Summary of the Board of Supervisors Meeting: July 2025
JULY 8, 2025 MEETING OF THE NELSON COUNTY BOARD OF SUPERVISORS
Present: Supervisors Ernie Reed, Jessica Legion, David Carr, and Jessica Ligon Absent: Supervisor Tommy Harvey
ALL REFERENCED DOCUMENTS IN THE BOARD OF SUPERVISORS’ (BOS)PACKET can be found by going to https://www.nelsoncounty-va.gov/government/board-of-supervisors/, clicking on the calendar, July 8, 2025 and clicking on the 2:00 meeting announcement. It will be on left side of the page, 3rd item listed just above the agenda.!!!
I. The meeting was called to order followed by a moment of silence and the Pledge of Allegiance.
II. PUBLIC COMMENTS:
1) Elwood Waterfield: said his home was stolen by the county, that he was arrested and kept in jail with urine and excrement poured on him, that he had a no-contact “order” forbidding him to talk to officials except by mail (Planning Commission) but he is permitted to attend public meetings. He hopes God shows the Board of Supervisors no mercy.
III. CONSENT AGENDA: The Board unanimously approved the following Resolutions:
A. Resolution – R2025-48 Minutes for Approval:
RESOLVED, by the Nelson County Board of Supervisors that the minutes of said Board meetings conducted on January 14, 2025 be and hereby are approved and authorized for entry into the official record of the Board of Supervisors meetings.
B. Resolution – R2025-49 FY25 Budget Amendment:
I. Appropriation of Funds (General Fund)
Amount Revenue Account (-) Expenditure Account (+)
$ 3,575.00 3-100-001901-0032 4-100-031020-3038
____________________
$ 3,575.00
EXPLANATION OF BUDGET AMENDMENT
I. Appropriations are the addition of unbudgeted funds received or held by the County for use within the current fiscal year budget. These funds increase the budget bottom line.
The General Fund Appropriations of $3,575.00 include requests of (1) $1,300.00 and$2,275.00 appropriations totaling $3,575.00 requested for Sheriff's FY25 UVA MOU Special Events Overtime funding for June 2025. The total appropriation request for this period is below the 1% of expenditure budget limit of $989,163.73 for July.
IV. PRESENTATIONS:
A. VDOT Report: Daniel Brown was not available and Robert Brown spoke on his behalf. The slope work on 151 is complete and the work on Old Mill Ridge is completed. The primary mowing is completed and the secondary mowing is underway. The Falling Rock slope repairs are awaiting permits. An installation of structure over the pipe along the Rockfish River Road will be started around August 1, 2025.
Supervisor Rutherford: requested status updates i)on pipe repair on the southern end of Lovingston at Chicken Coop/ Exxon, ii) the Rt.56 and Deer Run speed study (requesting new signage),and iv) the reduction of speed limits through 29 at Lovingston (Ms. McGarry said they were waiting for comments from the Virginia State Police). Mr. Brown said he would check. Supervisor Rutherford reported on a giant pothole on Eddie Ember Bridge at Rt. 6 and 29 and asked that it be repaired. He thanked VDOT for placing cones around a large pothole at either Village or Montreal, (Mr. Rutherford couldn’t remember) and requested it be repaired quickly.
Supervisor Ligon: requested an update on the speed study between the Food Lion and the Highschool complex on Rt. 29. She also reported that the VDOT traffic control signs at Woodland Church are impairing road visibility at a dangerous curve, they literally block the line of view of the road.
Supervisor Parr: reported road condition issues at Horseshoe and Sleepy Hollow as well as continuing washouts at Hideaway off of Blue Hollow. He inquired what VDOT’s policy is on removing out of date signs placed by private parties that are impeding mowing and blocking visibility. Mr. Brown said he would look into the issue.
Supervisor Reed: Thanked VDOT for the successful clearing work at the Davis Creek and 29 turn lane and for the speed reduction sign on Rt. 6 near Adial Road.
B. Albemarle-Charlottesville Regional Jail Renovation Financing moved to the Evening Session
V. NEW & UNFINISHED BUSINESS
A. Lovingston Beautification Committee Request: Gail Bastarache, on behalf of the Lovingston Beautification Committee, requested a grant of $2,000 to cover their expenses for 2026. The committee reported by letter to Jesse Rutherford dated June 9, 2025 that they have documented their expenses for the past 18 months which included new barrel planters, soil for 13 planters throughout Lovingston, flowers for all the planters through 3 different seasons, and the purchase of seasonal decorations which can be reused. We have also purchased greenery to embellish the bench area at the town center, and we sealed and placed four new wooden planters under the large mural.
The Committee currently has $400 of the 2024 Beautification Grant remaining and anticipates that their funds will be depleted to the end of 2025. Their expected expenditures with another grant would include continue planting seasonal flowers, and upgrading the seasonal decorations, so that they look better, and are more organic in origin, rather than plastic, and sealing the barrel planters to protect them from the ravages of the weather.
The Board unanimously voted to approve the $2,000 grant and thanked the committee for all their hard work. It was suggested that the Committee apply annually to become a budget line item.
