Introducing Unlocking Hampton Roads, your resource for economic development and international business expansion in the region, delivered monthly to your inbox by the Economic Development Task Force at Willcox Savage.

SEPTEMBER 2025

In This Edition

Feature | Spotlight on Hampton Roads Workforce Council: Hampton Roads at Work

Here & Now | Opportunity in the Wake of Federal Workforce Cuts

Word in the ‘Roads |Digest of significant press releases and investment announcements from over 40 of the region’s economic development authorities, alliances, chambers, incubators, and local governments

Legislative Affairs & Regulatory Compliance | H-1B Update: $100,000 Payment for New Petitions Effective Sept. 21, 2025; A win for wireless carriers in Culpepper, VA

Where’s WilSav | Catch up with attorneys on our Economic Development Task Force at the region’s upcoming conferences and conventions; Lisa Murphy Re-appointed Chair of VBDA

Willcox Savage Business Solutions Series | Register for the Annual Employment Law Update on October 14 at The Westin in Virginia Beach Town Center; ICYMI watch the recording from Update from the Tariff Trenches

Hampton Roads at Work

The Hampton Roads Workforce Council (HRWC) is a special-purpose unit of local government that oversees workforce development programs and initiatives for the Cities of Chesapeake, Franklin, Hampton, Newport News, Norfolk, Poquoson, Portsmouth, Suffolk, Virginia Beach, Williamsburg, and the Counties of Gloucester, Isle of Wight, James City, Southampton, and York.

The Hampton Roads region stands at the intersection of opportunity and urgency. Our economy is vital to both Virginia’s prosperity and to U.S. national security. Today, the demand for skilled workers in our most critical industries has never been greater. Employers across the region face persistent workforce shortages, even as federal, state, and local partners are investing at historic levels to meet the challenge.

Hampton Roads Workforce Council: Powering the Talent Pipeline

At the center of this response is the Hampton Roads Workforce Council. As the regional convenor for workforce development, the Workforce Council connects jobseekers with the education and resources needed to launch a fulfilling local career. We are focused on meeting the needs of Hampton Roads businesses large and small by ensuring our talent pipeline is strong, adaptable, and future-focused. Together with our partners in industry, education, and government, we are turning workforce demand into opportunity.

Nowhere is this demand clearer than in our regional maritime industry. Shipbuilding and ship repair anchor our economy, supporting tens of thousands of jobs. Across Hampton Roads, shipyards and hundreds of supporting firms are urgently seeking skilled workers in welding, marine electrical, coatings, and related trades. At the same time, new opportunities in energy, advanced manufacturing, and unmanned systems are expanding the scope of maritime careers.

Maritime: Our Clear and Present Talent Need

Recognizing these needs, the U.S. Navy, the U.S. Department of Labor, and the U.S. Economic Development Administration have invested tens of millions of dollars into workforce development in Hampton Roads. These resources, combined with continued support from state and local government, are fueling programs that prepare workers for critical roles while strengthening the economic competitiveness of the region.

The Hampton Roads Maritime Training System

The Hampton Roads Maritime Training System is the centerpiece of this effort. Just over three years ago, this project was launched with an $11 million EDA Good Jobs Challenge grant. It has since expanded with more than $80 million in public-private funding and, as of September 2025, the Maritime Training System has already placed more than 1,000 individuals into high-demand maritime careers. Through a 100-mile training network spanning Southeastern Virginia and Northeastern North Carolina, this workforce development initiative is ensuring that every training seat is filled, every graduate earns industry-recognized credentials, and every business has access to the skilled workforce they need to grow.

A Model for Other Critical Sectors

This impactful model for workforce development is now nationally recognized as a best practice and the Hampton Roads Workforce Council is using this proven framework to tackle persistent workforce challenges impacting other critical sectors, including healthcare, information technology, and skilled trades. As part of this expansion, the new Hampton Roads Regional Apprenticeship Hub powered by the Workforce Council is helping businesses design and expand registered apprenticeships in shipbuilding, healthcare, and education. The Regional Infrastructure Training System is preparing workers for career opportunities in construction, energy, and transportation as federal infrastructure dollars flow into the region. And through the Hampton Roads Veterans Employment Center, the Workforce Council connects transitioning service members, veterans, and military spouses to career pathways, ensuring our region retains the extraordinary talent of those who have served.

