{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/59.1-542.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/59.1-542.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/59.1-542.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/59.1-542.html"}],"law_id":59075,"edition_id":1,"section_id":59075,"structure_id":15032,"section_number":"59.1-542","catch_line":"Enterprise zone designation","history":"2005, cc. 863, 884; 2018, c. 315; 2019, cc. 119, 496; 2024, cc. 631, 686.","full_text":"A\n\nUpon the Department&#8217;s announcement of periodic zone designation competitions, the governing body of any county or city may make written application to the Department to have an area or areas declared an enterprise zone. Such application shall include a description of the area or areas to be included, the development potential of these areas, the need for special state incentives, the local incentives that shall be provided to support new economic activity, and other information that the Department deems necessary to assess requests for designation.B\n\nTwo or more adjacent localities may file a joint application for an enterprise zone. Localities applying for a joint zone shall demonstrate a regional need for an enterprise zone and a regional impact that could not be achieved through a single jurisdiction zone. Applicants for a joint zone shall also specify what mechanisms will be used to ensure that the economic benefits of such a zone are shared among the applicant localities.C\n\nAn enterprise zone may consist of no more than three noncontiguous areas. The aggregate size of these noncontiguous zone areas shall be as follows:1\n\nFor cities, the minimum size of an enterprise zone shall be one-quarter square mile and the maximum size of an enterprise zone shall be one square mile or seven percent of the jurisdiction&#8217;s land area or an area that includes seven percent of the population, whichever is largest.2\n\nFor towns designated as enterprise zones under former &#xA7;&#xA7; 59.1-272 through 59.1-278, 59.1-279.1, or 59.1-280.2 through 59.1-284 of the Enterprise Zone Act (&#xA7; 59.1-270 et seq.), the size of an enterprise zone shall conform to the size requirements for cities in subdivision 1.3\n\nFor unincorporated areas of counties, the minimum size of an enterprise zone shall be one-half square mile and the maximum size of an enterprise zone shall be six square miles.4\n\nFor consolidated cities the enterprise zones in cities for which the boundaries were created through the consolidation of a city and county or the consolidation of two cities, the enterprise zone shall conform substantially to the size requirements for unincorporated areas of counties in subdivision 3.\n\t\t\t\tIn no instance shall a zone consist only of a site for a single business firm. Localities shall be limited to three enterprise zone designations.D\n\nA joint enterprise zone shall consist of no more than three noncontiguous zone areas for each participating locality. The aggregate size of these noncontiguous areas shall be specified by regulation.E\n\nUpon recommendation of the Director of the Department, the Governor may designate up to 30 enterprise zones in accordance with the provisions of this chapter. Such designations are to be done in coordination with the expiration of existing zones designated under earlier Enterprise Zone Program provisions. The initial round of six zone designation applications and approval may be conducted prior to adoption of final program regulations provided that the process is consistent with the provisions of this chapter. Enterprise zones shall be designated for an initial 10-year period except as provided for in subsections A and B of &#xA7; 59.1-546. Upon recommendation of the Director of the Department, the Governor may renew zones designated on or after July 1, 2005, for up to four five-year renewal periods and zones designated prior to July 1, 2005, for up to two five-year renewal periods. Recommendations for five-year renewals shall be based on the locality&#8217;s performance of its enterprise zone responsibilities, the continued need for such a zone, and its effectiveness in creating jobs and capital investment. Notwithstanding any provision to the contrary, any enterprise zone in effect as of June 30, 2024, shall be extended for an additional four-year period, in addition to any renewal periods provided by this section.F\n\nLocalities that have zone designations are responsible for providing the local incentives specified in their applications, providing timely submission of enterprise zone reports and evaluations as required by regulation, verifying that businesses and properties seeking enterprise zone incentives are physically located within their zones, and implementing an active local enterprise zone program within the context of overall economic development efforts.","order_by":null,"text":{"0":{"id":216632,"text":"Upon the Department&#8217;s announcement of periodic zone designation competitions, the governing body of any county or city may make written application to the Department to have an area or areas declared an enterprise zone. Such application shall include a description of the area or areas to be included, the development potential of these areas, the need for special state incentives, the local incentives that shall be provided to support new economic activity, and other information that the Department deems necessary to assess requests for designation.