B. FY25-26 Salary and Classification System (R2025-50): Grace Mawyer presented the motion set forth below. The rational for the motion was to keep Nelson County’s salaries competitive and avoid irregular large increases. The detailed rational for the increases is provided on pages 49 through 56 of the Board of Supervisors packet for the July 8, 2025 meeting. The money for the increases has already approved in the 2026 budget. The resolution set out below was unanimously passed.
“BE IT RESOLVED by the Nelson County Board of Supervisors that the local government’s “Salary and Classification System” is hereby amended to incorporate the following:
A three percent (3%) salary adjustment shall be hereby authorized for Nelson County personnel (fulltime and regular part-time) employed pursuant to the County’s salary classification and pay plan, effective on July 1, 2025. Additionally, a three percent (3%) salary adjustment shall be authorized for all regular part-time employees and all full-time employees, inclusive of the elected/appointed official, employed by a Constitutional Officer or in the Office of the Registrar. The three percent (3%) is inclusive of the 3% across-the-board percentage-based salary increases effective July 1, 2025 for all constitutional officers and their Compensation Board funded permanent staff positions and shall be calculated based upon the salary in effect on June 30, 2025 (Compensation Board and local supplement).
An additional six percent (6%) salary adjustment shall be authorized for all full-time dispatch employees effective on July 1, 2025. This is inclusive of the 6% across-the-board percentage-based salary increases for all Compensation Board funded COMOP and CO SP positions (dispatch positions in sheriffs’ offices with primary law enforcement responsibilities in their county) effective July 1, 2025.
Finally, in order to endeavor to maintain competitive market rate salaries, as of July 1, 2025, the pay range assigned to the Public Safety Dispatcher position within the pay and classification system shall be increased by 6% for FY26, pursuant to the new Compensation Board salary scale for dispatch positions. The pay ranges of all other positions within the pay and classification system shall be increased by 1.5% for FY26. Probationary employees as of July 1, 2025 that are at the minimum of their assigned pay range, shall be moved to the new minimum of their assigned pay range within the pay and classification system. Upon successful completion of their probationary period, these employees shall receive the remaining salary increase of 1.5% for FY26 in order to provide a total salary increase of 3% based upon their salary as of June 30, 2025.
Attachment: Fiscal Year 2025-2026 Salary Scale (Full Time & Part-Time)
C. Ordinance Confirming One-Time Employee Bonus (O2025-06): Grace Mawyer presented the motion below. She reported that the state is paying for most of the cost of the bonuses and that the cost of the bonuses has already been approved in the 2026 budget. The bonuses as set forth below were unanimously approved.
“WHEREAS, pursuant to Virginia Code §15.2-1508, Bonuses for Employees of Local Governments, the County may provide for payment of monetary bonuses to its officers and employees; and
WHEREAS, the 2025 General Assembly has approved funding to support a 1.5% bonus for all Department of Social Services employees, constitutional officers, regional jail superintendents and their Compensation Board funded full-time permanent employees on July 1, 2025; and
WHEREAS, the 1.5% bonus is based on their current base salary provided that the governing authority of such employees use such funds to support the provision of a bonus for the stated employees; and
WHEREAS, during the County’s FY26 budget work sessions, consideration for the 1.5% bonus was granted to all County Department full-time employees as well as a $200 bonus for all regular part-time employees; and
WHEREAS, the Board of Supervisors, after duly advertising, held a Public Hearing for this purpose on May 13, 2025, and;
WHEREAS, the Board of Supervisors included the bonuses in its FY26 budget that was approved at the June 25, 2025 continued meeting; and
NOW, THEREFORE, BE IT ORDAINED that the Nelson County Board of Supervisors hereby approves the above referenced bonuses to be paid to the employees in all of the County Departments, to include the Constitutional Officer Departments, Registrar’s Office, and the Department of Social Services.”
D. Piney River Water and Sewer Rate: The County Administrator presented an extensive power point presentation regarding the Piney River Water & Sewer System (hereinafter Piney River) current rates for services and the comparisons with its rates and the Nelson County Water and Sewer Authority (hereinafter Service Authority) and possible solutions to bring the rates in line with one another. The total power point appears on pages 61-71 of the Board of Supervisors Packed for the July 8, 2025 meeting. Copies of some of the more significant slides are included in this report.
The total customer base for Piney River as of March 2025 awas 205 customers broken into the following categories: 5 customers are water only, 18 customers are Sewer only, 83 customers are Sewer & Grinder Pump only, and 100 customers re Water, Sewer & Grinder Pump. The comparison of usage fees between Piney River, Wintergreen, and the Service Authority are:
Supervisor Parr thanked the Administrator’s Office for their work and he reiterated that he prefers the 6 year plan rather than 5 year plan. He stated that he was looking for a more gradual step up in payments in the early years rather than a straight line increases to bring the rates into parity. Supervisor Ligon pointed out that the Service Authority may be increasingly unwilling to take over Piney River in the near future. Supervisor Reed was concerned about the steep increases in the later years and said that the Service Authority might be willing to take the merger with step increases now, if a plan was worked out in the work committee meeting.
