VIRGINIA BEACH  - - Who will the Virginia Beach City Council support?  The citizens of Virginia Beach or two developers convicted of crimes and are represented by one of the mayor's campaign managers and fundraisers?


By a 6-5 Vote the council voted to approve this deal Tuesday night. Voting no was Vice Mayor Jones, Council members Bobby Dyer, Rita Sweet,  Harry Diezel, and Bill DeSteph. They voted for the interest of the citizens.  The other 6 led by Mayor Will(ing) sessoms voted for the special interest of the convicts-developers.

The deal is for developers of the 31st Street Hilton, a hotel financed by Towne Bank, where mayor Will Sessoms is president.

Sessoms was on council as vice president but employed by Wachovia Bank when the hotel was built.  Wachovia established an ethics policy barring employees from holding public office.  Sessoms joined Towne Bank which had no ethics policy.

This  is a case of the the people versus the council's special interest friends.  Same issue as when the council originally approved the 31st Street hotel which overwhelmingly was voted down by the citizens.



The issue is a proposal by Bruce Thompson, convicted of federal misdemeanor witness  tampering, and partner Edmund C. Ruffin, convicted of federal incomes tax crimes, to swap the city one set of parking places for another for a hotel project.

The developers want prime parking places that are just across the street from the Oceanfront.  They want to trade the city other parking spots farther away, inconvenient for citizens.

In the  deal the city did after it was rejected  by the voters, they forced taxpayers to subsidize a 968-space,  $31M parking garage for the hotel the voters turned down.

Of the 968 spaces, the developers  lease 380, 61 more would be set aside for retailers in their shopping strip, 20 are for the handicapped, leaving 507 for the general public.

At the current time where do members of council stand on citizen v. special interests?

  • Vice Mayor Louis Jones, Council Members Bill DeSteph, Bobby Dyer  are lining up  against the deal;
  • Rosemary Wilson, whose husband's accounting firm does the bookkeeping for Thompson & Ruffin faces a potential conflict of interest if she votes either way;
  • Jim Wood is waffling, but may be leaning against;
  • Rita Sweet reportedly leaning against;
  • John Uhrin, who's been in bed with Thompson in the past, and represents the oceanfront instead of the citizens, is in the plus column along with Mayor Will Sessoms;
  • the positions of the others is uncertain as of press time.

B.Harrison

Lawyer Harrison

Billy Harrison, the lawyer representing Thompson & Ruffin, is a  X-powerful member of the council, who was accused in a sex assault case in the early '90s and paid the victim $28,000 to leave town

After a VNS investigative story, Harrison left the silk-stocking Norfolk law firm of Wilcox, Savage, where he was chairman of its ethics committee, and joined the Beach firm of Williams, Mullen.  

When he was employed members of his new firm told VNS, he would not be handling any cases involving the city of Virginia Beach.

As council liaison Harrison negotiated the  deal that successfully established the 31st St. Hilton Hotel for Thompson & Ruffin.  

At that time, Harrison's soon to be new employer, Williams, Mullen, was representing Thompson and Ruffin in the hotel deal.

Then councilmen Harrison, City Manager Jim Spore, Linwood Branch, and others staged a midnight coup as the deadline approached for approving the deal.

It required final approval of the Virginia Beach Economic Development Authority (VBEDA).  

The deal was set to fail because VBEDA member Betsy Duke cited a conflict of interest preventing her from voting.

Harrison, et al, forced her to resign and they appointed Page Lea,  a failed candidate and Harrison lackey, in a last minute action, to replace Duke and give the deal the 1 vote needed to screw the public.

In summary:  
  • The developers are prominent Virginia Beach businessmen, both of whom have been convicted of federal crimes;
  • Their lawyer, Billy Harrison, is a former councilman who paid a woman who managed his hotel, $28,000 to settle a sex assault claim;
  • Harrison was one of the mayor's campaign managers and top fundraiser.
  • The firm he works for now is the same firm he negotiated with as a councilman to get the original deal for Thompson and Ruffin approve.
  • Current mayor Sessoms worked at Wachovia Bank when he was vice mayor.  He had to leave Wachovia and withdraw from seeking re-election to council because Wachovia passed an ethics code barring its employees from holding public office.
  • Sessoms joined Towne Bank as president and ran for mayor at his first opportunity because Towne Bank has no ethics standards.
  • And Sessoms' Towne Bank financed the original 31st Street Hilton deal for Thompson and Ruffin.

Does anyone see the citizens represented in any of the above summary?  Nyet!  Just the Developers and politicians and lawyers.  No public interest is served at all.
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Mark Cowan  - Scheming duo gets 'free' hotel? |67.62.94.176 |06-22-2010 03:11:52
Didn't you leave out of this story how the city manager and council schemed to agree to accept blame for damage to an old oceanfront hotel, Ed Ruffin and Bruce Thompson bought?

