“The transformation of older, vacant or blighted structures into productive, usable spaces is crucial to catalyzing economic growth to create thriving communities,” Gov. Glenn Youngkin said in a statement. “The Industrial Revitalization Fund continues to be an important resource for those redevelopment efforts, spurring regional partnerships, economic development and job growth across the commonwealth.”
According to the governor’s office, 22 projects were awarded funding, which is expected to create more than 600 jobs and leverage $72.8 million in public and private development. The IRF was created in 2012 and has funded 38 projects that renovated vacant, blighted buildings.
The projects include:
$5 million for the White Mill in Danville, with focus on redeveloping the 650,000-square-foot former textile mill into a residential and commercial space with 150 housing units
$4.5 million for The HIVE — Hub for Innovators, Veterans and Entrepreneurs in Winchester, renovating a former National Guard Armory into a veterans’ center, business incubator, job training center and community gathering area. Partner Shenandoah University anticipates 13 jobs within five years and 239 jobs created at businesses served by the HIVE.
$3 million for the John Randolph Hotel in South Boston, allocated to its Industrial Development Authority to redevelop the shuttered hotel into a modern boutique hotel with 30 rooms, creating an expected 42 jobs
$1 million for the rehab of the Harris Memorial Armory Center in Blackstone, a partnership between the town and Virginia State University to create a multi-purpose facility to offer workforce training programs, particularly skilled hospitality jobs
General Dynamics Corp.’s Groton, Connecticut-based Electric Boat Corp. has received a $5.1 billion contract modification for the Columbia-class ballistic-missile submarine program, the Pentagon announced Wednesday.
The contract includes missile long-lead material and missile tube manufacturing, advance procurement and construction, material procurement, production backup, and planned equipment replacement and spare parts for the Columbia-class subs as well as logistics and sustainment support for the U.S. and United Kingdom programs. The contract also includes submarine industrial base enhancements to support material procurement and further production of Columbia- and Virginia-class submarines. Work will be performed in Connecticut, Newport News and Rhode Island and is expected to be completed by June 2028.
“This award enhances Electric Boat’s efforts to maintain the Columbia-class production and delivery schedule,” Kevin Graney, president of Electric Boat, said in a statement. “Advance procurement of long lead time materials and component construction is critical to the program, and the strategic investments in the development and expansion of the submarine industrial base will help stabilize and grow the supply chain, which increases manufacturing capacity, reduces risk, and ultimately drives timely delivery of submarines to the Navy.”
The Columbia-class submarine will replace the aging Ohi0-class ballistic missile submarines. Electric Boat, a subsidiary of Reston-based Fortune 500 contractor, is currently building the future USS District of Columbia and USS Wisconsin. Electric Boat expects to deliver the lead Columbia-class submarine to the Navy in 2027. At 560 feet long, the submarines are the largest ever built in the U.S. and will have a fuel core that will power them for their entire lifecycle, eliminating a need for midlife refueling.
Arlington County-based Raytheon Technologies Co. was awarded two large contracts this week to help sustain a foreign surveillance radar program and for the continued production and delivery of its AIM-9X Sidewinder missile, the Pentagon announced this week.
Under a $412.6 million Air Force contract announced Wednesday, Raytheon will provide continued sustainment to the Taiwan Surveillance Radar Program. The contract includes logistics support, engineering services, technical updates, spare parts and other logistics and program support and work will be performed in Taiwan with an expected completion date of Dec. 31, 2027.
Under a $317.4 million contract modification announced Thursday, the Navy is exercising options with Raytheon Missile and Defense to produce and deliver AIM-9X Sidewinder missiles to the Army, Air Force and for foreign military sales. The order includes 290 AIM-9X Block II missiles and 181 AIM-9x Block II + missiles, training missiles, containers, advanced optical target detectors, containers and other associated supplies. Work is expected to be completed in August 2026.
Perspecta Enterprise Solutions LLC, a subsidiary of Herndon-based government contractor Peraton, has received a contract worth up to $342.7 million to operate, maintain and improve the Transportation Security Administration’s IT equipment, services and processes, the company announced Wednesday.
Chantilly-based Perspecta will support as many as 85,000 employees, contractors and support personnel at domestic and international locations under the five-year contract.