Ms. McGarry asked if years one and two could be agreed today. Supervisor Ligon wants to be at a break-even point in two years and inquired what that would be. She pointed out that increases in connection fees would take some of the pressure off of the monthly rates. Supervisor Ligon referenced the failure to educate users about what goes in the grinders is costing the county money because of the high level of grinder failure.
The Board referred the matter back to the work group for further discussion (meeting to occur at end of the month of July) and is looking to have public hearing on all of the issues in October.
VI. REPORTS, APPOINTMENTS, DIRECTIVES AND CORRESPONDENCE:
A. Reports:
1. County Administrator’s Report:
County Administrator’s Report for July 8, 2025 Board Meeting
A. DSS Building Project: The County received four (4) bids within the project budget estimate; with base bids ranging from $5,472,500 - $5,869,000. PMA is reviewing the bids to determine the lowest responsive and responsible bidder, which will entail checking references and subcontractors, prior to their recommendation of contract award. Staff recommends that the Board be positioned to meet later in the month to authorize awarding the contract. Additionally, staff is working with PMA, Davenport, and Sands Anderson this week to further refine the amount of borrowing needed from the VRA bond sale.
B. County/NCSA Work Group Meeting: The first work group meeting was held on June 11th, consisting of C. McGarry, A. Spivey, G. Mawyer, J. Ligon, D. Parr, G. Miller, J. Fitzgerald, R. McSwain, and D. Hight. The group reviewed the history of discussions of transferring the system, the need for uniform regulations, and the Piney River system being financially self-sufficient. Information to be gathered for the next meeting includes: a break-even rate during the most recent worst year, looking at grinder pump replacement orders to determine any repeat customers, and defining operational differences between County/NCSA policies. The work group less Mr. Hight and Mr. Parr, met onsite for a tour of the Black Creek water and wastewater treatment plants and at the old Lovingston wastewater treatment plant behind Calvary Baptist church. It was confirmed that water volume and treatment capacity were both issues that would need to be addressed to accommodate future growth in the system. Water treatment is currently at 77% of the permitted volume of the treatment plant and DEQ has an 80% threshold. The group will continue to meet monthly.
C. Region 2000 Services Authority: The Authority met on June 25, 2025 and adopted a Member tipping fee rate of $34/T and a Non-member rate of $44/T. The FY26 budget of $7,924,682 was adopted based upon 71,265 Member tons and 125,038 Non-member tons.
D. Regional Water Supply Planning: The CVPDC membership voted to authorize CVPDC to take the lead on Regional Water Supply planning activities on behalf of the Middle James River 2 Regional Planning Unit (RPU). They are applying for Virginia Department of Emergency Management grant funding for the overall Supply Plan update in July and are requesting a letter of intent to participate from each member of the RPU to include with the final grant application. The letter includes the commitment to provide a $5,400 local match upon successful award of the grant. The Board’s consensus for staff to provide this commitment letter is requested (draft letter is attached).* They will also be applying for initial DEQ grant funding in September to be used for updating member data.
*The participation letter in the James River Water Supply Plan was approved unanimously by the Board with a promise of $5,400 to be contributed if the grant is approved.
E. Regional Jail Renovation & Expansion Project: The Board will receive a presentation from ACRJ staff and Davenport on the project scope and financing during the evening session. Approval of the financing will be sought from the Board with ACRJ Board approval to be proposed at the regular ACRJ meeting on July 10th.
F. Department of Social Services Agency Corrective Action Plan: On June 26th, Mr. Johnson, Mr. Burdette, and I met virtually with the Regional DSS Office team to go over their first month’s review of CAP items. Practice areas reviewed consisted of Child Protective Services, Foster Care Prevention/In-home Services, Permanency Services, and Resource Family Services. DSS staff is working through a referral casework backlog, completing courses of recommended training in the various areas, working to improve case assessments and documentation including timely entering case data into DSS tracking systems and timely closing out case files within the systems. Regional Office staff provided guidance on improvement in each of these areas. Staffing was discussed, including adding another Family Services Supervisor position. Additionally, it was noted that DSS case tracking reports were readily available to Supervisors and the Director to assist in the management of case files within those systems. The next review will be on July 24th.
Issues per Ms. McGarry in her one meeting with Mr. Johnson and Mr. Burdette and Regional DSS was the need for more supervision from upper management regarding the status of the open case files and that more training was needed for the existing case manager. An additional case manager was suggested.
G. FY2024-2025 Year End: On a cash basis, revenues (including year ending balance of $4,089,263) exceeded expenditures by $3,692,072; of which, $3,272,300 was projected and built into the FY26 budget as Carry-Over used to cover one-time expenditures of Capital Outlay, Non-Recurring Contingency, Miscellaneous Carry forward & Non-Recurring Costs, and the costs of the 1.5% Bonus for full-time employees and $200 for regular part-time employees. This leaves a balance of $419,772 which will offset the $600,000 in additional fund balance budgeted for 4 School Buses.
