OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

Chesapeake Work Session Oct 21, 2025: SIPSA Landfill & Waste Management

City CouncilTuesday, October 21, 2025
BodyChesapeake, Virginia
SessionCity Council
DateTuesday, October 21, 2025
StatusFILED
Video Record

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Transcript — Verbatim
2:48

Want to welcome everyone to our October twenty first, twenty twenty-five work session.

2:53

Tonight we're gonna be discussing a topic that has been on our minds for at least two to three years, Mr.

2:59

Manager.

3:00

It is, thank you, Mr.

3:01

Mayor.

3:01

Very happy uh to have this conversation tonight.

3:04

Um SIPSA has uh and city staff have briefed council several times on the future of the landfill, future of um uh waste management, future of recycling, and uh we promise that we would continue to come back at appropriate touch points.

3:18

So um, Earl and Dennis are going to give you an update on where we are and a preview of uh coming agenda items.

3:24

Earl.

3:26

Uh thank you, Mr.

3:27

Manager, uh Mayor, Vice Mayor, and Council.

3:30

Uh appreciate the opportunity to again brief you on uh this very important topic.

3:34

Uh I have with me tonight uh my counterpart on the board, Mr.

3:38

John Maxwell, he's the governor's appointee to the board.

3:41

Uh and uh that Dennis uh as you know serves as the executive director of SIPSA, so I'll turn it over to Dennis to walk us through his presentation.

3:49

Thank you, Mr.

3:50

Story.

3:51

Umor, uh, Vice Mayor and members of council.

3:56

I'm happy to be with you again this evening.

3:58

We're getting uh close to the end of this road, and um, I'm pleased to be able to brief you on where we are at this point um in the process.

4:09

Uh I want to kind of review a little bit about our use of support agreements and what they are and what because that's one of the asked tonight.

4:17

Uh effective uh January of twenty eighteen SIPSA entered into identical use of support agreements with all of our eight member communities.

4:25

And um the use of support agreements uh really are just a fundamental uh plan for how the two parties will work together um to to manage the the region's waste.

4:37

Uh the initial term of that agreement uh was um th through the end of June of twenty twenty-seven, which is just around the corner.

4:45

And each of the use of support agreements were were set to automatically renew on um that date if we did not receive written notice from one of the member localities eighteen months prior to uh the end of the term.

5:00

And that means it would need to be we would need to receive notice by December the 31st of 2025, which is next month, two months out, excuse me.

5:11

So I guess uh the question is why why would you want to renew uh the agreement with with SIPSA?

5:17

First of all, uh SIPSA has a proven track record of delivering really efficient and innovative solid waste management services for the region for many, many years.

5:27

Uh SIPSA has uh have been in a relationship with Chesapeake to to manage the Chesapeake's waste for many years, and we've been very successful in that, and the citizens have benefited from that.

5:39

And uh lastly, um SIPSA's recently obtained all the regulatory uh permits required to expand the regional landfill and give uh capacity to the region through the year 2060.

5:51

Uh that is the only capacity within the region currently, and to go outside of the region for uh waste is very expensive, and we'll talk a little bit about that in a few minutes.

6:03

Uh future disposal capacity is um extremely important to the region.

6:09

If uh maintaining future disposal capacity uh gives us the ability to be able to uh participate in uh fruitful negotiations for for space for airspace uh and also disposal rates.

6:22

Uh without it, you you're you go to the table and you're kind of at the mercy of whoever you're negotiating with because you don't have any other options.

6:30

So it's imperative that we maintain uh disposal capacity within the region for many, many, many years.

6:37

Uh one of the the issues we have currently uh is we just went through a four-year process to uh permit uh the the cells eight and nine at the regional landfill and then the regional landfill is hydrologically connected to the dismal swamp and the remaining land of the landfill is all wetlands.

6:59

Uh what while we were able to get sales eight and nine permitted, part of the process we had to give up any remaining space at the regional landfill.

7:06

So there's about 280 acres left out there, but it's all wetlands, and we had to put that into an environmental easement so that no further expansion of the regional landfill can happen.

7:18

And during this process of the EIS, uh we explored about 150 sites across the region uh for additional landfill space, and uh the core and their third-party consultant deemed none of them appropriate uh with the exception of two sites in uh Southampton County and Southampton County very quickly passed a resolution to um to not allow landfill to be built in the county.

7:43

So uh that eliminated those two sites that were possibilities.

7:47

So there is no other possibilities in the region, and you can imagine nobody wants a landfill in their backyard.

7:53

So at the current uh waste volumes, uh the landfill that we that the region is currently producing the landfill would be at capacity at the year 2060.

8:03

And in my business, 2060 is not very far away.

8:07

I won't be here, but somebody will have to deal with that issue in 2060.

8:11

And uh so we were trying to address it now.

8:14

After 2060, waste would have to be hauled to private landfills outside of the SIPS service area, um, increasing our carbon footprint, uh increasing greenhouse gas, and we would be at the mercy of whatever landfill we were hauling that material to uh to give us a fair and reasonable cost for disposal.

8:34

Uh and another uh thing that needs to be clear is in the state of Virginia, we're not uh DQ is not permitting uh landfills um every day.

8:44

And what's happening is the capacity is going down, the need staying consistent, so what you end up seeing is uh capitalism taking over and uh supply and demand is is what drives the price in.

8:59

The projected cost as part of the EIS environmental impact statement that was done in order for us to permit sales eight and nine, a third-party uh consultant for the Army Corps of Engineers this said in the in the uh in in the statement that it would cost 125 dollars in today's dollars uh when 2060 rolls around to be able to find landfill space.

9:26

We're currently at 65 dollars.

9:28

So you can imagine what would happen if we do nothing.

9:33

So what do we do?

9:34

Uh how do we plan for the future?

9:37

I think it's important that we look at long-term disposal at the regional landfill, and we've got to reduce the amount of waste going into the regional landfill.

9:46

There's multiple things.

9:47

Number one is we need to reduce waste across the the region in general, not just what we put in the landfill, but we need to reduce the waste.

9:55

But we also need to be mindful of what we're putting in the landfill and only put in the landfill what has to go in the landfill.

10:00

If we can recycle it or reuse it, we need to do that.

10:05

So how do we reduce the volume?

10:08

In February of 24, uh SIPSA engaged in an RFP uh to find a alternative waste disposal, and that's really the way we put it out.

10:17

Said we want to find an alternative waste disposal mechanism.

10:21

Uh what we got back was um some kind of multiple responses, but um the SIPSA board eventually uh settled in on a company called Commonwealth Sortation LLC, and they were to but provide uh mixed waste sorting facility, which means they take trash and they sort the recyclables out of it and they sort the organics out of it.

10:44

Um this contract uh with Commonwealth Sortation would guarantee a diversion rate of 50 percent.

10:51

And there's a lot of talk about diversion and recycling.

10:53

I want to be clear about the difference in diversion and recycling.

10:57

Recycling is when you actually take the material and you do you recycle it and reuse it for the same use.

11:04

But diversion is just moving moving waste away from the landfill.

11:07

You can do a lot of things with it.

11:09

Doesn't have to be recycled.

11:10

Uh you could do uh you can turn it into another product of some sort.

11:15

So diversion and recycling are two totally different um issues that we're dealing with, but this contract deals with both of those issues.

11:23

Twenty percent.

11:27

So 20 percent of the waste uh would be recycled.

11:31

Um thirty percent of the waste would be in the form of organics, and it would be processed by the process called pyrolysis.

11:39

And anyone who's had chemistry in high school knows what pyrolysis is.

11:43

It's the addition of heat and the absence of oxygen that turns the organics into carbon uh is most basic element.

11:50

So it creates a product called biochar, and biochar is a material that is an additive to uh concrete is one of the main sources right now, and concrete industry can't get enough of it, but it also provides for carbon credits you can sell.

12:07

Uh those carbon credits are sold to companies, uh very large companies like uh Amazon, uh Google, Microsoft, uh, and they are very lucrative.

12:16

And really the carbon credits are what makes this project work, so that the tip fee to our individual localities is not absorbing it.

12:25

So the alternative waste disposal would reduce the waste stream by 50 percent and extend the life of the regional landfill through the year 2025.

12:35

I want to reiterate that 20 percent of that would be recycling, 30 percent of it would just be diversion through the uh turning organics into biochar.

12:48

There's some facts I want to uh share with you tonight about the project.

12:52

The project guarantees, and when I say guarantee, if they don't produce, then there's liquidated damages attached to this.

12:59

The project guarantees 20 percent of the waste collected in Chesapeake would be recycled versus 7 percent with curbside recycling.

13:08

That's the seems to be the average.

13:10

Um I think Earl could probably speak to your specific numbers better than I can, but across the my my numbers across the region are about seven percent for curbside recycling.

13:21

Uh according to uh 2023 waste characterization study that SIPSA um engaged in, um there's about 28.1 percent of Chesapeake's waste is recyclable material.

13:35

That uh equates to about 33,700 tons of your waste is recyclable.

13:41

Um that is again 28 percent.

13:44

All we're saying is we're gonna pull out 20 percent of that.

13:47

We think that number is gonna be higher, but we um are guaranteed that we're gonna get 20 percent out of it.

13:54

The alternative waste disposal contract also guarantees that the increase will be 13 percent.

