Hampton City Council Briefing
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Transcript Hampton City Council Briefing
Old Point Comfort in Transition:
Update on Fort Monroe BRAC
Briefing for the Hampton City Council
May 27, 2009
Bill Armbruster
Executive Director
Fort Monroe Federal Area Development Authority
FMFADA
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Fort Monroe Federal Area
Development Authority
Is a political subdivision of the Commonwealth, established by
the General Assembly in 2007
Policy is set by a Board of Commissioners with appointees
representing the City of Hampton, Virginia General Assembly,
Governor’s Cabinet and two preservation and tourism
professionals
FMFADA will hold and manage the property as a trust for the
benefit of the public
FMFADA Executive Director leads staff and consulting team
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Re-Use Planning – Process Overview
Hampton and Hampton FADA led early efforts (2005-2006) –
significant citizen participation (~600 people at community
design charrettes)
FMFADA recognized as LRA in 2007
Since 2007, FMFADA planning has been guided by the
Governor’s 5-point charge
Must follow National Historic Preservation Act (NHPA) Section
106 process for impact on historic resources
Determining appropriate treatment of the historic resources
involved 30+ consulting parties and a programmatic agreement
(PA) with the US Army, the federal Advisory Council on Historic
Preservation (ACHP), the National Park Service (NPS) and the
Virginia Department of Historic Resources (DHR) as principals
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Governor Kaine’s 5-point charge
for Creating Re-use Plan
Respect Fort Monroe’s
history
Maintain large-scale open
space and park areas
Keep it fully open to the
public
Include limited new
development within strict
limits
Ensure economic
sustainability
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PA Protects Fort Monroe’s
Landmarks and History
PA = Programmatic
Agreement
Virginia’s Department of
Historic Resources role as
State Historic Preservation
Office (SHPO)
Interpretive Master Plan will
guide nature and character
of public programs and use
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Ultimate Vision for Fort Monroe –
What will it look like?
Historic Village
Inner Fort
Entry/North Gate
Wherry Quarter
Parks & Recreation
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Re-Use Planning
Five Management Zones
Select areas and
buildings for public
amenities inside and
outside the moated fort
Lease historic homes
and non-residential
buildings
Change North Gate
from industrial to
mixed use
Short-term leases and
rental of Wherry
housing units and noncontributing buildings,
with redevelopment
expected in the
medium to long-term
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Key BRAC Events
2005 BRAC Congress announced closure of Fort Monroe
2006-7 Hampton FADA built transition planning team
March 2007 Virginia General Assembly established the Fort
Monroe Federal Area Development Authority (‘FMFADA’); the
Department of Defense recognized the FMFADA as the local
reuse authority (LRA) for Fort Monroe; City of Hampton
continues as fiscal agent
August 2008 Virginia Governor Timothy Kaine signed the
Reuse Plan
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Key BRAC Events
September 2008 KHA, BAE and FMFADA staff met with City of
Hampton regarding provision of municipal services (fire,
police, solid waste collection, wastewater collection, etc.)
September 2008 Homeless Assistance and Reuse Plan
package submitted to US Dpt. of Housing and Urban
Development
January – February 2009 FMFADA submitted appropriation
requests for $96M in capital improvements to off-shore
facilities (breakwaters and sand beaches) and to existing
infrastructure (water, wastewater, streets, bridges, electrical
and natural gas)
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Key BRAC Events
March 2009 Working group formed to study options for
National Park Service role at Fort Monroe/Old Point Comfort
April 2009 PA is approved by signatory parties, official signing
ceremony scheduled for June 1, 2009
April 2009 Working groups established to study Natural
Resources and African American Culture at Fort Monroe
May 2009 Draft EIS submitted by consultant to Army for
internal review
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Upcoming Milestones
June 2009 Draft MOU for public services expected to be
presented to the city councils of Hampton and Newport News
July 2009 Army will issue the draft EIS for public comment
July 2009 FMFADA becomes independent authority
August 2009 – March 2010 Infrastructure conditions
assessments will be undertaken
~June 2010 Draft Memoranda of Agreement (MOA) expected
to be presented to the cities of Hampton and Newport News
and to private utility providers as appropriate
September 14, 2011 military mission transfers from Fort
Monroe
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Bottom Line Considerations
Successful reuse of closed military installations can result in
greater economic activity and local property value than during
operation of federal reservation
Links to the surrounding community will be a great reuse
benefit, providing new recreation and other community
resources
Real estate strategy will attract private investment and
generate local property taxes & other fiscal benefits
Low interest public infrastructure loans and grants are
available
Collaborative transition planning is critical to a seamless
changeover and evolution
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Way Ahead
Army is responsible for environmental cleanup and current
testing suggests dramatic reduction of costs associated with
cleanup
FMFADA working with Army to make available and market the
residential and commercial properties on an interim basis to
soften the fiscal impacts of the base closure
FMFADA is building the organization that will manage the
Commonwealth’s assets for the benefit of the public, both
near and far
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Planning for the Transition:
Infrastructure
Briefing for the Hampton City Council
May 27, 2009
Eddie Marscheider, P.E.
