                                 CODE OF VIRGINIA

OPTIONAL PROVISIONS OF CONSOLIDATION AGREEMENT (§ 15.2-3534)

Any such consolidation agreement may contain any of the following provisions:

1. In any territory that will be a part of the consolidated city there shall be
no increase in assessments, except for permanent improvements made after the
consolidation, for a period not exceeding five years.

2. The rate of tax on real property in any such territory shall be lower than in
other territory of the consolidated unit for a period of five years, provided
that any difference between such rates of taxation shall bear a reasonable
relationship to differences in nonrevenue-producing governmental services giving
land urban character which are furnished in such territories.

3. In any area specified in such agreement, for the purpose of repaying existing
indebtedness chargeable to such area prior to consolidation, there may be levied
a special tax on real property for a period not exceeding twenty years, which
may be different from and in addition to the general tax rate throughout the
entire consolidated county or counties, city or cities, or tier-city, as the
case may be.

4. Geographical subdivisions of the consolidated city, to be known as boroughs,
may be established, which may be the same as the existing (i) cities, (ii)
counties, or (iii) portions of such counties, which are included in the
consolidated city, and may be the same as the temporary special debt districts
referred to in subdivision 3 of this section; the names of such boroughs shall
be set forth in the consolidation agreement.

5. Geographical subdivisions of the consolidated county or counties, to be known
as shires, may be established, which shall be the same as and bear the names of
the existing counties, towns, communities, or portions of counties, which are
included in the consolidated county or counties, and may be the same as the
temporary special debt districts referred to in subdivision 3 of this section.

6. In the event of consolidation of such counties and cities into a single
county, there may be established geographical subdivisions of such county, to be
known as shires, which shall be the same as and bear the names of the existing
cities and counties.

7. In the event of consolidation of such counties and cities into a single
county incorporating a tier-city therein, there shall be established
geographical and political subdivisions of such county, to be known as
&#8220;tier-cities&#8221;; such tier-cities shall apply for and may receive a
charter from the General Assembly in the same manner as may any municipality and
when issued shall thereafter qualify in general law, mutatis mutandis, as a town
with respect to its rights, powers and obligations, and shall have such other
rights, powers and obligations as may be given it by law, general or special.

8. In the event of the establishment of such shires or boroughs, it shall be the
duty of the Commissioner of Highways and the Director of the Department of
Historic Resources to have suitable monuments or markers erected indicating the
limits of such geographical subdivisions and setting forth the history of each.

9. a. In the event of establishment of a consolidated city, there shall be a new
election of officers therefor whose election and qualification shall terminate
the terms of office of their predecessors; provision may be made for the
exclusion from such new election of such elective officers as is deemed
desirable.
			b. In the event of the establishment of a consolidated city, the
constitutional officers of the consolidating jurisdictions may continue in
office at not less than their salaries in effect at the effective date of
consolidation; the selection of each constitutional officer for the consolidated
city shall be made by agreement between those persons holding such respective
offices, and the other or others, as the case may be, shall become assistants or
chief deputies, upon filing of a certification of such agreement in a circuit
court and approval by the court; in the event no agreement is reached or no
certification is filed on or before a date stated in the consolidation
agreement, the circuit court shall designate one officer as principal and the
other or others, as the case may be, as assistants or chief deputies; and in the
event of a vacancy in the office of assistant or chief deputy thereby created
during such term, the position shall be abolished. Each such officer shall
continue in office, whether as the principal officer or as chief deputy or
assistant, until January 1 following the next regularly scheduled election
pursuant to &#xA7; 24.2-217, whether or not the term to which such officer was
elected may have expired prior to that date. When the effective date of the
consolidation plan is the same as the end of the term of one or more existing
constitutional officers for the consolidating jurisdictions, an election shall
be held to elect such constitutional officers for the consolidating
jurisdictions for a new term to begin on the effective date of consolidation.
Such newly elected officers may or may not become the principal constitutional
officers of the consolidated city under this provision.
			c. In the event of the establishment of a consolidated city, the persons
holding office as the superintendents of the school divisions within the
consolidating jurisdictions may continue in office at no less than their
salaries in effect at the effective date of consolidation, for the terms to
which they were appointed; the consolidated city school board shall designate
one of such persons as division superintendent and the other as associate
superintendent; in the event no designation is made on or before a date stated
in the consolidation agreement, the designation shall be made by the circuit
court for the consolidated city; and in the event of a vacancy in the position
of superintendent or associate superintendent during the term to which
appointed, the remaining incumbent shall be the superintendent and the position
of associate superintendent shall be abolished.

10. In the event of the establishment of a consolidated city, the tax rate on
all property of the same class within the city shall be uniform. However, the
council shall have power to levy a higher tax in such areas of the city which
desire additional or more complete services of government than are desired in
the city as a whole, and, in such case, the proceeds therefrom shall be so
segregated as to enable the same to be expended in the areas in which raised;
such higher tax rate shall not be levied for school, police or general
government services but only for those services which prior to consolidation
were not offered in the whole of all of the consolidated localities.