14:00

If you currently have 7 percent, you go to 20 percent, that's 13 percent increase in your recycling rate.

14:08

The alternative uh waste contract also guarantees a diversion rate of 50 percent total.

14:14

Again, as I've already said, 20 percent of that is recyclables or 24,000 tons, and 30 percent of that would be organics or 36,000 tons.

14:25

So here is an estimated uh five-year tip fee comparison uh versus continuing at municipal solid waste uh collection as we currently do.

14:35

Uh next year the tip fee is scheduled to be $67 a ton, it would go to $71 a ton next year versus $67 a ton.

14:45

In FY28, it would be $78, and then when the system is fully ramped up, it would go to $86 in FY29, and then it uh it there's a two percent uh annual escalation in that's uh in the contract.

15:00

versus continuing at municipal solid waste uh collection as we currently do uh next year the tip fee is scheduled to be 67 dollars ton it would go to 71 dollars a ton next year versus 67 dollars tonight it would be 78 dollars and then when the system is fully ramped up it would go to 86 dollars in FY29 and then it uh it there's a 2 percent um annual escalation in that's uh in the contract so there are a few assumptions to come up with those numbers uh those assumptions are that the contract would go into play uh it would be signed and and and start uh july of july 1 of 2026 uh the escalation for the current disposal rate was based on 3 percent annual increase that's a little lower than the uh then the consumer price indices for um waste and waste water but uh 3 percent was the number that we typically use for government contracts and escalating the escalation rate excuse me I went too far uh the escalation um for alternative waste disposal was uh two and a half percent that's the number that's uh contemplated in the contract uh if that contract goes through now these are all assumptions until the contracts are signed uh the 80 the alternative waste disposal tip fee for 2026 and 2027 was calculated based on the number of tons that we able to be processed as you know a company coming in building a facility like this is not going to be able on day one to be able to process all the waste in the region so there's a schedule for uh milestones within the contract that if they don't meet then there's liquidated damages and we've based our numbers on that those milestones that are are in the contract and I have a timeline that I'll share with you in just a second the cost per ton for rounded um to the nearest whole dollar um because you can imagine when you uh billing customers you don't want to be billing them on 26 cents or seven cents you want to do on the whole dollar uh so the ramp schedule for um the project if and this goes uh is based on if the contract were to be signed um January 1st of 2026 immediately the follow 30 days from then the contractor would have to um be able to process 60,000 tons.

17:06

Now that's 60 thousand tons the first 60 thousand tons are tons that are already being hauled to that location from the city of Chesapeake because when the wheel of breader can plant caught on fire excuse me the city of Portsmouth when the wheelbread plant caught on fire uh we had to immediately find a place to haul their waste to so we were using that facility as a tip floor uh under a previous owner uh so that 6000 tons would continue to go there effective um february one of next year on 71 of next year uh july the first of 2026 6000 tons additional capacity would come online and that would be Chesapeake 6000 tons of their waste would go to the facility to be processed the next uh milestone was 7128 uh the Victory Boulevard which is the second facility they'll be operating with start up uh and the other the remaining tons from Chesapeake would go um at that point on 7128 and it would also take Hollow White County Southampton County Franklin and Suffolk's waste at that point then on the first uh of January in 2029 um another 1900 tons would come on and Virginia Beach's waste would go there and then in 10129 uh another 100,000 tons of Norfolk waste would go there.

18:33

So the the project would start on um January the 1st of 2026 and they would be fully ramped to process the waste on 101 2029.

18:47

There's some other benefits I'd like to share with you first of all Commonwealth Sortation which is a subsidiary of AMP robotics out of um Colorado plans to invest uh 200 million dollars in the new processing facilities in the region that's a considerable investment the recycling rate um would be contractually guaranteed at 20 percent if they don't meet that 20 percent guarantee then they have to pay every ton that they don't meet they have to pay us liquidated damages uh for those tons uh the landfill diversion rate would be 50 percent and it's also guaranteed at 50 percent if they don't meet those guarantees they would have to pay us for every ton they don't meet at 50 percent uh all eight member communities under the plan would receive the same services at the same cost so they would that's been a longstanding rule in SIPSA uh since um uh at least for the current use of support agreement that uh all member communities receive the same services and they pay the same price the City of Chesapeake would secure disposal capacity through the year 2095 as I said before the regional landfill um is at the current volume would would expend all this airspace in 2060 uh if you reduce that by 50 percent of what's going in there that takes the length of the landfill through 2095 so what if we do nothing uh if we do nothing the uh current disposal rates will sharply increase uh for the cost of constructing additional landfill space I mean almost immediately uh the available land space will

20:00

As I said before, the regional landfill is at the current volume would would expend all of its airspace in 2060.

20:05

If you reduce that by 50 percent of what's going in there, that takes the length of the landfill through 2095.

20:15

So what if we do nothing?

20:17

If we do nothing, the uh current disposal rates will sharply increase for the cost to construct an additional landfill space.

20:26

I mean almost immediately.

20:28

Uh the available land space will be consumed by 2060, and the cost of haul the ways to private landfills after 2060 would exceed 125 a ton in today's dollars.

20:44

So what are the next steps?

20:45

Um the first step is uh each member community is being asked to execute an amendment to the use and support agreements uh it would increase the 10-year extension to a 25-year extension with the SIPSA.

20:58

The amendment would be effective only if a contract was assigned between SIPSA and Commonwealth sortation and is approved by at least 75 percent of the SIPSA board of directors.

21:12

The SIPSA board uh would vote on whether to approve and execute a contract with Commonwealth Sortation uh once all the use of support agreements are in place, and a supermajority consisting of 12 of the 16 members would be required to approve the terms.

21:28

Uh there would be a phase ramp up, as I have already talked about uh through um 2028 is when the end of the capacity, but there's some issues with the current contract with uh one of the localities that we would need to extend that out to 2029, but the capacity would be available in 2028.

21:46

Now uh one of the things that um that I wanted to bring to your attention is that uh at this point uh we have five member communities that have have uh extended a use of support agreements.

21:57

The City of Virginia Beach extended it two weeks ago, and uh Suffolk, Olivewhite, Southampton, and the City of Franklin extended theirs to 25 years last month.

22:13

So we currently have uh uh Chesapeake, Portsmouth, and Norfolk uh still um scheduled to to vote on the uh extension.

22:24

And with that, I'll be glad to answer any questions you may have uh regarding the presentation, any other questions you may have.

22:31

Mr.

22:32

Bennett, do you have anything to add before you have a questions?

22:35

No, sir.

22:35

Any uh questions, council members or comments?

22:38

Council members would like to make use of Noah.

22:40

Thank you, Ms.

22:41

Mayor.

22:41

I do have a couple of questions.

22:43

Um have there been any success stories with Commonwealth Sortation LLC being used in a similar situation with localities.

22:52

For the last two years, they have been operating a mixed waste sorting facility uh at the Portsmouth site, processing about 60,000 tons a year, and they have exceeded the numbers that they have put in their contract, and we have seen those numbers.

23:07

So uh the other locations they operate, uh one is um Cleveland.

23:13

We visited that site um a year and a half ago.

23:17

Uh they are actually buying bales from uh of residue from other recyclers and processing that material.

23:24

Uh so yes, we have seen success stories that they have put out.

23:28

So those are the only two that we know of that the Commonwealth sortation has been utilized with?

23:33

The only two that we visited, yes.

23:36

Are you aware of any others?

23:37

Yes, they have a site outside of Athens, Georgia, and one uh outside um.

23:46

Just uh I believe it's Greenville, North Carolina.

23:49

And then you would mention something about liquidated damage damages if they cannot keep up with the 50 percent um diversion rate.

23:58

But those liquidated damage damages will go to SIPSA, those won't you be used to offset any kind of cost to localities, is that correct?

24:06

Well, we don't anticipate having liquidated damage, but if they did, we certainly our board would certainly consider that because you wouldn't be receiving what you were asked to what you were expecting to receive from SIPSA.

24:18

So I can't speak from behalf of my board, but I am certain that um the Board of Directors that are here tonight would would follow suit with me that that money would come back to the member localities.

24:28

Is that included in your contracts with any of these five localities that have signed on that if liquidated damages are awarded to SIPSA that they will be utilized to offset the cost of localities?

24:37

No, ma'am.

24:38

The the amendments to the use and support agreement is strictly an extension uh to 25 years.

24:44

It's it's an amendment to the existing use of support agreement.

24:47

The terms of the existing use and support agreement will still be intact.

24:51

Okay.

24:52

And then last area, I just have some questions about the ramp up schedule that you showed us on page 10.

25:00

It looks like from 2026 to 2028, there's not going to be any additional capacity in tons for Chesapeake.

25:06

It's the 60,000 tons that will have the capacity to be collected.

25:11

So does that mean the remaining tons will not be going through this single stream?

25:16

They'll just be disposed of through SIPSA in the ordinary manner?

25:20

Yes, ma'am, that's correct.

25:21

It would not be going the additional capacity would not come in until uh 2028.

25:27

But with the 60,000 tons of capacity that would be doing through at 20 percent, you would be recycling recycling about 12,000 tons.

25:36

Uh with the 120,000 tons you currently produce at the 7 percent of typical re curbside recycling, that would only be 8,400.

25:45

So you would still exceed what you would do with curbside recycling.

