1. Property located in the City of Norfolk, Virginia, and being a portion of Parcels 1 and 2, as described in Instrument Number 030030082, and being more particularly described as follows: Commencing at a point at the intersection of the western right-of-way line of Claiborne Avenue and the southern right-of-way line of Park Avenue; thence running along the southern right-of-way line of Park Avenue, South 54°06’38” West, 83.70 feet, to a pin; thence turning and running South 35°57’38” East, 130.00 feet, to the Point of Beginning; thence turning and running North 35°57’38” West, 22.40 feet, non-radial, to a point; thence turning and running along the arc of a curve to the right, having a radius of 1,700.00 feet, an arc length of 10.00 feet, a chord distance of 10.00 feet and a chord bearing of North 53°25’28” East, to a point; thence turning and running South 35°57’38” East, 22.52 feet, non-radial, to a point; thence turning and running South 54°06’38” West, 10.00 feet, to the Point of Beginning. The upper limits of the Permanent Subsurface Easement Area shall not exceed an elevation of – 11.5 feet and the lower limits of said easement shall not exceed an elevation of – 61.5 feet within the horizontal area described above. The elevations described above are referenced to the North American Vertical Datum of 1988 (NAVD88).

A proposed Resolution is on file in the Lobby/Reception Area of the offices of the Transportation District Commission of Hampton Roads, 1500 Monticello Avenue, Norfolk, Virginia, and also at 3400 Victoria Boulevard, Hampton, Virginia and on the HRT website at www.hrtransit.org.

All interested persons are invited to appear at the time and place previously noted. If special assistance for disabled persons is needed, please contact the office of Hampton Roads Transit at (757) 222-6000.

Please click here for the Resolution (pdf format)

Public Hearing Printable Version(pdf format)

CHESAPEAKE

The South Hampton Roads mayors who talked transportation Thursday at the Chesapeake Conference Center vowed to work together for the collective good.

Whether it was light rail in Norfolk or high-speed rail from Hampton Roads to Richmond and beyond, the diverse bunch predicted success.

High-speed rail is half a dozen years off; state officials have suggested spending $75 million to upgrade existing tracks for passenger service in just three years.

The latest price tag for the light-rail project is more than $100 million over the original estimate.

Still, leaders spoke optimistically in front of a crowd of nearly 400 during the two-hour Regent University Executive Leadership S eries forum.

Norfolk’s light-rail project ultimately will benefit the rest of the region, Portsmouth Mayor James Holley said, and Virginia Beach Mayor William Sessoms said the same would be true for his city. But, Sessoms said, “It won’t happen overnight.”

Norfolk Mayor Paul Fraim spoke of the economic toll on areas cut off from the interstate highway system a half-century ago.

“The Hampton Roads region cannot and will not miss out on this once-in-a-lifetime opportunity to be connected to a nationwide transportation network,” Fraim said, or else it would meet the same fate.

#1 GRANBY ( FROM WARDS CORNER TO OCEAN VIEW )
VIA GRANBY, R-BAY VIEW, L-TIDEWATER DR., R-MASON CREEK ROAD at traffic signal, R-OCEAN VIEW AVE. * Load Passengers On OCEAN VIEW AVE. in front of store at DUFFY’S LANE cont. over reg. Route to AMPHIB BASE.

#1 GRANBY ( FROM AMPHIB BASE TO OCEAN VIEW AND WARDS CORNER )
VIA OCEAN VIEW AVE. TO DUFFY’S LANE * Load Passengers On OCEAN VIEW AVE. across from store. L-MASON CREEK ROAD, L-MAPLE, R- GRANBY over reg. Route to WARDS CORNER.

#3 CHESAPEAKE ( FROM E.T.BUTTS & J TO OCEAN VIEW AND GATE #4 )
VIA OCEAN VIEW AVE. TO DUFFY’S LANE * Load Passengers On OCEAN VIEW AVE. across from store. L-MASON CREEK ROAD, L-MAPLE, R- 1ST VIEW over reg. Route to GATE # 4.

#3 CHESAPEAKE ( FROM GATE # 4 TO OCEAN VIEW AND E.T.BUTTS & J ).
VIA 1ST VIEW, L-MAPLE, R-MASON CREEK, R- OCEAN VIEW AVE. * Load Passengers On OCEAN VIEW AVE. in front of store at DUFFY’S LANE, cont. over reg. Route to E.T. BUTTS & J.