FY25 YTD Revenues (Including Year Ending Balance) $51,663,619
FY25 YTD Expenditures $47,971,548
Difference (FY25 Carry-Over) $3,692,072
Revenues:
Local Revenue collected came in $167,715 (.41%) higher than the amended budget
State Revenue collected came in $436,533 (-7.41%) lower than the amended budget
Federal Revenue collected came in $230,101 (-14.57) lower than the amended budget
The net total Revenue collected came in $498,919 lower than the total amended budget before including the year ending balance of $4,089,263. This is primarily because most State and Federal revenues are grants or programs which operate on a reimbursement basis, i.e. if the funds aren’t spent, the reimbursements aren’t made and funds aren’t collected.
Expenditures:
At the end of the fiscal year, $47,971,548 of the $52,162,539 appropriated funds were expended, leaving a balance of $4,190,991 (8.03%) in un-expended funds. Of that amount, there were unspent departmental expenditures of $2,113,829 and $2,077,162 in unspent Transfers, Non-Departmental and Capital Outlay funds, Reassessment, CSA, and Contingency funds. Note that some Departmental budgets contained grant funds specific to that department that were not fully expended and will be carried forward into FY26.
FY25 Carry-Over:
The end of fiscal year expenditure savings of $4,190,991 netted with the total revenue collected that was less than budgeted of $498,919 yields Carry-Over of $3,692,072
Auditors will accrue back both revenues and expenditures related to FY25 through the month of September; which will result in different FY25 audit results, which are shown on a modified accrual basis. Preliminary End of Year Revenue and Expenditure reports are attached.
H. Meals and Lodging Tax Collection & Lodging Entity Tracking: See Attached Charts - # of Lodging Units is 823, down from 826 in the previous report.
(The attachments are 34 pages in length and can be obtained either from Ms. McGarry’s office or from the author upon an email request to the Nelson Democratic Committee Website.)
I. Staff Reports: Department and office reports for May/June have been provided.
2. Board Reports:
Supervisor Ligon: The Planning Commission met after the group session(BOS and Planning Commission) on ordinances and how to make joint meetings with the BOS more productive. The Board member of the Planning Commission can be used to create a quorum and can vote how the commission is set up: However, the BOS representative is not a voting member of the Planning Commission for other purposes. She wants to get Dylan Bishop some help sooner that later. Ms. McGarry said some interviews are scheduled.
Supervisor Parr: DSS met on July 26, 2025 reviewing the finalized PIPP. Edith Napier is the new chair. Brad Burdette, director of DSS was out of office for two weeks due to a medical emergency. There is now a Montebelllo public hot spot provided by Firefly which was requested due the accident at Crabtree Falls over Memorial Day Weekend to remediate the communication problems regarding transferring rescued individuals to Pegasus.
Supervisor Rutherford: The Lovingston Merchant Association met to discuss improving the appearance and increasing the excitement in Lovingston. Banners are going up. He has checked with VDOT about the status of grants for sidewalks.
Supervisor Reed: attended two “cop camp” sessions. TJPDC had a zoom meeting. The School Board passed its budget. Chronic absences are down in the schools and teacher retention is up. Mr. Reed visited the Virginia Distillery with David Parr and Jesse Rutherford. He visited the Saunders Brothers facility as well. He spoke at the dedication of the 1400 acre permanent conservation easement at Crawfords Knob. He met with Christina Evans who is the new permanent CEO of JABA. He was a part of the group reviewing the punch list for the new water treatment system for Wintergreen.
B. Appointments: Margaret Claire applied to be on the Economic Development Authority. Her appointment was unanimously approved. The Board received an application for the DSS board today from Katherine C. Rutherford which was approved by a vote of 4 yay votes with Mr. Reed abstaining because he had not a chance to review the application. The remaining vacancies listed below remain open.
B. Correspondence:
Supervisor Rutherford; already reported correspondence on VDOT. The remainder of his correspondence related to DSS.
Supervisor Ligon: None
Supervisor Parr: None
Supervisor Reed: None
C. Directives: None
VII. OTHER BUSINESS (AS PRESENTED): County space needs: The School Board wants to meet with Board Thursday of this week before making any determinations. Dr. Ligon asked Ms. McGarry for enlarged copies spread sheets they were reviewing. The consensus of the Board was to pull together more information looking to meet the tentative deadline of next summer to restructure the location of the county offices. A work session with the School Board will be scheduled on August 19, 2025 at 3:00 pm. The School Board will be solicited for any additional information they may want to present.
VIII. The meeting was unanimously continued until the evening session at 7PM.
7:00 P.M. EVENING SESSION
Present: Supervisors Ernie Reed, Jessica Legion, David Carr, and Jessica Ligon Absent: Supervisor Tommy Harvey
I. The meeting was called to order.
II. PUBLIC COMMENTS:
1. None
III. PUBLIC HEARINGS:
Public Comments to Ordinance O2025-04: None
Public Comments to Ordinance O2025-05: None
1) Theresa Coffee : Asked Question that was referred to Q&A which would follow between the Board and Ms. McGarry.*
Ms. McGarry presented the two proposed Ordinances which will put the County Code in compliance with the changes in state law. *A new business, or short term rental, or a change of address will require a new license application under the Ordinance change. It’s a formality on a form that complies with the state code and provides information that the County already receives but by a different mechanism.
