• Culture & Entertainment Converge in Newport News
  • Business Expansion, Retention & Growth Projects Abound
  • Entrepreneurship & Innovation Thrive in the City
  • New Developments for Living and Working
.

About

Mission

The core mission of the Economic Development Authority of the City of Newport News, Virginia (EDA), and the Industrial Development Authority of the City of Newport News, Virginia (IDA) (collectively “EDA/IDA” and/or “the Authority”), is to grow and diversify the tax and employment base of the City.

Board of Directors

Board of Derectors

Thomas P. Herbert, P.E.
2014 & 2015 Chair – Member of the Board since 2009

Mr. Herbert is a professional engineer and business development executive, and has served a variety of private, municipal, institutional and federal clients around the world.

Wendy C. Drucker
2014 & 2015 Vice-Chair – Member of the Board since 2008

Ms. Drucker is Managing Director of Drucker & Falk, LLC, which specializes in multifamily, commercial and senior real estate. Headquartered in Newport News, Drucker & Falk operates in the Mid-Atlantic and Southeast regions of the United States.

Cary B. Epes
Member of the Board since 2010

Mr. Epes is a retired banking executive, formerly of Old Point National Bank, which has offices throughout Hampton Roads.

Cassandra P. Greene
Member of the Board since 2013

Mrs. Greene is a retired senior finance and communications executive, formerly of Sara Lee Corporation and the U.S. Small Business Administration, and serves on several non-profit boards on the Peninsula.

Arthur P. Henderson, Jr.
Member of the Board since 2006

Mr. Henderson is a retired business executive, former CFO with Noland Company, a leading wholesale distributor of plumbing, mechanical and electrical supplies. Mr. Henderson is also a Certified Public Accountant.

C. Gary Minter
Member of the Board since 2010

Mr. Minter is President of POMOCO Lincoln Mercury and Vice President of POMOCO Auto Group, which has locations on the Peninsula and in Smithfield.

Jennifer Smith-Brown
Member of the Board since 2015

Mrs. Smith-Brown is a Franchise Owner/Operator of three McDonald’s restaurants, and Managing Partner of J. Smith Enterprises, a family-owned firm responsible for the corporate operations of 16 restaurant franchise businesses.

James M. Bourey – City Manager (ex officio)

Florence G. Kingston – Secretary/Treasurer (ex officio)

Cherry Lee Croushore – Assistant Secretary

Janice I. Jones – Recording Secretary

Joy Robison – Interim Recording Secretary

Raymond H. Suttle, Jr., Esquire – Legal Counsel

Conway H. Sheild, III, Esquire – Legal Counsel

Ralph M. Goldstein, Esquire – Legal Counsel

Message from the Chair

Drucker WendyGrowth is important to every city and new ideas and innovative concepts help to spur that growth into fruition. As the Hampton Roads region continues to re-invent itself in the wake of challenging times, leaders of Economic and Industrial Development Authorities diligently pursue a wide range of initiatives aimed at sparking new and exciting collaborative solutions.

Embracing Newport News as One City supports a diverse array of large and small businesses and promotes a welcoming environment in which to grow and prosper. This year, established businesses including Canon Virginia announced tremendous expansions to their facilities, bringing new investment and jobs to our community. The innovative Tech Center Marketplace, adjacent to Jefferson Lab is settling into a vibrant commercial center for the Oyster Point area. Businesses and entrepreneurs like Ironclad Distillery and Jim’s Local Market (the highly anticipated grocery store located in the Southeast Community) are poised to inject new life into our established business community and demonstrate that a balanced geographic or One City approach to undertaking initiatives has been a guiding principle for the EDA/IDA.

Progress is not limited to the business community. The City has undertaken a myriad of infrastructure expansions and improvements as well. Projects such as the long-awaited City Center Boulevard connector opened this year as well as the Ft. Eustis bridge expansion. Both projects greatly improved travel between Warwick Boulevard and Jefferson Avenue and their arteries. The southeast portion of Newport News has also seen significant infrastructure improvements as the construction for the Brooks Crossing Development accelerated into high gear, providing a new sense of invigoration for the Downtown and southeast areas of the City.

