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Report: Virginia gas shortage leaps to 52% in one day

Updated 10 p.m.

According to a website tracking gasoline prices and shortages based on crowdsourced data, 52% of Virginia’s gas stations had run out of gas as of 9 p.m. Wednesday, a gigantic leap since 5 p.m. Tuesday, when GasBuddy.com reported 8% outages in the state.

The chief culprit appears to be panic buying prompted by reports of potential gas shortages stemming from the Colonial Pipeline shutdown six days ago due to a cyberattack. Colonial officials released a statement shortly after 5 p.m. Wednesday that the pipeline is now up and running.

“Following this restart, it will take several days for the product delivery supply chain to return to normal,” the company said in a statement. “Some markets served by Colonial Pipeline may experience, or continue to experience, intermittent service interruptions during the start-up period. Colonial will move as much gasoline, diesel, and jet fuel as is safely possible and will continue to do so until markets return to normal.”

Patrick De Haan, an analyst at GasBuddy, said in an interview with CNBC earlier Wednesday that the shortage affecting several states in the Southeastern U.S. and Washington, D.C., is mainly due to panic buying, and not because of the pipeline shutdown.

Virginia has two other primary pipelines that are still active, so the shortages here appear to be the result of panic buying, according to the Virginia Department of Emergency Management.

“As you can imagine, we are in constant contact with our federal, state, local and private sector partners to identify resource needs,” VDEM spokesperson Lauren Opett said Wednesday, noting that she can’t comment on the authenticity of GasBuddy’s figures, which are reported by people using the site’s app. “We will work to address any issues that arise. For now, our message is for Virginians to avoid ‘panic buying’ fuel and to avoid any unnecessary travel.”

Gov. Ralph Northam and other states’ governors declared states of emergency Tuesday to make more gas available in the event of a longer shutdown of the Texas-based pipeline, which supplies about half of the Southeast’s gas and jet fuel.

The most-affected areas in Virginia appear to be Hampton Roads and Northern Virginia, according to news reports, with a shortage of tanker-truck drivers slowing down refills.

GasBuddy reported 16.57% outages in Virginia at 9:47 a.m. Wednesday, just below Georgia, which was then at 16.96%.

A ransomware attack on the pipeline led to the voluntary shutdown, and in the past 24 hours, gas stations in the Southeastern U.S. saw a run on fuel; as of 3 p.m. Wednesday, 65% of North Carolina stations were out of gas, and 43% of stations in Georgia and South Carolina, GasBuddy reported.

According to AAA Mid-Atlantic spokesperson Martha Meade, the Colonial Pipeline shutdown was responsible for some outages in Virginia, but panic buying “is only exacerbating the problem,” and Virginia’s gas price average increased by 8 cents overnight Tuesday, to $2.87 per gallon. Nationally the average price is $3 per gallon, AAA reported.

“AAA is reminding drivers that there is ample gasoline supply in the United States,” according to a statement. “It is just a matter of getting deliveries to stations to meet demand and that there is no need to panic buy or to stock up on gas in portable containers.” Carrying extra gas in a vehicle can be dangerous or even deadly, they warn.

According to Northam’s executive order released Tuesday, “While current gasoline reserves in the commonwealth are sufficient to address immediate supply concerns, a long-term disruption in the pipelines will require transportation of fuel and other oil-derivatives via interstate and state roadways,” and the state of emergency will allow the state to use an emergency fuel waiver to help alleviate potential fuel shortages.

The order implemented a state emergency operations plan and assistance from state emergency management teams to state, local and tribal governments. It also authorizes the heads of executive branch agencies to waive normal regulations and “enter into contracts without regard to normal procedures or formalities.”

The order also activates a state law against price gouging, and state authorities are warning against panic buying and any unnecessary travel.

Attorney Gen. Mark Herring’s office said Wednesday morning that if consumers believe they’re a victim of price gouging specific to motor fuel, they can call the state’s consumer protection hotline or contact the Virginia Department of Agriculture and Consumer Services.

