§3-1.00 TRANSFERS

§3-1.01 INTERFUND TRANSFERS

A.1. In order to reimburse the general fund of the state treasury for expenses herein authorized to be paid therefrom on account of the activities listed below, the State Comptroller shall transfer the sums stated below to the general fund from the nongeneral funds specified, except as noted, on January 1 of each year of the current biennium. Transfers from the Alcoholic Beverage Control Fund to the general fund shall be made four times a year, with each payment amounting to one-fourth of the total for the year, and such transfers shall be made within fifty (50) days of the close of the quarter. The payment for the fourth quarter of each fiscal year shall be made in the month of June.

2.a. Transfers of net profits from the Alcoholic Beverage Control Fund to the general fund shall be made four times a year, and such transfers shall be made within fifty (50) days of the close of each quarter. The transfer of fourth quarter profits shall be estimated and made in the month of June. In the event actual net profits are less than the estimate transferred in June, the difference shall be deducted from the net profits of the next quarter and the resulting sum transferred to the general fund. Distributions to localities shall be made within fifty (50) days of the close of each quarter. Net profits are estimated at $21,177,000 the first year and $20,977,000 the second year.

b. Pursuant to § 4.1-116 B, Code of Virginia, the Department of Alcoholic Beverage Control shall notify the State Comptroller of the amount to be deducted quarterly from the net profits for transfer to the reserve fund established by the cited section.

B. If any transfer to the general fund required by this subsection § 3-1.01 is subsequently determined to be in violation of any federal statute or regulation, the State Comptroller is hereby directed to reverse such transfer and to return such funds to the affected nongeneral fund account.

C. In order to fund such projects for improvement of the Chesapeake Bay and its tributaries as provided in § 58.1-2146 D, Code of Virginia, there is hereby transferred to the general fund of the state treasury the amounts listed below. The Department of Motor Vehicles shall be responsible for effecting the provisions of this paragraph. The amounts listed below shall be transferred on June 30 of each fiscal year.

D. The provisions of Chapter 6 of Title 58.1, Code of Virginia notwithstanding, the State Comptroller shall transfer to the general fund from the special fund titled "Collections of Local Sales Taxes" a proportionate share of the costs attributable to increased local sales and use tax compliance efforts and retention of local mapping services by the Department of Taxation estimated at $4,181,011 $4,107,747 the first year and $4,181,011 the second year.

E. The State Comptroller shall transfer to the general fund from the Transportation Trust Fund a proportionate share of the costs attributable to increased sales and use tax compliance efforts by the Department of Taxation estimated at $1,892,439 the first year and $1,892,439 the second year.

F. The State Comptroller shall transfer on or before June 30, 1999, and June 30, 2000, respectively, to the general fund of the state treasury the following amounts from the agencies and fund sources listed below, for expenses incurred by central service agencies:

G. The Comptroller shall transfer to the general fund an amount, including the deposit required by Item 566, paragraph H, of this act. estimated at $347,000,000 $314,400,000 the first year and $342,000,000 $310,300,000 the second year from the State Lottery Fund. The transfer for each year shall be made in two parts: (1) on or before June 30 of each year, the Comptroller shall transfer balances of the State Lottery Fund for the fiscal year, based on an estimate determined by the State Lottery Department and (2) no later than ten days after receipt of the annual audit report required by § 58.1-4023, Code of Virginia, the Comptroller shall transfer to the general fund the remaining audited balances of the State Lottery Fund for the prior fiscal year. If such annual audit discloses that the actual revenue is less than the estimate on which the transfer was based, the State Comptroller shall transfer the difference between the actual revenue and the estimate from the general fund to the State Lottery Fund. The State Comptroller shall take all actions necessary to effect the transfers required by this paragraph, notwithstanding the provisions of § 58.1-4022, Code of Virginia.

H.1. The State Treasurer is authorized to charge up to 20 basis points for each nongeneral fund account which he manages and which receives investment income. The assessed fees, which are estimated to generate $3,000,000 the first year and $3,000,000 the second year, will be based on a sliding fee structure as determined by the State Treasurer. The amounts shall be paid into the general fund of the state treasury.

2. The State Treasurer is authorized to charge institutions of higher education participating in the pooled bond program of the Virginia College Building Authority an administrative fee of up to 10 basis points of the amount financed for each project in addition to a pro rata share of direct costs of issuance. Such amounts collected shall be paid into the general fund of the state treasury.

