Gov. Ralph Northam signed 16 bills from the General Assembly’s fall special session into law on Wednesday, many of which were related to the COVID-19 pandemic and criminal justice reforms. Northam also proposed changes to five bills.
“I am proud to sign new laws that strengthen our COVID-19 response efforts and make our criminal system more equitable,” said Northam in a statement. “I am grateful to legislators for their hard work this session, and look forward to signing more critically important legislation in the coming days.”
Police reform measures that Northam signed into law include House Bill 5098 (Del. Alex Q. Askew, D-Virginia Beach), which increases the penalty for falsely summoning or giving false reports to law enforcement officers due to an individual’s race, religious conviction, gender, disability, gender identity, sexual orientation, color or national origin. Another measure allows the state attorney general to open investigations related to a suspected “pattern or practice” of misconduct among law enforcement officers.
Here’s a look at some of the other bills Northam signed, as well as some of the governor’s proposed legislative changes:
Penalty for violating an executive order:House Bill 5093 (Del. Vivian Watts, D-Fairfax) and Senate Bill 5117 (state Sen. R. Creigh Deeds, D-Charlottesville) allows the state judicial system the option of imposing a $500 civil penalty for violations of a governor’s executive order, such as not following the governor’s pandemic directives like wearing a mask in public places. Currently, the only penalty for such a violation is a Class 1 misdemeanor, which is punishable by up to a year in jail and a $2,500 fine in the state.
Price gouging:House Bill 5047 (Del. Kathleen Murphy, D-Fairfax) strengthens Virginia’s anti-price gouging laws during declared states of emergency. Previously, the law prohibiting price gouging only applied to manufacturers or distributors who are advertising goods or services to consumers. This expands the scope to apply to any manufacturer or distributor who is selling necessary goods at unconscionable prices during a declared state of emergency. The new legislation builds in an exemption for sellers of agricultural goods or services who do not advertise goods or services.
Personal protective equipment:Senate Bill 5039 (state Sen. David Marsden, D-Fairfax) establishes a formal program for the purchase and distribution of personal protective equipment (PPE) during a public health threat. During a state of emergency related to a communicable disease, the governor may purchase PPE for private, nongovernmental entities and distribute the PPE to such entities.
Employment sunset provisions:House Bill 5087 (Del. Kathy Tran, D-Fairfax) repeals two sunset provisions enacted during the General Assembly’s 2020 regular session that, among other things, established a short-time compensation program that provides employers with the option of reducing the hours worked by employees while permitting the employees whose hours are reduced to receive partial compensation for lost wages. The bill also extends the date by which the Virginia Employment Commission is required to establish and implement such short-time compensation program from January 1, 2021, to January 1, 2022.
Proposed changes:
Telemedicine services:House Bill 5046 (Del. Dawn Adams, D-Richmond) and Senate Bill 5080 (state Sen. George Barker, D-Alexandria) expand Medicaid coverage of telemedicine care. Northam added an emergency clause to make this legislation effective immediately upon passage.
Eviction protection:House Bill 5115 (Del. Marcia “Cia” Price, D-Newport News) expands eviction protections for Virginians who experienced a loss of wages due to the COVID-19 pandemic. Northam added an emergency clause to make this legislation effective immediately upon passage.
Virginia Gov. Ralph Northam and first lady of Virginia Pamela Northam announced $65.8 million in new funding on Wednesday to increase access to child care and support child care providers amid the ongoing COVID-19 pandemic.
This new investment is supported by $58.3 million in Coronavirus Relief Fund dollars as well as a reallocation of $7.5 million in Child Care and Development Block Grant (CCDBG) funding through the federal Coronavirus Aid, Recovery, and Economic Security (CARES) Act.
“Our ongoing COVID-19 response and recovery depends upon having a child care system that is both accessible and operational,” said Gov. Northam in a statement. “Early childhood educators have been on the frontlines since COVID-19 pandemic started, going above and beyond to keep their doors open, ensure children are safe, and even fill in the gaps with remote learning as schools have reopened. This new funding will help them continue to support working families and enable more programs to safely provide in-person child care.”
The incentive grant program for child care providers was announced in April; this funding will facilitate the program through the end of 2020. The program provides flexible cash assistance to child care providers to help offset operating costs and expenses associated with meeting health and safety guidelines. The Virginia Department of Social Services, in partnership with the Virginia Department of Education, has distributed more than $46 million in direct assistance to child care programs to date.
“Virginia’s early educators are truly superheroes, and thousands of our families rely on them every day,” said Pamela Northam. “After listening to providers across the commonwealth, it was clear that continuing this incentive grant program had to be our top priority. I am thrilled we were able to get it done, and I look forward to continuing to support early childhood education during this difficult time.”
At the onset of the pandemic, more than 2,600 child care programs closed their doors, but many have either reopened or are in the process of reopening because of more than $70 million in grants and other relief.
“Child care plays an essential role in providing high-quality, safe learning environments for Virginia’s children while ensuring their parents and caregivers are able to work,” said Secretary of Health and Human Resources Dr. Daniel Carey. “Serving working families remains a top priority and we will continue to do all we can to support them.”
Distribution of these funds will be announced by the Virginia Department of Social Services in coming weeks. A comprehensive guide to COVID-19 child care resources in Virginia is available here. Additional health and safety guidance for child care centers that remain open can be found here.
Parents who are in need of child care services should visit Child Care Aware at VAchildcare.org or call 1-866-KIDS-TLC for an up-to-date list of child care options in their area.
Silkscreened apparel company Silk City Printing LLC will invest $5.7 million to establish a new production operation in Fluvanna County, creating 93 new jobs, Gov. Ralph Northam announced Tuesday.
Silk City will relocate its corporate headquarters from Paterson, New Jersey, to a former Thomasville facility in Fluvanna that has been vacant since 2007. Silk City was established in 2017 and produces branded, silkscreened apparel for retail outlets including Target and Walmart. The company has an additional facility in New Jersey.
