MIINUTES EMPORIA CITY COUNCIL COUNCIL PLANNING ADVANCE CITY OF EMPORIA MUNICIPAL BUILDING MARCH 22, 2025 Note to Reader: Although the printed agenda document for this City Council meeting is not part of these minutes, the agenda document provides background information on the items discussed by the City Council during the meeting. A copy of the agenda document for this meeting may be obtained by contacting the Office ofthe City Clerk. Emporia City Council held a virtual meeting on Saturday, March 22, 2025, at 9:00 a.m. in the Council Chambers of the Municipal Building, located at 201 South Main Street, Emporia, Virginia. Carolyn S. Carey, Mayor, presided over the meeting. ROLL CALL The following City Council members were present: Councilman Clifton Threat Councilwoman Yolanda Hines Councilwoman Carol Mercer Councilman James C. Saunders Councilwoman L. Dale Temple Others present: Carolyn Carey, Mayor William E. Johnson III, City Manager Tessie S. Wilkins, City Clerk Troy Allen, IT Manager Alicia Hargrove, Finance Director Mike Allen, Code Enforcement Karen A. Taylor, Treasurer Joyce Prince, Commission of Revenue Alton Mason, Director ofPublic Services Troy Hawkins, Chief of Police Melvin Prince, Director ofPublic Utilities Brian Petty, Building Inspector Absent: Councilwoman Doris T. White Councilman Mark Lilly Mr. Johnson opened the advance by welcoming everyone in attendance. Financial Update - Dave Rose, Davenport & Co. Mr. Dave Rose presented the following: DAVENPORT LE Background Davenpocta a Compenyl uCI Daverponthess served asf Firsnciai Achisort tothecitye of Emparie (he Ciyitor rougnyt thep pesto quarter centary. Cityof Emporia, Virginia Financial Update A65 suen, Devenportr reguisry pesentss atthes annuni CayCoundA Advence eschs wnerjesnysprig Prepared for the Annual City Councs Advance nt the Fsiof: 2024, Dsvenpartorefeso Councilc ons Recommend ad Captsi Finsigstrses.: arichwes impiementedk nt they Winter of: 2024, sndinctsed meestesnymosf.ssene dFte $em mtioni Trusts BondA AntiopationNoe: anticpatedt tot bep permsnenty faanoedi Dys SBteRevovag Fundt toan. Newn moneyt Dorrowingo ofsemiiont torsimburset theGenera Punds and fund aditional Vitys needs. Todey,, wes are gongtodscisst the and: steps for mes cys Geners Funds anduuy Enterpriser Fund. 2025 a - - DWENPORT - Maau 1 2 Financial ReportingStatus Financial Reporting Status (Continued) AEVgnia fovermentsy wwths apopulaions spoves 3,000 ererequrespp perfam an autside, independente aud resutingias sa Anousi comgrehersives Faancial RepatpAcER or Auaty. Purposeye resuits oft te Audiss Anchusese among othert Ands.areiew oft theGenesr Funde enat mesessappatingvuy Enterrser Fing Basedont thes es sonf fiscaly year, theAudibro OfPUBICA Accountse expects thist repartt topedeivereatot ne Confirmst the CaysAwsilstier Fund Baiance 360 of june s0ng ofesch year far botht te sbovefnssent. local govemmentt by Decembers S1pwmin agproximaey 1805 dsy5). Proédesa a snapshotof vey Reeueaabpesares MeS and 00150 olidstes thens sot matthe der can see bec ciysneaingas strurturatya bslancedbudet Thec City DFE Emporis compietes ASF FY 2022A Audtan February: 2024,5 sientyn morethend one (ilyesri iste mhesen nubersi formo SAtaGOAcSRRO, Nation na? Crediti Ratng Agencies, andkeyd departnertsa The FY 202SA Audity was compietedin Februarys of2025,5 setyn moret thene me diyesciate thec commonmemovagaias State Govemments review a detern mangimangtbtieciy Note Consistenty, latez audisA mayr resutint thes suspensibno afthe ponosgmaante and/ori inabiny to recelvea ulity EMUPMeNAsSaiNg - Witht ther new Audor,t the! FY 2924ABatcompiEens: astioipatedint the Summe! EaryFalio pFÇY2 2025. athes shsences ofthsser reportsk, a ofthes soovecited partes ete nct orwr notr movet fonwardwth Delhery oftneFy: 2024A Aucitk iscriticalfort theciya ask pertainstos andirgbaht thec General Runda anautity fundirgs ass.stance (ue, grantss seayorioans). Enterprise Fuscaptalneedst this calendar jear: fie, Eary P 2026). DVENPORT a IVENPORT a 3 4 General Fund Observations Utility Enterprisel Fund Observations ooservations 1 mec cnya does not naet sseparatet vttypeveres Bonso Credt Ratingt thate can Des usedfor e pond mectyracentyo compiatedit ISF FY: 2028 Anus' Comprehensiver Fasncial Report finsncings ofutty Enterpriser Pundcapita needs. mec caymantains