#5 WILLOUGHBY ( FROM WARDS CORNER TO OCEAN VIEW AND WILLOUGHBY )
VIA TIDEWATER, R-MASON CREEK at traffic signal, R- PORT VIEW, L-1ST VIEW, L- OCEAN VIEW *discharge and load passengers, cont. over reg. Route.

#5 WILLOUGHBY ( FROM WILLOUGHBY TO OCEAN VIEW AND WARDS CORNER )
VIA W.OCEAN VIEW AVE. R-ONTO FLYOVER TO W. OCEAN VIEW AVE., R-MASON CREEK, L- PORT VIEW, L- 1ST VIEW, L- OCEAN VIEW, * discharge and load passengers, L-MASON CREEK, L-TIDEWATER DRIVE over reg. Route to WARDS CORNER.

#1 GRANBY *CUTBACK ( FROM WARDS CORNER TO OCEAN VIEW )
VIA GRANBY, R-BAY VIEW, L- TIDEWATER DR., R- MASON CREEK, R- PORT VIEW, L- 1ST VIEW, L- OCEAN VIEW * discharge and load passengers, L- MASON CREEK, L- MAPLE, R- GRANBY over reg. Route to WARDS CORNER.

#3 CHESAPEAKE *CUTBACK ( FROM E.T.BUTTS TO OCEAN VIEW )
VIA OCEAN VIEW AVE. TO DUFFY’S LANE * Load Passengers On OCEAN VIEW AVE. in front of store at DUFFY’S LANE, L- MASON CREEK, L- PORT VIEW, L- 1ST VIEW, R- OCEAN VIEW AVE. over reg. Route to E.T. BUTTS.

VIRGINIA BEACH

The city’s proposed $40 million deal to buy an old rail corridor for a possible light rail project could cost more because a federal agency is asking questions about the land’s value.

Federal Transit Administration officials say past appraisals of the 10.6-mile long strip are too old and that a new one is needed. The concern is important because FTA approval is needed before Hampton Roads Transit can use $5 million in federal funds toward the land purchase, a key part of the multi-agency deal crafted to buy the corridor last year.

Beach Mayor Will Sessoms said he hopes the FTA will allow the old appraisals – one from 2006, one from 2008 – to stand, but acknowledged a new one might be needed.

“If we have to spend money on an appraisal to get $5 million, then we’ll have to do it,” he said. “That’s bureaucracy. I’m sorry that’s the case. I would argue we don’t need one, but they have the final say.”

The city’s appraisal from 2006 cost $60,000.

The land, which stretches from Newton Road to Birdneck Road, is owned by Norfolk Southern Corp. The city is exploring using it for a light rail project that would connect with the Norfolk Tide line under construction.

An FTA spokesman declined to comment other than to say the agency is in discussions with HRT.

HRT officials said they are hoping to convince the FTA that a scaled down “review appraisal” is all that is needed.

FTA outlined its concerns to HRT in a letter last month obtained under a Freedom of Information Act request.

In addition to the $5 million in federal money, the state has committed $20 million and the city has put up $10 million to buy the land. The remaining $5 million comes from utility easement Norfolk Southern would retain on the land.

On or after March 10th, Monticello Avenue between Freemason Street and Charlotte Street will reopen to northbound traffic. Charlotte Street between Monticello Avenue and Saint Paul’s Boulevard will reopen to through traffic in both directions.

The east and west sides of the Monticello/Freemason intersection will close for light rail construction. All turns from Monticello Avenue to Freemason Street will be prohibited.

• Motorists heading east (towards the new Bank Street or MacArthur Center North parking garages) are encouraged to continue on Monticello Avenue, turn right onto Charlotte Street, then right onto Bank Street and continue to Freemason Street.
• Motorists heading west (towards Boush Street) are encouraged to turn left off of Monticello Avenue onto Market Street, then right onto Granby Street and continue to Freemason Street.

Motorists are urged not to block intersections.

HAMPTON

Cost overruns on Norfolk’s light-rail project have created a potential cash-flow crunch for the $338 million starter line, Hampton Roads Transit’s board learned Thursday.

The increasing costs rolled out over the past couple of months prompted the Federal Transit Administration to hold up $26.8 million of federal money already approved for the project, HRT President and CEO Philip Shucet said.

HRT needs the FTA to release those funds by April for the agency to be able to continue to pay the bills. 

“FTA is well aware that if you hit the wall on cash flow and stop work, you’re going to increase the cost,” Shucet said. “No one has an interest in that happening.”