“We are honored that Silk City Printing has chosen Fluvanna County and Virginia as its new home,” said Northam in a statement. “This important project will create 93 valuable jobs for a rural community while also transforming a long-vacant facility into a state-of-the-art production operation. Stimulating growth across diverse business sectors will help advance our economic recovery, and we thank Silk City Printing for this investment in the commonwealth and our people.”
The Virginia Economic Development Partnership (VEDP) worked with Fluvanna County and the Central Virginia Partnership for Economic Development to secure the project for Virginia. Governor Northam approved a $70,000 grant from the Commonwealth’s Development Opportunity Fund to assist Fluvanna County with the project. Funding and services to support Silk City Printing employee training activities will be provided through VEDP’s Virginia Jobs Investment Program.
“This project is an exciting win for Fluvanna County, the region and the commonwealth,” said Secretary of Commerce and Trade Brian Ball. “The company will revitalize a plant that has been empty for 13 years while also providing critical opportunities for alternate career paths to Fluvanna County’s high school population. We look forward to building a strong partnership with Silk City Printing as the company ramps up in Virginia.”
“We’re excited to be moving our headquarters to Virginia,” said Mark Summers, president of Silk City Printing. “Our intention as a company is to build a world-class facility in Fork Union with the most modern and technologically advanced machinery available within the industry. Silk City Printing fully plans to recruit locally with training programs supported by Fluvanna County. Virginia and the county have made us feel extremely welcome and made this relocation an easy decision.”
Growing up on a tobacco farm outside of Raleigh, North Carolina, Tony Johnson learned the meaning of hard work early on. At a time when his local school system had a later start to the academic year to allow for the picking season, Johnson would get up at 4 a.m. to work the fields.
“It was how we made a living, and it was hard work,” says the 70-year-old. “It made me want to get a college education, I’ll tell you that.”
It also led to Johnson climbing the career ladder at Kings Dominion. The amusement park’s vice president and general manager will be retiring on Jan. 3, 2021, nearly half a century after he began his national career in amusement parks working summers at the longtime tourist attraction in Hanover County.
Johnson became Kings Dominion’s seventh vice president and general manager in February 2018, working for Ohio-based Cedar Fair Entertainment Co., which acquired the park in 2006.
Under his tenure, the park launched its first hybrid roller coaster, Twisted Timbers, its holiday immersive entertainment experience WinterFest, and family festivals such as Grand Carnivale.
Johnson started his career at Kings Dominion in 1974 atop the guard tower at Lion Country Safari, a drive-thru preview attraction that launched a year prior to the park’s official opening in 1975. It was up to Johnson and another tower guard to pull ropes that operated the gates keeping the lions from dining on their fellow attractions.
“Our job was to be sure that the cars cleared before the lions got to the ‘hoofstock,’” he says, referring to the safari’s antelope and wildebeests.
Johnson took the job to supplement his income during the summers in between his full-time job as a teacher, coach and athletic director for Hanover County Public Schools. In 1975, he transferred over to Kings Dominion’s security department and special police department, which included conservators of the peace who had been deputized by the sheriff to make arrests.
In his 10th year as a teacher, Johnson decided his heart was no longer in education, and took a full-time job with the amusement park’s loss prevention unit in 1984; he was promoted to vice president of operations in 1992. After Paramount Parks acquired Kings Dominion in 1993, Johnson joined Cedar Fair, working at amusement parks such as California’s Great America in Santa Clara, California, and Carowinds in Charlotte, North Carolina. Johnson was named Cedar Fair’s corporate vice president of operations in 2012.
“It is a great business, and I tell people I’m certainly going to miss the business, but I’m not going to miss [working] the weekends and nights,” says Johnson of retiring. “There’s never a dull moment.”
Johnson will be succeeded by Bridgette Bywater, Cedar Fair’s corporate director of operations. Bywater got her start with the company as a seasonal associate for Cedar Fair in 1992 at the Worlds of Fun amusement park in Kansas City, Missouri. Since then, she has held numerous roles in many departments with the company, and currently oversees and coordinates efforts that include strategic planning, new attraction planning and development, best practices and standardization.
Johnson speaks highly of Bywater, who also succeeded him in his previous role as Cedar Fair’s corporate director of operations.
“She brings the passion and the knowledge, and we’ve got good bones,” he says.
The management change comes after a tough year for Kings Dominion, which didn’t open to the public this year for the first time in the amusement park’s 45-year history. In early August, the park announced it would remain closed this year due to pandemic-driven state health orders that limited its capacity to 1,000 guests, as well as the “diminishing number of calendar days left in the 2020 operating season.” Kings Dominion had expected to debut an expanded, refreshed Soak City water park, with a multilevel play structure and children’s wave pool, during its 2020 season.
In August, Linwood Thomas IV, director of economic development for Hanover County, told Virginia Business that the economic impact of keeping the Doswell-based amusement park closed was “huge,” as it has traditionally been one of the county’s top five taxpayers. Visitors to the park spent $258 million in the county on tourism in 2018, generating more than $5 million in tax revenue.
“We’d rather be open,” Johnson says. “When we open up next year, whenever that is, we’ll be ready to go.”
Together, Kings Dominion and Soak City offer more than 60 rides, shows and attractions, including 12 roller coasters.
Cedar Fair is a publicly traded partnership that owns and operates 11 amusement parks, four outdoor water parks, an indoor water park and resort accommodations totaling more than 2,300 rooms and more than 600 luxury RV sites.
Before the academic semester begins, new cadets at Virginia Military Institute must endure Hell Week, a punishing 10-day rite of passage that introduces students to the military discipline, drill and physical fitness expectations required of them. For one Black freshman in 2018, it meant a white sophomore telling him he’d “lynch” his body and use his “dead corpse as a punching bag.”
The incident is one of many documented in an Oct. 17 Washington Post exposé alleging an atmosphere of “relentless racism at the nation’s oldest state-supported military college” in Lexington. In a Oct. 19 letter addressed to John W. Boland, president of the school’s board of visitors, Gov. Ralph Northam and top state legislators announced that they were “directing an independent, third-party review of VMI culture, policies, practices and equity in disciplinary procedures.” A “nonpartisan, national organization” will conduct the review and report findings before the end of 2020, to allow for “any necessary legislative action” by the General Assembly during its 2021 session, which begins in January.
