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Virginia
Virginia's multibillion-dollar plan to lure the Wizards and Capitals away from DC clears first hurdle in legislature
Legislation underpinning a plan to relocate the NBA’s Washington Wizards and NHL’s Washington Capitals across the Potomac River to northern Virginia easily cleared an early hurdle in the state legislature Friday.
Lawmakers on the Virginia House Appropriations Committee voted 17-3 to advance the measure, a top priority of Republican Gov. Glenn Youngkin, to the floor of the House of Delegates. Though the bill passed overwhelmingly, several senior Democratic legislators took care to say that their support for the measure at this point was in the interest of keeping negotiations over the deal going.
“This process is going to take the rest of our session at a minimum to enact or not enact this legislation,” Democratic Del. Mark Sickles of Fairfax County, who supported the bill, said before the committee vote.
The legislation could result in a legacy-defining project for Youngkin, a former college basketball player. Virginia is the nation’s most populous state without a major pro-sports franchise, something government officials of both parties over the course of decades have sought to change.
Youngkin and entrepreneur Ted Leonsis, an ultrawealthy former AOL executive and the CEO of the teams’ parent company, Monumental Sports and Entertainment, announced in December that they had reached an understanding on a deal to relocate the Capitals and Wizards.
The plan calls for the creation of a $2 billion development in the Potomac Yard section of Alexandria that would include an arena, practice facility and corporate headquarters for Monumental, plus a separate performing arts venue, all just miles from Capital One Arena, where the teams currently play in Washington.
Monumental and the city of Alexandria would put in upfront money under the terms of the deal, but about $1.5 billion would be financed through bonds issued by a governmental entity this year’s legislation would create.
The bonds would be repaid through a mix of revenues from the project, including a ticket tax, parking fees, concession taxes, income taxes levied on athletes performing at the arena, and naming rights from the district, among other sources. Proponents say those sources will more than cover the debt. But about a third of the financing would be backed by the “moral obligation” of the city and state governments, meaning taxpayers could be on the hook if the project revenues don’t come through as expected.
Critics of the project, including some who spoke against the bill Friday, asked why any tax subsidy was appropriate.
“This is a bad deal for every taxpayer in Virginia. We are saddling our children and grandchildren with 40 years of debt payments to help a billionaire get wealthier and wealthier,” said Andrew Macdonald, a former Alexandria city council member and an organizer of the Coalition to Stop the Arena at Potomac Yard, which held a rally on Capitol Square a day earlier.
The committee advanced a substitute version of the legislation that was initially introduced by Democratic Del. Luke Torian. It included a newly added provision that would require legislators to sign off on the deal again next year in order for the legislation to go into effect, something critics of the project cheered.
Monica Dixon, president of external affairs and chief administrative officer for Monumental, said the company was “very pleased” with Friday’s developments.
“We’ll take a look at it, but don’t expect we’ll have any major concerns,” Dixon said of the revised bill, which is likely to see further revisions as it goes through the legislative process.
Democratic legislative leaders, who control the General Assembly, have generally signaled openness or even optimism about the passage of the arena legislation this year. But they have stopped short of a full-throated endorsement of the project, both citing concerns still to be worked out and making clear the proposal is a bargaining chip in broader discussions about their own priorities.
Sen. L. Louise Lucas, who chairs the Senate finance committee, has said she wants consideration of increased public school funding, toll relief for her Hampton Roads region and legalized recreational cannabis sales in conjunction with the arena deal.
A Senate committee had at one point been expected to take up that chamber’s version of the bill on Thursday. But the hearing was delayed, and by Friday afternoon it was unclear when the bill might be heard ahead of Tuesday’s “crossover” deadline by which non-budget bills need to clear their chamber of origin.
Senate Majority Leader Scott Surovell, the sponsor of that chamber’s bill, said in a text message that his caucus is still working to reach consensus about changes to the legislation as introduced.
Many critics of the project have focused on the transportation impacts in an already congested part of Virginia.
The state released a transportation plan last week to address Alexandria residents’ concerns about traffic. Officials say they will commit $200 million to transportation improvements in the corridor, which is already seeing expanded use with a new Amazon headquarters and a new Virginia Tech campus under construction.
