SEARCH SITE
VIRGINIA LAW PORTAL
- Code of Virginia
- Virginia Administrative Code
- Constitution of Virginia
- Charters
- Authorities
- Compacts
- Uncodified Acts
- RIS Users (account required)
SEARCHABLE DATABASES
- Bills & Resolutions
session legislation - Bill Summaries
session summaries - Reports to the General Assembly
House and Senate documents - Legislative Liaisons
State agency contacts
ACROSS SESSIONS
- Subject Index: Since 1995
- Bills & Resolutions: Since 1994
- Summaries: Since 1994
Developed and maintained by the Division of Legislative Automated Systems.
2001 SESSION
016027208Be it enacted by the General Assembly of Virginia:
1. That §§ 2.1-234.13 through 2.1-234.18, 2.1-234.20, 2.1-234.21, 2.1-234.23, 2.1-234.24 and 2.1-234.25 of the Code of Virginia are amended and reenacted as follows:
§ 2.1-234.13. Purposes and general powers and duties of Authority.
The Authority is created for the purpose of constructing, improving,
furnishing, maintaining, acquiring, financing, refinancing, and operating
public buildings for the use of the Commonwealth (heretofore or hereafter
constructed), state arsenals, armories, and military reserves, state
institutions of every kind and character (heretofore and hereafter
constructed), additions and improvements to land grant colleges, state
colleges, universities and medical colleges, and the purchase of lands for
rehabilitation purposes in connection with state institutions and for use of
state colleges, and museum facilities for a trust instrumentality of the United
States, and the purchase of lands for the development of public buildings which
that may be authorized by the General Assembly in the future, the acquisition
of items of personal property for the use of the Commonwealth, the financing or
refinancing of grants by the Commonwealth or the undertaking of capital projects
that benefit the Commonwealth, including grants or undertakings for state,
regional or local authorities, its entities, agencies, boards, instrumentalities, or any other
entity, pursuant to other applicable provisions of Virginia law, and the
financing or refinancing of reimbursements to localities or regional jail
authorities entities of all or any portion of the Commonwealth's share of the
costs for jail capital projects made pursuant to §§ 53.1-80, 53.1-81, 53.1-82,
or § 53.1-95.19 other applicable provisions of Virginia law, and the
refinancing of (i) bonds obligations issued by other state and local
authorities or political subdivisions of the Commonwealth where such bonds
obligations are secured by a lease or other payment agreement with
the Commonwealth or (ii) the Commonwealth's obligations under such leases or payment
agreements (any and all of the foregoing being herein called projects), the
purpose and intent of this article being to benefit the people of the Commonwealth by,
among other things, increasing their commerce and prosperity. The Authority shall
not undertake or finance or refinance any project or only those projects
which that are not specifically included in a any bill or resolution
passed by a majority of those elected to each house of the General Assembly,
authorizing such project or projects or the reimbursement of all or any
portion of the Commonwealth's share of the costs of such project or projects
and, as to any project relating to a state institution of higher education, not
specifically designated by the board of visitors of that institution as a
project to be undertaken by the Authority. The Authority is hereby granted and
shall have and may exercise all powers necessary or convenient for the carrying
out of the aforesaid purposes, including, but without limiting the generality
of the foregoing, the following rights and powers to:
1. To have Have perpetual existence as a corporation.
2. To sue Sue and be sued, implead and be impleaded, complain and defend in
all courts.
3. To adopt Adopt, use, and alter at will a corporate seal.
4. To acquire Acquire, purchase, hold and use any property, real, personal or
mixed, tangible or intangible, or any interest therein necessary or desirable for carrying out the
purposes of the Authority; without limitation of the foregoing, to lease as lessee, with the approval
of the Governor, any property, real, personal or mixed, or any interest therein
for a term not exceeding ninety-nine years at a nominal rental or at such
annual rental as may be determined; with the approval of the Governor, to lease
as lessor to the Commonwealth of Virginia and any city, county, town or other
political subdivision, or any agency, department, or public body of the Commonwealth, or
land grant college, instrumentality, or any other entity, pursuant to other
applicable provisions of Virginia law, any project at any time
constructed by the Authority and any property, real, personal or mixed, tangible or intangible,
or any interest therein, at any time acquired by the Authority, whether wholly or partially
completed; with the approval of the Governor, to sell, transfer and convey to
the Commonwealth of Virginia, any project at any time constructed by the
Authority; and, with the approval of the Governor, to sell, transfer and convey
any property, real, personal or mixed, tangible or intangible, or any interest therein, at
any time acquired by the Authority.