Other incidents recounted in The Washington Post story include a white professor fondly reminiscing about her father’s membership in the Ku Klux Klan, a Black sophomore being denounced on an anonymous chat app for objecting to having Confederate Gen. Thomas “Stonewall” Jackson on their class ring, and the appearance of the school’s commandant of cadets in a 2017 Halloween photo of cadets dressed as President Donald Trump’s border wall with the words “No Cholos” – a slur against Mexicans.
Until recent years, freshmen were required to salute the Jackson statue on campus. In the case of the cadet threatened with lynching, The Washington Post reports that the white sophomore was suspended, but not expelled.
“This culture is unacceptable for any Virginia institution in the 21st century, especially one funded by taxpayers. Virginians expect all universities — and particularly public universities established by the General Assembly — to be welcoming and inclusive, and to eschew outdated traditions that glamorize a history rooted in rebellion against the United States,” the letter states.
“Black cadets at VMI have long faced repeated instances of racism on campus, including horrifying new revelations of threats about lynching, vicious attacks on social media, and even a professor who spoke fondly of her family’s history in the Ku Klux Klan — to say nothing of inconsistent application of the Institute’s Honor Code,” reads the letter from Northam and the legislators, which was co-signed by Lt. Gov. Justin Fairfax, Attorney General Mark Herring. “In addition, VMI cadets continue to be educated in a physical environment that honors the Confederacy and celebrates an inaccurate and dangerous ‘Lost Cause’ version of Virginia’s history. It is long past time to consign these relics to the dustbin of history.”
The letter’s other cosigners included Speaker of the House Eileen Filler-Corn; Senate Majority Leader Richard Saslaw; House Majority Leader Charniele Herring; state Sen. and Senate President Louise Lucas; state Sen. Mamie Locke (head of the Senate Democratic Caucus); Del. Lamont Bagby (chair, Legislative Black Caucus); House Appropriations Committee Chair Del. Luke Torian; and Senate Finance and Appropriations Committee Chair Sen. Janet Howell.
Northam, a VMI graduate, has focused on racial equity issues since a photo surfaced from his 1984 Eastern Virginia Medical School yearbook page showing a person in blackface next to a person in a Klan robe. After initially admitting he was in the picture, Northam later recanted, but said he had once dressed as Michael Jackson and applied shoe polish to his face for a dance contest. Herring also admitted to wearing blackface to a party in his past; Fairfax has contended with allegations of sexual assault. In September, Fairfax announced that he was running for governor in 2021. Herring is running for reelection as attorney general. All three are Democrats.
In response to the Northam letter, John W. Boland, president of VMI’s board of visitors, issued a letter of his own, stating that he welcomed “an objective, independent review of VMI’s culture and the Institute’s handling of allegations of racism and/or discrimination.”
The letter goes on to say that administrators have already begun a review of nearly 30 operational elements and that the “way forward was thoroughly reviewed and discussed at the September 2020 Board of Visitors meeting and was endorsed as a path toward ensuring an Institute free from racism and discrimination.” It also states that “systemic racism doesn’t exist here and a fair and independent review will find that to be true.”
“The incidents detailed in the Washington Post article, several of which are many years old, had more to do with an individual’s lapse of judgment than they do with the culture of the Institute,” the Boland letter reads. “Each one, as is the case with any allegation of racism or discrimination, was investigated thoroughly and appropriate action was meted out in a timely fashion. These incidents were perpetrated by few individuals and were in no way condoned by the Institute.”
Founded in 1839, VMI has been called “The West Point of the South,” and is the oldest state-supported military college in the country. Stonewall Jackson joined VMI’s faculty in 1851 as a professor of natural and experimental philosophy, a precursor to natural science. During the Civil War, the Confederacy called on cadets to take part in military engagements, including the Battle of New Market, where 247 members of the VMI Corps of Cadets fought.
Famous VMI alumni include naval officer and explorer Rear Admiral Richard Evelyn Byrd Jr., General of the Army George Marshall Jr., and Lt. Gen. Lewis Burwell “Chesty” Puller, the most decorated Marine in American history.
VMI was the last U.S. military college to admit women after the U.S. Supreme Court ruled in a 7-1 decision in June 1996 that it was unconstitutional for a school supported by public funds to exclude women.
Reclining against the Williamsburg greenery, the 180-foot-tall steel serpent awaits anyone brave enough to test their mettle against it. Measuring 3,300 feet in length and boasting a top speed of 73 miles per hour, it shares the name of a Roman temple dedicated to the gods: Pantheon.
Advertised as America’s fastest multilaunch roller coaster, Busch Gardens Williamsburg’s newest attraction features zig-zag turns, camel-back hills, a “Top-Gun stall” and an outer-banked curve destined to give riders an exhilarating lift out of their seats.
Or, it would do all of that if Busch Gardens had opened as planned this summer. Scheduled for a 2020 completion date, construction on Pantheon halted while the theme park navigated plans for reopening in the midst of the coronavirus pandemic.
Although Virginia entered Phase Three of Gov. Ralph Northam’s “Forward Virginia” plan to reopen the state’s economy on July 1, its stipulations limiting amusement parks to no more than 50% occupancy or 1,000 total patrons were a nonstarter for Busch Gardens, which said operating under those restrictions wouldn’t be financially feasible. (Kings Dominion theme park in Doswell made similar statements and also was not expected to reopen in July.)
“We haven’t found a way quite yet, based on the current guidelines, that would allow us to reopen, but that dialogue continues,” says Kevin Lembke, park president of SeaWorld Parks & Entertainment’s Busch Gardens Williamsburg, which was originally scheduled to open for the season in mid-March. “We’re certainly anxious to get our business back open, welcome our employees back [and] welcome our guests back.”
Lembke isn’t alone in his desire to reopen. Even as several states experienced record coronavirus surges in July, many Virginia businesses were impatient to return to business as usual. And with Virginia’s cases deemed at an acceptable level, Northam was keeping the commonwealth moving toward reopening for commerce in July, following the economic crisis caused by the nationwide pandemic-driven shutdowns that began in mid-March.
