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As Amazon Looms, Lopez Pushes for More State Money to Fund Affordable Housing Development

By Alex Koma

(Updated at 3 p.m.) With Amazon gearing up to move into his neck of the woods, Del. Alfonso Lopez (D-49th District) is angling to substantially beef up state spending on affordable housing development.

Lopez, who represents a variety of South Arlington neighborhoods surrounding the tech company’s planned headquarters in Crystal City and Pentagon City, is eyeing a two-pronged approach to the issue in this year’s General Assembly session.

Both of his legislative efforts involve the Virginia Housing Trust Fund, a pot of money Lopez helped create back in 2016 to offer low-interest loans for developers hoping to build reasonably priced housing. Though state lawmakers have only allocated a few million dollars to the fund for the last few years, Lopez hopes to simultaneously ramp up appropriations for the program and find a more stable source of funding for it going forward.

Leaders in Arlington and Alexandria have both committed to send more resources to local programs targeting housing affordability in the wake of Amazon’s big announcement, but those efforts will only be designed to target the communities surrounding the tech giant’s new office space. And with most prognosticators predicting that the 25,000 Amazon employees set to descend on the area will choose to live all over the Northern Virginia region, Lopez sees a clear need for a state-level solution.

“This is a statewide problem,” Lopez told ARLnow. “And I believe affordable housing is a quality of life issue in Virginia, and it’s something we should be funding in the same breath as transit, transportation, environmental protection and education.”

Gov. Ralph Northam, a Democrat, has already proposed sending $19 million to the housing fund over the next two years as part of his latest budget proposal. That change would make $20 million available for the current fiscal year, and another $10 million available the year after that.

But Lopez is envisioning an even larger amount heading to the fund, and he’s planning on proposing a one-time, $50-million influx to make a difference right away.

The amount might seem small compared to the state’s mammoth budget, but Lopez expects it could make a big difference — he points out that the fund has already helped kick start two projects along Columbia Pike in just the last few years alone.

Michelle Winters, the executive director of the Arlington-based Alliance for Housing Solutions, notes that the trust is “currently a small source of funding that is spread fairly thin across the state.” That means even Northam’s proposal, to say nothing of Lopez’s more ambitious ask, would be a “quantum leap” forward for the state, according to Michelle Krocker, the executive director of the Northern Virginia Affordable Housing Alliance.

“Federal housing dollars are really diminishing, so it’s increasingly up to state and local governments to fund this stuff,” Krocker said. “Arlington has been a leader on this…but the state of Virginia is being fairly negligent, to put it mildly, in providing resources through the trust fund.”

Accordingly, Winters expects even a modest increase would prove to be meaningful, in Arlington and elsewhere.

“Even though it is small, any source of funding to help fill the gap in an affordable housing project’s budget is very valuable and can help make some more projects feasible,” Winters wrote in an email.

Yet Lopez also sees a clear need to make affordable housing funding a bit more predictable going forward.

Currently, Lopez laments that he has to go “hat in hand” to appropriators on General Assembly committees, urging them each year to set aside money for the trust fund. He’d much rather see lawmakers set up a dedicated funding stream to ensure regular, stable contributions to the loan program each year.

Accordingly, Lopez is backing a bill to establish such a funding mechanism — in essence, the legislation would pull away an annual percentage of surplus revenue from state “recordation” taxes, or levies on home transactions.

He’s proposed such legislation in the past, and acknowledge that it could face an uphill battle this time around — lawmakers with power over the state’s purse strings may be loathe to give up any budgetary discretion, after all.

Even the one-time cash infusion could prove difficult for Lopez to achieve, considering that Republicans have already declared Northam’s budget proposals “dead on arrival,” as a fight over tax revenues brews in the General Assembly.

“We’re all very concerned that with Republicans being so opposed to the governor’s amendments… that we’ll really have to wait and see whether the governor’s housing trust fund plans survives these deliberations,” Krocker said.

It doesn’t help matters either that some key lawmakers (and even some Northam administration officials) shied away from including more affordable housing money in the state’s proposal to Amazon, arguing localities and developers are better suited to fund this kind of development.