The plan seeks to have half of arena patrons arrive by transit, bike or walking and relies heavily on a newly built, $370 million Potomac Yard Metro station. But plan data shows that the station, as currently configured, would be overwhelmed at peak hours on game nights with “extreme crowding” lasting for 60 to 90 minutes.
The plan estimates that improvements to the station and increased service could reduce crowding to 30 to 45 minutes.
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Barakat reported from Falls Church, Virginia.
Virginia
Drought emergency declared for parts of Virginia; governor warns of water restrictions
MARTINSVILLE, Va. (WSET) — Extreme drought conditions in parts of Virginia have prompted an emergency drought warning for a wide swath of the region, including Bedford, Campbell, Charlotte, Franklin, Halifax, Henry, Mecklenburg, Patrick, Pittsylvania and Roanoke counties, along with the cities of Danville, Roanoke, Salem and Martinsville.
The governor has warned that if conditions worsen, she will activate mandatory nonessential water-use restrictions.
In Martinsville, city leaders have issued a voluntary water conservation notice and are urging residents and businesses to cut back where they can. The request comes as local businesses that rely heavily on water say the drought is already affecting day-to-day operations.
SEE ALSO: Botetourt County residents adjust daily routines as voluntary water restriction continues
John Hughes, owner of John’s Car Wash, said the dry conditions have hit his business hard in recent weeks. “For the last 3 weeks, it’s been hitting pretty hard. We done three yesterday and haven’t done anything today with the drought and hot weather. Yeah, I’m really concerned about it,” Hughes said.
Restaurants are also feeling the strain. David Kitzmiller, an owner of Be Wiched, said water is essential for routine tasks such as washing dishes and preparing some menu items.
“We use a lot of water for washing dishes and some of our recipes if they limit us in anyway defiently can’t produce and its a scary aspect,” Kitzmiller said.
Kitzmiller added that cutting back is not always realistic for businesses that must meet sanitation needs. “Not really feasible for a business that depends solely relies on water to wash their dishes, so that can’t definitely be an impact there,” he said.
City leaders emphasized that the conservation request is voluntary for now, but they are encouraging everyone to do their part by taking shorter showers, turning off the faucet when it is not in use, washing only full loads of laundry, and limiting outdoor watering whenever possible.
Virginia
Five charged after Virginia Beach Police conduct human trafficking operation
VIRGINIA BEACH, Va. (WAVY) — Five people were charged after Virginia Beach Police conducted a two-day human trafficking and vice operation on July 3, according to the Virginia Beach Police Department.
The department’s Special Investigations Bureau conducted the operation, which was aimed at identifiying human trafficking victims, reducing the demand for commercial sex and targeting individuals seeking to exploit or recruit children for prostitution.
Detectives used many investigative techniques to proactively identify individuals involved in criminal activity related to prostitution, human trafficking and offenses against children. The operation was conducted in Virginia Beach, involving personnel from all of the bureau’s squads.
As a result of the operation, five people were identified and charged with offenses ranging from solicitation of prostitution to sex trafficking and crimes involving minors. Two vehicles and U.S. currency were seized during the operation. Other people were connected to victim services through Samaritan House.


The operation led to the following people being charged:
- Shane Carter, 28, of Norfolk, was charged with solicitation of prostitution.
- Robert Harris, 64, of Virginia Beach, was charged with solicitation of prostitution and assault and battery.
- Larry Pittman, 53, of Portsmouth, was charged with sex trafficking and use of electronic devices to facilitaate certain offenses involving minors.
- Kenric Frazier, 46, of Portsmouth, was charged with sex trafficking, use of electronic devices to facilitate certain offenses involving minors and solicitation of child pornography.
- Cameron Lewis, 24, of Norfolk, was charged with solicitation of prostitution.
Investigators also developed leads about people who are suspected of trafficking and exploiting others for commercial sex. Those are now active and ongoing investigations. There may be more charges and arrests pending further investigation and consultation with the Virginia Beach Commonwealth’s Attorney’s Office.
If you’re a human trafficking victim or know someone who is, you can report it to the National Human Trafficking Hotline at 1-888-373-7888.
