Participant s initial briefing on Creating a Neighborhood SSD to Partner with the City for Dredging. Bayville Creek. July 7, 2011
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1 Participant s initial briefing on Creating a Neighborhood SSD to Partner with the City for Dredging Bayville Creek July 7, 2011 DCM Dave Hansen Phill Roehrs 1
2 Prior Efforts / Reviews 1997 Citywide Analysis Too big, too long, unaffordable Series of 4 Council Briefings Four potential courses of action identified No formal council action 2
3 BAYVILLE CREEK Lynnhaven Bay Western Branch Eastern Branch 3
4 4
5 5
6 Legal Considerations VA Code Authorizes SSDs for navigation Minimum of 51% property owner approval Formal adoption by City Council Staff recommending 80% property owner approval 6
7 Financing Strategy Current Proposal: Neighborhood channel funded by SSD City cost share s by funding spur channel Individual funding of turn basins City management of project Economies of scale Defined schedule Sunset duration 3 Funding Sources 7
8 Real Estate Voluntary Dedication of Construction Easements and Rights-Of-Way 8
9 Project Format Mechanical Dredging Potential for neighborhood dredged material transfer City Dredged Material Transfer Station Deposition at City Disposal Area :Whitehurst Borrow Pit 9
10 POTENTIAL MECHANICAL DREDGING TRANSFER SITES Maple Street Long Creek & Broad Bay Crab Creek Bayville Creek Baycliff Thoroughgood Church Point Upper Western Branch Old Donation Creek Lower Western Branch Hurds Cove Middle Plantation Eastern Branch Robin Hood Forest Disposal Route V.B. Blvd. Disposal Route Laskin Road Linkhorn Bay Buchannan Creek Chesapeian Colony Disposal Route Shadowlawn Revised 5/25/11 Former Recording Studio Whitehurst Dredged Material Placement Area Harbour Pt 101
11 Dredging Cycles Initial dredging: 2 years after SSD adoption Projected cycle: 7 years 2 nd cycle anticipated at 70% of initial volume 3 rd cycle anticipated at 50% of initial volume 1 st Dredging 2ndDredging 3rdDredging Year
12 1 st Dredging Cost Estimate City Portion: $132,000 SSD Portion: $294,000 Individual Channels: $5,000 average 1 st Dredging engineering and construction contract could reach $500,000 Includes design, administrative costs, survey, construction and navigation aids 12
13 Life Cycle Estimated Costs City Portion Cycle Volume Cost 1 3,500 CY $132, ,450 CY $118, ,750 CY $118,797 7,700 CY $368,985 (includes 5% cost escalation) ($30, $40.20, $56.57) 13
14 Life Cycle Estimated Costs SSD Portion Cycle Volume Cost 1 8,000 CY $294, ,600 CY $270, ,000 CY $271,536 17,600 CY $835,680 (includes 5% cost escalation) 14
15 Appropriations Schedule Cycle Year Design Construction 1 1 $60,000 2 $500, $50,000 9 $450, $50, $450,000 Total $150,000 $1,400,000 Neighborhood & City channels only = $1,650,000 15
16 SSD Data Total SSD assessed value: $14,415, properties in the neighborhood district Each penny surcharge raises $1,441.5/year SSD rate covers costs for 16 year life: /$100 of the FY11 assessed value Average property contributes $4,361/year Review rate at end of every 4 th year 16
17 Timeline 2 years from SSD adoption to first cycle of dredging for engineering, real estate and permits 2 nd and 3 rd cycles each 7 year thereafter Sunset in 16 years 1 st Dredging 2ndDredging 3rdDredging Year
18 Risks: Environmental permits Encroachment approval Real estate dedication Real estate valuation changes Cost escalation assumption (5% annually) 18
19 Status quo Alternatives: Basin wide SSD : properties, $3M/yr + 10 years completion, $30M in 1997 dollars Expand City main channel projects to include spur channels: no ROI via confirmed neighborhood spurs, + $4million Cost sharing on a single dredging basis: 65/35 but not all coves were the same Fully funded by City: takes ownership = $35M in 2005 dollars 19
20 Hybrid Alternative: Individual neighborhood SSD s, specific scopes and timelines (3 cycles, 16 years) Includes City-funded Spur Channels (early appropriations allow for 1 st dredging in year 2) Partnership - Cost sharing (3 sources) City management of effort formulation, funding, design, permitting, construction, maintenance Creates a viable solution to reclaim navigation & improve water quality Establishes a reasonable timeline with visible results 20
21 Staff Recommendations: Concur with the hybrid alternative... and If accepted by neighborhood - obtaining 80% approval (signed SSD intent & easement dedication) Authorize staff to bring forth an SSD ordinance for public hearing and City Council consideration 21
22 Next Steps for Bayville Creek Explore dredged material transfer sites Determine extent of potential mitigation Brief City Council on project Staff authorization Validate willingness to reach 80% Execute documentation Public hearing City Ordinance establishing SSD 22
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