Preparing the Next Generation

Equally important, the Hampton Roads Workforce Council is dedicated to preparing the next generation. Our youth initiatives provide career exposure, professional development, and paid work experience to thousands of young people each year. By working closely with community colleges, universities, K–12 public schools, and community-based nonprofits, the Workforce Council is helping connect the emerging workforce to career opportunities right here in Hampton Roads.

A Call to Action

The workforce challenges facing Hampton Roads are real, but so are the opportunities. With business, government, and education aligned, we can create a talent ecosystem that meets the urgent needs of today and positions our region for long-term growth. We invite the business community to join us on this critical endeavor by partnering on apprenticeships, hiring program graduates, and investing in the next generation of workers. Together, we are unlocking Hampton Roads’ full potential.

Andrew Nissman is the Director of Grants & Corporate Stewardship at the Hampton Roads Workforce Council, where he steers regional funding and corporate partnerships to strengthen priority talent pipelines. Andrew also represents the Council in regional initiatives—from JFF’s Public Sector Digital Jobs Innovation Project, where he’s quoted on IT workforce needs, to economic development panels spotlighting Hampton Roads’ growth sectors. Ask Andrew about sponsoring the 2025 Workforce Innovation Awards to be held in Portsmouth on October 9th.

theworkforcecouncil.org

Here & Now

Hampton Roads -- A premier destination for international businesses

Opportunity in the Wake of Federal Workforce Cuts

Let’s take a closer look at how this new chapter can catalyze a bold era of transformation for Norfolk, Hampton Roads, and beyond. - Norfolk Innovation Council, August 28, 2025

For decades, federal workforce expansion has shaped Northern Virginia into a dense government-adjacent enclave, fueled by proximity to D.C. and the gravitational pull of federal agencies, contractors, and administrative arms. But now, as budget constraints, political gridlock, and a renewed push for efficiency prompt a reduction in federal staffing and consolidation of roles, thousands of workers are facing a new reality.

Yet what if this isn’t just a disruption, but a redistribution? What if the story isn’t simply about contraction, but recalibration?

For member entities within the Norfolk Innovation Corridor (NIC), we believe the answer to both can be “yes” — and, more importantly, that this moment represents a window of opportunity for communities ready to seize it. Rather than dwell on job losses and headline panic, let’s take a closer look at how this new chapter can catalyze a bold era of transformation for Norfolk, Hampton Roads, and beyond.

Reallocating Talent: Human Capital on the Move

One of the biggest byproducts of federal workforce cuts isn’t just savings — it’s mobility. Tens of thousands of highly educated, security-cleared, and systems- savvy professionals are being nudged out of the D.C. beltway. Many are reevaluating priorities — looking for quality of life, affordability, career flexibility, and the chance to build something new. Enter Norfolk.

With a cost of living far below Northern Virginia, a growing research and tech ecosystem, and a proximity to military, maritime, and global trade assets, NIC offers an ideal landing spot for displaced talent. Here, individuals trained in policy, procurement, cyber defense, data analysis, engineering, and program management can find open doors in sectors hungry for their skills — but without the (sometimes) stifling bureaucracy of federal employment.

The Market Responds: Private Capital Steps In

Less federal spending does not mean fewer problems to solve — it means the solutions must now come from somewhere else. As public dollars retreat, private capital sees a vacuum and potential return. In the Norfolk Innovation Corridor, this looks like:

Startups tackling defense tech with agility, working closely with regional military installations.
Environmental resilience ventures, building on federal research with applied local innovation.
Tech incubators and accelerators, such as those at Old Dominion University (ODU) and Norfolk State University (NSU), welcoming entrepreneurs unshackled from government procurement cycles.
Venture funds seeking opportunities in underpriced regions with highly skilled labor.

The economic energy once locked inside the federal machine is being released — and it’s being redeployed by those with vision, grit, and investment capital.