But restarting a business isn’t as simple as flipping a switch, and amid the pandemic, business owners and their employees must adapt to new routines, keep up with guidance from various governmental entities and contend with potential legal liabilities.
And as businesses come back to life in Virginia, what will the new normal look like?
Past glory
Heading into the pandemic, America was on a roll. Riding the longest stretch of economic expansion in United States history, the stock market was soaring and the jobless rate was the lowest it had been in half a century.
Gary Cohen, executive vice president of operations for Maryland-based restaurant chain Glory Days Grill, which operates 15 locations in Virginia, can certainly attest to that. In the past five years, Glory Days has grown from 24 locations to 38 and experienced same-store year-over-year sales increases of 3% to 4%.
Then COVID-19 ground everything to a halt for the family-friendly sports bar franchise.
“It was devastating,” Cohen says. “I’ve been in the restaurant business for 40 years professionally, 14 of them with Glory Days, and I have never, ever, ever experienced anything like this.”
According to a May survey from the National Restaurant Association, 83% of Virginia restaurants that hadn’t permanently closed reported that they had laid off or furloughed employees since March.
Cohen says that Glory Days Grill had to reinvent its entire business model in response to the pandemic. Facing no easy choice, Cohen had to lay off 1,645 employees at its 21 company-owned locations and shift to a food-to-go model. With Phase Three underway, Glory Days no longer has limits on indoor patrons, as long as tables remain a socially distanced six feet apart. And although many Glory Days locations have erected tents in their parking lots to create extended patios, business still isn’t what it was.
“Every day that we’re open and we’re not doing 100% of last year’s sales, we’re losing money,” Cohen says. “Not only are we losing money, but we have to figure out how to pay the bills of the last [few] months that accumulated.”
In addition to beefing up its cleaning regimen and having employees wear masks, Cohen says Glory Days had to reduce its menu by 20% due to food supply shortages.
Eric Terry, president of the Virginia Restaurant, Lodging & Travel Association (VRLTA), says that Glory Days’ experience is typical of many restaurants in the state. Hotels have taken a hit as well. For the week of July 5-11 this year, Virginia hotels saw a 50% revenue decrease and a 38% occupancy decrease, compared with the same time last year.
The state has lost 36,667 hotel-related jobs and 86,821 jobs supporting the hotel industry because of the pandemic, according to the American Hotel & Lodging Association.
“The recovery on the hotel side is going to be very, very slow,” Terry says. “I don’t think we’ll return to normal travel patterns or hotel occupancy until almost a year from now.”
From fist bumps to toe-taps
Retailers that normally rely on foot traffic have had to adjust their business models to adapt to the new paradigm. Finch, a women’s clothing boutique in Charlottesville, launched an e-commerce site during the pandemic shutdown. A staple of The Corner since 2001, Finch caters to University of Virginia students, professors, locals and hospital workers.
Since it reopened in May, Finch has allowed only 10 customers at a time in its store, even though it’s allowed as many as 40 in Phase Three. Masks are mandatory for customers and employees, and sanitizer stations are available.
“We are allowing people to try things on,” says owner Jocelyn Churchman. However, “we’re not accepting any returns right now.”
If someone tries on an article of clothing and chooses not to buy it, Churchman says, Finch workers spray the item with sanitizing spray and keep it off the sales floor for 24 hours.
Amy Rutherford, owner of home furnishings and gift store Red Barn Mercantile and paper store Penny Post in Old Town Alexandria, says she’s also beefed up online offerings to help drive business.
“We used our marketing channels, our e-newsletter – which we’ve been cultivating for some time – [and] our social media to let people know that we’re still here,” Rutherford says.
Some of the added online offerings include virtual trunk shows and Zoom calls during which Rutherford interviews designers about the work that she features in her stores.
Because Rutherford’s stores are in Northern Virginia, they were initially delayed from entering Phase One, which allowed 50% occupancy based on a store’s lowest occupancy load. Rutherford waited even longer to welcome back customers, however.
“We felt it was more prudent to close our stores to do what we could to flatten the curve,” she says. “We’ve been a little cautious about reopening.”
In Phase Three, Rutherford is allowing only eight people inside Paper Post and 12 people inside Red Barn, including staff. Masks are required by state mandate, sanitizer stations have been posted and the stores no longer accept cash.
Gyms and fitness centers also are trying to get back on their feet. Maria Hayden, a coach and marketing manager at CrossFit Harrisonburg, says her gym was closed for two months in response to the pandemic. Early on, the gym loaned workout equipment to members and held online workout classes via Zoom.
As Virginia began to reopen, CrossFit Harrisonburg was able to hold socially distanced outdoor classes during Phase One. During Phase Two, they were allowed to have patrons inside the gym at 30% capacity.
Hayden says members were excited to return. “A lot of people do it for the community,” she says. “It’s not as motivating to work out by yourself, and it’s not as fun.”
Phase Three isn’t much different than Phase Two for CrossFit Harrisonburg, due to social distancing requirements and the size of the gym.
“There’s definitely a new normal,” says Hayden, who recalls that before the pandemic, trainers would end workouts by giving class members high-fives and fist bumps. Now, she says, “we’ve resorted to toe-taps, so we just kind of give foot-fives to each other.”
Pandemic perils
No matter how careful businesses are with reopening, however, there is always the threat that the virus will rear its ugly spike proteins.
Several restaurants have had to close temporarily off and on in recent months, due to employees testing positive for coronavirus.
And Bassett Furniture in Henry County, which resumed production in limited capacity in April, had to close its corporate offices for about a week in June after an employee tested positive for coronavirus.
Not even the state government is immune from this dilemma. The Virginia Employment Commission, which disburses out state unemployment benefits, was forced to shut down its headquarters in Henrico twice because of COVID-19 cases. Two positive cases were identified on June 18 and two more were identified on June 30.
Most of the office’s 350 employees were teleworking, but VEC still closed the office and enacted deep-cleaning protocols. All remaining staffers were sent home, and those who came in contact with infected people were required to self-quarantine at home.
With so much uncertainty around reopening, the Virginia Chamber of Commerce conducted a survey of more than 1,000 business leaders to better understand their concerns.