I. The State Comptroller shall transfer to the general fund of the state treasury fifty percent of the annual reimbursement received from the Manville Property Damage Settlement Trust for the cost of asbestos abatement at state owned facilities. The balance of the reimbursement shall be transferred to the state agencies that incurred the expense of the asbestos abatement.

J. The State Comptroller shall transfer to the general fund from the Revenue Stabilization Fund in the state treasury any amounts in excess of the limitation specified in § 2.1-191.2, Code of Virginia.

K. Not later than thirty days after the close of each quarter during the biennium, the Comptroller shall transfer, based on the allotment specified in § 58.1-1410, Code of Virginia, funds collected pursuant to § 58.1-1402, Code of Virginia, from the general fund to the game protection fund. This transfer is estimated at $3,500,000 the first year and $5,000,000 the second year.

L. On or before June 30,1999, the State Comptroller shall transfer to the general fund an amount estimated at $71,185 from the Federal Retiree Tax Reserve created pursuant to Enactment No. 2, §§ 1 B and 3 B of Chapter 5 of the Acts of Assembly of 1994, Special Session I. This amount represents settlement payments waived by certain taxpayers in connection with income tax refunds disputed by federal retirees.

M. The State Comptroller shall transfer prior to January 1, 1999, and January 1, 2000, respectively, to the general fund of the state treasury the following amounts from the agencies and fund sources listed below, for expenses incurred in processing payroll.

N. On or before June 30 each year of the biennium, the State Comptroller shall transfer an amount not to exceed $1,520,000 the first year and $1,520,000 the second year from the general fund to the general account to repay the treasury loan provided to the Department of Accounts to replace the payroll and personnel systems with an integrated human resource information system. In the event that the amount of the loan balance at the date of repayment is less than $1,520,000, the entire loan balance shall be paid off.

O. The State Comptroller shall withhold or recover from nongeneral fund agencies, and transfer to the general fund, amounts estimated at $997,200 the first year and $997,200 the second year, through surcharges or other measures consistent with generally accepted accounting principles. Such sums shall be derived based on each of the nongeneral fund agencies' pro rata use of the state centralized payroll processing system. These sums shall be used for repayment of advances from the general account for development of the Integrated Human Resource Information System.

P. On or before June 30 each year, the State Comptroller shall transfer from the general fund, to the Virginia Children's Medical Security Insurance Plan Trust Fund the amount required by § 32.1-352, Code of Virginia. This transfer is estimated at $7,570,337 each year.

Q. Prior to June 30, each year 1999, the State Comptroller shall transfer $3,100,000 $2,900,000 to the Transportation Trust Fund from the Department of Motor Vehicles Special Fund.

R. On or before June 30, 2000, the State Comptroller shall transfer to the general fund of the state treasury an amount estimated at $500,000 from the balance of funds in the Business Modernization Loan Program.

S. No later than June 30, 1999, the State Comptroller shall transfer to the general fund an amount estimated at $616,233 from special fund balances in the Division of Debt Collection in the Office of the Attorney General and Department of Law.

T. The Department of Corrections 1. On or before June 30 of each year, the State Comptroller shall transfer monthly to the general fund, the net revenues of from the Contract Prisoners Special Revenue Fund, as provided established in § 4-2.01 Item 472 of the this act., This transfer is amounts estimated at $2,706,883 $8,706,883 the first year and $21,383,807 the second year.

2. On or before June 30, 1999, the State Comptroller shall transfer to the Contract Prisoners Special Revenue Fund, as established in Item 472 of this act, from the Corrections Special Reserve Fund, as established by §30-19.1:4, Code of Virginia, an amount estimated at $1,000,000.

U. The Comptroller shall transfer an amount estimated at $11,568,000 from the Constitutional Officers' Liability Reserves of the Department of General Services to the general fund of the state treasury no later than June 30, 1999 2000.

V. The Comptroller shall transfer an amount estimated at $63,163 from the Medical Malpractice Liability Reserves of the Department of General Services to the general fund of the state treasury no later than June 30, 1999 2000.

W. The Comptroller shall transfer an amount estimated at $2,000,000 $3,000,000 to the general fund no later than June 30, 2000, from revenue collections in excess of appropriations for the Department of Mental Health, Mental Retardation and Substance Abuse Services.

X. The Comptroller shall transfer to the general fund an amount estimated at $757,774 on or before June 30, 1999 and $767,758 on or before June 30, 2000, representing the nongeneral fund savings resulting from a Department of Information Technology rate decrease for telecommunications and computer services effective January, 1998. The Director of the Department of Planning and Budget shall provide the Comptroller with the amount to be transferred from each agency.

