RD108 - Biennial Report on the Stewardship of State-Owned Properties - May 1, 2011


Executive Summary:
The two years since the last biennial report has been a time of considerable challenge as the Commonwealth has struggled to model good stewardship during a time of significant economic crisis. It is a sobering reality that due to serious budget reductions brought about by the worst economic downturn in decades, many state agencies have understandably been forced to put plans on hold, defer maintenance and make decisions based on the short-term bottom line. Basic and essential maintenance is underfunded and the needs of too many state-owned landmarks are unmet.

Despite the obvious financial difficulties of the past two years, this time of diminished resources has been tempered by noteworthy acts of stewardship in the Commonwealth of Virginia. As the following report demonstrates, a number of state agencies have taken seriously their role as steward of the historic resources entrusted to their care. Other state agencies – thankfully fewer in number – have failed to demonstrate an appreciation for the historic treasures for which they are stewards. A common trait among this latter group is a genuine lack of understanding for how the preservation of our rich historic legacy benefits the Commonwealth as a whole. Working with agencies to better understand the environmental and economic benefits of good stewardship will remain a high priority of DHR.

The timeframe covered by this report is in fact a time of contradiction. On the one hand, because fewer dollars have been available for basic maintenance, the needs of some historic buildings have been neglected. Well intended but misguided quick fixes, especially in regard to energy conservation, have resulted in irreparable harm. Yet during this same period, a number of state agencies have managed to model exemplary stewardship as custodians to historic properties in their care.

Recently, there has been considerable attention paid to energy efficiency and conservation and sustainability – all referencing the need and desire to reduce costs and benefit the environment. A pervasive misunderstanding regarding these issues has actually created a notable obstacle to good stewardship. Out of ignorance, precious dollars are often wasted and high quality, serviceable building fabric discarded in a misguided attempt to make a building more efficient. Media hype to the contrary, the payback period on quick fixes such as window replacement makes such treatments a poor investment. As Virginians continue to grapple with a recovering economy, the issue of sustainability is more relevant than ever before. Historic preservation - the act of reinvesting and recycling our historic buildings - is both environmentally sustainable and economically prudent.

While not all of the goals set forth in the 2009 report were realized, there exist many accomplishments. For example, a goal of the last report was to highlight the significance of more state-owned property through listing on the Virginia Landmarks Register. During the past two years, 40 additional properties were listed, bringing the total of state-owned listings to 119. While some agencies shy away from registration, others embrace designation as an effective educational and planning tool.

If the past two years can be characterized as a time of extraordinary challenge, the coming two years are ripe with opportunity. This year will be distinguished by two singular stewardship events – the sesquicentennial of the Civil War and the transfer of Fort Monroe to state ownership. The sesquicentennial will draw hundreds of thousands of visitors to the Commonwealth and remind people across the United States and around the world of Virginia’s prominent role in the founding and shaping of this nation. In preparation for this 150th commemoration, the Commonwealth has placed an emphasis on battlefield stewardship and has funded the preservation of battlefields throughout the state.

The past two years have also been a time of intense planning and preparation for the Commonwealth’s imminent acquisition of Fort Monroe which will trigger an enormous stewardship commitment when the property is returned to the Commonwealth in September 2011 by the U.S. Army through the Base Realignment and Closure Act (BRAC). DHR, along with many national, state and local partners, has been very engaged in the BRAC process and it is expected that this transition and the management of the site will remain a primary focus of DHR over the next several years.

It is an unfortunate reality that the Commonwealth has not been in a financial position to pursue all of the recommendations contained in the 2009 stewardship report. Thus it is appropriate to include in this report those unfulfilled goals that remain stewardship priorities in need of focused attention. The priorities and goals in this report are meant to be conservative and attainable; many could be accomplished without significant cost.

In addition to the content mandated by Senate bill 462 adding § 10.1-2202.3, this report includes additional guidance related to stewardship and historic preservation in the hope that it can serve as a desk reference for state property managers.

This third biennial report reaffirms that:

• The Commonwealth’s real estate holdings include a rich and diverse collection of historically significant properties, some of national importance.

• Investment in stewardship through such tools as the easement and the rehabilitation tax credit programs, as well as state funding for battlefield conservation, have secured Virginia’s place as a national preservation leader

• The Commonwealth as a whole benefits when leaders understand that preservation makes good environmental sense as well as good economic sense and is integral to conserving energy and reducing carbon in the atmosphere. This understanding on the part of leaders promotes an ethic of stewardship.

• Certain types of state-owned historic properties are under-represented on the Virginia Landmarks Register, especially those related to institutions of higher education, the Civil War, and the history of African Americans, Virginia Indians, and women. This inequality should be addressed through strategic additions to the Virginia Landmarks Register.

• The seat of state government—the area surrounding the State Capitol — includes buildings that make valuable visual and historical contributions to the Capitol assemblage. It is appropriate that, as a collection, this historic district be documented and honored through inclusion on the Virginia Landmarks Register.

• DHR’s existing inventory of historic state-owned properties is sorely out of date. The inadequacy of the information impacts DHR’s ability to administer its own programs as well as to assist other state agencies.

• Preparation for, and execution of, the transfer of Fort Monroe to the Commonwealth in September 2011 must remain a high priority for the Commonwealth. The responsible management and development of this nationally-significant site must be among the Commonwealth’s most important stewardship priorities.

• Institutions of higher education need to model better stewardship by taking their historic resources into account when preparing master plans and should celebrate their register-eligible properties through listing on the Virginia Landmarks Register and/or state highway markers, both of which are effective tools for education the public regarding Virginia’s rich history.

• State agencies should seek to balance LEED certification with best preservation practices, even if it means achieving a lower LEED certification. For example, a rehabilitation that meets the Secretary of the Interior’s Standards for Treatment and earns a Bronze LEED certification would be preferable to a project that achieves a Silver or Gold rating but fails to meet the Secretary’s Standards.