Annual Report on Virginia Business Ready Sites Program (VBRSP) Fund (November 1, 2024)

Summary

Letter dated November 1, 2024 from Jason El Koubi, President and Chief Executive Officer, to the chairs of the Senate Finance and Appropriations Committee, the House Appropriations Committee and the House Finance Committee. It reports the transactions of the Virginia Business Ready Sites Program Fund for the fiscal year ended June 30, 2024, under § 2.2-2240.2:1(E). A total of $125,000,000 was appropriated, with carryover funds of $100,346,528.53, for a total starting balance of $225,346,528.53; expenditures totaled $14,375,411.11. The letter states that $125,967,692 was awarded in fiscal year 2024 to assist localities to develop or characterize 30 sites, and summaries of those projects follow.

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Full text

November 1, 2024



The Honorable L. Louise Lucas                   The Honorable Luke E. Torian
Chair                                           Chair
Senate Finance and Appropriations               House Appropriations Committee
  Committee                                     4222 Fortuna Plaza, Suite 659
P.O. Box 700                                    Dumfries, Virginia 22025
Portsmouth, VA 23705

The Honorable Vivian E. Watts
Chair
House Finance Committee
8717 Mary Lee Lane
Annandale, Virginia 22003

RE:   Annual Report on Virginia Business Ready Sites Program (VBRSP) Fund per
      § 2.2-2240.2:1 (E)

Senator and Delegates:

I am writing to provide documentation of the transactions of the Virginia Business Ready
Sites Program (VBRSP) Fund, which occurred during the 2024 fiscal year as required
by § 2.2-2240.2:1(E) of the Code of Virginia.

For the 2024 fiscal year that ended June 30, 2024, per Chapter 2 of the Acts of
Assembly of 2022, Special Session I, as amended by Chapter 769 of the Acts of
Assembly of 2023 and Chapter 1 of the Acts of Assembly of 2023, Special Session I
(“the budget”), a total of $125,000,000 was appropriated to the Fund in addition to
carryover funds from fiscal year 2023 of $100,346,528.53 for a total starting balance of
$225,346,528.53. Expenditures from the Fund made during the fiscal year totaled
$14,375,411.11. Additionally, a total of $4,334,827.83 in interest income was deposited
into the fund during the fiscal year. The fund also had outstanding commitments of
$83,876,447.80 related to awards made in the 2023 fiscal year. As of June 30, 2024,
the program’s cash balance was $215,305,945.25 and the balance available for future
commitments totaled $5,462,305.45. It is important to note that VBRSP grants are paid
on a reimbursement basis, which is why a cash balance remains.

From the fund, a total of $125,967,692 was awarded in fiscal year 2024 to assist
localities to develop or characterize 30 sites. VEDP made seven awards for
characterization grants and 23 awards for site development grants. Summaries on
these projects follow:
VBRSP Annual Report FY24
November 1, 2024
Page 2


Site Characterization Grants

   1. City of Chesapeake: Hampton Roads Executive Airport. Site Characterization
      Grant awarded: $4,000. This site was characterized for the first time as Tier 3.
      Work is complete.

   2. Goochland County: Ashland Road Site. Site Characterization Grant awarded:
      $2,500. This site was characterized for the first time as Tier 4. Work is complete.

   3. Goochland County: Oilville Road Site. Site Characterization Grant awarded:
      $3,500. This site was characterized for the first time as Tier 2. Work is complete.

   4. Greensville County: Pleasant Shade. Site Characterization Grant awarded:
      $5,000. This site was characterized for the first time as Tier 1. Work is complete.

   5. Henrico County: Dragway Site. Site Characterization Grant awarded: $5,000.
      This site was characterized for the first time as Tier 2. Work is complete.

   6. Mecklenburg County: Park View Middle Site. Site Characterization Grant
      awarded: $5,000. This site was characterized for the first time as Tier 1. Work is
      complete.

   7. Mecklenburg County: South Hill Area. Site Characterization Grant awarded:
      $5,000. This site was characterized for the first time as Tier 1. Work is complete.


Site Development Grants

   1. Amherst County: Rt. 210 Property. Site Development Grant awarded: $112,267.
      Amherst County Economic Development Authority was awarded funding to
      complete due diligence at the site. This work is underway.

   2. Bedford County: New London Business and Technology Park. Site
      Development Grant awarded: $1,500,000. The Bedford County Economic
      Development Authority was awarded funding to complete clearing and rough
      grading of road pad sites on Phase 2 of New London Business and Technology
      Park. Work is anticipated to commence before the end of the calendar year.

   3. Brunswick County: Stonewall Site. Site Development Grant awarded:
      $1,000,000. Brunswick County was awarded funding to bore under Route 58 to
      create a culvert for wet utility extensions into the industrial park. Work is
      anticipated to commence before the end of the calendar year.
VBRSP Annual Report FY24
November 1, 2024
Page 3


  4. Campbell County: Dearing Ford Business and Manufacturing Center. Site
     Development Grant awarded: $125,000. Campbell County was awarded funding
     to complete due diligence at the site. Work is anticipated to commence before
     the end of the calendar year.