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":216633,"text":"Two or more adjacent localities may file a joint application for an enterprise zone. Localities applying for a joint zone shall demonstrate a regional need for an enterprise zone and a regional impact that could not be achieved through a single jurisdiction zone. Applicants for a joint zone shall also specify what mechanisms will be used to ensure that the economic benefits of such a zone are shared among the applicant localities.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":216634,"text":"An enterprise zone may consist of no more than three noncontiguous areas. The aggregate size of these noncontiguous zone areas shall be as follows:","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"C1"},"3":{"id":216635,"text":"For cities, the minimum size of an enterprise zone shall be one-quarter square mile and the maximum size of an enterprise zone shall be one square mile or seven percent of the jurisdiction&#8217;s land area or an area that includes seven percent of the population, whichever is largest.","type":"section","prefixes":["C","1"],"prefix":"1","entire_prefix":"C1","prefix_anchor":"C1","level":2,"prior_prefix":"C","next_prefix":"C2"},"4":{"id":216636,"text":"For towns designated as enterprise zones under former &#xA7;&#xA7; 59.1-272 through 59.1-278, 59.1-279.1, or 59.1-280.2 through 59.1-284 of the Enterprise Zone Act (&#xA7; 59.1-270 et seq.), the size of an enterprise zone shall conform to the size requirements for cities in subdivision 1.","type":"section","prefixes":["C","2"],"prefix":"2","entire_prefix":"C2","prefix_anchor":"C2","level":2,"prior_prefix":"C1","next_prefix":"C3"},"5":{"id":216637,"text":"For unincorporated areas of counties, the minimum size of an enterprise zone shall be one-half square mile and the maximum size of an enterprise zone shall be six square miles.","type":"section","prefixes":["C","3"],"prefix":"3","entire_prefix":"C3","prefix_anchor":"C3","level":2,"prior_prefix":"C2","next_prefix":"C4"},"6":{"id":216638,"text":"For consolidated cities the enterprise zones in cities for which the boundaries were created through the consolidation of a city and county or the consolidation of two cities, the enterprise zone shall conform substantially to the size requirements for unincorporated areas of counties in subdivision 3.\n\t\t\t\tIn no instance shall a zone consist only of a site for a single business firm. Localities shall be limited to three enterprise zone designations.","type":"section","prefixes":["C","4"],"prefix":"4","entire_prefix":"C4","prefix_anchor":"C4","level":2,"prior_prefix":"C3","next_prefix":"D"},"7":{"id":216639,"text":"A joint enterprise zone shall consist of no more than three noncontiguous zone areas for each participating locality. The aggregate size of these noncontiguous areas shall be specified by regulation.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C4","next_prefix":"E"},"8":{"id":216640,"text":"Upon recommendation of the Director of the Department, the Governor may designate up to 30 enterprise zones in accordance with the provisions of this chapter. Such designations are to be done in coordination with the expiration of existing zones designated under earlier Enterprise Zone Program provisions. The initial round of six zone designation applications and approval may be conducted prior to adoption of final program regulations provided that the process is consistent with the provisions of this chapter. Enterprise zones shall be designated for an initial 10-year period except as provided for in subsections A and B of &#xA7; 59.1-546. Upon recommendation of the Director of the Department, the Governor may renew zones designated on or after July 1, 2005, for up to four five-year renewal periods and zones designated prior to July 1, 2005, for up to two five-year renewal periods. Recommendations for five-year renewals shall be based on the locality&#8217;s performance of its enterprise zone responsibilities, the continued need for such a zone, and its effectiveness in