Title
Resolution Authorizing an Amendment to Article III of the Articles of Incorporation of the H2O Community Development Authority Entitled “Members,” to Permit Subsequent Staggered Terms and to Remove the Requirement That Petitioner Recommend Four Members
Purpose
Purpose/Background:
On September 28, 2005, the City Council created the H2O Community Development Authority (“CDA”) pursuant to the Virginia Water and Waste Authorities Act, Chapter 51, Title 15.2 of the Code of Virginia, as amended (the “Act”). The City Council adopted Articles of Incorporation for the Authority, which were filed with the State Corporation Commission as required by the Act. The Articles of Incorporation set forth the manner in which CDA board members are appointed and the length of board members’ terms, but the initial Articles of Incorporation failed to address subsequent terms and the City Code limits terms of appointed members to no more than two (2) full terms. Since the terms are not staggered, the term of the entire board of the CDA expires June 30, 2017.
Additionally, the initial Articles of Incorporation provide that four members of the CDA board shall be recommended by the Hampton Redevelopment and Housing Authority (“HRHA”) and Sandler at Coliseum Central, L.L.C. (“Sandler”), collectively the “petitioner” under the Ordinance. At the time of the creation of the CDA the HRHA was the landowner and Sandler was a contract purchaser. Neither the HRHA nor Sandler currently owns real estate within the CDA district.
By resolution dated May 15, 2017, attached hereto, the CDA board recommended to the City Council that it enact amendments to the CDA’s Articles of Incorporation to permit subsequent staggered terms for the board members and remove the requirement that four board members be recommended by HRHA and Sandler. The Act permits amendments to the Articles of Incorporation of the CDA by following the procedure prescribed for the creation of an authority under the Act wh...
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