5. To acquire Acquire by purchase, lease, or otherwise, and to construct,
improve, furnish, maintain, repair, and operate projects.
6. To make Make bylaws for the management and regulation of its affairs.
7. To fix Fix, alter, charge, and collect rates, rentals, and other charges for
the use of the facilities of, or for the services rendered by, the Authority, or
projects Projects thereof, at reasonable rates to be determined by it for
the purpose of providing for the payment of the expenses of the Authority, the
construction, improvement, repair, furnishing, maintenance, and operation of
its facilities and properties, the payment of the principal of and interest on
its obligations Bonds, and to fulfill the terms and provisions of any
agreements made with the purchasers or holders of any such obligations Bonds.
8. To borrow Borrow money; make and issue negotiable notes, bonds, and other
evidences of indebtedness or obligations (herein called bonds) Bonds of the
Authority and such bonds Bonds as the Authority may, from time to time,
determine to issue for the purpose of refunding bonds Bonds previously issued
by the Authority; to secure the payment of all bonds Bonds, or any part
thereof, by pledge or deed of trust of all or any of its revenues, rentals, and
receipts; to make such agreements with the purchasers or holders of such bonds
Bonds or with others in connection with any such bonds Bonds,
whether issued or to be issued, as the Authority shall deem advisable; and in
general, to provide for the security for said bonds Bonds and the rights of
holders thereof.
The Authority shall submit an annual report to the Governor and General Assembly on or before November 1 of each year containing, at a minimum, the annual financial statements of the Authority for the year ending the preceding June 30. The annual report shall be distributed in accordance with the provisions of § 2.1-467.
9. To make Make contracts of every name and nature, and to execute all
instruments necessary or convenient for the carrying on of to carry out its
business.
10. Without limitation of the foregoing, to borrow money and accept grants
from, and to enter into contracts, leases or other transactions with, any federal agency.
11. To have Have the power of eminent domain.
12. To pledge Pledge or otherwise encumber all or any of the revenues or
receipts of the Authority as security for all or any of the obligations Bonds
of the Authority.
13. To do Do all acts and things necessary or convenient to carry out the
powers granted to it by this article or any other acts.
14. To acquire Acquire, by assignment from the Commonwealth or the Virginia
Retirement System, all contracts, including those which that are not completed,
which involve constructing, improving, furnishing, maintaining, and operating
the structures, facilities, or undertakings similar to those designated herein
as projects Projects.
15. To enter Enter into contractual agreements with localities or regional
jail authorities entities undertaking a jail capital project for which the
financing or refinancing of reimbursements of all or any portion of the Commonwealth's share of the costs of such
project will be made pursuant to subsection A 3 of § 53.1-82.2 other applicable
provisions of law.
Except as otherwise provided by law, when projects Projects are to be
constructed, improved, furnished, maintained, repaired or operated for the use of any department of the
Commonwealth, as hereinbefore listed in this section, no plans or
specifications therefor shall be presented for quotations or bids until such
the plans and specifications shall have been submitted to and
approved by the Department of General Services and any other department of the
Commonwealth having any jurisdiction over the projects Projects, so that the
project Project will conform to standards established by such departments.
§ 2.1-234.14. Revenue Bonds generally.
The Authority is hereby authorized may, by and with the consent of the
Governor, to provide for the issuance, at one time or from time to time, of
revenue bonds Bonds of the Authority for the purpose of paying all or any part
of the cost of any one or more projects or of any portion Projects or portions
thereof. The principal of and the interest on such bonds Bonds shall be payable
solely from the funds provided in this article for such payment. Any bonds
Bonds of the Authority issued pursuant to this article shall not
constitute a debt of the Commonwealth, or any political subdivision thereof other
than the Authority, and shall so state on their face. Neither the members of
the Authority nor any person executing such bonds Bonds shall be liable
personally thereon by reason of the issuance thereof. The bonds Bonds of each
issue shall be dated, shall bear interest, shall mature at such time or times
not exceeding forty years from their date or dates, as may be determined by the
Authority, and may be made redeemable before maturity, at the option of the
Authority, at such price or prices and under such terms and conditions as may
be fixed determined by the Authority, at such price or prices and under such
terms and conditions as may be fixed by the Authority prior to the issuance of
the bonds Bonds. The Authority shall determine the form and the manner of
execution of the bonds Bonds, including any interest coupons to be attached
thereto, and shall fix the denomination or denominations of the bonds Bonds and
the place or places of payment of principal and interest, which may be at any
bank or trust company within or without the Commonwealth. In case any officer whose
signature or a facsimile of whose signature shall appear appears on any bonds
Bonds or coupons shall cease to be such officer before the delivery
of such bonds Bonds, such signature or such facsimile shall nevertheless be
valid and sufficient for all purposes the same as if he had remained in office until such delivery.
