City Council Work Session

AGENDA City of Williamsburg City Council Work Session Monday, June 9, 2025 The City Council Work Session will be held Monday, June 9, 2025 p.m. in the Stryker Center, 412 N. Boundary Street commencing at 4:00 PM. Page 1. CALL TO ORDER 2. ROLL CALL 3. ITEMS FOR CITY COUNCIL MEETING OF JUNE 12, 2025 A. Council Preview B. Public Comment 4. BACKGROUND PRESENTATIONS/DISCUSSION A. 2025 Legislative Update - Chris Shelton, City Attorney 2 - 35 5. CITY COUNCIL COMMUNICATIONS 6. OPEN FORUM 7. CLOSED SESSION 8. ADJOURNMENT The City Council invites public comment on any subject during "Open Forum." To speak, fill out a Speaker's Card (available at the door) and give it to the Clerk of Council. Please direct all comments to the Chair, limited to 5 minutes. Thank you.  City Council Work Session Agenda Item Summary Related Goal Staff Contact Engaging with our Partners Chris Shelton, City Attorney Agenda Item Wording 2025 Legislative Update - Chris Shelton, City Attorney Previous Relevant Action Each year the City Attorney's Office provides an update regarding legislative action from the Virginia General Assembly session. The update is not exhaustive but serves as a highlight of bills pertinent to or of interest to the City. Attachments 2025 Legislative Update Presentation Page 2 of 34 LEGISLATIVE UPDATE 2025  TAXATION HB2029 - Adds a set of requirements to the local real property exemption or Page 3 of 34 deferral programs for elderly and disabled residents, including a requirement that all delinquent taxes must be paid or an installment agreement executed prior to entry into the program, a new requirement that the program must be posted on the locality website in a clear and conspicuous manner, a requirement that notice of the program be included in real property tax bills, and providing a prorated deferral or exemption for a mid-tax year application.  TAXATION HB1743 - Directs that the Virginia Department of Taxation is to convene a work Page 4 of 34 group to study the local license tax deduction in Virginia for receipts attributable to out-of-state business, including policy, methodology, impact on local government revenues, administrative complexities or benefits for taxpayers and the support structure necessary to verify across local jurisdictions the applicable tax deduction and to enforce compliance.  TAXATION HB1792 - Increases the limits of value for which the locality may sell a property at public auction for delinquent real property tax for properties valued at less Page 5 of 34 than the cap, without the need to file a petition for judicial sale. Those caps are now $15,000 for any unimproved property; $15,000-30,000 for property of less than an acre with a structure on it that is derelict, has been condemned, or has been declared a nuisance or blighted; or between $30,000 and $40,000 for unimproved properties within an urban redevelopment or revitalization zone of less than ½ acre.  TAXATION Page 6 of 34 HB1970 - Provides a new designation for tax exemption for nonprofit institutions of learning and defines those as any institution licensed by the Department of Education that provides services to individuals with disabilities or any school for students with disabilities that is licensed by the Board of Education.  TAXATION HB2245 - Limits the assessment methodology allowed to be utilized by local real Page 7 of 34 estate assessors for affordable rental housing operated in accordance with federal law to the income approach. This limitation is subject to the owner providing data specified within the statute to the assessor. Utilization of the income approach is only required if the owner supplies the required data. The Department of Taxation is directed to develop a uniform reporting schedule prior to the next assessment cycle.  TAXATION HB2383 - Adds information provided by an accommodation intermediary to the list of confidential information that may not be shared by taxing officials. It also Page 8 of 34 provides that an accommodation provider whose sales are facilitated by an accommodation intermediary shall not be required to transmit a return to the tax assessing officer for a locality so long as they attest to that fact and submit returns for any retail sale of accommodation not facilitated by an intermediary. This was a compromise bill between Airbnb and Commissioners of the Revenue.  REAL PROPERTY SB1476 – Allows a locality to petition the court for a special commissioner to execute the necessary deed(s) to convey real property to the locality (or a Page 9 of 34 landbank or nonprofit designed by the locality to carry out the functions of a land bank) when the property has been vacant for five years, has been declared blighted or derelict, and is delinquent on real property tax. Any subsequent sale can be for nominal value, but the locality or its agent is required to place conditions on the sale to secure the repair or renovation of the property within a set time not to exceed two years.  PROCUREMENT SB913 - Requires that localities add to their public contracts that exceed $10,000 a requirement Page 10 of 34 prohibiting the use of forced labor or indentured child labor in the performance of the contract and requiring the contractor to include this provision in all of its subcontracts or purchase orders that exceed $10,000. HB2751 – Adds military family-owned businesses to the list of those classes of persons for whom the public body shall not discriminate against in the solicitation of or awarding of contracts. Public bodies are also required to establish programs consistent with the VPPA to facilitate the participation of military family-owned businesses in procurement transactions.  