With the assistance of staff, many businesses were able to utilize benefits available through the Virginia Enterprise Zone Program, the Façade Improvement Grant Program, the Consumables Transitioning Grant, and numerous other innovative programs and activities designed to spur positive growth throughout the City.

As incoming Chair, I look forward to doing my part to ensure that the EDA/IDA continues to lead in the economic development of Hampton Roads and beyond, making the City of Newport News a place WHERE GREAT THINGS ARE HAPPENING!

Sincerely,

Drucker Signature
Wendy C. Drucker
2016 Chair, EDA/IDA

Standing Committees

Ferguson Showroom

Design Review

Cary B. Epes
Chair

Thomas P. Herbert

Jennifer Smith-Brown

Alonzo Bell, Jr.
Randolph Real Estate Services Co.

Randy Carnell
Continental AG

Alex Delgado
Continental AG

Rob Mann
AES Consulting Engineers

Teresa Nettles
Thalhimer Commercial Real Estate

Bryan Trainum
Rockwell Collins

Sylvia Weinstein
Oyster Pointer

Beth Willis
Carmines Robbins & Company

 

Executive Committee

Wendy C. Drucker
Chair

Arthur P. Henderson, Jr.

Thomas P. Herbert

C. Gary Minter

Marketing

C. Gary Minter
Chair

Wendy C. Drucker

Cassandra P. Greene

Mary Aldrich
PBMares

Don Blankenship
Retired

Faye Gargiulo
Riverside Health System

Gary Hunter
Langley Federal Credit Union

Senator John Miller
Virginia General Assembly

 

Parking

Arthur P. Henderson, Jr.
Chair

Cary B. Epes

Jennifer Smith-Brown

John Lunsford
Retired

Jim MacDougall
MacPaint, Ltd.

Gene Soud
Retired

 

Revolving Loan Fund

Cassandra P. Greene
Chair

Cary B. Epes

Arthur P. Henderson, Jr.

Susan Harris
TowneBank

George Knight
Commonwealth Environmental Services

South Newport News

Jennifer Smith-Brown
Chair

Cassandra P. Greene

C. Gary Minter

Alonzo R. Bell Jr.
Randolph Real Estate Services Co.

Carl Burt
Abbitt Realty Company

Richard Coleman
Retired

Troy Smith, Jr.
Smith Brothers Enterprises

 

Special Purpose Committee Appointments

Cassandra P. Greene
Workforce Investment Board

C. Gary Minter
Regional Air Service
Enhancement Committee

C. Gary Minter
Conference Center Marketing (Chair)

Arthur P. Henderson, Jr.
Sister Cities of Newport News

Cary B. Epes
Community Development
Block Grant Committee

Staff Support to EDA/IDA

James M. Bourey
City Manager

Florence G. Kingston
Director of Development
(Also EDA/IDA Secretary/Treasurer)

Carol U. Meredith
Assistant Director

Sam J. Workman, Jr.
Assistant Director

Cherry Lee Croushore
Manager of Development
(Also EDA/IDA Assistant Secretary)

Bryan C. Witt
Manager of Special Development Projects

Zoe M. Lumpkin, CPA
Financial Services Administrator

Christopher A. Morello
Administrator of Development Projects

Joy E. Robison
Administrative Services Manager

Marc A. Rodgers
Senior Project Coordinator

Matt Johnson
Senior Project Coordinator

Derek E. Perry
Senior Economic Analyst

George A. Schraudt
Former Senior Economic Analyst

Tricia F. Wilson
Business Development Specialist

Shakir D. Johnson
Business Retention Coordinator

S. Saejin Connor
Accountant II

Robin N. Boyd
Marketing Coordinator

Jared W. Midkiff
Marketing and Development Coordinator

Doreen P. Kopacz
Port Development Administrator

Andrew S. Wilks
Property Manager

Travis C. Fisher
Real Estate Coordinator

Janice I. Jones
EDA/IDA Recording Secretary

Around the City

Newport News Redevelopment & Housing Authority Collaboration

Newport News Redevelopment & Housing Authority Collaboration

The Newport News Redevelopment & Housing Authority (NNRHA) and EDA staff partnered at community meetings to highlight work being done in the Southeast Community with federal funds to further community development and homeownership opportunities for moderate and lower income persons in the City.