But Lopez is “hopeful” that the grave concerns raised about the housing market in the wake of Amazon’s announcement could help change minds on the issue, and he’ll certainly have allies among Arlington’s legislative delegation.

“Housing will be an issue here for at least a decade or more,” said Del. Patrick Hope (D-47th District). “Amazon coming in won’t change all that dramatically, but it does increase the urgency for affordable housing and putting funding behind this.”

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Morning Notes

By ARLnow.com

Housing and the County Budget — A new Greater Greater Washington article explores ways to add new housing at a time when Arlington County is facing a serious budget gap. [GGW]

Trails Treacherous for Cyclists — Despite efforts to plow local trails, many stretches in Arlington were still icy or snow-covered yesterday. [Twitter]

Police Warn About Phone Scam — “The Arlington County Police Department is warning the public about a fundraising phone scam targeting County residents. Residents have contacted the police department after receiving unsolicited phone calls from individual(s) claiming to be with the Arlington County Police Department and requesting donations to benefit the disabled and underprivileged children.” [Arlington County]

Fraser Among Those Called By Scammers — Arlington resident and local media personality Sarah Fraser was among those to be called by the scammers posing as ACPD. [Twitter]

A Modest Proposal for Stop Signs — “Close observation of local driving practices confirms the view that stop signs have become irrelevant, since no one obeys them. The closest drivers come is to slow and then slide through the intersection. It would be a cost-saving measure if Arlington County were to remove all its stop signs and replace them with ‘Yield’ signs.” [InsideNova]

Va. 8th District Has Most Federal Workers — “The House member with the most federal workers in his or her district is Democratic Rep. Don Beyer, whose Virginia district includes 86,900 federal workers. (Among districts with no military bases, Democratic Rep. Gerry Connolly’s neighboring Virginia district has the highest number of federal workers.)” [Pew Research h/t Patricia Sullivan]

Stuck School Bus in Maywood — “#ArlingtonVA school bus stuck this am on N Fillmore St & 23rd St. N 3 days *AFTER* the snow! This hill on Fillmore is NEVER timely plowed or cleared. Do not put children at risk! Can @ArlingtonVA please clear this street.” [Twitter]

Google Maps Now Displays Arlington Sections of Jefferson Davis Highway as ‘Richmond Highway’

By Alex Koma
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Arlington officials remain stymied in their long push to rename the section of Jefferson Davis Highway running through the county — but you’d never know it by glancing at Google Maps.

The tech company’s virtual atlas now identifies Arlington’s section of Route 1 as “Richmond Highway,” dating back to at least Friday (Jan. 11). An ARLnow reader, who asked to remain anonymous, first noticed the switch.

That matches the new name Alexandria leaders picked for the road last year, stripping the Confederate president’s moniker from the highway. Arlington’s County Board is anxious to make a similar change, but a complex provision of state law currently bars it from doing so — Attorney General Mark Herring’s office issued an opinion clarifying that cities like Alexandria have the authority to change the names of state roads within their boundaries, but counties don’t.

Accordingly, signs around Crystal City and Pentagon City will still bear the “Jefferson Davis” name for the foreseeable future, but many people looking up the road online would never know it was there. Apple Maps users, however, will still see the Confederate president’s name on the highway, as of today (Tuesday).

The swap will surely come as good news for the Board, which recently urged state lawmakers to renew old efforts to pass a bill giving the county the power to change the name on its own. The impending arrival of Amazon in the neighborhood added some urgency to that push, given the company’s stated commitment to inclusivity and diversity and Davis’ connections to Virginia’s slaveholding past.

But Arlington legislators say they likely won’t raise the issue in this year’s new General Assembly session.

Sen. Adam Ebbin (D-30th District) initially signaled that he could be willing to back legislation on the matter this time around if the local business community, or perhaps some Republicans, came on board with the issue. But without that backing, he’d rather wait to see if Democrats can seize control of the legislature in this fall’s elections first.

“It might not be the best year to push forward on that,” Ebbin told ARLnow. “We’re looking into the best strategies for 2020, to see if we go ahead with allowing them to name contiguous roads the same as in adjacent localities. That’s probably the most palatable case we can make to others that have strongly held beliefs on this.”

