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Mayor Levar Stoney releases proposed FY22 city budget

Despite municipal revenues projected to be nearly $18.5 million less than revenues in last year’s FY21 proposed budget, the $770.3 million proposal is balanced, with expenses in line with current revenue projections.

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On Friday, Mayor Levar M. Stoney and administration leadership presented the proposed FY22 budget to Richmond City Council. Despite municipal revenues projected to be nearly $18.5 million less than revenues in last year’s FY21 proposed budget (when excluding one-time funding sources from both fiscal years), the $770.3 million proposal is balanced, with expenses in line with current revenue projections.

“The difficult decisions we had to make reflect the extraordinarily challenging economic times we’re in, and while this budget is limited in its ability to provide for new programming, it does protect the work we’ve started to make our city more equitable,” said Mayor Stoney. “Facing the need to do more with significantly less challenged us to look even more closely at how we can allocate the resources we have to produce better results for Richmonders.”

With proposed utility rate increases, the average customer will see a $5.27 increase in their monthly utility bill. This increase in utility rates will fund more than $3 million in infrastructure improvements to address flooding in key areas, particularly Southside.

However, the budget as proposed contains no increases in real estate, personal property or other general taxes.

The proposed Operating Budget and FY22-26 Capital Improvement Plan (CIP) include the following key investments (the list is not exhaustive):

Transit, Mobility and Transportation

$8 million to the Greater Richmond Transit Company;

$33.5 million in investments in sidewalk maintenance and construction, paving, new bike lanes and bridge maintenance, and other transportation-related improvements in addition to an anticipated $16.7 million from the Central Virginia Transportation Authority;

$2.5 million specifically for new sidewalk construction (up from $900,000 in FY21) as well as an increase in the number of sidewalk crews in the Department of Public Works;

Housing Affordability and Security

$2.9 million to the Affordable Housing Trust Fund (level-funding from last year);

$485,000 to the Eviction Diversion Program (level-funding from last year);

Equity and Community Safety

$1.1 million in operational funding to the Department of Emergency Communications to establish the Marcus Alert (as supported by community advocates and members of the Task Force to Reimagine Public Safety);

$28 million for the Enslaved African Heritage Campus in the FY22-26 CIP;

Funding for a Community Safety Coordinator, the city’s point person for implementing a gun-violence prevention framework, coordinating services for Richmonders experiencing homelessness and working with residents to address other community safety concerns;

Creation of the Office of Engagement under the Department of Citizen Service and Response;

Creation of the Office of Equity and Inclusion under the Deputy Chief Administrative Officer for Human Services;

Children and Families

$187 million to Richmond Public Schools, fully funding the school system’s operational funding request (constitutes a $6.4 million increase when excluding RPS’ use of one-time funding in FY21);

$200 million for school modernization in FY24, including funding for a new George Wythe High School;

Good Governance

Full funding, in the FY22-26 CIP, to complete the renovation and expansion of the Southside Community Services Center;

A two-step salary increase for sworn police officers and firefighters;

An hourly wage increase for city employees making $12.07/hour to $13/hour; and

Nearly $6 million in the general fund to implement the recommendations of the Gallagher Class and Compensation Study, which found that many city employees make significantly less than their mid-range salaries compared to market rates.

In favor of implementing the recommendations of the Gallagher Class and Compensation Study, Mayor Stoney appealed to service quality and consistency: “The fact is, we will not achieve service improvement goals if we do not stabilize the attrition rate in the city workforce or if we cannot competitively recruit.”

He also shared that the creation of a pandemic-era budget resulted in the adoption of multiple municipal best practices, including increasing the transparency and accountability of the budgeting process. In the budget document, the Richmond City Council will be able to view a list of frozen and funded positions per department, tying the funded positions to specific city needs and functions. In order to balance the budget, the administration has decided to freeze an additional 150 positions, compared to last year’s budget.

The Mayor closed on a positive note, stating, “Whether times are lean or prosperous, I want you to know that I will continue to be bold and embrace the challenges before us.”

“We will take the actions required to remove barriers to opportunity and ensure our city can recover the right way.”

Interested parties will be able to learn more about the budget, read the mayor’s remarks and watch the presentation at www.rva.gov/budgethub.

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Trevor Dickerson is the co-founder and editor of RVAhub.com, lover of all things Richmond, and a master of karate and friendship for everyone.