Read More »

Superblock Charrette

Superblock Charrette

Building upon a successful initial gathering and brainstorming session in 2014, the City is moving forward with revitalization and planning efforts in Downtown Newport News.

Read More »

Downtown Parking Assets

Downtown Parking Assets

The EDA has a number of parking assets in the Downtown area, the vast majority of which serve Newport News Shipbuilding employees, members of the military stationed at Newport News Shipbuilding and contractors who work within the facility.

Read More »

UPS

UPS

In March, the IDA acquired an approximately 2-acre portion of 420 Export Circle and will commence construction on a new parking lot in early 2016.

Read More »

Applied Research Center

Applied Research Center

The EDA has negotiated with the Virginia Tech Corporate Research Center, Inc. (VTCRC) to locate its office and showroom space in the ARC Building.

Read More »

Virginia Tech Showcase

Virginia Tech Showcase

EDA/IDA staff worked closely with staff from Virginia Tech’s Office of Economic Development, the Virginia Tech Corporate Research Center and the VT Hampton Roads Center in Newport News to produce the first Virginia Tech - Hampton Roads Showcase event at the Paragon Theater on May 6th.

Read More »

Transportation Improvements  & Infrastructure

Transportation Improvements & Infrastructure

The original Canon Transportation Opportunity Funds (TPOF) program, a $5 million grant resource, continued providing incredible value in 2015 to the City’s Greater Oyster Point transportation network with completed and ongoing projects creating connections in key locations.

Read More »

Patrick Henry Place

Patrick Henry Place

Staff to the EDA collaborated through 2015 with the owner and master developer of the Patrick Henry Place mixed-use development, Gibraltar Capital and Asset Management, to help advance a strong re-emergence of construction buildout.

Read More »

Ft. Eustis Bridge Repair

Ft. Eustis Bridge Repair

This crucial connector road bridge replacement project and its return to full service was a welcome relief for travelers into and out of the Upper Warwick Corridor, as well as Fort Eustis, in particular.

Read More »

Beautification & Redevelopment Preparation

Beautification & Redevelopment Preparation

In late 2014, the EDA closed on properties located at 15411, 15407 and 15401 Warwick Boulevard in its continued effort to facilitate voluntary land assemblage in support of the City’s Upper Warwick Corridor Initiative.

Read More »

Rockwell Collins

Rockwell Collins

In August, Cedar Rapids-based Rockwell Collins acquired International Communications Group (ICG), a company located in the EDA’s Oakland Industrial Park.

Read More »

Business News

Financials

EDA/IDA Financial Highlights for Fiscal Year July 1, 2014 to June 30, 2015

At the end of the fiscal year, the Authorities’ assets and deferred outflows of resources exceeded liabilities and deferred inflow of resources by $105.08 million. This amount represents an increase of $5.43 million over the prior year’s ending balance of $99.65 million. Total operating revenues decreased by approximately $4.11 million in fiscal year 2015 mostly due to a decrease in intergovernmental transfers from the City of Newport News, Virginia (the “City”). Total operating expenses in 2015 decreased by $1.45 million mostly due to a decrease in rental expenses caused by the purchase of the previously leased Apprentice School Garage. Total operating expenses decreased in 2014 by $1.7 million due to a decrease in cost of land sold from the previous year. Net non-operating expenses decreased in 2015 by $2.63 million mostly due to the write down of land in the previous year.