On the House of Delegates side of things, Del. Rip Sullivan (D-48th District) added that he doesn’t plan to introduce any bill on the subject and that “I don’t know that any of my colleagues will either.”

So far, his prediction has proven to be correct — as of Tuesday, no legislation on the topic has been filed down in Richmond.

BREAKING: Firefighters Battle Blaze in Crystal City Apartment Building

By Alex Koma

(Updated at 10:45 a.m.) Firefighters have extinguished a blaze that started in a dryer at a Crystal City apartment complex this morning (Tuesday).

Crews were called to the 1600 block of S. Eads Street around 10:30 a.m. to respond to the fire.

Firefighters have since knocked the fire down, but are still working to determine the extent of the blaze, the fire department said.

The fire does not appear to have resulted in any injuries, but the department is still urging people to avoid the area while clean-up work continues.

Photo via Google Maps

PBS Agrees to Keep Headquarters in Crystal City, Plans to Relocate to New Building

By Alex Koma
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(Updated at 10:45 a.m.) PBS has signed a new deal to keep its headquarters in Arlington, though it will be relocating to a different building in Crystal City.

The media company announced today (Tuesday) that it will be moving from its current space at 2100 Crystal Drive to a 120,000-square-foot office at 1225 S. Clark Street. PBS agreed to a 15-year lease in the building, and plans to make the move sometime in “mid-2020,” per a press release.

The nonprofit has been based out of the 2100 Crystal Drive property since 2006. Its new headquarters is adjacent to both the Earth Treks climbing gym and the headquarters of the U.S. Marshals Service.

“We are thrilled that PBS will remain in Crystal City, especially during such a transformative and exciting time for this community,” PBS President and CEO Paula Kerger said in a statement, no doubt referring to Amazon’s impending arrival just a few blocks away. “Keeping our headquarters in Arlington is great for PBS and our employees, and we’re proud to call ‘National Landing’ our home.”

The move takes PBS from one property controlled by developer JBG Smith to another. The company is the dominant property owner throughout Crystal City, Pentagon City and the nearby Potomac Yard, controlling millions of square feet of space even after helping bring Amazon to some of its properties.

“This continued long-term commitment by PBS to stay within the submarket further validates our excellent location, as well as our many planned improvements for the neighborhood,” David Ritchey, JBG Smith executive vice president said in a statement. “The relocation and extension of the PBS lease is also indicative of our plan to retain and attract diverse industries to National Landing, including associations and non-profits.”

The March of Dimes nonprofit also recently announced plans to relocate to the area, moving to a building at 1550 Crystal Drive.

Attracting businesses to the area remains a major concern for the county, even with Amazon set to take up as much as 8 million square feet of office space in the area someday. The county is hoping many property owners, like JBG, will use the company’s arrival as the impetus to refresh some of their older buildings in the area, and further reverse Arlington’s spiking office vacancy rate.

PBS member station WETA is also one of the county’s more well-known office tenants in South Arlington, though one of the TV station’s facilities could also be on the move. County officials hope to someday acquire the station’s studio property in Nauck, in which programs like the PBS NewsHour is produced, then use the land for the redevelopment of Jennie Dean Park.

Photo 1 via Google Maps

Morning Notes

By ARLnow.com

Gymboree Expected to Close — “Children’s clothing retailer Gymboree Group Inc. is expected to seek bankruptcy protection this week, with plans to close all 900 of its stores, according to people familiar with the matter.” The company has a Gymboree location at the Fashion Centre at Pentagon City mall. [Wall Street Journal]

A First for the Local Real Estate Market — “The Arlington real estate market for 2018 was essentially flat compared to a year before – while, for the first time, the average sales price of single-family homes topped the $1 million mark.” [InsideNova]

Storm Response Now in ‘Phase 4’ — Arlington County’s snow removal effort is now in “Phase 4,” cleaning up problem areas with a focus on schools and county facilities. Overnight a refreeze produced black ice and made plowing more difficult and driving hazardous, the county said. Last night Arlington Public Schools decided to close schools today instead of open on a delay. [Twitter]

School Construction Project Update — Construction is running on time on both the future Alice West Fleet Elementary School and the future home of H-B Woodlawn in Rosslyn, but heavy rains have caused delays for the future Dorothy Hamm Middle School, formerly known as the Stratford School, on Vacation Lane. [InsideNova]

Lopez Refuses Campaign Cash from Amazon, As Company Prepares to Move into His District

By Alex Koma
Del. Alfonso Lopez

As Amazon moves into Arlington, it seems the company is ready to start spreading some of the wealth around to local lawmakers — but, so far, one has already turned down the tech giant’s cash.