sotid Fund Balsncey Reservez aves. inD Deoember of2 2024, Dsvenpart asistedt mhe ayine esersiacmesemsion) TrustBonGA Antoipstion NDe mereased ando orn nekrevenvesa ssar resute ofecon om c daveiapmerty prgecs ares epeced. snde ootainngintesmf fnanigbrénbuset the Generat Fundands fund adsona UIy projects. Despitet thes soove merearest finanoisi chatiengese as1 thec CASPPSPASIeELNeY: smallaname denographicss sre DelON National andy Virfnis aerages. - ForFY 2028a and beyond thevutyE Enerptser Fundy WSE nende anous Water andsewer retei increeses te double dgtrange inorder ta - hhec Cty'sG Generat obigatonc credtisc currentys ratedAA DysaP bssedont ters sEseRiothesgad thec ctys finsnoes msnagemente econorye andovet day iscityp buraen. Payf fort the permanento deots servicer relsted tomes appromen $15.5 mision ofintefm fascg arasdy incurred. 12020, Moodyse assigneda Asi enhencedGeneraft obigstiono credtr ratingtot theczy Desedon wel Vna Maintsins sofficient detts senicecovenge Locsities imteroept Pragnamn noever, me cydcesn ncto currentyhaves snt underyingo senesi ougstion creditrstign from Moo3s. Costinset to essiotuvestistascisAt Bslenoes reserves: Keept thet UtyE Enterptse Funde ans sushainabiet tack, sd, - mhec Generaic obigatonc crastretngst usedt pythecityfarf finsnoings Geners Funds supponede capits needs. Maxmizec cranoesf ford ottainnga ani inwestm nent graseusity Enterprse Fundi Revent vet Condcredit rating thec Ctydoesn noto cirentynsvesiisent: esi dettr merfnt touse nec Geners agation credt tratingfar anticpatedn fundirgorv VLy Enerpeser Fund capitsis needs. DWENPORT! a ms DWWENPORT a 1 5 6 TableofContents 1. Peer Comparatives Peer Comparatives General Fund Debt Management Usy Enterprise Fund Debt Manegement Next Steps DAVENPORT DWENPORT a 7 R PeerComparativel! Population Peer Comparative Real Estate' Tax Rate inse.capng te oryePesr Oerparves groun, Onerpon oe soleced ocakee a eren reatsery: ciose apromyn mecaysRealE EststeTaxRatec chagedoitsn residensisbeiowt thepeer groupr median snent ctaringinte moc cityana na serersy mirror nec cu adsmognapies popue an ad redep profip. combinedr Toan andcoany satest tatresidentso offoesi int thepeer gospp pey. Beisa, pinase fins be sterciesane Toens ncvdd - he peer poos ars ne poDURRS ) or Ch opulao - EE - Awr Vk - DAVENPORT B DWENPORT - 9 10 General Fund Timetable/Assumpions - Anyf fundiagfor Niaw Moneys Capital wier requre uptodsteAuts 2. General Fund Debt Management Assuminge theF FY: 2024A Ausitiscompletes: pysummery Earys Fsiof2025 sSs snsopstes, findingcouidbe soqueedt througt Dessuanceordettint theF Fallof 2025 e. Earyrr 2026). outside anvestos National CredtRating Agencies andt me Commonaesmy W expectscompicter FY2025 Aasa Defningony's atourDeoembers 31,2025. Ourintiais snayss contanedherens assumest thecy Andsasi5m milion Police Station Pigecti inistecr 20254 (Early FY 2026). Onthef foliowgpeges, wensep provideda ani nits cash fiow impactoft mej prolects ontheGeners Fund DVENPORT - MWENPORT a 11 12 Debt Management Tax Sapported Debt Service Debt Management a Projected Impact of CIPNeeds GeneralFuni GeneralFuni - Thec City/sexistingT Taxsapportaridett: showa belox. The CN. Bietng & Proiacted Tsveupportad Debts Servicei isessentieryt ft a1 approimately 5525,000 per yaar trouh FY 2028. doct sorvice ia ahon her. The Projeced dott svices includoe ne* dobt senvice relehed lo Thec Cye experiencs thes sstmeanings arop-down" indets senviceinrY3029. seprosimel $15 milion suanc a debti cy2 20555 ocy PY: 20c61 bosedor te DEOnE: Fint roace 1 payment nF 2028. - 0 Elacing Ta-Bupooned Deet Bervice FracAl principa ada torvet pment nf FY 2027. E a nencad ver 5 E EMD DoOKiE rate. DAVENPORT - DVENPORT a M MAn 1, 13 14 Debt Management Projected Impact ofCIPNeeds (cont) PeerComparatives! Tax Supported DebtOutstanding General Fumd TeciysTaxsapperac OutsisndgGo. Decti S DEON thePeer Groups ard Reted Mediars. TarSupponed Dett Ohrsing - Tho sonos af 150k dett fore eve Eicaa 4 Po a Taa DCBASCNS - Policea auation Project would reguire adskon mCmTAEeunsO * $3124 0001 Degmng inFy poseand. $7E3000BSmrE 2027. as a : SCB 1 FEaATNr mi Fiscaiy Yes 2E wo E 227 23000 S6NBABSE AAAEAEAN Ria S1A0 a - - - - - - saas e - - - 3 DWENPORT & Sa 29A.A44 DWVENPORT 15 16 Debt Serviceasal Pervemtiagoffayandnuns Peer Comparatives Debt Serviceas al