During the year, the Industrial Development Authority (the “IDA”) received the third of five grant payments from the Commonwealth of Virginia for the Advanced Shipbuilding Training Facility Grant Program. This grant payment was paid to Armada Hoffler, the developer, in accordance with the Amended and Restated Memorandum of Understanding between the Industrial Development Authority, Huntington Ingalls Incorporated, Armada Hoffler and the Commonwealth of Virginia. The project is a significant mixed-use redevelopment in the City’s traditional Downtown. It includes a state-of-the-art 88,740 square-foot Apprentice School, with 197 apprentice and workforce housing units, 38,000 square feet of retail and a 382-space parking garage in a 6-acre campus-like setting. In July 2014, the IDA exercised its option to purchase the Apprentice School Parking Garage under the lease for $12,759,580, financing the purchase with a $12.7 million taxable revenue bond secured by a payment agreement with the City.

During the year, the Economic Development Authority (the ‘EDA”) dispersed a Governor’s Opportunity Fund Grant in the amount of $2,000,000 to Continental Automotive Systems, a manufacturer of automotive components. The company plans to invest a total of $143 million in new machinery and tools, $9 million in new real estate improvements at its facility and 525 new jobs.

In 2015, the Authorities continued to assemble land in the City’s Upper Warwick Boulevard Corridor to support the strategic priority of revitalization in this area of the City as they had in 2014 and 2013. During fiscal year 2015, the EDA purchased properties located at 15401, 15407 & 15411 Warwick Blvd in the amount of $928,775, demolishing the deteriorating structures, and grading and seeding the property.

The EDA continues its Façade Improvement Grant Program which restores, sustains and improves commercial properties located within the City by providing matching funds toward eligible façade improvements. This program was originally funded by the EDA with an initial commitment of $300,000 in FY 2012, followed by $300,000 funded by the City in FY 2013. In FY 2014, this program continued with funding of $200,000 from the City’s Economic Development Fund and $100,000 from the City’s CIP and in FY 2015, an additional $300,000 from the EDA. This program has benefited over 56 properties City-wide with grants distributed of approximately $1,100,000.

Overview of the Financial Statements

The Authorities are component units of the City. Component units are other governmental units over which the City (the City Council, acting as a group) can exercise influence and/or may be obligated to provide financial support. Component units of the City are presented as a separate column in the government-wide financial statements of the City. The Authorities’ operations are accounted for as business-type activities in a proprietary fund, which is used to account for the ongoing activities that are financed and operated similar to those often found in the private sector. The measurement focus is upon determination of net income.

Summary of Financial Statements

Total asset and deferred outflows of resources of the Authorities exceeded recorded liabilities and deferred inflows of resources by $105.08 million as of June 30, 2015, $99.65 million as of June 30, 2014 and $97.76 million as of June 30, 2013 (restated). Approximately $13.78 million in fiscal year 2015, $12.87 million in fiscal year 2014 and $16.83 million in fiscal year 2013 of net position is restricted as to the purpose for which it may be used.

The following table reflects the condensed net position of the Authorities:

table_1

Capital Assets and Debt Administration

At the end of 2015, the Authorities had $164.05 million invested in capital assets. During the year, Construction in Progress increased by $962,236 and Buildings increased by $12.18 million. The increase in Construction in Progress in 2015 was caused by several ongoing projects such as the Liebherr Mining Equipment Project, United Parcel Service project, Southeast Grocery Store and continued Canon Expansion Project. The increase in Buildings in 2015 represents the purchase of the Apprentice School Garage. The decrease in Construction in Progress, in 2014 of $2.5 million, was caused by the transfer of a Southeast parcel to the land account.

The following table shows the capital assets at year-end:

table_2

As of year-end, the Authorities had $111.69 million of debt outstanding in bonds and notes payable as compared to debt outstanding in June 2014 and June 2013, of $109.51 million and $119.02 million, respectively. In 2015, the Authorities issued debt of $12.7 million to finance the purchase of the Apprentice School Parking Garage.

The following table summarizes debt outstanding:

table_3

In Summary

This financial report is designed to provide our citizens, taxpayers, bondholders and creditors with a general overview of the Authorities’ finances and to demonstrate the Authorities’ accountability for the money it receives. If you have questions about this report or need additional financial information, contact the Secretary/Treasurer or Financial Services Administrator at (757) 926-8428 of the Authorities, c/o Department of Development, 2400 Washington Avenue, 3rd Floor, Newport News, Virginia 23607.