The survey, published online as the “Blueprint for Getting Virginians Back to Work,” found that 37% of Virginia businesses surveyed are having cash flow problems and one in five probably would be unable to reopen for business during the pandemic.
“That 20% number was higher than we expected,” says Barry DuVal, CEO of the Virginia Chamber of Commerce, who says the blueprint report — which also provides best practices guidance — has been viewed tens of thousands of times since its early June release.
Businesses responding to the survey said that restoring consumer and worker confidence was their No. 1 concern, followed by potential legal issues stemming from the pandemic.
“One of the biggest concerns that we’re hearing from businesses is liability concerns,” says DuVal, noting that hundreds of COVID-19-related lawsuits have been filed against employers across the country.
In mid-July, Virginia became the first state to adopt emergency workplace safety measures, including mandating mask wearing and social distancing, as well as requiring employees to be notified if a coworker tests positive for coronavirus. Businesses in violation could face fines up to $130,000.
Cate Huff, an employment lawyer with Roanoke-based Gentry Locke Attorneys, says that businesses “can proceed with reopening, but must do so with caution,” and with an understanding of state regulations and CDC guidelines for reopening.
“Legally, it’s going to be tough to prove that COVID-19 was contracted in any one location because it’s so prevalent,” says Huff. “Practically, however, I think businesses need to make sure that … they’re doing everything they can to provide the safest environment that they can.”
If an employee doesn’t want to return to work, Huff advises employers try to reach out to discuss it with the employee and accommodate them, if possible.
Overall, she says, employers need to stay abreast of local, state and federal news and any changes in regulations.
“It’s a dynamic situation,” Huff says. “Coronavirus … and the way that it impacts people and business is changing. Employers should remain vigilant.”
What about the children?
One hurdle workplaces must definitely navigate during the pandemic is child care. With many school systems around Virginia planning to hold either part-time in-person instruction or full-time digital classes in the fall, workplaces will need to be flexible in meeting employees’ needs, says Joseph W. Harder, an associate professor of leadership and organizational behavior at the University of Virginia’s Darden School of Business.
“If you want a truly great organization,” he says, “… think more about flexibility than money.” Whether an employee is faced with child or elder care needs, Harder says, businesses need to acknowledge “that this is a difficult time and people need support in some way.”
He also worries teleworking could have a negative impact on workplace culture and socialization. With less visibility, Harder ponders, will those who work digitally lose out on landing potential raises, promotions or choice assignments? And without the proverbial water cooler, they also may lose the socialization benefits of a physical workplace. “I think that’s a huge potential chasm between those who are there in person and those who are not,” he says.
Many companies, however, are finding teleworking has raised worker morale and increased productivity.
When the pandemic began, Chesterfield County-basedcustom computer manufacturer Velocity Micro shifted its administrative staff to teleworking, while its production team went to a staggered shift of working either 7 a.m. to 3 p.m. or 3 p.m. to 9 p.m. to promote social distancing, says Josh Covington, director of sales and marketing.
With the company’s second quarter sales up 20% over the previous quarter, the plan has worked so well that Velocity Micro has largely stuck to the model after Virginia entered Phase Three.
PB Mares LLP, an accounting firm with eight offices in Virginia, has also found success teleworking.
“We are able to work remotely much more effectively than we ever thought we could,” says PB Mares CEO Alan Witt.
The accounting firm has created its own system for returning to the office, based on the prevalence of coronavirus cases in each office location. Some of PB Mares’ offices are now entering their own second phase of reopening, meaning that clients are allowed in the office, and conference rooms and common areas can be used with limited capacity. Masks are required in the office, as are self-temperature checks. Cleaning procedures have been enhanced, and Plexiglas barriers have been added in reception areas and conference rooms.
Nevertheless, Witt says, after the pandemic ends, companies that don’t allow their employees the optionto telework are “going to [be at] a competitive disadvantage [versus] … other firms that figure out they’re able to do business by giving people a more flexible work schedule.”
Thrown for a loop
Considering its draw as a tourist magnet and that it employs a mix of 4,500 full- and part-time employees, Busch Gardens’ closure has a ripple effect on the economies of surrounding Williamsburg and James City County.
“We understand those impacts even beyond the park,” says Lembke, Busch Gardens’ president. “That’s why we’re working so hard to find a solution to get back into business.”
Lembke is eager to reopen, arguing that Busch Gardens has hundreds of acres — plenty of space for social distancing — and most of its attractions are outdoors, factors he thinks the state government should have taken more into account when considering attendance limitations.
“What’s key for our type of property is we have the space in order to provide those physical distance requirements for our guests. We feel confident in our ability to operate in a safe manner,” says Lembke, who attended the reopening of Busch Gardens Tampa in early June. When Busch Gardens Williamsburg reopens, he plans to implement many of the same safety features he saw at the park in Florida: visitor temperature checks, required face masks, social distancing, heightened cleaning and added signage.
Until then, though, the unfinished Pantheon must wait to thrill riders with the purported power of the Roman gods.
For those returning to the office after months of working remotely, the novel coronavirus has turned the workplace into a potential microbial minefield.
What danger lurks on the surface of the break room table? What invisible pathogens spread silently through the vents of the HVAC system? And what of the frequently used door handles and elevator buttons that may harbor unknown pestilence?
Employees returning to Arlington’s handsome 1812 N. Moore St. building in Rosslyn may be spared some of these fears. Monday Properties Services LLC, the real estate investment firm that owns and serves as landlord of the 35-floor structure, has partnered with managed security services provider Kastle Systems International LLC to implement KastleSafeSpaces, a buildingwide integrated plan that aims to ensure the health and safety of all who enter the trophy office tower that serves as the headquarters for Nestlé USA Inc.
The system helps workplaces screen for COVID-19, promote social distancing practices and enact contact tracing. For employees, the system allows them to seamlessly enter buildings and get to their desks without ever having to touch a button. Every day, employees must answer self-screening questions about potential symptoms on their smartphones in order to unlock a temporary mobile credential. This unlocked credential acts as a security badge, allowing employees access to buildings, doors and the ability to remotely operate the controls of the elevator they’re riding in.