Virginia
Dragas responds to accusations of having unfair advantage in quest to buy VB National
VIRGINIA BEACH, Va. (WAVY) — Helen Dragas, CEO of Dragas Companies, said she does not feel her company had an “unfair advantage” in pursing a deal to buy Virginia Beach National Golf Club.
Rather, Dragas said her team took the initiative to put forward the “the “best competitive proposal we could.”
Next month, Virginia Beach City Council could vote to sell the 270-acre 18-hole course to Dragas, who along with Texas-based Century Golf, would redesign and refurbish the course. Dragas would then build nearly 660 housing units on the southern end of the property, and build a new childcare center.
Dragas’ proposal, titled “Princess Anne Landing,” was one of nine total groups who responded to the city’s request for proposals regarding of the future of the course.
Still, many on both social media and in public comments have accused the longtime housing developer of having the upper hand, given that she had the city sign a non-disclosure agreement in 2024, more than a year before the city’s intentions of possibly selling the course became public.
As part of an interview Tuesday with 10 On Your Side, Dragas was asked about those accusations and other questions. Responses are edited for style and brevity purposes.
REPORTER: You’ve heard some of the criticisms … sitting through the public hearings. … How do you take it when people say that you got an unfair advantage?
DRAGAS: I say that we invested thousands of hours of hard work and due diligence watching public hearings, media council meetings, digging into those engineering studies that I referenced before that showed the deficiencies, … understanding the comprehensive plan, the Historic Overlay District, the ITA situation, all that. There’s a lot of complexity there and we invested a lot of time and energy to develop the best competitive proposal we could. We never knew we would see it, and we still don’t know if we’ll see a single cent of that investment back. And that’s competition and that’s initiative, and we live in a country that’s always rewarded initiative. And we took it. And while others might have been spending their time on other projects or other endeavors, this is what we were doing. So we didn’t receive any nonpublic information. We just did our homework and I think we tried to solve a lot of problems in one proposal: housing, homeownership, childcare, golf course, you know, redesign and refresh and reinvestment and a future tax stream for the course. So we think we come up with something that provides benefit, not just at offers, but to a lot of other constituents in the city as well. We’re really proud of it.
REPORTER: You were telling me that … long before even the auditors report, you had your eye on that that parcel and thought it would be good for houses. Correct?
DRAGAS: Well, we always knew that there was that section that … could handle some housing, yes. And others did as well. There were other rentals. There was another unsolicited proposal or two. And then I think about half of the respondents to the proposal included housing.
Under the terms that have been negotiated between City Council and economic development staff for months in closed session, Dragas would purchase the roughly 270 acre course for $17.9 million from the city. The city will, in turn, give the $17.9 million back to Dragas, along with $1.8 million from the Virginia Beach Development Authority, to go towards an estimated $38 million golf course redevelopment.
On top of the nearly $20 million the city would give the development team for the golf course work, the city could contribute up to nearly $8 million in public infrastructure along Tournament Drive and Princess Anne Road, to include turn lanes, streetscape improvements, utility relocations, and a sewer extension.
REPORTER: Why does it need to be a public-private partnership?
DRAGAS: So right now the city has millions of dollars in deferred renovation — $7.7 million in identified stormwater deficiencies and remaining clubhouse and facilities repair. That doesn’t cover anything about renovating a 30-year-old course. And … everything needs a renovation, refurbishment at some point in its life, physical life. And so, this course needs that. There’s also public infrastructure that serves the entire area right there. So there’s some Virginia Beach Development Authority parcels that sit there and the first tee … as you probably know, is that land is going to be dedicated to the First Tee. There’s sanitary sanitary sewer infrastructure that serves all those parcels that was originally connected to be temporary, and that was almost 30 years ago. So the city has, I think, some deferred public infrastructure costs as well. What our proposal does is take the city off the hook for future maintenance liabilities. They’re actually going to come out of pocket less than they would if they just did the stormwater and the clubhouse repairs that were made, and in exchange, the city will have a $3.4 million a year tax revenue stream, a completely refreshed and refreshed renovated golf course, a badly needed child care facility and then, of course, the homes, homeownership opportunities for over 600 families.
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