creating jobs and capital investment. Notwithstanding any provision to the contrary, any enterprise zone in effect as of June 30, 2024, shall be extended for an additional four-year period, in addition to any renewal periods provided by this section.","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D","next_prefix":"F"},"9":{"id":216641,"text":"Localities that have zone designations are responsible for providing the local incentives specified in their applications, providing timely submission of enterprise zone reports and evaluations as required by regulation, verifying that businesses and properties seeking enterprise zone incentives are physically located within their zones, and implementing an active local enterprise zone program within the context of overall economic development efforts.","type":"section","prefixes":["F"],"prefix":"F","entire_prefix":"F","prefix_anchor":"F","level":1,"prior_prefix":"E"}},"ancestry":[{"id":15032,"edition_id":1,"name":"Enterprise Zone Grant Program","identifier":"49","label":"chapter","depth":2,"order_by":1,"parent_id":12809,"metadata":{},"date_created":"2026-06-26 03:51:38","date_modified":"2026-06-26 03:51:38","permalink":{"id":262545,"object_type":"structure","relational_id":15032,"identifier":"49","token":"59.1\/49","url":"\/59.1\/49\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12809,"edition_id":1,"name":"Trade and Commerce","identifier":"59.1","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:54","date_modified":"2026-06-26 03:43:54","permalink":{"id":259521,"object_type":"structure","relational_id":12809,"identifier":"59.1","token":"59.1","url":"\/59.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":85120,"structure_id":15032,"section_number":"59.1-538","catch_line":"Short title","url":"\/59.1-538\/","token":"59.1\/49\/59.1-538","metadata":false},{"id":83451,"structure_id":15032,"section_number":"59.1-539","catch_line":"Definitions","url":"\/59.1-539\/","token":"59.1\/49\/59.1-539","metadata":false},{"id":75850,"structure_id":15032,"section_number":"59.1-540","catch_line":"Administration","url":"\/59.1-540\/","token":"59.1\/49\/59.1-540","metadata":false},{"id":78883,"structure_id":15032,"section_number":"59.1-541","catch_line":"Rules and regulations","url":"\/59.1-541\/","token":"59.1\/49\/59.1-541","metadata":false},{"id":59075,"structure_id":15032,"section_number":"59.1-542","catch_line":"Enterprise zone designation","url":"\/59.1-542\/","token":"59.1\/49\/59.1-542","metadata":false},{"id":78862,"structure_id":15032,"section_number":"59.1-542.1","catch_line":"Local incentives; motor sports facilities","url":"\/59.1-542.1\/","token":"59.1\/49\/59.1-542.1","metadata":false},{"id":71306,"structure_id":15032,"section_number":"59.1-543","catch_line":"Local incentives","url":"\/59.1-543\/","token":"59.1\/49\/59.1-543","metadata":false},{"id":73104,"structure_id":15032,"section_number":"59.1-544","catch_line":"Amendment of enterprise zones; redesignation of certain joint enterprise zones","url":"\/59.1-544\/","token":"59.1\/49\/59.1-544","metadata":false},{"id":68273,"structure_id":15032,"section_number":"59.1-545","catch_line":"Application review","url":"\/59.1-545\/","token":"59.1\/49\/59.1-545","metadata":false},{"id":61555,"structure_id":15032,"section_number":"59.1-546","catch_line":"Review and termination of enterprise zones","url":"\/59.1-546\/","token":"59.1\/49\/59.1-546","metadata":false},{"id":57313,"structure_id":15032,"section_number":"59.1-547","catch_line":"Enterprise zone job creation grants","url":"\/59.1-547\/","token":"59.1\/49\/59.1-547","metadata":false},{"id":70661,"structure_id":15032,"section_number":"59.1-548","catch_line":"Enterprise zone real property investment grants","url":"\/59.1-548\/","token":"59.1\/49\/59.1-548","metadata":false},{"id":83391,"structure_id":15032,"section_number":"59.1-549","catch_line":"Policies and procedures for allocation of enterprise zone incentive grants","url":"\/59.1-549\/","token":"59.1\/49\/59.1-549","metadata":false}],"previous_section":{"id":78883,"structure_id":15032,"section_number":"59.1-541","catch_line":"Rules and regulations","url":"\/59.1-541\/","token":"59.1\/49\/59.1-541","metadata":false},"next_section":{"id":78862,"structure_id":15032,"section_number":"59.1-542.1","catch_line":"Local incentives; motor sports facilities","url":"\/59.1-542.1\/","token":"59.1\/49\/59.1-542.1","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/59.1-542\/","history_text":"<p>This law was first created in 2005. The record of its establishment is cataloged in chapters <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?051+ful+CHAP0863\">863<\/a> and <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?051+ful+CHAP0884\">884<\/a> 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. It has been modified 3 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 2018, chapter <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?181+ful+CHAP0315\">315<\/a>; in 2019, chapters <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?191+ful+CHAP0119\">119<\/a> and <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?191+ful+CHAP0496\">496<\/a>; in 2024, chapters <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?241+ful+CHAP0631\">631<\/a> and <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?241+ful+CHAP0686\">686<\/a>.