The two ordinances below were unanimously approved.
“A. Ordinance O2025-04 – Amendment to Chapter 11, Taxation, Article 6 Transient Occupancy Tax:
Consideration of an ordinance proposed for passage to amend Chapter 11, Taxation, Article 6 Transient Occupancy Tax. Proposed amendments would add new definitions to Sec. 11-130; Repeal current Sec. 11-132 and enact new Sec. 11-132 Collection from transients, when payable; add language to Sec. 11-133 to comply with changes to State Code effective July 1, 2025 regarding reporting requirements for accommodations providers (HB 2383 & SB 1402).
ORDINANCE O2025-04:
“NELSON COUNTY BOARD OF SUPERVISORS
AMENDMENT OF THE CODE OF NELSON COUNTY, VIRGINIA
CHAPTER 11, TAXATION, ARTICLE 6 TRANSIENT OCCUPANCY TAX
BE IT HEREBY ORDAINED, by the Nelson County Board of Supervisors that the Code of Nelson County, Virginia, Chapter 11, Taxation, Article 6 Transient Occupancy Tax is hereby amended as follows:
Amend
Add to Sec. 11-130. Definitions
(6) Accommodations: any room or rooms, lodgings, accommodations, or space at a Lodging Facility for which tax is imposed on the retail sale of the same pursuant to this Article.
(7) Accommodations fee: the room charge less the discount room charge, if any, provided that the accommodations fee must not be less than $0.
(8) Accommodations intermediary: any person other than an accommodations provider that (i) facilitates the sale of an accommodation and (ii) either (a) charges room charge to the customer, and charges an accommodations fee to the customer, which fee it retains as compensation for facilitating the sale; (b) collects a room charge from the customer; or (c) charges a fee, other than an accommodations fee, to the customer, which fee it retains as compensation for facilitating the sale. For purposes of this definition, "facilitates the sale" includes brokering, coordinating, or in any other way arranging for the purchase of the right to use accommodations via a transaction directly, including one or more payment processors, between a customer and an accommodations provider.
Accommodations intermediary does not include a person:
(1) If the accommodations are provided by an accommodation provider operating under a trademark, trade name, or service mark belonging to that person;
(2) Who facilitates the sale of an accommodation if (i) the price paid by the customer to such person is equal to the price paid by such person to the accommodations provider for the use of the accommodations and (ii) the only compensation received by such person for facilitating the sale of the accommodation is a commission paid from the accommodation provider to such person; or
(3) Who is licensed as a real estate licensee pursuant to Article 1 (§ 54.1-2100 et seq.) of Chapter 21 of Title 54.1 of the Virginia Code, when acting within the scope of such license. (9) Accommodations provider: any person that furnishes accommodations to the general public for compensation. The term "furnishes" includes the sale of use or possession or the sale of the right to use or possess.
Repeal current Sec. 11-132.
Enact:
Sec. 11-132. Collection from transients, when payable.
Collection of Tax.
(a) For any retail sale of accommodations facilitated by an accommodation intermediary, the accommodations intermediary will be deemed a facility making a retail sale of an accommodation. The accommodations intermediary must collect the tax imposed pursuant to this Article, computed on the total room charge, from the person paying for the accommodations at the time payment for such accommodations is made and shall be liable for the same.
(b) For any retail sale of accommodations not facilitated by an accommodations intermediary, the accommodations provider must collect the tax imposed pursuant to this Article, computed on the total room charge, from the person paying for the accommodations at the time payment for such accommodations is made and shall be liable for the same.
Report and Remittance of Tax.
(a) For any retail sale of accommodations facilitated by an accommodations intermediary, the accommodations intermediary must remit the tax imposed pursuant to this Article to the Commissioner.
(b) For any retail sale of accommodations not facilitated by an accommodations intermediary, the accommodations provider must remit the tax imposed pursuant to this Article to the Commissioner.
(c) For any transaction for the retail sale of accommodations involving two or more parties that meet the definition of accommodations intermediary, nothing in this Article prohibits such parties from making an agreement regarding which party will be responsible for collecting and remitting the tax, so long as the party so responsible is registered with the Commissioner for purposes of remitting the tax. In such event, the party that agrees to collect and remit the tax will be the sole party liable for the tax, and the other parties to such agreement will not be liable for such tax.
(d) Each accommodations intermediary must submit to the Commissioner the property addresses and gross receipts for all accommodations facilitated by the accommodations intermediary in Nelson County monthly basis.
Add to Sec. 11-133:
An accommodations provider shall not be required to submit a report to the Commissioner of the Revenue if (i) all retail sales of accommodations owned by the accommodations provider are facilitated by an accommodations intermediary and (ii) the accommodations provider attests to the locality that all such sales are facilitated by an accommodations intermediary. Such attestation shall be effective for 12 months beginning with the month in which the attestation is made. Thereafter, such attestation shall be due annually on a date determined by the Commissioner of the Revenue, on such forms and in such manner as the Commissioner of the Revenue may prescribe and require. However, such accommodations provider shall make out and submit a report in accordance with this subsection for the retail sale of any accommodations not facilitated by an accommodations intermediary and shall remit such tax as otherwise required by this article.