“As the TSA continues to advance their mission of protecting our nation’s vital transportation systems and those who use them, Peraton is proud to provide the technologies and talent needed to support their evolving IT mission requirements,” John Coleman, president of Peraton’s citizen security and public services sector, said in a statement. “This award is a testament of our ability to continue delivering high level IT support services and solutions to further enhance TSA’s mission success.”
Sentara is providing $11 million in loan financing support for the project’s second phase, which focuses on the former Ridley Place neighborhood. The project is part of the U.S. Department of Housing and Urban Development’s Choice Neighborhood Initiative, which uses public and private investments to revitalize neighborhoods by replacing distressed public housing.
“Sentara’s support of the Marshall-Ridley Choice Neighborhood Initiative is another step in our ongoing journey to improve community health and wellness, create economic opportunity, and address social determinants of health,” Aubrey Layne, Sentara’s executive vice president of governance and external affairs, said in a statement.
The design plans for this phase include a three-story, 41-unit apartment building on the corner of Jefferson Avenue and 16th Street that will feature retail space on the ground floor. The plans also include 14 two- and three-story buildings with 114 townhomes, a walking and biking trail and an early childhood development center.
The city of Newport News, Newport News Redevelopment and Housing Authority and developer Pennrose are leading the project’s development. Richmond-based Breeden Construction is the contractor, and construction is expected to be complete in late 2024.
“There is a direct correlation between high-quality housing and positive community health outcomes,” Karen Wilds, executive director of the Newport News Redevelopment and Housing Authority, said in a statement. “Sentara’s strategic commitment to the Choice Neighborhood Initiative ensures equitable health outcomes for all residents, regardless of their race and socioeconomic status.”
In 2019, the city of Newport News and the Newport News Redevelopment and Housing Authority received a $30 million grant from HUD’s Choice Neighborhoods Initiative, which the city used to develop its plan for the Marshall-Ridley area. The development partners held a ribbon cutting for the first phase of housing — a mixed-use development with apartments, townhomes and retail space — on Dec. 8.
Goals for the second phase include:
providing a variety of housing options;
integrating housing types so they are indistinguishable;
providing affordable housing equitably;
increasing homeownership rates; and
fostering community.
An $11 billion not-for-profit health system with 12 hospitals in Virginia and North Carolina, Sentara employs about 30,000 workers, including 1,375 physicians and advanced practice providers. In 2022, Sentara awarded more than $10 million in funding to nearly 170 community and faith-based organizations to address social determinants of health.
Of 154 long-term care providers who responded to the survey, 86% said their workforce situation worsened in 2022 compared with 2020, an increase of five percentage points from the 2021 survey.
Joe Hoff, president and CEO of Friendship, which has nursing homes, assisted living facilities, adult day care and independent living across two facilities in Roanoke and one in Salem, needs about 50 to 75 more employees to be fully staffed. Friendship currently has about 650 employees, with about 1,000 residents on average.
“There’s just a critical nursing shortage across the country, but I’d say within the past two years, it‘s been a bit harder to find staff,” Hoff said. Although some people who retired or left the workforce during the pandemic are coming back, they aren’t returning to the workforce as fast as they left, he added.
A persistent problem
Of the facilities surveyed, 93% reported vacancies for certified nursing assistants/direct caregivers, 87% have vacancies for licensed practical nurses and 70% have vacancies for registered nurses.
Tom Orsini, president and CEO of Lake Taylor Transitional Care Hospital in Norfolk, has roughly 400 employees, about 190 of whom are nurses or nursing assistants. The facility has 104 long-term acute care beds and 192 nursing home beds. Orsini needs about 20 more nurses or CNAs and has been using contract nurses in the meantime.
“It’s just the field of people competing for this resource has grown,” said Orsini. “If you’re a nurse, you don’t have to come out and do hands-on nursing. There’s a lot of other opportunities for nurses,” like working in home health, doctors’ offices or labs.
Eighty-two percent of respondents had a shortage of staff to fill all shifts in the 60 days before the survey, which VHCA-VCAL conducted from Sept. 7 to Sept. 30. In those 60 days, 96% of providers said they had asked staff to work overtime or take extra shifts, up from 92% in 2021.
