{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/21-137.1.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/21-137.1.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/21-137.1.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/21-137.1.html"}],"law_id":80554,"edition_id":1,"section_id":80554,"structure_id":14396,"section_number":"21-137.1","catch_line":"Payment of interest on and maintenance of sinking fund for term bonds; tax levy; what constitutes “term bonds” and “serial bonds.”","history":"1972, c. 236.","full_text":"When term bonds have been issued the net revenue derived from the operation of such systems shall be set apart by the said board to pay the interest on the bonds so issued or to be issued, and to create a sinking fund to redeem the principal thereof at maturity. The board of supervisors is hereby authorized and empowered to apply any part or all of said sinking fund to the payment, if redeemable by their terms, or to the purchase of any such bonds, at any time, and all bonds so paid off or purchased by the board of supervisors shall be immediately cancelled, and shall not be reissued. The board of supervisors is authorized and empowered to invest all accumulations of money to the credit of the sinking fund in bonds of the United States, of the Commonwealth of Virginia, or of any county, city or town of the Commonwealth of Virginia, or to lend out, upon real estate security, the loan not to exceed fifty per centum of the assessed value of such real estate, or deposit in bank at interest, all accumulations of money to the credit of the sinking fund and to collect and reinvest the same and the interest accruing thereon from time to time, so often as is necessary or expedient, until the bonds become subject to call; provided that no money to the credit of the sinking fund shall be loaned out or deposited or invested by the board of supervisors unless such loan, deposit or investment is first approved by the circuit court of the county, or the judge in vacation, and the form of the security be examined and approved by the attorney for the Commonwealth of the county, which approval shall be entered of record in the order book of the court.\n\t\tThe treasurer shall not be liable for any funds herein provided for that are lost while on deposit made by order of the board of supervisors with any bank or banks, or when invested in any real estate security as provided herein, but the board of supervisors may require of any such bank a bond, with corporate or other surety, to secure such deposit, or may require a pledge of securities to secure such deposits as provided in \u00a7\u00a7 58.1-3158 and 2.2-4400.\n\t\tThe board of supervisors shall, if necessary for the payment of interest on the bonds or to increase the sinking fund provided for hereunder, levy an annual tax upon all property in such sanitary district subject to local taxation to pay such interest and to make payments into such sinking fund. For the purposes of this section and \u00a7 21-137.2, the words “serial bonds” and “term bonds” shall have the respective meanings customarily given them in the municipal bond market. A finding made by the board of supervisors that an issue of bonds comprises term bonds or serial bonds, or that specified portions thereof comprise term bonds or serial bonds, as the case may be, shall be conclusive for all purposes of this section and \u00a7 21-137.2.","order_by":null,"text":{"0":{"id":288612,"text":"When term bonds have been issued the net revenue derived from the operation of such systems shall be set apart by the said board to pay the interest on the bonds so issued or to be issued, and to create a sinking fund to redeem the principal thereof at maturity. The board of supervisors is hereby authorized and empowered to apply any part or all of said sinking fund to the payment, if redeemable by their terms, or to the purchase of any such bonds, at any time, and all bonds so paid off or purchased by the board of supervisors shall be immediately cancelled, and shall not be reissued. The board of supervisors is authorized and empowered to invest all accumulations of money to the credit of the sinking