U.S. Rep. Donald McEachin, D-4th, urged anyone who sees “exceptionally high-priced gas” to call the Virginia attorney general’s consumer protection hotline at (800) 552-9963. “I am aware of a suspected case of price gouging in my district and there may well be others. Price gouging is illegal.” McEachin also advised people not to “panic and fill their gas tanks if it’s not needed. This creates long lines at the pump and contributes to heightened feelings of panic and concern and could potentially artificially create shortages.”

Va. General Fund revenue up 41.9% in April compared to 2020

Virginia’s General Fund revenue for April 2021 increased by 41.9% compared with April 2020, the largest increase in this century, Gov. Ralph Northam announced Wednesday.

Total revenue collections rose 12.8% through April on a fiscal year-to-date basis, which was well ahead of the 2.7% growth forecast. 

“Virginia is posting the largest monthly revenue increase in the 21st century this month, in sharp contrast with many other states,” Northam said in a statement. “Make no mistake — this is the result of strong fiscal management and Virginians doing the right things to put this pandemic behind us. People are getting back to work, businesses are investing, and we expect this surge to continue in the months ahead as our economy returns to full strength.”

Payroll withholding tax collections increased 3.4% during April, while sales and use tax collections (reflecting March 2021 sales) rose 24.8%.

“As always, the fourth quarter collections will be highly dependent on individual estimated and final payments,” Secretary of Finance Aubrey Layne said in a statement. “Because of the extension of the filing date last year for all corporate and individual tax payment dates in April and May to June 1, the entire fourth quarter of fiscal year 2020-2021, April through June, will be needed to accurately assess revenue performance this year.”

Corporate income tax collections increased 158.4% during April compared to April 2020, a jump from $159.8 million to $387.3 million.

Northam, GA leaders pledge to invest $4.3B in federal funds in special session

Gov. Ralph Northam on Wednesday issued a statement with General Assembly leaders outlining their priorities for a $4.3 billion windfall from the most recent federal stimulus package passed in March.

Among their plans during a special legislative session this summer will be to allocate money from the $1.9 trillion American Rescue Plan to fully fund the Rebuild Virginia small business recovery program and invest in Virginia Tourism and the Virginia Housing and Community Development’s infrastructure program. Also, they intend to put more money into the state’s Unemployment Trust Fund, which ran out of money last October due to record-breaking unemployment claims and relied on loans from the U.S. Department of Labor.

The leaders further plan to fund more staffing and a computer system upgrade at the Virginia Employment Commission, which has been under heavy criticism for delays in processing unemployment checks and responding to claimants’ calls and complaints. Another priority is to fully deploy broadband across the state, completing in 18 months what was intended as a 10-year project. Other priorities are to improve school buildings and upgrade state and local public health services.

Northam — along with House Speaker Eileen Filler-Corn, Senate President pro-tem Louise Lucas and other Democratic statehouse leaders that signed on to the joint statement — notes that Virginia is in an unusual position, because state revenue has begun to rise again and unemployment is starting to decline. In March, the state recorded 5.1% unemployment, down from the national average of 6%.

“Few states can say this, but it is no accident. This is the result of careful stewardship,” the statement says. “This is a unique opportunity to invest in Virginia’s long-term future. We intend to be good stewards of these taxpayer dollars, in full compliance with fiduciary guidelines. We reject calls to refuse these federal dollars, and we support the law’s prohibition on cutting state taxes to substitute federal dollars.”

Virginia received $3.2 billion last spring from the CARES Act, the first federal stimulus package, and through the American Rescue Plan, local governments will receive a total of $2.7 billion directly from the federal government, in addition to $4.3 billion received by the state.

Northam declares state of emergency related to gas pipeline shutdown

Gov. Ralph Northam declared a state of emergency Tuesday, five days after the Colonial Pipeline was shut down due to a cyber-attack. The Texas pipeline is the primary source of gasoline for many retailers in Virginia and elsewhere on the East Coast, so its prolonged closure would interrupt distribution of gas to the state, the order says.