PROCUREMENT HB2024 - Provides that localities may not prohibit or otherwise exclude from use any materials contained in or products associated with solar photovoltaic equipment and facilities that are manufactured in the United States. Page 11 of 34 HB2150 - For IT goods and services, provides that no term or provision in any public contract shall be valid or enforceable to the extent that it conflicts with Virginia law. Provides that any term that makes a public contract subject to either the laws of or the jurisdiction of another state shall be void. However, these provisions are only enforceable if the locality has adopted these provisions as part of its procurement policies. Amendments to the City’s Purchasing Manual and standard form contract will be required.  PUBLIC SAFETY HB2458 - Allows for operation of utility trailers on public highways without taillights or brake Page 12 of 34 lights between sunrise and sunset, so long as the trailer has at least two or more approved reflectors or at least 100 sq. inches of reflectorized material that outlines the rear of the trailer. Pursuant to this section, trailers complying with the above must remain in the right-most lane and may not be operated during bad weather limiting visibility or when wipers are required. This section is not applicable in Planning District 8, but it is applicable in Planning District 23, in which the City is located.  PUBLIC SAFETY HB2724 - Creates a statewide framework for the use of LPR systems by law Page 13 of 34 enforcement. Requires that data collected by LPRs is purged after 21 days, requires law enforcement to adopt a policy governing the use of the LPR data, provides for a reporting requirement to the Department of State Police regarding the LPR system and its use during the prior year, and exempts LPR data from release under FOIA.  PUBLIC SAFETY Page 14 of 34 HB2725 - Adds third-party services or third-party subscription services to the list of those surveillance technologies the use of which must be reported each year to the Department of Criminal Justice Services.  PUBLIC SAFETY/PUBLIC UTILITIES SB1272 - Adds a trespass offense for any person who knowingly and Page 15 of 34 intentionally and without authorization causes an unmanned aircraft system to enter the airspace over any public services or utilities as defined in the Code of Virginia, or over critical infrastructure, as defined in 42 USC § 5195c, and includes military bases and federal maritime assets. Violation is a class 4 felony. This would apply to numerous facilities owned or located in and around the City, including the water treatment plant.  PUBLIC SAFETY Page 16 of 34 HB2051 - Permits the school division superintendent and the school audit committee to meet annually on the grounds of any public school in the local division with the chief law-enforcement officer of the locality or a designee from the local law enforcement agency to discuss the school safety audit completed for such school.  PUBLIC SAFETY HB1914 - Adds a compensation requirement for localities for the wrongful incarceration of Page 17 of 34 individuals based on intentional bad acts (e.g., fabricated evidence or withheld exculpatory evidence) if a court determines that such intentional bad act occurred. Compensation required by the locality must be at least equal to the award made by the Commonwealth. The set compensation in the code is $85,000 per year, adjusted to inflation, per year of incarceration. If the locality fails to pay the required compensation, the Governor shall order the Comptroller to withhold all payments by the state to the locality, and those funds, or any part of them, shall be used to pay such compensation.  ZONING HB2330 - Amends the notice requirement for rezonings related to the mailing of Page 18 of 34 notices when required for rezonings involving 25 or fewer parcels. Individual notices by mail to the affected property owners were required to be sent via registered or certified mail. The section was amended to allow notice by first- class U.S. Mail, so long as the Planning Director makes an affidavit that the mailing was made and includes it in the record.  ZONING Page 19 of 34 HB2533 - Adds tiny houses (400 sq. ft. or less) and accessory dwelling units to those housing types that the Comprehensive Plan may consider.  ZONING – AFFORDABLE HOUSING BILLS Page 20 of 34 HB2153 - Directs the DHCD to develop a document outlining options for altering or waiving requirements for zoning permits, site plan application incentives, and other considerations that a locality may consider when implementing an ordinance to stimulate affordable housing and other strategies on property owned by tax-exempt organizations. Must be published by December 31, 2025.  ZONING HB2660 - Reduces the amount of time the local planning commission has to act on any proposed plat, site plan, or development plan from 60 days to 40 days. Page 21 of 34 Further reduces the time during which the planning commission has to act on a resubmitted plat, site plan, or development plan. Adds a new administrative review after the third or subsequent submission of a plat, site plan, or development plan, which is required to be completed within 14 days. If any state approvals are required for a plat or plan, reduces the amount of time to submit those to the state, from 10 days to 5 days, and reduces the amount of time the state has to act, from 45 days to 30 days.  ZONING SB974 - Removes planning commissions from the review process for all subdivision plats, site plans and development plans. Such review shall be Page 22 of 34 completed by a “designated agent” which is any agent employed by a locality and designated by the governing body to review and act on these submissions. Planning commissions may act as a designated agent only in localities with a population 5,000 or fewer. Revisions to both the subdivision and zoning ordinances will be necessary as a result of these changes.  ZONING Page 23 of 34 SB1267 - Allows for increased civil penalties for zoning violations pertaining to multifamily residential parcels. For a second violation, the penalty may increase from $500 to $1,000. For third or subsequent offenses, the penalty may increase from $500 to $1,500. The penalty is capped at an aggregate of $6000 for violations within a 12-month period.  