Roanoke, Virginia 24038-4125 Wilburn C. Dibling, Jr., City Attorney /oons. Rc~s & ~ZLEGROVE. PLC. VIRGINIA: IN THE COUNCIL OF THE CITY OF ROANOKE RE: PETITION FOR A RESOLUTION SUPPORTING THE EXEMPTION FROM TAXATION OF CERTAIN PROPERTY PURSUANT TO ARTICLE X, § 6 (a)(6) OF THE CONSTITUTION OF VIRGINIA TO THE HONORABLE MAYOR AND MEMBERS OF COUNCIL OF THE CITY OF ROANOKE: 1. Your Petitioner, House of Care of Southwest Virginia, Inc., a Virginia, non-stock, not for profit corporation, is the lessee of certain real property located on the east side of Jefferson Street northeast of its intersection with Twenty-Second Street in the City of Roanoke, Virginia, which property is more particularly described on Exhibit A attached hereto. 2. Your Petitioner desires to be an organization designated by a section within Article 4, S58.1-3650 et seq. of the 1950 Code of Virginia, as amended, in order that the referenced personal property housed on such real property and used exclusively for charitable and benevolent purposes in responding to the needs of ill children and adults and their families be exempt from taxation under the provisions of Article X, S 6 (a)(6) of the Constitution of Virginia so long as your Petitioner is operated not for profit and the property so exempted is used in accordance with the purpose for which your Petitioner is classified. 3. Your Petitioner respectfully requests that the Council of the City of Roanoke adopt a resolution in accordance with the requirements of S30-19.04 (B) of the 1950 Code of Virginia, as amended, after holding a public hearing with respect thereto M#167628 /OODS. ROGERS LAZLEGROVE, P.L.C where citizens shall have an opportunity to be heard in order that legislation involving the designation of property to be exempted from taxation pursuant to Article X, § 6 (a)(6) of the Constitution of Virginia may be presented to the General Assembly of Virginia. In compliance with §30-19.04 (B) the following questions are submitted for consideration: Whether the organization is exempt from taxation pursuant to ~501 (c) of the Internal Revenue Code of 1954. (A) Your Petitioner is exempt from taxation pursuant to ~ 501 (c) of the Internal Revenue Code of 1954. Whether a current annual alcoholic beverage license for serving alcoholic beverages has been issued by the Alcohol Beverage Control Board to such organization for such use on such property. (A) No alcoholic beverage license has been or will be requested or issued for use on the referenced property. Whether any director or officer of the organization has been paid compensation in excess of reasonable allowances for salaries or other compensation for personal services which such director or officer actually renders. (A) No officers or directors of your Petitioner are paid compensation in excess of reasonable allowances for salaries or other compensation for personal services actually rendered. Your Petitioner has one salaried employee and that employee is not an officer or director. Whether any part of the net earnings of such organization inures to the benefit of any individual and whether any significant portion of the services provided by such organization is generated by funds received by donations, contributions or local, state or federal grants. As used in this subsection donations shall include the providing of personal services or the contribution of in kind or other material services. M#167628 2 ~LEGROVE, P.L.C. (A) No part of the net earnings of your Petitioner inures to the benefit of any individual and no significant portion of the service provided by your Petitioner is generated by local, state or federal grants. Your Petitioner provides services primarily through the generation of donations and contributions. Whether the organization provides services for the common good of the public. (A) Your petitioner provides services for the common good of the public in as much as it provides meals and lodging for ill children and adults and their families. Whether a substantial part of the activities of the organization involves carrying on propaganda, or otherwise attempting, to influence legislation and whether the organization participates in, or intervenes in, any political campaign on behalf of any candidate for public office. (A) Your Petitioner is not involved in propaganda, influencing legislation or any political campaign on behalf of any candidate for public office. No rule, regulation, policy or practice of the organization discriminates on the basis of religious conviction, race, color, sex or national origin. (A) No rule, regulation, policy or practice of your Petitioner discriminates on the basis of religious conviction, race, color, sex or national origin. The revenue impact to the locality and its taxpayers of exempting the property. (A) No significant impact is anticipated as a result of the exemption. Any other criteria, facts and circumstances which the governing body deems pertinent to the adoption of such resolution. (A) Your Petitioner provides meals and lodging for the families of children and adult oncology and leukemia patients; such services are provided for a nominal fee which fee is waived for any guest who indicates that they are unable to pay; one third of your Petitioner's guests make no payments. M#167628 WHEREFORE, your Petitioner, House of Care of Southwest Virginia, Inc., respectfully requests to the Council of the City of Roanoke (1) that a resolution be adopted pursuant to S30-19.04 of the Code.of Virginia stating the provisions of subsection B of that Code section have been examined and considered in conjunction with this petition seeking the designation of ~ property to be exempted from taxation pursuant to Article X, S 6 (a)(6) of the Constitution of Virginia at a public hearing at which citizens have had an opportunity to be heard and (2) that a recommendation be made to the General Assembly of Virginia that the persoga1 property of your Petitioner be designated by a Section within Article IV,5~58.1-3650 et seq. exempting the personal property of your Petitioner from taxation so long as your Petitioner is operated not for profit and the property so exempt is used for the particular purposes of providing lodging for ill children and adults and their families. Respectfully Submitted, HOUSE OF CARE OF SOUTHWEST VIRGINIA, INC. ODS, RO~ & ~LEGROVE, P.L.C. Sara Bugbee Winn, Esquire WOODS, ROGERS & HAZLEGR~VE, P.L.C. Dominion Tower, Suite 1400 10 South Jefferson Street P.O. Box 14125 Roanoke, Virginia 24038-4125 (703) 983-7580 M#167628 4 - I - EXHIBIT A '"'"---- ,-- ~ OX mum-,~-.,-_ _-_ ,_ .,,, OSO~Y .aa.,.,,,,,4~,"~ 200 ZOS~ w _r:;~ ~.~ .~ .... ~, V'.~i' ~ ~ I05 First Union Tower 10 South Jefferson Street, Suite 1400 Roanoke, Virginia 24011 P.O. Box 14125 Roanoke, Xrmginia 24038-4125 WOODS, ROGERS & Attorneys at Law /:'~' [~J[;? t:73 l~ter's ct Dial Telephone' (703) 983-7686 August 17, 1994 W. Robert Herbert, City Manager 364 Municipal Building 215 Church Avenue, S.W. Roanoke, Virginia 24011 Re: House of Care of Southwest Virginiat Inc. Dear Mr. Herbert: In accordance with our petition to the City Council for tax- exempt status of the above referenced and in compliance with §30- 19.04 (B) the following questions are submitted for your consideration: Whether the organization is exempt from taxation pursuant to §501 (c) of the Internal Revenue Code of 1954. (A) Your Petitioner is exempt from taxation pursuant to § 501 (c) of the Internal Revenue Code of 1954. Whether a current annual alcoholic beverage license for serving alcoholic beverages has been issued by the Alcohol Beverage Control Board to such organization for such use on such property. (A) No alcoholic beverage license has been or will be requested or issued for use on the referenced property. Whether any director or officer of the organization has been paid compensation in excess of reasonable allowances for salaries or other compensation for personal services which such director or officer actually renders. (A) No officers or directors of your Petitioner are paid compensation in excess of reasonable allowances for salaries or other compensation for personal services actually rendered. Your Petitioner has one salaried employee and that employee is not an officer or director. WOODS, ROGERS & HAZLEGROVE W. Robert Herbert Page 2 July 25, 1994 Whether any part of the net earnings of such organization inures to the benefit of any individual and whether any significant portion of the services provided by such organization is generated by funds received by donations, contributions or local, state or federal grants. As used in this subsection donations shall include the providing of personal services or the contribution of in kind or other material services. (A) No part of the net earnings of your Petitioner inures to the benefit of any individual and no significant portion of the service provided by your Petitioner is generated by local, state or federal grants. Your Petitioner provides services primarily through the generation of donations and contributions. Whether the organization provides services for the common good of the public. (A) Your petitioner provides services for the common good of the public in as much as it provides meals and lodging for ill children and adults and their families. Whether a substantial part of the activities of the organization involves carrying on propaganda, or otherwise attempting, to influence legislation and whether the organization participates in, or intervenes in, any political campaign on behalf of any candidate for public office. (A) Your Petitioner is not involved in propaganda, influencing legislation or any political campaign on behalf of any candidate for public office. No rule, regulation, policy or practice of the organization discriminates on the basis of religious conviction, race, color, sex or national origin. (A) No rule, regulation, policy or practice of your Petitioner discriminates on the basis of religious conviction, race, color, sex or national origin. M#190799 WOODS, ROGERS & HAZLEGROVE W. Robert Herbert Page 3 July 25, 1994 The revenue impact to the locality and its taxpayers of exempting the property. (A) No significant impact is anticipated as a result of the exemption. Any other criteria, facts and circumstances which the governing body deems pertinent to the adoption of such resolution. (A) Your Petitioner provides meals and lodging for the families of children and adult oncology and leukemia patients; such services are provided for a nominal fee which fee is waived for any guest who indicates that they are unable to pay; one third of your Petitioner's guests make no payments. I also enclose a copy of a letter from the Commission of the Revenue stating the House of Care of Southwest Virginia, Inc. has never been granted tax-exemption for personal or real property and a copy of the House of Care's priorities, guest rules and guidelines. Your assistance and support in this matter is greatly appreciated. Should you require any additional information concerning the above, please contact me at this office. Very truly yours, WOODS, ROGERS & HAZLEGROVE Sara Bugbee Winn M#190799 , ,.~.~:.'~. ! MARSHA COMPTON FIELDER Commissioner of thc Revenue CITY OF ROANOKE COMMISSIONER OF THE REVENUE 215 Church Avenue, S.W., Room 251 Roanoke, Virginia 24011 Telephone: (703) 981-2521 Fax: (703) 224-3115 July 20, 1994 Ms. Sara B. Winn Woods. Rogers & Hazlegrove, P.L.C. PO Box 14125 Roanoke, VA 24038-4125 Dear Ms. Winn: In response to your letter dated July 12, 1994, and your telephone call with Margaret Lindsey, of this office, regarding the tax-exempt stares of House of Care of Southwest Vir~nia, Inc., this entity has never been granted tax-exemption by designation for personal or real property purposes for the City of Roanoke. We currently show this entity as owner of record of no real or personal property in the City of Roanoke. Please do not hesitate to contact me should you need any further information or if my office can be of assistance in seeking }louse of Cafe's exempt status. Sincerely, -'x, ~ Mar~ha Compton Fielder Comrp- ;,ssioner of the R~.,enue mcf/mal RONALD McDONALD HOUSE of SOUTHWEST VIRGINIA 222~, $. defferson Street Roanoke, Virginia 24014 GUEST RULES and GUIDELINES GENERAL HOUSE RULES: · Food and Drinks are permitted only irt desiguated areas-Kitchen, Dining Room, Patio · No Smoking in the House · No Alcoholic Beverages allowed in the House · Overni§ht Guests are not afiowed to sleep in public areas. · No pets. · Proper dress and shoes required. · Guests must leave upon discharge of the patient. · Guests who have or have been exposed to a communicable disease, i.e. - measles, mumps, whooping cough, etc., will not be allowed to occupy a room except after consultation and approval by a physician and management. · Guests must respect privacy of other guests. · Guests must-keep TV/Radio sound at a reasonable level. Unnecessary noise will not be permitted. · Guests must limit the number of visitors coming to the House. · Pool and room game time is 9:00 a.m. - 9:00 p.m. · The House will not be responsible for any articles left or unattended in the House. · Lost and found articles should be brought to the attention of House Management. · No illegal activities will be permitted in the House. ROOMS: · One room per family. · Limit of four (4) overnight family members to a room. · * No food oe · Management will not hold a room for any guest not occupying the room and reserves the right to fill rooms not occupied on a daily basis. · Management reserves the right to inspect guest rooms at any time. Rooms should be locked at all times. HOUSEKEEPING: + It is the guest's responsibility to make bed, empty wastebasket in outside dumpster (not in another container), and keep room and bathroom clean. + Turn off lights when leaving room. Should you note something wrong with your room or the House (need a blanket, see a burned out light), please notify the House Manager or the Volunteer on duty. THE KITCHEN: (The House receives donations of food from many organizations. You are welcome to use these items in the designated areas.) ~, Eat in designated areas only. ~, Prepare your own breakfast and lunch. ~, Buffet dinners for all guests are prepared and served from 5:00 p.m. until 6:30 p.m. by the house staff, guests and volunteers cooperatively. Anyone using the kitchen to prepare snacks or meals is responsible for dean-up. ,, Guests may store personal food items in the refrigerator, however, dispose of personal food items prior to check out. Items must be properly marked. >, Share kitchen chores with other guests. ~, Help keep the kitchen clean. Before you leave the kitchen, remember to dispose of leftovers, load the dishwasher, wash pots and pans, wipe up spills, and return unused items to their designated area. ~, Donations to operate the kitchen are appreciated but not required. Over MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #53-467 The Reverend C. Nelson Harris, Chair Roanoke City School Board 2813 Edgewood Street, S. W. Roanoke, Virginia 24015 Dear Reverend Harris: I am enclosing copy of Resolution No. 32223-101094 authorizing issuance of not to exceed $4,200,000.00 General Obligation School Bonds of the City of Roanoke, Virginia, Series 1994 A, to be sold to the Virginia Public School Authority and providing for the form and details thereof. Resolution No. 32223-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, CMC/AAE City Clerk MFP: sm Eno. pc: E. Wayne Harris, Superintendent of Roanoke City Public Schools Richard L. Kelley, Assistant Superintendent for Operations, Roanoke City Public Schools June S. NoIley, Clerk of the Roanoke City School Board MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #53-467 F. Webster Day Bond Counsel Wetherington and Melchionna 1100 Crestar Bank Building Roanoke, Virginia 24011 Dear Mr. Day: I am enclosing copy of Resolution No. 32223-101094 authorizing issuance of not to exceed $4,200,000.00 General Obligation School Bonds of the City of Roanoke, Virginia, Series 1994 A, to be sold to the Virginia Public School Authority and providing for the form and details thereof. Resolution No. 32223-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, City Clerk MFP: sm Enc. MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #53-467 The Honorable Arthur B. Crush, III Clerk of Circuit Court Roanoke, Virginia Dear Mr. Crush: I am enclosing a certified copy of Resolution No. 32223-101094 authorizing issuance of not to exceed $4,200,000.00 General Obligation School Bonds of the City of Roanoke, Virginia, Series 1994 A, to be sold to the Virginia Public School Authority and providing for the form and details thereof. Resolution No. 32223-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, CMC/AAE City Clerk MFP: sm Eric. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA The 10th day of October, 1994. No. 32223-101094. A RESOLUTION AUTHORIZING THE ISSUANCE OF NUT TO EXCEED $4,200,000 GENERAL OBLIGATION SCHOOL BONDS OF THE CITY OF ROANOKE, VIRGINIA, SERIES 1994 A, TO BE SOLD TO THE VIRGINIA PUBLIC SCHOOL AUTHORITY AND PROVIDING FOR THE FORM AND DETAILS THEREOF. WHEREAS, in June 1992 and May 1993, the Commonwealth of Virginia Board of Education (the "Board of Education") placed the applications (the "Applications") of the Roanoke City School Board (the "School Board"), for loans of $4,200,000 (the "Literary'Fund Loans") from the Literary'Fund, a permanent trust fund established by the Constitution of Virginia (the "Literary Fund"), for the construction, renovation and expansion of school buildings (the "Project") in the City of Roanoke, Virginia (the "City"), on the First Priority Waiting List; WHEREAS, the Board of Education was to have approved the release of Literary Fund moneys to the School Board and make a commitment to loan such moneys to the School Board (the "Commitment") within one (1) year of placement of each Application on the First Priority Waiting List upon receipt of the Literary Fund of an unencumbered sum available at least equal to the amount of the Application and the approval, by the Board of Education, of the Application as having met all conditions for a loan from the Literary Fund; WHEREAS, the Board of Education was thereafter to have given advances on the amount of the Commitment for the Literary Fund Loans to the School Board, as construction or renovation of the Project progressed, in exchange for temporary notes from the School Board to the Literary Fund (the "Temporary Notes") for the amounts so advanced; WHEREAS, after the completion of the Project and the advance of .the total amount of the Commitment, the Temporary Notes were to have been consolidated into a permanent loan note of the School Board to the Literary Fund (the "Literary Fund Obligation") which was to evidence the obligation of the School Board to repay the Literary Fund Loans; WHEREAS, the Literary Fund Obligation was to have borne interest at four percent (4.00%) per annum and mature in annual installments for a period of twenty (20) years; WHEREAS, in connection with the 1994 Interest Rate Subsidy Program (the "Program"), the Virginia Public School Authority (the "VPSA") has offered to purchase general obligation school bonds of the City, and the Board of Education has offered to pay, to the City, a lump sum cash payment (the "Lump Sum Cash Payment") equal to the sum of (i) net present value difference, determined on the date on which the VPSA sells its bonds, between the weighted average interest rate that the general obligation school bonds of the City will bear upon sale to the VPSA and the interest rate that the Literary Fund Obligation would have borne plus (ii) an allowance for the costs of issuing such bonds of the City (the "Issuance Expense Allowance"); WHEREAS, the Council (the "Council") of the City of Roanoke, Virginia (the "City"), has determined that it is necessary and expedient to borrow not to exceed $4,200,000 and to issue its general obligation school bonds for the purpose of financing certain capital projects for school purposes; and WHEREAS, the City held a public hearing, duly noticed, on October 10, 1994, on the issuance of the Bonds (as defined below) in accordance with the requirements of Section 15.1-227.8.A, Code of Virginia 1950, as amended (the "Virginia Code"); and WHEREAS, the School Board of the City has, by resolution, requested the Council to authorize the issuance of the Bonds (as hereinafter defined) and consented to the issuance of the Bonds; NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CIT~ OF ROANOKE, VIRGINIA: 1. Authorization of Bonds and Use of Proceeds. The Council hereby determines that it is advisable to contract a debt and issue and sell its general obligation school bonds in an aggregate principal amount not to exceed $4,200,000 (the 2 "Bonds") for the purpose of financing certain capital projects for school purposes. The Council hereby authorizes the issuance and sale of the Bonds in the form and upon the terms established pursuant to this Resolution. To the extent permitted under Section 15.1-227.2 of the Public Finance Act of 1991 (Chapter 5.1, Title 15.1, Code of Virginia of 1950, as amended) (the "Act"), the Council hereby elects that the Bonds be issued under the provisions of the Act without regard to the requirements, restrictions or other provisions contained in any charter or local or special act applicable to the City. 2. Sale of the Bonds. It is determined to be in the best interest of the City to accept the offer of the Virginia Public School Authority (the "VPSA") to purchase from the City, and to sell to the VPSA, the Bonds at par upon the terms established pursuant to this Resolution. The Mayor, the City Manager, and such officer or officers of the City as either may designate are hereby authorized and directed to enter into a Bond Sale Agreement dated as of October 18, 1994, with the VPSA providing for the sale of the Bonds to the VPSA in substantially the form submitted to the Council at this meeting, which form is hereby approved (the "Bond Sale Agreement"). 3. Details of the Bonds. The Bonds shall be lssuable in fully registered form; shall be dated the date of issuance and delivery of the Bonds; shall be designated "General Obligation School Bonds, Series 1994 A"; shall bear interest from the date of delivery thereof payable semi-annually on each January 15 and July 15 beginning July 15, 1995 (each an "Interest Payment Date"), at the rates established in accordance with Section 4 of this Resolution; and shall mature on July 15 in the years (each a "Principal Payment Date") and in the amounts set forth on Schedule I attached hereto (the "Principal Installments"), subject to the provisions of Section 4 of this Resolution. 4. Interest Rates and Princl_Dal I--tallments. The City Manager is hereby authorized and directed to accept the interest rates on the Bonds established by the VPSA, provided that each interest rate shall be ten one-hundredths of one percent (0.10%) over the interest rate to be paid by the VPSA for the corresponding principal payment date of the bonds to be issued by the VPSA (the "VPSA Bonds"), a portion of the proceeds of which will be used to purchase the Bonds, and provided further, that the true interest cost of the Bonds does not exceed eight percent (8%) per annum. The Interest Payment Dates and the Principal Installments are subject to change at the request of the VPSA. The City Manager is hereby authorized and directed to accept changes in the Interest Payment Dates and the Principal Installments at the request of the VPSA, provided that the aggregate principal amount of the Bonds shall not exceed the amount authorized by this Resolution. The execution and delivery of the Bonds as described in Section 8 hereof shall conclusively evidence such interest rates established by the VPSA and Interest Payment Dates and the Principal Installments requested by the VPSA as having been so accepted as authorized by this Resolution. 5. Form of the Bonds. For as long as the VPSA is the registered owner of the Bonds, the Bonds shall be in the form of a single, temporary typewritten bond substantially in the form attached hereto as Exhibit A. 6. Pa_vment: Paying Agent and Bond Reoistra~. following provisions shall apply to the Bonds: The (a) For as long as the VPSA is the registered owner of the Bonds, all payments of principal, premium, if any, and interest on the Bonds shall be made in immediately available funds to the VPSA at, or before 11:00 a.m. on the applicable Interest Payment Date or Principal Payment Date, or if such date is not a business day for Virginia banks or for the Commonwealth of Virginia, then at or before 11:00 a.m. on the business day next preceding such Interest Payment Date or Principal Payment Date. (b) Ail overdue payments of principal and, to the extent permitted by law, interest shall bear interest at the applicable interest rate or rates on the Bonds. (c) Signet Trust Company, Richmond, Virginia, is designated as Bond Registrar and Paying Agent for the Bonds. 7. No Redem_Dtion or Pre~Da_vmen~. The Principal Installments of the Bonds shall not be subject to redemption or 4 prepayment. Furthermore, the Council covenants, on behalf of the City, not to refund or refinance the Bonds without first obtaining the written consent of the VPSA or the registered owner of the Bonds. 8. Execution of the Bonds. The Mayor or Vice Mayor and the Clerk or any Deputy Clerk of the City are authorized and directed to execute and deliver the Bonds and to affix the seal of the City thereto. 9. Pledge of Full Faith and Credit. For the prompt payment of the principal of and premium, if any, and the interest on the Bonds as the same shall become due, the full faith and credit of the City are hereby irrevocably pledged, and in each year while any of the Bonds shall be outstanding there shall be levied and collected in accordance with law an annual ad ~ tax upon all taxable property in the City subject to local taxation sufficient in amount to provide for the payment of the principal of and premium, if any, and the interest on the Bonds as such principal, premium, if any, and interest shall become due, which tax shall be without limitation as to rate or amount and in addition to all other taxes authorized to be levied in the City to the extent other funds of the City are not lawfully available and appropriated for such purpose. 10. Use of Proceeds Certificate and Certificate as tO ~. The Mayor, the City Manager and such officer or officers of the City as either may designate are hereby authorized and directed to execute a Certificate as to Arbitrage and a Use of Proceeds Certificate each setting forth the expected use and investment of the proceeds of the Bonds and containing such covenants as may be necessary in order to show compliance with the provisions of the Internal Revenue Code of 1986, as amended (the "Code"), and applicable regulations relating to the exclusion from gross income of interest on the Bonds and on the VPSA Bonds except as provided below. The Council covenants on behalf of the City that (i) the proceeds from the issuance and sale of the Bonds will be invested and expended as set forth in such Certificate as to Arbitrage and such Use of Proceeds Certificate and that the City shall comply with the other covenants and representations contained therein and (ii) the City shall comply with the provisions of the Code 5 so that interest on the Bonds and on the VPSA Bonds will remain excludable from gross income for Federal income tax purposes. 11. State Non-Arbitrage Program: Proceeds Aaree~,~t. The Council hereby determines that it is in the best interests of the City to authorize and direct the City Treasurer to participate in the State Non-Arbitrage Program in connection with the Bonds. The Mayor, the City Manager and such officer or officers of the City as either may designate are hereby authorized and directed to execute and deliver a Proceeds Agreement with respect to the deposit and investment of proceeds of the Bonds by and among the City, the other participants in the sale of the VPSA Bonds, the VPSA, the investment manager and the depository, substantially in the form submitted to the Council at this meeting, which form is hereby approved. 12. Filing of Resolution. The appropriate officers or agents of the City are hereby authorized and directed to cause a certified copy of this Resolution to be filed with the Circuit Court of the City. 13. Further Actions. The members of the Council and all officers, employees and agents of the City are hereby authorized to take such action as they or any one of them may consider necessary or desirable in connection with the issuance and sale of the Bonds and any such action previously taken is hereby ratified and confirmed. 14. Effective Date. immediately. This Resolution shall take effect ATTEST: City Clerk. 