Y. No later than June 30, 2000, the State Comptroller shall transfer an amount estimated at $3,147,274 $2,612,521 representing excess retained earnings from the telecommunications services and computer services funds of the Department of Information Technology. This transfer shall exclude funds from the federal trust fund, institutions of higher education, and the Virginia Retirement System.

Z. Notwithstanding the provisions of § 58.1-4020, Code of Virginia, and in compliance with the provisions of Section 8 of Article VIII of the Constitution of Virginia authorizing the General Assembly to set aside Literary Fund moneys for school purposes so long as the principal of the Fund totals as much as $80,000,000, an amount equal to the total value of the prizes forfeited during the fiscal year and deposited to the Literary Fund, estimated at $9,200,000 $9,000,000 each year, shall be transferred at least quarterly to the general fund, to be used solely and exclusively to support a program of financial assistance for public school facilities.

AA. The State Comptroller shall transfer $42,194 from the general fund to the Virginia Export Loan Guarantee Fund on or before June 30, 1999, representing interest on the Fund for fiscal year 1998.

BB. The Comptroller shall, no later than June 30, 2000, transfer $7,052,100 from the Department of Environmental Quality's Virginia Water Quality Improvement Fund to the general fund to correct for an error in the calculation of the deposit required by § 10.1-2128, Code of Virginia.

CC. The Comptroller shall transfer to the general fund on or before June 30, 2000, an amount estimated at $1,159,876, representing the nongeneral fund savings from the suspension of automobile liability premium payments effective July 1, 1999. The Director of the Department of Planning and Budget shall provide the Comptroller with the amount to be transferred from each agency.

DD. Notwithstanding the provisions of § 58.1-1803, Code of Virginia, on or before June 30, 1999, the State Comptroller shall transfer $522,847 to the general fund from the Contract Collector Fund for payments made on behalf of the Fund during fiscal year 1998.

EE. The State Comptroller shall transfer an amount estimated at $788,707 to the general fund on or before June 30, 1999, from the Teacher Liability Insurance Program.

FF. The Comptroller shall transfer from the Department of Housing and Community Development to the general fund on or before June 30, 1999, an amount estimated at $561,856 from dedicated special revenues derived from repayments to the Business Modernization Loan Program.

GG. The Comptroller shall transfer from the Department of Environmental Quality to the general fund on or before June 30, 2000, an amount estimated at $1,000,000 from special revenues in the Air Pollution Permit Program Fund.

HH. The State Comptroller shall transfer on or before June 30, 2000, to the general fund an amount estimated at $50,000 from excess balances in the Virginia Employment Commission's Special Unemployment Compensation Administration Fund.

II. On or before June 30, 1999, the Comptroller shall transfer to the general fund an amount estimated at $6,737,625 from payments received by the Department of Corrections from the U.S. Immigration and Naturalization Service for housing illegal aliens and other prisoners. Effective July 1, 1999, all such payments shall be deposited directly into the general fund, consistent with § 4-2.02 a.1.g) of this act. The estimated amount of the payment to be received during the second year is $1,862,375.

JJ. Prior to June 30, 1999, the State Comptroller shall transfer to the general fund an amount estimated at $979,000 from the Central Distribution Warehouse internal service fund of the Department of General Services.

KK. The Comptroller shall transfer an amount estimated at $1,086,400 from the Property, Boiler and Machinery Insurance Fund of the Department of General Services to the general fund of the state treasury no later than June 30, 2000. The Comptroller shall return the federal portion of such excess reserves to the Treasurer of the United States.

LL. The Comptroller shall transfer to the general fund on or before June 30, 1999, an amount estimated at $408,550 from the Consumer Trust Fund of the Office of the Attorney General (Fund 0239).

MM. Prior to June 30, 1999, the State Comptroller shall transfer to the general fund an amount estimated at $105,000 from the Surplus Property internal service fund of the Department of General Services.

NN. Prior to June 30, 1999, the State Comptroller shall transfer to the general fund an amount estimated at $530,000 from the Division of Consolidated Laboratories internal service fund of the Department of General Services.

OO. Prior to June 30, 1999, the State Comptroller shall transfer to the general fund an amount estimated at $2,576,246 from the Building Maintenance internal service fund of the Department of General Services.

§ 3-1.02 INTERAGENCY TRANSFERS

A.1. On July l of each year of the biennium, the Commonwealth Transportation Commissioner shall transfer the sum of $400,000 from the Transportation Trust Fund to the Insurance Trust Fund in the Department of General Services. This transfer shall be made annually until the $5,000,000 transferred from the Insurance Trust Fund to the Liability Insurance Trust Fund for Commuter Rail Services pursuant to § 3-1.01 I of Chapter 723 of the 1991 Acts of Assembly has been repaid. The Director of the Department of General Services is authorized to call upon the Transportation Trust Fund for sums up to a total of $5,000,000 for the Insurance Trust Fund in order to maintain a positive cash flow in the Insurance Trust Fund.