The bonds Bonds may be issued in coupon or in registered form or both, as the
Authority may determine, and provision may be made for the registration of any
coupon bonds Bonds as to principal alone and also as to both principal and
interest, for the reconversion into coupon bonds Bonds of any bonds Bonds
registered as to both principal and interest, and for the interchange of
registered and coupon bonds Bonds. The Authority may sell such bonds Bonds
in such manner, either at public or private sale, and for such price as it may
determine will best effect the purposes of this chapter.
The proceeds of the bonds Bonds of each issue shall be used solely for the
payment of the cost of the projects Projects for which such bonds Bonds shall
have been issued, and shall be disbursed in such manner and under such restrictions, if any, as the Authority may provide
in the resolution authorizing the issuance of such bonds Bonds or in the trust
agreement hereinafter mentioned securing the same. If the proceeds of the bonds
Bonds of any issue, by error of estimates or otherwise, shall be less than such
cost, additional bonds Bonds may in like manner be issued to provide the amount
of such deficit, and, unless otherwise provided in the resolution authorizing the
issuance of such bonds Bonds or in the trust agreement securing the same,
shall be deemed to be of the same issue and shall be entitled to payment from the same fund
without preference or priority of the bonds Bonds first issued. If the proceeds
of the bonds Bonds of any issue shall exceed such cost, the surplus shall be
deposited to the credit of the sinking fund for such bonds Bonds, or may be
applied to the payment of the cost of any additional project or projects
Projects.
Prior to the preparation of definitive bonds Bonds, the Authority may, under
like restrictions issue interim receipts or temporary bonds Bonds, with or
without coupons, exchangeable for definitive bonds Bonds when such bonds Bonds
shall have been executed and are available for delivery. The Authority may also
provide for the replacement of any bonds Bonds which that shall become
mutilated or shall be destroyed or lost. Bonds may be issued under the
provisions of this chapter without obtaining the consent of any department,
division, commission, board, bureau or agency of the Commonwealth, and without
any other proceedings or the happening of any other conditions or things than
those proceedings, conditions or things which are specifically required by this
article.
§ 2.1-234.15. Trust agreement securing Bonds.
In the discretion of the Authority any bonds Bonds issued under the provisions
of this article may be secured by a trust agreement by and between the
Authority and a corporate trustee, which may be any trust company or bank
having the powers of a trust company within or without the Commonwealth. Such
The trust agreement or the resolution providing for the issuance of
such bonds Bonds may pledge or assign the revenues to be received, but shall
not convey or mortgage any project or any part thereof. Such The trust
agreement or resolution providing for the issuance of such bonds Bonds may
contain such provisions for protecting and enforcing the rights and remedies of
the bondholders as may be reasonable and proper and not in violation of law,
including covenants setting forth the duties of the Authority in relation to
the acquisition of property and the acquisition, construction, establishment,
improvement, extension, enlargement, maintenance, repair, operation and
insurance of the project or projects in connection with which such bonds Bonds
shall have been authorized, the rates and fees to be charged, the custody, safeguarding and
application of all moneys, and conditions or limitations with respect to the
issuance of additional bonds Bonds. It shall be lawful for any bank or
trust company incorporated under the laws of the Commonwealth which that may
act as depository of the proceeds of bonds Bonds or of revenues to furnish such
indemnifying bonds Bonds or to pledge such securities as may be required by the
Authority. Any such trust agreement may set forth the rights of action by bondholders. In addition to
the foregoing, any such trust agreement or resolution may contain such other
provisions as the Authority may deem reasonable and proper for the security of
the bondholders. All expenses incurred in carrying out the provisions of such
trust agreement or resolution may be treated as a part of the cost of the
operation of the project or projects Projects.
§ 2.1-234.16. Rents, fees and charges for financing or refinancing, services or use of facilities; use and disposition of revenues.