6 EXHIBIT A (FORM OF TEMPORARY BOND) NO. TR-1 UNITED STATES OF AMERICA COMMONWEALTH OF VIRGINIA CITY OF ROANOKE General Obligation School Bond Series 1994 A The CITY OF ROANOKE, VIRGINIA (the "City"), for value received, hereby acknowledges itself indebted and promises to pay to the VIRGINIA PUBLIC SCHOOL AUTHORITY the principal amount of DOLLARS ($ ), in annual installments in the amounts set forth on Schedule I attached hereto payable on July 15, 1995 and annually on July 15 thereafter to and including July 15, 2014 (each a "Principal Payment Date"), together with interest from the date of this Bond on the unpaid installments, payable semi-annually on January 15 and July 15 of each year, commencing on July 15, 1995 (each an "Interest Payment Date"; together with any Principal Payment Date, a "Payment Date"), at the rates per annum set forth on Schedule I attached hereto, subject to prepayment or redemption as hereinafter provided. Both principal of and interest on this Bond are payable in lawful money of the United States of America. For as long as the Virginia Public School Authority is the registered owner of this Bond, , as bond registrar (the "Bond Registrar"), shall make all payments of principal, premium, if any, and interest on this Bond, without the presentation or surrender hereof, to the Virginia Public School Authority, in immediately available funds at or before 11:00 a.m. on the applicable Payment Date or date fixed for prepayment or redemption. If a Payment Date or date fixed for prepayment or redemption is not a business day for banks in the Commonwealth of Virginia or for the Commonwealth of Virginia, then the payment of principal, premium, if any, or interest on this Bond shall be made in immediately available funds at or before 11:00 a.m. on the business day next preceding the scheduled Payment Date or date fixed for prepayment or redemption. Upon receipt by the registered owner of this Bond of said payments of principal, premium, if any, and interest, written acknowledgment of the receipt thereof shall be given promptly to the Bond Registrar, and the City shall be fully discharged of its obligation on this Bond to the extent of the 2 payment so made. Upon final payment, this Bond shall be surrendered to the Bond Registrar for cancellation. The full faith and credit of the City are irrevocably pledged for the payment of the principal of and the premium, if any, and interest on this Bond. The resolution adopted by the Council authorizing the issuance of the Bonds provides, and Section 15.1-227.25 of the Code of Virginia 1950, as amended, requires, that there shall be levied and collected an annual tax upon all taxable property in the City subject to local taxation sufficient to provide for the payment of'the principal, premium, if any, and interest on this Bond as the same shall become due which tax shall be without limitation as to rate or amount and shall be in addition to all other taxes authorized to be levied in the City to the extent other funds of the City are not lawfully available and appropriated for such purpose. This Bond is duly authorized and issued in compliance with and pursuant to the Constitution and laws of the Commonwealth of Virginia, including the Public Finance Act of 1991, Chapter 5.1, Title 15.1, Code of Virginia 1950, as amended, and resolutions duly adopted by the Council of the City and the School Board of the City purposes. to provide funds for capital projects for school 3 This Bond may be exchanged without cost at the office of the Bond Registrar for an equal aggregate principal amount of bonds in definitive form having maturities and bearing interest at rates corresponding to the maturities of and the interest rates on the installments of principal of this Bond then unpaid, issuable in fully registered form in denominations of $5,000 and whole multiples thereof. On twenty (20) days written notice from the Virginia Public School Authority, the City shall deliver, at its expense, this Bond in marketable form, in exchange for the temporary typewritten Bond. This Bond is registered in the name of the Virginia Public School Authority on the books of the City kept by the Bond Registrar, and the transfer of this Bond may be effected by the registered owner of this Bond only upon due execution of an assignment by such registered owner. Upon receipt of such assignment and the surrender of this Bond, the Bond Registrar shall exchange this Bond for definitive Bonds as hereinabove provided, such definitive Bonds to be registered on such registration books in the name of the assignee or assignees named in such assignment. The principal installments of this Bond are not subject to redemption or prepayment. 4 Ail acts, conditions and things required by the Constitution and laws of the Commonwealth of Virginia to happen, exist or be performed precedent to and in the issuance of this Bond have happened· exist and have been performed in due time· form and manner as so required, and this Bond, together with all other indebtedness of the City, is within every debt and other limit prescribed by the Constitution and laws of the Commonwealth of Virginia. IN WITNESS WHEREOF, the Council of the City of Roanoke has caused this Bond to be issued in th~ name of the City of Roanoke, Virginia, to be signed by its Mayor or Vice Mayor, its seal to be affixed hereto and attested by the signature of its Clerk or any of its Deputy Clerks, and this Bond to be dated · 1994. CITY OF ROANOKE, VIRGINIA (SEAL) ATTEST: Clerk, City of Roanoke, Virginia 5 Mayor, City of Roanoke, Virginia ASSIGNMENT FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto (PLEASE PRINT OR TYPEWRITE NAME AND ADDRESS, INCLUDING ZIP CODE, OF ASSIGNEE) PLEASE INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER OF ASSIGNEE: the within Bond and irrevocably constitutes and appoints attorney to exchange said Bond for definitive bonds in lieu of which this Bond is issued and to register the transfer of such definitive bonds on the books kept for registration thereof, with full power of substitution in the premises. Date: Signature Guaranteed: (NOTICE: Signature(s) must be guaranteed by a member firm of the New York Stock Exchange or a commercial bank or trust company.) Registered Owner (NOTICE: The signature above must correspond with the name of the Registered Owner as it appears on the front of this Bond in every particular, without alteration or change.) 211900-1.400\4.snc 6 ROANOKE CITY Savings Target Overall TIC Loan Amount Rate Dated Delivery First Int First Prln Fiscal Basis 25 6 425000% 2,000,000 4.00% 11/22/94 11/22/94 711 5/95 7115~95 1115~96 0.10% VPSA Rates LocaIRates 1995 6.15% 6.25% 1996 6.15% 6.25% 1997 6.15% 6.25% 1998 6.15% 6.25% 1999 6.15% 625% 2000 6.15% 6.25% 2001 6.15% 6.25% 2002 6.15% 6.25% 2003 6,15% 6.25% 2004 6.15% 6.25% 2005 6.15% 6.25% 2006 6.25% 6.35% 2007 6.35% 6.45% ' 2008 6.45% 6.55% ' 2009 6.55% 6.65% 2010 6.60% 6.70% 2011 6.65% 6.75% 2012 6.65% 6.75% 2013 6.65% 6.75% 2014 6.65% 6.75% Revised Debt Service Schedule Literary Fund Loan Principal Rate Interest Total Fiscal Total 7115/95 100,000 4.00% 51,778 151,778 0 1/15~96 0 38,000 38,000 189,778 7115/96 100,000 4.00% 38,000 138,000 0 1115197 0 36,000 36,000 174,000 7115/97 100,000 4.00% 36,000 136,000 0 1/15~98 0 34,000 34,000 170,000 7115/98 100,000 4.00% 34,000 134,000 0 1 I15/99 0 32,000 32.000 166,000 7115199 100,000 4.00% 32,000 132,000 0 1/15100 0 30,000 30,000 162,000 7115100 100,000 4.00% 30,080 130,000 0 1115/01 0 28,000 28,000 158,000 7115101 100,000 4.00% 28,000 128,000 0 1115/02 0 26,000 26,000 154.000 7115102 100,000 4.00% 26,000 126,000 0 1/15/03 0 24,000 24,000 150,000 7115103 100,000 4.00% 24,000 124,000 0 1115/04 0 22,000 22,000 146,000 7115104 100,000 4.00% -22,000 122,000 0 1 I15/05 0 20,000 20,000 142.000 7115/05 100,000 4.00% 20,000 120,000 0 1115/06 0 18,000 18,000 138,000 7115/06 100,000 4.00% 18,000 118,000 0 1115/07 0 16,000 16,000 134,000 7115107 100,000 4.00% 16,000 116,000 0 1115108 0 14,000 14,000 130,000 7115108 100,000 4.00% 14,000 114,000 0 1115/09 0 12,000 12,000 126,000 7115109 100.000 4.00% 12,000 112,000 0 1115/10 0 10.000 10,000 122,000 7115/10 100,000 4.00% 10,000 110,000 0 1115111 0 8.000 8.000 118,000 7/15/11 100,000 4.00% 8,000 108,000 0 1 I15112 0 6,000 6.000 114,000 7/15112 100,000 4.00% 6,000 106,000 0 1115113 0 4,000 4.000 110,000 7/15/13 100,000 4.00% 4,000 104.000 0 1115/14 0 2.000 2.000 106,000 7/15/14 100,000 4.00% 2,000 102,000 0 1/15/15 0 0 0 102.000 1115/15 0 Totals $ 2,000,000 $811,778 $ 2,811,778 VPSA Loan Principal 72.975 74,077 74,727 75,420 76,156 76,941 77,775 78,664 79,610 80,617 81,689 82,873 84,221 85,745 87,461 89,363 91,443 93,691 96,097 98,670 1,658.215 , Rale Interest Tolul Fiscal Total VPSA SaviniJs 6.25% 69,122.34 142,097.34 0 0.00% 51,118.77 51,118.77 193,216 6.25% 51,118.77 125,195.77 0 0.00% 48,803.86 48,803.86 174,000 6.25% 48,803.86 123,530.86 0 0.00% 46,468.64 46,468.64 170,000 6.25% 46,468.64 121,888.64 0 0.00% 44.111.77 44,111.77 166,000 6.25% 44,111.77 120,267.77 0 0.00% 41,731.89 41,731.89 162,000 6.25% 41,731.89 118,672.89 0 0.00% 39,327.49 39,327.49 158,000 6.25% 39,327.49 117,102.49 0 0.00% 36,897.02 36,897.02 154,000 6.25% 36.897.02 115,56 1.02 0 0.00% 34,438.77 34,438.77 150,000 6.25% 34,438.77 114,048.77 0 0.00% 31,950.95 31,950.95 146,000 6.25% 31.956.95 112,567.95 0 0.00% 29,431.67 29,431.67 142,000 6.25% 29,431.67 111,120.67 0 0.00% 26,878.89 26,878.89 138,000 6.35% 26,878.89 109,751.89 0 0.00% 24,247.67 24,247.67 134,000 6.45% 24,247.67 108,468.67 0 0.00% 21,531.55 21,531.55 130,000 6.55% 21,531.55 107,276.55 0 0.00% 18,723.40 18,723.40 126,000 6.65% 18,723.40 106,184.40 0 0.00% 15,815.32 15,815.32 122,000 6.70% 15,815.32 105,178.32 0 0.00% 12,821.68 12,821.68 118,000 6.75% 12,821.68 104,264.68 0 0.00% 9,735.46 9,735.46 114,000 6.75% 9,735.46 103,426.46 0 0.00% 6,573.39 , 6,573.39 110,000 6.75% 6,573.39 102,670.39 0 0.00% 3,330.11 3,330.11 108,(XX) 6.75% 3,330.11 102,000.11 0 0.00% 102,000 0 9,680.43 -13.118.77 12,80423 - 12,803.86 12,469.14 -12,468.64 12,111.36 -12,111.77 11,73223 -11,731.89 11,327.11 -11,327.49 10,897.52 -10,897.02 10,438.98 -10,438.77 9,951.23 -9,950.95 9,432.05 -9,431.67 8,879.33 -8,878.89 8,248,11 -8,247.67 7,531.33 -7,531.55 6,723.45 -6,723.40 5,815.60 -5,815.32 4,821.68 -4,821.66 3,735.34 -3,735.46 2,573.54 -2,573.39 1,329.61 -1,330.11 -0.11 0.00 $ 1,156,999 $ 2.815,214, NPV SAVINGS ===> (3,436) 24.93 919194 Current market conditions + 60 basis points Sources of Funds Literary Loan $ 2,000,000 Total Sources $ 2,000,000 Uses of Funds Total Project Cost $ 2,000,000 Total Uses $ 2,000,000 Sources of Funds VPSA loan $ 1,668,215 Loan Subsidy Amount 352~829 Total Sources $ 2,011~044 Uses of Funds TotaIProject Costs $ 2,000,000 Borrowers Costs 6,500 Cashflow Lag 4,544 Total Uses $ 2,011,04~4 5-~ sasfi letO[ spund ~o ~ sao~no$ lelo1 O00'OOZ't $ ueo'l AJe~airl spund 1o sac]noS 00'9~ $ 00'0 cg'C/, t' t - 99'9Z~'z- 99'9ZZ'~ OZ'9~O'S- OL'C9Z'g- Ot gt'P~k'9 ~VI,~O'Z- ~0'696'~- ?,0'696'Z OgCO6'g £Z':9~'6- Z~' LP9'6- ;£' it,9'6 cjVZgg'6- g L'~gg'6 ~:P' ZI~' 0g'69~:'0L- £G'r. Pg'0t ¥SdA <----= SE)NI^¥$ AdN Zgl,'S60'£ ~ r,~-g'94~'L t gt;8'g~e't t 0 00'00~'~ L I, i~)'£LC'£ %0Z'9 97_.9'g0 t 009'91L ~:9'lT~.~ 'C 7,9' I~Z,~:'£ 0 9g'gr_~'£ L ~ 99'9/.9'9 Y~:'9 Ogg'90~ 000' Lg t 99'9Z9'9 99'9Z9'9 %000 OOl,'g[ ~ P0'999'6 PO'G99'6 %00'0 O09'6Zt £~'t,[O'gl gE'lftO'£t %00'0 0 Z,*'ggZ'9! t 0Z'9~0'9~ %00'9 O0~'I, tH. OZ'ggO'91 0£'9['0'9t %00'0 0 O~'t'9 t '9~ t 0rc96'9i M~6'g 009'9ct Ol '£96'91 Ol'696'gt %00'0 0 069~9'6 i ~ ct'kZg'tz %G9'S O(K)'Pr~' [ Ct't'~:g' I.Z: £t'k~9'[~ %00'0 0 zg'glt'&gt g t 'Pr~O'kZ: %09'G O01,'D, I, ~t'P~9'trg C t'kr-q'ki: 0 /_g'gzZ'Z:Z: L t'6'~:td~'Zg: %0/. 'g 0 9Q'OgP'PZ:L C0'606'6~ %OO'g Ooz'gs I C0'696'6~ ?;0'696'6~ %000 0 g6'O~Z'9~l rg' I.I,S';~; %GI,'g 0 6P'ggO'gg I. ?,O'OCO'~;C %GCg 97.~0'£6 O00'S9 I. ~O'O~O'g£ ZO'O(~O'SC %00'0 0 96'696'6g: t og'L'Og'ZC %g~'g 99t,'g6 00P'69 L OgCOg'lC Og'COg'.'g %00'0 0 Og'g6g' [[:[ glT..~'6g %gg'g t, C6' L6 O09'F.Z L ~;l'Z96'6C CZ'Z:96'6; %00'0 0 gG' t6Z'~t ZI~'tPg'PP %~'~ 0cJ6~06 009'7.9t ZC tPg'PP Z£' t t*g't,f, 0 cg'ggZ'Z£ t g t'?.gg'l~ %~*g g6t?06 O~'Z9 t GL ~9~'ZP c~ L'g:gg:'lP %00'0 0 6"9'Z~Z'6~:t ZP' tZg'6P %c~;;'g 990'06 O0~'L6L ~k' Lzg'6P ?P'tZ9'6P %00'0 0 /O'ZgI'CPL 06'~:pl*'lrg %gC~ Ptl'g~' O~O'gt tP'C~O'gt t P'O~:O'gt %000 leiOj, le:)s!d letO], l';aJaBq ale~l led!m~Ud ueo-i VSdA 9~6'~60'g $ 966'Z695 ~ sleio/. ueo'l pund o ~ ~h s.lse8 UPd p~teo lunmu¥ ueo'l 011 .... ~,o~,, r~e~;,s, ~,narrman Marsha W. Ellison Marilyn L. Curtis. Vice Chairman Finn D. Pincus Charles W. Day Ctul~n G. Poff Cih/ School Doard John H. Saun E. Wayne Harris, Superintenoem June S. Nolley, Clerk of the 8Oard P.O. Box1314§. Roonoke, Virginto24031 · 703-981-2381 ,, F~x: 7C10-98'h295,~ L September 22, 1994 The Honorable David A. Bowe~ Mayor and Membe~ of Roanoke City Council Roanoke, VA 24011 Dear Members of Council: As you will recall, the Roanoke City School Board approved a resolution for the Roanoke City Public Schools to participate in the 1994 V'u~inia Public School Authority (VPSA) bond issue and request the City of Roanoke tO is~Je iu general obligation school bonds in an amount not to exceed $4,200,000.00 for improvem~s and additions to Virsinia Heishta Elementary -tq,,,uau~,o ~u me vI'~A arK! the i-'"'~ ..e..~ _,_ ...... resolution authorizing 34,200,000.00. ----'.",- ,,- s~;~m oouflatlon oOndS in mt amoum not to exceed oC~t~/~~ In o~rder_to meet the timeline emblished by the Vl)SA ,~... -..,.-, ...... ~.ou~.a to hold a public hearinf~ on October in , a,-,,, '_~ _~_'~.~'"~.'~ ~.ui~crruuy requests 81uon bonds. -- ..... ,, ---,, ,c~mmr~ the lssunce of'general The Board appredatu the assistance in ti~s matter. Clerk of the Board Rev. C. Nelson Harris Mr. E. Wayne ~ Mr. Richard L. Kelley Mr. William L. Murny. Mi-. W. Robert Herbert Excellence in Educotion-- SEP-22-1994 ~: ~5 TOTAL P. 01 P.O1 PU,.~LISHER'S men - CITY QF ROAhOKE C/() hARY P PARKL]~ CITY CLERKS OFFICE- i~OOM ~56 MUNICIPAL ~LOG ROANOK~ VA 24QlI STAT~,~ OF VIr,)INIA r CITY OF AFPID~:VIT OF PUi_iLICAT[ON I, (T!-if: UNDE~,SIG,NFO) AN AUTHORIZED REPF-;~SENT;~TIV~ OF TH~ TIM~:S-~ORLD COR- PUKATION, WHICH CORPORATION IS PUBLISHER OF THF ~[)ANOK~ TIM~S & WC~LD-NEWS, A DAILY NEWSPAPER PU~'LISH6D IN RO~NOKE~ IN THF STATR OF VIRGINIA, !)0 CEKTIFY THAT i'HL' ANi~EXED NOTICE W~S PU[SLISHED IN SAID NE-wSPAPERS ON TH~ FQLLOWI~ DAT~S StjND$] Y SUNDAY wi TN~'SS, THIS bT [I 'F/~/~C Tp ~ ~ AUTHORIZED SIGNATURE · - 'N~TICE OF PUBLIC HEARING , v ~0~PROPOSED BOND I,~ I ~ ,'-i ,' ]liE CI1Y OF ROANOKE, VIRGINIA ';CO, until of the City Of Roanoke, _..v~,_ma (me "Cou~mr) va# nora a pubic heming on ~e for schooJ purpo~ and t~e public, h~m'in~ whlett rely be pfllmofll their vim off tM pro- at 7:00 p.m. ~ O~r 10, bor~ of ~ Municipal Bulkllflg at 2:1~ I~u~h A~omm, S.W. in Ma~ F. Pallor Roaflolm, VI~Iml,, (10~92~) NOTICE OF PUBLIC HEARING ON PROPOSED BOND ISSUE BY THE CITY OF ROANOKE, VIRGINIA Notice is hereby given that the Council of the City of Roanoke, Virginia (the "Council") will hold a public hearing on the proposed issuance of bonds by the City of Roanoke. The general purpose for which the bonds are to be issued is to provide funds, together with other available funds, to finance certain capital projects for school purposes and the estimated maximum amount of such bonds is $4,200,000. The public hearing, which may be continued or adjourned, and at which persons may appear and present their views on the proposed bond issue, will be held at 7:00 p.m. on October 10, 1994, before the Council in the Council Chambers of the Municipal Building at 215 Church Avenue, S.W. in Roanoke, Virginia. Mary F. Parker City Clerk Roanoke, Virginia [To be published once a week for two (2) consecutive weeks in a newspaper published or having general circulation in the Jurisdiction. The hearing must be held not less than six (6) nor more than twenty-one (21) days after the date the second notice appears in the newspaper.] [PUBLISH ON SEPTEMBER 25 AND OCTOBER 2, 1994] 211900-1. 389\4. snc IN TI-IE COUNCIL OF ~ CITY OF ROANOKE, VIRGllNTIA The 12th day of September, 1994. No. 32174-091294. A RESOLUTION authorizing the appropriate City officials to make application to the Virginia Public School Authority £or financing under the Authority's 1994 Imerest Rate Subsidy Program. WHEREAS, this Council has determined that it may be advisable for the City of Roanoke to contract a debt and issue general obligation bonds in an amount not to exceed $4,200,000 to finance certain capital improvements for public school purposes and to sell the bonds to the Virginia Public School Authority (the "VPSA") under the 1994 Interest Rate S.ubsidy Program. NOW, THEREFORE, be it resolved by the Council of the City of Roanoke that: 1. The City Manager or the Assistant City Manager is hereby authorized and directed to make application to the VPSA under the VPSA 1994 Interest Rate Subsidy Program for financing, in an amount not to exceed $4,200,000, of certain capital improvements for public schools in the City. 2. All actions taken by the City Manager or the Assistant City Manager that are in compliance with this resolution are hereby ratified and confirmed. ATTEST: City Clerk. CITY OF ROANOKE Interdepartmental Communication DATE: September 9, 1994 TO: Mary F. Parker, City Clerk FROM: William X Parsons, Assistant City Attomeyx~ SUBJECT: VPSA Bond Issue Attached is a Notice of Public Heating to be held October 10, 1994. Please forward this notice to the newspaper so that it may be published on September 25, and October 2, 1994. The bill for this advertisement should be provided to Richard L. Kelley, Executive for Business Afl'airs Roanoke City Schools, P.O. Box 13145, Roanoke, VA 24031. Please contact me if you have any questions about this matter. WXP/lsc Attachment CCi Richard L. Kelley, Executive for Business Affairs F. B. Webster Day, Esquire i ~i!i~::: ' (: i-r, CITY OF ROANOKE '94 r: r-7 Interdepartmental Communication DATE: October 7, 1994 TO: Mary F. Parker, City Clerk FROM: William X Parsons, Assistant City Attorney SUBJECT: VPSA Bond Sale As you will recall, at its Public Hearing next Monday night, City Council will be asked to approve a resolution authorizing the issuance of bonds to be sold to the Virginia Public School Authority. The bond resolution also authorizes execution of a proceeds agreement and a bond sale agreement which are to be submitted to Council at this meeting. Mr. Dibling will be present at the meeting and will advise Council that the documents are being submitted in accordance with the provisions of the resolution. Accordingly, I am attaching copies of these documents with the request that you have them available at the meeting for any required inspection. The minutes of the meeting should also reflect the fact that these documents were submitted to Council. Please give me a call if you have any questions about this matter. W-XP/lsc Attachment cc: Wilburn C. Dibling, Jr., City Attorney VIRGINIA PUBLIC SCHOOL AUTHORITY BOND SALE AGREEMENT dated as of October 18, 1994 Name of Jurisdiction (the "Local Unit"): 1- Sale Date: Not earlier than November 1, nor later than November 10, Closing Date: On or about November 22, 1994 Principal Amount (Not to Exceed): 2- Amortization Period: Up to Twenty (20) Years The Virginia Public School Authority ("VPSA") hereby offers to purchase your general obligation school bonds in an amount not to .exceed the Principal Amount set forth above from the proceeds of the VPSA's bonds, the sale of which is scheduled to take place on the Sale Date. e You represent that on or before October 25, 1994, your local governing body will have duly authorized the issuance of your bonds by adopting a resolution in the form attached hereto as Appendix B (the "local resolution") and that your bonds will be in the form set forth in the' local resolution. Any changes that you or your counsel wish to make to the form of the local resolution and/or your bonds must be approved by the VPSA prior to adoption of the local resolution by your local governing body.~ VPSA's commitment to purchase your bonds is contingent upon VPSA's receipt on the Closing Date of (a) your bonds which shall include and otherwise meet the Standard Terms and Conditions contained in Appendix A hereto, (b) certified copies of the local resolution and the school board resolution (see Appendix E attached hereto), (c) an executed agreement, among VPSA, you and the other local units simultaneously selling their bonds to VPSA, Central Fidelity National Bank and Commonwealth Investment Counsel, Inc., the depository and the investment manager, respectively, for the State Non-Arbitrage Program ("SNAP"), providing for the custody, investment and disbursement of the proceeds of your bonds and the other general obligation school bonds, and the payment by you and the other local units of the allocable, associated costs of compliance with the Internal Revenue Code of 1986, as amended, and any costs incurred in connection with your partidpafion in SNAP (the "Proceeds Agreement"), (d) an executed copy of the Use of Proceeds Certificate in the form attached hereto as Appendix C, (e) an approving legal opinion from your bond counsel in form satisfactory to VPSA as to (i) the validity of the bonds and the exclusion from gross income for The local resolution has been drafted for the issuance of bonds by a County. Bond counsel will need to make appropriate changes in the local resolution for the issuance of bonds by a City or Town. federal and Virginia income tax purposes of the interest on your bonds, (ii) the conformity of the terms and provisions of your bonds to the requirements of this Bond Sale Agreement including the appendices attached hereto, and (iii) the due authorization, execution and 'delivery of this Bond Sale Agreement and the Proceeds Agreement and the validity of the Proceeds Agreement, (f) a transcript of the other customary closing documents not listed above, and (g) the proceeds of VPSA's bonds. Two complete transcripts (one original) of the documents listed above shall be provided by your counsel to the VPSA on the Closing Date or, with VPSA's permission, as soon as practicable thereafter. This Bond Sale Agreement shall take effect on October 18, 1994. Virginia Public School Authority By:, Authorized VPSA Representative By: Name: Title: (For information only; not part of the Bond Sale Agreement.) Please have the presiding officer, or other specifically designated agent, of your governing body execute 2 copies of this Bond Sale Agreement and return them, along with the tax questionnaire attached hereto as Appendix I), no later than dose of business on October 18, 1994 to Gary Ometer, Debt Manager, Virginia Public School Authority, [by mail] P. O. Box 1879, Richmond, Virginia 23215-1879 or [by hand or courier service] James Monroe Building- 3rd Floor, 101 N. 14th Street, Richmond, Virginia 23219. If your governing body or bond counsel requires more than one ori~nally signed Bond Sale Agreement, please send the appropriate number; all but one will be returned at closing. f:\$HARED\DF_JT[~Vi~SA\ISStJE\OGB\BSA.Ot,8 September l&, l~0& APPENDIX A to the Bond Sale Agreement STANDARD TERMS AND CONDITIONS Described below are terms of the local school bonds which must be embodied in your bond resolution and bond form and other conditions which must be met in order for VPSA to purchase your local school bonds on the Closing Date. VI>SA will not purchase local school bonds unless and until such terms are present in the related bond resolution and bond form adopted by your governing body and such conditions are met. Interest and Principal Pa_vments Your bonds will bear interest from the Closing Date~ set forth in the Bond Sale Agreement and will mature on July 15 of the years and in the amounts as established by VPSA. Your bonds will bear interest payable in installments due semiannually on January 15 and July 15. The first interest installment and the first principal installment will be payable on July 15, 1995. Your bonds will bear interest at rates 10 basis points (0.10%) above the actual rates on VPSA's bonds with corresponding principal payment dates. Payment For so long as the VPSA is the registered owner of your bonds, (i) the paying agent and bond registrar therefor shall be a bank or trust company qualified to serve as such, and If VPSA does not purchase your local school bonds on the Closing Date due to your failure, VPSA will invest, in demand or overnight investments, the amount of its bond proceeds to be used to purchase your local school bonds. If you remedy your failure within the sixty (60) day period following the Closing Date, the VPSA will purchase your local school bonds and your bonds will bear interest from the date .of delivery and payment or other date satisfactory to the VI>SA. You will, however, be required to pay to VPSA an amount equal to the positive difference, if any, between the amount of interest that would have accrued on your local school bonds from the Closing Date to your actual closing date and the amount of interest income VPSA was able to earn, during such period, from the investment of its bond proceeds pending their use to purchase your bonds. F:\SHARED\DEBT\VPSA\ISSUE\9&B\APNXA.BSA 1 September 1~, 1996 all payments of principal, premium, if any, and interest shall be made in funds that shall be immediately available to the VPSA on or before 11:00 A.M. on the applicable interest or principal payment date, or date fixed for prepayment or redemption, or if such date is not a business day for banks in Vir~nia or for the Commonwealth, then on or before 11:00 A.M. on the business day preceding such scheduled due date. Overdue payments of principal and, to the extent permitted by law, interest shall bear interest at the applicable interest rates on your bonds. Prepa_vment or Redemntion Bonds in the 1994 Interest Rate Subsidy Program will not be subject to redemption or prepayment. Bonds not issued pursuant to the Interest Rate Subsidy Program shall be subject to redemption at the option of the governing body. If your governing body determines that your bonds shall be subject to prepayment or redemption prior to maturity, your bond resolution shall provide for prepayment or redemption as follows: The bonds maturing after July 15, 2005 are subject to optional prepayment or redemption prior to maturity by [the issuer], from any available moneys, in whole or in part, on any date on or after July 15, 2005, at the following prepayment or redemption prices on the following prepayment or redemption dates, plus accrued interest to the date fixed for prepayment or redemption: Dates Price July 15, 2005 through July 14, 2006 July 15, 2006 through July 14, 2007 July 15, 2007 through July 14, 2008 July 15, 2008 and thereafter 103% 102 101 100 Provided, however, that the bonds shall not be subject to prepayment or redemption prior to their respective maturities except with the prior written consent of the registered owner. Notice of any such prepayment or redemption shall be given to the registered owner by registered mail at least 60, but not more than 90, days prior to the date fixed for prepayment or redemption. F:\$HARED\DEBT\Vi:)SA\iSSUE\94B'~APNX.