<\/p>","references":[{"id":73104,"section_number":"59.1-544","catch_line":"Amendment of enterprise zones; redesignation of certain joint enterprise zones","order_by":null,"url":"\/59.1-544\/"},{"id":57313,"section_number":"59.1-547","catch_line":"Enterprise zone job creation grants","order_by":null,"url":"\/59.1-547\/"}],"refers_to":[{"id":80172,"section_number":"59.1-270","catch_line":"Expired","order_by":null,"url":"\/59.1-270\/"},{"id":61169,"section_number":"59.1-272","catch_line":"Repealed","order_by":null,"url":"\/59.1-272\/"},{"id":60023,"section_number":"59.1-279.1","catch_line":"Repealed","order_by":null,"url":"\/59.1-279.1\/"},{"id":70752,"section_number":"59.1-280.2","catch_line":"Repealed","order_by":null,"url":"\/59.1-280.2\/"},{"id":61555,"section_number":"59.1-546","catch_line":"Review and termination of enterprise zones","order_by":null,"url":"\/59.1-546\/"}],"permalink":{"id":262563,"object_type":"law","relational_id":59075,"identifier":"59.1-542","token":"59.1\/49\/59.1-542","url":"\/59.1-542\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/59.1-542\/","token":"59.1\/49\/59.1-542","dublin_core":{"Title":"Enterprise zone designation","Type":"Text","Format":"text\/html","Identifier":"\u00a7 59.1-542","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t<section id=\"A\"><p><span class=\"prefix-number\">A.<\/span> Upon the <span class=\"dictionary\">Department<\/span>&#8217;s announcement of periodic zone designation competitions, the governing body of any county or city may make written application to the <span class=\"dictionary\">Department<\/span> to have an area or areas declared an <span class=\"dictionary\">enterprise zone<\/span>. Such application shall include a description of the area or areas to be included, the development potential of these areas, the need for special state incentives, the local incentives that shall be provided to support new economic activity, and other information that the <span class=\"dictionary\">Department<\/span> deems necessary to assess requests for designation. <a id=\"paragraph-216632\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#A\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"B\"><p><span class=\"prefix-number\">B.<\/span> Two or more adjacent localities may file a joint application for an <span class=\"dictionary\">enterprise zone<\/span>. Localities applying for a joint zone shall demonstrate a regional need for an <span class=\"dictionary\">enterprise zone<\/span> and a regional impact that could not be achieved through a single <span class=\"dictionary\">jurisdiction<\/span> zone. Applicants for a joint zone shall also specify what mechanisms will be used to ensure that the economic benefits of such a zone are shared among the applicant localities. <a id=\"paragraph-216633\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#B\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"C\"><p><span class=\"prefix-number\">C.<\/span> An <span class=\"dictionary\">enterprise zone<\/span> may consist of no more than three noncontiguous areas. The aggregate size of these noncontiguous zone areas shall be as follows: <a id=\"paragraph-216634\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#C\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"C1\" class=\"indent-1\"><p><span class=\"prefix-number\">1.<\/span> For cities, the minimum size of an <span class=\"dictionary\">enterprise zone<\/span> shall be one-quarter square mile and the maximum size of an <span class=\"dictionary\">enterprise zone<\/span> shall be one square mile or seven percent of the <span class=\"dictionary\">jurisdiction<\/span>&#8217;s land area or an area that includes seven percent of the population, whichever is largest. <a id=\"paragraph-216635\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#C1\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"C2\" class=\"indent-1\"><p><span class=\"prefix-number\">2.