According to Northam’s executive order, “While current gasoline reserves in the commonwealth are sufficient to address immediate supply concerns, a long-term disruption in the pipelines will require transportation of fuel and other oil-derivatives via interstate and state roadways,” and the state of emergency will allow the state to use an emergency fuel waiver to help alleviate potential fuel shortages.

Environmental Protection Agency Administrator Michael Regan issued the waiver, in effect through May 18, earlier Tuesday for Virginia, Washington, D.C., Maryland and Pennsylvania.

According to the EPA, Regan determined that “extreme and unusual fuel supply circumstances exist and has granted a temporary waiver to help ensure that an adequate supply of gasoline is available in the affected areas until normal supply to the region can be restored.”

In Virginia, 8% of gas stations had run out of gas as of 5 p.m. Tuesday, although that’s likely due more to panic buying than an actual shortage, according to GasBuddy, which tracks gas prices nationwide. Governors of North Carolina and Georgia have also taken steps to alleviate a future shortage and rising fuel prices.

Northam’s order, which also activates a state law against price gouging, is in full effect until June 10 unless rescinded by a later order. The order implements a state emergency operations plan and assistance from state emergency management teams to state, local and tribal governments. It also authorizes the heads of executive branch agencies to waive normal regulations and “enter into contracts without regard to normal procedures or formalities.”

“This emergency declaration will help the commonwealth prepare for any potential supply shortages and ensure Virginia motorists have access to fuel as we respond to this evolving situation,” Northam said in a statement.

Attorney Gen. Mark Herring’s office said Wednesday morning that if consumers believe they’re a victim of price gouging specific to motor fuel, they can call the state’s consumer protection hotline or contact the Virginia Department of Agriculture and Consumer Services.

U.S. Rep. Donald McEachin, D-4th, urged anyone who sees “exceptionally high-priced gas” to call the Virginia attorney general’s consumer protection hotline at (800) 552-9963. “I am aware of a suspected case of price gouging in my district and there may well be others. Price gouging is illegal.” McEachin also advised people not to “panic and fill their gas tanks if it’s not needed. This creates long lines at the pump and contributes to heightened feelings of panic and concern and could potentially artificially create shortages.”

McEachin added that the pipeline is expected to be back up and functioning by the end of the week, although he hopes the federal government will “thoroughly investigate this hacking and to take whatever measures are necessary to ensure it doesn’t happen again.”

On Monday, the FBI said a group of criminal hackers called DarkSide are to blame for a ransomware attack that disrupted about half of gasoline and jet fuel supplies to the East Coast, according to The New York Times.

Youngkin wins GOP gubernatorial nomination

After a long day and night of counting ranked ballots, the Virginia Republicans emerged with a gubernatorial nominee Monday night: Fairfax County resident Glenn Youngkin, the former CEO of The Carlyle Group, who received 54.71% of the vote in Saturday’s nominating convention.

On Tuesday night, former Norfolk delegate Winsome Sears scored a surprise victory in the lieutenant governor field of six candidates. She overcame former delegate Tim Hugo with 54.39% of the vote, becoming the first Black woman to be nominated for the statewide post by a major party in Virginia. Hugo and Virginia Beach Del. Glenn Davis appeared to be the frontrunners based on fundraising earlier in the year.

Rounding out the Republican ticket is Del. Jason Miyares, R-Virginia Beach, who won the nomination Sunday for attorney general, edging out former Virginia Beach GOP chair Chuck Smith on Sunday. Smith, who lost by 4%, says he plans to make a formal request for a recount.

After six rounds of counting ballots Monday, the final two gubernatorial contenders were Youngkin and Pete Snyder, an entrepreneur from Charlottesville who started the Virginia 30 Day Fund to assist business owners hurt by the COVID-19 pandemic, neither of whom had held elected office. In third place was state Sen. Amanda Chase, who has made statements indicating she may pursue an independent candidacy, and in fourth place, former House Speaker Kirk Cox, whose political career appears to have come to an end after 30 years. He is not running for his seat in the House of Delegates in November.

Registered convention delegates cast ranked choice ballots at 39 polling places Saturday to determine a winner out of the field of seven candidates. The state GOP required the nominee to have at least 50% of the vote.