~.BSA 2 September l&, 199& Security_ Your bonds must constitute valid and binding general obligations for the payment of which the full faith and credit of the local unit are irrevocably pledged, and all taxable property within the boundaries of the local unit must be subject to the levy of an ad vglorem tax, over and above all other taxes and without limitation as to rate or amount, for the payment of the principal of, and premium; if any, and interest on the bonds to the extent other funds of the local unit are not lawfully available and appropriated for such purpose. Tax Matters You shall complete the Questionnaire attached hereto as Appendix D to the Bond Sale Agreement and send along with the Bond Sale Agreement no later than the close of business on October 18, 1994 to Gary Ometer, Debt Manager, Virginia Public School Authority, P.O. Box 1879, Richmond, Virginia 23215-1879. If delivered by hand to, Gary Ometer, Debt Manager, Virginia Public School Authority, James Monroe Building- 3rd Floor, 101 N. 14th Street, Richmond, Virginia 23219. You shall execute the Use of Proceeds Certificate in the form provided in Appendix C attached to the Bond Sale Agreement for receipt by the VPSA at least three business days prior to the Closing Date.z No Composite Issue You will covenant not to sell or deliver, without VPSA's consent, any general obligation bonds which are part of the same common plan of financing (and payable from the same source of funds) as your local school bonds, beginning, in the case of a sale, 15 days in advance of and ending 15 days after the Sale Date. VPSA requires that the Use of Proceeds Certificate be executed separately from the Arbitrage Certificate prepared by your bond counsel. It is likely that your Arbitrage Certificate will contain some information found in the Use of Proceeds Certificate in addition to information such as your reasonable expectations as to meeting the requirements to any of the rebate exceptions. F:\SHARED\DEBT\VPSA\ISSUE\9~B~APNXA.BSA 3 Septemlaer l&, 199~ Request and Consent of County_ School Board3 Before the governing body of a County adopts the bond resolution, the County School Board must first request, by resolution, the governing body to take such action. The County School Board must also consent to the issuance of bonds by the County. (See form of resolution in Appendix E attached hereto.) Public Hearing and Notice Before the final authorization of your issuance of the bonds by the governing body, the governing body must hold a public hearing on the proposed issue unless the issuance of such bonds has been approved at referendum. The notice of the hearing, meeting the requirements of Section 15.1-227.8, Code of Virginia 1950, as amended, must be published once a week for 2 successive weeks (notices at least 7 days apart) in a newspaper published or having general circulation in your locality. The public hearing may not be held less than 6 nor more than 21 days after the date the second notice appears in the newspaper. Delivery VPSA will accept delivery of your bonds onlv in the form of a single, typewritten, temporary bond, in registered form, payable to VPSA. The form of the bond is included as Exhibit A to the resolution in Appendix B to the Bond Sale Agreement. On 20 days written notice from VPSA, you agree to deliver, at your expense, in exchange for the typewritten bond, bonds in marketable form in denominations of $5,000 or any whole multiple thereof, as requested by VPSA. Comprehensive Annual Financial Revort Annually for the life of the bonds, you will be required to submit a copy of the locality's Comprehensive Annual Financial Report CCAFR") to the rating agencies referenced below: Moody's Investors Service Public Finance Department Attention: Edward Krauss 99 Church Street New York, New York 10007 Fitch Investors Service Governmental Finance Attention: Claire G. Cohen One State Street Plaza New York, New York 10004 Not applicable to cities and towns. (Section 15.1-22Z41, Code of Virginia) F: \SHARED\DEBT\VPSA\ I SS~JE\96B~APNX.4. BSA 4 September 16, 1994 [Appropriate Changes Will Need to be Made for Cities and Towns] APPENDIX B to the Bond Sale Agreement Resolution No. RESOLUTION AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $ GENERAL OBLIGATION SCHOOL BONDS OF THE COUNTY OF , VIRGINIA, SERIES 1994 __,, TO BE SOLD TO THE VIRGINIA PUBLIC SCHOOL AUTHORITY AND PROVIDING FOR THE FORM AND DETAILS THEREOF. WHEREAS, on ., 199__, the Commonwealth of Virginia Board of Education (the "Board of Education") placed the application (the "Application") of the School Board of County, Virginia (the "School Board"), for a loan of $ (the "Literary Fund Loan") from the Literary Fund, a permanem trust fund established by the Constitution of Virginia (the "Literary Fund"), for the construction, renovation and expansion of school buildings (the "Project") in County, Vir~nia (the "County"), on the First Priority Waiting List; WHEREAS, the Board of Education was to have approved the release of Literary Fund moneys to the School Board and make a commitment to loan such moneys to the School Board (the "Commitment") within one (1) year of placement of the Application on the First Priority Waiting List upon receipt of the Literary Fund of an unencumbered sum available at least equal to the amount of the Application and the approval, by the Board of Education, of the Application as having met all conditions for a loan. from the Literary Fund; WHEREAS, the Board of Education was thereafter to have given advances on the amount of the Commitment for the Literary Fund Loan to the School Board, as construction or renovation of the Project progressed, in exchange for temporary notes from the School Board to the Literary Fund (the '"remporary Notes") for the amounts so advanced; WHEREAS, after the completion of the Project and the advance of the total amount of the Commitment, the Temporary Notes were to have been consolidated into a permanent loan note of the School Board to the Literary Fund (the "Literary Fund Obligation") which was to evidence the obligation of the School Board to repay the Literary Fund Loan; WHEREAS, the Literary Fund Obligation was to have borne interest at ~ percent %) per annum and mature in annual installments for a period of twenty (20) years; F:\SHAR. ED\DEBT~VPSA\ISSUE\94B~,PNXB94B.sub B-1 September 14, 1994 WHEREAS, in connection with the 1994 Interest Rate Subsidy Program (the "Program"), the Virginia Public School Authority (the "VPSA") has offered to purchase general obligation school bonds of the County, and the Board of Education has offered to pay, to the County, a lump sum cash payment (the "Lump Sum Cash Payment") equal to the sum of (i) net present value difference, determined on the date on which the VPSA sells its bonds, between the weighted average interest rate that the general obligation school bonds of the County will bear upon sale to the VPSA and the interest rate that the Literary Fund Obligation would have borne plus (ii) an allowance for the costs of issuing such bonds of the County (the "Issuance Expense Allowance"); WHEREAS, the Board of Supewisors (the "Board") of the County of , Virginia (the "County"), has determined that it is necessary and expedient to borrow not to exceed $ and to issue its general obligation school bonds, for the purpose of financing certain capital projects for school purposes; and WHE~, the County [held/will hold] a public hearing, duly noticed, on ,1994, on the issuance of the Bonds (as defined below) in accordance with the requirements of Section 15.1-227.8.A, Code of Virginia 1950, as amended (the "Vir~nia Code"); and! WHEREAS, the School Board of the County has, by resolution, requested the Board to authorize the issuance of the Bonds (as hereinafter defined) and, consented to the issuance of the Bonds; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE COUNTY OF , VIRGINIA: 1. Authorization of Bonds and Use of Proceeds. The Board hereby determines that it is advisable to contract a debt and issue and sell its general obligation school bonds in an aggregate principal amount not to exceed $ (the "Bonds") for the purpose of financing certain capital projects for school purposes. The Board hereby authorizes the issuance and sale of the Bonds in the form and upon the terms established pursuant to this Resolution. 2. Sale of the Bonds. It is determined to be in the best interest of the County to accept the offer of the Virginia Public School Authority (the "VPSA") to purchase from the County, and to sell to the VPSA, the Bonds at par upon the terms established pursuant to this Resolution. The Chairman of the Board, the County [Administrator/Manager], and such officer or officers of the County as either may designate are hereby authorized and directed to enter into a Bond Sale Agreement dated as of October 18, 1994, with the VPSA ~ Omit and substitute appropriate recitative paragraph if bonds are approved at referendum. F:\SHARED\DEBT~VPSA\ISSUE\94B\APNXB94B.aub B-2 September 14, 1994 providing for the sale of the Bonds to the VPSA in substantially the form submitted to the Board at this meeting, which form is hereby approved (the "Bond Sale Agreement"). 3. Details of the Bonds. The Bonds shall be issuable in fully registered form; shall be dated the date of issuance and delivery of the Bonds; shall be designated "General Obligation School Bonds, Series 1994 __"; shall bear interest from the date of delivery thereof payable semi-annually on each January 15 and July 15 beginning July 15, 1995 (each an "Interest Payment Date"), at the rates established in accordance with Section 4 of this Resolution; and shall mature on July 15 in the years (each a "Principal Payment Date") and in the amotmts set forth on Schedule I attached hereto (the "Principal Installments"), subject to the provisions of Section 4 of this Resolution. 4. Interest Rates and Principal Installments. The County [Administrator/Manager] is hereby authorized and directed to accept the interest rates on the Bonds established by the VPSA, provided that each interest rate shall be ten one-hundredths of one percent (0.10%) over the interest rate to be paid by the VPSA for the corresponding principal payment date of the bonds to be issued by the VPSA (the "VPSA Bonds"), a portion of the proceeds of which will be used to purchase the Bonds, and provided further, that the true interest cost of the Bonds does not exceed eight percem (8%) per annum. The Interest Payment Dates and the Principal Installments are subject to change at the request of the VPSA. The County [Administrator/Manager] is hereby authorized and directed to accept changes in the Interest Payment Dates and the Principal Installments at the request of the VPSA, provided that the aggregate principal amount of the Bonds shall not exceed the amount authorized by this Resolution. The execution and delivery of the Bonds as described in Section 8 hereof shall conclusively evidence such interest rates established by the VPSA and Interest Payment Dates and the Principal Installments requested by the VPSA as having been so accepted as authorized by this Resolution. 5. Form of the Bond$. For as long as the VPSA is the registered owner of the Bonds, the Bonds shall be in the form of a single, temporary typewritten bond substantially in the form attached hereto as Exhibit A. 6. Payment: Paving Agent lind Bond Resstrar. The following provisions shall apply to the Bonds: (a) For as long as the VPSA is the registered owner of the Bonds, all payments of principal, premium, if any, and interest on the Bonds shall be made in immediately available funds to the VPSA at, or before 11:00 a.m. on the applicable Interest Payment Date or Principal Paymem Date, or if such date is not a business day for Virginia banks or for the Commonwealth of Virginia, then at or before 11:00 a.m. on the business day next preceding such Interest Payment Date or Principal Payment Date. (b) All overdue payments of principal and, to the extent permitted by law, interest shall bear interest at the applicable interest rate or rates on the Bonds. F:\SHARED\DEB~VPSA\ISSUE~949\APNXB94B.sub B-3 September 14, 1994 (c) , Paying Agent for the Bonds. , Virginia, is designated as Bond Registrar and 7. No Redemption or lh'enavment. The Principal Installments of the Bonds shall not be subject to redemption or prepayment. Furthermore, the Board covenants, on behalf of the County, not to refund or refinance the Bonds without first obtaining the written consent of the VPSA or the registered owner of the Bonds. 8. Execution of the Bonds. The Chairman or Vice Chairman and the Clerk or any Deputy Clerk of the Board are authorized and directed to execute and deliver the Bonds and to affix the seal of the County thereto. 9. Pled~ of Full Faith and Credit. For the prompt payment of the principal of and premium, if any, and the interest on the Bonds as the same shall become due, the full faith and credit of the County are hereby irrevocably pledged, and in each year while any of the Bonds shall be outstanding there shall be levied and collected in accordance with law an annual ad valorem tax upon all taxable property in the County subject to local taxation sufficient in amount to provide for the payment of the principal of and premium, if any, and the interest on the Bonds as such principal, premium, if any, and interest shall become due, which tax shall be without limitation as to rate or amount and in addition to all other taxes authorized to be levied in the County to the extent other funds of the County are not lawfully available and appropriated for such purpose. 10. Use of Proceeds Certificate and Certificate as to Arbitrage. The Chairman of the Board, the County [Administrator/Manager] and such officer or officers of the County as either may designate are hereby authorized and directed to execute a Certificate as to Arbitrage and a Use of Proceeds Certificate each setting forth the expected use and investment of the proceeds of the Bonds and containing such covenants as may be necessary in order, to show compliance with the provisions of the Internal Revenue Code of 1986, as amended (the "Code"), and applicable regulations relating to the exclusion from gross income of interest on the Bonds and on the VPSA Bonds except as provided below. The Board covenants on behalf of the County that (i) the proceeds from the issuance and sale of the Bonds will be invested and expended as set forth in such Certificate as to Arbitrage and such Use of Proceeds Certificate and that the County shall comply with the other covenants and representations contained therein and (ii) the County shall' comply with the provisions of the Code so that interest on the Bonds and on the VPSA Bonds will remain excludable from gross income for Federal income tax purposes. 11. State Non-Arbitra~ Program: Proceeds _Agreement. The Board hereby determines that it is in the best interests of the County to authorize and direct the County [Treasurer/Director of Finance] to participate in the State Non-Arbitrage Program in connection with the Bonds. The Chairman of the Board, the County [Administrator/Manager] and such officer or officers of the County as either may designate are hereby authorized and directed to execute and deliver a Proceeds Agreement with F:\SHARED\DEBT~VPSA\ISSUE\94B\APNXI~4B.sub B-4 September 14, 1994 respect to the deposit and investment of proceeds of the Bonds by and among the County, the other participants in the sale of the VPSA Bonds, the VPSA, the investment manager and the depository, substantially in the form submitted to the Board at this meeting, which form is hereby approved. 12. Filing of Resolution. The appropriate officers or agents of the County are hereby authorized and directed to cause a certified copy of this Resolution to be filed with the Circuit Court of the County. 13. Further Actions. The members of the Board and all officers, employees and agents of the County are hereby authorized to take such action as they or any one of them may consider necessary or desirable in connection 'with the issuance and sale of the Bonds and any such action previously taken is hereby ratified and confirmed. 14. Effective Date. This Resolution shall take effect immediately. The undersigned Clerk of the Board of Supervisors of the County of , Virginia, hereby certifies that the foregoing constitutes a true and correct extract from the minutes of a meeting of the Board of Supervisors held on , 1994, and of the whole thereof so far as applicable to the matters referred to in such extract. I hereby further certdy that such meeting was a regularly scheduled meeting and that, during the consideration of the foregoing resolution, a quorum was present. F:\SHARED\DEBT~VPSA\ISSUE\94B\APNXB94B.sub B-5 September 14, 1~94 WITNESS MY HAND and the seal of the Board of Supervisors of the County of , Virginia, this day of ,1994. Clerk, Board of Supervisors of the County of , Virginia [SEAL] F:\SHARED\DEI~VPSA\ISSUI~94B\APNXl~4Baub B-6 :S~ptember 14, 1994 EXHIBIT A (FORM OF TEMPORARY BOND) NO. TR-1 UNITED STATES OF AMERICA COMMONWEALTH OF VIRGINIA COUNTY OF General Obligation School Bond Series 1994 [ "] The COUNTY OF , VIRGINIA (the "County"), for value received, hereby acknowledges itself indebted and promises to pay to the VIRGINIA PUBLIC SCHOOL AUTHORITY the principal amount of DOLLARS ($ ), in annual installments in the amoums set forth on Schedule I attached hereto payable on July 15, 1995 and annually on July 15 thereafter to and including July 15, 2014 (each a "Principal Payment Date"), together with interest from the date of this Bond on the unpaid installments, payable semi-annually on January 15 and July 15 of each year, commencing on July 15, 1995 (each an "Interest Payment Date"; together with any Principal Payment Date, a "Paymem Date"), at the rates per annum set forth on Schedule I attached hereto, subject to prepayment or redemption as hereinafter provided. Both principal of and interest on this Bond are payable in lawful money of the United States of America. Letter designation. r:\s~,~gei~\vr.~r~vP~\~ssu~94s\~a~4n_~o A-1 Septcm~:r 14, 1994 For as long as the Virginia Public School Authority is the registered owner of this Bond, , as bond registrar (the "Bond Registrar"), shall make all payments of principal, premium, if any, and interest on this Bond, without the presentation or surrender hereof, to the Virginia Public School Authority, in immediately available funds at or before 11:00 a.m. on the applicable Payment Date or date fixed for prepayment or redemption. If a Payment Date or date fixed for prepayment or redemption is not a business day for banks in the Commonwealth of Virginia or for the Commonwealth of Virginia, then the payment of principal, premium, if any, or interest on this Bond shall be made in immediately available funds at or before 11:00 a.m. on the business day next preceding the scheduled Payment Date or date fixed for prepayment or redemption. Upon receipt by the registered owner of this Bond of said payments of principal, premium, if any, and interest, written acknowledgment of the receipt thereof shall be given promptly to the Bond Registrar, and the County shall be fully discharged of its obligation on this Bond to the extent of the payment so made. Upon final payment, this Bond shall be surrendered to the Bond Registrar for cancellation. The full faith and credit of the County are irrevocably pledged for the payment of the principal of and the premium, if any, and interest on this Bond. The resolution adopted by the Board of Supervisors authorizing the issuance of the Bonds provides, and Section 15.1-227.25 of the Code of Virginia 1950, as amended, requires, that there shall be levied and collected an annual tax upon all taxable property in the County subject to local taxation sufficient to provide for the payment of the principal, premium, if any, and interest on this Bond as the same shall become due which tax shall be without limitation as to rate or F:\SHARED\DEHI~VPSA\ISSUE\94B~NXB94B.sub A-2 S~tember 14, 1994 amount and shall be in addition to all other taxes authorized to be levied in the County to the extent other funds of the County are not lawfully available and appropriated for such purpose. This Bond is duly authorized and issued in compliance with and pursuant to the Constitution and laws of the Commonwealth of Virginia, including the Public Finance Act of 1991, Chapter 5.1, Title 15.1, Code of Virginia 1950, as amended, and resolutions duly adopted by the Board of County Supervisors of the County and the School Board of the County to provide funds for capital projects for school purposes. This Bond may be exchanged without cost at the office of the Bond Registrar for an equal aggregate 'principal amount of bonds in definitive form having maturities and bearing interest at rates corresponding to the maturities of and the interest rates on the installments of principal of this Bond then unpaid, issuable in fully registered form in denominations of $5,000 and whole multiples thereof. On twenty (20) days written notice from the Virginia Public School Authority, the County shall deliver, at its expense, this Bond in marketable form, in exchange for the temporary typewritten Bond. This Bond is registered in the name of the Virginia Public School Authority on the books of the County kept by the Bond Registrar, and the transfer of this Bond may be effected by the registered owner of this Bond only upon due execution of an assignment by such registered owner. Upon receipt of such assignment and the surrender of this Bond, the Bond Registrar shall exchange this Bond for definitive Bonds as hereinabove provided, such definitive Bonds to be registered on such registration books in the name of the assignee or assignees named in such assignment. F:\SHARED\DEBT~VPSA\ISSUE\94B\APNXB94B.sub A-3 September 14, 1994 The principal installments of this Bond are not subject to redemption or prepayment. All acts, conditions and things required by the Constitution and laws of the Commonwealth of Virginia to happen, exist or be performed precedent to and in the issuance of this Bond have happened, exist and have been performed in due time, form and manner as so required, and this Bond, together with all other indebtedness of the County, is within every debt and other limit prescribed by the Constitution and laws of the Commonwealth of Virginia. IN WITNESS WHEREOF, the Board of Supervisors of the County of has caused this Bond to be issued in the name of the County of , Virginia~ to be signed by its Chairman or Vice-Chairman, its seal to be affixed hereto and attested by the signature of its Clerk or any of its Deputy Clerks, and this Bond to be dated ,1994. COUNTY OF VIRGINIA (SEAL) ATFEST: Clerk, Board of Supervisors of the County of , virginia Chairman, Board of Supervisors of the County of , Virginia F:\SHARED\DEBT~VPSA\ISSUE~94B\APNXB94B.sub A-4 September 14, 1994 ASSIGNMENT FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto (PLEASE PRINT OR TYPEWRITE NAME AND ADDRESS, INCLUDING ZIP CODE, OF ASSIGNEE) PLEASE INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER OF ASSIGNEE: the within Bond and irrevocably constitutes and appoints attorney to exchange said Bond for definitive bonds in lieu of which this Bond is issued and to register the transfer of such definitive bonds on the books kept for registration thereof, with full power of substitution in the premises. Date: Signature Guaranteed: (NOTICE: Signature(s) must be guaranteed by a member firm of the New York Stock Exchange or a commercial bank or trust company.) Registered Owner (NOTICE: The signature above must correspond with the name of the Registered Owner as it appears on the front of this Bond in every particular, without alteration or change.) F:\SHARED\DEB~\I~UE\~B\~B.sub A-5 September 14, 1994 [Appropriate Changes Will Need to be Made for Cities and Towns] APPENDIX B to the Bond Sale Agreement Resolution No. RESOLUTION AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $ GENERAL OBLIGATION SCHOOL BONDS OF THE COUNTY OF ., VIRGINIA, SERIES 1994 , TO BE SOLD TO THE VIRGINIA PUBLIC SCHOOL AUTHORITY AND PROVIDING FOR THE FORM AND DETAILS THEREOF. WHEREAS, the Board of Supervisors (the "Board") of the County of , Virginia (the "County"), has determined that it is necessary and expedient to borrow not to exceed $ and to issue its general obligation school bonds for the purpose of financing certain capital projects for school purposes; and WHEREAS, the County [held/will hold] a public heating, duly noticed, on ,1994, on the issuance of the Bonds (as defined below) in accordance with the requirements of Section 15.1-227.8.A, Code of Virginia 1950, as amended (the "Virginia Code"); and~ WHEREAS, the School Board of the County has, by resolution, requested the Board to authorize the issuance of the Bonds (as hereinafter defined) and, consented to the issuance of the Bonds; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE COUNTY OF , VIRGINIA: 1. A#thorization of Bonds and Use of Proceeds. The Board hereby determines that it is advisable to contract a debt and issue and sell its general obligation school bonds in an aggregate principal amount not to exceed $ (the "Bonds") for the purpose of financing certain capital projects for school purposes. The Board hereby authorizes the ~ Omit and substitUte appropriate recitative paragraph if bonds are approved at referendum. F:\SHARED\DEffI~VPSA\ISSUE~94B\APNXB94B.BSA B-1 Septeml~r 15, 1994 issuance and sale of the Bonds in the form and upon the terms established pursuant to this Resolution. 2. Sale of the' Bonds. It is determined to be in the best interest of the County to accept the offer of the Virginia Public School Authority (the "VPSA") to purchase from the County, and to sell to the VPSA, the Bonds at par upon the terms established pursuant to this Resolution. The Chairman of the Board, the County [Administrator/Manager], and such officer or officers of the County as either may designate are hereby authorized and directed to enter into a Bond Sale Agreement dated as of October 18, 1994, with the VPSA providing for the sale of the Bonds to the VPSA in substantially the form submitted to the Board at this meeting, which form is hereby approved (the "Bond Sale Agreement"). 3. Details of the Bond,. The Bonds shall be issuable in fully registered form in denominations of $5,000 and whole multiples thereof; shall be dated the date of issuance and delivery of the Bonds; shall be designated "General Obligation School Bonds, Series 1994 "; shall bear interest from the date of delivery thereof payable semi-annually on each January 15 and July 15 beginning July 15, 1995 (eac.h an "Interest Payment Date"), at the rates established in accordance with Section 4 of this Resolution; and shall mature on July 15 in the years (each a "Principal Payment Date") and in the amounts set forth on Schedule I attached hereto (the "Principal Installments"), subject to the provisions of Section 4 of this Resolution. 4. Interest Rates and Princinal Installments. The County [Administrator/Manager] is hereby authorized and directed to accept the interest rates on the Bonds established by the VPSA, provided that each interest rate shall be ten one-hundredths of one percent (0.10%) over the interest rate to be paid by the VPSA for the corresponding principal payment date of the bonds to be issued by the VPSA (the "VPSA Bonds"), a portion of the proceeds of which will be used to purchase the Bonds, and provided further, that the true interest cost of the Bonds does not exceed eight percent (8%) per annum. The Interest Payment Dates and the Principal Installments are subject to change at the request of the VPSA. The County [Administrator/Manager] is hereby authorized and directed to accept changes in the Interest Payment Dates and the Principal Installments at the request of the VPSA, provided that the aggregate principal amount of the Bonds shall not exceed the amount authorized by this Resolution. The execution and delivery of the Bonds as described in Section 8 hereof shall conclusively evidence such interest rates established by the VPSA and Interest Payment Dates and the Principal Installments requested by the VPSA as having been so accepted as authorized by this Resolution. 5. Form 0f the Bond,. For as long as the VPSA is the registered owner of the Bonds, the Bonds shall be in the form of a single, temporary typewritten bond substantially in the form attached hereto as Exhibit A. On twenty (20) days written notice from the VPSA, the County shall deliver, at its expense, the Bonds in marketable form in denominations of $5,000 and whole multiples thereof, as requested by the VPSA, in exchange for the temporary typewritten Bond. F:\SHARED(DEBT~VPSA\ISSUE\94B\APNXB94B.BSA B-2 September 15, 1994 6. Pa_!anent: Pa_ring Agent and Bond Re~strar. The following provisions shall apply to the Bonds: (a) For as long as the VI'SA is the registered owner of the Bonds, all payments of principal, premium, if any, and interest on the Bonds shall be made in immediately available funds to the VPSA at, or before 11:00 a.m. on the applicable Interest Payment Date, Principal Payment Date or date fixed for prepayment or redemption, or if such date is not a business day for Virginia banks or for the Commonwealth of Virginia, then at or before 11:00 a.m. on the business day next preceding such Interest Payment Date, Principal Payment Date or date fixed for prepayment or redemption. (b) All overdue payments of principal and, to the extent permitted by law, interest shall bear interest at the applicable interest rate or rates on the Bonds. (c) , Paying Agent for the Bonds. , Virginia, is designated as Bond Registrar and 7. Prepayment or Redemntion. The Principal Installments of the Bonds held by the VPSA coming due 'on or before July 15, 2005, and the definitive Bonds for which the Bonds held by the VPSA may be exchanged that mature on or before July 15, 2005, are not subject to prepayment or redemption prior to their stated maturities. The Principal Installments of the Bonds held by the VPSA coming due after July 15, 2005, and the definitive bonds for which the Bonds held by the VI>SA may be exchanged that mature after July 15, 2005, are subject to prepayment or redemption at the option of the County prior to their stated maturities in whole or in part, on any date on or after July 15, 2005, upon payment of the prepayment or redemption prices (expressed as percentages of Principal Installments to be prepaid or the principal amount of the Bonds to be redeemed) set forth below plus accrued interest to the date set for prepayment or redemption: Dates Prices July 15, 2005 to July 14, 2006, inclusive ............................... 103% July 15, 2006 to July 14, 2007, inclusive ............................... 102 July 15, 2007 to July 14, 2008, inclusive ............................... 101 July 15, 2008 and thereafter ................................................... 100 Provided. however, that the Bonds shall not be subject to prepayment or redemption prior to their stated maturities as described above without first obtaining the written consent of the registered owner of the Bonds. Notice of any such prepayment or redemption shall be given by the Bond Registrar to the registered owner by registered mail not more than ninety (90) and not less than sixty (60) days before the date fixed for prepayment or redemption. F:\SHARED\DF_,B~VPSA\ISSUE~94B\APNXB94B.BSA B-3 September ~, 1994 8. Execution of the Bonds. The Chairman or Vice Chairman and the Clerk or any Deputy Clerk of the Board are authorized and directed to execute and deliver the Bonds and to affix the seal of the County thereto. 9. Pledge of Full Faith and Credit. For the prompt payment of the principal of and premium, if any, and the interest on the Bonds as the same shall become due, the full faith and credit of the County are hereby irrevocably pledged, and in each year while any of the Bonds shall be outstanding there shall be levied and collected in accordance with law an annual ad valorem tax upon all taxable property in the County subject to local taxation sufficient in amount to provide for the payment of the principal of and premium, if any, and the interest on the Bonds as such principal, premium, if any, and interest shall become due, which tax shall be without limitation as to rate or amount and in addition to all other taxes authorized to be levied in the County to the extent other funds of the County are not lawfully available and appropriated for such purpose. 10. Use of Pro~d$ Ccrtificat~ and Certificate as to Arbitrage. The Chairman of the Board, the County [Administrator/Manager] and such officer or officers of the County as either may designate are hereby authorized and direct6d to execute a Certificate as to Arbitrage and a Use of Proceeds Certificate each setting forth the expected use and investment of the proceeds of the Bonds and containing such covenants as may be necessary in order to show compliance with the provisions of the Internal Revenue Code of 1986, as amended (the "Code"), and applicable regulations relating to the exclusion from gross income of interest on the Bonds and on the VPSA Bonds. The Board covenants on behalf of the County that (i) the proceeds from the issuance and sale of the Bonds will be invested and expended as set forth in such Certificate as to Arbitrage and such Use of Proceeds Certificate and that the County shall comply with the other covenants and representations contained therein and (ii) the County shall comply with the provisions of the Code so that interest on the Bonds and on the VPSA Bonds will remain excludable from gross income for Federal income tax purposes. 