25:48

So the numbers would be higher than curbside recycling, even though you are only taking 60,000 tons there.

25:55

Okay.

25:55

I'm just, I guess, trying to understand, I guess then, why the tip fee would increase so significantly from 2026 to 2028 when the City of Chesapeake is not getting anything additional.

26:09

We're getting the same 60,000 tons that would go through nothing addition, no additional capacity, and everything else would remain in the same um disposal.

26:19

So from it looks like the tipping fees for fiscal year 2027 are set to increase four additional dollars per ton.

26:26

2028 it's uh looks like nine additional dollars per ton, and the city of Chesapeake is not getting any additional benefit.

26:33

Well, I I'll say this that SIPS is um one of SIPS's rules is that every member pays the same and they get the same services.

26:41

So if we're the numbers that you we showed on the chart do reflect a certain communities waste going to the facility on a certain date.

26:52

But the reality of it is when when waste comes to our transfer station, that transfers to SIPS waste, and that's kind of the philosophy that the the board has been uh following since since we started this process, because you can't charge uh Portsmouth one fee and all the others another fee because that that's uh different from what SIPSA's philosophy is, and this has been the way it's been planned all along, uh that those numbers would slowly rise based on the number of tons we were taking, and everybody would pay their portion of it.

27:22

So Portsmouth isn't going to get any benefit for being the host locality?

27:26

Anyway, I'm sorry, I'm not sure I understand your question.

27:28

Is Portsmouth going to get any, I guess it's because the the facility is going to be at Portsmouth to start with on Frederick, is that correct?

27:36

That's correct.

27:37

So they're not getting any discounted rate on their tippings because they are hosting it?

27:40

Okay.

27:42

If I could, Mr.

27:42

Mayor, actually, Councilmember News uh excellent question.

27:45

We had the same question when we saw that, right, right.

27:47

So in terms of the ramp up phasing, um, I will say from the city's commitment, we had, you know, and this goes back a few years and now when we when we ended curbside recycling, is you know, we have been asked to consider alternatives to bring back curbside recycling.

28:02

We've tried, you know, a variety of different things.

28:04

We've tried um, you know, we have our drop-off convenient loc convenience locations.

28:09

But um Dennis mentioned this very briefly.

28:12

If we do nothing, um the tipping fees expand even further than than what this project is calling for.

28:20

So do doing nothing is not really an option because we'd have to be looking at permitting either a new landfill and a new site or trying to get um additional landfill capacity at tremendously greater cost.

28:31

Chesapeake is kind of fortunate in that we will be first in with those 60,000 tons, and so we will in effect be bringing back curbside recycling, recycling about twice as much material as we were in our last year of our contract, and the increase in that first year, I believe, and correct me if I'm wrong, it's about $540,000 for the City of Chesapeake for that first year versus what we would have anticipated at about six to seven million dollars for curbside recycling.

29:01

So we will be recycling almost twice as many um tons as we otherwise would have at uh uh 10 percent or less of the cost.

29:09

So we think we're honoring the things that that council had had asked us to try to look at.

29:16

I appreciate that explanation.

29:17

I guess my concern is when I'm looking at what the citizens of Chesapeake are going to be paying for with their tax dollars.

29:24

Is there a cost benefit there?

29:26

So that's why I'm I was just a little bit confused why over two years we're not getting anything additional, but the cost is going up so significantly per ton for the citizens of Chesapeake.

29:36

So that's that's my greatest concern, and I do appreciate the explanation about the recycling or diversion as the term has been used being a certain amount.

29:45

I just think it's important that we look at trying to preserve the citizens' interest if Chesapeake, even though this is a regional project, I think our citizens do come first.

29:53

Thank you.

29:54

Mr.

29:54

Wedaker.

29:55

Thank you, Mr.

29:56

Mayor.

30:00

Yeah, on that same page titled Other Benefits, it says recycle rates will be contractually guaranteed at 20 percent.

30:05

Um exactly.

30:06

How are we going to determine that 20 percent and uh and who exactly is going to audit that performance?

30:13

The the AI component of um of the system produces um tremendous reports.

30:22

The reports are part of the uh contract and the schedules, and they have to provide those to us every month.

30:29

Um and with our scale tickets and their scale tickets, they would have to match up of what we uh what actually went in and what came out and what form they came out in.

30:40

Uh we intend uh we're working now to create a uh uh dashboard on our website so that citizens can actually come and see what what what's been recycled, what's been uh diverted, and how much is going in the landfill?

30:55

I think it's important because uh as we've been talking through a lot of different organizations that one of the things we need to be concerned about is building uh confidence that what we say we're doing with this recycling materials we're actually doing.

31:08

So that's a component that's that's part of the schedules of the contract that we're working through now.

31:14

Uh but but the available the information and the data is available from the contractor uh from daily reports that they would have to send us.

31:24

Okay.

31:24

And so just for the sake of clarity, uh, the diversion in the recycling are not the same.

31:31

So that's a total of 70 percent of capacity being saved, correct?

31:35

No, sir.

31:36

The the diversion is 50 percent, and of that 50 percent, 20 percent of that being diverted away from the landfill is actually recycling.

31:43

30 percent is organics.

31:45

Okay, thank you for your clarity.

31:46

Mr.

31:47

Manager, what would uh how would all of this affect our uh the way we are doing things now in terms of our stations and our places?

32:01

I I would anticipate whenever we get to full ramp up that at our convenience centers we could perhaps run cardboard only.

32:09

There would really be no reason to continue to have people uh drop off their plastics or their uh aluminum when it could just go into the bin and then go to the facility and be sorted.

32:21

So uh you know, if we we could use the same sites we are using today, we could just simply do cardboard, uh, we wouldn't have to uh collect quite as frequently, we wouldn't have the overflow issues, and there would be a modest savings in doing that.

32:33

So that would be 2028.

32:37

That is correct, yes, sir.

32:38

Okay.

32:39

And do you see any um I guess I'm asking the question and uh I don't see an answer for it, but uh there's is there anything in the future that would eliminate our need for the transfer station?

32:57

So uh let me just clarify.

32:59

You're you're talking about for for our drop-off locations or actual transfer station?

33:04

The transfer station.

33:04

Uh- not the drop-off station.

33:06

Not the drop-off.

33:07

Uh the transfer station in located in Green Bar?

33:10

Correct.

33:11

And it would still be used.

33:12

Uh there were we we have some long-term plans to upgrade that facility, but uh it would be continue to be used just like it is now, sir.

33:21

Thank you.

33:23

Mr.

33:24

Bunn.

33:25

Thank you, Mayor.

33:26

Um question I had though, you had mentioned carbon credits.

33:30

Can you explain to everyone about carbon credit carbon credits?

33:34

What exactly is carbon credits?

33:37

Uh a company um Microsoft and I'll I'll use them as as just uh companies that but there's lots of companies doing this.

33:45

Um because they are doing business in certain areas, they need their carbon footprint to be uh be carbon neutral.

33:52

So they buy credits to cover the the to make themselves carbon neutral, uh, and it just uh improves their ability to do business in certain areas.

34:01

Uh but they're really trying to reduce their carbon footprint by buying these credits that somebody else is sequestering.

34:09

Any other questions?

34:10

Ms.

34:11

Ritter.

34:12

Thank you.

34:13

Thank you for the presentation.

34:15

Um I know some of this I personally am going to have to digest to come back with some other questions.

34:23

But I do have a number of questions for you.

34:27

The current facility in Portsmouth, that's um Frederick Boulevard.

34:32

Yes, ma'am.

34:33

Is that the old wheel operator?

34:36

No, ma'am.

34:37

Uh is that going out of commission?

34:40

No, ma'am.

34:40

That's a R it was used to be RDS, I think it's a recycled disposal solutions.

34:46

They purchased that facility from recycled disposal solutions, and they are opened it up as a mixed waste sorting facility.

34:54

Okay, who is they?

34:56

Commonwealth Sortation uh subsidiary of AMP robotics.

35:00

Okay.

35:00

So that takes me to another question.

35:04

Thank you for opening that door.

35:08

This is Commonwealth Sortation is a spin-off LLC created for Virginia.

35:16

Is that correct?

35:17

Yes, ma'am.

35:19

Okay.

35:20

So there's limited liability to the parent company?

35:24

No, ma'am, there's a parent guarantee in the contract.

35:27

The contract terms are very tight.

35:32

And um your your legal uh representative has had a chance to look through that uh already, and I think that they may be able to speak to you and attorney client uh discussion uh tell you uh the the how tight that contract is, and there's a parent guarantee that ties them back to the contract.

35:54

Okay.

35:55

Thank you.

35:56

Um and I certainly will.

35:59

So I also have some concerns raised by Mr.

36:03

Bunn on the biochar.

36:08

How is that disposed of?

36:12

It will eventually be sold and and to concrete um manufacturers and it's mixed in the concrete.

36:19

Part of the reason why it has to be sequestered for uh in perpetuity because of the carbon credits that are sold along with it for the first three years so that we could ensure that there was a offtake agreement, because off takes in every kind of uh any kind of a project like this offtake is very important, that you have long-term offtake agreements in order to get those carbon credits, they had to sequester that material for three years.

36:49

Uh and one of the things that their off taker, which was a is a major company, uh was requesting that it be landfilled.