In a Facebook post Tuesday, Chase said she “will have more to say in the days ahead,” but was first taking a short beach vacation with her husband. On Saturday evening, shortly after the convention concluded, she tweeted, “If [the Republican Party of Virginia] steals this election for Pete [Snyder], I still have plenty of time to run as an independent. Clear corruption by RPV, I will not honor a pledge if the Party cannot run a fair process.”

It’s not clear what Chase will decide since Youngkin is the nominee, but if she does run an independent campaign, it is likely to benefit the Democratic nominee by splitting the conservative vote. Former Gov. Terry McAuliffe is ahead in recent polls and in fundraising, with early voting for the June 8 Democratic primary election having started in April.

In a statement late Monday, Youngkin said, “I am prepared to lead, excited to serve and profoundly humbled by the trust the people have placed in me. Virginians have made it clear that they are ready for a political outsider with proven business experience to bring real change in Richmond.

“We will have more to say tomorrow, but for now, let me convey my appreciation to and respect for the other candidates who courageously stepped forward to seek this nomination. Every Republican should be proud that our party inspired such a spirited, diverse and talented field of candidates. I have reached out to all of them and look forward to working together as one team to win in November.”

Snyder conceded to Youngkin on Monday while counting continued in the sixth and final round. “While we certainly would have preferred a win tonight, I want to congratulate Glenn Youngkin, his family and his team on a tremendous race and a deserved win,” Snyder said in a statement. “He and the entire Republican ticket will have my full support. Now is the time for our party to unite to help Glenn, Jason [Miyares, the attorney general nominee] and the rest of our ticket win in November.”

The other Republican candidates were Sergio de la Peña, a retired Army colonel and former Trump administration Pentagon official; Peter Doran, a former think tank head; and former Roanoke Sheriff Octavia Johnson.

In the general election, in which he needs to appeal to moderates and independent voters, Youngkin is likely to emphasize his business acumen as former leader of the Washington, D.C.-based private equity firm, and he has already spoken about creating jobs in Virginia. He also has an estimated worth of more than $200 million and contributed nearly $6 million to his campaign between Jan. 1 and March 31, according to records filed with the state.

During the convention race, focusing on party loyalists, Youngkin took stances viewed as friendly to supporters of former President Donald Trump. Youngkin said at a recent candidates’ forum that “voter integrity” was a major issue for his campaign — a nod to Trump’s false claims of a stolen election in 2020. Also, Youngkin was endorsed by U.S. Sen. Ted Cruz, one of the most prominent members of the U.S. Senate to attempt to overturn President Joe Biden’s election.

On Tuesday, Trump himself endorsed Youngkin. “Glenn is pro-Business, pro-Second Amendment, pro-Veterans, pro-America, he knows how to make Virginia’s economy rip-roaring, and he has my Complete and Total Endorsement!” Trump said in a statement, while calling McAuliffe a “bagman” for former President Bill Clinton. McAuliffe co-chaired Clinton’s 1996 campaign and also chaired Hillary Clinton’s 2008 presidential campaign.

McAuliffe, for his part, released a statement Tuesday blasting Youngkin as having “spent his campaign fawning all over Donald Trump, and now Trump has returned the favor by wholeheartedly endorsing him. Virginians have rejected Donald Trump’s hate, conspiracy theories and dangerous lies at every turn, and we’re going to do it again to his hand-picked, extreme right-wing candidate Glenn Youngkin this November.”

 

 

Altria names first woman as board chair

Kathryn B. McQuade will be the first woman to chair Altria Group Inc.’s Board of Directors, the Henrico County-based tobacco product manufacturing company announced Monday. She will be elected at the conclusion of Altria’s annual shareholders meeting May 20.

McQuade joined the board in 2012 and replaces Thomas F. Farrell II, who died in April one day after stepping down as Dominion Energy Inc.’s executive chair and top leader, and had planned to retire in May as Altria’s independent board chair.