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Five Acres of Prime Riverfront to be Put Aside for the Public

Capital Region Land Conservancy, The Conservation Fund, James River Association and City of Richmond, teamed up to purchase the properties located at 3011 and 3021 Dock Street in the City of Richmond.

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From yesterday’s press release:

Capital Region Land Conservancy (CRLC), in partnership with The Conservation Fund, James River Association and City of Richmond, is honored to announce that it has entered a contract to purchase the properties located at 3011 and 3021 Dock Street in the City of Richmond. CRLC is working with its partners to acquire the 5.207 acres to serve the community in multiple ways. This exciting land acquisition will create one contiguous publicly accessible riverfront space and allow for the completion of the Virginia Capital Trail. It will also expand city-owned parkland in Richmond’s East End and enable the establishment of new river access and environmental education programs.

Located between Great Shiplock Park and the former Lehigh Cement Co. site, the parcel that CRLC has under contract is the only remaining privately owned parcel along the north bank of the tidal James River in Richmond. Once funding is secured to permanently protect the property from development most of it will be transferred to the City of Richmond. This transfer will help create a riverfront park featuring access to the James River envisioned by the Richmond Riverfront Plan.

“The life of our great city, and the health and welfare of our residents, has always been tied to access to our river and riverfront, and after the year we’ve been through, that is as important today as it’s ever been,” said Mayor Levar Stoney, speaking today at Great Shiplock Park. “I’d like to thank our partners at the Capital Region Land Conservancy, The Conservation Fund, the James River Association, and all the organizations and individuals who worked so hard to preserve our city’s iconic views and natural beauty to create additional parkland for refuge and recreation that can be enjoyed by all residents for generations to come.”

By acquiring and protecting the properties at 3011 and 3021 Dock Street, CRLC, The Conservation Fund and the City of Richmond will fulfill one of the most referenced components of the local comprehensive plan over the past 50 years. Specifically, the 2009 Richmond Downtown Plan highlights “preserving existing and historic viewsheds towards the river is essential to connecting the city to the river. Future development along the riverfront needs to be carefully considered so that it will not impact significant historic views such as “the view that named Richmond” from the top of Libby Hill Park.” It is noteworthy that this acquisition comes on the 170th anniversary of the City of Richmond acquiring 7 acres to become Libby Hill Park. It was one of the first five parks in the city and designated by city engineer Wilfred Cutshaw to offer “breathing places” for citizens to take in healthier air.

“For nearly twenty years, Scenic Virginia has advocated for the preservation of The View That Named Richmond through the acquisition of this parcel for parkland,” said Scenic Virginia Executive Director Leighton Powell. “Today is the realization of a dream come true, and we and our supporters could not be more thrilled or grateful that the historic view that connects Richmond to its sister city Richmond-Upon-Thames will be protected much in the same way that it has been in England for more than a century.”

CRLC has received support for the purchase of the riverfront parcel from The Conservation Fund and James River Association. CRLC is receiving financial and logistics support from The Conservation Fund, a national nonprofit organization that specializes in working with local partners to protect land and water resources. The James River Association, a local member-supported nonprofit organization, has also pledged its support for CRLC’s acquisition of the parcel as a financial partner.

“The Conservation Fund is pleased to be partnering with CRLC to protect this critical piece of riverfront in downtown Richmond,” said Heather Richards, Mid-Atlantic Regional Director for The Conservation Fund.  “Increasing access to the James River and making trail connections for urban centers has never been more important, as we’ve seen over the past year.  This new parkland will serve the needs of so many Virginians and expand the vital connection between Richmond’s residents and the River.”

“The James River Association is a proud financial partner in the purchase of these five acres along the James River in the City of Richmond,” said Bill Street, Chief Executive Officer of the James River Association. “The riverfront parcel has great potential to provide needed access to the James River for outdoor recreation and environmental education experiences in Richmond’s East End.”

The closing date is scheduled for late Summer 2021. While some funding has been committed and grant writing and fundraising continues, CRLC and The Conservation Fund are seeking the public’s support to raise the capital needed to complete the acquisition in August and transfer the property to the City as soon as possible. Per the terms of the purchase and sales agreement with the seller USP Echo Harbor LLC, the purchase price cannot be made public at this time. It is however based on a fair-market appraisal of the property for its highest and best use.