fund in bonds of the United States, of the Commonwealth of Virginia, or of any county, city or town of the Commonwealth of Virginia, or to lend out, upon real estate security, the loan not to exceed fifty per centum of the assessed value of such real estate, or deposit in bank at interest, all accumulations of money to the credit of the sinking fund and to collect and reinvest the same and the interest accruing thereon from time to time, so often as is necessary or expedient, until the bonds become subject to call; provided that no money to the credit of the sinking fund shall be loaned out or deposited or invested by the board of supervisors unless such loan, deposit or investment is first approved by the circuit court of the county, or the judge in vacation, and the form of the security be examined and approved by the attorney for the Commonwealth of the county, which approval shall be entered of record in the order book of the court.\n\t\tThe treasurer shall not be liable for any funds herein provided for that are lost while on deposit made by order of the board of supervisors with any bank or banks, or when invested in any real estate security as provided herein, but the board of supervisors may require of any such bank a bond, with corporate or other surety, to secure such deposit, or may require a pledge of securities to secure such deposits as provided in \u00a7\u00a7 58.1-3158 and 2.2-4400.\n\t\tThe board of supervisors shall, if necessary for the payment of interest on the bonds or to increase the sinking fund provided for hereunder, levy an annual tax upon all property in such sanitary district subject to local taxation to pay such interest and to make payments into such sinking fund. For the purposes of this section and \u00a7 21-137.2, the words “serial bonds” and “term bonds” shall have the respective meanings customarily given them in the municipal bond market. A finding made by the board of supervisors that an issue of bonds comprises term bonds or serial bonds, or that specified portions thereof comprise term bonds or serial bonds, as the case may be, shall be conclusive for all purposes of this section and \u00a7 21-137.2.","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1}},"ancestry":[{"id":14396,"edition_id":1,"name":"Bonds of Sanitary Districts","identifier":"2","label":"article","depth":3,"order_by":1,"parent_id":14018,"metadata":{},"date_created":"2026-06-26 03:47:59","date_modified":"2026-06-26 03:47:59","permalink":{"id":179589,"object_type":"structure","relational_id":14396,"identifier":"2","token":"21\/2\/2","url":"\/21\/2\/2\/","edition_id":1,"permalink":0,"preferred":1}},{"id":14018,"edition_id":1,"name":"Sanitary Districts","identifier":"2","label":"chapter","depth":2,"order_by":1,"parent_id":13075,"metadata":{},"date_created":"2026-06-26 03:46:37","date_modified":"2026-06-26 03:46:37","permalink":{"id":179473,"object_type":"structure","relational_id":14018,"identifier":"2","token":"21\/2","url":"\/21\/2\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13075,"edition_id":1,"name":"Drainage, Soil Conservation, Sanitation and Public Facilities Districts","identifier":"21","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:44:14","date_modified":"2026-06-26 03:44:14","permalink":{"id":179465,"object_type":"structure","relational_id":13075,"identifier":"21","token":"21","url":"\/21\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":64870,"structure_id":14396,"section_number":"21-122","catch_line":"Authority to issue bonds; limitation of amount","url":"\/21-122\/","token":"21\/2\/2\/21-122","metadata":false},{"id":72055,"structure_id":14396,"section_number":"21-122.1","catch_line":"Bonds for special purpose; no election required","url":"\/21-122.1\/","token":"21\/2\/2\/21-122.1","metadata":false},{"id":75145,"structure_id":14396,"section_number":"21-123","catch_line":"Order requiring election","url":"\/21-123\/","token":"21\/2\/2\/21-123","metadata":false},{"id":62396,"structure_id":14396,"section_number":"21-124","catch_line":"Conduct of election; canvass of returns, etc","url":"\/21-124\/","token":"21\/2\/2\/21-124","metadata":false},{"id":58972,"structure_id":14396,"section_number":"21-125","catch_line":"Procedure