Associate
Kimley-Horn and Associates, Inc.
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KHA Slides
To be added as modification of
5/19/09 presentation to FMFADA
Board
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Planning for the Transition:
Economics
Briefing for the Hampton City Council
May 27, 2009
Anita Morrison
Project Consultant
Bay Area Economics
BAE
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Service Requirement Discussions
During October and November, BAE met with City of Hampton
department heads.
Focus on fiscal impacts, law enforcement, fire & rescue, schools,
and parks & recreation.
Also participated in power and water utility discussions with KimleyHorn.
Discussion re: assumptions in preliminary financial analysis.
Goal for each department/utility to identify:
Ongoing service requirements;
One-time capital requirements (e.g., new equipment/upgrades);
Timing of requirement vis-à-vis leasing and rehabilitation activity;
and
City Feedback - Public Safety
Hampton Police Department:
Exploring need for more officers & related equipment
Potential need for additional emergency dispatch
console and dispatch staff
Expanded marina may require more additional
equipment and patrol services
Fire and emergency rescue:
Additional equipment and emergency medical
technicians
New building safety inspector with vehicle
BAE, FMFADA and City will continue to discuss and review
public safety requirements
City Feedback - Other Departments
Hampton Schools:
General concurrence with preliminary financial model
assumptions
Confirmed that no demand for new school anticipated
Interest in use of Fort Monroe buildings for support activities
and a pre-school
Finance Department, Assessor’s Office, and Commissioner of the
Revenue:
BAE provided model to City for “open book” dialog
Useful feedback received to refine revenue estimates
Comments will be incorporated in financial update
Parks and Recreation:
Has identified buildings and facilities of interest such as
Community Center and Bowling Alley
Eco-tourism potential on Mill Creek
Partner with Convention Center for events at Fort Monroe
Needs to explore opportunities further
Economics—Fiscal Impact
May 2008 Analysis*
Current Fort Monroe employment level – 4,100
1,705 people in uniform
2,405 civilian and contract employees
Current Fort Monroe residents – 804 on post
Projected annual operations/maintenance costs – $4.0 - $4.7M
Projected net shortfall to Hampton (service costs v. revenues)
2011-2018
Should see a net positive in 2019
NOTE: FMFADA and City of Hampton continue to refine all
projections – City has degree of control over costs
* Updated November 2008
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Planning for the Long-Term:
Real Estate Strategy
Briefing for the Hampton City Council
May 27, 2009
David Shiver
Principal
Bay Area Economics
BAE
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Real Estate Strategy
The Fort Monroe Real Estate Asset
Management Strategy:
Sets the goals and objectives
Identifies key challenges
Formulates strategies to realize goals and
objectives
FMFADA Real
Estate Staffing
Real Estate Asset
Management Plan
EDC Application
RFQs/RFPs
Lease/Contract Terms
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Interim Leasing Concepts - Residential
Residential Rental Program, targeting:
Military families renting “on the economy”
Foreign personnel assigned to Tidewater area military commands
Visiting faculty & graduate students at area colleges & universities
Other federal agencies with “detail” employees
Local public safety agency employee households
Seeking short-term tenancies to give FMFADA
flexibility to implement long term rehabilitation
and residential leasehold program
Minimal initial investment, “patch & paint”
Issue RFP for leasing and property
management firm in 2010
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Interim Leasing Concepts - Commercial
Identify buildings that are ADA compliant and
require minimal investment for occupancy,
including:
13 recently constructed “butler” buildings with flexible
floor plans (85,000 sq.ft. total)
Building 100 (25,900 sq.ft.)
Target existing office tenants in local market
Target technology and clean-tech firms needing
shop and storage space
Lay marketing and “proof of concept” ground
work for identification of anchor tenant
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Residential Leasehold Program
Proposed concept:
Offer long-term (50+ year) leases of historic residences with prepayment of rent
Establish endowment/pay for capital costs with proceeds
Issues:
Pioneering product in Hampton Roads
Need to develop support infrastructure (e.g, local lenders,
brokers, title companies)
Examples:
Sea Colony, Delaware
Pensacola, Florida
Jekyll Island, Georgia
Palm Desert/Palm Springs, California
Hawaii
Santa Inez, California
Universities/Colleges
Land Trusts
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New Construction - Ground Leases
New development proposed in Entry Gate, North
Gate and Historic Village (infill)
Lead for infrastructure planning, design, financing
and construction
Cost sharing agreements
Long term leases (50+ years) required
Potential structures:
Base rent with reappraisals
Participation leases
LLC or JV
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RFQ/RFP Strategy
RFP for leasing and property management entity
RFQ, RFP, and ENA for Master Developer
Action: Fiscal year 2010
National outreach
Experience and financial resources key criteria
Action: Fiscal year 2010
RFP for marina operator in partnership with U.S.
Army
Element of negotiated fair-market value Economic
Development Conveyance
Upgrade and expand marina operations
Action: Fiscal year 2011
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