CRLC intends to coordinate with the City of Richmond to conduct community engagement opportunities to envision uses of the future public open space and park. Community engagement will be conducted in close coordination with the Department of Parks, Recreation and Community Facilities and will include local stakeholders, community organizations, and the general public.

“Not only are we proud to be adding additional park and open space lands to the serve the many residents and visitors of the Richmond region,” said CRLC’s Executive Director Parker C. Agelasto, “we are honored that this project is filling a critical need within the Riverfront Plan as well as protecting the incredible views from Libby Hill that have been part of a defining landscape for the region over many centuries.”

Background:

The USP Echo Harbor property had historically been Richmond’s busiest port prior to the expansion to Intermediate Terminal and relocation in 1940 to the Port of Richmond off Deepwater Terminal Road. In 2013, the City approved a plan of development containing more than 1,000,000 square feet in a nine (9) story building. Advocates for the Libby Hill Viewshed had expressed great concern that such intense development would irrevocably harm the “View that Named Richmond.”

In 2012, the City purchased the 1.5-acre Lehigh Cement Co. property for $2 million in order to expand public access to the James River and complete the Virginia Capital Trail prior to the 2015 UCI Road World Championships. The 2001 Richmond Master Plan stipulated that the City should endeavor to “acquire underutilized industrial, institutional or commercial property to provide additional public access to the James River. Any lands acquired should be carefully selected to minimize conflicts between adjacent land uses and new public usage. Do not promote the taking of private property to achieve greater public river access.”

The 2012 Richmond Riverfront Plan seeks to “improve visual and physical access to the river. In addition to creating new view corridors to the James River, preserving existing and historic viewsheds towards the river is essential to connecting the city to the river. Future development along the riverfront needs to be carefully considered so that it will not impact significant historic views such as ‘the view that named Richmond’ from the top of Libby Hill Park.”

Most recently, the newest citywide master plan Richmond 300 looks to “reserve appropriate riverfront and canal-facing sites for public amenities and river-related development such as boating services, picnics, etc.” Such will be the case of the 5.2 acres being acquired by Capital Region Land Conservancy.

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Virginia public transit grapples with reduced ridership, zero fare

Virginia public transit systems from Northern Virginia to Hampton Roads are looking for a path forward after losing riders and revenue during the pandemic. Some transit systems have been harder hit than others.

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By Katharine DeRosa

Virginia public transit systems from Northern Virginia to Hampton Roads are looking for a path forward after losing riders and revenue during the pandemic. Some transit systems have been harder hit than others.

“We are serving a market of essential workers that can’t stay home; they have to use our service,” said Greater Richmond Transit Co. CEO Julie Timm during a recent presentation.

Gov. Ralph Northam issued a state of emergency in March of last year in response to the COVID-19 pandemic. The move prompted limits on public and private gatherings, telework policies and mandates to wear masks in public, although some restrictions have eased.

GRTC faced a “potentially catastrophic budget deficit” since eliminating fares last March in response to the pandemic and reductions in public funding starting in July of this year, according to the organization’s annual report. The Coronavirus Aid, Relief and Economic Security Act funding and Virginia Department of Rail and Public Transportation emergency funding covered the deficit, according to the report.

The transit system lost about 20% of riders when comparing March to November 2019 with the same 9-month period in 2020. Overall, fiscal year-to-date ridership on local-fixed routes decreased the least (-16%), compared to the bus-rapid transit line (-49%) and express routes (-84%), according to GRTC data. Local-fixed routes had a 7% increase from March 2020 to March 2021.

GRTC eliminated fares in March 2020 to avoid “close interactions at bus fareboxes,” Timm said in a statement at the time. CARES Act funding made the move possible. GRTC will offer free rides until the end of June.

GRTC will need an additional $5.3 million when federal funding ceases to continue operating with zero fare, Timm said. Zero fare can be supported through the third round of federal stimulus money and Department of Rail and Public Transportation funding, advertising revenue and other funding sources, Timm said.

“This is the conversation and it’s a hard conversation,” Timm said. “To fare or not to fare?”

GRTC serves a majority Black and majority female riders, according to the 2020 annual report. Commuters account for over half the trips taken on GRTC buses and almost three-quarters of commuter trips are five or more days per week. Nearly 80% of riders have a household income of less than $50,000 per year.