11. State Non-Arbitrage Pro_re'am; Proceeds _Agreement. The Board hereby determines that it is in the best interests of the County to authorize and direct the County [Treasurer/Director of Finance] to participate in the State Non-Arbitrage Program in connection with the Bonds. The Chairman of the Board, the County [Administrator/Manager] and such officer or officers of the County as either may designate are hereby authorized and directed to execute and deliver a Proceeds Agreement with respect to the deposit and investment of proceeds of the Bonds by and among the County, the other participants in the sale of the VPSA Bonds, the VPSA, the investment manager and the depository, substantially in the form submitted to the Board at this meeting, which form is hereby approved. 12. Filing of Resolution. The appropriate officers or agents of the County are hereby authorized and directed to cause a certified copy of this Resolution to be filed with the Circuit Court of the County. F:\SHA~D\D~~\I~UE\~B\~B.~ B-4 .%ptcmber 15, 1994 13. Further Actions. The members of the Board and all officers, employees and agents of the County are hereby authorized to take such action as they or any one of them may consider necessary or desirable in connection with the issuance and sale of the Bonds and any such action previously taken is hereby ratified and confirmed. 14. ~. This Resolution shall take effect immediately. Ig 81 Ill The undersigned Clerk of the Board of Supervisors of the County of , Virginia, hereby certifies that the foregoing constitutes a true and correct extract from th~ minutes of a meeting of the Board of Supervisors held on , 1994, and of the whole thereof so far as applicable to the matters referred to in such extract. I hereby further certify that such meeting was a regularly scheduled meeting and that, during the consideration of the foregoing resolution, a quorum was present. WITNESS MY HAND and the seal of the Board of Supervisors of the County of , Virginia, this day of ,1994. Clerk, Board of Supervisors of the County of , Virginia [SEAL] F:\SHARED\DEB, rkVPSA\iSSUE~94B\APNXB94B.BSA B-5 September 15, 199~ EXHIBIT A (FORM OF TEMPORARY BOND) NO. TR-1 UNITED STATES OF AMERICA COMMONWEALTH OF VIRGINIA COUNTY OF General Obligation School Bond Series 1994 [ "] The COUNTY OF , VIRGINIA (the "County"), for value received, hereby acknowledges itself indebted and promises to pay to the VIRGINIA PUBLIC SCHOOL AUTHORITY the principal amount of DOLLARS ($ ), in annual installments in the amounts set forth on Schedule I attached hereto payable on July 15, 1995 and annually on July 15 thereafter to and including July 15, 2014 (each a "Principal Payment Date"), together with interest from the date of this Bond on the unpaid installments, payable semi-annually on January 15 and July 15 of each year, commencing on July 15, 1995 (each an "Interest Payment Date"; together with any Principal Payment Date, a "Payment Date"), at the rates per annum set forth on Schedule I attached hereto, subject to prepayment or redemption as hereinafter provided. Both principal of and interest on this Bond are payable in lawful money of the United States of America. Letter designation. F:\SHARED\ DEBT~VPSA\ISSUE\94B\APNXB94B.BSA A- 1 September For as long as the Virginia Public School Authority is the registered owner of this Bond, , as bond registrar (the "Bond Registrar"), shall make all payments of principal, premium, if any, and interest on this Bond, without the presentation or surrender hereof, to the Vir~nia Public School Authority, in immediately available funds at or before 11:00 a.m. on the applicable Payment Date or date fixed for prepayment or redemption. If a Payment Date or date fixed for prepayment or redemption is not a business day for banks in the Commonwealth of Virginia or for the Commonwealth of Virginia, then the payment of principal, premium, if any, or interest on this Bond shall be made in immediately available funds at or before 11:00 a.m. on the business day next preceding the scheduled Payment Date or date fixed for prepayment or redemption. Upon receipt by the registered owner of this Bond of said payments of principal, premium~ if any, and interest, written acknowledgment of the receipt thereof shall be given promptly to the Bond Registrar, and the County shall be fully discharged of its obligation on this Bond to the extent of the payment so made. Upon final payment, this Bond shall be surrendered to the Bond Registrar for cancellation. The full faith and credit of the County are irrevocably pledged for the payment of the principal of and the premium, if any, and interest on this Bond. The resolution adopted by the Board of Supervisors authorizing the issuance of the Bonds provides, and Section 15.1-227.25 of the Code of Virginia 1950, as amended, requires, that there shall be levied and collected an annual tax upon all taxable property in the County subject to local taxation sufficient to provide for the payment of the principal, premium, if any, and interest on this Bond as the same shall become due which tax shall be without limitation as to rate or F:\SHAR. ED\DEi~Vi~aA\iSSUE\~4B\APNXB94B.BSA A~-2 September amount and shall be in addition to all other taxes authorized to be levied in the County to the extent other funds of the County are not lawfully available and appropriated for such purpose. This Bond is duly authorized and issued in compliance with and pursuant to the Constitution and laws of the Commonwealth of Virginia, including the Public Finance Act of 1991, Chapter 5.1, Title 15.1, Code of Virginia 1950, as amended, and resolutions duly adopted by the Board of County Supervisors of the County and the School Board of the County to provide funds for capital projects for school purposes. This Bond may be exchanged without cost at the office of the Bond Registrar for an equal aggregate principal amount of bonds in definitive form having maturities and bearing interest at rates corresponding to the maturities of and the interest rates on the installments of principal of this Bond then unpaid, issuable in fully registered form in denominations of $5,000 and whole multiples thereof. On twenty (20) days written notice from the Virginia Public School Authority, the County shall deliver, at its expense, this Bond in marketable form, in exchange for the temporary typewritten Bond. This Bond is registered in the name of the Virginia Public School Authority on the books of the County kept by the Bond Registrar, and the transfer of this Bond may be effected by the registered owner of this Bond only upon due execution of an assignment by such registered owner. Upon receipt of such assignment and the surrender of this Bond, the Bond Registrar shall exchange this Bond for definitive Bonds as hereinabove provided, such definitive Bonds to be registered on such registration books in the name of the assignee or assignees named in such assignment. F:\SHARED\DEBT~VPSA\ISSUE\94B\APNXB94B.BSA A°3 September 15, 1994 The principal installments of this Bond coming due on or before July 15, 2005 and the definitive Bonds for which this Bond may be exchanged that mature on or before July 15, 2005, axe not subject to prepayment or redemption prior to their stated maturities. The principal installments of this Bond coming due after July 15, 2005, and the definitive Bonds for which this Bond may be exchanged that mature after July 15, 2005, are subject to prepayment or redemption at the option of the County prior to their stated maturities in whole or in part, on any date on or after July 15, 2005, upon payment of the prepayment or redemption prices (expressed as percentages of principal installments to be prepaid or the principal amount of the Bonds to be redeemed) set forth below plus accrued interest to the date set for prepayment or redemption: Dates Prices July 15, 2005 to July 14, 2006, inclusive .............................. 103% July 15, 2006 to July 14, 2007, inclusive .............................. 102 July 15, 200'/to July 14, 2008, inclusive .............................. 101 July 15, 2008 and thereafter .................................................. 100; Provided, however, that the Bonds shall not be subject to prepayment or redemption prior to their stated maturities as described above without the prior written consent of the registered owner of the Bonds. Notice of any such prepayment or redemption shall be given by the Bond Registrar to the registered owner by registered mail not more than ninety (90) and not less than sixty (60) days before the date fixed for prepayment or redemption. All acts, conditions and things required by the Constitution and laws of the Commonwealth of Virginia to happen, exist or be performed precedent to and in the issuance of this Bond have happened, exist and have been performed in due time, form and manner as so required, and this Bond, together with all other indebtedness of the County, F:\SHARED\DEB~VPSA\IS~Ul~94B\APNXB94B.BSA A4 September 15, 1994 is within every debt and other limit prescribed by the Constitution and laws of the Commonwealth of Virginia. IN WITNESS WHEREOF, the Board of Supervisors of the County of' has caused this Bond to be issued in the name of the County of , Virginia, to be signed by its Chairman or Vice-Chairman, its seal to be affixed hereto and attested by the signature of its Clerk or any of its Deputy Clerks, and this Bond to be dated ; 1994. COUNTY OF VIRGINIA (SEAL) ATFEST: Clerk, Board of Supervisors of the County of , Virginia Chairman, Board of Supervisors of the County of , Virginia F:\SHARED\DEB'r~VPSA\ISSUL~94B\APNXB94B.BSA A-5 September 15, 1994 ASSIGNMENT FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto (PI .EASE PRINT OR TYPEWRITE NAME AND ADDRESS, INCLUDING ZIP CODE, OF ASSIGNEE) PI .EASE INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER OF ASSIGNEE: the within Bond and irrevocably constitutes and appoints attorney to exchange said Bond for definitive bonds in lieu of which this Bond is issued and to register the transfer of such definitive bonds on the books kept for registration thereof, with full power of substitution in the premises. Date: Signature Guaranteed: (NOTICE: Signature(s) must be guaranteed by a member firm of the New York Stock Exchange or a commercial bank or trust company.) Registered Owner (NOTICE: The signature above must correspond with the name of the Registered Owner as it appears on the front of this Bond in every particular, without alteration or change.) F:\SHARED\DEBT~VPSA\ISSUE~4B\APNXB94B.BSA A-6 September L~, 1994 APPENDIX C to the Bond Sale Agreement USE OF PROCEEDS CERTIFICATE In connection with the issuance by [Name of Local Unit] (the "Issuer") of its $ General Obligation School Bonds, Series 1994__ (the "Bonds"), which will be purchased by the Virginia Public School Authority CVPSA") from the proceeds of the VPSA's $ School Financing Bonds (1991 Resolution), Series 1994 B (the "VPSA's Bonds"), pursuant to a Bond Sale Agreement dated as of October 18, 1994, the Issuer recognizes that certain facts, estimates and representations set forth in the Certificate as to Arbitrage executed by VPSA in connection with the issuance of the VPSA's Bonds must be based on the representations and certifications of the Issuer and that the exclusion from gross income for federal income tax purposes of the interest on the VPSA's Bonds depends on the use of proceeds of the VPSA's and the Issuer's Bonds. Accordingly, the Issuer hereby covenants that: Section 1. Description of Pro_iect. The proceeds of the Bonds, including investment income thereon ("proceeds"), will be used to finance the acquisition, construction, and equipping of public school facilities of the Issuer (the "Project"). Section 2. Governmental Use of Pro~;~¢ds. The Issuer covenants the following with respect to the use of proceeds of the Bonds and the facilities financed therewith: (a) In General. No more than ten percent (10%) of the proceeds of the Bonds or the Project (based on the greatest of: 1) the cost allocated on the basis of space occupied, 2) the fair market value, or 3) the actual cost of construction) has been, or, so long as the Bonds are outstanding, will be, used in the aggregate for any activities that constitute a "Private Use" (as such term is defined below in subsection l(d) of this Section 2). No more than ten percent (10%) of the principal of or interest on the Bonds, under the terms thereof or any underlying arrangement, has been, or, so long as the Bonds are outstanding, will be, (i) secured by (A) any interest in property used or to be used for a Private Use or (B) payments in respect of such property or (ii) derived from payments in respect of property used or to be used for a Private Use, whether or not such property is a part of the Project. (b) No Disproportionate or Unrelated Use. With respect to private business use that is either not related or disproportionate to governmental use financed with proceeds of the Bonds (if any), no more than five percent (5%) of the principal of or interest on the Bonds, under the terms thereof or any underlying arrangement, has been, or, so long as the Bonds are outstanding, will be, (i) secured by (A) any interest in property used or to be used for a Private Use or (B) payments in respect of such property or (ii) derived from payments in respect of property used or to be used for a Private Use. (c) NO Privat~ Loan Fin~tncin~. No proceeds of the Bonds will be used to make or finance loans to any person other than to a state or local governmental unit. (d) Definii[ion of Private Use. For purposes of this Certificate, the term "Private Use" means any activity that constitutes a trade or business that is carried on by persons or entities, other than governmental entities. The leasing of property financed with proceeds of the Bonds or the access of a person or entity other than a governmental unit to property or services on a basis other than as a member of the general public shall constitute a Private Use unless the Issuer obtains an opinion of Bond Counsel to the contrary. (e) Management and Service Contracts. With respect to service or management contracts, the determination of whether a particular use constitutes Private Use under this Certificate shall be determined on the basis of applying Revenue Procedure 93-19, 1993-11 I.R.B. 52 (Feb. 25, 1993), or if applicable, Revenue Procedure 82-14, 1982-1 C.B. 459, as modified by Section 1301(e) of the Tax Reform Act of 1986. As of the date hereof, no portion of the proceeds derived from the sale of the Bonds is being used to finance property subject to contracts or other arrangements with persons or entities engaged in trade or business (other than governmental units) that involve the management of property or the provision of services with respect to property financed with proceeds of the Bonds that do not comply with the standards of Revenue Procedure 93-19. Section 3. Time Test and Due Dilieence Test. The Issuer has incurred or will incur within 6 months of the date hereof substantial binding obligations, which are not subject to contingencies within the control of the Issuer or a related party, to third parties to expend at least 5% of the net sale proceeds of the Bonds on the Project. The Issuer will proceed with due diligence to spend all of the proceeds of the Bonds within three years of the date hereof. Section 4. No Sinkim, or Pledee Funds. The Issuer has not established and will not establish any funds or accounts that are reasonably expected to be used to pay debt service on the Bonds or that are pledged as collateral for the Bonds for which there is a reasonable assurance that amounts on deposit therein will be available to pay debt service on the Bonds ff the Issuer encounters financial difficulty. Section 5. NO Replacement Proceeds. (a) In General. No portion of the proceeds of the Bonds will be used as a substitute for other funds that prior to the Issuer's resolving to proceed with thi~ issuance of the Bonds were used or are to be used to pay any cost of the Project. (b) Safe Harbor. In accordance with Section 1.148-1(c) of the Treasury Regulations regarding the safe harbor against the creation of "replacement proceeds", as of the date hereof, the weighted average maturity of the Bonds does not exceed 120% of the reasonably expected economic life of the Project. F:\SHARED\DEB'I~VPSA\ISSUI~94b\APNXC94b.BSA - September 14, 1994 C-2 Section 6. No Refunding. The proceeds of the Bonds will not be used to provide for the payment of any principal of or interest on any obligations of the Issuer, other than the Bonds, incurred in the exercise of its borrowing power. Section 7. Composite Issue. There are no other obligations of the Issuer that have been, or will be (a) sold within 15 days of the Bonds, (b) sold pursuant to the same plan of financing together with the Bonds, and (c) paid out of substantially the same source of funds as the Bonds. Section 8. No Federal Guarantee. The Issuer shall not take or permit any action that would cause (a) the payment of principal of or interest on the Bonds to be guaranteed, directly or indirectly, in whole or in part by the United States or any agency or instrumentality thereof or (b) 5 percent or more of the proceeds of the Bonds to be (i) used in making loans the payment of principal or interest on which are guaranteed in whole or in part by the United States or any agency or instrumentality thereof or (ii) invested directly or indirectly in federally insured deposits or accounts (except as permitted under Section 149(b) of the Internal Revenue Code of 1986, as amended (the "Code"), or the regulations promulgated thereunder). The Issuer has not, and will 'not enter into, any (i) long-term service contract with any federal governmental agency, (ii) service contract with any federal governmental agency under terms that are materially different from the terms of any contracts with any persons other than federal government agencies, and (iii) lease of property to any federal government agency, that would cause the Bonds to be considered "federally guaranteed" within the meaning of Section 149(b) of the Code. Section 9. No Hedge Bonds. The Issuer reasonably expects that all of the net sale proceeds of the Bonds will be used to pay the cost of the Project within three years of the date hereof. Furthermore, not more than 50 percent of the proceeds of the Bonds will be invested in Non-purpose Investments (as such term is defined in Section 148(f)(6)(A) of the Code) having a substantially guaranteed yield for four years or more. Section 10. No Overissuance. The total proceeds derived by the Issuer fi.om the sale of the Bonds and anticipated investment earnings thereon do not exceed the total of the amounts necessary for the Project. Section 11. Reimbursable Expcn~e~. A portion of the proceeds of the Bonds to be applied to the cost of the Project will be used to reimburse the Issuer for expenditures incurred thereby with respect to the Project in anticipation of the issuance of the Bonds. The Issuer represents the following with respect to the costs of the Project to be reimbursed from the proceeds of the Bonds. (a) Official Intent. The total amount of reimbursed costs incurred by the Issuer with respect to the Project is not expected to exceed Such expenditures were paid prior to the date hereof but no earlier than sixty (60) days F:\SHARED\DEBT~VPSA\ISSUE\94b\APNXC94b. BSA -September 14, 1994 C-3 prior to __, 199_, which is the date the Issuer adopted its "official iment" declaration (the "Official Intent Declaration") in accordance with Section 1.150-2 of the Treasury Regulations. The Official Intent Declaration: (i) was, on the date of its adoption, intended to constitute a written documentation on behalf of the Issuer that states that the Issuer reasonably expected to reimburse itself for such expenditures with the proceeds of a taxable or tax-exempt borrowing, (ii) set forth a general description of the Project, and (iii) stated the maximum principal amount of debt expected to be issued for the Project. The Issuer has taken no action subsequent to the expression of such intent that would comradict or otherwise be inconsistent with such intent. (b) Reasonable Official Intent. As of the date of the Official Intent Declaration, the Issuer reasonably expected to reimburse such expenditures with the proceeds of a borrowing. The Issuer does not have a pattern of failing to reimburse expenditures for which an intention to reimburse such expenditures was declared and which were actually paid by the Issuer other than in circumstances that were unexpected and beyond the control of the Issuer. (c) Reimbursement Period Requirement. The proceeds derived from the sale of the Bonds to be applied to reimburse the above-described expenditures will be so applied no later than the later of the date that is (i) eighteen (18) months after the date on which the expenditure being reimbursed was paid, or (ii) eighteen (18) months after the date on which the portion of the Project to which such expenditure relates was abandoned or placed in service within the meaning of Section 1.103-8 (a) (5) (ii) of the Treasury Regulations. In no event may the allocation of Bond proceeds be applied to reimburse the above-described expenditures later than three (3) years after the date the original expenditure was paid. (d) Reimbursable Expenditures. The expenditures to be-reimbursed are either (i) capital expenditures (within the meaning of Section 1.150-1 (b) of the Treasury Regulations), (ii) costs of issuance, (iii) certain working capital expenditures for extraordinary, nom'ecurring items that are not customarily payable from current revenues (within the meaning of Section 1.148-6 (d) (3) (ii) (B) of the Treasury Regulations), (iv) grants (within the meaning of Section 1.148-6 (d) (4) of the Treasury Regulations), or (v) qualified student loans, qualified mortgage loans or qualified veterans' mortgage loans (within the meaning of Section 1.150-1(b) of the - S~ptcmber 14, 1994 F:\SHARED\D El~VPSA\ISSUE~94b\APNXC94b. BSA C-4 Treasury Regulations). None of the expenditures to be reimbursed were incurred for day-to-day operating costs or similar working capital items. None of the proceeds of the Bonds being used to reimburse the Issuer for prior expenditures will be used, directly or indirectly, within one year of the date of a reimbursement allocation, in a manner that results in the creation of replacement proceeds (within the meaning of Section 1.148-1 of the Treasury Regulations), other than mounts deposited in a bona fide debt service fund. (e) Anti-Abuse Rules. None of the proceeds of the Bonds are being used in a manner that employs an abusive arbitrage device under Section 1.148-10 of the Treasury Regulations to avoid the arbitrage restrictions or to avoid the restrictions under Sections 142 through 147 of the Code. Date: ,1994 [Name of Local Issuer] By: Name: Title: F:\SHARED\DEBT~V'PSA\ISSUE\94b\APNXC94b.BSA September 14, 1994 C-5 APPENDIX D to the Bond Sale Agreement CONSTRUCTION EXCEPTION AND EIGHTEEN MONTH EXCEPTION TO THE REBATE REQUIREMENT QUESTIONNAIRE The purpose of this questionnaire is to elicit facts concerning the expenditure of the proceeds of the OF/County of (the "Issuer") general obligation school bonds (the "Bonds") in order to make an initial determination that the construction exception from the rebate requirement provided by Section 148(0(4)(C) of the Internal Revenue Code of 1986, as amended, or the eighteen month exception from the rebate requirement provided by Section 1.148-7(d) of the Treasury Regulations is available. Please supply the information requested below and send this questionnaire to Gary Ometer, Debt Manager, Virginia Public School Authority, P. O. Box 1879, Richmond, Virginia 23215-1879, for receipt no later than October 18, 1994, with a copy to your bond counsel. Briefly describe the project (the "Project") to be financed with the proceeds of the Bonds. 2. (a) Indicate the total amount of proceeds to be derived from the sale of the Bonds. (b) Indicate the amount that you reasonably expect to receive from the investment of the Bond proceeds prior to spending all of the Bond proceeds set forth above in Question 2 (a). (c) Indicate the amount of proceeds derived from the sale of the Bonds that you expect to use to finance the issuance costs of the Bonds. (e.g. your legal fees) (d) The amount set forth in Questions 2(a) plus the amount set forth in Question 2(b) reduced by the amount set forth in Question 2(c) equals $ This amount is hereinafter referred to as "Available Construction Proceeds". Indicate the amount of money, other than the Available Construction Proceeds of the Bonds, that will be applied toward the cost of the Project and the expected source of such money. o Indicate, by principal components, your current estimates of the cost for the acquisition and construction of the Project that will be financed with the Available Construction Proceeds of the Bonds, including: (a) Acquisition of Interest in Land (b) Acquisition of Interest in Real Property~ (c) Acquisition and/or Installation of Tangible Personal Property2 (d) Site Preparation (e) ConstructiOn of Real Propert~ (f) Reconstruction of Real Property4 (g) Rehabilitation of Real Property~ (h) Construction of Tangible Personal Propert~ (i) Specially developed computer software7 (j) Interest on the Bonds during Construction (k) Other (please specify). (1) Total $ (Note: The sum of the amounts described in (a) through (k) must equal the amount of Available Construction Proceeds of the Bonds set forth in Question 2(d).) 1-7 Sec the Endnotes on pages D-7 and D-8. F: \SHARED \DEBT \VPSA\ I SSUE\94B\APNXD96B. BSA Septeat~r 14, 1996 D-2 (a) (b) (c) (d) Have you borrowed, directly or indirectly, (such as through an industrial development authority) any money, either through a tax-exempt bank loan, a bond ao. ticipation note, any tax-exempt or taxable obligation or otherwise (a "loan"), to pay for the Project costs? Yes No Do you intend to use the proceeds of the Bonds to refinance or repay any loan used to finance the Project costs? Yes No If the answer to Question 5(b) is "Yes", please indicate the following: (i) (ii) (iii) (iv) (v) Amount of loan: Date of loam Maturity date of loan: Interest rate of loan:. Name of lender: ff the answer to question 5(a) or (b) is "Yes", did you use the proceeds of the loan to reimburse yourself for expenses paid with respect to the Project before the loan was obtained? Yes No (a) Do you intend to reimburse yourself from the proceeds of the Bonds for Project costs advanced from your General Fund or other available sources? Yes No F: \SHARED\DEBT\VPSA\ I $$UE\9&B\APNXD94B. BSA September ,1/+, 1994 D-3 (b) If the answer to Question 6(a) is "Yes", with respect to all such expenditures, please indicate the amount of such expenditure, when such expenditure was paid and the purpose of the expenditure (i.e., architectural fees, engineering fees, other construction costs): (i) Amount expended $ (ii) Date of expenditure: (iii) Purpose of expenditure: (Note: if you intend to reimburse yourself for more than one expenditure, please attach a rider setting forth: (i) amount expended, (ii) date of expenditure, and (iii) purpose of expenditure) Indicate whether the total of the amounts shown in 4(d) through (i) on page D-2 is at least 75% of the amount of Available Construction Proceeds (i.e., 75% of the amount in 4(1). Yes No If the answer to Question 7 is "Yes", answer Question 8 and skip Question 9. If the answer to Question 7 is "No", skip Question 8 and answer Question 9. (a) Assuming the Bonds are delivered on November 22, 1994 and funds are made available to you on that date, please complete the following schedule indicating the amount of Available Construction Proceeds that the City/County expects to expend and disburse during the following time periods: From November 22, 1994 to May 22, 1995 From May 23, 1995 to November 22, 1995 From November 23, 1995 to May 22, 1996 From May 23, 1996 to November 22, 1996 $ 8 Total9 $ (b) If you expect to be unable to spend 100% of Available Construction Proceeds by November 22, 1996, do you expect to be able to spend 100% of Available Construction Proceeds by November 22, 19977 Yes No 8-9 S¢~ thc Endnotcs on page D-8. F: \SHARED\DEBT\VPSA\ I SSUE\9&B\AP#XD9&B. BSA Septemlaer 16, 1996 D4 e For purposes of this Question 9, assume that the Bonds are delivered on November 22, 1994 and funds are made available to you on that date. (a) Does the City/County expect to expend and disburse the amount shown in Question 4(a) for the acquisition of land by May 22, 19957 Yes No (b) Does the City/County expect to expend and disburse the amount shown in Question 4(b) for the acquisition of interests in real property by May 22, 19957 Yes No (c) Does the City/County expect to expend and disburse the amount shown in Question 4(c) for the acquisition and/or installation of tangible personal Property by May 22, 19957 Yes No (d) (i) Does the City/County expect to expend and disburse the amount shown in question 4(1) by November 22, 19967 Yes No (ii) Assuming that the Bonds are delivered on November 22, 1994, and funds are made available to you on that date, please complete the following schedule indicating the amount of Available Construction Proceeds that the City/County expects to expend and disburse during the following time periods: From November 22, 1994 to May 22, 1995 $ ~0 From May 23, 1995 to November 22, 1995 $ From November 23, 1995 to May 22, 1996 $ From May 23, 1996 to November 22, 1996 $ Total $ 10 Sec thc Endnotcs on page D-8. F: \$ HARED\DEBT\VPSA\ i SSUE\96B\AP#XDg&B · BSA Septemlaer 1~, 1996 D-5 10. The sum of the mounts set forth in Questions 2(a) and 2(b) equals $ (the "gross proceeds"). Assuming that the Bonds are delivered on November 22, 1994 and funds are made available to you on that date, please complete the following schedule indicating the amount of gross proceeds that' the City/County expects to expend and disburse during the following time periods: From November 22, 1994 to May 22, 1995 $ From May 23, 1995 to November 22, 1995 $ From November 23, 1995 to May 22, 1996 $ Total $ I understand that the foregoing information will be relied upon by the Virginia Public School Authority (the "Authority") in determining the applicability of the construction exception -to the Authority's School Financing Bonds (1991 Resolutibn), Series 1994 B. I hereby certify that I am familiar with the Project and am authorized by the City/County to provide the foregoing information with respect to it, which information is. true, correct, and complete, to the best of my knowledge. Name of Person Completing Questionnaire Title Signature Date ~ Include amounts expended prior to November 22, 1994 and approved by your bond counsel for reimbursement from your bond proceeds. This does not include any amount used to refinance or repay any loan. P: \SHARED .