The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1995, Landmark Communications, Inc.

DATE: Sunday, September 24, 1995             TAG: 9509230088
SECTION: SUFFOLK SUN              PAGE: 16   EDITION: FINAL 
SOURCE: By MAC DANIEL, STAFF WRITER 
                                             LENGTH: Medium:   70 lines

3 PLANS HAVE EMERGED FOR USE OF DRIVER SITE

Following is a summary of actions taken by the Suffolk City Council members at their meeting on Wednesday, Sept. 21:

During the council's work session, members were briefed on the process being used to come up with a city use for the Driver Radio and Transmitting Facility off of Sleepy Hole Road.

Suffolk City Council hired an Alexandria-based consulting firm to conduct the public hearing process, which is seeking input from citizens on what should be done with the abandoned federal facility. Two public meetings have been held since the process began in June. The third and final hearing is scheduled for 7 p.m. Thursday in the library of Nansemond River High School.

The process is almost half done. And thus far, three alternatives have emerged from the public hearings. They include, but are not limited to:

Using the land as a public park and public recreation facility. A Little League baseball field as well as adult facilities for softball and golf could be included. A boat ramp to the Nansemond River is also part of this option.

Using the land as a combination park and environmental research center. Old Dominion University, Norfolk State University and Regent University have expressed interest in the property. The abandoned buildings at the site could be used to house an educational center.

Using the land for both public recreation and residential development. A variety of homes could be built at the site, revenue from which could be used to upgrade the site, according to consultants.

A final report on the recommended uses for the site is due to be done by the first week in November.

A local developer has asked the city to waive its utility fee so that he can build affordable housing. The Suffolk City Council, however, is cautious about the move, saying they do not want to set a bad precedent by waiving the fee.

Donald Mills, the developer of Southside Meadows off of Carolina Road, wants to defer utility fees in his new development, which is currently stalled. Mills has told city officials that he can build more affordable housing if the fees are waived. The fees represent about 4 to 7 percent of the sale price of one of these homes. Mills argues that the utility fee makes the homes less affordable.

Fees for sewer and water service in Suffolk are $4,665 for a single-family home. After the Hampton Roads Sanitation District collects $705, the city is left with $3,960.

With 75 homes planned, the city could lose as much as $298,500 by waiving the fees.

City staff has strongly recommended against waiving the fees. It would cause a large legal problem for the city as well as force Suffolk to incur a huge debt.

Other options are being considered, including:

Deferring the utility fees and asking for a second deed of trust from the developer on the homes. However, if the homeowner defaults on a first deed of trust or if the property fails to appreciate and the second deed of trust must be paid, the homes may not produce enough money to pay the first or second deeds of trust.

General fund money could be used to pay for the utility fees. In the past, however, the city has helped much smaller efforts than Southside Meadows.

The council seemed split on the matter. Vice Mayor Curtis Milteer Sr. and Councilmen Charles F. Brown and Richard R. Harris said the city must take some role in helping first-time homeowners.

``If we're going to promote home ownership,'' said Milteer, ``we're going to have to be involved in some way.'' by CNB