GRTC spends about $1.7 million to collect fares annually, according to Timm. Eliminating fares is more optimal than collecting fares, Timm said in March. She believes in zero fare operation because the bus rates act as a regressive tax, which takes a large percentage of income from low-income earners.

Free fares could lead to overcrowding on buses, opponents argue. However, Timm said that’s not a good reason to abolish the initiative.

“If we have a demand for more transit, I don’t think the answer is to put fares out to reduce the ridership,” Timm said. “I think the answer is to find additional funding sources and commitment to increase service to meet that demand.”

GRTC will continue to evaluate the effectiveness of the zero fare model, according to Timm.

“We’ll have a lot of conversations post-COVID about how we consider transit, how we invest in transit and how that investment in transit lifts up our entire region, not just our riders but all of our economy for a stronger marketplace,” Timm said.

GRTC added another bus route as the COVID-19 pandemic hit last March. Route 111 runs in Chesterfield from John Tyler Community College to the Food Lion off Chippenham Parkway. The route surpassed ridership expectations despite being launched during the pandemic, according to the annual report.

GRTC also will receive additional funding from the newly established Central Virginia Transit Authority. The entity will provide dedicated transportation funding for Richmond and eight other localities. The authority will draw money from a regional sales and use tax, as well as a gasoline and diesel fuel tax. GRTC is projected to receive $20 million in funds from the authority in fiscal year 2021. The next fiscal year it receives $28 million and funding will reach $30 million by fiscal year 2026.

These funds cannot be used to assist in zero fare operation, Timm said.

Almost 350,000 riders boarded the Washington Metropolitan Area Transit Authority buses per day on average in 2019, which includes passengers in Northern Virginia. That number dipped to 91,000 average daily boardings in 2020, according to Metro statistics.

Metro’s $4.7 billion budget will maintain service at 80-85% of pre-pandemic levels, according to a Metro press release. Federal relief funds totaling almost $723 million filled Metro’s funding gap due to low ridership.

“The impact of the pandemic on ridership and revenue forced us to consider drastic cuts that would have been necessary absent federal relief funding,” stated Metro Board Chair Paul C. Smedberg. “Thankfully, the American Rescue Plan Act has provided a lifeline for Metro to serve customers and support the region’s economic recovery.”

Hampton Roads Transit buses served 10.7 million people in 2019 and 6.2 million people in 2020. The decline has carried into 2021. Almost 1.6 million passengers took HRT transit buses in January and February 2020 and just over 815,000 have in 2021, resulting in a nearly 50% decrease. HRT spokesperson Tom Holden said he can’t explain why HRT bus services saw a higher drop off than GRTC buses.

“We had a substantial decline in boardings in all our modes of transportation just as every transit agency in the U.S. did,” Holden said.

HRT operated with a zero fare system from April 10 to July 1, 2020. Ridership had a slight uptick from April to October, aside from an August dip. Fares for all HRT transit services were budgeted for 14.2% of HRT’s revenue for Fiscal Year 2020.

“We are hopeful that with vaccinations becoming more widespread, the overall economy will begin to recover, and we’ll see rates increase,” Holden said.

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Kroger donates $250K to Feed More for new donation center

Kroger Mid-Atlantic and The Kroger Foundation are donating $250,000 to Feed More for a new donation center at the non-profit’s 1415 Rhoadmiller Street location in Richmond.

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Kroger Mid-Atlantic and The Kroger Foundation are donating $250,000 to Feed More for a new donation center at the non-profit’s 1415 Rhoadmiller Street location in Richmond.

The new space will be called the Kroger Donation Center.

“Our partnership with Feed More is so important to the Kroger team and our company commitment to Zero Hunger Zero Waste,” said Allison McGee, corporate affairs manager for Kroger Mid-Atlantic. “With the recent move of our Mid-Atlantic division office to Richmond, we wanted to make a sizeable gift to Feed More that would allow them to better receive, process and sort food.”

“When Kroger says ‘Zero Hunger Zero Waste’, they mean it,” remarked Jeff Wilklow, Feed More’s Chief Development Officer. “From grants to our Agency Network, to funding for our Mobile Pantry Program, and now an upgrade to our donation center, they prove time and again that they are committed partners in our fight against hunger.”

Kroger Mid-Atlantic has supported Feed More for nearly 20 years and has donated more than one million dollars to the non-profit to help end food insecurity and over 4,000,000 pounds of food to Feed More’s network of area food pantries since 2010.

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