<\/span> For towns designated as <span class=\"dictionary\">enterprise zones<\/span> under former &#xA7;&#xA7; <a class=\"law\" title=\"Repealed\" href=\"\/59.1-272\/\">59.1-272<\/a> through 59.1-278, <a class=\"law\" title=\"Repealed\" href=\"\/59.1-279.1\/\">59.1-279.1<\/a>, or <a class=\"law\" title=\"Repealed\" href=\"\/59.1-280.2\/\">59.1-280.2<\/a> through 59.1-284 of the <span class=\"dictionary\">Enterprise Zone<\/span> Act (&#xA7; <a class=\"law\" title=\"Expired\" href=\"\/59.1-270\/\">59.1-270<\/a> et seq.), the size of an <span class=\"dictionary\">enterprise zone<\/span> shall conform to the size requirements for cities in subdivision 1. <a id=\"paragraph-216636\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#C2\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"C3\" class=\"indent-1\"><p><span class=\"prefix-number\">3.<\/span> For unincorporated areas of counties, the minimum size of an <span class=\"dictionary\">enterprise zone<\/span> shall be one-half square mile and the maximum size of an <span class=\"dictionary\">enterprise zone<\/span> shall be six square miles. <a id=\"paragraph-216637\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#C3\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"C4\" class=\"indent-1\"><p><span class=\"prefix-number\">4.<\/span> For consolidated cities the <span class=\"dictionary\">enterprise zones<\/span> in cities for which the boundaries were created through the <span class=\"dictionary\">consolidation<\/span> of a city and county or the <span class=\"dictionary\">consolidation<\/span> of two cities, the <span class=\"dictionary\">enterprise zone<\/span> shall conform substantially to the size requirements for unincorporated areas of counties in subdivision 3.\n\t\t\t\tIn no instance shall a zone consist only of a site for a single business firm. Localities shall be limited to three <span class=\"dictionary\">enterprise zone<\/span> designations. <a id=\"paragraph-216638\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#C4\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"D\"><p><span class=\"prefix-number\">D.<\/span> A joint <span class=\"dictionary\">enterprise zone<\/span> shall consist of no more than three noncontiguous zone areas for each participating locality. The aggregate size of these noncontiguous areas shall be specified by regulation. <a id=\"paragraph-216639\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#D\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"E\"><p><span class=\"prefix-number\">E.<\/span> Upon recommendation of the Director of the <span class=\"dictionary\">Department<\/span>, the Governor may designate up to 30 <span class=\"dictionary\">enterprise zones<\/span> in accordance with the provisions of this chapter. Such designations are to be done in coordination with the expiration of existing zones designated under earlier <span class=\"dictionary\">Enterprise Zone<\/span> Program provisions. The initial round of six zone designation applications and approval may be conducted prior to adoption of final program regulations provided that the process is consistent with the provisions of this chapter. <span class=\"dictionary\">Enterprise zones<\/span> shall be designated for an initial 10-year period except as provided for in subsections A and B of &#xA7; <a class=\"law\" title=\"Review and termination of enterprise zones\" href=\"\/59.1-546\/\">59.1-546<\/a>. Upon recommendation of the Director of the <span class=\"dictionary\">Department<\/span>, the Governor may renew zones designated on or after July 1, 2005, for up to four five-year renewal periods and zones designated prior to July 1, 2005, for up to two five-year renewal periods. Recommendations for five-year renewals shall be based on the locality&#8217;s performance of its <span class=\"dictionary\">enterprise zone<\/span> responsibilities, the continued need for such a zone, and its effectiveness in creating jobs and capital investment. Notwithstanding any provision to the contrary, any <span class=\"dictionary\">enterprise zone<\/span> in effect as of June 30, 2024, shall be extended for an additional four-year period, in addition to any renewal periods provided by this section. <a id=\"paragraph-216640\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#E\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"F\"><p><span class=\"prefix-number\">F.