The city's incompetence cost taxpayers hundreds of thousands of dollars to settle claims with the dynamic duo?

Between a hurricane and the city, didn't they end up with a net gain from dual damages of $179,452 on a hotel for which they paid $2.3M? In other words didn't they get the whole deal financed by insurance and claims against the city? See: target="blank"> More



French Mackes  - Constitution Party of Virginia Representative |67.62.94.176 |06-22-2010 10:33:06
I commend the people at the VIRGINIA NEWS SOURCE for this excellent investigative reporting. Way to go guys!

Journalists should serve as watchdogs on government. Our nation's founders recognized this as it shown in the First Amendment.

Most journalists today are lapdogs of the government.

It is good to shine a bright spotlight on the dirty deeds of City Manager Jim Spore and those Virginia Beach City Council members that support this corrupt Oceanfront development endeavor.

Anyone on Virginia Beach City Council that supports Jim Spore's latest pro-developer proposal at the Oceanfront is unethical and a disgrace.

The VA Beach City Council should immediately move to fire Jim Spore as City Manager.
Mike Barrett |216.54.27.206 |06-22-2010 13:51:16
And any of this trash is news? Is this rag so bereft of knowledge of the current scene that it must resort to 18 year old stories? Have you missed the fact that this project which replaced a decrepit and abandoned amusement park now provides over $3,000,000 per year in net tax revenue, provides a world class venue to which residents and vistors flock, provided a park that residents enjoy everyday, and is the cornerstone for the Laskin Road Gateway? My goodness, Robert Dean must be back in charge.
Rick Salyers |67.62.94.176 |06-22-2010 16:38:47
I liked the amusement park environment better. BTW: How many park benches are under the shade trees there at 31st Street where the public can sit and watch the ocean?

VNS forgot the $17M insurance fraud Ruffin and Thompson were involved in after Hurricane Bonney.

Are they not supposed to background stories with track records? Just report tomorrow's news? Like TV? 3 black shootings and the weather report? Is that the kind of news you want?

Should we not remember and recap the evil of Hitler when we talk about ethnic cleansing? You must be from another planet.
alsaf |67.62.94.176 |06-23-2010 01:19:20
How about this for a late story Mike. . . According to City doc $43 million in tax subsidies are removed from the General Fund each year... Imagine 75% of all citywide room tax collections of ($23,891,018) is returned to the oceanfront each year. That totals a whopping ($17,918,263) as the massive subsidy to the resort area.. Yup just $5,972,754 goes to the General Fund if your lucky. Not only that but $36.4% of all meals tax totaling some ($18,137,982) finds it way back to the oceanfront to help support resort projects according to City documents in FY 2009/10. If that's not bad enough 100% of all citywide amusement tax collections ($5,300,732) goes back to the resort area. Then there is the cigarette tax. The major taxpayer in this City continues to be ignored despite paying 85% of the budget and debt ceiling.
don weeks  - Ethical standards have all but disappeared |67.62.94.176 |06-22-2010 10:33:51
Thanks for continuing to expose the standard graft and corruption that has seemingly enveloped our fair city. It would seem that Jim Spore tearing down grassroots protest signs back in the day was simply a diversion from the more sinister things that were occurring.
Now that he has his big fancy award maybe a retirement party is in order.
Fred |67.62.94.176 |06-22-2010 13:39:33
You know after reading the documentation on the VNS stories, it's pretty obvious somebody got bribed or somebody had a blackmail tape on somebody. Ya think? Now who do you think would take a bribe and who would engage in a deviate sex tape? It has to be among 6 members of council who voted to approve this deal.
Mark Cowan |67.62.94.176 |06-22-2010 19:52:04
Fred I think we can narrow it down to 5. Nobody'd do Barbara Henley, the farm girl not even under influence of drugs they used to bring up from Florida for members of council. The culprit(s) have to be among the remaining 5.
Mike Barrett  - Less than 10% |216.54.27.206 |06-24-2010 12:40:00
Those who complain about development deals fail to comprehend that to remain competitive, our resort must constantly improve. And since the mid 1980s when Council made a decision to stop the decline and deterioration and to invest in public infrastructure to maintain the cash flow from resort operations, we have ramained competitive.

This new hotel is simply another in a long line of crucial steps to bring another first class hotel, this time to the west side of Atlantic which I hope is precendent setting as well. In return, the public gets access to 30 more parking spaces, and the tax base of the city will increase 10-15 times for this parcel.

Consequently, this and other investments by private sector business developers has kept our tax rate the lowest in the region, our bond rating the highest in Virginia, our resort amenities attractive to conventioneers and visitors, and this provides more allure for the Laskin Road Gateway. Our commercial sector is now bigger than Norfol...