BE IT FURTHER ORDAINED, that this ordinance becomes effective upon adoption.”
B. Ordinance O2025-05 – Amendment to Chapter 6, Licenses, Permits and Business Regulations, Article 4 General Business License:
Consideration of an ordinance proposed for passage to amend Chapter 6, Licenses, Permits and Business Regulations, Article 4 General Business License. Proposed amendments repeal current Sec. 6-90 and enact new Sec. 6-90 Application requirements; which would add the requirement of a zoning approval prior to the issuance of a business license for new businesses, or existing businesses which have changed physical location or description and would only apply to uses regulated by the Zoning Ordinance such as commercial uses, home occupations, and short term rentals.
“ORDINANCE O2025-05
NELSON COUNTY BOARD OF SUPERVISORS
AMENDMENT OF THE CODE OF NELSON COUNTY, VIRGINIA
CHAPTER 6, LICENSES, PERMITS AND BUSINESS REGULATIONS
ARTICLE 4 GENERAL BUSINESS LICENSE
BE IT HEREBY ORDAINED, by the Nelson County Board of Supervisors that the Code of Nelson County, Virginia, Chapter 6, Licenses, Permits and Business Regulations, Article 4 General Business License is hereby amended as follows:
Amend
Repeal current Sec. 6-90.
Enact:
Sec. 6-90. Application requirements.
(a) The Commissioner of Revenue shall develop an application which shall require the business name and any trade names, the federal identification number, the type of business and its description, the physical and mailing addresses of the business, the name of the individual signing the application together with his driver’s license number and contact information, and such other information deemed necessary by the Commissioner for the processing of the application.
(b) For new businesses, or existing businesses which have changed physical location or description, the following additional information is required:
(1) A copy of the approved Zoning Permit from the Planning and Zoning Department to indicate whether the applicant’s business is in compliance with the Zoning Ordinance.
BE IT FURTHER ORDAINED, that this ordinance becomes effective upon adoption.”
IV. OTHER BUSINESS (AS PRESENTED):
A. Albemarle-Charlottesville Regional Jail Renovation Project Scope Update and Financing (R2025-51): The Board received a reports from (i) Martin Kumer, Superintendent of the Albemarle-Charlottesville Regional Jail regarding the unexpectedly high cost of the proposed jail project, and the project cutbacks recommended to bring the project into line with the cost originally approved by the participating jurisdictions and (ii) Davenport which reported their recommendations as to how Nelson County’s share of the costs (and the remaining counties’ shares of the full project) should be funded in the short term and with permanent financing.
The primary power point slides of both presentations are set forth below. The full power point presentations showing the original scope of the project, the diagrams, and the changes as well as additional financing information can be found on pages 124-162 of the BOS packet date July 8, 2025.
SCOPE OF THE PROJECT
Martin Kumer, Superintendent of the Albemarle-Charlottesville Regional Jail, reported that “on May 30, 2025 the facility received five bids out of the original six pre-qualified bidders. The bids ranged from $53m to $76m. English Construction, Lynchburg, Virginia was the apparent low bidder. Prior to bid opening, the construction/hard costs had been estimated to cost approximately $39.9m. (This cost does not include “soft costs” design, engineering etc. which bring the total project costs to $49.23m). With the lowest bid approximately 34% over the estimate we determined to not seek additional funding but to work within the previously approved budget.
Therefore, we began working with English Construction, Moseley Architects and our Construction Manager, Downey and Scott reduce the scope of the project to fit the original budget. The team was directed to address the core issues and concerns identified in the Community Based Corrections Plan.
The original scope was comprised of two primary phases.
Phase 1: “Expansion”: Consisted of razing east wing of the facility which was built in 1974 and rebuilding a two-story structure in its footprint.
Phase 2: “Renovation”: Involved renovating the 1974 facility’s west wing and ground floor.
Final Reduced Scope of Work
We chose to eliminate the vast majority of Phase 2 (Renovation) and proceed as designed with Phase 1 (Expansion).
Phase 1 was selected since this portion of the facility does not house vital operational components such as medical, food service, mechanicals or the public entrance and lobby. This section can be completely turned over the general contractor without interruption to services or operations for the public , local law enforcement or staff. Finally, when the expansion is complete it will accomplish most of the CBCP concerns and be 100% building code compliant and ADA accessible.
The Phase 2 (Renovation) portion of the original scope is located in the middle of the facility between areas that each house vital operational components. To renovate this section would have been disruptive to operations. In addition, since this area was only being renovated as opposed to demolished and rebuilt, it would still not have met most new building codes, especially square footage per person. However, the team has been directed to focus remaining funds from Phase 1 to replacing and enhancing the HVAC and mechanical systems in this section. Jail staff will continue to renovate and enhance this area of the facility over coming years with budgeted maintenance funds. However, the intent it not to complete the original design scope in this manner.
Final Cost with Reduced Scope of Work
Total Cost, including both /”hard” costs and “soft” costs (design engineering permits etc.) $49,227,414.