Federal regulators have told HRT leaders they need assurances about project spending and financial stability before releasing more money. Specifically, the FTA wants to be sure that federal funds are going to pay only for enhancements to the project and not for tasks that went over budget. And authorities also want to know that HRT can fully fund the rest of construction.

Shucet said he’s confident the agency will be able to provide the documentation the FTA needs and that the agency will continue to pay its bills on time and avoid additional delays.

Last week, HRT released what it considers its final budget for light rail: $338 million.

“Now that we have a new cost-to-complete, we have another month of hard work ahead,” Shucet said. “We’ve got to get a financial plan in place that is credible. 

A report prepared by consultant AECOM indicates that the federal money is being held in two separate pots of $13.4 million each. 

One pot would be released when the FTA gets proof that no federal money will pay for cost overruns. The money can be spent on what’s known as “betterments” to enhance safety, security and livability. The other pot would be available when the FTA is satisfied that there are sufficient resources to finish construction. Light rail is expected to open in May 2011. 

Shucet said HRT is working to categorize each new cost as an enhancement or an overrun to present to federal regulators. HRT has financial commitments totaling $288 million, the previous light-rail budget. Of the $50 million in new costs, the state has agreed to cover up to $20 million. The FTA wants a plan for funding the rest. 

Shucet said the agency is working hard to identify the money from other federal and state sources. Norfolk, however, is ultimately responsible for any gaps. 

AECOM ’s report states that the FTA needs reassurance of Norfolk’s capacity to pick up the tab: “Reassurance is not the same as allocating funds. Reassurance does not prevent other funding strategies from being pursued.” 

W. Randy Wright, HRT vice chairman and a Norfolk councilman, said: “I would be surprised if this thing does not work itself out. I certainly understand what FTA’s concerns are and their rationale – they want to know there’s a means to the end.” 

In other HRT board business Thursday:

Shucet’s employment contract was modified to reflect his full salary. HRT is paying him $28,000 a month, and Norfolk is contributing another $12,000 a month. Shucet is working on a one-year consulting contract that can be renewed in six-month increments. HRT hired Shucet at the end of January to replace Michael Townes, who was pressured to step down.

A possible bus fare hike was set in motion. Studies under way show HRT’s $1.50 ticket is about 50 cents lower than similarly sized cities. While a new rate has not yet been proposed, the board set public hearing dates of April 22 and May 27 for possible changes.

But let me be clear: Going forward, we will not waver from our policy requiring localities to meet any local match requirements associated with future appropriations.  It is one thing to keep a prior commitment made and received in good faith.  But I do not want there to be any question about where we stand with respect to this matter in the future.”

HRT Chairman and Virginia Beach City Councilman Jim Wood said, “As was promised by HRT’s past president, the citizens of Virginia Beach can rest assured that the feasibility study will be funded without city dollars.  HRT should be applauded for its decision today.  Part of taking steps toward rebuilding public confidence requires honoring previous commitments.  Now we can move forward as partners.”

HRT Commissioner and Virginia Beach City Councilman John Uhrin agreed. “I’m pleased that HRT has taken this step to ensure the funds are in place to continue this important study. This goes a long way in restoring trust in the way HRT does business.”

For more information on HRT services, visit www.gohrt.com

VIRGINIA BEACH

After two weeks of furious lobbying, Mayor Will Sessoms likely has the six City Council votes needed to give Hampton Roads Transit $244,800 to move the Beach’s light-rail study forward.

The $6.6 million study has slowed because HRT is almost out of money for it. The City Council, scheduled to vote on the funding request Tuesday, had been under the impression that HRT was paying for it until agency officials asked earlier this month for city money needed to get a nearly $1 million federal grant.

Five people – Sessoms and Councilmen Glenn Davis, Harry Diezel, John Uhrin and Jim Wood – said they will vote to approve the money.

Councilwoman Barbara Henley, a light-rail supporter, hinted she will join them but said she will make a final decision Tuesday. She said the city’s comprehensive plan is built around increasing transit options, which the study is investigating.

“If we were to stop looking at transit, that means our comp plan is not valid,” she said.

Vice Mayor Louis Jones and Councilmen Bill DeSteph and Bob Dyer said they will vote against the funding.

Councilwomen Rosemary Wilson and Rita Sweet Bellitto said they are undecided. Bellitto was appointed by the council to fill the remaining term of Ron Villanueva, who is now a state delegate. Her first meeting is Tuesday.