Peromitage ofExpenditures - The cyoumetynsepag mavnumofs 12.05 apiace r DetsenseEAPATARSE OFE Dpenditures. mec ciy's Debt Service sse Peroentage ofBpensitres DeIow ne ReerGroups and isns. Thsisst Key Ratiot becauseits messures BwsgetFibityie." how much ofthes sansa! budgetisb beng spentt top pay bor deot, snccsns shown nowmuche sditionairevesued needst tober rasedpp payforn nar sett Datt Bani ce Deingconsiosred. TevBucponaa Dett Bercice a NoE Eoensaun a V7EG GAN N ACSLK E e 2 DENPORT B MwawrwA a 1As. -ME Kr rasare DAVENPORT a 17 18 Utility Enterprisel Fund Timetabie/Assumptions Anyt funding for pernasent snancags win gureupDditeAudis 3. Utility Enterprise Fund Debt Management mectyplanstor permenertyt fnanoethe san mition? Truists Bond Antopstion Notew withslosnth thoug te AmsNaRdNVgassuE: RevoMng FundiSRE. Assuminge the FYE 2024A Audiso compieted oySummer Eary FAROF20256 656 entcipated, fundng couidbe soqaireat througn thecommonwearne hovirgniess SRFE ppgamint the Faor2025 (ie, EaryFY2 20281 meo Commonwesith: W expect 8 completean 2025 Auditbegmingo on sbout December S1 2025. our ntale snsysso containedherent essumest thes SRF Loan NT befundedint meFs ofCY: 2025 (FarypY 2020). DAVENPORT a DAVENPORT D s 19 20 Debt Management Existing Debt Service Debt Management Projected Iimpact ofcIPNeeds CtlityEnterprise! Funi UilityEatuptiseFmi - - Tec cys existingu Ulity Enterpese Findo detts servicei 55 shonn DBCK: Tne crya Evsling P rojected Usikr sout cenice mec Ctye experienoes mes sstmesring" "dropdow" indeotservicei iAFY: 2098. a honn here. Thel jecled dott py vice incudes aer Sobt service voipteds o er - a approuimse $E. milion BRF Loanin ale coas Eaty FY 202811 beeod on! me tobewis: Fnt interoet paymerc FY 3038. EVE My Duce Bervice FAE princi P ant inen & ant FX 2027. Fnances we er 3 s a61 borrowi A rate H. TTTTOREE DWENPORT lB DWVENPORTI : ra NextSteps Dste Fase CyCouncikdance Msrch: 22 Davenportb brefs Ctyo Counci. 4.Next Steps : City Counciic opesiders spprovingn new Audtor. Baisncec MarchyApril of Davenports sndcity Seffcooranster ani feedbsckf from theCty Counci Advenoe Esnly Summer Devenportk identifiesy potentsi refundings opgortunities fony. Summer/ Earyr Fal FY: 2024 Audit completed EaryFall Dsvenportncek National Cedit Reting Agencies OFPY: 2024A Auoito compleson Davenpots andc Ciy Staff poscthely provide Nationsl CedtRetngA Agenciesy wth Genersi Fundu updates. Fal ctyoominso confdertisic credt rstinggudance 0n1 the vy Enterprise Rand. ns ordersoo Quatis roersir below market rareat rate loane. the dity MiP reeds asir aninveament Eacee orestn traéings Cayo obtsinsf finencingt fort the Poice StatonPrpjart. late Fan cty receivess SRFS Loant tepermanentys fnsnoet the s6n miion Truist Band Anticipetiona NoE. DAVENPORT! 3 DAVENPORT B 23 24 Municipal Advisor Disclaimer Taus sonafanw boo e anames SBCANE OA a pan - - f hnoer Ta Mpasis a ht Aa Apa C E TEpSSE acne Mra rgrCH 1 TL FPEEN AY drpens a ay Te = M 1 n A = ana : E E * - Aar - - e R Manhi Danpar CAPREN M hn soinsminerire - - - E rtin - - sn - ana MAEAN sa arsamunapa aoave CpnA AAT inuawyn n4ich AGN - ne M - 71 B CRE or MpN artrar npae nE AAnAN e emar ws Grgonia : Aor andunay anEaa - anea anoil nae adeNec wan AoVaAgae CAPTE sopenon or han aing M auanNe mo raareaar fa maa PAs has naa M prsaratpa nnana oromar nonsa pensonaor barpee hen naranl - nap passaha aaa AMAN AA Kni MMCADEBOr E MAVE ar aa Mpert wIns rarar anerh neranants amoan moarar heb an hoirnas arnw aparene sromanrimenn Mpen nuypamomers N pnarannsan - na m MN arna Aa Tha CSBrN a on l er 4anor MPAFTEFTR r - e N nate are pamaacana APPGNER M as ae E PHAA APBATAPA Aopw n trM an nAR o - er = - En - - E ar - A ns - me a - E - nces = s caeN E an ma phnan Mesns " a - - E parfomans BbpronraN - - - "UEM.SaS E - PAMAN a e Asnen PorA aen an ns -- apen nc N - pner gae M oroor aenn Tar ThAnspsns A prouae - MGner os BenAT TA BVOn Kcarmeers Aare AAEnrO propomatan TAS pns ed asanine Aaaen n mein CK MoE e 1 A Me Mng s me nnen M - M1 mei TA gaes and AEAE ara aana M4nsE a har AToAnMaGeN ae ar MnEROWENN AN TMAM MngAn he ecra Maran MaTNeS eFpecE a A n - - E se AN as - arfor not 1 an ani e E - ona E adurs the ATAs ON nos - 2 An ne - - as mane ans - nirREn nursarg P - - n Ta ad Lner narana aiftar hsnara - serrarbmsa- T our Tanea dper mamcmwahA E parionurar annlynan pne - auin a aei à AnI - Mnbr MI InMRAsRE y , radens w231 EM * 25 Mayor Carey thanked Mr. Rose for his presentation. Councilman Saunders discussed the potential cost and funding challenges of building a new high school. He also stated that Westmoreland County recently completed a similar project, which may serve as a reference. He further stated that estimates for a new school range from $70 to $90 million. He stated that at a cost of $80 million, with 41% of the debt service falling to the city, the city would be responsible for approximately $32.8 million. He also stated that the current projections suggest the cost per student is about $12,000, which is a decrease from earlier estimates. He further stated that he has concerns about the city's ability to afford its share, especially compared to the county, which has greater income and would receive a larger share of state funding due to the school's location. He stated that the council expressed the need to identify potential funding sources to close the gap. Mr. Rose stated that he shared the experience working with Westmoreland County on a school construction project. He also stated that the project began over a decade ago and involved replacing the old Washington & Lee High School with a new facility, financed through USDA Rural Development over a 40-year period for approximately $45 million. He further stated that adjusted for today's costs, a similar project would range from $70 to $75 million. Mr. Rose stated that the Rural Development financing required interim funding first, followed by long-term financing at below-market interest rates, typically lower than the double-A average. He stated that payments would amortize after a couple of years of interest-only payments, with current interest rates around 4.5%, though subject to change. Mr. Rose stated that aj project of this magnitude would have a significant fiscal impact on the millions annually- and would be separate from other city projects like the police station. He also suggested that the city and county begin planning now by exploring funding opportunities and setting aside funds each year, like in Lynchburg for two high schools. Mr. Rose stated that the long-term planning window- potentially five or more years as a positive, allowing time to prepare financially and potentially advocate for changes to the funding formula. Councilman Saunders expressed appreciation for the response and noted that, while it may take years for income from upcoming projects to begin -due to permitting, construction, and other delays-those projects could significantly impact the city's finances once completed. He stated that currently there is no long-term funding agreement in place. He also stated that the city continues to operate on a year-to-year funding basis, with no binding contract. He further stated that without a set funding formula or agreement, financial planning remains uncertain. He stated that the city has seen positive economic development projects, they are not yet on the same scale as larger regional developments. Mr. Rose stated that he was actively involved in previous school funding discussions and noted that in the room he had attended related meetings. He also stated that they highlighted concerns with the school composite index, calling it outdated and unfair to small localities like Emporia. He further stated that the member expressed hope that changes to the formula may come during the next gubernatorial cycle and emphasized that the current formula does not reflect the city's economic and demographic realities. He stated that they argued that localities with below-average income levels should receive more support, especially when compared to wealthier areas that continue to cut taxes. He also stated that the members encouraged ongoing advocacy to push for changes to the formula within the next three to four years, which could allow Emporia and Greensville County time to plan and act on school funding needs. Councilman Saunders expressed concern about the imbalance of political representation in the General Assembly, noting that while Emporia has one delegate, larger localities like the City of Fairfax have as many as twelve. He stated that this makes it difficult for smaller localities to have a strong voice. Councilman Saunders stated