Virginia Code 58.1-3245.4: Issuance of obligations for project costs.
Any county, city or town which adopts tax increment financing may issue obligations and may make development project cost commitments secured by the Tax Increment Financing Fund established in § 58.1-3245.2 to finance the development project costs. All obligations issued pursuant to this section shall be subject to the requirements and limitations of the Public Finance Act (Chapter 26 of Title 15.2) and the charter provisions of each county, city or town. The ordinance authorizing the issuance of obligations may pledge all or any part of the funds deposited in the Tax Increment Financing Fund for the payment of the development project costs and any obligations to be issued to finance them. Any revenues in the Tax Increment Financing Fund which are not pledged as security for the obligations issued or allocated for development project cost commitments shall be deemed “surplus funds.” At the end of the tax year, all surplus funds may be paid into the general fund of the county, city or town in which the development project area is located. The local governing body may agree, in writing, to pay all or a portion of any project development cost in annual installments from the tax increment and other available funds.
Terms Used In Virginia Code 58.1-3245.4
- City: means an independent incorporated community which became a city as provided by law before noon on July 1, 1971, or which has within defined boundaries a population of 5,000 or more and which has become a city as provided by law. See Virginia Code 1-208
- Development project area: means any area designated for development or redevelopment, including any area designated for a dredging project other than a dredging project for or by the Virginia Port Authority, unless the Virginia Port Authority has an agreement with a local governing body for local financial participation in such a project, in an ordinance passed by the local governing body. See Virginia Code 58.1-3245
- Governing body: means the board of supervisors, council or other legislative body of any county, city or town. See Virginia Code 58.1-3245
- in writing: include any representation of words, letters, symbols, numbers, or figures, whether (i) printed or inscribed on a tangible medium or (ii) stored in an electronic or other medium and retrievable in a perceivable form and whether an electronic signature authorized by Virginia Code 1-257
- Locality: means a county, city, or town as the context may require. See Virginia Code 1-221
- Obligations: means bonds, general obligation bonds and revenue bonds as defined in § Virginia Code 58.1-3245
- Personal property: All property that is not real property.
- real estate: includes lands, tenements and hereditaments, and all rights and appurtenances thereto and interests therein, other than a chattel interest. See Virginia Code 1-219
- Tax increment: means the amount by which the current assessed value of real estate exceeds the base assessed value. See Virginia Code 58.1-3245
- Town: means any existing town or an incorporated community within one or more counties which became a town before noon, July 1, 1971, as provided by law or which has within defined boundaries a population of 1,000 or more and which has become a town as provided by law. See Virginia Code 1-254
A county, city or town may also pledge any part or combination of the following revenues for a period not to exceed the term of the obligations:
1. Net revenues of all or part of any development project;
2. All real estate and tangible personal property taxes;
3. The full faith and credit of the locality;
4. Any other taxes or anticipated revenues that the county, city or town may lawfully pledge.
1988, c. 776; 1990, c. 296; 1994, c. 667.