Universities + Innovation Districts = New Engines of Growth

NIC’s anchor institutions — including ODU, NSU, and Tidewater Community College — are fertile ground for absorbing, retraining, and deploying talent. Whether it’s cybersecurity labs, climate science hubs, or data storytelling through public media, these organizations offer places where federal workers-turned-private actors can land and launch their next chapter.

For those pivoting to new careers, Hampton Roads’ robust credentialing, bootcamp, and upskilling programs offer re-entry into in-demand fields like healthcare tech, logistics, AI, and clean energy.

National Trends, Local Opportunity

Federal changes are already setting the stage for growth in industries tied to:

Homeland Security modernization.
Defense infrastructure upgrades.
Onshoring of advanced manufacturing.
International trade logistics, with Norfolk’s port leading the East Coast in innovation.

These conditions create an ecosystem where private enterprise, public good, and regional readiness intersect — and NIC stands at the center of it.

When Government Pulls Back, Innovation Pushes Forward

Rather than see the federal workforce cuts as a loss, NIC should instead look for prospects, intellectual capacity transfer, problem-solving skills, and capital to new frontiers. In this case, the saturated markets of The Beltway to the dynamic, rising regions of the Southeast — like Norfolk – are ready.

Word in the ’Roads

Recent press releases from the regional economic development authorities

TowneBank and Old Point merge, creating $19.5 billion asset group

PORTSMOUTH, Va. (WAVY) — Suffolk-based TowneBank and Hampton-based Old Point Financial Corporation completed their merger on September 1, 2025. As part of the merger agreement, TowneBank will acquire both Old Point and its subsidiary Old Point National Bank of Phoebus (OPNB) in the hopes of enhancing TowneBank’s position within Hampton Roads. After TowneBank’s recent acquisition of Village Bank and Trust Financial Corporation, the now combined companies will have total assets of $19.5 billion, loans of $13.1 billion and deposits of $16.3 billion.

Tourism Sector Update: Jobs Steady, Hotels Mixed

Hampton Roads Public Development Commission (PDC) - The Hampton Roads tourism sector is experiencing continued, albeit moderated, growth as of September 2025, with local hotel performance remaining firm despite national tourism cooling and international arrivals declining. The region's resilience is attributed to a strong reliance on domestic leisure travelers, making it less vulnerable to the slowdown in overseas tourism impacting other areas. While national leisure and hospitality employment has surpassed pre-pandemic levels, the Hampton Roads job recovery has been slower but is now steady.

Virginia's Tourism Success: In 2024, Virginia saw a record $35.1 billion in visitor spending, with Hampton Roads contributing a significant portion of the state's tourism economy, according to WAVY.com.

Virginia Explores Innovative Path to Economic Growth Through Colocation of Data Centers and Food Production Greenhouse

DANVILLE, VA - A new feasibility study highlights how co-locating high-tech agriculture with data centers can expand job creation, boost energy efficiency, and drive regional food system resilience. This report was released by non-profit Resource Innovation Institute (RII) in partnership with the Institute for Advanced Learning and Research (IALR) and GO Virginia Region 3.

Key Findings from the Report:

Waste heat from data centers can be repurposed to benefit greenhouse operations by providing energy, heating, and CO₂ for plant growth.
CEA offers strong job creation potential, with each 65-acre greenhouse supporting 140–270 jobs, significantly more than a typical data center.
Industrial clusters unlock shared infrastructure and economic multipliers, making co-located development more competitive than standalone facilities.
Southern Virginia is uniquely positioned to pilot this concept due to its broadband access, industrial sites, and assets like the CEA Innovation Center and robust workforce training programs.

James City, New Kent to See Population Booms, Researchers Say

Communities in the Historic Triangle and western Tidewater region will be among the fastest-growing localities in Virginia over the next 25 years, according to University of Virginia population estimates published last month. James City and New Kent counties are predicted to have population growth rates among the highest in Virginia, with York County, Williamsburg and King William County also gaining a significant number of residents over the next quarter-century.