36:57

So the first three years of the contract, it will be landfilled as a daily cover.

37:03

It will be about 30 percent of the total once it's turned into biochar.

37:07

But uh once that three years is up, they will be selling it to contract concrete manufacturer to put to put into concrete uh to build roads and uh other material.

37:19

And is that a contractual obligation?

37:23

There's a contractual obligation in that they have to sell that, yes, after three years.

37:28

We will only hold it for three years.

37:29

They didn't want us to hold it at all.

37:32

But we demanded three years because we needed to make sure we had that offtake.

37:36

They wanted a short-term agreement and then be able to sell it because they can make more money if they sell it to uh someone who is going to use it for a manufacturing purpose.

37:45

So if you don't mind, what was the purpose of the three-year hold?

37:50

So we could guarantee the carbon credits would be available.

37:55

Ma'am.

37:56

Those are guaranteed to Commonwealth.

37:59

Only if the only if only if the the carbon, the biochar is sequestered, and there's two ways to sequester it.

38:07

Put it into a manufacturing process or put it in a landfill.

38:10

All right.

38:11

So you believe that it can be safely sequestered in a landfill?

38:16

Yes, ma'am, absolutely.

38:17

Um why why do you believe that if it's organic waste?

38:22

Because it's been all the it goes through a pyrolysis process, and the pyrolysis process turns it back into nothing but carbon.

38:32

Yes.

38:33

And additional to that, and in addition to that, uh, in order to sell those carbon credits, there is a very extensive test as part of the contract, part of the schedules of the contract, that they have to send that to the lab and have tests done.

38:46

We receive the copies of those tests, and we have to make sure that they there's nothing in that material that can't go into landfill anyway, because we operate a municipal side of waste landfill, not a hazardous material landfill.

38:58

But none of the material that's been tested uh has come up uh uh hot at all for for any uh heavy metals or uh other material that was not allowed in our landfill.

39:11

Okay, so I'm gonna move on.

39:13

Thank you for the answer, but you know, we're certainly going to do some research into that.

39:19

I want to go to the estimated five-year tipping fee comparison.

39:28

Do we have could you provide us or somebody, because I'm not going to sit here with my phone and do this or sit here with my pencil and do it?

39:39

What the actual increase in cost in our contractual obligation will be?

39:46

What's the budget impact?

39:50

I I can speak to to how it impacts the City of Chesapeake's budget.

40:00

So as the manager mentioned, in in the first year in 2027, that would equate to an additional $140,000 a year on the waste management expenses.

40:38

Right.

40:38

But we're also paying now.

40:40

So we would have to amend that subtraction equation.

40:47

Because we are paying for the pickup and that is correct.

40:51

So we're paying less than $2 million now.

40:56

Okay, because that as it goes up and up, it's concerning, you know, as to what the budget implication since we are the only city, you know, the of the five, and maybe of the region that doesn't have some kind of fee for trash pickup.

41:20

And I, you know, I think we need to know whether or not this is gonna put a lot of pressure on a future council to impose that.

41:33

The other cities can just raise the fee they have.

41:37

We don't have one.

41:39

So it is uh, you know, it could be a significant budget implication when you start getting out into the 30s.

41:49

Right.

41:50

So I think it would be helpful to know that.

41:55

So just a couple more questions.

41:58

The victory facility, is that built?

42:04

The building is there, it's not built out.

42:06

They're certainly not going to build it out until they get a contract.

42:08

But as soon as the contract, if a contract is signed, there will be construction starting over there immediately.

42:15

Okay.

42:16

Um so it's going in a b existing building.

42:20

Does it does the activity need a conditional use permit?

42:24

No, ma'am.

42:26

Really?

42:27

No, ma'am.

42:27

It was already, it was a uh it was a transfer station previous to that.

42:31

It's still a transfer station.

42:33

Um there's a PBR uh on the the uh permit by rule already been issued by DEQ for the facility, and it required local government sign off in order to get that PBR.

42:46

Okay, and uh to another question's point on the transfer station.

42:52

Um are the members on the hook for upgrading the current transfer station?

43:01

No, ma'am.

43:02

Uh when Wheeler Brader when we uh Wheeler Brader canceled their contract with SIPSA, uh there was a uh liquidated damages they had to pay SIPSA in order to do that.

43:13

Um we are using those funds to upgrade the facility.

43:19

Okay.

43:19

But given the proximity of our city to the facilities in Portsmouth, has anybody evaluated whether or not it's a good cost benefit to use the transfer station or not just directly haul?

43:41

Well, yes, ma'am, we did it as part of our uh selection committee, did an extensive evaluation on all of the those locations uh that were presented, and this was the best location.

43:55

Okay, I don't think that answers my question.

43:58

Uh whether there is a financial benefit to Chesapeake directly taking its material or using the transfer station.

44:10

And if I I'm not gonna belabor that, but if you could send us an answer to that.

44:16

Well, I I think I can quickly answer that.

44:18

Transfer stations are are placed strategically so that member localities don't have to haul their waste in their curbside collection truck for any long distance at all.

44:30

So the transfer states that are in each individual city are put there for a reason, for that very reason, so that it makes their operations more efficient.

44:38

Now, just peak uh when they are working in South Norfolk, let's say, I can I can't speak for for Earl, but I'm sure he can tell you that they're they're probably hauling, they would probably haul directly over the Jordan Bridge because that's closer to that facility than it is to come back to to the green bar facility.

45:00

So, you know, we we would with the greenbrier being central to everything else, we would haul uh to to that transfer station.

45:04

But when we were working in South Norfolk, when Wheel of Braider was in operation, we would haul directly to a wheel of breader.

45:09

And I think that holds true also with uh working in Western Branch, it's easier to go to the Suffolk transfer station than it is to haul all the way back to um to Greenbrier because the city, the the square miles of the city are so large.

45:23

Well, I'm not disputing any of that.

45:25

I'm uh my question is, is it really valid to have the Greenbrier transfer station anymore?

45:33

I think that was where somebody was getting to pay for an upgrade and continue to use it on very valuable land to the city.

45:43

Um I'm sure we'll have some other questions.

45:47

The other thing I would like to see is uh the costs further out in five years.

45:56

Do you have any?

45:57

I mean, have you?

45:58

Yes, ma'am.

45:58

I've I've I've done it um out 20 years, and um what happens when you get out 20 years, it is hard to project some of the uh comparative costs.

46:06

You can project the cost for um this contract because it it's a two and a half percent annual escalation.

46:13

But some of the other uh costs are tougher to um to kind of nail down as so what will landfill space actually cost us.

46:21

We have asked a third party for that number.

46:22

We have got that number.

46:24

Uh and I have run those numbers out and showing them to our board.

46:26

I'd be glad to share them with Earl and he can do with them.

46:29

That would be terrific.

46:30

Thank you, because the new use and support agreement is asking for a 28-year commitment on behalf of the people of Chesapeake.

46:41

And I think while nobody can be sure what the future holds, um, I think people really should know where what to expect and how we can expect our budget to be impacted.

46:58

Thank you.

46:59

Thank you.

46:59

Dr.

46:59

King and then Mr.

47:00

Whittaker and then Mr.

47:01

Jeffries.

47:02

Thank you so much for the presentation.

47:04

But I'm not sure that we got an answer regarding the Greenbrier transfer station.

47:08

Is that an essential station?

47:15

So uh we are undertaking a study of that entire area uh for a project that is currently funded that would rebuild our public works facilities back in place.

47:27

Uh they are in in really, really bad shape.

47:30

The same thing with our uh public utilities uh facilities there.

47:34

Yeah, part of that project is also looking at uh enhancements to the existing uh you know transfer station in Greenbrier.

47:43

Okay.

47:44

Just a couple more questions, too.

47:46

But I'm sorry if I could.

47:47

I think the question that's being asked, though, is um if we can take waste to Portsmouth from South directly from South Norfolk, if we can take waste directly to Suffolk from Western Branch and maybe Deep Creek is given this new, is there anything about the new system that would make the Greenbrier uh transfer station no longer necessary, that we can move away from that transfer station in Greenbrier and do something else with that land?

48:14

I I don't believe that's the case.

48:17

We will at least take a look at that to make sure that there is nothing changing since this is a 28-year uh proposal that there is nothing changing here that we can't look at maybe uh either um you know just uh continuing that transfer station or relocating it to another facility.

48:32

Yeah.

48:33

Because that's um viable property there that we could probably use for other purposes.

48:37

Um and the other question is who will actually benefit from the funds that are received from selling the biochar?

48:44

I am sorry, I did not hear your question.

48:47

Who will be the recipients of the funds from the biochar selling?

48:51

That's part of their the that would be Commonwealth rotation, it's part of how they're gonna actually pay back the debt.

48:58

Um the offtake agreements are all that they receive all the money from the off-take agreements.

49:03

But that enabled us to bring the tip fee down so it was actually uh doable project.

49:09

That's how these projects work.

49:10

Uh the off takes go to the uh typically will go to the vendor.

49:14

And um if if we we were to accept any of that, it would drive the cost that we would have to pay them for a tip fee up anyway.

49:22

So it was a uh kind of a wash in it.

49:24

So that's why it works that way.

49:26

Okay.

49:26

And last question, um, isn't the Virginia requirement for recycling 25 percent?