after election","url":"\/21-125\/","token":"21\/2\/2\/21-125","metadata":false},{"id":57041,"structure_id":14396,"section_number":"21-126","catch_line":"Inquiry into election and returns","url":"\/21-126\/","token":"21\/2\/2\/21-126","metadata":false},{"id":84759,"structure_id":14396,"section_number":"21-127","catch_line":"Amount of bonds","url":"\/21-127\/","token":"21\/2\/2\/21-127","metadata":false},{"id":62430,"structure_id":14396,"section_number":"21-127.1","catch_line":"Borrowing in anticipation of bond issue","url":"\/21-127.1\/","token":"21\/2\/2\/21-127.1","metadata":false},{"id":59799,"structure_id":14396,"section_number":"21-128","catch_line":"Failure or refusal to issue bonds","url":"\/21-128\/","token":"21\/2\/2\/21-128","metadata":false},{"id":55737,"structure_id":14396,"section_number":"21-129","catch_line":"Agents for sale of bonds","url":"\/21-129\/","token":"21\/2\/2\/21-129","metadata":false},{"id":76341,"structure_id":14396,"section_number":"21-130","catch_line":"Form of bonds","url":"\/21-130\/","token":"21\/2\/2\/21-130","metadata":false},{"id":66811,"structure_id":14396,"section_number":"21-130.1","catch_line":"Bonds mutilated, lost or destroyed","url":"\/21-130.1\/","token":"21\/2\/2\/21-130.1","metadata":false},{"id":69155,"structure_id":14396,"section_number":"21-131","catch_line":"Delivery to treasurer","url":"\/21-131\/","token":"21\/2\/2\/21-131","metadata":false},{"id":84547,"structure_id":14396,"section_number":"21-132","catch_line":"Liability of treasurer","url":"\/21-132\/","token":"21\/2\/2\/21-132","metadata":false},{"id":71406,"structure_id":14396,"section_number":"21-133","catch_line":"Cost of giving surety on additional bond or bonds required","url":"\/21-133\/","token":"21\/2\/2\/21-133","metadata":false},{"id":85655,"structure_id":14396,"section_number":"21-134","catch_line":"Deposit of proceeds","url":"\/21-134\/","token":"21\/2\/2\/21-134","metadata":false},{"id":65359,"structure_id":14396,"section_number":"21-134.01","catch_line":"Allocation of county funds to sanitary districts","url":"\/21-134.01\/","token":"21\/2\/2\/21-134.01","metadata":false},{"id":77717,"structure_id":14396,"section_number":"21-134.1","catch_line":"Reimbursement of county for advances to sanitary district","url":"\/21-134.1\/","token":"21\/2\/2\/21-134.1","metadata":false},{"id":75106,"structure_id":14396,"section_number":"21-134.2","catch_line":"Validation of advances to sanitary district","url":"\/21-134.2\/","token":"21\/2\/2\/21-134.2","metadata":false},{"id":62493,"structure_id":14396,"section_number":"21-135","catch_line":"Insolvency of depository","url":"\/21-135\/","token":"21\/2\/2\/21-135","metadata":false},{"id":78774,"structure_id":14396,"section_number":"21-136","catch_line":"Bond of depository","url":"\/21-136\/","token":"21\/2\/2\/21-136","metadata":false},{"id":62511,"structure_id":14396,"section_number":"21-137","catch_line":"Repealed","url":"\/21-137\/","token":"21\/2\/2\/21-137","metadata":false},{"id":80554,"structure_id":14396,"section_number":"21-137.1","catch_line":"Payment of interest on and maintenance of sinking fund for term bonds; tax levy; what constitutes \"term bonds\" and \"serial bonds.\"","url":"\/21-137.1\/","token":"21\/2\/2\/21-137.1","metadata":false},{"id":80422,"structure_id":14396,"section_number":"21-137.2","catch_line":"Payment of interest on serial bonds; no sinking fund required; tax levy; use of excess revenues","url":"\/21-137.2\/","token":"21\/2\/2\/21-137.2","metadata":false},{"id":56731,"structure_id":14396,"section_number":"21-138","catch_line":"Same; levy of tax","url":"\/21-138\/","token":"21\/2\/2\/21-138","metadata":false},{"id":83137,"structure_id":14396,"section_number":"21-139","catch_line":"Laws continued in effect","url":"\/21-139\/","token":"21\/2\/2\/21-139","metadata":false},{"id":87164,"structure_id":14396,"section_number":"21-140","catch_line":"Validation of proceedings","url":"\/21-140\/","token":"21\/2\/2\/21-140","metadata":false},{"id":61476,"structure_id":14396,"section_number":"21-140.1","catch_line":"Further validation of