In the Greater Tidewater region, New Kent County will be the leader in population growth, according to UVA’s projections, increasing its population to more than 39,500 residents by 2050, an expansion of greater than 72% over its 2020 population of 22,945.
James City County is also predicted to grow at a rapid pace, having nearly 112,500 residents by mid-century — an increase of almost 44% over its 2020 population of 78,254.

Legislative Affairs & Regulatory Compliance

Navigate the political and regulatory landscape with confidence and precision.

Employers Face $100K Surcharge on New H-1B Petitions Filed On or After Sept. 21

BUSINESS IMMIGRATION

On September 19, 2025, President Trump issued a proclamation titled “Restriction on Entry of Certain Nonimmigrant Workers,” reshaping how some H-1B cases are handled at consulates and the border. Beginning at 12:01 a.m. EDT on September 21, 2025, entry to the United States in H-1B status is limited unless the related petition is accompanied—or later supplemented—by a $100,000 payment. The measure is slated to run for 12 months unless it is extended.

The proclamation is aimed primarily at H-1B beneficiaries who are outside the United States. It directs the Department of Homeland Security to limit adjudications when the beneficiary is abroad and the petition lacks the required payment, and it instructs the Department of State to verify that payment before issuing any visa. Individuals already inside the country in valid H-1B status are not directly covered by the payment requirement, unless a new petition within the scope of the proclamation is filed on their behalf.

In the days following the announcement, agencies moved to clarify how the change applies:

USCIS, CBP, and the Department of State stated that the $100,000 payment is prospective only: it applies to new H-1B petitions filed on or after September 21, 2025. Petitions filed earlier are not subject to the new charge.
The agencies further confirmed that the proclamation does not cancel existing visas, does not retroactively affect already-approved petitions, and does not prevent current H-1B visa holders from traveling internationally under normal procedures. USCIS also noted that renewals and extensions are not impacted.
The payment is a one-time, petition-based requirement, not an annual or multi-year fee.

Early public commentary created confusion. Some remarks suggested a $100,000 per-year assessment or a $300,000 upfront amount, and others implied that current H-1B holders’ travel could be curtailed. Subsequent agency materials corrected that record: the rule requires a single $100,000 payment tied to new, post-effective-date petitions for beneficiaries abroad, and it leaves existing visas and travel for current H-1B workers unchanged.

Beyond the payment, the proclamation authorizes DHS to grant national-interest waivers to individual workers, companies, or entire industries, creating a potential path around the new requirement in limited cases. It also directs DHS and the Department of Labor to begin rulemakings on prevailing wages and on prioritizing higher-paid, higher-skilled H-1B workers—signals that further policy shifts may follow as those regulations are proposed and implemented.

Quick Employer Checklist

Hiring abroad on H-1B after Sept. 21, 2025? Budget for the $100,000 petition payment.
Verify whether a national-interest waiver could apply.
No action needed for: existing approvals, extensions of current H-1B workers, or travel by current H-1B holders under normal rules.
Monitor DOL/DHS rulemakings on wages/prioritization.

James B. "Jimmy" Wood

As the leader of the Business Immigration Law Team at Willcox Savage, Jimmy provides a wide array of legal services to employers and foreign employees seeking U.S. immigration benefits. His work includes numerous types of nonimmigrant visa cases, employment-based green card cases, and work before the U.S. Department of Labor in handling applications for permanent labor certification for hard-to-fill job positions.

Combined Rulings Favor Carriers: Culpepper Late Actions Void Denials, Flexibility to Reject High-rent Sites

BUSINESS LITIGATION WIN FOR TELECOM/WIRELESS CARRIERS

The United States Court of Appeals for the Fourth Circuit recently affirmed a lower court ruling that had overturned Culpeper County’s denial of a telecommunication tower application filed by Tillman Infrastructure.

The Fourth Circuit held that the tower application was deemed approved because the County let the 150-day shot clock run out without approving or denying it. Although the district court had also found that the denial lacked substantial evidence, the 3-judge panel at the Fourth Circuit determined that it did not have to reach that issue because the denial was void due to the missed shot-clock.