~DEBT\VPSA\! SSUE\9/,B\APNXD9&B.BSA September V,, 199& D-6 ENDNOTES For purposes of this questionnaire, "real property" means improvements to land, such as buildings or other inherently permanent structures, including items that are structural components of such buildings or structures. For example, real property includes wiring in a building, plumbing systems, central heating or central air conditioning systems, pipes or ducts, elevators or escalators installed in a building, paved parking areas, road, wharves and docks, bridges and sewage lines. For purposes of this questionnaire, tangible personal property means any tangible property except real property. For example, tangible personal property includes machinery that is not a structural component of a building, fire trucks, automobiles, office equipment, testing equipment and furnishings. See description of real property in endnote 1. This includes all capital expenditures that are properly chargeable to or may be capitalized as part of the basis of the real property prior to the date the property is placed in service. For purposes of this questionnaire, expenditures are considered paid in connection with the construction, reconstruction or rehabilitation of real property ff the contract between the Issuer and the seller requires the seller to build or install the property (such as under a "turnkey contract") but only to the extent the property has not been built or installed at the time the parties enter into the contract. If the property has been partially built or installed at the time the parties enter into the contract, the expenditures that are allocable to the portion of the property built or installed before that time are expenditures for the acquisition of real property. See endnote 3. See endnote 3. For purposes of this questionnaire, expenditures are in connection with the construction of tangible personal property, as defined in endnote 2, if: (a) A substantial portion of the property or properties is completed more than 6 months after the earlier of the date construction or rehabilitation commenced and the date the Issuer entered into an acquisition contract; (b) Based on the reasonable expectations of the Issuer, if any, or representations of the person constructing the property, with the exercise of due diligence, completion of construction or rehabilitation (and delivery to the Issuer) could not have occurred within that 6-month period; and (c) If the Issuer itself builds or rehabilitates the property, not more than 75% F: \SHARED\DEBT\VPSA\ ! SSUE\9&B~AP#XD9&B. BSA September 1~, 199& D-7 e of the capitalizable cost is attributable to property acquired by the Issuer (e.g., components, raw materials and other supplies). Specially developed computer software means any programs or routines used to cause a computer to perform a desired task or set of tasks, and the documentation required to describe and maintain those programs, provided that the software is specially developed and is functionally related and subordinate to real property or other constructed personal property. Include amounts expended prior to November 22, 1994 and approved by your bond counsel for reimbursement from your bond proceeds. This does not include any amount used to refinance or repay any loan. Total should equal the amount in 4(1). Include amounts expended prior to November 22, 1994 and approved by your bond counsel for reimbursement from your bond proceeds. This does not include any amount used to refinance or repay any loan. F: \SHARED\DEBT\VPSA\ [ SSUE\94B~AP#XDg~B. EISA September l&, 199/~ D-8 APPENDIX E to the Bond Sale Agreement RESOLUTION REQUESTING THE BOARD OF SUPERVISORS TO ISSUE GENERAL OBLIGATION SCHOOL BONDS FOR SCHOOL PURPOSES AND CONSENTING TO THE ISSUANCE THEREOF BE IT RESOLVED: 1. The School Board of the County of hereby (i) requests, pursuant to Section 15.1-227.41 of the Code of Virginia, 1950, as amended (the "Code"), that the Board of Supervisors of the County of 'issue its general obligation school bonds in an aggregate principal amount not to exceed $ (the "Bonds") for the purpose of financing certain capital projects for school purposes and (ii) consents, pursuant to Section 15.1-227.39.B of the Code and Article VII, Section 10(b) of the Constitution of Virginia, to the issuance of the Bonds. 2. This resolution shall take effect immediately. F:\SHARED\DEBT~VPSA\ISSUE\9&B~AP#XE9&B.BSA September 14, 199~ PROCEEDS AGREEMENT Respecting the Custody, Investment, and Disbursement of Proceeds of Local School Bonds Purchased by the Virginia Public School Authority with the Proceeds of Its $ School Financing Bonds (1991 Resolution) Series 1994 B Dated November 22, 1994 Among Virginia Public School Authority Central Fidelity National Bank (as Depository of the State Non-Arbitrage Program) Commonwealth Investment Counsel, Inc. (as Investment Manager to the State Non-Arbitrage Program) and Albemarle County Bedford County Brumwick County Caroline County Charlotte County Chesapeake, City of Halifax County Hanover County Highland County King & Queen County Lynchburg, City of Mathews County New Kent County Patrick County Powhatan County Roanoke, City of Roanoke County Southampton County Spotsylvania County Stafford County Washington County BWNY/100428.1118580/00006/1890 S~-pt~mber 26, 1994 TABLE OF CONTENTS Section 1. Recitals .......................................... 1 Section 2. Def'mitions ........................................ 3 Section 3. Disposition of VPSA Bond Proceeds ........................ 9 - 'section 4. Section ~. Section 6. Section 7. Establishment of Accounts .............................. 10 Disposition of Local School Bond Proceeds .................... 10 Investment of Principal Subaccount ........................ 11 Disbursements from Principal Subaccount .................... 11 Section $. Investment of Income Subaccount ......................... Section 9. Income Subaccount ................................... Section 10. Investment Losses ................................... Section 11. Rebate Computations ................................. Section 12. Transfers to Income Subaccount .......................... Section 13. Disposition of Excess Proceeds ........................... Section 14. Rebate Payments and Penalty Payments ..................... Duties of VPSA .................................... Duties of the Depository ............................... Duties of Lomi Units ................................. Responsibilities of the Investment Manager ................... Section 1~. Section 16. Section 17. Section 18. Section 19. 11 12 14 15 16 17 18 19 20 20 21 21 BWNYIIO0428.1/18580/O0006/1890 $epmmber 26, 1994 i Section 20. Opinions of Counsel ................................. 22 Section 21. Amendment ....................................... 22 Section 22. Notices .......................................... 22 Section 23. No Third Party Beneficiaries ............................ 24 Section 24. Severability ....................................... 24 Section 25. No Personal Liability ................................. 25 Section 26. Applicable Law .................................... 25 Section 27. Counterparts ...................................... 25 Section 28. Effective Date; Term .............. .' .................. 26 Exhibit A ................................................ A-1 Exhibit B ................................................ B-1 Exhibit C ................................................ C-1 Exhibit D ................................................ D-1 BWNY/100428.1/18580/00006/1890 September 26, 1994 PROCEEDS AGREEMENT Respecting the Custody, Investment, and Disbursement of Proceeds of Local School Bonds Purchased by the Virginia Public School Authority with the Proceeds of Its $ School Financing Bonds (1991 Resolution) Series 1994 B This PROCEEDS AGREEMENT, dated November 22, 1994 (this "Agreement"), is among the Virginia Public School Authority, a public body corporate and a political subdivision and instrumentality of the Commonwealth of Virginia ('VPSA'), the 18 counties and 3 cities that are signatories to this Agreement (collectiv. ely, the "Local Units", and each a 'Local Unit'), Central Fidelity National Bank, a banking institution organized under the laws of the United States of America and having its principal office in Richmond, Virginia, in its capacity as the depository for the State Non-Arbitrage Program (the 'Depository"), and Commonwealth Investment Counsel, Inc., a corporation organized under the laws of Virginia and having an office in Richmond, Virginia, in its capacity as the investment manager of the State Non-Arbitrage Program (the 'Investment Manager"). All capitalized terms used herein shall have the meaning given to them in Section 2 hereof. The parties hereto agree and covenant as follows: Section 1. Recitals. (a) On or before October 18, 1994, VPSA and each of the Local Units entered into a Bond Sale Agreement, pursuant to which VPSA agreed to purchase, and the Local Unit agreed to sell its Local School Bonds. BWNYIIO0428.111858010000611890 September 26, 1994 Co) On November _, 1994, VPSA's Bonds were awarded at competitive bidding to the Purchaser. The Purchaser is obligated by the terms of its bid to pay the purchase price for VPSA's Bonds on the Closing Date. VPSA will apply the proceeds of the sale of VPSA's Bonds, together with other available money, to the purchase of the Local School Bonds on the Local School Bonds Closing Date. VPSA will apply the balance of the proceeds of the sale of VPSA's Bonds to fund the 1991 Debt Service Reserve Account and to pay costs of issuance of the VPSA Bonds. (c) The Code imposes requirements on VPSA and the Local Units selling their Local School Bonds to VPSA that must be met if interest on VPSA's Bonds and interest on the Local School Bonds are to be excludable from gross income for federal income tax purposes, including a requirement that in certain circumstances, certain investment income with respect to the Local School Bonds, which income is deemed for federal income tax purposes to be investment income of VPSA's Bonds, be subject to payment, or in lieu thereof certain payments be made, to the United States Treasury. (d) VPSA has determined that in order to fulfill its representations respecting the maintenance of the exclusion of the interest on VPSA's Bonds from gross income for federal income tax purposes, VPSA must establish a mechanism to provide accountability for the custody, investment and disbursement of the proceeds of VPSA's Bonds and the proceeds of the Local School Bonds. (e) It is the purpose of this Agreement to enable VPSA (i) to fulfill the representations mentioned in the preceding subsection; (ii) subject to the constraints of the Code BWNY/100428.1/18580/00006/1890 September 26, 1994 2 affecting the investment of the proceeds of tax-exempt obligations, to achieve the optimum, prac- tic, able income by the professional management of the investment and reinvestment of the pro- ceeds of the Local School Bonds; (iii) to provide for the custody, investment and disbursement of the proceeds of the Local School Bonds, and for the maintenance of appropriate records thereof; (iv) to meet the rebate requirement imposed by Section 148(0 of the Code, in part through the payment of either the Local Unit Rebate Requirement by each of the Local Units or the Penalty if the Penalty Election has been made on behalf of a Local Unit; and (v) to provide for the allocation and payment of the costs associated with the establishment and maintenance of this Agreement. (f) The purpose set forth in the preceding subsection (e) shall be accomplished through SNAP. The proceeds of the local School Bonds shall be invested in accordance with the Information Statement. Section 2. Def'mitiom. In addition to the words and terms elsewhere defined in this Proceeds Agreement including the Exhibits attached hereto, the following words and terms shall have the following meanings: 'Aggregate Local Units' Rebate Requirement' shall be the amount calculated pursuant to the Letter Agreement. 'Agreement' or 'Proceeds Agreement' shall mean the Proceeds Agreement, dated November 22, 1994, among the Authority, the Local Units, the Depository and the Investment Manager. BWNY/IO0428.1/18580/O0006/1890 September 26, 1994 3 'Authorized Representative' shall mean, as applied to VPSA, the Depository, the Investment Manager and the Local Units, the person or each of the persons thereby designated, from time to time, in accordance with and as listed on the page of this Agreement executed by such party. 'Available Construction Proceeds' shall mean, as applied to each Local Unit, the sum of (i) the amount initially deposited to the Principal Account of such Local Unit pursuant to Section :5 hereof, and (ii) the investment earnings thereon, reduced by the amount of issuance costs financed by such Local Unit's Local School Bonds. In the event that the Local Unit has made the Bifurcation Election on its signature page, 'Available Construction Proceeds ' shall mean the sum of the amount set forth on the signature page as the portion of the issue used for construction and the investment earnings thereon, reduced by the amount set forth on the signature page as allocable to issuance expenses. 'Bifurcation Election', with respect to each issue of Local School Bonds, shall mean the election made by the Local Unit to treat a portion of its Local School Bonds used for construction as a separate issue pursuant to Section 148(f)(4)(C)(v) of the Code. 'Bond Sale Agreement' shall mean the Bond Sale Agreement, dated as of October 18, 1994, between VI>SA and each Local Issuer. 'Capital Expenditure' shall mean any cost of a type that is properly chargeable to a capital account (or would be so chargeable with a proper election) under general Federal income tax principles as determined at the time the expenditure is paid with respect to the property. BWNY/100428.1118580/0000611890 September 26, 1994 4 'Capital Project' shall mean all Capital Expenditures, plus related working capital expenditures to which the de minimis exception provided by Section 1.148-6(d)(B)(ii)(A) of the Treasury Regulations to the proceeds-spent-last rule applies, that carry out the governmental purpose of the Local School Bond issue. 'Closing Date' shall mean November 22, 1994. 'Code' shall mean the Internal Revenue Code of 1986, as amended. "Computation Dam' shall mean each of the Installment Computation Dams and the Final Computation Dam. 'Contract' shall mean the Contract, dated May 1, 1994, as amended, between the Treasury Board of the Commonwealth of Virginia and the Investment Manager, including the Depository Agreement appearing as Appendix A thereto. 'Depository" shall mean Central Fidelity National Bank, a banking institution organized under the laws of the United States of America and having its principal office in Richmond, Virginia, in its capacity as the Depository for SNAP. 'Eight~n-Month Exception' shall mean the exertion to the Rebate Requirement provided by Treasury Regulation Section 1.148-7(d). "Final Computation Date" shall mean the dam the last bond that is pan of the issue of VPSA's Bonds is discharged. "Gross Proceeds" shall have the meaning given to such term in the Letter Agreement. BWNYIIOO428.1/18580/GG(X)6/1890 5ept~mb4r 26, 1994 "Income Subaccount" shall mean the Income Subaccount established pursuant to Section 4 of this Proceeds Agreement for each Local Unit. "Income Subaccount Set Aside" shall have the meaning given to such term by Section 9(b) of this Agreement. "Individual Portfolio" shall have the meaning given to such term in the Information Statement. "Information Statement" shall mean the current Information Statement describing SNAP, as the same may be supplemented and amended. "Installment Computation Dates" shall mean. November 1, 1999, and each fifth (Sth) anniversary date thereafter. "Investment Manager" shall mean Commonwealth Investment Counsel, Inc., a corporation organized under the laws of Virginia and having an office in Richmond, Virginia, in its capacity as the investment manager of SNAP. "Investment Report" shall have the meaning given to such term in Part A of the Letter Agreement. "Letter Agreement" shall mean the Letter Agreement, dated the date hereof, attached to this Agreement as Exhibit C. "Local School Bonds" shall mean general obligation school bonds of a Local Unit having the terms and provisions required by the Bond Sale Agreement. "Local School Bonds Closing Date" shall mean the Closing Date, except as otherwise provided on the page of this Agreement executed by a Local Unit. BWNY/100428.1/18580/00006/1890 September 26, 1994 6 'Local Unit' or 'Local Units' shall have the meaning accorded to such term by Section l(a) of this Agreement. 'Local Unit Rebate Computation', with respect to each issue of local School Bonds, shall mean a Rebate Computation for each Local Unit made on each Computation Date pursuant to Section 11 of this Proceeds Agreement. "Local Unit's Rebate Requirement', with respect to each issue of Local School Bonds, shall mean the amount payable to the United States Treasury calculated pursuant to the Letter Agreement. "Penalty" shall mean the amount that must be paid to the United States Treasury pursuant to the 'Penalty Election. "Penalty Election", with respect to each issue of Local School Bonds, shall mean the election made by the Local Unit to pay a penalty in lieu of rebate pursuant to Section 148(f)(4)(C)(vii) of the Code. "Principal Subaccount" shall mean the Principal Subaccount established pursuant to Section 4 of this Proceeds Agreement for each Local Unit. "Purchaser" shall mean the bidder offering to pay the lowest true interest cost of VPSA's Bonds to which VPSA awarded VPSA's Bonds at a competitive sale. "Rebate Calculation Agent" shall have the meaning given to such term in the Letter Agreement. BWNY/IO0428.111858010000611890 September 26, 1994 "Rebate Computation" shall mean the computation, as of a Computation Date, of the Local Unit Rebate Requirement to such Computation Date. The amount so computed may be a positive or a negative number. "Rebate Exceptions" shall mean the Spending Exceptions and the Small-Issuer Exception, collectively. "Rebate Report" shall mean the Local Unit Rebate Computations. 'Rebate Requirement" shall mean the rebate requirement imposed by Sections 148(f)(2) and (3) of the Code. "Six-Month Exception" shall mean the exception to the Rebate Requirement provided by Section 148(f)(4)(B) of the Code. "Spending Exceptions" shall mean the Six-Month Exception, the Eighteen-Month Exception and the Two-Year Exception, collectively. "Small-Issuer Exception" shall mean the exception to the Rebate Requirement provided by Section 148(f)(4)(D) of the Code. 'SNAP' shall mean the State Non-Arbitrage Program established pursuant to Article 7.1, Chapter 14, Title 2.1, Code of Virginia, as amended. 'SNAP Documents" shall mean the Information Statement and the Contract. "Two-Year Exception' shall mean the exception to the Rebate Requirement provided by Section 148(f)(4)(C) of the Code. "VPSA" shall mean the Virginia Public School Authority, a public body corporate and a political subdivision and instrumentality of the Commonwealth of Virginia. BWNY/IO0428.1/18580/O000611890 September 26, 1994 'VPSA's Bond Yield" shall mean the Yield on VPSA's Bonds as set forth in the Letter Agreement. As provided in Treasury Regulation Section 1.148-4(a), the yield on each issue of Local School Bonds of a Local Unit the interest on which is excluded from gross income shall equal the VPSA's Bond Yield. "VPSA's Bonds" shall mean the $ · aggregate principal amount of VPSA's School Financing Bonds (1991 Resolution) Series 1994 B. "Withdrawal Date' shall mean the date as of which an interim Rebate Calculation is made pursuant to Section 9 of this Proceeds Agreement. "Yield' shall have the meaning accorded to such term by the Letter Agreement. Section 3. Disposition of VPSA Bond Proceeds. (a) Prior to thc Closing Date, each Local Unit will complete and submit, to the Investment Manager, the program registration form and the SNAP account registration form annexed to the Information Statement. (b) On the Closing Date, VPSA will transfer to the Depository for deposit in SNAP, in immediately available funds, an amount equal to the aggregate purchase price of all of the Local School Bonds ($. ). (c) Each Local Unit hereby agrees to adhere strictly to the prescribed and recommended procedures described in the Information Statement. Each Local Unit hereby further agrees that it will not deviate from or request an exception to such procedures without first obtaining the prior written approval of VPSA. In the event of a conflict between the BWNYIIO0428.111858010000611890 September 26, 1994 9 provisions of this Agreement and the Information Statement, the provisions of this Agreement shall control. Section 4. Establishment of Accounts. The Investment Manager will establish on its books for each Local Unit one (1) account and two (2) subaccounts therein as follows: VPSA-(Name of Local Unit) Proceeds Account - Series 1994 B Issue Principal Subaccount Income Subaccount If a Local Unit has elected to treat a portion Qf its Local School Bonds issue used for construction asa separate issue as set forth on its signature page, the Investment Manager shall maintain such records as necessary to determine the portion of the Principal Subaccount and Income Subaccount of such Local Unit allocable to the construction issue and the non- construction issue. Section 5. Disposition of Local School Bond Proceeds. The Investment Manager shall, immediately upon the receipt of the aggregate proceeds of the Local School Bonds, allocate such proceeds on the Closing Date to the Local Units, dollar for dollar, in accordance with the respective principal amounts of their Local School Bonds set forth in Exhibit A to this Agreement. There is no accrued interest on the Local School Bonds. The proceeds of VPSA's Bonds allocated to each Local Unit shall be credited to the Principal Sub'account of the Local Unit. BWNYIIO0428.111858010000611890 $cp~mber 26, 1994 l0 Section 6. Investment of Principal Subaccount. The Investment Manager shall invest and reinvest moneys to the credit of the Principal Subaccount of each Local Unit for the benefit of such Local Unit in accordance with the provisions of the Information Statement and Section 18 of this Agreement. The Investment Manager shall credit to the Local Unit's Income Subaccount all income and profits from the investment and reinvestment of moneys to the credit of its Principal Subaccount. Section 7. Disbursements from Principal Subaccount. Beginning on the Closing Date, each Local Unit may at any time withdraw all or any portion of the proceeds of its Local School Bonds credited to its Principal Subaccount (including amounts transferred to the credit of the Principal Subaccount from the Income Subaccount pursuant to Section 9), in accordance with the Information Statement and, in the case of a reimbursement to the Local Unit, by filing with the Investment Manager a requisition or requisitions therefor in the form of Exhibit B to this Agreement signed by an Authorized Representative of the Local Unit. Notwithstanding anything to the contrary in the Information Statement, the Investment Manager agrees that, in the case of a reimbursement to the Local Unit, it shall not disburse any money from the Principal Subaccount unless and until it has received such requisition from the Local Unit. Section 8. Investment of Income Subaeeount. The Investment Manager shall invest and reinvest moneys to the credit of the Income Subaccount of each Local Unit for the benefit of such Local Unit in accordance with the provisions of the Information Statement and Section 18 of this Agreement. The Investment BWNY/100428.1/18580/00006/1890 September 26, 1994 11 Manager shall credit to the Local Unit's Income Subaccount all income and profits from the investment and reinvestment of moneys to the credit thereof. Section 9. Income Subaccount. (a) The Investment Manager will notify a Local Unit and VPSA when the balance to the credit of the Principal Subaccount of such Local Unit shall have been reduced to zero ($0). Such Local Unit may then withdraw from its Income Subaccount an mount not in excess of the amount then to the credit of its Income Suhaccount if the Local Unit qualifies for any one of the Rebate Exceptions or if such withdrawal is necessary to qualify for one of the Spending Exceptions. (i) In order to qualify for the Small-Issuer Exception, the Local Unit must deliver to VPSA no later than (A) the opinion of nationally recognized bond counsel that the Local School Bonds of such Local Unit purchased by VPSA with the proceeds of the VPSA's Bonds will be treated as meeting the requirements of Code Sections 148(0(2) and (3), pursuant to Code Section 148(f)(4)(D); and (B) the Local Unit's covenant that it shall provide for the payment or reimburse VPSA for its payment of the Local Unit's Rebate Requirement in the event that the Local School Bonds of such Local Unit fail to meet all of the requirements of the Small Issuer Exception. (ii) In order to determine if a Local Unit qualifies for either the Six-Month Exception or the Eighteen-Month Exception, the Investment Manager shall advise each Local Unit and VPSA of the amount that has been disbursed from the Principal Subaccount and the Income Subaccount of such Local Unit (A) six (6) months from the BWNYIIOO428.111858010(KI~II890 September 26, 1994 12 Closing Date, (B) twelve (12) months from the Closing Date, and (C) eighteen (18) months from the Closing Date. To facilitate such determination, each Local Unit shall set forth on the signature page for such Local Unit the amount of investment proceeds that such Local Unit reasonably expects as. of the Closing Date to earn. (iii) In order to determine if a Local Unit qualifies for the Two-Year Exception, the Investment Manager shall advise each Local Unit and VPSA, of the amount of Available Construction Proceeds that has been disbursed from the Principal Subaccount and the Income $ubaccount of such Local Unit (A) six (6) months from the Closing Date, (B) twelve (12) months from the Closing Date, (C) eighteen (18) months from the Closing Date, and (D) twenty-four (24) months from the Closing Date. To facilitate such determination, each Local Unit shall set forth on the signature page for such Local Unit the amount of investment proceeds that such Local Unit reasonably expects as of the Closing Date to earn and the elections that it requests VPSA to make on its behalf. Furthermore, such Local Unit shall set forth in a certificate delivered to VPSA on the Closing Date such facts and circumstances as necessary to show that it reasonably expects to qualify for the Two-Year Exception. (b) Except to the extent that a Penalty Election has been made on behalf of a Local Unit, if the Local Unit fails to qualify for one of the Spending Exceptions, or is otherwise subject to the Rebate Requirement, then prior to a withdrawal from its Income Subaccount and upon receipt of such notification, the Local Unit shall promptly request, pursuant to the terms of the Information Statement, an interim Rebate Computation with respect to such Local Unit BWNY/100428.1/18~80/00006/1890 September 26, 1994 13 or an estimate of such Local Unit's Rebate Requirement for purposes of determining what amount, if any, to the credit of the Income Subaccount may be subject to rebate. Any estimate of the Local Unit's Rebate Requirement made by the Investment Manager shall be provided to VPSA in writing. Notwithstanding anything to the contrary in the Information Statement, no disbursement will be made from the Income Subaccount until the aforementioned calculation shall have been made. The amount to the credit of the Income Subaccount that may be subject to rebate is the Income Subaccount Set Aside. On the Withdrawal Date, the Investment Manager shall (i) reserve, in the Income Subaccount, the amount of the Income Subaccount Set Aside until the next Rebate Computation required by Section 11 shall have been made and (ii) credit the remaining balance to the credit of the Income Subaccount to the credit of the Local Unit's Principal