<\/span> Localities that have zone designations are responsible for providing the local incentives specified in their applications, providing timely submission of <span class=\"dictionary\">enterprise zone<\/span> reports and evaluations as required by regulation, verifying that businesses and properties seeking <span class=\"dictionary\">enterprise zone<\/span> incentives are physically located within their zones, and implementing an active local <span class=\"dictionary\">enterprise zone<\/span> program within the context of overall economic development efforts. <a id=\"paragraph-216641\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-542\/#F\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>","plain_text":"                                 CODE OF VIRGINIA\n\nENTERPRISE ZONE DESIGNATION (\u00a7 59.1-542)\n\nA. Upon the Department&#8217;s announcement of periodic zone designation\ncompetitions, the governing body of any county or city may make written\napplication to the Department to have an area or areas declared an enterprise\nzone. Such application shall include a description of the area or areas to be\nincluded, the development potential of these areas, the need for special state\nincentives, the local incentives that shall be provided to support new economic\nactivity, and other information that the Department deems necessary to assess\nrequests for designation.\n\nB. Two or more adjacent localities may file a joint application for an\nenterprise zone. Localities applying for a joint zone shall demonstrate a\nregional need for an enterprise zone and a regional impact that could not be\nachieved through a single jurisdiction zone. Applicants for a joint zone shall\nalso specify what mechanisms will be used to ensure that the economic benefits\nof such a zone are shared among the applicant localities.\n\nC. An enterprise zone may consist of no more than three noncontiguous areas. The\naggregate size of these noncontiguous zone areas shall be as follows:\n\n   1. For cities, the minimum size of an enterprise zone shall be one-quarter\n   square mile and the maximum size of an enterprise zone shall be one square\n   mile or seven percent of the jurisdiction&#8217;s land area or an area that\n   includes seven percent of the population, whichever is largest.\n\n   2. For towns designated as enterprise zones under former &#xA7;&#xA7; 59.1-272\n   through 59.1-278, 59.1-279.1, or 59.1-280.2 through 59.1-284 of the Enterprise\n   Zone Act (&#xA7; 59.1-270 et seq.), the size of an enterprise zone shall\n   conform to the size requirements for cities in subdivision 1.\n\n   3. For unincorporated areas of counties, the minimum size of an enterprise\n   zone shall be one-half square mile and the maximum size of an enterprise zone\n   shall be six square miles.\n\n   4. For consolidated cities the enterprise zones in cities for which the\n   boundaries were created through the consolidation of a city and county or the\n   consolidation of two cities, the enterprise zone shall conform substantially\n   to the size requirements for unincorporated areas of counties in subdivision\n   3.\n   \t\t\t\tIn no instance shall a zone consist only of a site for a single business\n   firm. Localities shall be limited to three enterprise zone designations.\n\nD. A joint enterprise zone shall consist of no more than three noncontiguous\nzone areas for each participating locality. The aggregate size of these\nnoncontiguous areas shall be specified by regulation.\n\nE. Upon recommendation of the Director of the Department, the Governor may\ndesignate up to 30 enterprise zones in accordance with the provisions of this\nchapter. Such designations are to be done in coordination with the expiration of\nexisting zones designated under earlier Enterprise Zone Program provisions. The\ninitial round of six zone designation applications and approval may be conducted\nprior to adoption of final program regulations provided that the process is\nconsistent with the provisions of this chapter. Enterprise zones shall be\ndesignated for an initial 10-year period except as provided for in subsections A\nand B of &#xA7; 59.1-546. Upon recommendation of the Director of the Department,\nthe Governor may renew zones designated on or after July 1, 2005, for up to four\nfive-year renewal periods and zones designated prior to July 1, 2005, for up to\ntwo five-year renewal periods. Recommendations for five-year renewals shall be\nbased on the locality&#8217;s performance of its enterprise zone\nresponsibilities, the continued need for such a zone, and its effectiveness in\ncreating jobs and capital investment. Notwithstanding any provision to the\ncontrary, any enterprise zone in effect as of June 30, 2024, shall be extended\nfor an additional four-year period, in addition to any renewal periods provided\nby this section.\n\nF. Localities that have zone designations are responsible for providing the\nlocal incentives specified in their applications, providing timely submission of\nenterprise zone reports and evaluations as required by regulation, verifying\nthat businesses and properties seeking enterprise zone incentives are physically\nlocated within their zones, and implementing an active local enterprise zone\nprogram within the context of overall economic development efforts.\n\nHISTORY: 2005, cc. 863, 884; 2018, c. 315; 2019, cc. 119, 496; 2024, cc. 631,\n686.","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}}