that on the utility fund, stating that based on this year's funding results, smaller localities might be better off allowing their systems to deteriorate, as seen in Richmond, which later received significant state funding over $100 million--to repair its infrastructure. He also stated that Emporia received only about $500,000. Councilman Saunders stated that he also expressed frustration with the disparity in state support, highlighting that the University of Virginia, with a $14 billion endowment, received $127 million for a new art center, while smaller localities like Emporia struggle to secure even modest funding. He also stated that the members concluded by emphasizing the lack of political power smaller localities have, regardless oftheir efforts. Mr. Johnson stated that he shared optimism about a potential windfall from a joint project with Greensville County, noting that both the city and county would benefit. He also stated that they mentioned a pending bill that, if not vetoed by the Governor, would allow localities to hold a referendum to increase the sales tax and dedicate those funds to school construction. Mr. Johnson stated that they emphasized that continued advocacy will be necessary. He also stated that since the city does not own the schools, it cannot directly access low-interest funding options, such as the 2% financing from the Literary Fund. He further stated that the speaker noted that a change in the composite index could help, but it remains unçertain and may depend on the priorities of the next Governor. He stated that they concluded by pointing out that school construction funding involves many moving parts and ongoing efforts. Mr. Rose stated that the 1% local sales tax may not pass this year, there is growing bipartisan support, and the chances of: it passing in the next four years appear stronger. He pointed out that much of the state-collected sales tax comes from counties and cities, which supports the case for allowing localities to retain a greater share. Mr. Rose highlighted the potential of pursuing the 2% Literary Fund loan, which would not add cost to the state but could significantly benefit the city. He recommended being strategic about when and how to advocate for this change, suggesting upcoming legislative sessions may offer a good opportunity. Mr. Rose stated that he recommended the Council to discuss these issues early, noting that planning ahead allows the city to be better for funding opportunities. He expressed optimism about the upcoming FY24 audit and encouraged the Council to begin preparing now, while interest rates remain favorable. Councilwoman Hines stated that she had asked Mr. Johnson how much ofthe $75 million estimate would be the city's share, noting that while the total amount sounds high, the city would not be responsible for the full cost. She also expressed concern about the current political climate, mentioning discussions about disbanding the U.S. Department of Education and how that could shift funding directly to the states. Councilwoman Hines added that the city should also explore other potential funding sources, such as revenue from marijuana taxes. Mr. Rose agreed with Councilwoman Hines' comments and said he appreciated the opportunity to discuss both immediate and long-term issues during the retreat. He noted that the suggestion of using marijuana tax revenue was strategic and could become a growing source of funding in the future. Mr. Rose stated that if school construction is within the next five to seven years, and if the FY25 audit is completed by December or January as planned, it would be helpful to reconvene at the next retreat in February or March to evaluate progress. Mr. Rose also mentioned that if the 1% local sales tax would veto again, it is likely to be reintroduced, as it already has bipartisan support, which is a positive sign. Mr. Rose emphasized the importance of the city being financially prepared and positioning itself to qualify for low-interest funding. He concluded by encouraging continued planning and thanked the group for the discussion. Audit Update Mrs. Danielle Nicholas introduced herself as an Audit Director with Brown Edwards. She stated that she has worked in the governmental sector since 2008, specializing in public auditing, accounting, and