2. To the extent that any of the $5,000,000 is transferred from the Transportation Trust Fund to the Insurance Trust Fund by virtue of the authority contained herein, such amount shall be credited toward the $5,000,000 repayment due the Insurance Trust Fund.

B. The Department of Alcoholic Beverage Control shall transfer $205,000 the first year and $205,000 the second year of the biennium to the Department of Criminal Justice Services for testing services provided for ABC Law Enforcement.

C. The Department of Alcoholic Beverage Control shall transfer $593,600 the first year and $593,600 the second year of the biennium to the Department of Criminal Justice Services to fund the Breathalyzer Training and Certification Program.

D. The Virginia Department of Transportation shall transfer, from motor fuel tax revenues, $251,883 the first year and $251,883 the second year to the Department of General Services for motor fuels testing.

E. On or before June 30, 1999, and June 30, 2000, the State Comptroller shall transfer to the Virginia Technology Infrastructure Fund of the Council on Information Management any balances in the Automated Data Processing Services and the Telecommunications Services internal services funds of the Department of Information Technology, excluding the federal share of such balances. The federal share of such balances shall be calculated based on a methodology developed jointly by the Department of Accounts and the Department of Planning and Budget. The combined total of the transfers from both funds shall not exceed $200,000 on each of the dates date specified above.

§ 3-1.03 SHORT-TERM ADVANCE TO THE GENERAL FUND FROM NONGENERAL FUNDS

A. To meet the occasional short-term cash needs of the general fund during the course of the year when cumulative year-to-date disbursements exceed temporarily cumulative year-to-date revenue collections, the State Comptroller is authorized to draw cash temporarily from nongeneral fund cash balances deemed to be available, although special dedicated funds related to commodity boards are exempt from this provision. Such cash drawdowns shall be limited to the amounts immediately required by the general fund to meet disbursements made in pursuance of an authorized appropriation. However, the amount of the cash drawdown from any particular nongeneral fund shall be limited to the excess of the cash balance of such fund over the amount otherwise necessary to meet the short-term disbursement requirements of that nongeneral fund. The State Comptroller will ensure that those funds will be replenished in the normal course of business.

B. In the event that nongeneral funds are not sufficient to compensate for the operating cash needs of the general fund, the State Treasurer is authorized to borrow, temporarily, required funds from cash balances within the Transportation Trust Fund, where such trust fund balances, based upon assessments provided by the Commonwealth Transportation Commissioner, are not otherwise needed to meet the short-term disbursement needs of the Transportation Trust Fund, including any debt service and debt coverage needs, over the life of the borrowing. In addition, the State Treasurer shall ensure that such borrowings are consistent with the terms and conditions of all bond documents, if any, that are relevant to the Transportation Trust Fund.

C. The Secretary of Finance, the State Treasurer and the Commonwealth Transportation Commissioner shall jointly agree on the amounts of such interfund borrowings. Such borrowed amounts shall be repaid to the Transportation Trust Fund at the earliest practical time when they are no longer needed to meet short-term cash needs of the general fund, provided, however, that such borrowed amounts shall be repaid within the biennium in which they are borrowed. Interest shall accrue daily at the rate per annum equal to the then current one-year United States Treasury Obligation Note rate.

D. Any temporary loan shall be evidenced by a loan certificate duly executed by the State Treasurer and the Commonwealth Transportation Commissioner specifying the maturity date of such loan and the annual rate of interest. Prepayment of temporary loans shall be without penalty and with interest calculated to such prepayment date. The State Treasurer is authorized to make, at least monthly, interest payments to the Transportation Trust Fund.

§ 3-2.00 WORKING CAPITAL FUNDS AND LINES OF CREDIT

§ 3-2.01 ADVANCES TO WORKING CAPITAL FUNDS

The unpaid balance of the loan from the state treasury to the Virginia Racing Commission, currently recorded on the books of the State Comptroller and estimated at $877,790 $1,049,630, on July 1, 1998, shall be considered as a working capital advance for the Commission. The funds to repay the advance shall be generated from revenues collected by the Commission. It is estimated that this advance will be repaid the first year, in its entirety. The Commission shall repay at least $800,000 owed on state treasury loans by June 30, 1999. The remainder of the advance shall be repaid by January 3, 2000. The State Comptroller shall make available to the Racing Commission, on July 1 of each year, the amount of $125,000 from the general fund as a temporary cash flow advance, to be repaid by December 30 of each year.