Del. Alfonso Lopez (D-49th District) told ARLnow that Amazon sent him $1,000 in late October to back his re-election effort this year, just before announcing that it plans to set up a new headquarters in Pentagon City and Crystal City. In fact, Lopez’s South Arlington district covers some of the locations that the tech firm eventually plans to call home.

Yet Lopez says he quickly returned the contribution once Amazon formally selected Arlington, in order to avoid any implication that the company will influence his decision making in Richmond, no matter how small.

“While I would never allow a campaign contribution to affect my judgement as an elected official, trust in the government is essential,” Lopez wrote in a newsletter to constituents today (Monday) announcing his decision. “Constituents should have no doubts about the independence of my judgement, or think there are any motivations beyond doing what is right for the community. This is the right thing to do. Fostering trust in government is more important now than ever.”

Lawmakers are currently gearing up to vote on an incentive package that could someday send anywhere between $550 million and $750 million in state grant money to Amazon, so long as the company comes through on its promise to bring at least 25,000 jobs to the area. Legislators will also be charged with signing off on hundreds of millions more in transportation and education spending designed to lure the company to Arlington, likely to be included as part of a bill adjusting the state’s biennial budget.

Though the company has attracted plenty of criticism locally, the General Assembly is broadly expected to approve the incentives (negotiated primarily by Gov. Ralph Northam’s staff) by a wide margin. Yet Lopez’s move comes as Democratic politicians all over Virginia wrestle with the influence of corporations on the state’s politics.

A growing number of Democrats, Lopez included, have pledged to refuse money from state-regulated monopolies like Dominion Energy, long the biggest political donor in the state. Northam has also backed a ban on corporate donations of any kind in state elections, and Lopez has recently drawn a primary challenger pledging not to accept any cash from corporations.

In a separate bit of controversy, activists have targeted Lopez for scorn after he reported earning thousands of dollars from a company that runs an ICE detention center in Central Virginia.

In general, however, Amazon has yet to chip in much money for Virginia lawmakers, even though the company has long operated a variety of offices and data centers around the state.

But the tech firm did send Lopez $250 back in October 2017, and donated $5,000 to Northam’s inaugural committee last January. Amazon has also contributed $11,000 to the influential Northern Virginia Technology Council, and currently retains the services of nine lobbyists registered in Richmond, according to state records.

As for how much money the tech company has since donated to other state lawmakers, that won’t become clear until legislators submit final campaign finance reports covering the second half of 2018 tomorrow (Tuesday). All 140 lawmakers will be on the ballot this fall, and will soon begin reporting campaign contributions on a more regular basis.

File photo

State Lawmakers Kick Off Process to Hand Over Up to $750 Million in Incentives to Finalize Amazon Deal

By Alex Koma

State lawmakers are now setting the wheels in motion to approve at least $550 million in grant money to Amazon, a process that should help seal the deal to bring the tech giant to Arlington.

Legislators in both chambers of the General Assembly have now introduced bills to make good on the deal that Gov. Ralph Northam’s administration helped strike with Jeff Bezos’ firm, promising hundreds of millions in incentive cash if Amazon comes through on its promise to bring 25,000 jobs to Pentagon City and Crystal City between now and 2030.

Arlington is set to chip in some cash of its own to make the deal work (about $23 million in grant money over 15 years, drawn from a projected increase in revenue from the county’s tax on hotel stays) and new investments in transportation and education programs beef up the state’s offer to Amazon by hundreds of millions more.