Kastle Systems CEO Haniel Lynn says his firm created the KastleSafeSpaces technology after they couldn’t find a similar product on the market.
“As we were looking out at solutions, we just were not finding any,” says Lynn, whose company manages security for roughly 3,600 buildings across the country. Already, Lynn says, KastleSafeSpaces is more popular than any other product they’ve previously released in their 48 years of business. “The level of response, I’d say, is really overwhelming.”
As Virginia attempts to get back to work in the midst of a pandemic, commercial real estate companies are endeavoring to reopen their office buildings while making sure tenants and their employees feel safe to return.
Top of mind
For Virginia Beach-based Divaris Real Estate Inc., one of the largest full-service commercial real estate firms on the East Coast, that effort has included the introduction of hand sanitizing stations, signage promoting social distancing and mask-wearing, and installing touchless entry devices on some doors.
“A big thing is just keeping it in the forefront of everybody’s mind to be mindful,” says Kristina Townsend, regional portfolio director for 3.3 million square feet of office and retail space in Hampton Roads, Richmond, Maryland, North Carolina, South Carolina, Indiana and Tennessee. “In general, most of our tenants are following the guidance that has been put out.”
Townsend says many tenants are still working from home, but Divaris expects a gradual increase in occupancy during the next year.
“Some tenants are perfectly comfortable being in the building and haven’t left from Day One. Some are playing it a little more cautious,” Townsend says, adding that the pandemic seems to have reinforced Divaris’ connection with clients. “A lot of the landlord-tenant relationships have strengthened because we’re both working together and communicating.”
Katie Chalmers, a project manager with Cushman & Wakefield | Thalhimer, says that the company increased janitorial work, added hand sanitizer stations and distributed a “Recovery Readiness” document and a “Safe Six Checklist” for tenants to use as resources. Where possible, the company also upgraded HVAC units at its properties.
“Every building is going to be different, depending on what they have on their rooftops. Do they have an air handler, what’s its capacity, etc.?” says Chalmers, who handles project management in Central Virginia and the Charlottesville area. “Something that’s becoming more commonplace is adding UV lights to … coil sections of all main air handlers or rooftop units [to kill the coronavirus], but again, this may not be possible in all buildings.”
Jay Pruitt, executive vice president, property management, at Jones Lang LaSalle Inc. (JLL), says that her company added signage and sanitizing stations in their buildings and sneeze guards at concierge and security desks. One of the biggest challenges, Pruitt says, was wrangling enough sanitizing stations.
“They’re just not as available as we hoped they might be,” says Pruitt, whose company handles commercial real estate across the globe and is ranked 179th on the Fortune 500. In Virginia, JLL has properties in the Northern Virginia, Richmond and Hampton Roads markets.
‘A return to work’
Another challenge for commercial real estate companies is managing testy interactions among tenants during the pandemic.
“They’re kind of having these little battles with each other, because they feel so strongly in opposite directions of wearing a mask. So, one of the things that we have to do is encourage tenants to please comply. However, there is no means of enforcement,” says Pruitt, who manages assets in the D.C. metro area. “We can’t enforce [face coverings], the police [won’t] enforce [it], so that makes it a challenge as more and more tenants come back into the building and have varying opinions on wearing face coverings.”
Steve Sadler, CEO of Henrico County-based Allegiancy LLC, says his company has primarily focused on stepping up janitorial measures during the pandemic. Should someone test positive at one of Allegiancy’s more than 40 commercial properties, that property will undergo a massive cleaning campaign.
“We’re doing the usual [Centers for Disease Control and Prevention] guidelines,” says Sadler, whose company owns and manages properties in Virginia, North Carolina, South Carolina, Florida, Georgia, Texas and Oregon. “We have increased the level of disinfection, the cleaning of the bathrooms, posted all the signs.”
Because Allegiancy doesn’t own any retail space, Sadler says it hasn’t added physical barriers such as sneeze guards to its offices, but tenants are welcome to add their own. Though the financial impact of the pandemic is very real, Sadler says more than 92% of his tenants have paid their rents on time; the rest have negotiated lease extensions in exchange for a rent extension.
At the start of the pandemic, he says, the problems his company faced were of a more essential nature.
“For a while, we had a devil of a time keeping toilet paper in the restrooms, because people would steal it,” Sadler says. “We’d have to restock the toilet paper three or four times a day.”
That’s not to say everyone is returning to work right away. At Henrico-based insurance holding company Markel Corp., most of its offices will be gradually entering Markel’s own “Phase One” reopening through September, with attendance limited to less than half of a given workplace’s employees. The rest will continue to telework.
In late July, Markel welcomed back an initial round of employees who returned at their discretion. To prepare, Markel put up signage and sanitizer stations and made sure there were enough masks and gloves for all employees. Signs in stairwells state which direction employees are allowed to walk, and elevators are limited to two people at a time.
“We’re still closely managing density — the number of employees in the office at one time,” says Jennifer Blackwell, senior director of communications for Markel, adding that workforce rotations will also help manage the number of employees in the office at any one time. “We’re trying to make sure that we’re taking a very careful, thoughtful approach and allow a lot of flexibility, but [we] do want to start slowly having employees start to feel comfortable about coming back in.”
As for Monday Properties, its leaders say they wanted to take a proactive approach in implementing the KastleSafeSpaces technology at the building they developed from the ground up.
“As a trophy asset in our portfolio, we really felt like it was important to have the most cutting-edge technology available as we approached this re-occupancy,” says Jennifer Burns, vice president of property management and operations for Monday. “So far, we’ve received really positive feedback. We’ve been proactively communicating with tenants in this building and throughout our portfolio about how we can support their individual efforts [to reopen].”
Monday, which owns and operates commercial properties in Northern Virginia, California, North Dakota and South Carolina, has also published its own guide for tenants regarding the pandemic, increased its cleaning staff and added a Clorox Total 360 System (a wheeled cleaning device with a hose and spray wand) to each building in its portfolio.