Subaccount. Section 10. Investment Losses. The Investment Manager shall charge any loss realized from the investment or reinvestment of moneys to the credit of the Interest Suhaccount and the Principal Subaccount of a Local Unit as follows: (i) losses on moneys to the credit of the Principal Subaccount shall be charged thereto; and (ii) losses on moneys to the credit of the Income Subaccount shall be charged first to the Principal Subaccount and then to the Income Subaccount. BWNY/100428.1/18580/00006/1800 September 26, 1004 14 Section 11. Rebate Computations. On or before each Computation Date, VPSA will prepare, or cause to be prepared, in accordance with the provisions of the Letter Agreement the Local Unit Rebate Computations. The Local Unit Rebate Computation for each Local Unit shall be made on the basis of the Investment Reports maintained by the Investment Manager for each Proceeds Account. As set forth in the Letter Agreement, the Local Unit Rebate Requirement shall be calculated separately for each Local Unit. If it is determined, however, that the Local Unit Rebate Requirement is required to be calculated in the aggregate, the Local Unit Rebate Requirement for each Local Unit shall be equal to the percentage of the Aggregate Local Unit Rebate Requirement determined by multiplying the Aggregate Local Unit Rebate Requirement by a fraction, the numerator of which is the positive Local Unit Rebate Requirement calculated separately and the denominator of which is the sum of all of the positive Local Unit Rebate Requirements calculated separately. If any provision of this Agreement shall become inconsistent with any regulation or regulations promulgated under Section 148(f) of the Code subsequent to the date hereof, VPSA hereby agrees and covenants to prepare, or cause to be prepared, as soon as practicable, a Local Unit Rebate Computation for each Local Unit, in compliance with such regulation or regulations, and VPSA, the Investment Manager and each of the Local Units hereby further agree and covenant immediately to make any and all transfers and payments required by Sections 12 and BWNY/100428.1/18580/00006/1890 September 26, 1994 14 of this Agreement from any moneys on deposit in the Income Subaccount and any other moneys of the Local. Unit legally available for such purpose. Section 12. Transfers to Income Subaecount. (a) Upon receipt of the Rebate Report from VPSA, if the amount on deposit in the Local Unit's Income Subaccount (including the Income Subaccount Set Aside) is less than the Local Unit Rebate Requirement of such Local Unit, the Investment Manager shall promptly charge the Principal Subaccount of such Local Unit to the extent the amount on deposit to the credit of the Income Subaccount is less than the Local Unit Rebate Requirement and credit its Income Subaccount with an amount such that the balance to the credit of the Income Subaccount is equal to the Local Unit Rebate Requirement (taking into account prior amounts credited to the Income Subaccount including investment income thereon). To the extent that the amount on deposit in the Principal Subaccount is insufficient to provide for a deposit to the Income Subaccount such that the balance in the Income Subaccount is equal to the Local Unit Rebate Requirement for the Local Unit, the Investment Manager shall advise VPSA and such Local Unit of the amount of the deficiency, and, to the extent permitted by law, the Local Unit agrees to transfer promptly to the Depository, from any funds that are or may be made legally available for such purpose, the amount required. To the extent that the amount on deposit in the Income Subaccount exceeds the Local Unit Rebate Requirement for the Local Unit, the excess over the Local Unit Rebate Requirement shall be transferred to the Principal Subac¢ount of the Local Unit. BWNY/100~28.1 / 18580/00006/1890 Scpt~ml)¢r 2~, 1994 1 ~ Section 13. Disposition of Excess Proceeds. When a Local Unit shall certify to VPSA and the Investment Manager that there are balances to the credit of the Local Unit's Principal Subaccount or Income Subaccount that will not be used for Capital Projects prior to November 22, 1997, such amount shall be retained in the Proceeds Account and, to the extent such amount is not required to be deposited to the Income Subaccount pursuant to Section 12, VPSA will, except as provided in the following sentence, direct the Depository to apply such amount to redeem such Local Unit's Local School Bonds on the earliest possible date that such Bonds may be called without a penalty or premium or to pay a portion of the annual principal due on such Local Unit's Local School Bonds (a) in the years before such Bonds are callable, (b) in years when such Local School Bonds are callable but only in an amount in excess of the unexpended Local School Bond proceeds, or (c) in years when such Bonds are callable but a call premium or penalty is required. The portion of the annual principal payment due on the Local Unit's Local School Bonds that may be paid from the unexpended Local School Bond proceeds is an amount equal to the annual principal payment due multiplied by a fraction, the numerator of which is equal to the unexpended Local School Bond proceeds of such Local Unit and the denominator of which is equal to the face amount of such Local Unit's Local School Bonds. VPSA will notify the Local Unit of the amount of such credit. Notwithstanding the foregoing, when a Local Unit shall certify to VPSA and the Investment Manager that it has made an election under Section 148(f)(4)(C)(viii) or (ix) of the Code to terminate the Penalty Election, and that, pursuant to Code Section 148(f)(4)(C)(viii)(III) of such termination election, such Local Unit indicates the amount of Available Construction BWNY/10042~.I/18580/00006/1890 S~pt~mb~r 26, 1994 ' 17 Proceeds to be applied to the redemption of its Local School Bonds and the date of such redemption, VPSA will direct the Depository to apply such amount toward the redemption of such Local Unit's Local School Bonds on the date indicated. In either event, pending such application and credit, such excess proceeds will be invested by the Investment Manager in an Individual Portfolio at a Yield not in excess of the VPSA's Bond Yield. Section 14. Rebate Payments and Penalty Payments. (a) The Local Unit Rebate Requirement of each Local Unit shall be paid to the United States Treasury at the direction of VPSA on behalf of and for the accounts of the Local Unit and VPSA in accordance with the Letter Agreement. Co) The payment of the Local Unit Rebate Requirement of each Local Unit shall be in partial satisfaction with respect to the VPSA's Bonds, and total satisfaction with respect to the proceeds of the Local School Bonds on deposit in the Proceeds Account, of the requirements of Section 148(0 of the Code except to the extent that such issue of Local School Bonds may be treated as a composite issue under Treasury Regulation §1.150-1(c) with another issue of obligations. (c) Notwithstanding anything to the contrary herein, if VPSA has made the Penalty Election on behalf of a Local Unit and if such Local Unit fails to qualify for one of the Spending Exceptions, then, upon receipt of the certification by the Investment Manager required by Section 9(a)(iii) and prior to any further disbursements from the Principal Subaccount or Income Subaccount, the Local Unit shall promptly request, pursuant to the terms of the BWNY/100428.1/18580/00006/1890 September 26, 1994 18 Information Statement, a computation of the amount of the Penalty that must be paid to the United States Treasury pursuant to the Penalty Election. If the amount on deposit in the Local Unit's Income Subaccount and Principal Subaecount is less than the amount of the Penalty due by such Local Unit, the Investment Manager shall advise VPSA and such Local Unit of the amount of the deficiency, and to the extent permitted by law, the Local Unit agrees to transfer promptly to the Depository, from any funds that are or may be made legally available for such purpose, the amount required. The Penalty of each Local Unit shall be paid to the United States Treasury at the direction of VPSA on behalf of and for the accounts of the Local Units no late~ than ninety (90) days after the end of the spending period to which the Penalty relates. Section 15. Duties of VPSA. VPSA shall carry out its duties and responsibilities under this Agreement and may retain agents, independent contractors and others that it deems qualified to carry out any or all of such duties and responsibilities. VPSA shall carry out, or cause to be carried out, all of its responsibilities under the Letter Agreement. VPSA shall retain a copy of all Rebate Computations for at least six (6) years after the retirement of the last of VPSA's Bonds. VPSA agrees that, except as provided in this Agreement, any rebate liability that VPSA may have on account of the investment and reinvestment of the Gross Proceeds of VPSA's bonds, including, by way of example and not of limitation, any rebate liability as a BWNY/100428.1/18580/00006/1890 September 26, 1994 19 result of the investment of money credited to funds and accounts created under its bond resolutions or as a result of the advance refunding of its bonds, shall be the sole responsibility of VPSA and not any Local Unit. Section 16. Duties of the Depository. The Depository shall carry out its duties and responsibilities under the SNAP Documents and this Agreement. Section 17. Duties of Local Units. (a) The Local Units will cooperate with VPSA, the Investment Manager and the Depository in order to ensure that the purposes of this Agreement are fulfilled. To that end, each Local Unit covenants and agrees that it will take any and all action and refrain from taking any and all action, as recommended by its bond counsel, to maintain the exclusion from gross income for federal income tax purposes of interest on its Local School Bonds to the same extent such interest was so excludable on the Closing Date. (b) If a Local Unit is required to restrict the Yield on its investments, in order to comply with such covenant or to maintain the exclusion from gross income for federal income tax purposes of the interest on VPSA's Bonds, it shall timely notify the Investment Manager to restrict such Yield to the VPSA's Bond Yield. Each Local Unit agrees not to charge its general fund or otherwise set aside or earmark funds with which to pay debt service on its Local School Bonds (other than as a budget item) prior to the date of payment thereof to VPSA. Each Local Unit agrees to provide for the payment of its Local Unit Rebate Requirement and/or Penalty and acknowledges that the payment of its Local Unit Rebate BWNY/100428.1/18~80/00006/1890 September 26, 1994 20 Requirement and/or Penalty is necessary to maintain the exclusion from gross income for federal income tax purposes of interest on its Local School Bonds as well as the VPSA's Bonds. Each Local Unit agrees to complete and to provide to VPSA such forms as VPSA may request for filing in connection with the payment of the Local Unit Rebate Requirement and/or Penalty. Section 18. Responsibilities of the Investment Manager. The Investment Manager shall be the agent of, and serve at the expense of, the Local Units, to manage and direct the temporary investment and reinvestment of all moneys to the credit of the Proceeds Accounts pending their disbursement to the Local Units and to make such computations as required by this Agreement. In general, the duties of the Investment Manager shall include those described in the SNAP Documents. In particular, the Investment Manager will direct the investment and reinvestment of moneys to the credit of the two (2) Subaccounts of each Local Unit in accordance with the Information Statement, the Contract and this Agreement. Section 19. Costs. Costs of SNAP are payable as provided in the Information Statement. The difference in the interest rates between VPSA's Bonds and the Local School Bonds shall be collected and retained by VPSA as partial payment of the administrative costs incurred by VPSA in connection with issuing, carrying, and repaying VPSA's Bonds, and the underwriting discount, if any, and the cost of purchasing, carrying, and selling or redeeming the Local School Bonds. VPSA will not charge any other fee to the Local Units for its services or seek BWNY/100428.1/18580/00006/1890 September 26, 1994 21 reimbursement for its fees and expenses, including counsel fees, incurred in connection with the discharge of its duties and responsibilities under this Agreement. Section 20. Opinions of Counsel. On the Closing Date, VPSA and each Local Unit shall furnish an opinion of counsel addressed, in the case of counsel to VPSA, to all the Local Units, and in the case of counsel to the Local Units, to VPSA, to the effect that the obligations of its client under this Agreement are valid, binding and enforceable against such client in accordance with its terms. Section 21. Amendment. This Agreement may be amended only with the consent of all the affected parties; provided, however, that this Agreement shall be amended whenever, in the judgment of VPSA, based on an opinion of its counsel, such amendment is required in order to insure that interest on VPSA's Bonds shall remain excludable from gross income for federal income tax purposes to the same extent it was, in the opinion of such counsel, so excludable on the Closing Date. VPSA shall offer to amend this Agreement whenever it shall in good faith determine, based on an opinion of its counsel, that any one or more of the restrictions or requirements imposed by this Agreement upon the Local Units, or any of them, may be removed or modified without adversely affecting the exclusion of interest on VPSA's Bonds from gross income for federal income tax purposes. Section 22. Notices. Whenever notice is to be given pursuant to the provisions of this Agreement, such notice shall be deemed to have been satisfactorily given on the same day if hand delivered or BWNY/100428.1/18580/00006/1890 Scpmmber 26, 1994 22 teleeopied during regular business hours or three (3) days after the date of postmark if mailed, first class mail, postage prepaid, as follows: if to VPSA, to Virginia Public School Authority c/o State Treasurer 3rd Floor, James Monroe Building 101 North 14th Street Richmond, Virginia 23219 by mail Post Office Box 1879 Richmond, Virginia 23215-1879 by telecopier (804) 225-3187 Director, Debt Management by hand in any case Attention: if to the Depository, to by hand by mail by telecopier in any case if to the Investment Manager, to by hand Central Fidelity National Bank 1021 East Cary Street Richmond, Virginia 23219 Post Office Box 27602 Richmond, Virginia 23261 (804) 697-7173 Attention: Anthony J. Conte Commonwealth Investment Counsel, Inc. 901 Fast Byrd Street Riverfront Plaza, 6th Floor Richmond, Virginia 23219 BWNY/100428.1/18580/00006/1890 September 26, 1994 23 by mail 901 East Byrd Street Riverfront Plaza, 6th Floor Richmond, Virginia 23219 by telecopier (804) 782-3629 in any case Attention: Al Samper if to a Local Unit, to the address or telecopier number indicated on the page of this Agreement executed by such Local Unit. Any such address or number may be changed by written notice given to all the other parties to this Agreement and the Investment Manager, except that a Local Unit need give such notice only to VPSA, the Depository and the Investment Manager. Section 23. No Third Party Beneficiaries. Except as herein otherwise expressly provided, nothing in this Agreement expressed or implied is intended or shall be construed to confer upon any person, firm or corporation other than the parties hereto any right, remedy or claim, legal or equitable, under or by reason of this Agreement or any provision hereof, this Agreement and all its provisions being intended to be and being for the sole and exclusive benefit of the parties hereto and the Investment Manager. Section 24. Severability. In case any one or more of the provisions of this Agreement shall for any reason be held to be illegal or invalid, such illegality or invalidity shall not affect any other provision of this Agreement and this Agreement shall be construed and enforced as if such illegal or invalid provision had not been contained herein. In case any covenant, stipulation, obligation BWNY/100428.1 / i 858010000611890 Septamber 26, 1994 24 or agreement contained in this Agreement shall for any reason be held to be in violation of law, then such covenant, stipulation, obligation or agreement shall be deemed to be the covenant, stipulation, obligation or agreement of the affected party to the full extent permitted by law. Section 25. No Personal Liability. All covenants, stipulations, obligations and agreements of VPSA contained in this Agreement shall be deemed to be covenants, stipulations, obligations and agreements of VPSA to the full extent authorized by the laws and permitted by the Constitution of Virginia. No covenant, stipulation, obligation or agreement contained herein shall be deemed to be a covenant, stipulation, obligation or agreement of any present or future member, employee-or agent of VPSA or any Local Unit in his individual capacity. No member, officer, employee or agent of VPSA or any Local Unit shall incur any personal liability in acting or proceeding or in not acting or not proceeding, in good faith, reasonably and in accordance with the terms of this Agreement and the applicable laws of the Commonwealth of Virginia. Section 26. Applicable Law. This Agreement is executed with the intent that the laws of the Commonwealth of Virginia shall govern its construction. Section 27. Counterparts. This Agreement may be executed in one or more counterparts. BWNY/100428.1118580/00006/1890 ~-ptmnb~r 26, 1994 25 Section 28. Effective Date; Term. This Agreement shall take effect on the Closing Date and shall expire on the later of forty-two (42) months after such Date or the date on which VPSA shall make the final rebate payment required by Part D of the Letter Agreement. Virginia Public School Authority By: Name: Gary Ometer Title: Assistant Secretary and Assistant Treasurer Central Fidelity National Bank By: Name: Anthony J. Conte Title: Vice President Commonwealth Investment Counsel, Inc. By:. Name: A1 Samper Title: Program Administrator BWNY/IO0428.1/18580/O0006/1890 September 26, 1994 26 Name of Issuer: Page 1 of 2 Estimated Investment Earnings for purposes of the Eighteen-Month Exception: $ Address for notices, by hand, by mail and by telecopier, if any, as referred to in Section 22 above: Authorized Representative(s): Title S_~ecimen Signature Local School Bonds Closing Date (if not November 22, 1994, enter Date of Issue of Local School Bonds): BWNY/I(X)428.1/18580/00006/1890 ~pt~mber 26, 1994 27 Name of Issuer: Page 2 of 2 Elections with respect to Two-Year Exception: 1. Election to use actual facts in lieu of reasonable expectations for purposes of the Two- Year Exception: Yes No 2. Estimated Investment Earnings: $ issue: Bifurcation Election to treat the portion of the issue used for construction as a separate Yes No If yes, state the portion of the issue used for construction and .non-construction, respectively; (the sum of the following amounts must equal the issue price of $ reduced by any portion used for refunding purposes): (a) portion of the issue used for construction: $ Co) issuance expenses allocable to the construction portion of the issue: $ (c) portion of the issue used for non-construction: $ (d) issuance expenses allocable to the non-construction portion of the issue: $ Penalty Election to pay One and One-Half Percent Penalty in lieu of rebate: Yes No City of By: Name: Title: BWNY ! 100428.1 / 18580/0000611890 September 26, 1994 2 8 Name of Issuer: Page 1 of 2 Estimated Investment Earnings for purposes of the Eighteen-Month Exception: $ Address for notices, by hand, by mail and by telecopier, if any, as referred to in Section 22 above: Authorized Representative(s): Name Title Specimen Signature Local School Bonds Closing Date (If not November 22, 1994, enter date of issue of Local School Bonds): BWNY/100428.1/18580/00006/1890 September 26, 1994 29 Name of Issuer: Page 2 of 2 Elections with respect to the Two-Year Exception: 1. Election to use actual facts in lieu of reasonable expectations for purposes of the Two- Year Exception: Yes No 2. Estimated Investment Earnings: $ issue: Bifurcation Election to treat the portion of the issue used for construction as a separate Yes No If yes, state the portion of the issue used for construction and non-construction, respectively; (the sum of the following amounts must equal the issue price of $ reduced by any portion used for refunding purposes): (a) portion of the issue used for construction: $ (b) issuance expenses allocable to the construction portion of the issue: $ (c) portion of the issue used for non-construction: $ (d) issuance expenses allocable to the non-construction portion of the issue: $ Penalty Election to pay One and One-Half Percent Penalty in Lieu of Rebate: Yes No County By: Name: Title: BWNYIlO0428.111858010000611890 September 26, 1994 30 LOCAL SCHOOL BONDS - NON-SUBSIDY Exhibit A Princioal Amount of Bonds Albemarle County Bedford County Halifax County Hanover County King & Queen County Mathews County Patrick County Powhatan County Roanoke County Southampton County Stafford County Washington County Total: $ 450,000 3,000,000 590,000 5,385,000 1,600,000 6,500,000 450,000 4,000,000 3,200,000 340,000 4,615,000 585.000 ~;30.715.000 BWNYIIOO428.1118~8010000611890 September 26, 1994 A-I LOCAL SCHOOL BONDS - SUBSIDY III I II Portion Purchased Principal With Literary Amount of Portion Purchased Fund Local School with Proceeds Contribution Bonds of VPSA Bonds Brunswick County Caroline County Charlotte County Chesapeake, City of Highland County Lynchburg, City of New Kent County Patrick County Powhatan County Roanoke, City of Spotsylvania County Stafford County Washington County Total $2,500,000 1,065,344 6,000,000 12,572,484 2,200,000 2,725,000 2,080,000 ' 1,000,000 5,250,000 4,200,000 7,500,000 3,625,000 205,132 $50,922,960 BWNY/100428.1/18580/00006/1890 Stpttmbtr 26, 1994 A=2 Exhibit B [No requisition is required in conjunction with a check payable . to a vendor in respect of an invoice due and payable.] FORM OF REQUISITION FOR REIMBURSEMENT BY PRE-AUTHORIZED WIRE [To be used for REIMBURSEMENT to a Local Unit from Local School Bond proceeds for an invoice or obligation that has been paid and is eligible for payment from Local School Bond proceeds.] Commonwealth Investment Counsel, Inc. 901 Fa~t Byrd Street Riverfront Plaza, 6th Floor Richmond, Virginia 23219 VIRGINIA PUBLIC SCHOOL AUTHORITY [Name of Local Unit] BOND PROCEEDS ACCOUNT - SERIES 199 ISSUE Requisition from the Prindpal Subaccount Requisition No. ("item number") This requisition for payment from the Principal Subaccount of the Proceeds Account is submitted in accordance with the provisions of the Proceeds Agreement dated November 22, 1994, among the Virginia Public School Authority ('VPSA'), the undersigned (the "Local Unit') and the other units of local government signatory thereto, Commonwealth Investment Counsel, Inc, as Investment Manager and Central Fidelity National Bank, as Depository. You are hereby notified that you are authorized and directed by the l. xw. al Unit to pay the following obligation from the Principal Subaccount: 1. The item number of such payment: 2. The amount[s] to be paid: $ BWNY/100428.1/18580/00006/1890 Sep~mber 26, 1994 B- 1 3. Purpose by general classification for which such obligation was incurred: 4. The date(s) the expenditure(s) was/were made: To reimburse the Local Unit for costs of the Local Unit through , 19_ as follows: School paid by the 5. A copy of each supporting [invoice, work order, statement] for which reimbursement is to be made is attached hereto. 6. The obligation[s] in the stated amount[s] have been paid, and each item thereof is a proper charge against the proceeds of the Local Unit's Proceeds Account and has not been the subject of a previous withdrawal from the Proceeds Account. 7. All of which is hereby certified. Dated [Name of Local Unit] By: Authorized Local Unit Representative l~WNY/IO0428.1/18580/O0006/1890 September 26, 1994 B=2 Virginia Public School Authority 101 North 14th Street Ri~'hmond, Virginia 23219 Exhibit C LETTER AGREEMENT November 22, 1994 Re: Custody, Investment, and Disbursement of Proceeds of LoCal School Bonds Purchased by the Virginia Public School Authority with the Proceeds of Its $ School Financing Bonds (1991 Resolution) Series 1994 B This LETTER AGREEMENT, dated the date shown above (this "Letter Agreement"), is between the Authority and the Investment Manager. All capitalized terms used herein shall have the meaning given to them in Part E of this Letter Agreement or in Section 2 of the Proceeds Agreement to which this Letter Agreement is attached as Exhibit C. With respect to the VPSA's Bonds, the Code requires that an amount equal to the VPSA's Rebate Requirement be paid to the United States Treasury. With respect to each issue of Local School Bonds, the Code requires that an amount equal to the Local Unit's Rebate Requirement be paid to the United States Treasury. Accordingly, VPSA hereby directs the Investment Manager, as provided below, to assist VPSA and each Local Unit to comply with the VPSA's Rebate Requirement and the respective Local Unit's Rebate Requirement. To enable VPSA and the Local Units to fulfill their respective obligations under the Proceeds Agreement and to make such payments, and to enable the Investment Manager to fulfill its obligations under this Letter Agreement, the Investment Manager will prepare, on or before December m, 1995 and each December _ thereafter, the Investment Reports for VPSA as of the preceding November 1 and each Local Unit as of the preceding November 1. On the basis of such Investment Reports, VPSA shall cause the Rebate Calculation Agent to prepare the Local Unit Rebate Computation setting forth the Local Unit Rebate Requirement as of each Computation Date for each Local Unit with respect to its issue of Local School Bonds as described in paragraph 4 of Part B hereto. In addition, the Investment Manager will, based on the Rebate Report, .transfer, within thirty (30) days after the Computation Date of each Local BWNYIlO0428.111858010000611890 Sepwmber 26, 1994 C-1 Unit, from its Principal Subaccount, if necessary, to its Income Subaccount, the amount required so that the amount to the credit of the Income Subaccount of each Local Unit shall equal its Local Unit Rebate R~uirement. A. Investment Report With respect to all Nonpurpose Investments acquired during the term of this Letter Agreement with Gross Proceeds of each issue of Local School Bonds, the Investment Manager shall maintain separate Investment Reports for each issue of Local School Bonds. The Investment Report for each local Unit shall consist of the investments made with respect to its Proceeds Account. [Insofar as certain Local School Bonds were purchased with the proceeds of the VPSA's Bonds in the amount of $ and other available money in the amount of $ , each such Local Unit's Rebate Requirement shall be based only on that portion of the Local School Bonds that were purchased with the proceeds of the VPSA's Bonds. Accordingly, the Investment Report for each such Local Unit shall consist of each investment made by such Local Unit with respect to its Proceeds Account multiplied by a fraction, the numerator of which is equal to the proceeds derived from the sale of the VPSA's Bonds applied to purchase such Local School Bonds (as set forth in Exhibit A to the Proceeds Agreement) and the denominator of which is equal to the principal amount of the Local School Bonds.] B. Rebate Computation on I.x~cal School Bonds VPSA shall compute each Local Unit's Rebate Requirement with respect to its issue of Local School Bonds in accordance with the procedure described below: 1. As of each Computation Date, VPSA shall cause the Rebate Calculation Agent to determine the Future Value of all nonpurpose payments made with respect to the Nonpurpose Investments purchased with or allocated to the Gross Proceeds of the Local School Bonds, as well as any rebate payments made, to such Computation Date in accordance with the requirements of the Treasury Regulations. Unless VPSA shall otherwise direct, transaction costs incurred in acquiring, carrying, selling or redeeming such obligations, shall be accounted for as provided in the Information Statement. 2. As of each Computation Date, VPSA shall cause the Rebate Calculation Agent to determine the Future Value of all nonpurpose receipts received with respect to the Nonpurpose Investments purchased with or allocated to the Gross Proceeds of the Local School Bonds, as well as any rebate payments recovered, to such Computation Date in accordance with the requirements of the Treasury Regulations. 