49:33

Uh yes, ma'am, there is, but but that's uh that that's a little bit misleading because the 25 percent is all of the waste in the region, both commercial and residential, and uh asphalt, other other items that are being uh being recycled are also included in that 25 percent.

49:51

There's no mandate that says you have to recycle 25 percent of your municipal sala waste.

50:00

The mandate is that you have to have the solid waste planning unit, which is all eight of our member communities has to recycle 25 percent of the waste.

50:06

And this year it was just over 25 percent, but that's based on commercial and residential.

50:12

And a lot of the numbers come from, let's say a Walmart who uh compacts all of their cardboard, that's considered recycled and gets credit for the region.

50:23

Okay, but you want us to sign a 28-year contract with a 20 percent guarantee.

50:30

You want us to sign a 28-year contract with a 20 percent recycling guarantee?

50:36

Well, the use of support agreement just means that uh yes, uh uh I would say the answer to that was yes.

50:42

Okay, thank you.

50:46

Thank you, Mr.

50:47

Mayor.

50:47

Uh my question is for the uh manager.

50:50

Our current drop-off locations, what percentage or how effective are they currently right now?

50:58

What percentage rate is actually coming out of the trash?

51:04

Mr.

51:04

Winnaker, I'm doing this from memory.

51:06

I think it's about three and a half percent.

51:08

So it um I think the last uh full year we recycled at the drop-off sites uh about 4200 tons.

51:19

Okay.

51:20

Okay.

51:20

Thank you, Mr.

51:21

Sword.

51:22

Mr.

51:22

Chapter.

51:23

Thank you, sir.

51:25

During the ramp up five-year period to Councilmember Newman's point, we're continuing to pay increased rates during that time frame.

51:36

But there's no additional benefits being made to our citizens.

51:40

During that same time frame, is there an increase in the production of the uh is it not flash, the bio?

51:49

The biochar.

51:50

Is that increasing during that time frame?

51:53

Um the biochar, because it is an air permit required, it's tied to that air permit when they can actually start.

52:01

So uh it could be yes, but it's all dependent on when they get their air permit.

52:06

And we just went through an air permit issue and it took us about uh ten months to get through it.

52:11

So it could be based on how long it takes them to get through that process.

52:15

But after the three-year mark, you are going to begin selling that product.

52:19

That's correct.

52:20

So after the three-year mark, our in our expenses are going to continue to increase even though you have a new revenue stream.

52:27

Well, uh SIPSA does not have new revenue stream.

52:30

They have new revenue stream.

52:33

But the cost to process the biochar is also going to go up on their end.

52:38

So you the the answer to your question is yes, but they are also going to have additional costs once they start that.

52:43

So the processing in the first three years is different.

52:46

Well, they're not they don't have any capital costs.

52:48

They don't have any operational costs during that period when they are ramping up because the equipment is not operating.

52:53

Once equipment starts operating, then they'll be receiving revenue.

52:57

That is correct.

53:01

Thank you.

53:02

Appreciate your questions.

53:03

Let's just, as we digest this thing, I need to understand all of our questions and a little bit of uh skepticism, but also we need to understand or put these uh facts in uh and compare them to what it would be like if we didn't do anything.

53:20

Because I think that's when the picture becomes clear uh if we did things the way we've always done them, the cost and the waste, I I mean waste of uh recycling uh will continue to be uh uh inappropriate or inadequate.

53:36

So thank you all, and thank you for your presentation.

53:38

We certainly appreciate you being here and look forward to talking more.

53:41

Thank you.

53:42

Council will begin our regular meeting at uh 6.30.

1:33:27

We have a quorum.

1:33:29

Thank you.

1:33:29

Council's now in session.

1:33:31

I'd like to recognize Vice Mayor Ritter at this time for the indication.

1:33:42

We pray for guidance in the matters at hand.

1:33:46

And as that you would clearly show us how to conduct our work with the spirit of joy and enthusiasm.

1:33:53

Help us to work together and to encourage each other to excellence.

1:34:20

Leaving the group is one of their dedicated troop leaders tonight with us, Julie Banky.

1:34:26

And I'd also like to acknowledge Gavin Babbitt, another Boy Scout who's in the audience working on a one of his badges.

1:35:14

Madam Clerk, would you please call the roll?

1:35:16

Councilmember Bunn.

1:35:18

Here.

1:35:18

Councilmember Jeffries.

1:35:20

Here.

1:35:20

Councilmember King here.

1:35:22

Councilmember Newens here.

1:35:23

Councilmember Smith.

1:35:24

Here.

1:35:25

Councilmember Ward.

1:35:26

Present.

1:35:27

Councilmember Whitaker.

1:35:28

Present.

1:35:29

Vice Mayor Ritter?

1:35:30

Here.

1:35:30

Mayor West.

1:35:31

Here.

1:35:33

Next is the approval of the proposed agenda.

1:35:36

Are there any changes to the agenda?

1:35:39

See none.

1:35:40

We have a motion, please.

1:35:43

Thank you.

1:35:43

Dr.

1:35:44

Ward.

1:35:45

Second.

1:35:45

Mr.

1:35:45

Smith.

1:35:46

Please prepare to vote.

1:35:48

Please vote and record.

1:35:51

Motion to approve the agenda as presented is adopted by a 9-0 vote.

1:35:55

At this time, I would like to turn the Gavel over to Vice Mayor.

1:36:00

Thank you.

1:36:03

This City Council meeting constitutes a limited public forum.

1:36:08

Therefore, public comments must be relevant to items on the Council's agenda tonight.

1:36:14

When speaking on an agenda item, please make sure your comments directly relate to the merits of the application, which means you focus on the details and facts of the proposed agenda item.

1:36:29

Focusing comments on the merits of the application will ensure that this public hearing serves its intended purpose of gathering relevant information for the voting body.

1:36:42

Further, to strike a balance between maintaining order and honoring the public's right to express themselves, and as established by the City Council's rules of order and procedure.

1:36:56

Any speaker that delays, interrupts, or otherwise disrupts City Council's ability to conduct its meeting in an orderly manner by disorderly, insolent or disturbing action speech or other conduct will be declared out of order.

1:37:17

I'll turn the gavel back to you, Mayor.

1:37:21

Thank you.

1:37:22

Mr.

1:37:22

Ritter, next, uh there any speakers, Madam Clerk.

1:37:25

No, sir.

1:37:26

Thank you.

1:37:28

Next is consideration for public hearing items.

1:37:31

Madam Clerk, would you please present public hearing item A?

1:37:35

PLN REZ 2024-014 saw your property.

1:37:40

J and L saw your holdings, LLC, applicant and owner, Williams Mullen Agency for conditional zoning reclassification of approximate 22-acre portion of a 72-acre parcel from R 15S residential and A1 agricultural district to R 10S residential district and R 15S residential district.

1:38:01

The property is located at 1917 Elbow Road in the Green Bar Planning Area.

1:38:06

The planning commission recommends approval with a profits listed in the official agenda, and we have received a continuance request from the agent.

1:38:16

Thank you.

1:38:16

Mr.

1:38:17

Backmare, what is your planning staff's recommendation?

1:38:21

The proposed rezoning is consistent with the 2035 comprehensive plan land use section, which designates the site for low density residential uses and preserving the wetlands on the southern portion of the property is also consistent with the portion of the property's conservation land use designation.

1:38:36

Staff recommends approval with proffers dated September 3, 2025.

1:38:40

Madam Clerk, are there any speakers?

1:38:42

Yes, sir.

1:38:42

We have one speaker, Grady Palmer, representing the applicant is here to speak on the item.

1:38:50

Good evening, Mayor West, uh Vice Mayor Ritter for the first time.

1:38:54

Congratulations.

1:38:55

Members of City Council and staff, my name is Grady Palmer.

1:38:58

My business address 22 Central Park Avenue in the City of Virginia Beach.

1:39:02

And I had requested a 30-day continuance.

1:39:12

So we did uh at the at the request of your staff, we agreed to perform what is known as a phase one cultural resource study.

1:39:21

And that is because the staff identified a database at the state that indicated there may be some historical resources in the area.

1:39:30

And so we agreed to do that before any land disturbance, which normally would come much later than tonight.

1:39:39

But we went ahead and did the cultural study and the results were coming back to us uh next week, and so just in the spirit of transparency, we wanted to have that.

1:39:50

Um but you know, to the extent this needs to be heard tonight.

1:39:53

Um I'm gonna go ahead and give you a presentation on what on the request.

1:40:00

Um this is a request to rezone basically the last portion along Elbow Road.

1:40:03

Uh I know Elbow Road is just I think on Sunday, uh I was driving to Princess Ann and the they shut the uh the elbow road down.

1:40:12

Um and so I had to do a U-turn and go back anyway.

1:40:15

So we would there's a lot of improvements that are happening uh to Elbow Road.

1:40:19

Uh if this project were approved tonight, uh it would any any land disturbance, any construction would happen well after that 10 month period that it will take for them to reopen Elbow Road.

1:40:31

So in in the meantime, we would be getting plans approved and doing all the the engineering and that sort of thing.

1:40:37

So there'd be no activity at the site until well after that 10 month period uh for elbow road to reopen.

1:40:44

Um so that's that's number one, and I think that's an important thing for for for people to understand.

1:40:48

And then secondly, this is a pretty small request.