The company is still looking into potential safety additions to its properties, including touch-free turnstiles for entering and exiting the building and thermal scanning in its lobbies to monitor body temperatures. Though it can’t implement the KastleSafeSpaces system at every property in its portfolio, Burns says, Monday is considering adapting parts of the program where possible.
“We’ve really taken an approach that we’re all in this together,” says Burns. “We wanted to continue to be a resource and support the efforts of our tenants as they approach a return to work.
Click to view a list of the largest commercial real estate firms in Virginia.
By the numbers, Fairfax County should be the envy of every locality.
As the headquarters for 11 Fortune 500 companies, the county is home to a large concentration of educated, high-income earners and boasts one of the biggest suburban office markets in the country, second only to Los Angeles.
Two years ago, data from the American Community Survey showed that the county’s McLean community was the third-wealthiest locality in the nation.
Last year, the Fairfax County Economic Development Authority worked with 131 businesses on expansions or relocations, which added 10,057 jobs to the county economy.
Tysons, a Capital Beltway community that has a 50-year plan to transform itself from the quintessential “edge city” — a term for a nexus of business, shopping and entertainment outside of a traditional downtown — into a full-fledged city of skyscrapers and high-density residential housing, has a number of new developments under construction or in the planning phase. One of these, The View, will include a residential building that will be the tallest in Virginia and the D.C. metro area — even taller than the Washington Monument.
There’s another set of statistics that reflects less favorably on Fairfax County, however. As of June 1, the county made up a quarter of Virginia’s COVID-19 cases and had more reported deaths from the novel coronavirus than any other locality in the state.
A helping hand
Though the county has the greatest number of COVID-19 cases and deaths in Virginia, it’s also the state’s most populous locality, so it fares better in a per capita comparison with other cities and counties. Still, Fairfax County is undoubtedly one of the places hardest hit by the pandemic in Virginia.
As such, it began entering Phase One of Gov. Ralph Northam’s “Forward Virginia” plan to ease public health restrictions on May 29, two weeks after most of the state.
By that time, more than 73,000 unemployment claims had been filed in the county and not even some of Fairfax County’s largest companies have been immune from the pandemic’s economic impacts.
On May 13, Tysons-based satellite operator Intelsat filed for Chapter 11 bankruptcy in the hopes of eliminating roughly half of its $15 billion debt load. DXC Technology, a B2B IT servicer based in Tysons, is eliminating 4,500 jobs in the hopes of countering $2 billion of “revenue runoff.” McLean-based Hilton Worldwide Holdings Inc. has laid off tens of thousands of employees, including more than 20% of its corporate workforce. McLean-based Gannett Co. Inc., America’s largest newspaper publisher, has instituted layoffs, furloughs and pay cuts; in late May, S&P Global Market Intelligence stated that Gannett’s “one-year market signal probability of default” was 38.2%.
In response to the pandemic, Fairfax County’s local government and business community have enacted initiatives to help those suffering from the economic crunch. One of the county’s first efforts was the establishment of the $2.5 million Fairfax County Small Business Microloan Program. Funded through the Fairfax County Department of Economic Initiatives and administered by the Community Business Partnership, a Springfield-based nonprofit promoting small business growth, the program has provided 125 microloans to businesses with fewer than 50 employees. More than 1,700 businesses and nonprofits applied to take part in the program.
“Given the interest and the response, we know that it’s something that businesses found would help them out to get them through this period,” says Rebecca Moudry, director of the Fairfax County Department of Economic Initiatives. “We’re looking to help businesses survive, to hang on, so as our economy begins to come back, those businesses — especially our small and local businesses — are around and can rebound.”
Additionally, the Fairfax County Board of Supervisors approved a $25 million small business relief fund program in mid-May to allocate grants for 2,000 to 2,500 businesses and nonprofits. On top of that, the town of Vienna has allocated $1 million to the Fairfax RISE — or Relief Initiative to Support Employers — program, increasing the total RISE grant award amount to $26 million. All funds are expected to be distributed by mid-July.
Jeff McKay, chairman of the Board of Supervisors, says the county is using money from the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act to support the fund, noting the popularity of the microloan program.
“We expect our grant program to be even more popular, and of course the board reserves the right to add additional funding to it in the future,” McKay says. “I know [the board and I are] committed to helping all of our small businesses through this trying time.”
Hard hits
Mark Scarano, executive director of the nonprofit Community Business Partnership, which promotes local and regional small business growth, says a lot of businesses are hurting right now.
“We’ve heard our definite share of sad stories,” says Scarano. “It’s serious out there. A lot dried up really quickly. We’ve had people calling up that we’ve been working with before that were doing great. They had great plans, and their profits, their revenues, were doing great and suddenly this happened and we don’t know how they’re going to survive.”
Scarano’s organization has seen a “huge surge” in new companies contacting them for help. “Just about every sector for small business, we saw an application for,” he says. “This has affected just about everybody.”
The Northern Virginia Economic Development Alliance, a regional economic development group, has created a 12-part webinar series to help businesses during the pandemic. The series is taking place over 18 weeks and has been segmented into three phases to address the pandemic: response, recovery and growth. In an effort to counter layoffs, the Fairfax County Economic Development Authority has also updated workinnorthernvirginia.com, a website it was developing as a talent attraction tool, to include job listings for companies doing “surge hiring” right now, such as Amazon.com Inc.
Victor Hoskins, president and CEO of the Fairfax County Economic Development Authority, says the service and retail industries have been hit particularly hard in the county.
“We’ve lost like 73,000 jobs in our high-hit sectors – hospitality, food and beverage, restaurants, breweries, retail of all sorts,” Hoskins says. “Those layoffs, particularly for hotels and these other larger employers, have really had a large impact on us.”
Though the county has eased restrictions on restaurants, fitness facilities, beauty salons and barbers, retail businesses and houses of worship, the pandemic’s impact is still being felt.
“The retail segment is really where we’re being hit the hardest,” says Alex Iams, executive vice president of the Fairfax County Economic Development Authority. “They’ll have to re-recruit all of their employees. That’s their No. 1 challenge going into the next phase of the crisis.”