3. As of each Computation Date, VPSA shall subtract the amount computed pursuant to paragraph 1 from the amount computed pursuant to paragraph 2. Such amount shall be the 'Local Unit Rebate Requirement' as of the Computation Date. BWNY/100428.1/18580/00006/1890 September 26, 1994 C-2 4. Each of the Local Units has covenanted in Section 17 of the Proceeds Agreement not to charge its general fund or otherwise set aside or earmark funds with which to pay debt service on its Local School Bonds (other than as a budget item) prior to the date of payment thereof to VPSA. 5. The Local Unit Rebate Requirement may be treated as being met and no rebate computation shall be required with respect to the proceeds of the VPSA's Bonds applied to purchase such Local Unit's Local School Bonds if the VPSA receives the opinions and covenants certification described in Section 9(a)(7) of the Proceeds Agreement that a Local Unit meets the requirements of the (a) Six-Month Exception, Co) Eighteen-Month exception, (c) Small Issuer Exception, or (d) Two-Year Exception, subject to the provisions described below. (a) Six-Month Excemion. Notwithstanding the fact that all of the Gross Proceeds of the Local School Bonds are spent within six (6) months of the date of issue and no other Gross Proceeds of the Ixr. al School Bonds are anticipated for the remainder of the term of the issue, if Gross Proceeds of the Local School Bonds become available after the end of the initial six-month period, the Local'Unit Rebate Requirement shall be computed with respect to such Gross Proceeds in accordance with the procedure described above. Co) Eighteen-Month Excer}tion. Notwithstanding the fact that all of the Gross Proceeds of the Local School Bonds are spent within eighteen (18) months of the date of issue and no other Gross Proceeds of the Local School Bonds are anticipated for the remainder of the term of the issue, if Gross Proceeds of the Local School Bonds become available after the end of the initial eighteen-month period, the Local Unit Rebate Requirement shall be computed with respect to such Gross Proceeds in accordance with the procedure described above. (c) Small Issuer Excemion. If a Local Unit delivers to VPSA no later than the end of calendar year 1994 (i) the opinion of nationally recognized bond counsel that the Local School Bonds of such Local Unit purchased by VPSA with the proceeds of the VPSA's Bonds will be 1Jv. ated as meeting the requirements of Code Sections 148 (0(2) and (3) pursuant to Code Section 148 (f)(4)(D) and (ii) the Local Unit's covenant that it shall provide for the payment of or reimburse VPSA for its payment of the Local Unit Rebate Requirement in the event that the Local School Bonds of such Local Unit fail to meet all the requirements of the Small Issuer Exception, then no rebate computation shall be made with respect to the proceeds of VPSA's Bonds applied to purchase such Local School Bonds. Although the Local School Bonds of a Local Unit may qualify for the Small Issuer Exception, custody, investment and disbursement of the proceeds of the VPSA's Bonds applied to the purchase of the Local Unit's Local School Bonds shall continue under the Proceeds Agreement, and the Investment Manager shall continue to provide an .Investment Report for such Local Unit. BWNY/100428.1/18580/00006/1890 S~pt~mbsr 26, 1994 C=3 6. In addition to the foregoing, no rebate computation shall be required with respect to the proceeds of the VPSA's Bonds applied to purchase a Local Unit's Local School Bonds if a Penalty Election has been made on behalf of the Local Unit with respect to such ~ School Bonds. BWIqY/100428.1 / 185801{XXX)611890 Sq~tcmbcr 26, 1994 C -4 C. Aggregate Rebate Computation on Lo~ School Bonds In the' event that the Treasury Regulations require that the Local Units' Rebate Requirements be calculated in the aggregate, VPSA shall compute the Aggregate Local Units' Rebate Requirement in accordance with the procedure set forth below. 1. As of each Computation Date, VPSA shall cause the Rebate Calculation Agent to determine the Future Value of all nonpurpose payments made with respect to the Nonpurpose Investments purchased with or allocated to the Gross Proceeds of all of the Local School Bonds in the aggregate (except those qualifying for one of the Rebate Exceptions or those that have made the Penalty Election), as well as any rebate payments made, to such Computation Date in accordance with the requirements of the Treasury Regulations. 2. As of each Computation Date, VPSA shall cause the Rebate Calculation Agent to determine the Future Value of all nonpurpose receipts received with respect to the Nonpurpose Investments purchased with or allocated to the Gross Proceeds of all of the l_xx:al School Bonds in the aggregate (except those qualifying for one of the Rebate Exceptions or those that have made the Penalty Election), as well as any rebate receipts recovered, to such Computation Date in accordance with the requirements of the Treasury Regulations. 3. As of each Computation Date, VPSA shall subtract the amount computed pursuant to paragraph 1 from the amount computed pursuant to paragraph 2. Such amount shall be the 'Aggregate Local Units' Rebate Requirement' as of the Computation Date. D. Rebate Payment 1. Upon the calculation of the Local Unit Rebate Requirement for each Local Unit, VPSA shall notify the Investment Manager thereof. The Investment Manager shall promptly charge the Principal Subaccount of a Local Unit to the extent the amount on deposit to the credit of its Income Subaccount is less than its Local Unit Rebate Requirement and credit its Income Subaccount with an amount such that the balance to the credit of the Income Subaccount is equal to such Local Unit Rebate Requirement (taking into account prior amounts credited to the Income Subaccount including investment income thereon). To the extent that the amount on deposit in the Principal Subaccount is insufficient to provide for a deposit to the Income Subaccount such that the balance in the Income Subaccount is equal to the Local Unit Rebate Requirement for the Local Unit, the Investment Manager shall advise VPSA and such Local Unit of the amount of the deficiency so that the Local Unit may promptly transfer to the Depository the amount required pursuant to Section 12 of the Proceeds Agreement. 2. In addition to the computation of the Local Units' Rebate Requirement, VPSA shall calculate its Rebate Requirement with respect to Nonpurpose Investments that were acquired with the Gross Proceeds of the VPSA's Bonds in accordance with the procedures set forth in the BWNY/100428.1/18580/00006/1890 S~mmber 26, 1994 C-~ Rebate Certificate attached as an Exhibit to the Certificate as to Arbitrage executed by VPSA in connection with the issuance of the VPSA's Bonds. 3. The Local Unit Rebate Requirement for each Local Unit, if a positive number, shall be paid at the direction of VPSA to the United States in installments. Each payment shall be made not later than sixty (60) days after each Computation Date. Each payment must be in an amount not less than the total of ninety percent (90 %) of the Local Unit Rebate Requirement for each Local Unit as of each Installment Computation Date. All of the Local Unit Rebate Requirement must be paid to the United States within sixty (60) days after the Final Computation Date. Payment shall be made to the Internal Revenue Service Center, Philadelphia, Virginia 19255 and be accompanied by Form 8038-T. VPSA shall make such payment as required. Investment Reports and records of the determinations made hereunder shall be retained by the Investment Manager and by VPSA, respectively, until six (6) years after the retirement of the last of VPSA's Bonds. In addition to the words and terms defined in the Proceeds Agreement to which this Letter Agreement is attached as Exhibit C, the following words and terms shall have the following meanings: "Available Construction Proceeds" shall have the meaning given to such term in Section 2 of the Proceeds Agreement. 'Bond Resolution' shall mean the resolution of the Authority adopted on June 26, 1991, as amended and supplemented. "Closing Date" shall have the meaning given to such term in the Proceeds Agreement. "Code" shall have the meaning given to such term in the Proceeds Agreement. "Computation Date' shall have the meaning given to such term in the Proceeds Agreement. "Eighteen-Month Exception" shall mean the exception, provided by Section 1.148-7(d) of the Treasury Regulations, to the rebate requirement imposed by Section 148(0(2) of the Code. "Fair Market Price" shall mean the purchase price and disposition price of a Nonpurpose Investment. Any Nonpurpose Investment purchased must be purchased at the Fair Market Price. An investment that is not of a type traded on an established market, within the meaning of Section 1273 of the Code, is rebuttably presumed to be acquired or disposed of at a price that is not equal to its fair market value. Accordingly, a premium may not be paid to adjust the yield on an investment, a lower interest rate than is usually paid may not adjust the yield on an investment and no transaction may result in a smaller profit or larger loss than would have BWNYIiO0428.111858010000611890 Scp~mber 26, 1994 C-6 resulted if the transaction had been at arm's-length and had the yield with respect to the Bonds . not been relevant to either party. Pursuant to Treasury Regulation Section 1,148-5(d), the following are safe harbors for establishing the Fair Market Price of certificates of deposit and guaranteed investment contracts: (i) Certificate of Deposit. A certificate of deposit with a fixed interest rate, fixed payment schedule and a substantial penalty for early withdrawal will be deemed purchased for fair market value if the yield on the certificate of deposit is not less than (i) the yield on reasonably comparable direct obligations of the United States and (ii) the highest yield published or posted by the provider to be currently available from the provider on reasonably comparable certificates offered to the public. See Section 1.148- 5(d)(6)(ii) of the Treasury Regulations. (ii) Investment Agreement. Investments pursuant to a guaranteed investment agreement will be regarded as being made at fair market price if (i) the Issuer makes a bona fide solicitation for a specified guaranteed investment contract; (ii) the Issuer receives at least three bona fide bids on the investment contract from providers that have no material financial interest in the Bonds (including as underwriter); (iii) the winning bidder provides a certificate that (A) lists all recipients, amounts and purposes of each brokerage fee, placement fee, commission or other similar payment to third parties paid by or on behalf of the winning bidder in connection with the guaranteed investment contract, (B) states that the yield on the guaranteed investment contract is not less than the yield available from the provider on reasonably comparable guaranteed investment contracts offered to other persons from sources of funds other than gross proceeds of tax-exempt bonds, and (C) in those agreements wherein the Issuer deposits amounts, states that the Issuer's reasonably expected draw-down schedule (other than for amounts deposited in debt service funds or reasonably required reserve or replacement funds) was a significant factor in the determination of the terms of the guaranteed investment contract; (iv) the Issuer purchases the highest yielding guaranteed investment contract for which a qualifying bid was made (determined net of broker's fees); and (v) the terms of the guaranteed investment contract, including the collateral security requirements, are reasonable have the same meaning as set forth in the Treasury Regulations. 'Final Computation Date' shall have the meaning given to such term in the Proceeds Agreement. 'Future Value' of a payment or receipt at the end of any period is determined using the economic accrual method and equalz the value of that payment or receipt when it is paid or received (or treated as paid or received), plus interest assumed to be earned and compounded over the period at a rate equal to the Yield on the VPSA's Bonds, using the same compounding. interval and financial conventions used to compute that yield. 'Gross Proceeds' shall have the meaning ascribed to such term in Section 148 of the Code and shall mean: (a) amounts actually received or constructively received by VPSA from the sale of the VPSA's Bonds and the amounts actually or constructively received BWNY/100428.1/18580/00006/1890 September 26, 1994 by the Local Units from the sale of the Local School Bonds, other than any interest accruing on the VPSA's Bonds from the dated date to the issue date of such bonds; (b) amounts treated as Transferred Proceeds (as defined in Treasury Regulations Section 1.148-9) of the VPSA's Bonds or the Local School Bonds, if any; (c) amounts that axe reasonably expected to be or axe in fact used to pay debt service on the Bonds including amounts in the sinking fund portion of the 1991 Income Fund under the Bond Resolution and the 1991 Bond Service Account under the Bond Resolution; (d) securities or obligations pledged by the VPSA or Local Unit as security for payment of debt service with respect to the VPSA's Bonds or the Local School Bonds; (e) amounts received with respect to any investments acquired with Gross Proceeds for the purpose of carrying out the governmental purpose for which the VPSA's Bonds or the Local School Bonds were issued, including the Local School Bonds, except that such amounts shall not include amounts, if any, that axe properly allocable to qualified administrative costs recoverable under Treasury Regulation Section 1.148-5(e) or to the higher yield permitted under Treasury Regulation Section 1.148-2(d) or Section 143(g) of the Code; (f) amounts treated as 'replacement proceeds~ of the VPSA's Bonds or the Local School Bonds within the meaning of section 1.148-1(c) of the Treasury Regulations; (g) any funds that axe part of a reserve or replacement fund for the VPSA Bonds or Local School Bonds, including the Debt Service Reserve Account under the Bond Resolution; and (h) amounts received as a result of investing any Gross Proceeds. Gross Proceeds shall include amounts that are on deposit in the Income Subaccount to the extent that such amounts axe derived from Gross Proceeds of the VPSA's Bonds or the Local School Bonds. The determination of whether an amount is included within this definition shall be made without regard to whether the amount is credited to any fund or account established under the Bond Resolution, or whether the amount is subject to the pledge of the Bond Resolution. For purposes of subsection (d) above, an amount is pledged to pay principal or interest with respect to VPSA's Bonds or Local School Bonds if there is a reasonable assurance that the amount will be available for such purposes in the event that the VPSA or Local Unit encounters financial difficulties. An amount can be indirectly pledged to pay principal or interest with respect to VPSA's Bonds or Local School Bonds if it is pledged to a guarantor of either or both BWNYIIO0428.111858010000611890 Scpt~mi~r 26, 1994 C-8 such bonds. An amount may be "negatively" pledged to pay principal or interest with respect to VPSA's Bonds or Local School Bonds if it is held under an agreement to maintain the amount at a particular level for the direct or indirect benefit of the holders of the bonds or a guarantor of the bonds. An mount is not negatively pledged however if (i) VPSA or the Local Units may grant rights in the amount that are superior to the rights of the holders of the bonds or a guarantor of the bonds, or (ii) the amount does not exceed reasonable needs for which it is maintained, the required level is tested no more frequently than every 6 months, and the amount may be spent without any substantial restriction other than a requirement to replenish the amount by the next testing date. If a decision is made to apply any insurance or condemnation proceeds to the redemption of VPSA's Bonds or Local School Bonds instead of using such proceeds for repair or replacement, any such proceeds become Gross Proceeds on the date of such a decision. The definition of Gross Proceeds has been set out in full for the sake of completeness. With respect to each Local School Bond, all of the Gross Proceeds are on deposit in such Local Unit's Proceeds Account except to the extent that the Local School Bonds may be part of a composite issue under Treasury Regulation §1.150-1(c), or the Local Unit may have retained Transferred Proceeds. With respect to the VPSA's Bonds, all of its Gross Proceeds are the total of the amounts on deposit in the Proceeds Accounts of the Local Units, except as provided above, and the amounts on deposit in the sinking fund portion of its 1991 Income Fund under the Bond Resolution and the 1991 Bond Service Account and Debt Service Reserve Account under the Bond Resolution. "Income Subaccount Set Aside" shall have the meaning given to such term in the Proceeds Agreement. "Installment Computation Dates" shall have the meaning given to such term in the Proceeds Agreement. "Investment Report" shall mean Investment Report as defined in the Letter of Instructions to the Investment Manager dated-May 1, 1994. "Local Unit's Rebate Requirement" shall mean the sum of (i) the excess of (A) the aggregate amount earned on all Nonpurpose Investments acquired with the Gross Proceeds of the Local School Bonds over (B) the amount that would have been earned if the Nonpurpose Investments had a Yield equal to the Applicable Local School Bond Yield plus (ii) any income attributable to the excess described in clause (i). "Nonpurpose Investments" shall mean any security, obligations, annuity contract or any other investment-type property (as such term is defined in Section 1.148-10>) of the Treasury Regulations) that is not acquired to carry out the governmental purpose of the VPSA's Bonds or the Local School Bonds. Nonpurpose Investments shall not include Tax-Exempt Investments. Any Nonpurpose Investments shall be purchased by the Investment Manager only if the purchase price of the Nonpurpose Investment is the Fair Market Price. BWNY/100428.1/18580/00006/1890 $op~mbor 26, 1994 "Rebate Calculation Agent" shall mean that accounting firm with a favorable national reputation in the field of the calculation of amounts subject to rebate to the United States under Section 148(f) of the Code and the Temporary Regulations that has been appointed under Section 9.2 of the Contract or by VPSA. "Six-Month Exception" shall mean the exception, provided by Section 148(f)(4)(B) of the Code, to the rebate requirement imposed by Section 148(0(2) of the Code. "Small Issuer Exception" shall mean the exception, provided by Section 148(f)(4)(D) of the Code, to the rebate requirement imposed by Section 148(0(2) of the Code. "Tax-Exempt Investments" shall include: (i) obligations the interest on which is excludable from gross income for federal income tax purposes, and not treated as an item of tax preference under Section 57(a)(5)(C) of the Code, (ii) stock in a regulated investment company to the extent that at least 95 % of the income to the holder of the interest is excludable from gross income under Section 103 of the Code, and (iii) certificates of indebtedness issued by the United States Treasury pursuant to Demand Deposit State and Local Government Series program described in 31 CFR part 344 ("SLGs"). "Treasury Regulations" shall mean the Treasury Regulations Sections 1.148-0 through 1.148-11, 1.149(b)- 1, 1.149(d)- 1, 1.149(e)- 1, 1.149(g)- 1, Section 1.150-1 and Section 1.150-2, as amended from time to time hereafter, and other regulations promulgated under Section 148 of the Code. "Two-Year Exception" shall mean the exception, provided by Section 148(f)(4)(C) of the Code, to the rebate requirement imposed by Section 148(f)(2) of the Code. "VPSA's Rebate Requirement" shall mean the sum of (i) the excess of (A) the aggregate amount earned on all Nonpurpose Investments acquired with the Gross Proceeds of VPSA's Bonds over (B) the amount that would have been earned if the Nonpurpose Investments had a Yield equal to VPSA's Bond Yield plus (ii) any income attributable to the excess described in clause (i). "Yield", for purposes of this Letter Agreement, shall be calculated pursuant to the Treasury Regulations by means of an actuarial method of yield calculation whereby "yield" means that discount rate which, when used in computing the present value of all the unconditionally payable payments of principal and interest and all the payments for a qualified guarantee paid and to be paid with respect to the bond, produces an amount equal to the issue price of the bond. For purposes of this Letter Agreement, the Yield on VPSA's Bonds is %. The Yield on investments must be computed by the use of the same frequency BWNY/IO0428.1/18580/O0006/1890 Sept~mlmr 26, 1994 C. 10 interval of compounding interest as is used in computing the Yield on the VPSA's Bonds and the Local School Bonds. In order to comply with the covenants by VPSA and each of the Local Units regarding compliance with the requirements of the Code and the exclusion from federal income taxation of the interest paid and to be paid on the Local School Bonds and VPSA's Bonds, the procedures described in this Letter Agreement may be modified as necessary, based on the advice of counsel, to comply with rulings, regulations, legislation or judicial decisions as may be applicable to such bonds. Very truly yours, VIRGINIA PUBLIC SCHOOL AUTHORITY By: Name: Title: Gary Ometer Assistant Secretary and Assistant Treasurer Accepted: COMMONWEALTH INVESTMENT COUNSEL, INC. By: Name: Al Samper Title: Program Administrator BWNY/100428.1/18580/00006/1890 September 26, 1994 C-11 Exhibit D AUTHORIZED KEPRESENTATIVES The following are the Authorized Representatives of Virginia Public School Authority, Central Fidelity National Bank and Commonwealth Investment Counsel, Inc. VIRGINIA PUBLIC SCHOOL AUTHORITY: Name Title Specimen Signature Gary Ometer Assistant Secretary and Assistant Treasurer CENTRAL FIDELITY NATIONAL BANK: Name Title Specimen Signature Anthony J. Conte Vice President COMMONWEALTH INVESTMENT COUNSEL, INC. Name Title Al Samper Program Administrator S_~cimen Signature BWNY/100428.1/18580/00006/1890 September 26, 1994 D-1 A regular meeting of the Council of the City of Roanoke, Virginia (the "Council") was held on October 10, 1994, at which the members of the Council were present and absent as follows: David A. Bowers, Mayor William White, Sr. Elizabeth Bowles Mac McCadden John S. Edwards Linda F. Wyatt John H. Parrot The following resolution was adopted by an affirmative roll call vote of a majority of all members of the Council, the ayes and nays being recorded in the minutes of the meeting as shown below: David A. Bowers, Mayor William White, Sr. Elizabeth Bowles Mac McCadden John S. Edwards Linda F. Wyatt John H. Parrot The undersigned Clerk of the Council of the City of Roanoke, Virginia, hereby certifies that the foregoing constitutes a true and correct extract from the minutes of a meeting of the Council held on October 10, 1994, and of the whole thereof so far as applicable to the matters referred to in such extract. I hereby further certify that such meeting was a regularly scheduled meeting and that, during the consideration of the foregoing resolution, a quorum was present. WITNESS MY HAND and the seal of the Council of the City of Roanoke, Virginia, this day of , 1994. ATTEST: Clerk, City of Roanoke, Virginia [ SEaL ] 211900-1.400\4. snc MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 10, 1994 Richard L. Kelley Assistant Superintendent for Operations Roanoke City Public Schools 40 Douglass Avenue, N. W. Roanoke, Virginia 24012 Dear Mr. Kelley: I am enclosing copy of an invoice from the Roanoke Times & World-News for advertising the notice of public hearing on Sunday, September 25, 1994, and Sunday, October 2, 1994, in connection with the request of the Roanoke City School Board on the proposed issuance of bonds by the City of Roanoke to provide funds, together with other available funds, to finance certain capital projects for school purposes, in an estimated maximum amount of $4,200,000.00, for improvements and additions to Virginia Heights Elementary School and Morningside Elementary School. Please remit your check, made payable to the City of Roanoke, in the amount of $133.20, to the City Clerk's Office, Room 456, Municipal Building, 215 Church Avenue, S. W., Roanoke, Virginia 24011-1536, by Friday, October 21, 1994. Sincerely, p~ Mary F. Parker, CMC/AAE City Clerk MFP: sm Enc. 'FFI3:¥IT I.jF 9/25/ ~4. SU:iG.3Y 1C/('2/gq. SU~'~O A Y I T'~: SS, THIS o~~ ~UTHORIZ~D SIGNATURE MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 13, 1994 File #178-200 Neva J. Smith Executive Director City of Roanoke Redevelopment and Housing Authority 2624 Salem Turnpike, N. W. Roanoke, Virginia 24017 Dear Ms. Smith: I am enclosing copy of Resolution No. 32224-101094 approving Amendment No. 3 to the Redevelopment Plan for the Deanwood Community Development Project. Resolution No. 32224-101094 was adopted by the Council of the City of Roanoke at a regular meeting held on Monday, October 10, 1994. Sincerely, Mary F. Parker, CMC/AAE City Clerk MFP: sm Enc. IN THE COUNCIL OF THE CITY OF ROANOKE, VIRGINIA, The 10th day of October, 1994. No. 32224-101094. A RESOLUTION approving Amendment No. 3 to the Redevelopment Plan for the Deanwood Community Development Project. WHEREAS, this Council has previously, by Resolution No. 22659, adopted January 19, 1976, approved a Redevelopment Plan for the Deanwood Community Development Project, as amended by Amendment Nos. 1 and 2, approved on October 22, 1984, by Resolution No. 27271, and August 26, 1985, by Resolution No. 27751, respectively, which plan enables the City of Roanoke Redevelopment and Housing Authority to perform certain redevelopment activities within the Deanwood area; and WHEREAS, this Council now desires to amend the existing Redevelopment Plan; and WHEREAS, Amendment No. 3 to the Redevelopment Plan, as proposed by the City of Roanoke Redevelopment and Housing Authority, was approved by the Commissioners of said Authority on September 6, 1994; and WHEREAS, the City Manager and the City's Planning Commission have recommended the approval of Amendment No. 3. THEREFORE, BE IT RESOLVED by the Council of the City of Roanoke that Amendment No. 3 to the Redevelopment Plan for the Deanwood Community Development Program Area, including revised exhibits consisting of a Property Acquisition Map,' RP-1, dated September, 1994, and a Land Use Map, RP-2, dated September, 1994, having been duly reviewed and considered, is hereby approved and the City Clerk is hereby directed to file a copy of such Plan, as amended, in the records of her office. ATTEST: City Clerk. Roanoke City Planning Commission October 10, 1994 The Honorable David A. Bowers, Mayor and Members of City Council Roanoke, Virginia Dear Members of Council: Subject: Amendment No. 3 - Deanwood Community Development Project On Wednesday, September 7, 1994, the Roanoke City Planning Commission was briefed by Mr. H. Wesley White, Jr., Director of Land Planning/Subsidized Housing of the Roanoke Redevelopment and Housing Authority, on a proposed amendment to the Land Use Map of the Deanwood Redevelopment Plan CD-2. During his presentation, Mr. White advised the Commission that the proposed amendment to the plan would accomplish the following: Bring the Land Use Map into conformity with a request by Mr. Doug Trout to use his property for an automobile sales and repair establishment. Revise the I. and Use Map for the area along Orange Avenue from Plantation Road to Hollins Road to reflect a change from light industrial to commercial. No one was present to speak in opposition or support of the request. The Planning staff recommended approval of the proposed amendment. Staff noted that the proposed amendment to the Land Use Map of the redevelopment plan would be consistent with the City's comprehensive plan and that the property in question was more suitable for commercial use than industrial development. After further consideration of the matter, the Planning Commission voted 5-0 (Messrs. Bradshaw and Buford absent) to recommend to City Council that the proposed amendments to the redevelopment plan for Deanwood be approved. Room 162 Municipal Building 215 Church Avenue, S.W. Roanoke, Virginia 24011 (703) 981-2344 CAP:JRM:mpf attachments cc: Assistant City Attorney Director of Public Works City Engineer Building Commissioner Director of Development, RRHA Respectfully submitted, Charles A. Price, Jr., Chairman Roanoke City Planning Commission Respectfully submitted, JRM:mpf attachments cc: Assistant City Attorney Director of Public Works City Engineer Building Commissioner RRHA John R. Marlles, Agent Roanoke City Planning Commission CITY OF ROANOKE REDEVELOPM EB: ,T,:,AND HOUSING AUTHORITY 2624 SALEM TURNPIKE, N. W. P.O. BOX 6359 I~OANOKE, VIRGINIA 24017 September 19, 1994 Mayor David A. Bowers and Members of Council Municipal Building 215 Church Ave., S.W. Roanoke, VA 24011 Re: Approval, Amendment No. 3 to the Deanwood Redevelopment Plan, CD-2 Dear Ladies and Gentlemen: On September 6, 1994, the City of Roanoke Redevelopment and Housing Authority held a public hearing on Amendment No. 3 to the Deanwood Redevelopment Plan. The Authority's Board of Commissioners also approved the Amendment to the Plan on September 6, 1994. ' Copies of Amendment No. 3 to the Deanwood Redevelopment Plan and Map Exhibits as approved by the Authority's Board are attached. The Plan has been amended for the following reasons: To change the land use along the northsidc of Orange Avenue (US Route 460 between Plantation Rd.., N.E. and Hollins Rd., N.E.) from Light Industrial to Highway Commercial. This change is based on thc following considerations: a0 The proposed commercial use of improved property located in the area is not allowed by the present Land Use Plan. bo Owners of unimproved property in the area feel a commercial use is more appropriate for the area. The Authority in consultation with the City's Economic Development and Planning Departments determined that the development potential for the area is greater as a Highway Commercial Use than as a Light Industrial Use. FAX (703) 983-9229 TELEPHONE (703) 983-9281 Mayor Bowers and Members of Council September 19, 1994 Page 2 The text of Sections C.2.b. 1 .), C.2.b.2.), C.2.b.3.) and C.2.b.4.) were revised to bring these regulations and controls in conformance with the City of Roanoke's Zoning Ordinance. The Authority respectfully requests that City Council consider and approve Amendment No. 3 to the Deanwood Redevelopment Plan at its meeting on October 10, 1994. If members of Council have any questions regarding the plan prior to the meeting, please do not hesitate to contact us. Members of the Authodty's staff will be available at the meeting to answer any questions which may arise at that time. Very truly yours, Executive Director NJS/HHW,jr/shs REDEVELOPMENT PLAN FOR DEANWOOD COMMUNITY DEVELOPMENT PROJECT AMENDMENT NO. 3 September, 1994 City of Roanoke Redevelopment and Housing Authority Do Eo Pagc l DEANWOOD COMMUNITY DEVELOPMENT PROJECT REDEVELOPMENT PLAN ROANOKE, VIRGINIA TABLE OF CONTENTS Table of Contents ...................................................... I Description of Project .................................................. 