City of Virginia Beach

The committee held a presentation by an attorney regarding the legalization of marijuana in Virginia and its projected impact on the local resort community. Key discussion topics included the challenges of controlling the black market, the necessity of new legislation to provide guidance to law enforcement, and the significant operational and security hurdles businesses face due to the ongoing federal illegality of cannabis, which necessitates cash-only transactions and complicates banking and tax compliance.

The board reviewed and discussed monthly financial statements, covering operating accounts and incentive grants. Key discussions included the approval of a public parking opportunity near the 31st street resort area and an update on the NAS Oceana future-based design project.

The board convened to discuss a closed session regarding public contract awards and negotiating strategies. Following the closed session, auditors from Cherry Bekaert presented the results of the fiscal year 2021 audit, noting a significant deficiency related to an accounting transaction involving the Virginia Beach Community Development Corporation, which has since been addressed. The board also received a briefing on the Future Base Design program at NAS Oceana, which focuses on leveraging underutilized real estate through 50-year term leases with third parties to support capital and operating needs, and discussed potential tax implications and partnership opportunities for various properties.

The board reviewed financial statements and discussed ongoing efforts to streamline grant processes and internal operations, including plans to improve financial reporting and address audit findings. Action was taken to approve a setback waiver for a property on Seahawks Circle and to authorize design and elevation waivers for the expansion of Fortis Solutions Group. Additionally, the board approved a supplemental petition to the City Council regarding the amendment of the Atlantic Park Community Development Authority to facilitate infrastructure financing. The meeting concluded with discussions on upcoming priorities, including the review of employee retention and expansion incentive policies and an update on the status of payments from Vanguard Landing.

The meeting included a review of financial statements for the incentive and initiative accounts, noting significant receipts from loan payments, land purchase deposits, bond fees, and interest, alongside disbursements for site designs and legal services. The board approved a resolution to modify bond terms for Virginia Wesleyan University to lower interest rates. Additionally, the board approved a resolution authorizing a work order with the U.S. Navy for property design and marketing, including an upcoming industry day. Finally, the board reviewed applications for the facade improvement grant program, which has been expanded to cover any commercially or industrially zoned property, and discussed recommendations for grant awards based on a ranking system prioritizing application completeness and business eligibility.