ZONING SB992 - Allows increased civil penalties for zoning violations involving non-permitted commercial uses for the second and subsequent offenses, increasing from $500 to $1,000 for Page 24 of 34 the second offense and from $500 to $1,500 for a third or subsequent offense, not to exceed $4200 in any 12-month period, which is a reduction from the current $5,000 aggregate limit. This applies only in Planning District 23, which includes the City. This bill also establishes a fixed order of evidence for BZA appeal hearings, requiring the locality to present its evidence, the basis of the zoning administrator’s determination, first, followed by the appellant’s rebuttal evidence. If the BZA takes evidence out of the required order, and the appellant objects, and the BZA does not then take the evidence in the required order, the BZA has committed reversible error on appeal.  UTILITIES Page 25 of 34 SB1263 - Permits a locality, by ordinance or policy, to provide for the full or partial reimbursement of water and sewer connection fees, capital recovery charges, and availability fees remitted by an applicant in connection with any new residential development.  ZONING/MISCELLANEOUS SB838 - Under current Virginia law, group homes of any kind of 8 or fewer Page 26 of 34 residents are allowed as a use by right in all zoning districts. As a result, the City does not regulate group homes; instead, regulation is handled by the Department of Behavioral Health and Developmental Services. This bill establishes a penalty for operating a residential recovery residence without a valid certificate from DBH, which is a class 1 misdemeanor.  COUNCIL HB2628 - Overrides all state local government charters with respect to when Page 27 of 34 elected officers are sworn into office, requiring that elected officials take the oath of office on or before the first day of their term. However, Sec. 15.2-1522 also contains a provision which enables an officer, in the alternative, to be sworn in on the day of the body’s first meeting, so there is no required change to the established procedure regarding when City Council members are sworn into office.  Failed Bills Page 28 of 34  ZONING HB2641 - Required that for a 5-year period beginning next year, every locality was required to increase its total housing stock by an average of 1.5% per year for five years to reach a total increase of 7.5%. Required every locality to develop a housing growth plan to meet the target growth rate. Such plans, in order to be considered a Page 29 of 34 “good faith” plan were required to include at least 3 of 9 specific strategies, including eliminating minimum lot sizes, simplifying permitting procedures for multifamily projects, rezone single-family districts to multifamily, allow multifamily as a permitted use in all commercial zoning districts, repurpose office and strip mall space to multifamily, eliminate or greatly reduce parking requirements for multifamily developments, eliminate requirements related to aesthetic, material, shape, bulk, floor area and massing requirements for multifamily developments. Created an appeal to a state board staffed by the Department of Housing and Community Development for projects rejected by a locality. If the Board found that the locality failed to meet the growth requirements or failed to implement the plan with 3 of the required elements above and rejected more than 25% of the proposals for new housing in the prior five years, the Board was authorized to overturn the local zoning decision.  ZONING HB1758 - Required each locality to prepare an inventory of locality-owned real property suitable for the development of affordable housing. If the locality chooses to dispose of such property, the bill required the locality to offer it for 180 days exclusively to eligible organizations (being those qualified by DHCD) for the Page 30 of 34 purpose of purchase, lease, exchange, or donation to develop affordable housing for 30 years. HB2054 - Permitted localities that have adopted an affordable housing program to negotiate as part of a special use permit or special exception that any proposed development of an assisted living facility shall include affordable dwelling units. (Vetoed) SB1313 - Provided a menu of affordable dwelling unit strategies that could be adopted by ordinance. (Vetoed) SB839 - Required localities to allow for by-right development of multifamily residential uses on all land contained in commercial or business zoning districts.  ZONING Page 31 of 34 SB1178 - Required localities in their comprehensive plans to incorporate strategies to support affordable housing development by religious organizations. Permits localities to adopt simplified zoning or approval processes for religious or nonprofit organizations to develop or use their lands for affordable housing.  EMPLOYMENT HB2764 - Bill to require employers to collectively bargain with public employees. Created the Public Employee Relations Board, a state equivalent of the NLRB to Page 32 of 34 hear disputes related to labor contracts. Set out extensive state bargaining units. Established procedures for recognizing a bargaining unit, negotiating a collective bargaining agreement, required certain elements of employment to be negotiable, required localities to provide employee information, including private contact information, to established bargaining representatives periodically and at hire and required localities to provide bargaining representative information to all employees and new hires. (Vetoed)  FOIA SB876 - Required localities to post an agenda of all items being considered by the public body at Page 33 of 34 their meeting. Items added to the agenda after the agenda is posted could be discussed but not acted upon by the public body at that meeting. SB1029 - Limited the fees charged for producing records to the median hourly rate of pay of employees or the actual hourly rate of the person performing the work, whichever is less.* (*184 FOIA requests received through the FOIA page in 2024.)  MARIJUANA Page 34 of 34 The Governor vetoed HB2485/SB970 which would have created a retail cannabis market.