Lake Taylor Transitional Care Hospital has asked staff to work on their scheduled days off, Orsini said, even if they can’t work a full shift that day.
Facilities also had vacancies for dietary staff and housekeeping staff, with 67% reporting the former and 55% reporting the latter. Friendship raised its minimum wage to $14 an hour to recruit and retain dietary and housekeeping staff, Hoff said.
Part of the difficulty filling nursing positions has been a lack of qualified applicants, survey results show. More than half (55%) of the respondents indicated they had few to no qualified applicants.
Filling open positions takes longer now, Orsini said.
“Before COVID, it could just be just a couple of weeks,” he said. “We’d simply put advertisements in the normal professional advertising websites, and we would get applicants. It would just seem that there were more applicants out there.”
But now, the process takes about three to four months. Part of the problem, he said, is that health care facilities are competing with service industries that they didn’t previously have to compete with, like fast food restaurants, which can raise their wages quickly and pass prices on to consumers.
“We can’t do that. We deal with third parties — Medicare, Medicaid and commercial insurance — where rates are already set. So we have to wait till we renegotiate contracts or the new rate year starts,” to raise pay, he said.
Counteracting workforce challenges
To address these labor shortages, facilities reported taking a number of steps. Almost all (97%) reported they are working to hire new staff. Ninety percent reported increasing pay, and 83% responded that they are offering bonuses for overtime or double shifts. About 55% reporting using contract staff from staffing agencies.
Friendship raised certified nursing assistants’ minimum starting wages from $15 an hour to $17 an hour this year, Hoff said.
Friendship employees confer at a nurse station. Photo courtesy Friendship
Friendship has also taken several steps to retain employees, Hoff said, including allowing flexible scheduling. The company also provided a “retention appreciation bonus,” giving each employee an extra $150 each paycheck for five pay periods, which cost the company around $350,000 total.
Both Hoff and Orsini reported using contract nurses from staffing agencies while searching for direct hires to fill their vacancies.
“Our goal is to have our own staff, but we’re having to backfill with contract nurses. The care is not as stable as we’d like,” Orsini said.
Both care companies are also working to develop workforce pipelines.
Lake Taylor serves as a clinical site for nursing programs from nearby schools like ECPI University, so students come to the center in rotations.
“Now that they’ve worked here, and if they like it and they feel comfortable, they’ll come back and apply to work here. They kind of test-drive us a little bit. We test-drive them,” Orsini said.
Usually, about eight to 10 students are in a class, and Lake Taylor will generally hire about four or five from a class, he said.
Friendship also serves as a clinical site for nearby schools like Virginia Western Community College and Radford University. The facilities can host cohorts of about 10 to 15 students at once, and Friendship generally hires one or two students from those cohorts, Hoff said.
Friendship and Lake Taylor are also training employees on-site.
Friendship now trains certified nursing assistants in on-site classes of 10 and pays them while they’re in training. Previously, CNAs had to complete training before receiving pay, Hoff said. If Friendship has more than 10 trainees at a time, the company will place the remaining students in an outside training program.
Lake Taylor runs classes for noncertified nursing assistants, teaching them how to feed patients in an eight-hour course, Orsini said.
Lowered admissions
Because of staffing challenges over the six months prior to the survey’s administration, 42% of respondents limited their number of residents to an amount below full capacity, up from 37% in 2021. Thirty-eight percent reported placing a hold on new admissions (up from 29% in 2021), and 34% reported turning away hospital admissions (up from 26% in 2021).
Lake Taylor sometimes had to slow admissions to or close one of its wings during COVID-19.
Now, “we’re not fully admitting [patients] to all the beds yet,” Orsini said. “We’re taking our time. We’re making sure we’re able to take care of the patients we have and make sure the staff is there as well.”
Friendship has not had to limit admissions, Hoff said, because the company has supplemented nursing staff with agencies, though he hopes to attract and retain enough employees to stop using agencies.
VHCA-VCAL represents more than 350 nursing homes and long-term care facilities in the commonwealth. Its members operate more than 97% of Virginia’s Medicaid nursing facility beds, and six in 10 nursing facility residents rely on Medicaid for their care, according to a news release.