consulting. She also stated that she: is based in the Colonial Heights office but frequently works across the Newport News, Colonial Heights, and Richmond locations. Ms. Nicholas expressed her appreciation for the opportunity to collaborate with the team and stated that she is honored by the trust placed in Brown Edwards to support and accomplish the City's audit goals. Mr. Chris Banta introduced himself as a Partner at Brown Edwards, where he has been with the firm for 25 years. He is based in the Glen Allen office, an hour from the city. He stated that in addition to overseeing engagements such as the City's, Mr. Banta serves as the Partner responsible for Brown Edwards' entire State and Local Government practice. He explained that the firm audits over one hundred governmental entities, ranging from small towns to large cities, as well as various authorities and airports. He also stated that this work amounts to approximately 55,000 hours annually and represents about 10% of the firm's total revenue. Mr. Banta emphasized to those who were not present at the prior week's meeting that governmental auditing is a major focus for the firm. He acknowledged the urgency, importance, and respect the City places on the upcoming audit process and noted that this aligns well with Brown Edwards' capabilities and experience. He also recognized that late audits and changes in auditors can be concerning but based on prior discussions and the meeting earlier in the day, he expressed confidence in achieving a timely and successful audit. He concluded by offering to answer any questions from the Council and noted that the proposal document submitted was thorough, and the prior meeting received. Mr. Johnson stated that it would share that a group of firms who submitted proposals for the City's audit would interview, and Brown Edwards would recommend following that process. He also stated that as Chris Banta referenced, a thorough discussion would hold with the firm during the evaluation. He further stated that the recommendation is to move forward with Brown Edwards as the City's next auditors, with a contract expected to be presented at the April 1 meeting. He stated that the goal is for them to begin work by mid-April to ensure continued progress. Mr. Johnson stated that this morning's meeting would intend to give the Council the opportunity to meet the audit team, ask questions, and gain confidence in their ability and willingness to meet the City's timeline. He also stated that those who participated in the interview panel expressed strong confidence in the firm's qualifications. He stated that a key factor in the recommendation was that Brown Edwards has the staffing resources available to begin the audit in April, as their work is not dependent on the completion of tax season. Mrs. Nicholas stated that one of the strengths of their firm is its specialization. She explained that they have a dedicated group of professionals who are not focus on tax work, allowing the firm to have the bandwidth to begin the City's audit at this time, despite the busy season. Mr. Banta stated that, coincidentally, a large audit client recently informed the firm that they no longer require audit services due to a sale. He also stated that as a result, resources that had been allocated for that engagement- amounting to hundreds ofl hours-are now available. He further stated that this unexpected change, along with the firm's specialization, provides additional capacity to take on the City's audit at this time. Councilman Saunders stated that he wanted to ask a simple but important question that they had overlooked during prior auditor interviews. He asked if Mr. Banta could share examples of both a smaller town and a larger city in Virginia for which they have conducted audits. He stated that a previous auditor had not conducted audits within the Commonwealth of Virginia. Mr. Banta provided examples of smaller Virginia localities for which Brown Edwards conducted audits, including the Towns of Dayton, Wakefield, Waverly, Tazewell, Fincastle, Elkton, and Edinburg. He noted that some are small they are not required to submit an audit to the state. For larger localities, Mr. Banta listed the Cities of Lynchburg, Roanoke, Falls Church, and Danville, as well as York County, noting that the firm