proceedings","url":"\/21-140.1\/","token":"21\/2\/2\/21-140.1","metadata":false},{"id":80685,"structure_id":14396,"section_number":"21-140.2","catch_line":"Additional validation of proceedings","url":"\/21-140.2\/","token":"21\/2\/2\/21-140.2","metadata":false},{"id":80939,"structure_id":14396,"section_number":"21-140.3","catch_line":"Validation of certain bonds","url":"\/21-140.3\/","token":"21\/2\/2\/21-140.3","metadata":false}],"previous_section":{"id":62511,"structure_id":14396,"section_number":"21-137","catch_line":"Repealed","url":"\/21-137\/","token":"21\/2\/2\/21-137","metadata":false},"next_section":{"id":80422,"structure_id":14396,"section_number":"21-137.2","catch_line":"Payment of interest on serial bonds; no sinking fund required; tax levy; use of excess revenues","url":"\/21-137.2\/","token":"21\/2\/2\/21-137.2","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/21-137.1\/","history_text":"

This law was first created in 1972. The record of its establishment is cataloged in chapter 236 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1972 \u201cActs\u201d aren\u2019t available online.<\/p>","references":false,"refers_to":[{"id":63923,"section_number":"2.2-4400","catch_line":"Short title; declaration of intent; applicability","order_by":null,"url":"\/2.2-4400\/"},{"id":80422,"section_number":"21-137.2","catch_line":"Payment of interest on serial bonds; no sinking fund required; tax levy; use of excess revenues","order_by":null,"url":"\/21-137.2\/"},{"id":71229,"section_number":"58.1-3158","catch_line":"Duties of treasurers","order_by":null,"url":"\/58.1-3158\/"}],"permalink":{"id":179679,"object_type":"law","relational_id":80554,"identifier":"21-137.1","token":"21\/2\/2\/21-137.1","url":"\/21-137.1\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/21-137.1\/","token":"21\/2\/2\/21-137.1","dublin_core":{"Title":"Payment of interest on and maintenance of sinking fund for term bonds; tax levy; what constitutes “term bonds” and “serial bonds.”","Type":"Text","Format":"text\/html","Identifier":"\u00a7 21-137.1","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

When term bonds<\/span> have been issued the net revenue derived from the operation of such systems shall be set apart by the said board to pay the interest on the bonds<\/span> so issued or to be issued, and to create a sinking fund to redeem the principal thereof at maturity. The board of supervisors is hereby authorized and empowered to apply any part or all of said sinking fund to the payment, if redeemable by their terms, or to the purchase of any such bonds<\/span>, at any time, and all bonds<\/span> so paid off or purchased by the board of supervisors shall be immediately cancelled, and shall not be reissued. The board of supervisors is authorized and empowered to invest all accumulations of money to the credit of the sinking fund in bonds<\/span> of the United States, of the Commonwealth of Virginia, or of any county, city or town of the Commonwealth of Virginia, or to lend out, upon real estate security, the loan not to exceed fifty per centum of the assessed value of such real estate, or deposit in bank at interest, all accumulations of money to the credit of the sinking fund and to collect and reinvest the same and the interest accruing thereon from time to time, so often as is necessary or expedient, until the bonds<\/span> become subject to call; provided that no money to the credit of the sinking fund shall be loaned out or deposited or invested by the board of supervisors unless such loan, deposit or investment is first approved by the circuit<\/span> court<\/span> of the county, or the judge<\/span> in vacation, and the form of the security be examined and approved by the attorney for the Commonwealth of the county, which approval shall be entered of record in the order<\/span> book of the court<\/span>.\n\t\tThe treasurer shall not be liable for any funds herein provided for that are lost while on deposit made by order<\/span> of the board of supervisors with any bank or banks, or when invested in any real estate security as provided herein, but the board of supervisors may require of any such bank a bond<\/span>, with corporate or other surety<\/span>, to secure such deposit, or may require a pledge of securities to secure such deposits as provided in \u00a7\u00a7 58.1-3158<\/a> and 2.2-4400<\/a>.