The association is seeking aid from the state: “Virginia’s nursing homes are doing everything they can to keep their employees, who are the backbone of long-term care,” VHCA-VCAL President and CEO Keith Hare said in a statement. “Now, we’re calling upon Virginia policymakers and members of the General Assembly to make meaningful investments, which will help address key staffing challenges and get seniors access to the 24/7 care they need.”
Five groups of developers sent in proposals to redevelop Richmond‘s newly rebranded City Center Innovation District, a 9.4-acre downtown area that includes the closed Richmond Coliseum, the Richmond Economic Development Authority and the Greater Richmond Convention Center Authority announced Wednesday.
An evaluation panel will assess the five entries and pare them down to a short list this winter, according to the announcement.
The development teams include:
Capstone Development LLC, a Maryland-based real estate development company that’s part of the Diamond District redevelopment team;
City Center Gateway Partners;
Lincoln Property Co., a Dallas-based real estate developer;
In November, the two Richmond authorities issued a request for interest to redevelop City Center, with a submission deadline Tuesday to be considered for the project’s first phase. According to the city’s 242-page request for interest (RFI), the plan must include demolition of the Coliseum, which has been closed since 2019, and development of a hotel with at least 500 rooms and meeting space. The City Center Innovation District Small Area Plan suggests adding public green spaces on part of the Coliseum footprint, with a main plaza at the intersection of North 6th and East Clay streets that could “serve as a citywide convening space” for concerts, festivals and ice skating when weather permits. Smaller spaces could be used for outdoor dining, playgrounds or other uses, according to the small area plan, which was released in November 2021.
Capstone Development is part of the RVA Diamond Partners team, which is the joint venture that the city has selected to redevelop the Diamond District, a 67-acre property that includes The Diamond, the Richmond Flying Squirrels’ baseball field.
Richmond Community Development Partners was a finalist for the city’s Diamond District redevelopment project as part of a group that included San Francisco-based commercial real estate company JMA Ventures, Houston-based Machete Group and Tryline Capital, which has offices in Connecticut and New York, the Richmond office of Gilbane Building Co., Richmond-based Davis Brothers Construction Co. and Charlotte, North Carolina-based Odell Associates Inc. It‘s not known if the members remain the same for the City Center proposal.
Sterling Bilder’s Joshua Bilder submitted a $1.4 billion proposal to the city in 2019 to redevelop the City Center area, including a $168 million renovation to the Coliseum, an $8 million hotel in the historic Blues Armory building and a $17.4 million apartment complex. Bilder proposed the plan as an alternative to the NH District Corp.’s $1.5 billion Navy Hill proposal to replace the Coliseum, a plan that eventually was rejected by Richmond City Council in early 2020.
A full list of companies and investors making up the development teams vying for the City Center project — including City Center Gateway Partners and RCDP — was not included in Wednesday’s announcement. In late November, the two city authorities hosted an in-person site visit attended by several architecture firms, developers, builders and others, including Baskervill, Capital Square, Capstone, Hourigan Group and W.M. Jordan Co.
Henrico County-based insurance company The Hilb Group LLC announced Tuesday it had acquired Georgia-based Gillman Insurance Problem Solvers.
Financial terms of the acquisition, which became effective Dec. 1, were not disclosed.
“Joining The Hilb Group allows us to build further upon our long-standing, dedicated focus on our customers,” Ed Gillman, Gillman Insurance’s founder and lead problem solver, said in a statement. “We are keeping the same commitment to our local community and continuing to serve our customers nationwide, while expanding our resources.”
Based in Alpharetta, Georgia, Gillman Insurance was founded in 1993 and serves the metropolitan Atlanta area. Its affiliates, APA Insurance Services and 3G Truckin’ Insurance, have customers in 40 states. Gillman and his team will become part of Hilb Group’s Southeast regional operations.
“We are excited to welcome Gillman Insurance to The Hilb Group family and to grow our operations in Georgia,” Hilb Group CEO Ricky Spiro said in a statement. “The addition of Ed and his team represent the perfect entry into the state, as we join with a growing agency that has deep community ties, a tremendous reputation and an unparalleled commitment to those who depend upon us.”