This ruling and the lower court ruling were victories for wireless carriers and infrastructure providers. The district court ruling also marked the first time that a federal court in Virginia had analyzed provisions of state and local law that allow a tower applicant to determine that co-location on an existing tower is not feasible on the basis of excessive rent, thereby making it easier for carriers to relocate off of or reject otherwise available high rent towers.

Willcox Savage business litigation attorney, Bethany Fogerty represented Tillman Infrastructure before the Federal District Court in Roanoke and the Fourth Circuit Court of Appeals.

Bethany J. Fogerty

Bethany is an attorney in the firm's Commercial Litigation practice group. She handles all phases of litigation, including trial and appeals, in both state and federal court. Her practice focuses on commercial litigation matters, including contract disputes, breach of fiduciary duty claims, tortious interference and business conspiracy claims, trade secret misappropriation, defamation, and land use litigation.

Where’s WilSav

Hope to see you at these upcoming events

Hampton Roads Chamber State of the Region | October 7

Produced by the Dragas Center for Economic Analysis and Policy at Old Dominion University, attendees will also receive a copy of the 2025 State of the Region Report during the event. Topics include: Defense, the Port, and Tourism; The Economic Impact of the Norfolk International Airport; and more. Register

Hampton Roads Workforce Council 2025 Workforce Innovation Awards | October 9

2025 Workforce Innovation Award Honorees: United Way of South Hampton Roads; Q.E.D Systems, Inc.; Dr. Cory McCray; ODU Monarch Internship & Co-Op Office; HII Mission Technologies; William & Mary Military & Veterans Affairs; City of Hampton Mayor Jimmy Gray

VSRA Contracts Committee Fall Seminar Series | October 8 & 22; November 5 & 19

Catch up with Government Contracts attorney Kevin Cosgrove at the Virginia Ship Repair Association's (VSRA) Contracts Committee seminar series focused on issues confronting small businesses. This series is for both members and non-members, and is held in the VSRA office on the 5^th floor of the World Trade Center in Norfolk.

2025 Virginia Forum on Infrastructure and Its Impact on Economic Development | October 28

Catch up with construction and business litigation attorney Kelley Holland at this forum focused on how strategic infrastructure investments can drive long-term prosperity throughout Virginia. Sponsored by the Virginia Chamber of Commerce in support of the development of Blueprint Virginia 2035.

Hampton Roads Alliance: Launching the Hampton Roads Playbook | October 29

Join us as we kickstart Hampton Roads’ next era of growth, mobilize regional assets, and align partners around a bold vision. Panelists include:

Stephen Edwards, CEO and Executive Director, The Port of Virginia
William “Bill” Murray, Senior Vice President, Dominion Energy
Rear Admiral (ret.) Chip Rock, Navy’s Mid-Atlantic Region

Lisa M. Murphy Re-appointed Chair of Virginia Beach Development Authority

Willcox Savage is pleased to announce that Lisa M. Murphy has been re-appointed Chair of the Virginia Beach Development Authority for a second sequential term. As a member of the firm, Lisa focuses her practice on advising local, regional and national clients with respect to all facets of real estate development and use including acquisition, zoning, permitting, financing and leasing.

Willcox Savage Business Solutions Series

Our lunch and learn speaker series delivering timely and operation-critical information to businesses operating in Hampton Roads

Willcox Savage 2025 Employment Law Update | October 14

Save-the-date for this annual half-day seminar hosted by the Labor and Employment Law Practice Group focused on the latest changes impacting employers in Virginia. Eligible attendees receive up to 3.5 SHRM and/or HRCI credits.

ICYMI - A Report from the Tariff Trenches: A Jigsaw in a Wind Tunnel | September 23

International Trade attorney Leonard Fleisig and International Business attorney William Tew presented this one-hour session focused on:

Current tariff levels, and how the import and trade communities are responding to this new playing field
Status of ongoing legal challenges to reciprocal tariffs
How exporters and importers are re-thinking their pricing and valuation methodologies
Overview of CBP’s heightened enforcement of practices it alleges promote unlawful evasion of current duty levels, e.g. “transshipment”

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