Council members lamented the timing of HRT’s request. The city and its school division are facing an $84 million budget shortfall. City Manager Jim Spore said the city can come up with the $244,800 from a contingency fund.

The study is looking at the feasibility and environmental impact of extending the Norfolk Tide system across Virginia Beach to the Oceanfront. Without the city money, HRT would not get the federal money, and the study would halt, officials said.

The city is also trying to complete a $40 million deal to buy the old Norfolk Southern rail line for a possible light-rail corridor. The state has pledged $20 million but has not delivered the money.

Sessoms said that not giving HRT the money to keep the study moving would send a bad message to the state.

“I sure don’t want to give them excuses not to fund that $20 million,” he said.

He also portrayed the Navy, specifically Oceana Naval Air Station’s commanding officer, Capt. Mark Rich, as a light-rail proponent.

At Tuesday’s council meeting, Sessoms said he’d had lunch with Rich recently.

“The first thing on his agenda was we want to be tied to light rail,” Sessoms told the City Council. “Oceana, commanding officer, we need to be tied into light rail.”

Rich had a different recollection. He said light rail wasn’t the first thing they talked about and didn’t remember saying, “We need to be tied into light rail.”

“I don’t recall that exact combination of words,” Rich said. “The Navy is not trying to influence the city of Virginia Beach on light rail and is not trying to define the solution.”

He added, “We certainly support initiatives that go toward reducing traffic and making commutes easier and safer and that ultimately goes to military readiness…. A light rail that serves Oceana would certainly be of value to us.”

Virginia Transportation Secretary Sean Connaughton has ordered an investigation into Hampton Roads Transit’s business practices and light-rail project.

HRT’s new president and CEO, Philip Shucet, asked Connaughton last week to authorize an inquiry of the agency, which has amassed more than $100 million in cost overruns on Norfolk’s light-rail line.

Connaughton this week signed off on the investigation, which will be conducted by the Virginia Department of Transportation inspector general.

“There’s state money as well as federal money in the light-rail project so we need to ensure all the funds were properly allocated,” he said.

Shucet wants investigators to examine three issues: HRT’s business practices as they relate to The Tide light-rail project, HRT’s consultant selection process and HRT’s handling of a suspected embezzlement of $80,000, for which three employees were fired.

Shucet requested the review begin no later than April 1 and deliver an initial report no later than July 1.

“We will begin almost immediately,” Connaughton said. “We’ll work with Mr. Shucet and staff to establish time frames that meet whatever requirements that they have.”

Shucet took the helm of HRT on Feb. 1, replacing Michael Townes, who was forced to step down last month.

Over the past year, the cost of Norfolk’s 7.4-mile light-rail line ballooned 46 percent from $232 million to an estimated $338 million – the newest cost estimate that was announced on Thursday. Its opening is delayed until May 2011.

Click Here to view HRT Cost to Complete

Norfolk, Va. – Hampton Roads Transit announced Thursday that the final cost to complete
construction of The Tide will be $338.3 million and that passenger service will begin in May
2011.

The new figure comes after a six-month review by HRT and its financial advisor to identify costs
not fully accounted for in previously released budgets, including the additional time required to
design project changes and then complete construction.

The figure is based upon the work of AECOM, HRT’s financial consultant of record, an internal
assessment of the project conducted by HRT last fall, and a “bottom up” review that combined
previous efforts into a final cost.

“This is the review that has long been needed,” said HRT President and CEO Philip A. Shucet.
“The public now has a clear idea about what it will take to complete this important project and
when passengers will board. Our organization will own the responsibility of this work.”

The amount includes changes in three broad categories that affect the bottom line: hard
construction, such as those associated with actual building, soft costs, or those involving design
and construction and program management oversight. The third is real estate.

The reviews of hard costs found numerous examples of changes that were required and now
account for about $224.8 million of the total project cost. This figure includes the additional time
required to build project components after changes were made to existing contracts, extensive
underground utility relocation, system safety enhancements, and delays relating to the vehicle
maintenance and storage facility.

Soft costs, such as program and construction management fees, rose as the time to deliver the
project grew longer. Updated soft costs now account for $69.9 million of the total project costs.
As The Tide nears completion – it’s about 62 percent complete – the amount of hired help has
declined as HRT assumes a greater control over the project.

Higher costs associated with real estate, utilities and insurance now account for $30.8 million in
project costs. Some of the higher real estate costs are associated with the work required to obtain
a large number of temporary construction easements to allow workers access to property.

February 18, 2010 – Printable Version