1:40:50

This is basically the extension of through a couple of different stub streets.

1:40:55

You can see there on the left side of the of the property, that's the haven at Centerville that's not colored.

1:41:01

It's uh uh but the stub streets would would extend into the property.

1:41:04

I know connectivity is big for for the for the for the city council, so this is you know, connecting neighborhoods, uh opening up street connections and and and all the connectivity that that comes with that.

1:41:15

There'll be pedestrian sidewalks uh throughout along Elbow Road.

1:41:19

Uh we'll we'll construct um uh sidewalks, you know, in the eventual uh you know uh build out of elbow road, we'll have sidewalks.

1:41:27

So much like Mount Pleasant, uh you know, has now has walking uh sidewalks along the side of it.

1:41:33

Uh we see Elbow Road becoming much like that, and and something that will be a modern uh convenient place for people to walk.

1:41:39

So this will this is essentially the extension of the Haven.

1:41:42

Uh Centerville uh neighborhood uh meets your staff's high uh expectations for design, uh the architectural renderings there on the screen.

1:41:50

We worked uh considerably with staff.

1:41:52

We've been in a transitional period trying to try to catch up with with staff's expectations, but uh we we finally we've got there uh and so the expectation we know is high, and so we we believe we've met that expectation.

1:42:04

I think the staff uh recommendation uh reflects that with that I'll I will stand by for any questions uh that you have.

1:42:17

Um we are dedicating right away.

1:42:20

Uh one of the things that's um that we're doing, if you can flip back to the to the site plan.

1:42:24

Um the at the top of the of the site plan there you see a a box that's white.

1:42:31

And so that's this is all Mr.

1:42:32

Sawyer's property.

1:42:33

Mr.

1:42:33

Sawyer has lived out there for for many decades on Elbow Road.

1:42:37

Uh and so he was gonna is going to retain that portion for his for his home to live in.

1:42:42

Um of the things that we'll do is if if there's ever any redevelopment, um, his his driveway actually goes on to Elbow Road.

1:42:49

So if he decides to um tear his house down and put in a a couple of lots, that entrance on Elbow Road will go away.

1:42:58

Uh and then they then those lots will then or would then access off the internal streets.

1:43:04

So that's in an effort to kind of minimize uh you know entrances onto Elbow Road, which will and does carry a lot of traffic.

1:43:10

So you know, one of those things we're kind of trying to think about, you know, the the future and and trying to get driveways off of Elbow Road, but that's one of the things that that will happen in the future if Mr.

1:43:19

Sawyer ever decides uh to do something else with his property, so or anybody else decide.

1:43:24

So with that, I'll stand by for any questions.

1:43:26

Uh would ask for your approval.

1:43:27

Thank you.

1:43:29

Uh Mr.

1:43:29

Palmer, would you just wait by there?

1:43:31

I think you're the only speaker, is that correct?

1:43:33

Yes, sir.

1:43:34

So before you you go, let me just ask Mr.

1:43:37

McMahon.

1:43:38

Uh I know I presented not a really good option uh to Mr.

1:43:43

Palmer in terms of the continuance.

1:43:45

Do you see if this cultural resource survey comes back with issues?

1:43:52

What would be his options?

1:43:55

So Mr.

1:43:55

Palmer has uh quite a bit of time to work through those options.

1:43:59

But the way the proffer reads right now is that if any artifacts are encountered during construction, thou shall immediately cease work and contact uh VDHR, which is the Virginia Department of Historic Resources, uh, to report findings and determine if further investigation by VDHR is warranted.

1:44:18

So that is a proffer that is uh proposed as part of this development.

1:44:22

So it would it wouldn't be much down the line.

1:44:24

I mean it would be when we're out there.

1:44:25

So you're comfortable.

1:44:26

Yeah, we're yeah, I'm comfortable.

1:44:27

Okay, thank you.

1:44:28

I just wanted to make sure I apologize for springing that on you at the last minute.

1:44:32

Uh a motion is in order, Mr.

1:44:34

Smith.

1:44:35

Yes, I have a question.

1:44:36

I would have to motion first, sir.

1:44:38

Okay.

1:44:38

All right, I'm sorry.

1:44:39

We have a motion.

1:44:40

Mr.

1:44:40

Wittmann, Mr.

1:44:41

Whitaker.

1:44:42

Oh, I'm sorry, Mr.

1:44:42

Smith said you were you prepared to make a motion.

1:44:45

I can make a motion.

1:44:45

Go ahead.

1:44:46

Motion to approve.

1:44:47

We have a motion to approve.

1:44:48

Of a second.

1:44:50

I make a motion to have continuance.

1:44:54

Yeah, that's what it's for.

1:44:55

Okay.

1:44:55

All right.

1:44:56

I second that motion for continuance.

1:44:58

Um what was the motion?

1:45:00

We have a motion to approve and was seconded by Mr.

1:45:03

Whitaker.

1:45:04

No, I don't think that that was his motion.

1:45:07

Yeah, that's what I went with the motion though, but when discussion comes up, I ask the question.

1:45:10

Right.

1:45:11

He made the motion to approve.

1:45:13

Approved or he motioned to approve.

1:45:17

Yeah.

1:45:17

Yes.

1:45:18

Mr.

1:45:18

Whitaker, you second the motion.

1:45:19

Is that correct?

1:45:20

I second the motion to continue to there's not a motion to motion for continuance.

1:45:26

Yes.

1:45:26

Okay.

1:45:27

We don't have a motion for continuance.

1:45:31

I think let's have Mr.

1:45:33

Smith clarify his motion, please.

1:45:36

I thought his request was for a continuance.

1:45:39

Oh, I'm sorry.

1:45:40

Yes.

1:45:40

Okay.

1:45:41

We have a motion for continuance.

1:45:44

A second.

1:45:45

Second.

1:45:45

Any discussion?

1:45:47

Mr.

1:45:48

Smith.

1:45:49

Mr.

1:45:49

Smith.

1:45:50

Yes.

1:45:50

So my discussion was in after reading the material.

1:45:53

Could you just explain a little bit about the turning lane after you make so many purchase of homes?

1:45:58

Do you recall that?

1:46:03

I didn't quite didn't quite hear the question.

1:46:06

Okay.

1:46:06

So in reading the content, it says something about out the X number of homes approaches, they even make a turning lane into the community.

1:46:14

Could you explain that?

1:46:15

Yes.

1:46:16

So the city project, there's a city project out there that what what working with your staff, what we what we understand is going to happen is they are going to the city project is going to come through and put in the turn lanes with a widening of Elbow Road.

1:46:29

But if for some reason it gets delayed, then we would put it in at our 25th home.

1:46:36

So we we i it'll get put in by the city, but we just wanted to backstop just in case something happened.

1:46:43

Mr.

1:46:43

Whitaker, did you have a question or comments?

1:46:50

So let me uh speak against the continuance.

1:46:54

Um we have a very crowded uh agenda uh agenda for the next couple of uh months, and then we get into the holidays and passing uh projects like this during the holidays can be looked upon our public as suspicious.

1:47:11

So I am uh not supportive of a continuance, so I'd hope that you all would vote uh up against the continuance.

1:47:18

Any other discussion?

1:47:20

Ms.

1:47:20

Newlands.

1:47:21

May I just ask a question?

1:47:22

Um maybe if Ms.

1:47:23

Madison or Ms.

1:47:24

Lunley was the agenda published with the continuance request.

1:47:30

It was changed when we got the request.

1:47:33

We added it to it, yes, but it was not published with the continuous request because we didn't have it when it was published.

1:47:40

It came in last Friday.

1:47:42

But then when we did receive the request, we updated the agenda that was publicly available on the website that included the continuance the agenda that's on the city's website was updated.

1:47:54

Okay.

1:47:55

Thank you.

1:47:56

Any other discussion?

1:47:58

We have a motion for continuance.

1:48:00

Please prepare one more thing, if I might need a date for the continuance to be heard.

1:48:09

The request for was for November the 18th.

1:48:12

Okay, but that was not included in the motion.

1:48:15

Okay.

1:48:15

You to accept that in the motion?

1:48:18

Mr.

1:48:18

Whitaker.

1:48:19

Yeah.

1:48:21

We have a motion to approve a continuance till November 18th.

1:48:27

Please prepare to vote.

1:48:28

Please vote and record.

1:48:35

Motion to approve the continuance for PLN REZ 2024-014 to November the 18th, 2025, passes by 8 to 1 vote.

1:48:44

Next is item B.

1:48:45

Madam Clerk, please present item B.

1:48:48

PLN Use 2025-016, right, start early childhood center.

1:48:54

Right, start early childhood center, Inc., applicant and owner for conditional use permit to expand a child daycare center.

1:49:01

The property is located at 1028 Shelley Street in the River Crest Planning Area.

1:49:06

The planning commission recommends approval with the stipulations listed in the official agenda.

1:49:12

Thank you.

1:49:12

Mr.

1:49:13

McMahon.

1:49:14

The proposed daycare expansion is consistent with the land use plan map designation for medium density residential uses as child daycare establishments are essential services that are appropriate within residential communities when properly mitigated.

1:49:27

Staff recommends approval with stipulations date.

1:49:30

August 19th, 2025.

1:49:32

Thank you, sir.

