                                 CODE OF VIRGINIA

AGREEMENTS WITH COMMONWEALTH TRANSPORTATION BOARD; PAYMENT OF SPECIAL
IMPROVEMENTS TAX TO TRANSPORTATION TRUST FUND (§ 15.2-4608)

A. The district may contract with the Commonwealth Transportation Board for the
Board to perform any of the purposes of the district.
			The district may agree by contract to pay over all or a portion of the
special improvements tax and all or a portion of the sums received pursuant to
subsection C to the Commonwealth Transportation Board, which shall hold such
sums in and disburse them from a special account. The Commonwealth
Transportation Board shall have the right to assign, convey, pay over, or
deliver such sums to a third party in connection with the provision of services
to the district pursuant to an agreement entered into under this chapter or any
other applicable law.
			Prior to executing any such contract, the district shall seek the agreement
of each board of supervisors creating the district that the county administrator
or other officer charged with the responsibility for preparing the
county&#8217;s annual budget shall submit in the budget for each fiscal year in
which any Commonwealth of Virginia transportation contract revenue bonds issued
for such district are outstanding, all amounts to be paid to the Commonwealth
Transportation Board under such contract during such fiscal year.
			If the amount required to be paid to the Commonwealth Transportation Board
under the contract is not paid for a period of 60 days after the amount is due,
the Commonwealth Transportation Board is hereby directed, until the amount has
been paid, to withhold sufficient funds from funds appropriated and allocated,
pursuant to the highway allocation formula as provided by law, to the highway
construction district in which a project covered by such contract is located or
to any county in which such project is located and to use such funds to satisfy
the contractual requirements.

B. While nothing in this article shall limit the authority of any county to
change the classification of any parcel of land zoned for commercial or
industrial use or used for such purpose, upon the written request or approval of
the owner of the property affected by such change after the effective date of
any such contract, except for changes in zoning classification from commercial
or industrial use to residential use approved in accordance with subsection C,
should a change in zoning classification so requested result 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
pursuant to the contract, the district shall request the board of supervisors to
increase the rate of such tax by such amount up to the maximum authorized rate
as may be necessary to prevent such shortfall. If, however, a deficit remains
after any rezoning and adjustment of the tax rate or the rate is at the maximum
authorized rate and cannot be increased, then the amount of funds otherwise
appropriated and allocated pursuant to the highway allocation formula as
provided by Article 5 (&#xA7; 33.2-351 et seq.) of Chapter 3 of Title 33.2 to
the highway construction district in which a project covered by such contract is
located or to a county in which such project is located shall be reduced by the
amount of such deficit and used to satisfy the deficit.

C. For any property within the district for which a county changes its zoning
classification from commercial or industrial use to residential use upon the
written request or approval of the owner, the county 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 board of supervisors 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. 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. Sums paid pursuant to this
subsection that represent the estimated special improvements taxes that
otherwise would have been imposed upon the rezoned property in any given year
shall be included in calculations that may be made pursuant to &#xA7;&#xA7;
15.2-4604 and 15.2-4605 in order to determine whether special tax revenues from
the district have exceeded total debt service on the bonds issued pursuant to
Chapter 676 of the 1988 Acts of Assembly for three consecutive years. Whenever
any county 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.

HISTORY: 1997, c. 587; 2002, c. 770.