serves a wide range of governmental clients across the Commonwealth. Role of Lobbying Services Ms. Lisa Speller presented the following presentation: Emporia City Council Visioning Advance The Role of Lobbying & Government Relations Lisa Speller, AN, BSN, MS The Speller Consetting Group LLC March 22.: 2025 1 The Role of Lobbying & Government Relations "Advocacyis Vear-Round, Not Just During Session" Continuous Engagement -Effectivel lobbyingmeans consistent communicationwith elected officials, notj just during legislative: sessions. Proactive Strategy -Advocacy/lsntreactiveeatyengagement shapes policy and fundingopportunites. Local & State Influence - Emporia's 'ss success depends on: strong relationships with: OurState Legislators Direct representatives for Emporis. General Assembly Leadership The desision-makers oni funding and policy. * Key! Message: The work starts now! Building relationships int the off-season ensures Emporias 'sr needs are heard before critical legislative decisions are made. 2 Emporia's Statel Representatives Legislator Position KayResponsiblities Emiy M. Jorcan (RI State Senator, District 17 Rural economic develapment, healthcare, intrastracture Otto Wachsmann (R State Delegate, District82 Public safety, small business support, legislative advocacy for Emporia * Action Item: Kear-round engagement with both legislators ensures Emporia's priorities stay on the agenda in Richmond. 3 Key Leadership in the VA General Assembly Position Legislator Keyinfluence on Emporia Speaker of the House Don Scott (D-88th District) Legislative agenda, bill prioritization Chair, House Appropriations Lake Torian (D-2nd District) Budget aliocations, affordable housing. schoolf funding Senate President Prol Tempore L. Louise Lucas (D-18th Districti Statewide funding negotiations Senate Majorityleader Scott Surovel (D-36th District) Economic development, school. funding, rurali linvestment a Key Takeewey: These leaders influence decisions that directly impact Emporia. e Wer must engage with them before, during, and after the legislative session. 4 Emporia's2 2025 General. Assembly Priorities & Year-Round Advocacy * Key Priorities fort the 2025 General Assembly Education * Secure funding for school construct tion andf fulli fanding of public edcation mandates. Law Enforcement * Fully fund HB599 for lawe enforcement support. Traflics Safety- Amend SB: 336 to expand photo Paedimoswigdnikes. FiscalFaimess * Fepeal SB6 645 to ensuret fiscald distress regulations apply equally across al Virginia localities. Economic Development Expand Business Ready Sitesprogram toi inckude sites of 25, acrese or more. MAMoC Mega- -Site Secure fundingf for criticali infrastructure (wates, sewes, gas, caly. afrastructure * Address sidevalk saps, stormwater drainage issses, and agine water/sewer systems. Meherrie River Dredging Secu cure state matchingi funds for flood risk menagement: and recreation. 5 How We Will Continue Working on These Priorities Throughout the Year J Maintain Regular Contact with Legislators Quarterly meetings, legislative updates, and advocacy data. y Engage with General Assembly Leadership Meetings with House & Senate leaders forb budget discussions. / Track & Support Legislation Year-Round Committee monitoring and submission of local impact reports. / Leverage Regional & State Partnerships Joint efforts with Greensville, Mecklenburg, and business leaders. - Key Takeaway: Legislative advocacy is ongoing! 6 2025 GeneralAssembly Outcomes VS. 2025 Priorities a Key Wins (Lagslation Passed or Funding Approved) Educatian: $1 bhian in addtions. K-12 fundire. includine tescher salay incresses and schoat construction fans. Law Entoncement: HB999 W3S MY Runded in the budpet. Tiatlic Sstety: SB: 336 passed, alowine expanded phata spoed manitarine in lighrisk aress. Portia4: Successes (Progress Made, But Notl Fully Replized) Business Ready Sites: Lowereda acresge requiement tat 50 acres Emparias soucht 25acres). MAMaC Mecs-Sie: $8SMins sundine secured, but surther investment needed tor utitities and ra. Education Mandates: State incressedper- pupc tunding bu: did nat sEy fund a SOQ regirements. * MssedOpportumities Not Addressed or Fell Short) FiscslF Raimess (5B 645E Nos sepes:; Pianning District 19s sta: singledo ourt. Lacsi ihastructuret No direct tunding for sideAss improvements. starmwateri issues, ar watersewer ugrades. Mshernin Rver Dredgine: Nas state tunding match was. appravedi n: 2025. 