1:49:33

Are there any speakers, Madam Clerk?

1:49:35

No, sir.

1:49:36

Thank you.

1:49:36

Motion is an order with stipulations.

1:49:38

Move approval.

1:49:40

Stipulations.

1:49:41

Second.

1:49:42

Thank you.

1:49:43

Dr.

1:49:43

Ward, we have a second.

1:49:44

Second.

1:49:45

Second.

1:49:46

Any discussion.

1:49:48

Dr.

1:49:48

Ward.

1:49:51

No discussion.

1:49:52

Seeing none, please prepare to vote.

1:49:54

Please vote and record.

1:50:00

Motion to approve PLN use 2025-016 with stipulations as presented is adopted by a 9-0 vote.

1:50:05

Item C.

1:50:06

PLN use 2025-028 real street tattoos.

1:50:11

Triple 9 tattoos, LLC applicant, DOR LLC owner for conditional use permit to operate a tattoo polar.

1:50:19

The pollers, the property is located at 732 Eden Wayne North, Unit J in the Green Bar Planning Area.

1:50:26

The Planning Commission recommends approval with the stipulations listed in the official agenda.

1:50:31

Mr.

1:50:31

McNamara, the proposed use is compatible with the surrounding community and is consistent with the neighborhood center character district of the Green Bar Area Plan's future land use framework for the project site.

1:50:41

Staff recommends approval with stipulations date, August 19th, 2025.

1:50:46

Thank you.

1:50:47

Madam Clerk, do we have any speakers?

1:50:50

We do have the applicant for questions only.

1:50:54

Claudia Rendon.

1:50:57

Okay.

1:50:57

Thank you very much.

1:50:58

A motion is in order with stipulations.

1:51:00

Move to approve of supplements.

1:51:02

Thank you, Mr.

1:51:02

Bond.

1:51:03

Second.

1:51:03

Thank you, Mr.

1:51:04

Whitaker.

1:51:04

Any discussion?

1:51:06

Seeing none, please prepare to vote.

1:51:09

Please vote and record Madam Clerk.

1:51:12

Motion to approve PL in use 2025-028 with stipulations as presented is adopted by a 90 vote.

1:51:19

Thank you.

1:51:20

Item D, please.

1:51:21

PLN text 2025-006.

1:51:25

An ordinance amending the subdivision ordinance, Chapter 70 of the Chesapeake City Code, Article 1, Section 70-1, Article 2, Section 70-21, 22, 23, 24, 25, 27, and 28.

1:51:39

And the zoning ordinance, appendix A of the Chesapeake City Code, Article 15, Section 102, Article 18, Sections 202, 203, 204, and 303 to modify the subdivision approval authority timelines for action on submitted plates and plans and the measurement standard in order to reflect statutory changes enacted by the 2025 session of the General Assembly.

1:52:03

The Planning Commission recommends approval of the ordinance version dated June 30th, 2025.

1:52:08

Mr.

1:52:08

McMayer, would you speak to this item, please?

1:52:10

The proposed text amendment is required to reflect statutory training changes made in the Code of Virginia by the 2025 session of the General Assembly.

1:52:17

And this text amendment follows good zoning practices by ensuring the Chesapeake Zoning Ordinance and Subdivision Ordinance complies with state law.

1:52:24

Staff recommends approval version dated June 30th, 2025.

1:52:29

Thank you.

1:52:29

Are there any speakers, Madam Clerk?

1:52:31

No, sir.

1:52:32

Thank you.

1:52:33

Motion version dated uh June 30th is in order.

1:52:38

Mr.

1:52:38

Jeffries.

1:52:41

Motion to approve.

1:52:42

Thank you, sir.

1:52:42

Second.

1:52:43

Thank you, Ms.

1:52:43

Newens.

1:52:46

Any discussion?

1:52:48

Mr.

1:52:48

Smith?

1:52:49

Yes.

1:52:50

Mr.

1:52:50

Mattner, Matt Nomero, could you elaborate on the reason for the change?

1:52:55

Yes, sir.

1:52:55

Most of the change deals with some of the time frames that are already established within our zoning ordinance and subdivision or uh ordinance as far as uh review timelines.

1:53:05

Uh those reflect the new changes down to the 45 days, which we're already compliant with, so this will not affect our review processes are the as they already are.

1:53:14

And this also uh requires uh that these plans now be approved by a designated agent uh as opposed to the public hearing process and the planning commission process that that used to take place.

1:53:26

Uh so these are all uh changes that are required by state law, and we're complying with those changes.

1:53:32

Thank you.

1:53:34

Thank you.

1:53:35

Any other discussion?

1:53:37

Seeing none, please prepare to vote.

1:53:39

Please vote and record motion to approve PLN text 2025-006 version dated June 30th, 2025.

1:53:49

It's adopted by a 9-0 vote.

1:53:51

Thank you.

1:53:52

Uh next is unfinished business.

1:53:55

Any council members have any unfinished business they'd like to bring up at this time?

1:54:00

Seeing none, we'll go to uh new business.

1:54:03

We did receive or I did receive a request uh from a request has been received for a street dedication for Reverend Jake Manley Sr.

1:54:17

Fillmore Street 57 5.7 miles to Great Bridge in Campistella.

1:54:23

I would like to ask that this request be placed on the agenda for November 12th City Council meeting.

1:54:31

Um when this request came in, uh we just thought we would put it on.

1:54:35

I know that there is not a uh policy in terms of dedicating uh streets, and this is not renaming a street, just make it clear.

1:54:44

It's dedicating a street, a couple of the cities, Norfolk and Virginia Beach have been doing this.

1:54:48

Uh asked Ms.

1:54:49

Lindley to prepare a policy for us to look at uh for this November 12th meeting.

1:54:56

Is that correct, Ms.

1:54:57

Lindley?

1:55:00

I was going to have if Council is there will to have an ordinance to do this honorary street designation, Reverend Manley on November twelfth, and then we'll work with public works to also craft a policy that council can use as a guidepost moving forward on this issue.

1:55:14

We would do them both at the same time.

1:55:15

Is that what you are saying?

1:55:16

Or we can make every effort to.

1:55:18

I haven't spoken with Earl Surway, and I think he's going to be a point person for me on crafting this policy because it would be his department's policy.

1:55:25

So if it's fair, may I get back to you on that question if you're not going to be able to do that.

1:55:30

Should we pass this?

1:55:32

We need to understand there would if there isn't, there will be a recommended policy.

1:55:36

Correct.

1:55:36

Correct.

1:55:36

Okay.

1:55:37

Thank you.

1:55:43

Next, I'd like to request the staff to prepare an initiating resolution amending the zoning ordinance to modify that many of the zoning violations occurred, change from a criminal infraction to a civil penalty.

1:55:58

This would better assist citizens and staff with better enforcement and proper punishment for the many infractions that occur.

1:56:07

Without objection, I request that this initiating resolution be prepared for council's consideration.

1:56:14

Any objection?

1:56:17

What was the request?

1:56:21

The consequences for some of the ordinance from uh uh let's see from a criminal uh infraction to a civil penalty.

1:56:30

Code compliance, but mostly.

1:56:32

And this has been requested uh by the staff because we get a lot of complaints from uh citizens who are threatened with criminal uh consequences for minor infractions, and so we're trying to eliminate that.

1:56:45

Obviously, it's it's very uh upsetting to get a letter in the mail saying that you may be charged for criminal infraction for something so minor.

1:56:54

But just to be clear, it's only for code compliance.

1:56:56

It's not all ordinances that we're gonna look at changing criminal to civil okay.

1:57:02

No objection.

1:57:03

Thank you.

1:57:04

Well, that will be done.

1:57:05

Any other new business council members would like to bring up at this time?

1:57:12

A lot of no's and we do not have a closed meeting.

1:57:15

So at this time, I would like to um ask Vice Mayor Ritter to lead us in our benediction, and then we will adjourn.

1:57:26

Thank you.

1:57:29

May our actions be proven fruitful in their accomplishments and lasting in the good they affect.

1:57:37

Be with us, so God, in our deliberations, and thank you for inspiring us with your wisdom, direct us in our thinking and guide our decisions.

1:57:47

Amen.

1:57:49

Council is now adjourned.

1:57:51

I didn't hear you say food compliance.

1:57:53

All I heard you say was that you were not a good thing.

Discussion Breakdown — Share of Meeting
Environmental Protection██████████████████████████████████34%
Engineering And Infrastructure████████████████████████████28%
Land Use and Zoning███████████████████19%
Procedural████████████12%
Fiscal Sustainability███████7%
Summary of Proceedings

Chesapeake Work Session Oct 21, 2025: SIPSA Landfill & Waste Management

The Chesapeake City Council held a work session on October 21, 2025, to review the Regional Solid Waste Management Services Authority (SIPSA) proposals regarding the future of the regional landfill, waste diversion strategies, and the potential partnership with Commonwealth Sortation LLC. Senior staff provided an update on the expiration of current Use of Support Agreements (due December 31, 2025) and presented a plan to extend these agreements for 25 years while implementing a mixed-waste sorting facility to extend landfill capacity to 2095. The session included a standard Council meeting portion covering rezoning applications, text amendments, and new business regarding street dedications and ordinance enforcement.