  5. Caroline County: Caroline Center for Innovation and Industry. Site
     Development Grant awarded: $561,000. Caroline County was awarded funding
     to complete due diligence at the site. This work is underway.

  6. Chesterfield County: Upper Magnolia Green. Site Development Grant awarded:
     $13,000,000. Chesterfield County was awarded funding to complete the design,
     permitting, and construction of a gravel access road and small pad site to the
     larger 400-acre site. This work is underway.

  7. City of Chesapeake: Coastal Virginia Megasite. Site Development Grant
     awarded: $35,000,000. The City of Chesapeake was awarded funding to
     continue due diligence at the site and begin utility easement acquisition and
     design.

  8. City of Danville: Coleman Site. Site Development Grant awarded: $9,000,000.
     The Industrial Development Authority of Danville was awarded funding to
     complete design, engineering, and construction of an 80-acre pad site. This work
     is underway.

  9. City of Newport News: Air Commerce Park East and West. Site Development
     Grant awarded: $327,600. The Economic Development Authority of Newport
     News was awarded funding to complete due diligence at the site. Work is
     anticipated to commence before the end of the calendar year.

  10. City of Radford: VCI Property. Site Development Grant awarded: $3,500,000.
      The City of Radford was awarded funding to complete due diligence, remediate
      contaminated soil, and remove a large concrete pad. The City is working with
      DEQ on the remediation. Work is anticipated to commence before the end of the
      calendar year.

  11. City of Roanoke: Roanoke Centre for Industry and Technology, Tract 8. Site
      Development Grant awarded: $7,500,000. The City of Roanoke was awarded
      funding to permit and construct a pad site on Tract 8. Work is anticipated to
      commence before the end of the calendar year.

  12. City of Suffolk: Port 460 Logistics Center. Site Development Grant awarded:
      $3,500,000. The City of Suffolk was awarded funding to design and construct wet
      utilities onsite. This work is underway.
VBRSP Annual Report FY24
November 1, 2024
Page 4


  13. City of Staunton: Staunton Crossing. Site Development Grant awarded:
      $9,000,000. The City of Staunton was awarded funding to complete the
      extension and construction of wet utilities to raise the site to Tier 4. Work is
      anticipated to commence before the end of the calendar year.

  14. Franklin County: Summit View Business Park. Site Development Grant
      awarded: $5,500,000. Franklin County was awarded funding to study, design,
      and construct a sanitary sewer pipe for increased capacity to the site. Work is
      anticipated to commence before the end of the calendar year.

  15. Greensville County: Mid-Atlantic Advanced Manufacturing Center. Site
      Development Grant awarded: $8,500,000. Greensville County was awarded
      funding to complete design and construction of an elevated one-million-gallon
      water tank. The design work is underway.

  16. Pittsylvania County: Southern Virginia Megasite at Berry Hill. Site
      Development Grant awarded: $6,000,000. The Danville-Pittsylvania Regional
      Industrial Facility Authority was awarded funding to construct a new gas
      interceptor from a transmission line on the site. The RIFA and local governments
      are engaging with stakeholders and the gas company on all aspects of the
      funding prior to beginning construction.

  17. Prince George County: Crosspointe Logistics Centre. Site Development Grant
      awarded: $10,000,000. Prince George County was awarded funding to design
      and construct water infrastructure to gain increased capacity to the park and
      surrounding industrial sites. The County is engaged with the City of Hopewell for
      increased wastewater discharge capacity and will begin design and engineering
      work once confirmed.

  18. Rockingham County: Innovation Village at Rockingham. Site Development
      Grant awarded: $4,500,000. Rockingham County was awarded funding to
      design, permit, and construct an approximately 40-acre pad site. Work is
      anticipated to commence before the end of the calendar year.

  19. Russell County: Russell County Industrial Complex. Site Development Grant
      awarded: $112,750. The Russell County Industrial Development Authority was
      awarded funding to complete due diligence at the site. Work is anticipated to
      commence before the end of the calendar year.
VBRSP Annual Report FY24
November 1, 2024
Page 5


     20. Southampton County: Beale Farm Property. Site Development Grant awarded:
         $223,000. The Franklin Southampton Economic Development Authority was
         awarded funding to complete due diligence at the site. Work is anticipated to
         commence before the end of the calendar year.

     21. Sussex County: Sussex Green Enterprise Park. Site Development Grant
         awarded: $1,500,000. Sussex County was awarded funding to design treated
         wastewater facilities, design natural gas pipeline to the park, and explore well
         options for alternative water sources. Work is anticipated to commence before
         the end of the calendar year.

     22. Tazewell County: Bluestone Regional Business and Technology Center. Site
         Development Grant awarded: $368,200. The Industrial Development Authority of
         Tazewell County was awarded funding for the design of a natural gas pipeline to
         the site. This work is underway.

     23. Wythe County: Progress Park, Lot 10. Site Development Grant awarded:
         $5,134,875. The Joint Industrial Development Authority of Wythe County was
         awarded funding to design, permit, and construct a 50-acre pad site. Work is
         anticipated to commence before the end of the calendar year.

Please let me know if you have any questions regarding this program.

Sincerely,



Jason El Koubi
President and Chief Executive Officer

JRE:co

cc      The Honorable Caren Merrick
        Secretary of Commerce and Trade


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