                                 CODE OF VIRGINIA

PAYMENTS FOR CERTAIN CHANGES IN ZONING CLASSIFICATIONS OR USE (§ 33.2-2107)

A. For any real property within the district for which a county or participating
town changes its zoning classification from one that is subject to the special
improvements tax authorized by &#xA7; 33.2-2106 to a classification that is not
subject to that tax, the county or participating town shall require the
simultaneous payment from the property owner of a sum representing the present
value of the future special improvements taxes estimated by the county to be
lost as a result of such change in classification. On a case-by-case basis,
however, the governing body or town council of a participating town may, in its
sole discretion, defer, for no more than 60 days, the effective date of such
change in zoning classification. Upon deferral, the lump sum provided for in
this subsection shall be paid to the county in immediately available funds
acceptable to the county before the deferred effective date. If the landowner
fails to make this lump sum payment as and when required, the change in zoning
classification shall not become effective and the ordinance shall be void.
Special improvements taxes previously paid in the year of the zoning change may
be credited toward the payment on a prorated basis. The portion of the payment
that may be credited shall be that portion of the year following the change in
zoning classification. If at the time there is outstanding a contract by which
the district has agreed to pay all or a portion of the special improvements tax
to the Commonwealth Transportation Board, then the district and the Commonwealth
Transportation Board shall agree to a method of calculating the present value of
the loss of future special improvements taxes resulting from such a change in
zoning classification and the procedure for payment of such funds to the
Commonwealth Transportation Board. Whenever any county or participating town
acts in accordance with such an agreement between the district and the
Commonwealth Transportation Board, the change in zoning classification shall not
be considered to have resulted in a shortfall in the total annual revenues from
the imposition of the special improvements tax and the payments required to be
made to the Commonwealth Transportation Board.

B. Any owner of any real property that is subject to the special improvements
tax authorized by &#xA7; 33.2-2106 because it is zoned to permit multiunit
residential use but is not yet used for that purpose or because it consists of
multiunit residential real property that is primarily leased or rented to
residential tenants or other occupants by an owner who is engaged in such a
business who wishes to change the use of the real property to one that is not
subject to that tax shall be required, prior to any such change in use, to pay
to the county a sum representing the present value of the future special
improvements taxes estimated by the county to be lost as a result of such change
in use.

HISTORY: 2001, c. 611, § 33.1-437; 2014, c. 805.