There is no overall change in the total cost of the project. The General Assembly has already approved and the Board of Local and Regional Jails has assured us that the reduced scope of work is still eligible for the original 25% reimbursement of $11.9m. The project is estimated to begin September 15, 2025 and take approximately 28 months.”
FINANCING
Davenport provided an explanation of the final costs of the reduced level of construction which is set forth below including how the costs will be financed.
Jail Funding Process
In the Commonwealth of Virginia, regional jails are eligible for a 25% reimbursement of eligible costs for major capital projects.
After the Authority decided to undertake the project (i.e. the proposed Renovation Project), it was required to undertake a Community Based Corrections Plan and Planning Study in order to develop a cost estimate for reimbursement consideration by the Board of Local and Regional Jails.
Following approval by the Board of Local and Regional Jails, the request for the 25% reimbursement was forwarded to the General Assembly for approval and inclusion in the Governor’s Budget.
– After approval, the 25% reimbursement was set aside by the Commonwealth and will be made available once the project is complete and a formal request is made by the Authority.
– A reimbursement of project costs in an amount of $11,689,250 was included in the Governor’s Budget in spring of 2023.
The Two-Part Plan of Finance is typically undertaken after the Commonwealth’s approval of the 25% reimbursement.
Two-Part Plan of Finance
The Two-Part Plan of Finance is designed to minimize the incurrence of debt and related interest costs until the Authority has received bids for construction and a firm project cost is known.
Part 1: Interim Financing (2023 BAN)
The Interim Financing provides only what is necessary to complete preliminary design and engineering costs so the project can be bid.
Part 2: Permanent Financing/Grant Anticipation Note
After bids are received and Total Project Costs are known, the Permanent Financing is undertaken to fully fund the Project Costs that are above the Commonwealth reimbursement amount and permanently finance the interim financing.
Simultaneously, a Grant Anticipation Note (“GAN”) is undertaken to fund Project Costs in an amount equal to the Commonwealth’s anticipated reimbursement.
– The GAN would be paid off prior to maturity with funds provided by the Commonwealth’s reimbursement once the project is complete.
Part 1: Interim Financing – 2023 BAN
The Authority closed on the Interim Financing (the “2023 BAN”) in December of 2023.
The Interim Financing (“2023 BAN”) was structured as a drawdown loan to provide up to $4.5 million of funding for pre-development costs (architectural, engineering, and other related costs) in order to prepare the Authority for bidding the project.
Borrowing Amount Planning Interest Rate Actual Interest Rate Term
2023 BAN Up to $4.5 million 4.50% 4.49% 18 Month
The 2023 BAN will be repaid by the Permanent Financing in Part 2 of the Plan of in the Summer of 2025.
The Board, having previously reviewed the reports and having heard the presentations, voted unanimously to adopt the resolution set forth below. Supervisor Rutherford expressed his disappointment that the original plan had become economically unviable but expressed his opinion that the jail would remain one of the better ones in the state.
RESOLUTION R2025-51
“NELSON COUNTY BOARD OF SUPERVISORS APPROVING THE EXECUTION AND DELIVERY OF A SUPPORT AGREEMENT OR AGREEMENTS WITH THE ALBEMARLE-CHARLOTTESVILLE REGIONAL JAIL AUTHORITY FOR THE ISSUANCE BY SUCH AUTHORITY OF ITS JAIL FACILITY REVENUE BOND AND JAIL FACILITY GRANT REVENUE ANTICIPATION NOTES”
WHEREAS, the Albemarle-Charlottesville Regional Jail Authority (the “Authority”) is a public instrumentality of the Commonwealth of Virginia created pursuant to Article 3.1, Chapter 3, Title 53.1, Code of Virginia of 1950, as amended (the “Act”) by resolutions duly adopted by the governing bodies of the County of Nelson, Virginia (the “County”), the County of Albemarle, Virginia (“Albemarle County”) and the City of Charlottesville, Virginia (“Charlottesville,” collectively, the “Member Jurisdictions”) for the purpose of renovating the regional jail (the “Regional Jail”) to be operated on behalf of the Member Jurisdictions by the Authority;
WHEREAS, the Authority and the Member Jurisdictions have entered into an Amended and Restated Service Agreement, dated June 9, 2022 (the “Service Agreement”), in which the Authority has agreed to, design, construct, renovate and equip the Regional Jail and obtain financing therefor;
WHEREAS, the Authority desires to issue its jail facility revenue bond in an estimated maximum aggregate principal amount of $41,000,000 (the “Local Bond”) the proceeds of which, together with other available funds, are expected to be sufficient to finance and refinance the costs of the renovation and equipping of the Regional Jail (the “Project”);
WHEREAS, the Authority’s financial advisor, Davenport & Company LLC (the “Financial Advisor”) has advised the Authority that the Virginia Resources Authority (“VRA”), a public body corporate and political subdivision of the Commonwealth of Virginia, is willing to finance a portion of the Project at favorable rates to the Authority;
WHEREAS, VRA has indicated its willingness to purchase such Local Bond from a portion of the proceeds of its Series 2025B VRA Bonds (as more particularly defined in the below-defined Local Bond Sale and Financing Agreement, the “VRA Bonds”) and to provide a portion of the proceeds thereof to the Authority to finance a portion of the Project and pay certain costs of issuance of the Local Bond, in accordance with the terms of a Local Bond Sale and Financing Agreement to be dated as of a date to be specified by VRA, between VRA and the Authority (the “Local Bond Sale and Financing Agreement”);