With the addition of Gillman Insurance, The Hilb Group now has locations in 23 states and serves all 50 states.
The Hilb Group was founded in 2009 and has been a portfolio company of Washington, D.C.-based investment management company The Carlyle Group, from which Virginia Gov. Glenn Youngkin retired in 2020 after serving as co-CEO, since 2019. Across its more than 100 offices in 23 states, Hilb employs more than 2,000 people and has acquired more than 145 companies.
The New River/Mount Rogers Workforce Development Board will receive $1.24 million in grant funding for Ready SWVA, a child care initiative launched by United Way of Southwest Virginia, Gov. Glenn Youngkin announced Monday.
The United Way chapter launched Ready SWVA in December 2021 to expand access to affordable child care, strengthen the provider network and increase the number of credentialed teachers. With the grant, the chapter will work with the New River/Mount Rogers board and the Southwest Virginia Workforce Development Board to develop a workforce of early care providers, according to Ryan Dye, United Way of Southwest Virginia’s marketing and communications manager.
“If we want to continue to build economically and recruit higher-paying jobs — even with our partnerships with GO Virginia and other things we’re doing — child care is an extremely important piece of infrastructure, just like broadband, natural gas, highways, railroads, flat land. Child care is infrastructure, and it has to be there in order to succeed in economic development,” said Travis Staton, president and CEO of the United Way of Southwest Virginia.
In Southwest Virginia, parents lack child care services for more than 7,000 children under age 5, according to a 2019 report from the Bipartisan Policy Center.
In the 2022-24 state budget, the General Assembly allocated $3.5 million to the Ready SWVA initiative, although UWSWVA sought $14 million over two years. The United Way chapter is using the state funding to secure a child care operator for what will be its hub, which will serve more than 300 children up to age 5 and create 62 positions at a base pay of $15 per hour.
“The $3.5 million is to help the operator get established, help them with all the furnishings, supplies, curriculum…and to help do their training and recruitment for their workforce,” Staton said, as well as help with planning and design work to make sure the building is up to code for early child care.
UWSWVA issued a request for proposals earlier this year and is currently reviewing operator proposals. The nonprofit is looking at potential locations for its hub but has not closed on one yet, Staton said.
The initiative’s goal for the $1.2 million grant is to place 100 new teachers in early child care centers across the region in the next 24 months. UWSWVA and its partners will help child care centers advertise openings and provide technical assistance such as helping centers write and post job descriptions.
Ready SWVA will also focus on recruiting and training the emerging early education workforce, like interested high school juniors and seniors and college students.
“We will be working with our educational systems, the workforce investment boards, the community college systems, to basically fast track them, help them get that background check completed, help them get their first aid completed, their CPR, all of those things that they need to be able to get into the classroom to start working,” Staton said, along with helping to provide continuing professional development.
The $1.24 million grant comes from the Workforce Innovation and Opportunity Act (WIOA) Title I Governor‘s Set-Aside funds. The federal WIOA was signed into law in July 2014 and provided Title I funds to states to develop and support programs providing job search, education and training activities for adult, youth and dislocated workers.
Each year, the governor has discretion over a portion of the funds that may be distributed to projects based on a competitive grant process. The Ready SWVA grant is 100% funded through a grant from the U.S. Labor Department’s Employment and Training Administration.
Burke & Herbert Financial Services Corp. announced that President and CEO David P. Boyle will be chair of the board effective Jan. 1, 2023, the Alexandria-based holding company for Burke & HerbertBank & Trust Co. announced Friday.
Boyle joined the bank in 2019 and has been a bank director since 2020. He succeeds E. Hunt Burke, who plans to continue to serve on the holding company’s board of directors and as chair of the bank’s board. Burke has been chair of the bank board since 2010 and has been a bank director since 1995.
“As our strong results and strategic position demonstrate, David has been an outstanding leader since joining us,” Burke said in a statement. “I am confident that he will continue leading the company to even greater growth and success as chair.”
Founded in 1852, Burke & Herbert Bank & Trust Co. has more than 20 branches in Northern Virginia as well as commercial loan offices in Bethesda, Maryland; Fredericksburg; Loudoun County; and Richmond.
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