\n\t\tThe board of supervisors shall, if necessary for the payment of interest on the bonds<\/span> or to increase the sinking fund provided for hereunder, levy<\/span> an annual tax upon all property in such sanitary district subject to local taxation to pay such interest and to make payments into such sinking fund. For the purposes of this section and \u00a7 21-137.2<\/a>, the words “serial bonds<\/span>” and “term bonds<\/span>” shall have the respective meanings customarily given them in the municipal bond<\/span> market. A finding<\/span> made by the board of supervisors that an issue<\/span> of bonds<\/span> comprises term bonds<\/span> or serial bonds<\/span>, or that specified portions thereof comprise term bonds<\/span> or serial bonds<\/span>, as the case may be, shall be conclusive for all purposes of this section and \u00a7 21-137.2<\/a>.<\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nPAYMENT OF INTEREST ON AND MAINTENANCE OF SINKING FUND FOR TERM BONDS; TAX LEVY;\nWHAT CONSTITUTES “TERM BONDS” AND “SERIAL BONDS.” (\u00a7\n21-137.1)\n\nWhen term bonds have been issued the net revenue derived from the operation of\nsuch systems shall be set apart by the said board to pay the interest on the\nbonds so issued or to be issued, and to create a sinking fund to redeem the\nprincipal thereof at maturity. The board of supervisors is hereby authorized and\nempowered to apply any part or all of said sinking fund to the payment, if\nredeemable by their terms, or to the purchase of any such bonds, at any time,\nand all bonds so paid off or purchased by the board of supervisors shall be\nimmediately cancelled, and shall not be reissued. The board of supervisors is\nauthorized and empowered to invest all accumulations of money to the credit of\nthe sinking fund in bonds of the United States, of the Commonwealth of Virginia,\nor of any county, city or town of the Commonwealth of Virginia, or to lend out,\nupon real estate security, the loan not to exceed fifty per centum of the\nassessed value of such real estate, or deposit in bank at interest, all\naccumulations of money to the credit of the sinking fund and to collect and\nreinvest the same and the interest accruing thereon from time to time, so often\nas is necessary or expedient, until the bonds become subject to call; provided\nthat no money to the credit of the sinking fund shall be loaned out or deposited\nor invested by the board of supervisors unless such loan, deposit or investment\nis first approved by the circuit court of the county, or the judge in vacation,\nand the form of the security be examined and approved by the attorney for the\nCommonwealth of the county, which approval shall be entered of record in the\norder book of the court.\n\t\tThe treasurer shall not be liable for any funds herein provided for that are\nlost while on deposit made by order of the board of supervisors with any bank or\nbanks, or when invested in any real estate security as provided herein, but the\nboard of supervisors may require of any such bank a bond, with corporate or\nother surety, to secure such deposit, or may require a pledge of securities to\nsecure such deposits as provided in \u00a7\u00a7 58.1-3158 and 2.2-4400.\n\t\tThe board of supervisors shall, if necessary for the payment of interest on\nthe bonds or to increase the sinking fund provided for hereunder, levy an annual\ntax upon all property in such sanitary district subject to local taxation to pay\nsuch interest and to make payments into such sinking fund. For the purposes of\nthis section and \u00a7 21-137.2, the words “serial bonds” and\n“term bonds” shall have the respective meanings customarily given\nthem in the municipal bond market. A finding made by the board of supervisors\nthat an issue of bonds comprises term bonds or serial bonds, or that specified\nportions thereof comprise term bonds or serial bonds, as the case may be, shall\nbe conclusive for all purposes of this section and \u00a7 21-137.2.\n\nHISTORY: 1972, c. 236.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}