WHEREAS, the Authority is expecting to receive a grant from the Commonwealth of Virginia (the “Commonwealth Grant”) as reimbursement of a portion of the “eligible costs” of the Project following completion of the Project;
WHEREAS, the Authority desires to issue its jail facility grant revenue anticipation note in an estimated maximum aggregate principal amount of $12,500,000 (the “Note”) to be sold to a purchaser to be selected by the Authority, the proceeds of which, together with proceeds from the sale of the Local Bond are expected to be sufficient to finance a portion of the construction and renovation of the Project;
WHEREAS, VRA has indicated that its agreement to purchase the Local Bond will be conditioned upon each of the Member Jurisdictions undertaking non-binding obligations to appropriate from time to time moneys to the Authority in connection with payments due on the Local Bond and a similar agreement to purchase the Note by the purchaser thereof will require a similar non-binding obligation to appropriate;
WHEREAS, the Board of Supervisors (the “Board of Supervisors”) of the County has previously indicated its support of the financing of the Project and hereby desires to approve the issuance of the Local Bond by the Authority and to enter into such a Support Agreement evidencing such obligation (the “Bond Support Agreement”), the form of which has been submitted to this meeting and the issuance of the Note by the Authority and a support agreement, if required in such Note transaction (the “Note Support Agreement”), the form of which has been submitted to this meeting.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE COUNTY OF NELSON, VIRGINIA:
1. The County hereby approves the issuance of the Local Bond and the Note as required under the Service Agreement. It is determined to be in the best interests of the County and its citizens for the Board of Supervisors to enter into the Bond Support Agreement regarding the Local Bond and a Note Support Agreement regarding the Note. The forms of the Bond Support Agreement and Note Support Agreement submitted to this meeting are hereby approved.
2. It is acknowledged that (i) VRA would not purchase the Local Bond without the security and credit enhancement provided by the Bond Support Agreement, (ii) VRA will be a third party beneficiary of the Service Agreement, and (iii) VRA is treating the Bond Support Agreement as a "local obligation" within the meaning of Section 62.1-199 of the Code of Virginia of 1950, as amended, including amendments thereto taking effect as of July 1, 2011 (the “Virginia Code”), which in the event of a nonpayment thereunder authorizes VRA or the trustee for VRA's bonds to file an affidavit with the Governor that such nonpayment has occurred pursuant to Section 62.1-216.1 of the Virginia Code. In purchasing the Local Bond, VRA is further relying on Section 62.1-216.1 of the Virginia Code, providing that if the Governor is satisfied that such nonpayment has occurred, the Governor will immediately make an order directing the Comptroller to withhold all further payment to the County of all funds, or of any part of them, appropriated and payable by the Commonwealth of Virginia to the County for any and all purposes, and the Governor will, while the nonpayment continues, direct in writing the payment of all sums withheld by the Comptroller, or as much of them as is necessary, to VRA, so as to cure, or cure insofar as possible, such nonpayment.
3. In consideration of the Authority’s undertakings with respect to the financing plans of the Project, the Chairman or Vice-Chairman of the Board of Supervisors, either of whom may act, is hereby authorized and directed to execute and deliver the Bond Support Agreement and a Note Support Agreement. The Bond Support Agreement and the Note Support Agreement shall be in substantially the forms presented to this meeting, which are each hereby approved, with such completions, omissions, insertions or changes not inconsistent with this resolution as may be approved by the Chairman or Vice-Chairman of the Board of Supervisors, in their sole discretion, the execution thereof by the Chairman or Vice-Chairman of the Board of Supervisors to constitute conclusive evidence of his or her approval of such completions, omissions, insertions or changes.
4. The County Administrator is hereby authorized and directed to carry out the obligations imposed by the Bond Support Agreement and the Note Support Agreement on the County Administrator, and to take all proper steps on behalf of the County as may be required, in accordance with the plan of financing set forth above.
5. Nothing contained herein or in the Bond Support Agreement or the Note Support Agreement is or shall be deemed to be a lending of the credit of the County to the Authority, VRA or to any holder of the Local Bond or the Note or to any other person, and nothing herein contained is or shall be deemed to be a pledge of the faith and credit or the taxing power of the County, nor shall anything contained herein or in the Bond Support Agreement or the Note Support Agreement legally bind or obligate the Board of Supervisors to appropriate funds for purposes described in the Bond Support Agreement or the Note Support Agreement.
6. All actions previously taken by officials, representatives or agents of the County in furtherance of the plan of financing and issuance of the Local Bond and the Note are hereby ratified and approved.
7. This resolution shall take effect immediately.”
V. The meeting was adjourned by a unanimous vote.