Current Events at the Capitol

Listed below are legislative actions taken by the General Assembly of relevance to the City of Hampton.

1) Fort Monroe - On February 24, the House and Senate adopted the conference report for SB 1392 (Williams)/HB 3180 (Gear), effectively creating the Fort Monroe Federal Area Development Authority (FMFADA). As written, the authority will consist of 18 members as follows: 7 nonlegislative members appointed by the Hampton City Council, 5 members of the governor's cabinet, 2 members of the House of Delegates, 2 members of the Senate, and 2 citizen members appointed by the governor. The legislation also outlines the powers and duties of the authority, and requires a 75% majority vote of the members before any significant decisions, including the final reuse plan, can be made. The legislation contains an emergency clause, making it effective as soon as the governor signs it.

2) City Attorney Charter Bill - SB 1182 (patroned by Senator Marty Williams) and HB 2195 (patroned by Delegate Jeion Ward), the legislation to move the authority to appoint the city attorney from the city manager to the city council, passed both the House and Senate and await the governor's action.

3) Real Estate Assessment Board Charter Bill - SB 1018, patroned by Senator Mamie Locke, to eliminate the requirement that members of the city real estate board of review be property owners in the city, also passed the House and Senate and awaits the governor's action.

4) Budget Amendments - The City of Hampton received $50,000 for Fort Wool and $150,000 for the Hampton Arts Foundation.

5) Transportation - On the last day of the legislative session, HB 3202, the transportation legislation patroned by Speaker of the House Bill Howell, passed the House (64-34), and Senate (21-18). The legislation dedicates significant new funds to transportation through approximately $180 million in general funds for annual debt payments, and another $150 million in general funds for road construction. Additionally, the legislation allows Hampton Roads and Northern Virginia to raise additional funds through regional authorities. The Hampton Roads Transportation Authority (HRTA) would be created if 7 of the 12 included localities comprising 50% of the region agree to join. The HRTA would then have the authority to impose the following taxes and fees: commercial real estate tax ($0.10 per $100 of assessed value), grantor's tax ($0.40 per $100 of assessed value), motor vehicle rental tax (2%), driver's license fee increase ($10), first time vehicle registration fee (1%), sales tax on auto repairs (5%), retail gas tax (2%), vehicle registration fee ($10), and vehicle inspection fee ($10). This package of taxes and fees is anticipated to generate approximately $200 million in revenue for regional transportation projects in Hampton Roads, including:

• Phase 1: 460 upgrade, I-64 Peninsula widening, I-64 Southside widening, Downtown Tunnel, Midtown Tunnel, MLK Extension, Southeastern Parkway/Dominion Boulevard, I-664 Widening in Newport News, Southside and Monitor Merrimac Tunnel
• Phase 2: I-64 to the Intermodal Connector, I-564 to Monitor Merrimac Tunnel, Craney Island Connector

The legislation is awaiting the governor's action. As has been reported from various media and other sources, the governor has communicated a number of concerns with the legislation, chiefly surrounding the use of general funds, which are typically used to support those services which cannot "raise" fees or taxes, such as public education, higher education, public safety, etc., to subsidize transportation. It is anticipated that the governor will write extensive amendments to the bill because of these concerns.

6) Eminent Domain - After more than a year of work on the issue, the General Assembly passed legislation which will restrict the ability of local governments to invoke eminent domain. The Senate and House of Delegates agreed on bills that define "public uses" under which local governments have the authority to take private property. The bills, HB 2954 and SB 1296, define five "public uses" under which private property can be taken. The legislation allows eminent domain for eliminating blight, but only if the property itself is blighted. The bills would not affect current plans of redevelopment and housing authorities if they file petitions for condemnation by July 1, 2009.

The legislation limits the power of eminent domain to the following situations:

• (i) the property is taken for the possession, ownership, occupation, and enjoyment of property by the public or a public corporation;
• (ii) the property is taken for construction, maintenance, or operation of public facilities by public corporations or by private entities provided that there is a written agreement with a public corporation providing for use of the facility by the public;
• (iii) the property is taken for the creation or functioning of any public service corporation, public service company, or railroad;
• (iv) the property is taken for the provision of any authorized utility service by a government utility corporation;
• (v) the property is taken for the elimination of blight provided that the property itself is a blighted property; or
• (vi) the property taken is in a redevelopment or conservation area and is abandoned or the acquisition is needed to clear title where one of the owners agrees to such acquisition.

Should you have any questions about this memo or any legislative matters, you can reach me at (757) 848-8515 or ekersey@hampton.gov.