                                 CODE OF VIRGINIA

CERTAIN COMMONWEALTH DISTRIBUTIONS TO LOCALITIES (§ 15.2-1302)

Any state funds that were distributed to a locality, including a local school
board, in support of a governmental program or function prior to a consolidation
of such program or function or the governmental consolidation of the entities
providing such programs or functions, shall continue to be distributed to the
entity or entities carrying out the program or function after consolidation in
accordance with the following schedule:

1. If the consolidation results in the governmental consolidation of the
entities into a single locality, the state funds shall not be reduced below the
amounts that would have been received by each entity from the Commonwealth for
the governmental program or function computed on the premise that no
consolidation occurred for a period of twenty fiscal years following the
consolidation.

2. If the consolidation results in the consolidation of constitutional officers
of the entities and the consolidation of school divisions and local school
boards of the entities, the state funds shall not be reduced below the amounts
that would have been received by each entity from the Commonwealth for the
governmental program or function computed on the premise that no consolidation
occurred for a period of fifteen fiscal years following the consolidation.

3. In all other consolidations, the state funds shall not be reduced below the
amounts that would have been received by each entity from the Commonwealth for
the governmental program or function computed on the premise that no
consolidation occurred for a period of five fiscal years following the
consolidation.
			This section shall not prohibit the Commonwealth from terminating or
modifying any program or function under which distribution to a locality,
including a local school board, has been made, and if so terminated or modified
all obligations hereunder shall cease or be reduced in proportion with such
modifications, as the case may be.
			If any such consolidations terminate prior to the end of the applicable
period set forth above, the Commonwealth&#8217;s obligation under this section
shall cease.
			For the purposes of this section, &#8220;consolidation&#8221; includes the
transition of a city to town status.
			The provisions of this section shall also apply to consolidations of a
governmental program or function and governmental consolidations of entities,
providing such consolidations take place after January 1, 1995.

HISTORY: 1991, c. 189, § 15.1-21.1; 1994, c. 437; 1995, c. 728; 1997, c. 587;
2000, c. 708; 2001, c. 14.