2 1. Boundaries of Redevelopment Area .................................. 2 2. Redevelopment Plan Objectives ..................................... 2 3. Types of Proposed Renewal Actions .................................. 3 Land Use Plan ........................................................ 3 3 1. Land Use Map .................................................. 2. Land Use Provisions and Building Requirements ........................ 3 Project 1. 2. 3. 4. 5. Proposals ...................................................... 7 Land Acquisition ................................................ 7 8 Rehabilitation and Conservation ..................................... Proposals for Low and Moderate Cost Housing ......................... 8 Redeveloper's Obligations .......................................... 8 Underground Utility Lines ......................................... 9 Other Provisions Necessary to Meet State and Local Requirements ................ 9 1. Conformance to Comprehensive Plan ................................. 9 2. Relationship to Local Objectives ..................................... 9 3. Proposals for Land Use, Building Requirements and Land ................ 10 Disposition Relocation .......................................................... 10 Procedures for Changing and Approved Redevelopment Plan .................... 12 Exhibits and Maps .................................................... 12 1. Exhibit A-Boundary Description ............................. Attachment 2. Property Acquisition Map Dated September, 1994 - RP-1 ......... Attachment 3. Land Use Map Dated September, 1994 - RP-2 .................. Attachment CD-2 Amendment No. 3 Roanoke, Virginia 9/94 Page 2 Description of Project 1. Boundaries of the Redevelopment Area The boundaries of the Deanwood Community Development Project Area shown on the Property Acquisition Map No. RI'- 1, dated September, 1994 and described in Exhibit A-Boundary Description and attached hereto. 2. Redevelopment Plan Objectives The objectives of the Deanwood Community Development Project are as follows: To plan for the acquisition and removal of buildings or improvements which by reason of dilapidation, obsolescence, overcrowding, faulty arrangement of design, lack of ventilation, light, and sanitary facilities, excessive land coverage, deleterious land use or obsolete layout, or a combination of these or other factors, are detrimental to the safety, health, morals, or welfare of the community: The Deanwood Community Development Project Area encompasses a blighted area which contains 30 dilapidated buildings, and 21 buildings the use of which is deleterious to surrounding uses, of a total of 66 structures. To plan for the acquisition of other property for the purposes of removing, preventing or reducing blight, blighting factors, or the cause of blight, which in the Deanwood project area includes steeply rolling topography, poor street gradients and layout, inadequate utilities, and remote community facilities. Co To plan for the acquisition of property where the diverse ownership, the street and lot layout, and other conditions prevent a proper development of property and where acquisition of the property is necessary to carry out the Redevelopment Plan: The Deanwood Project Area contains 47 unimproved properties and 10 improved properties which must be acquired to assemble sufficient land for proper development, to provide the land use contemplated in the Redevelopment Plan, and to carry out needed public improvements. To improve the standard of housing and environment of the residents to be relocated from the project area~ including the provision of housing in better CD-2 Amendment No. 3 Roanoke, Virginia 9/94 Page 3 physical conditions and in locations which arc ~norc acccssiblc to nccdcd community facilitics and to thc rcmaindcr of thc city. To replace residential uses in an area which is isolated from othcr residential areas and from adequate community facilities and which is surrounded by uses incompatiblc with a rcsidcntial environment. To create a new resource of graded land for light industries which desire a central location near excellent highways and near downtown Roanoke, thus strengthening the economic base of the City and the region. To provide sites for highway-oriented commercial facilities to serve the growing volume of regional and interstate traffic. To make possible the construction of a new major street from Orange Avenue (US 460), north to connect with Kimball Avenue at the northern Project Boundary, which will improve the movement of local and regional traffic. Types of Proposed Renewal Actions The entire project area will be cleared and redeveloped. All existing structures and streets (except properties marked N.T.B.A., Orange Avenue, Williamson Road, and Hollins Road) will be cleared, the land will be graded as necessary, new major and secondary streets will be constructed, and the resulting building sites will be redeveloped for commercial and industrial use. Underground utility lines are required and will be placed in public rights-of-way wherever possible. Land Use Plan 1. Land Use Map Land Use Map No. RP-2, dated September, 1994, is submitted as part of this Redevelopment Plan. 2. Land Use Provisions and Building Requirements CD-2 Amendment No. 3 Roanoke, Virginia 9/94 Permitted Uses Two general types of land uses shall bc pcrmittcd in thc Dcanwood Community Development Project, Highway Commercial and Light Industrial. Pagc 4 2.) Highway Commercial: The following Highway Commercial uses shall be permitted in the project area according to the locations shown on the Land Use Map No. RP-2: a.) Medical, dental, other professional and business offices; b.) Retail establishments, and sales and display rooms and lots (not including storage or display yards for building materials, or for scrap or salvage operations); c.) Eating and drinking establishments; d.) Service and repair establishments, such as barber, and beauty shops, dry cleaning establishments, shoe repair shops, filling stations, and repair garages; e.) Hotels and motels; fi) Commercial recreational structures and uses; g.) Financial institutions; h.) Commercial and job printing establishments; i.) Accessory uses customarily and clearly incidental to permitted uses. Light Industrial: The following Light Industrial uses shall be permitted in the project area according to the locations shown on the Land use Map No. RP-2: CD-2 Amendment No. 3 Roanoke, Virginia 9/94 bo 3.) Page 5 a.) b.) Light manufacturing and processing, provided that all manufacturing and processing operations bc conducted within an enclosed building: Freight terminals, wholesaling, warehousing, storage, supply and disthbution; Accessory uses, including outdoor storage lots and yards incidental to the primary operation except wrecking, junk and scrap and salvage yards. Locations of Uses: The parcel sizes and locations for Highway Commercial and light Industrial uses shall be determined by the City of Roanoke Redevelopment and Housing Authority within the pattern shown by the Land use Map RP-2 and according to the following guidelines: a.) The general nature of the project area shall be predominately light industrial with a border of highway commercial uses adjacent to the existing commercial uses on Williamson Road and Orange Avenue. b.) the determination of parcels for Highway Commercial uses shall be contingent upon the demonstration of an adequate economic demand for such sites. Additional Regulations and Controls 1.) Building and Lot Requirements for Highway Commercial Uses: The requirements for Highway Commercial uses shall be those outlined in Article III, Division 3, Subdivision C, of the Zoning Ordinance of Roanoke, Virginia. 2.) Building and Lot Requirements for Light Industrial Uses: Building and lot requirements for Light Industrial uses shall be those outlined in Article III, Division 4, Subdivision A of the Zoning Ordinance of Roanoke, Virginia. 3.) Off-Street Parking and Loading: Off Street Parking and Loading requirements shall be those outlined in Article IV, Division 2 of the Zoning Ordinance of Roanoke, Virginia. CD-2 Amendment No. 3 Roanoke, Virginia 9/94 4.) 5.) 6.) 7.) 8.) Pagc 6 Signs: Thc sign requirements shall be those outlined in Article IV, Division 3 of thc Zoning Ordinancc of Roanoke, Virginia. General Supplementary Regulations: All uses shall conform to the General Supplementary Regulations as set forth in Article IV, Division 1 of the Zoning Ordinance of Roanoke, Virginia. Curb Cuts: Driveways leading from public streets shall be in conformity with City of Roanoke standards in so much as size, location and design, except that no part of a driveway leading from a public street shall be nearer than 3 feet to a fire hydrant or catch basin as measured at the curb line. Landscaping: Any land in the project area not covered by paving or structures shall be landscaped with not less than 10 percent of the land, not covered by structures, or paved areas, shall be landscaped. Areas which are within street rights-of-way but used for street or sidewalk pavements shall be paved or landscaped. Easements: No structures shall be erected on or over utility easements. Design Guidelines The development of all parcels to be disposed of in the Deanwood Community Development Project shall be in accordance with the following design guidelines: The structures shall be placed on the site in a location which presents a satisfactory view from the street and which best utilizes the topography, and which relates well to planned or existing structures on adjoining sites. 2.) The site should be planned to minimize interference with external traffic movement, to provide a clear internal traffic flow to parking areas, and to shield larger parking areas from public streets. 3.) Landscaping should be provided on each site in a manner consistent with the use of the site and with its particular geographic characteristics. CD-2 Amendment No. 3 Roanoke, Virginia 9/94 do Pagc 7 4.) Thc design of buildings and signs should recognize their utilization and should be attractive and pleasing. 5.) All building accessories located on the roof or site of thc development shall be screened to be compatible with the structure. Duration of Provisions and Requirements The provisions and requirements established above and any amendment thereto shall be in effect from the date of approval of this Redevelopment Plan by the Council of the City of Roanoke, Virginia and shall remain in effect for a period of twenty-five (25) calendar years from that date. Do e. Controls to be Applied to Property. Not Acquired Improvements or additions to improved and unimproved properties within the project area identified as "Not To Be Acquired," shall meet the Land Use Provisions and Building Requirements established under C.2. above. Project Proposals 1. Land Acquisition ao All properties in the Deanwood Community Development Project are to be acquired for clearance and redevelopment, except those properties indicated Not To Be Acquired (N.T.B.A.) on the Property Acquisition Map No. RP-1, dated September, 1994. bo Conditions for Not Acquiring Properties Now Designated for Acquisition: The City of Roanoke Redevelopment and Housing Authority may exempt from acquisition any property which, in its judgment, can be made by the owner to conform to all of the land use provisions and building requirements set forth herein and when acquisition of such property is not necessary to carry out the objectives of the Redevelopment Plan. CD-2 Amendment No. 3 Roanoke, Virginia 9/94 o Pagc 8 Rehabilitation and Conservation No rehabilitation and conservation is contemplated for thc project area. Proposals for Low and Moderate Cost Housina No Housing is contemplated as a reuse for the project area. Redeveloper's Obligations The City of Roanoke Redevelopment and Housing Authority in disposing of the land in the project area to be redeveloped by private or public parties, shall in contracts or deeds or other instruments with such parties, include such terms or conditions as in the judgment of the Authority are necessary to carry out the objectives of the Redevelopment Plan. Such provisions shall be contained in such contracts, deeds, or other instruments between the City of Roanoke Redevelopment and Housing Authority and the redevelopers shall obligate the purchasers of land in the project area and their successors in interest to: Devote the parcels owned by them only for the purposes and in the manner specified in the Redevelopment Plan and to that end to obtain the approval of the City of Roanoke Redevelopment and Housing Authority of site redevelopment plans. bo Begin and complete the construction of improvements agreed upon in the land disposition contract within a reasonable time as determined in the contract. Co Retain the interest acquired until the completion of construction and development of the area acquired in accordance with this plan and shall not sell, lease or transfer the interest acquired or any part thereof prior to such completion of construction and development without the written consent of the City of Roanoke Redevelopment and Housing Authority. Not effect or execute any agreement, lease, conveyance, or other instrument whereby the property or any part thereof is restricted on the basis of race, religion, sex, color, national origin, age or handicap in the sale, lease or occupancy thereof, and to comply with all state or local laws in effect from time to time prohibiting discrimination or segregation by CD-2 Amendment No. 3 Roanoke, Virginia 9/94 Page 9 reason of race, religion, scx, color, national origin, age or handicap in thc sale, lease or occupancy of thc property. To comply to the requirements and provisions of the Affirmative Action Plan for contract compliance, as in the judgement of thc Authority arc necessary. 5. Underground Utility Lines Utility lines will be required to be underground and located within the public easements or rights-of-way or in easements granted by private developers. Other Provisions Necessary_ to Meet State and Local Requirements This Redevelopment Plan is based on the provisions of the Virginia Housing Authorities Law and of the Regulations of the City of Roanoke. The following requirements have been met: 1. Conformance to Comprehensive Plan The Redevelopment Plan for the Deanwood Community Development Project conforms to the recommendations of the Development Plan for the City of Roanoke, Virginia. 2. Relationship to Local Objectives The Redevelopment Plan contributes to the realization of the following local objectives: To acquire blighted or deteriorated areas which are detrimental to the safety, health, morals or welfare of the community and to acquire other real property for the purpose of removing, preventing, or reducing blight, blighting factors, or the cause of blight. The project area contains 66 structures of which 30 were found to be dilapidated by a survey of the interior and exterior of all structures. The project area unquestionably constitutes a blighted or deteriorating area as defined in the Virginia Housing Authorities Law and the proposed clearance of the project area constitutes the removal of blight or blighting factors permitted by that Law. CD-2 Amendment No. 3 Roanoke, Virginia 9/94 Fo Pagc I 0 To support and strengthen the growth of the City by eliminating incompatible land uses, by providing for new and more appropriatc uses which will contribute to the economic base of thc area, and by improving traffic movement within the northern part of the City and region. To remove impediments to land disposition and development in a critical area near downtown and between Williamson Road, Orange Avenue, Hollins Road and near Interstate Highway 581. 3. Proposals for Land Use, Building Requirements and Land Disposition The Redevelopment Plan indicates proposed land uses and building requirements in the project area and indicates the areas to be made available to private enterprise and to public enterprise for redevelopment. Relocation The Redevelopment Plan indicates the following methods of relocating residents: 1. The temporary relocation (when necessary) of persons living in the area: and Providing decent, safe and sanitary dwellings in the City of Roanoke substantially equal to the number of substandard dwellings to be cleared for the area, at rents within the financial reach of the income groups displaced from such substandard dwellings as follows: ao The City of Roanoke Redevelopment and Housing Authority will comply with applicable State and Federal laws and will administer relocation procedures by using experienced Authority personnel. bo A family-by-family survey, together with a survey of single persons and commercial establishments, will be conducted and the data obtained will be compiled by the Authority staff immediately prior to or at the time of acquisition. Co Listings from newspaper advertisements and realtors of available rental units will be kept current by the Authority staff. The existing turnover of public housing units will be sufficient to rehouse all eligible families. Turnover in existing private housing will be sufficient to permanently or temporarily rehouse all other families and single persons who will be CD-2 Amendment No. 3 Roanoke, Virginia 9/94 o Pagc 11 displaced. The City of Roanoke Redevelopment and Housing Authority will consider a dwelling unit to be decent, safe and sanitary when it: ao Is in conformity with applicable provisions of local codes and ordinances governing existing structures: Is in good repair, weather-tight, weather-tight with no dampness or leakage: Co Contains for the exclusive use of the family, bathroom facilities, adequately ventilated, with a lavatory, bathtub or shower and flush toilet, all sewer connected and with a supply of hot and cold running water: Contains a kitchen with sink and cook stove or utility connection for such stove; Has safe flue-connected heating facilities and adequate and safe electhcal service; Has a window opening directly to the outdoors in each living room, bedroom and kitchen. (In the event a kitchen has no such window, an operable mechanical ventilating device is deemed to be adequate.); Has sufficient space and rooms in adequate proportion to provide privacy and to avoid overcrowding. If any dwelling unit into which a family relocates is not decent, safe and sanitary, such relocation will be regarded as temporary. The Relocation Staff of the Authority will offer the family so relocated further assistance in obtaining standard accommodations. Families and single persons will be advised in writing and by personal interview regarding the relocation procedures. All quarters available or used for the relocation or persons will be personally inspected by the Relocation Staff of the Authority and certified as being safe, decent, and sanitary, as warranted. Relocation will be fully documented and recorded. CD-2 Amendment No. 3 Roanoke, Virginia 9/94 Page 12 Occupants will be informed of impending demolition of structures and of plans of thc Authority with respect to cooperating in thcir rclocation. Thc site families and single persons will be notified personally and in writing in ordcr that thc Authority is assured that proper notification has been issued. Legal eviction will be undertaken against occupants of acquired property only as a last resort and shall be undertaken in cases of: Go a. Failure to pay rent. b. Maintaining a nuisance or using the premises for illegal purposes. c. A material breach of the rental agreement. d. Refusal to admit a member of the Authority Relocation Staff. e. Refusal to consider accommodations meeting relocation standards. Situations requiring eviction under State or local law. Site families, individual householders and commercial establishments will be compensated for moving expenditures and/or direct loss of personal property. In no event will such payments exceed the maximum amounts permitted by Federal Regulations governing Relocation Grant payments. The relocation schedule will be contingent upon the acquisition of property and cooperation of the owner or tenant occupying the premises, it will be administered in a manner to prevent undue hardship to any occupant. Procedures for Changes in Approved Plan The Redevelopment Plan may be modified at any time by the City of Roanoke Redevelopment and Housing Authority with the consent of the City Council, provided that, if modified after the lease or sale of real property in the project area, the modification shall be conditioned upon the approval of the owners, lessees, or successors in interest of any property adversely affected by such modification, and in any event shall be subject to such rights at law or in equity as a lessee or purchaser, or his successor or successors in interest may be entitled to assert. Where the proposed modification will substantially change the Redevelopment Plan as previously approved by the Authority, the modification shall be formally approved by the Authority as in the case of the original Plan. Exhibits and Maps CD-2 Amendment No. 3 Roanoke, Virginia 9/94 EXHIBIT A DEANWOOD COMMUNITY DEVELOPMENT PROJECT AMENDMENT NO. 3 Boundary Description Page 1 BEGINNING at a point on the westerly fight-of-way of Williamson Road, thence, easterly across Williamson Road, along the southerly property line of properties numbered Block 9, Parcels 7, 8 and 9, approximately 425 feet; thence, northerly along the westerly property line of the property numbered Block 1'1, l~arcel 7, approximately 125 feet to the northerly property line of Block 11, parcel 7; thence, easterly along the northerly property lines of the properties of Block 7, extended approximately 390 feet to the easterly fight-of-way of Sixth Street; thence, southerly along said fight-of-way approximately 135 feet to the northerly fight-of-way of Georgia Avenue; thence, easterly along said right-of-way approximately 480 feet to the westerly right-of-way of Plantation Road; thence, northerly along said fight-of-way approximately 135 feet to a point; thence, easterly across Plantation Road and along the northerly property line of Block 6, extended approximately 345 feet to the easterly fight-of-way of the Norfolk and Western Railroad; thence, northerly along the easterly fight-of-way of the Norfolk and Western Railroad approximately 477 feet to the northerly property line of property numbered Block 12, Parcel 1; thence, easterly along the northerly property line of the property numbered Block 12, Parcel 1, extended approximately 635 feet to the westerly right-of-way line of Hollins Road; CD-2 Amendment No. 3 Roanoke, Virginia 9/94 Page 2 thence, southerly along the westerly right-of-way line of Hollins Road approximately 1,403 feet to the northerly right-of-way line of Orange Avenue; thence, westerly along the northerly right-of-way line of Orange Avenue approximately 1,102 feet to the westerly property line of the property numbered Block 1, Parcel 3; thence, northerly along said property line, extended 430 feet to the southerly right-of-way of an alley; thence, westerly along said right-of-way, approximately 495 feet to the easterly property line numbered Block 8, Parcel 17; thence, southerly along said property line extended approximately 175 feet to the southerly right- of-way of Louisiana Avenue; thence, westerly along said right-of-way approximately 120 feet to the easterly property line of the property numbered Block 9, Parcel lB; ,t thence, southerly along said property line approximately 255 feet to the northerly right-of-way of Orange Avenue. thence, westerly along said right-of-way approximately 270 feet to a point; thence, southerly across Orange Avenue to a point on the southerly right-of-way of Orange Avenue; thence, westerly along said fight-of-way approximately 445 feet to the westerly fight-of-way of Williamson Road; thence, northerly along said right-of-way approximately 1,070 feet to the point of BEGINNING. This area contains 51 acres more or less. CD-2 Amendment No. 3 Roanoke, Virginia 9/94 NOTICE OF PUBLIC HEARING TO WHOM IT MAY CONCERN: The Council of the City of Roanoke will hold a Public Hearing on Monday, October 10, 1994, at 7:00 p.m., or as soon thereafter as the matter may be heard, in the Council Chamber in the Municipal Building, 215 Church Avenue, S.W., for the purpose of considering certain amendments to the Deanwood Redevelopment Plan. A copy of the proposed amendments is available for review in the Office of the City Clerk, Room 456, Municipal Building. Questions about the content of the proposed amendment should be directed to the Office of Community Planning, 981-2344. The Deanwood project area, as proposed, is described as follows: Boundary Description BEGINNING at a point on the westerly right-of-way of Williamson Road; thence, easterly across Williamson Road, along the southerly property line of properties numbered Block 9, Parcels 7, 8 and 9, approximately 425 feet; thence, northerly along the westerly property line of the property numbered Block 11, Parcel 7, approximately 125 feet to the northerly property line of Block 11, parcel 7; thence, easterly along the northerly property lines of the properties of Block 7, extended approximately 390 feet to the easterly right-of-way of Sixth Street; thence, southerly along said right-of-way approximately 135 feet to the northerly right-of-way of Georgia Avenue; thence, easterly along said right-of-way approximately 480 feet to the westerly right-of-way of Plantation Road; thence, northerly along said right-of-way approximately 135 feet to a point; thence, easterly across Plantation Road and along the northerly property line of Block 6, extended approximately 345 feet to the easterly right-of- way of the Norfolk and Western Railroad; thence, northerly along the easterly right-of-way of the Norfolk and Western Railroad approximately 477 feet to the northerly property line of property numbered Block 12, Parcel 1; thence, easterly along the northerly property line of the property numbered Block 12, Parcel 1, extended approximately 635 feet to the westerly right-of- way line of Hollins Road; thence, southerly along the westerly right-of-way line of Hollins Road approximately 1,403 feet to the northerly right-of-way line of Orange Avenue; thence, westerly along the northerly right-of-way line of Orange Avenue approximately 1,102 feet to the westerly property line of the property numbered Block 1, Parcel 3; thence, northerly along said property line, extended 430 feet to the southerly right-of-way of an alley; thence, westerly along said right-of-way, approximately 495 feet to the easterly property line numbered Block 8, Parcel 17; thence, southerly along said property line extended approximately 175 feet to the southerly right-of-way of Louisiana Avenue; thence, westerly along said right-of-way approximately 120 feet to the easterly property line of the property numbered Block 9, Parcel lB; thence, southerly along said property line approximately 255 feet to the northerly right-of-way of Orange Avenue; thence, westerly along said right-of- way approximately 270 feet to a point; thence southerly across Orange Avenue to a point on the southerly right- of-way of Orange Avenue; thence, westerly along said right-of-way approximately 445 feet to the westerly right-of-way of Williamson Road; thence, northerly along said right-of-way approximately 1,070 feet to the point of BEGINNING. This area contains 51 acres, more or less. Ail parties in interest may appear on the above date and be heard on the question. GIVEN under my hand this 21st day of September , 1994. Mary F. Parker, City Clerk. Publish in full once on Friday, September 30, 1994, in the Roanoke Times and World-News. Send publisher's affidavit and bill to: Mary F. Parker, City Clerk, Room 456, Municipal Building, 215 Church Avenue, S. W., Roanoke, Virginia 24011- 1536. MARY F. PARKER, CMC/AAE City Clerk CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Room 456 Roanoke, Virginia 24011 Telephone: (703) 981-2541 SANDRA H. EAKIN Deputy City Clerk October 10, 1994 Neva H. Smith Executive Director City of Roanoke Redevelopment and Housing Authority 2624 Salem Turnpike, N. W. Roanoke, Virginia 24017 Dear Ms. Smith: I am enclosing copy of an invoice from the Roanoke Times & World-News for advertising the notice of public hearing on Friday, September 30, 1994, in connection with the request of the City of Roanoke Redevelopment and Housing Authority with regard to Amendment No. 3 to the Deanwood Community Redevelopment Project. Please remit your check, made payable to the City of Roanoke, in the amount of $176.80, to the City Clerk's Office, Room 456, Municipal Building, 215 Church Avenue, S. W., Roanoke, Virginia 24011-1536, by Friday, October 21, 1994. Sincerely, Mary F. Parker, CMC/AAE City Clerk MFP: sm Eno.