The Authority is hereby authorized to may fix, revise, charge, and collect
rates, fees, and other charges for the financing or refinancing of, the use of or for the services
and facilities furnished by each project Project and the different parts
thereof, and to contract with any agency, commission , political subdivision or
other entity desiring the use of any part thereof, and to fix the terms, conditions,
rents, and rates of charges for such use or financing or refinancing. Such rates, fees,
and other charges shall be so fixed and adjusted so that revenues of the
Authority, together with any other available funds, will be sufficient at all
times to pay (i) the cost of maintaining, repairing and operating such project
or projects Projects and (ii) the principal of and the interest on such bonds
the related Bonds as the same shall become due and payable, and to
create reserves for such purposes. Such rates, fees, and other charges shall not be
subject to supervision or regulation by any other commission, board, bureau, or
agency of the Commonwealth. The revenues derived from the project or projects
Projects in connection with which the bonds Bonds shall have been
issued, except such part thereof as may be necessary to pay such cost of maintenance, repair and operation
and to provide such reserves therefor as may be provided for in the resolution authorizing the issuance of
such bonds Bonds or in the trust agreement securing the same, shall be set
aside at such regular intervals as may be provided in such resolution or such trust agreement in a
sinking fund which is hereby pledged to, and charged with, the payment of the
principal of and the interest on such bonds Bonds as the same shall become due,
and the redemption price or the purchase price of bonds Bonds retired by call
or purchase as therein provided. Such pledge shall be valid and binding from
the time when the pledge is made, the revenues or other moneys so pledged and
thereafter received by the Authority shall immediately be subject to the lien
of such pledge without any physical delivery thereof or further act, and the
lien of any such pledge shall be valid and binding as against all parties
having claims of any kind in tort, contract or otherwise against the Authority,
irrespective of whether such parties have notice thereof. Neither the
resolution nor any trust agreement by which a pledge is created need be filed
or recorded except in the records of the Authority. The use and disposition of
moneys to the credit of such sinking fund shall be subject to the provisions of
the resolution authorizing the issuance of such bonds Bonds or of such trust
agreement. Except as may otherwise be provided in such resolution or such trust agreement, such
sinking fund shall be a fund for all such bonds Bonds without distinction or
priority of one over another.
§ 2.1-234.17. Moneys received deemed trust funds.
All moneys received pursuant to the authority of this article, whether as
proceeds from the sale of bonds Bonds or as revenues, shall be deemed to be
trust funds to be held and applied solely as provided in this article. The resolution authorizing the
bonds Bonds of any issue or the trust agreement securing such bonds Bonds shall
provide that any officer with whom, or any bank or trust company with which, such moneys shall be deposited shall act as a
trustee of such moneys and shall hold and apply the same for the purposes
hereof, subject to such regulations as this article and such the resolution or
trust agreement may provide.
§ 2.1-234.18. Proceedings by bondholder or trustee to enforce rights.
Any holder of bonds Bonds issued under the provisions of this article or any of
the coupons appertaining thereto, and the trustee under any trust agreement, except to the extent the
rights herein given may be restricted by such the trust agreement or the
resolution authorizing the issuance of such bonds the Bonds, may, either at law
or in equity, by suit, action, mandamus or other proceeding, protect and enforce any and all rights
under the laws of the Commonwealth or granted hereunder or under such the trust
agreement or resolution, and may enforce and compel the performance of all duties required by this
article or by such the trust agreement or resolution to be performed by the
Authority or by any officer thereof, including the fixing, charging, and collecting of rates, fees,
and other charges.
§ 2.1-234.20. Revenue refunding Bonds; Bonds for refunding and for cost of additional Projects.
The Authority is hereby authorized to provide for the issuance of revenue
refunding bonds Bonds of the Authority for the purpose of refunding any bonds
obligations then outstanding which that shall have been issued under
the provisions of this article or by other state and local authorities or political subdivisions of the
Commonwealth where such bonds obligations are secured by a lease or other
payment agreement with the Commonwealth, including the payment of any redemption premium thereon and
any interest accrued or to accrue to the date of redemption of such bonds
obligations, and, if deemed advisable by the Authority, for the additional
purpose of constructing improvements, extensions, or enlargements of the
project or projects in connection with which the bonds obligations to be
refunded shall have been issued. The Authority is further authorized to provide by resolution for the
issuance of its revenue bonds obligations for the combined purpose of (i)
refunding any bonds obligations then outstanding which that shall have been
issued under the provisions of this article or by other state and local authorities or political subdivisions of the
Commonwealth where such bonds obligations are secured by a lease or other
payment agreement with the Commonwealth, including the payment of any redemption premium thereon and
any interest accrued or to accrue to the date of redemption of such bonds
obligations, and (ii) paying all or any part of the cost of any additional
project or projects or any portion or portions thereof. The issuance of such
bonds the Bonds, the maturities and other details thereof, the rights of the
holders thereof, and the rights, duties and obligations of the Authority in
respect of the same shall be governed by the provisions of this article insofar
as the same may be applicable.