§ 3-2.02 CHARGES AGAINST WORKING CAPITAL FUNDS

The State Comptroller may periodically charge the appropriation of any state agency for the expenses incurred for services received from any program financed and accounted for by working capital funds. Such charge may be made upon receipt of such documentation as in the opinion of the State Comptroller provides satisfactory evidence of a claim, charge or demand against the appropriations made to any agency. The amounts so charged shall be recorded to the credit of the appropriate working capital fund accounts. In the event any portion of the charge so made shall be disputed, the amount in dispute may be restored to the agency appropriation by direction of the Governor.

§ 3-2.03 LINES OF CREDIT

The State Comptroller shall provide lines of credit to the following agencies, not to exceed the amounts shown:

The State Comptroller shall execute an agreement with each agency documenting the procedures for the line of credit, including, but not limited to, applicable interest and the method for the drawdown of funds. The provisions of § 4-3.02 b of this act shall not apply to these lines of credit.

§ 3-3.00 GENERAL FUND DEPOSITS

§ 3-3.01 PAYMENT BY THE VIRGINIA PUBLIC SCHOOL AUTHORITY

A. The Virginia Public School Authority shall transfer to the general fund an amount estimated at $137,000 on or before June 30, 1999, and an amount estimated at $137,000 on or before June 30, 2000, to reimburse the Commonwealth for staff and other administrative services provided to the Authority by the Department of the Treasury.

B. The Virginia Public School Authority shall transfer to the general fund an amount estimated at $1,000,000 on or before June 30, 2000.

§ 3-3.02 PAYMENT BY THE STATE TREASURER

The State Treasurer shall transfer $200,000 on or before June 30, 1999, and $200,000 on or before June 30, 2000, to the general fund from excess 9 (C) sinking fund balances.

§ 3-3.03 PAYMENTS FOR SURPLUS REAL PROPERTY

A. The City of Virginia Beach shall pay to the Commonwealth, at terms to be determined, $6,299,518 to purchase surplus properties at Camp Pendleton State Military Reservation, pursuant to Chapter 690 of the 1994 Acts of Assembly. The City shall retain $2,800,000 for a Beach and Shoreline Management and Restoration Project pursuant to Chapter 655 of the 1992 Acts of Assembly. Proceeds in excess of the $2,800,000 shall be transferred to the state treasury with one-half of the amount deposited to the general fund and with one-half of the amount deposited to the credit of the Conservation Resources Fund. If the Restoration Project has not been constructed by June 30, 2001, then the City shall return $2,800,000 to the Commonwealth.

B. Proceeds from the sale of the Waller Supply Depot of the Department of Military Affairs in Richmond shall be used to finance the renovations of warehouse facilities at Fort Pickett. Of the proceeds not required to cover the cost of renovations, half shall be deposited to the credit of the Conservations Resources fund and half shall be deposited to the credit of the general fund, pursuant to § 2.1-512, Code of Virginia.

§ 3-3.04 PAYMENT FROM VIRGINIA POWER COMPANY

The State Comptroller shall deposit to the general fund an amount estimated at $4,950,000 from a refund of overcharges received from Virginia Power Company, as ordered by the State Corporation Commission. Out of this amount the following allocations shall be made:

A. An amount estimated at $1,000,000 shall be set aside to reimburse auxiliary enterprises in the institutions of higher education and federal fund appropriations in state agencies for their proportionate share of the refund.

B. An amount not in excess of $1,000,000 shall be deposited in the Energy Efficiency Fund created by Item C-6.10 of this act. This sum shall be used for the purposes of the Energy Efficiency Fund as set out in that Item.

§ 3-4.00 AUXILIARY ENTERPRISES IN INSTITUTIONS OF HIGHER EDUCATION

§ 3-4.01 AUXILIARY ENTERPRISE INVESTMENT YIELDS

A. The educational and general programs in institutions of higher education shall recover the full indirect cost of auxiliary enterprise programs as determined by the State Council of Higher Education. The State Comptroller shall credit those institutions meeting this requirement with the interest earned by the investment of the funds of their auxiliary enterprise programs.

B. No interest shall be credited for that portion of the fund's cash balance that represents any outstanding loans to the Treasurer of Virginia. The provisions of this section shall not apply to the capital projects authorized under Items C-36.21 and C-36.40 of Chapter 924, 1997 Acts of Assembly.