On the rebound
Regarding the numerous new developments in the works for Fairfax County, Hoskins says construction projects currently underway are moving ahead, but those not yet started are slowing progress.
“We’ve kind of noticed a little bit of a pause on the big decisions since the COVID situation started,” says Hoskins. “I don’t think they’re going to stop, I think they’re going to take longer. … If they’re in the ground and they’re starting to build, then they’re finishing.”
Sol Glasner, president and CEO of Tysons Partnership, a nonprofit association of stakeholders promoting growth in Tysons, agrees.
“I do not see a long-term impact on the process of development,” Glasner says. “Projects may slow down a little bit and then accelerate later. I’ve not heard of anyone who has put a project on hold.”
Even if Tysons does see some slowdown from the pandemic, Glasner emphasizes that its strategy for growth is a 50-year project as laid out in Fairfax County’s 2010 Tysons Comprehensive Plan.
“Economic times will ebb and flow,” Glasner says. “There may be a pullback, but in the grand scheme of things, we will continue to move forward.”
Part of the county’s reopening efforts were thrown a curveball in late April when the Metro transit system announced that it would be closing six Orange Line stations and its entire Silver Line from May 23 until at least Labor Day. According to Glasner, Metro didn’t contact local community and business leaders about the announcement beforehand.
“For us in Tysons, that’s a very, very significant issue, and made doubly so because right now, over the summer, we can anticipate efforts to reopen, efforts to restart the economy,” he says, noting that many employees — particularly those in retail — rely on Metro to get to work. “If stores are looking to reopen, they can’t really even begin to do that without their employees.”
Nevertheless, there’s still good economic news to be found in the county, despite the pandemic. In late May, Microsoft Corp. announced that it would invest $64 million to establish a new software development and R&D regional hub at Fairfax County’s Reston Town Center, creating 1,500 jobs. The 40,000-square-foot facility is expected to be ready for employees next summer. Additionally, it was announced in May that Tysons-based Booz Allen Hamilton Holding Corp. had inked a $800 million deal with the Department of Defense for new artificial intelligence-enabled products.
Noting that he and many of his contemporaries weathered previous challenges, such as the Black Monday stock market crash of 1987 and the 9/11 attacks, Hoskins compares the durability of Fairfax County’s business community to that of annealed steel.
“We come back. We are resilient people. Our character is hard metal. You heat us up, we just get tougher,” he says. “It’s not going to be easy, but we’ll come back from this, just like we did before.”
Twenty years after it stopped offering public tours, beer giant Anheuser-Busch has reopened its Williamsburg brewery to visitors for a limited number of tours through Sept. 2.
For $25, visitors can join 60- to 90-minute tours where they can view the brewing process and drink free samples in the brewery’s beer garden.
The Williamsburg brewery, which opened in 1972, previously had a hospitality center that could be reached from Busch Gardens by monorail. Those tours stopped in 1998 when expansion at the brewery raised safety concerns. In bringing back the tours, the brewery hopes to engage area residents and weigh interest in future events.
Unlike its previous tours, Anheuser-Busch will allow guests on the brewery floor.
“Beer lovers nowadays really like to have an immersive experience,” says Jeff Scott, senior general manager of the Williamsburg brewery. “They want to be on the floor looking through our brew kettle, experience what it’s like to be in a lager cellar.”
Revival of the brewery tours comes at a time when beer sales — especially those of big brewers — have fallen. Overall, U.S. beer volume sales were down by 1.2 percent last year, according to data from the Brewers Association, a national trade association.
Part of this decline is a result of changing consumer tastes and the continuing popularity of craft beer, whose U.S. sales volume rose 5 percent last year. In response to this shift, Anheuser-Busch has purchased a number of smaller brewers, including Goose Island, Blue Point and Virginia-based Devils Backbone. The Williamsburg brewery now brews Devils Backbone’s flagship brand, Vienna Lager, along with roughly 40 other brands.
Anheuser-Busch’s purchase of smaller breweries is “a way for us to continue to give our beer lovers the variety that they’re looking for,” says Jennifer Logan, Williamsburg’s senior brewmaster. “Consumers, in general, are always seeking different experiences and variety.”
Through tours and events, the Williamsburg brewery aims to embrace the community that supports it. “There’s a whole new generation of beer lovers who aren’t aware of the fact that they have this brewery in their backyard,” Scott says.
Old Dominion University will receive grants totaling nearly $1.3 million from a new Virginia economic development initiative for two workforce programs.
The grants come from Virginia Growth and Opportunity (GO Virginia), which aims to boost private-sector growth and job creation in regions throughout the commonwealth.
In its first round of funding, the 24-member GO Virginia board approved grants for five projects, including two at ODU. The university will receive $647,540 for a digital shipbuilding workforce training program and $642,713 toward the Hampton Roads Cybersecurity Education, Workforce and Economic Development Alliance (HRCyber). ODU’s projects, which are expected to be up and running by March, aim to create about 2,000 jobs within five years.
The grants will “allow us to collaborate within the industry and create jobs that are geared towards the digital enterprise,” says Eric Weisel, executive director for ODU’s Virginia Modeling, Analysis and Simulation Center (VMASC), which is handling the projects.
The shipbuilding and workforce program will work with companies to create an industry board, promote workforce development and develop a curriculum for training a digital labor force of about 8,500 people. Other funds not tied to GO Virginia already have been earmarked to create a digital shipbuilding lab at VMASC’s facility in Suffolk.
HRCyber meanwhile is a pre-existing partnership aimed at educating Hampton Roads’ cybersecurity workforce. Last year, then-Gov. Terry McAuliffe identified 36,000 unfilled cyber jobs in the commonwealth. HRCyber is working to address that skills gap.
During the past few years, federal grants and in-kind matching funds have been used to expand an existing VMASC facility, the HRCyber Collaboration Laboratory. It promotes regional innovation in the fields of cybersecurity, data analytics, virtual technologies and autonomous vehicles.
The $642,713 GO Virginia grant will be used for workforce development and innovation programs administered through the lab. The project is expected to help create digital jobs through internships and incentives with startups and other businesses, while crafting a “Cyber Arena,” a virtual environment to test new technologies within the network.
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