§ 2.1-234.21. Contracts, leases and other arrangements.
A. In connection with the operation of a facility owned or controlled by the
Authority, the Authority may enter into contracts, leases, and other
arrangements with any person or persons (i) granting the privilege of using or
improving the facility or any portion or facility thereof or space therein
consistent with the purposes of this article; (ii) conferring the privilege of
supplying goods, commodities, things, services, or facilities at the facility;
(iii) making available services to be furnished by the Authority or its agents
at the facility; and (iv) providing for the payment therefor.
In each case the Authority may establish the terms and conditions and fix the charges, rentals, or fee for the privilege or service, which shall be reasonable and uniform for the same class of privilege or service at each facility and shall be established with due regard to the property and improvements used and the expenses of operation to the Authority.
B. Except as may be limited by the terms and conditions of any grant, loan or agreement authorized by § 2.1-234.23, the Authority may by contract, lease, or other arrangements, upon a consideration fixed by it, grant to any qualified person, for a term not to exceed thirty years, the privilege of operating, as agent of the Authority or otherwise, any facility owned or controlled by the Authority; provided that no person shall be granted any authority to operate a facility other than as a public facility or to enter into any contracts, leases, or other arrangements in connection with the operation of the facility which the Authority might not have undertaken under subsection A of this section.
C. In connection with a project leased to or financed or refinanced for a trust
instrumentality of the United States where payments or contributions by the
Commonwealth and any political subdivision, together with amounts pursuant to
an agreement with such trust instrumentality to pay rent or other amounts, are
sufficient to pay the principal of and interest on the Authority's bonds Bonds
issued to finance or refinance such project, the Authority may agree that
such trust instrumentality shall assume all responsibility for the acquisition,
construction, operation, maintenance, and repair of the project and may further
agree that when the principal of all such bonds Bonds of the Authority and the
interest thereon have been paid in full or provision made therefor satisfactory to the Authority, the
trust instrumentality may acquire the Authority's interest in such project without payment of
additional consideration.
§ 2.1-234.23. Grants or loans of public or private funds.
The Authority is authorized to may accept, receive, receipt for, disburse, and
expend federal and state moneys and other moneys, public or private, including proceeds of the
Authority's bonds Bonds, made available by grant or loan or both, to
accomplish, in whole or in part, any of the purposes of this article. All federal moneys accepted
under this section shall be accepted and expended by the Authority upon such terms and conditions as
are prescribed by the United States and as are consistent with state law; and
all state moneys accepted under this section shall be accepted and expended by
the Authority upon such terms and conditions as are prescribed by the
Commonwealth.
§ 2.1-234.24. Exemption from taxes or assessments.
The exercise of the powers granted by this article will shall be in all
respects for the benefit of the people of the Commonwealth, for the increase of their commerce and
prosperity, and for the improvement of their health and living conditions, and as the operation and
maintenance of projects Projects by the Authority will constitute constitutes
the performance of essential governmental functions, the Authority shall not be required to pay any taxes or
assessments upon any project or any property acquired or used by the Authority
under the provisions of this article or upon the income therefrom, and any
bonds Bonds issued under the provisions of this article, their transfer
and the income therefrom (including any profit made on the sale thereof) shall at all times be
free from taxation within the Commonwealth.; provided that the The exemption
hereby granted under this section shall not be construed to extend to
persons conducting on the premises of a facility businesses for which local or state taxes would
otherwise be required.
§ 2.1-234.25. Governing body of Authority.
The powers of the Authority shall be exercised by a governing body consisting
of the members of the Authority acting as a board the Board. The board Board
shall elect from their number its membership a vice-chairman, a treasurer
and a secretary. In the absence of the chairman, the vice-chairman shall exercise the powers and
duties thereof. The offices of secretary and treasurer may be combined. The
board Board may elect such other officers from its own membership or from
without as it deems appropriate who need not be members of the Board.
Four members shall constitute a quorum of the board Board for the purpose of
organizing the Authority, and conducting the its business thereof and for all
other purposes., and all All actions shall be taken by vote of a majority of
the members of the Authority Board, unless in any case the bylaws of the
Authority shall require a larger number.
The board shall have full authority to manage the properties and business of the Authority, and to prescribe, amend, and repeal bylaws, rules, and regulations governing the manner in which the business of the Authority may be conducted, and the powers granted to it may be exercised and embodied. The board may assign to the Treasury Board or the State Treasurer such powers and duties as it may deem proper.