McQuade served as executive vice president and chief financial officer of Canadian Pacific Railway Ltd. before retiring in 2012, and she held executive roles at Norfolk Southern Corp. for 27 years. On Altria’s board, McQuade serves as chair of the nominating, corporate governance and social responsibility committee and is a member of the audit, executive, compensation and talent development committees.

“I am thrilled with Kathryn’s selection to be Altria’s next independent board chair,” Altria CEO Billy Gifford said in a statement. “I believe that her significant expertise, including in finance, business strategy and working within regulated industries, will help advance our focus on ‘Moving Beyond Smoking.’”

 

Washington Football Team names chief creative, digital officer

The Washington Football Team, in the middle of a major rebranding effort, has hired the organization’s first chief creative and digital officer, it announced Tuesday. Will Misselbrook will oversee the team’s brand marketing strategy and develop content for fans and sponsors, and he will report directly to team President Jason Wright.

“Will is an exceptional leader who can seamlessly blend fan-centric content with relevant and resonate brand integrations,” Wright said in a statement. “Considerable work has been done to improve our fans’ experience online and to expand our partnership offerings. Will’s role will be pivotal throughout our brand transformation as he brings unrivaled creative marketing experience on behalf of iconic brands and a track record of using original storytelling to engage digital communities.”

Misselbrook previously was global head of creative for custom content, creative marketing and original programming for The Trust, The Wall Street Journal, Barron’s Group and Dow Jones Media Group, and he has held executive creative roles for Coach and Condé Nast Group, as well as working with several brands and advertising agencies. According to the Ashburn-based team, he will be the first C-suite member dedicated to digital or creative disciplines in the NFL.

“I’m very excited to join the industry-leading marketing, creative and digital groups at the Washington Football Team to help tell the team’s story in meaningful ways and to continue to strengthen our bond with fans,” Misselbrook said in a statement. “The team did a fantastic job of creating access at a time when it was needed more than ever to bring fans into the game day and football experiences online. We’ll look to extend that approach through more dynamic content and explore new, immersive opportunities to connect the team to the fanbase, partners, alumni and our entire community.”

The Washington Football Team, which retired the Redskins name and logo last year under pressure by sponsors, tapped a New York City-based marketing agency, Code and Theory, in February to help select a permanent team name and rebrand its look. The firm previously partnered with the team to come up with its interim “Football Team” branding and “No Name But Team” campaign.

In March, owner Daniel Snyder purchased 40.5% of its shares from his minority co-owners, giving him full control of the franchise. Meanwhile, the NFL has continued its investigation into sexual harassment and misconduct in the organization, which was reported last year by The Washington Post.

Virginia awaiting CDC approval before vaccinating kids ages 12-15

Although the U.S. Food and Drug Administration on Monday expanded its emergency use authorization of the Pfizer Inc. COVID-19 vaccine to include children ages 12 and older, Virginia will wait for action from the Centers for Disease Control and Prevention before administering shots to adolescents, state vaccination coordinator Dr. Danny Avula said Monday night.

The CDC’s Advisory Committee on Immunization Practices (ACIP) is expected to meet Wednesday and make a recommendation to the CDC on expanding use of the vaccine, which is currently limited to people age 16 and older. ”

“While this is an exciting first step toward offering this vaccine and its protection to more than 400,000 Virginians, we must await additional federal approval before doing so,” Avula said in a statement. “Virginia would not begin offering the vaccine to those 12 and older until the CDC approves doing so.”

Avula said that the state has already begun working with school systems, local health districts, pediatricians and pharmacies to plan for the expansion, which has been in the works for several weeks, following successful testing of adolescents.

As of Monday, 4,019,296 people in Virginia, or 47.1% of the population, have received at least one vaccine dose, and 3,000,047, 35.1% of the state, are fully vaccinated, according to the Virginia Department of Health. The state has recorded 666,986 COVID cases and 10,902 since March 2020, and the current seven-day positivity rate is 4.3%. In recent weeks, spread of the virus has declined, and Gov. Ralph Northam has announced some lifting of restrictions in May and June if conditions remain favorable.