But the new legislation lays out the clearest look yet at what Northam’s team promised the tech company — and makes it clear that Amazon could earn another $200 million if it adds another 12,850 jobs at the new headquarters over the years, bringing its haul to $750 million in total.

The identical bills are backed by primarily by state Sen. Frank Ruff (R-15th District) and Del. S. Chris Jones (R-76th District), the powerful head of the House of Delegates’ appropriations committee.

Each would establish a “Major Headquarters Workforce Grant Fund” to lay out the payments, attaching a $22,000 price tag to each new job Amazon brings to the area over the next 15 years. To qualify for the grant, the jobs will need to come with an average wage of $150,000 per year starting in 2019, increasing by 1.5 percent each year after that.

The legislation lays out a schedule for how the state pays out the grant money, with Amazon set to earn $200 million by 2024, then $300 million by 2025. The figure jumps by $50 million increments before topping out at $550 million in 2030.

Then, if the company can deliver on the additional 12,850 jobs beyond the original 25,000 it promised, it will collect another $50 million each year through 2034.

The bill also requires Amazon to provide evidence to state officials each year that it’s meeting the requirements to earn the grant payments.

The legislation generally seems like a sure bet to pass, considering that several influential state lawmakers have already had a chance to help shape the incentive package.

A panel known as the Major Employment and Investment Project Approval Commission signed off on the bulk of the details in tandem with Northam’s staff, and that group included some of the most senior members of both parties in the House and the Senate. As Sen. Adam Ebbin (D-30th District) told ARLnow, the incentive package “may not face much opposition, but it’s still meaningful.”

Nevertheless, some of Amazon’s fiercest opponents in Arlington are urging state lawmakers to reject the deal. A group of advocates dubbing themselves the “For Us Not Amazon” coalition, including organizers from Our Revolution Arlington, the Metro D.C. chapter of the Democratic Socialists of America and the Latino rights group La ColectiVA, is calling for legislators to vote down the incentive package in its entirety, and organized a demonstration at the county’s Amazon-focused listening session Saturday (Jan. 12) to underscore that point.

“There should be no incentives for Amazon, and city and state grants and funding should go to protect communities at risk,” the group wrote in a statement. “Public officials need to hear our communities’ concerns about Amazon’s current and future impact on residents.”

But a vote on the incentive bills will be only one piece of the puzzle in finalizing the Amazon agreement, lawmakers say. The state promised transportation improvements all around the company’s proposed campus, and a huge influx of cash into tech-focused higher education programs, and that money will likely be included in adjustments to the biennial state budget.

That means cash for everything from Metro improvements in Crystal City to money for an expansion of George Mason University’s Virginia Square campus will all be wrapped up in one massive budget bill.

Of course, Del. Patrick Hope (D-47th District) points out that any lawmakers hoping for a seperate vote on the Amazon-specific portions of the budget could move to “sever” those sections from the rest of the spending plan. Hope says he generally supports the deal, but he fully expects there to be some discussions over the course of the remainder of the General Assembly’s 46-day session about the issue.

“I believe it has the votes to pass, but there could be some debate on that on the floor,” Hope said. “I suspect we will see that, in fact.”

Arlington officials are set to sign off on their portion of the Amazon deal no sooner than the County Board’s Feb. 23 meeting.

The legislature is set to adjourn that same day, meaning that any Amazon bill will likely have cleared the General Assembly well in advance of that gathering — however, budget debates have been known to linger well past the proposed end of each year’s legislative session.

As Shutdown Drags On, County Offers More Assistance for Furloughed Workers

By Alex Koma

Now that this latest government shutdown has become the longest in the nation’s history, Arlington officials are taking some new steps to lend a hand to furloughed workers missing out on paychecks.

The county already announced plans last week to arrange payment plans for utility bills, should any of Arlington’s thousands of federal employees need help keeping afloat while the shutdown continues. Now, it also plans to offer tax relief and waive some fees as well, per a press release.

Anyone with concerns about meeting a tax deadline can call the county treasurer’s office at 703-228-4000 to work out a payment deal through the county’s “Taxpayer Assistance Program.”