Consent Calendar

  • PLN USE 2025-016: Approved the conditional use permit for the "Right Start Early Childhood Center" expansion at 1028 Shelley Street with stipulations (9-0 vote).
  • PLN USE 2025-028: Approved the conditional use permit for "Triple 9 Tattoos, LLC" at 732 Eden Way North, Unit J, with stipulations (9-0 vote).
  • PLN TEXT 2025-006: Approved the ordinance text amendment to align Chesapeake's subdivision and zoning approval timelines with 2025 General Assembly statutory changes (9-0 vote).

Public Comments & Testimony

  • Grady Palmer (Applicant for PLN REZ 2024-014): Represented J and L Sawyer Holdings LLC. The applicant requested a 30-day continuance to complete a Phase One cultural resource study after staff identified potential historical resources. Palmer stated that despite the delay, the project remains consistent with city goals for connectivity and modern design, and construction would begin only after the ongoing Elbow Road closure is resolved.
  • Councilmember Smith: Expressed skepticism regarding the continuance timing and questioned the necessity of the traffic turning lane provision in the proffers.
  • Councilmember Whitaker: Stated opposition to the continuance for PLN REZ 2024-014, arguing that the holiday season creates a perception risk for the public regarding delayed project approvals.

Discussion Items

  • SIPSA Waste Management Strategy: Dennis Bunn (Executive Director) and Earl Story (Regional Manager) presented a comprehensive plan to address landfill capacity. They stated that current disposal rates would exhaust the regional landfill by 2060 and that hauling waste outside the region post-2060 would cost $125/ton compared to the current $65/ton. They proposed a 25-year extension of use agreements, contingent on a contract with Commonwealth Sortation LLC to process mixed waste.
  • Recycling vs. Diversion Positions: Staff clarified that the proposed contract guarantees a 50% total diversion rate, but explicitly distinguished this from recycling. They stated that only 20% of the waste is guaranteed to be recycled (up from the current 7%), while 30% is diverted via pyrolysis (turning organics into biochar). Staff noted that biochar will be landfilled as daily cover for the first three years to secure carbon credits before being sold to concrete manufacturers.
  • Cost and Fee Concerns: Councilmember Newens and Councilmember Smith expressed concern regarding the projected 2027-2028 tip fee increases for Chesapeake without an immediate increase in local processing capacity. They questioned whether the fee structure unfairly burdens Chesapeake residents if the facility is hosted in Portsmouth and if direct hauling to Portsmouth could bypass the Greenbrier transfer station.
  • Greenbrier Transfer Station: Councilmember Jeffries and Ms. Ritter questioned the future necessity and cost-benefit analysis of upgrading the Greenbrier transfer station. Staff responded that transfer stations are strategically placed for operational efficiency, but acknowledged the council's interest in a study to determine if the facility remains viable under the new mixed-waste sorting model.
  • Commonwealth Sortation Operations: Staff confirmed that Commonwealth Sortation has existing operations in Portsmouth and other locations, including a facility in Cleveland and sites in Athens, GA, and Greenville, NC. They stated the company has a parent guarantee from AMP Robotics and will provide monthly reporting and a public dashboard for diversion and recycling data.
  • Zoning & Text Amendments: The council discussed PLN REZ 2024-014 (Sawyer Holdings). Councilmember Smith and Councilmember Whitaker debated the merits of a continuance. The council ultimately noted the request for a November 18, 2025, hearing date.
  • New Business: Council directed staff to draft an ordinance for an honorary street dedication for Reverend Jake Manley Sr. on Fillmore Street and to study amending code compliance violations from criminal infractions to civil penalties to reduce undue stress on citizens.

Key Outcomes

  • Continuance Granted: PLN REZ 2024-014 (Sawyer Holdings) was continued to November 18, 2025, by a vote of 8-1. The applicant must complete the cultural resource study before construction.
  • Directives Issued:
    • Staff is to prepare an ordinance for the honorary dedication of Fillmore Street by the November 12th meeting.
    • Staff is to craft a policy for street dedications to guide future requests.
    • Staff is instructed to prepare a resolution to change code compliance violations from criminal infractions to civil penalties.
  • SIPSA Status: The council deferred final decision on the 25-year SIPSA extension. Staff noted that four member communities (Suffolk, Halifax, Southampton, Franklin, and Virginia Beach) have already extended, while Chesapeake, Portsmouth, and Norfolk remain undecided. The decision is contingent on the board approving the Commonwealth Sortation contract once 75% of the board votes in favor.
  • Budget Impact: Manager Story noted that for the City of Chesapeake, the 2027 budget impact is estimated at an additional $140,000, with costs rising as the facility ramps up. Staff acknowledged the need to provide a 20-year cost projection for future council deliberation.

Meeting Transcript

Want to welcome everyone to our October twenty first, twenty twenty-five work session. Tonight we're gonna be discussing a topic that has been on our minds for at least two to three years, Mr. Manager. It is, thank you, Mr. Mayor. Very happy uh to have this conversation tonight. Um SIPSA has uh and city staff have briefed council several times on the future of the landfill, future of um uh waste management, future of recycling, and uh we promise that we would continue to come back at appropriate touch points. So um, Earl and Dennis are going to give you an update on where we are and a preview of uh coming agenda items. Earl. Uh thank you, Mr. Manager, uh Mayor, Vice Mayor, and Council. Uh appreciate the opportunity to again brief you on uh this very important topic. Uh I have with me tonight uh my counterpart on the board, Mr. John Maxwell, he's the governor's appointee to the board. Uh and uh that Dennis uh as you know serves as the executive director of SIPSA, so I'll turn it over to Dennis to walk us through his presentation. Thank you, Mr. Story. Umor, uh, Vice Mayor and members of council. I'm happy to be with you again this evening. We're getting uh close to the end of this road, and um, I'm pleased to be able to brief you on where we are at this point um in the process. Uh I want to kind of review a little bit about our use of support agreements and what they are and what because that's one of the asked tonight. Uh effective uh January of twenty eighteen SIPSA entered into identical use of support agreements with all of our eight member communities. And um the use of support agreements uh really are just a fundamental uh plan for how the two parties will work together um to to manage the the region's waste. Uh the initial term of that agreement uh was um th through the end of June of twenty twenty-seven, which is just around the corner. And each of the use of support agreements were were set to automatically renew on um that date if we did not receive written notice from one of the member localities eighteen months prior to uh the end of the term. And that means it would need to be we would need to receive notice by December the 31st of 2025, which is next month, two months out, excuse me. So I guess uh the question is why why would you want to renew uh the agreement with with SIPSA? First of all, uh SIPSA has a proven track record of delivering really efficient and innovative solid waste management services for the region for many, many years. Uh SIPSA has uh have been in a relationship with Chesapeake to to manage the Chesapeake's waste for many years, and we've been very successful in that, and the citizens have benefited from that. And uh lastly, um SIPSA's recently obtained all the regulatory uh permits required to expand the regional landfill and give uh capacity to the region through the year 2060. Uh that is the only capacity within the region currently, and to go outside of the region for uh waste is very expensive, and we'll talk a little bit about that in a few minutes. Uh future disposal capacity is um extremely important to the region. If uh maintaining future disposal capacity uh gives us the ability to be able to uh participate in uh fruitful negotiations for for space for airspace uh and also disposal rates. Uh without it, you you're you go to the table and you're kind of at the mercy of whoever you're negotiating with because you don't have any other options. So it's imperative that we maintain uh disposal capacity within the region for many, many, many years. Uh one of the the issues we have currently uh is we just went through a four-year process to uh permit uh the the cells eight and nine at the regional landfill and then the regional landfill is hydrologically connected to the dismal swamp and the remaining land of the landfill is all wetlands. Uh what while we were able to get sales eight and nine permitted, part of the process we had to give up any remaining space at the regional landfill. So there's about 280 acres left out there, but it's all wetlands, and we had to put that into an environmental easement so that no further expansion of the regional landfill can happen. And during this process of the EIS, uh we explored about 150 sites across the region uh for additional landfill space, and uh the core and their third-party consultant deemed none of them appropriate uh with the exception of two sites in uh Southampton County and Southampton County very quickly passed a resolution to um to not allow landfill to be built in the county. So uh that eliminated those two sites that were possibilities. So there is no other possibilities in the region, and you can imagine nobody wants a landfill in their backyard. So at the current uh waste volumes, uh the landfill that we that the region is currently producing the landfill would be at capacity at the year 2060. And in my business, 2060 is not very far away. I won't be here, but somebody will have to deal with that issue in 2060. And uh so we were trying to address it now. After 2060, waste would have to be hauled to private landfills outside of the SIPS service area, um, increasing our carbon footprint, uh increasing greenhouse gas, and we would be at the mercy of whatever landfill we were hauling that material to uh to give us a fair and reasonable cost for disposal. Uh and another uh thing that needs to be clear is in the state of Virginia, we're not uh DQ is not permitting uh landfills um every day. And what's happening is the capacity is going down, the need staying consistent, so what you end up seeing is uh capitalism taking over and uh supply and demand is is what drives the price in. The projected cost as part of the EIS environmental impact statement that was done in order for us to permit sales eight and nine, a third-party uh consultant for the Army Corps of Engineers this said in the in the uh in in the statement that it would cost 125 dollars in today's dollars uh when 2060 rolls around to be able to find landfill space. We're currently at 65 dollars.

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