Guidehouse taps Fairfax for global HQ, creating 900 jobs

Guidehouse, a management consulting company with clients around the world, will establish its global headquarters in Fairfax County, producing more than 900 jobs, Gov. Ralph Northam announced Monday.

The company will invest $12.7 million in a campus at 1676 International Drive in McLean, where 1,550 people will work at full capacity. Virginia competed with Maryland and Washington, D.C., for the project.

“Virginia continues to attract industry-leading global companies like Guidehouse,” Northam said in a statement. “Our combination of world-class talent, stable business climate and competitive operating costs has resulted in a diversified ecosystem of more than 800 corporate headquarters. Guidehouse is in great company, and we are proud to welcome them to Fairfax County.”
Owned by Veritas Capital, Guidehouse employs more than 9,000 people in more than 50 locations around the world and works in public and commercial markets, providing advisory, consulting, outsourcing and digital services in management, technology and risk consulting.
“Guidehouse is proud to announce our new corporate headquarters in Tysons Corner, Fairfax County’s largest business district,” CEO Scott McIntyre said in a statement. “This move will allow us to best accommodate growth, serve our people and clients, and attract talent. Virginia offers a highly skilled workforce and business-friendly climate, making it an ideal location for Guidehouse’s future.”
The Virginia Economic Development Partnership worked with the county’s economic development authority to secure the project, and the state will support job creation through the Virginia Jobs Investment Program. The company also is eligible to receive benefits from the major business facility job tax credit for new, full-time jobs.

Danville’s White Mill to be redeveloped into mixed-use project

Danville’s Industrial Development Authority and The Alexander Co. are teaming up to redevelop the city’s White Mill on the Dan River as a mixed-use commercial and residential project, with $62.5 million invested in the first phase, city officials announced Monday.

Local officials have long been seeking developers for the site. Interest in the building, which once housed part of the defunct Dan River Mill’s manufacturing business, grew with the city’s approval of the Caesars Virginia casino project last year.

According to city officials, the White Mill redevelopment will feature 110,000 square feet of commercial space and 150 apartments in the first phase, set to be completed in the summer of 2023, the same timeline as the casino. Another 100 apartment units are planned for the future, as well as restoration of the covered bridge that spans the river from the White Mill to the former Long Mill site, a whitewater feature on the canal on the south side of the mill, and an extension of the Riverwalk Trail along the river.

“This is a transformational project for our city, and it is only fitting that we make this announcement nearly 100 years after construction was completed on this building, which served as Dan River Mill No. 8, but we know better simply as the White Mill,” Danville Mayor Alonzo Jones said in a statement. “With this partnership in place, we celebrate new life for this historic building that will serve us for the next 100 years.”

The 150 apartments will be different styles, with one to three bedrooms and some lofts. The first floor will be reserved for commercial space. The building will also feature 219 below-ground parking spaces for tenants.

Danville’s parks and recreation department will oversee the surrounding four-acre Riverfront Park, which is in the fundraising and engineering phase.

Rendering of White Mill redevelopment. Courtesy The Alexander Co.

There will be an “urban splash pad” with a small performance area, playground and access to the river. The IDA will use grants to refurbish the bridge, removing asbestos and metal panels, so it can be used as a pedestrian bridge. The whitewater channel will allow people to go tubing, paddling and other water activities, including river rescue training.

“We’re excited to have found a path to activate the White Mill as part of a redevelopment plan that embraces its prominent setting along the Dan River, and are eager to continue our partnership with the city of Danville and its development authority to realize that goal,” Joe Alexander, president of The Alexander Co., said in a statement.

The Alexander Co., which is based in Wisconsin, first expressed interest in purchasing the mill in 2019, agreeing to an option with the IDA to purchase the property for $3 million. The city bought the mill in 2017 from a subsidiary of Gibbs International. Alexander requested a 90-day extension on the option in March, which was granted by the IDA.

Last year, before the city’s negotiations with Caesars were announced, Alexander and Peninsula Pacific Entertainment, the parent company of Colonial Downs and Rosie’s Gaming Emporium, proposed a casino at the White Mill site.