Furloughed workers can also apply for the Department of Parks and Recreation’s “fee reduction policy” if they have trouble paying fees to use county facilities or programs. The county’s library system is also waiving overdue fees for some federal employees; people can call 703-228-5940 or visit a library and provide a federal ID to see if they qualify.

Arlington Economic Development hopes to offer resources for small businesses impacted by the slowdown in spending stemming from the shutdown. Any business owners “seeking assistance on how to restructure your business, financing or to discuss changes to your business strategy” can contact the agency’s “BizLaunch” office.

“I am hopeful that our efforts as a county will make a difference, but the longer this goes on, the more difficulty we’re going to be facing,” County Manager Mark Schwartz said in a statement. “Until this shutdown is over, I am asking every Arlington resident and business-owner to be on the lookout for opportunities to help those who might be in need.”

As local businesses suffer due to the shutdown, so too could county tax revenues. Economists estimate that the shutdown costs the entire region about $119 million a day, and the county says it previously saw a “decline in sales, meals and hotel tax revenues due to drops in government-related business travel to the area” during the last extended shutdown in 2013.

“An absence of federal workers in key business districts on weekdays also brought less spending at restaurants, dry cleaners and other local businesses,” county staff wrote. “The county maintains reserve funds specifically to address such unexpected events and shortfalls in revenue.”

The county doesn’t expect to lose much direct revenue from the federal government as a result of the shutdown, though it will “monitor the status of these programs for any potential disruptions,” but any drop in tax revenues could prove to be quite troublesome as officials turn to an already-challenging budget for the new fiscal year.

Arlington’s persistently high office vacancy rate has already squeezed county coffers, and the County Board could soon be grappling with a budget deficit as high as $78 million, even before any impact from the shutdown.

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Morning Notes

By ARLnow.com

Free Pet Food for Furloughed Feds — Kriser’s Natural Pet, which has stores in the Courthouse area and the Lee-Harrison Shopping Center, is giving a free bag of food for anyone affected by the shutdown who shows a government ID. [Tysons Reporter]

County Clears Trash from TR Island Lot — With National Park Service maintenance workers furloughed, Arlington County crews helped clear overflowing trash from the Theodore Roosevelt Island parking lot last week. [Twitter]

County Opens ‘Safe Haven’ for Families — “The Arlington County Juvenile and Domestic Relations District Court Services Unit is pleased to announce the grand opening of its Safe Havens Supervised Visitation and Exchange Center. Located at the Department of Human Services at 2100 Washington Blvd., the program will serve families who have been affected by domestic violence.” [Arlington County]

McAuliffe Vs. Stamos — Former Virginia Gov. Terry McAuliffe has endorsed defense attorney Parisa Tafti over incumbent Theo Stamos in the race for Arlington Commonwealth’s Attorney. All three are Democrats, but McAuliffe is still upset that Stamos “joined Republicans in arguing to the state Supreme Court that his mass rights restoration was unconstitutional.” The endorsement has earned a rebuke from Alexandria’s former Commonwealth’s Attorney, who called it “sad.” [Washington Post, Washington Post]

More Money Woes for Arlington Startup — “Danny Boice, the CEO and founder of private investigation company Trustify Inc., allegedly used company money to pay for personal expenses, including $600,000 for a documentary film about him and his wife, Jennifer Mellon, according to a new lawsuit filed by former Trustify employees seeking back pay and other damages.” [Washington Business Journal]

Forum to Discuss Dementia — “A community forum on Alzheimer’s disease and other dementias will be held on Wednesday, Jan. 23 from 6:45 to 8:45 p.m. at Shirlington Library.” [InsideNova]

Podcast: Del. Patrick Hope

By ARLnow.com

The state legislature is now in session and among those representing Arlington in Richmond is Del. Patrick Hope (D).

In an interview over the phone from his office at the state capital, Hope discussed his decision to refuse donations from Dominion, the state incentives offered to Amazon, his bill to limit solitary confinement in state prisons, why the effort to rename Jefferson Davis Highway in Arlington is stalled, and more.

At the end, Hope surprised us with a very candid answer to the question of whether he’s running for reelection this year.

Listen below or subscribe to the podcast on iTunes, Google Play, Stitcher or TuneIn.

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