7 In Conclusion We will use this momentum to advocate for what's still missing in 2025 and prepare for budget amendments in the next session. 8 THANK YOU Lisa Speller 804-306-8112 hespelergroup.com sm@tnespelegioupcom 9 Ms. Speller stated that the continued advocacy for education funding is needed and discussed how the school composite index affects funding. Ms. Speller emphasized the importance of maintainig relationships with legislators to help influence funding decisions. The council asked Ms. Speller to coordinate with Delegate Sam Rasoul, Chair of the Education Committee, to arrange a visit to the city. Water and Sewer Connection Fees Mr. Johnson suggested and requested that the City consider lowering the water and sewer tap fees from $7,500 to $5,000, effective from April 1, 2025, to April 1, 2026. He proposed that this reduction apply only to residential properties intended for sale, not for residential rental developments. Councilman Saunders asked how the City would manage situations where a property qualifies for the reduced fee as a: residential sale but does not sell and is convert into a rental. Mr. Johnson stated that, in cases where a property receives the reduced $5,000 water and sewer tap fee but is later convert into a rental, the property owner should be required to pay the $2,000 difference, restoring the full $7,000 fee. He also stated that a concern would arise that although the property may initially intend for sale, it could later be sold to someone who uses it as a rental. Councilwoman Hines noted that the issue would still occur after the fact she recommended including a stipulation- like certain loan agreement requiring that the homeowner occupy the residence for a specific period before it can be converted into a rental property. Mr. Johnson stated that he was not hearing enthusiasm from Council regarding the proposal. He concluded by saying that the administration would follow the Council's direction and asked members to give the matter further consideration. ***CLOSED SESSION*** Councilman Saunders moved that the Emporia City Council convene in Closed Meeting pursuant to Virginia Freedom of Information Act Sections $ 2.2-3711(A) (5) discussion concerning a prospective business where no previous announcement has been made (A)(7) and (8) consultation with legal counsel and briefings by staff members or consultants pertaining to actual or probable litigation, where such consultation or briefing in open meeting would adversely affect the negotiating or litigating posture of City Council. Invited to attend the closed meeting, as necessary, are the City Manager and the City Attorney because they are deemed necessary and their presence will aid City Council in its consideration of the topics to be discussed, pursuant to Virginia FOIA Section 2.2-3712(F), seconded by Councilwoman Temple, which passed as follows: Councilman Clifton Threat aye Councilwoman Yolanda G. Hines aye Councilwoman L. Dale Temple aye Councilman James C. Saunders aye Counciwoman Carol Mercer aye *** Regular Session *** Councilman Saunders moved that the meeting be returned to Regular Session. Councilwoman Temple seconded thei motion, which passed as follows: Councilman Clifton Threat aye Councilwoman Yolanda G. Hines aye Councilwoman L. Dale Temple aye Councilman James C. Saunders aye Councilwoman Carol Mercer aye CERTIFICATION Councilwoman Mercer moved to certify the following: That the Emporia City Council return to Public Meeting and certify by roll call vote that only public business matters lawfully exempted from open meeting requirements by the Virginia Freedom of Information Act, and only such public business matters as were identified in the motion convening the closed meeting were heard, discussed, or considered during the closed meeting, seconded by Counciman Saunders, which passed as follows: Councilman Clifton Threat aye Councilwoman Yolanda G. Hines aye Councilwoman L. Dale Temple aye Councilman James C. Saunders aye Councilwoman Carol Mercer aye ADJOURNMENT With no further business to come before the City Council, Mayor Carey adjourned. Gke Carolyn S. Carey, Mayor beoub & Wwilk - € Tessie S. Wilkins, CMC City Clerk