11. The agreement, when proposing the creation of a consolidated city, may
incorporate in a proposed charter, subject to the subsequent approval of the
General Assembly, any provisions of any charter heretofore granted by the
General Assembly for any of the localities proposing to consolidate. It is the
intention of this subsection to permit the drafting by the governing bodies, or
the committees acting for and in lieu of the governing bodies under &#xA7;
15.2-3531, of a charter to be adopted as a part of the consolidation agreement
for the proposed consolidated city. In such charter the name of the consolidated
city, if agreed upon, shall be inserted in lieu of the name of the city which
may be specified in the original charters from which the provisions are taken,
or if the name of the consolidated city is left to subsequent referendum, then
the phrase &#8220;the consolidated city&#8221; shall be substituted. Any such
charter shall be published as provided in &#xA7; 15.2-3537 as a part of the
consolidation agreement.
			Any agreement between any localities to form a consolidated city when adopted
and approved as provided herein, together with the charter, shall be the form of
the consolidated city. The governing body of the consolidated city shall have
the power to make amendments to the consolidation agreement not contrary to
general law. No such amendments shall become effective until such amendments
have been approved by the General Assembly in accordance with the procedures
established by Chapter 2 (&#xA7; 15.2-200 et seq.).

12. Any agreement between any localities to form a consolidated county may
likewise incorporate provisions of any charter of any such localities proposing
to consolidate and also may include the provisions of any of the optional forms
of county government set forth in this title. In any form of government approved
by the voters hereunder, irrespective of any other provisions of law, the
initial membership of the governing body shall be as set forth in such
consolidation agreement. Such agreement when adopted and approved as provided
herein shall be the form of the consolidated county, and the provisions of the
first paragraph of subdivision 11 above shall be applicable, mutatis mutandis.
The governing body of the consolidated county shall have the power to make
amendments to the consolidation agreement not contrary to general law. No such
amendments, excluding membership of the governing body, shall become effective
until such amendments have been approved by the General Assembly in accordance
with the procedures established by Chapter 2 (&#xA7; 15.2-200 et seq.).

13. In any consolidation by a county and all the towns therein into a
consolidated county, or in any consolidation of a county and a city into a
consolidated county, the area of any of such town or towns, city or cities may
be designated as a special service district, and the delivery of water, sewer
and similar type services may be continued. The consolidated county shall have
the same powers, rights and duties with respect to the public rights-of-way,
streets and alleys within such district and receive State Highway Fund
allocations as did such town or towns, city or cities prior to consolidation.
The roads in the area formerly located solely within the county shall continue
to be maintained as they were prior to the consolidation, and this subdivision
shall not be construed to authorize any allocation from highway funds not
previously authorized. The boundaries of such special service district or
districts may be altered from time to time by ordinance of the governing body
duly adopted after public hearing.

14. Any consolidation agreement may provide for offering to the voters the
option of adopting a city or county form of government as well as the option
between forms of county governments.

15. The agreement between a county and the incorporated towns located entirely
therein consolidated pursuant to this article may contain provisions for the
establishment of special service tax districts wherein a tax may be levied on
all classes of property within those shires, where, upon the effective date of
the consolidation agreement, there exists, or the consolidation agreement
provides for, additional or more complete governmental services than the level
of services which are being provided or will, under the agreement, be provided
in other shires, or in the consolidated county as a whole. Additional or more
complete governmental services include, but are not limited to, water supply,
sewerage, garbage removal and disposal, heat, lighting, streets, sidewalks and
storm drains, fire-fighting equipment and services, and additional
law-enforcement services but shall not include separate police forces,
additional schools or other basic governmental services to which all citizens
are entitled. Any additional revenue produced from any such tax shall be
segregated into a separate fund and expended by such consolidated county solely
in the shire or special service tax district wherein such additional tax is
assessed. The consolidation agreement shall establish the initial boundary lines
of the shires and the tax rates within each shire. Future adjustments in the
boundaries of the shires or special service tax districts shall be made in
accordance with &#xA7; 15.2-2401, which shall apply to the consolidated county
as it does to the consolidated cities described therein. The governing body of
the consolidated county shall have the same power as the city council referred
to in such section. Such governing body also shall have the power to tax all
sources of revenue which the previous county or incorporated towns therein had
prior to such consolidation.

16. In the event of consolidation of a county and a city into a single county
incorporating a tier-city therein, any rights provided to counties, cities and
towns in Chapters 32 (&#xA7; 15.2-3200 et seq.), 33 (&#xA7; 15.2-3300 et seq.),
36 (&#xA7; 15.2-3600 et seq.), 38 (&#xA7; 15.2-3800 et seq.), and 39 (&#xA7;
15.2-3900 et seq.) may be modified or waived in whole or in part, as set forth
in the consolidation agreement, provided that the modification or waiver does
not conflict with the Constitution of Virginia and provided that such provision
in the consolidation agreement is approved pursuant to the provisions of Chapter
34 (&#xA7; 15.2-3400 et seq.) prior to the effective date of consolidation.

17. The agreement may provide for a subsequent referendum of the voters of all
or part of one or more of the consolidating localities to be held after a
favorable referendum on the initial question of consolidating. This subsequent
referendum shall take the sense of the voters of an area or areas of the
consolidating localities, as determined in the discretion of the governing
bodies of the consolidating localities, on the question of dividing that area or
portion from the newly consolidated locality and consolidating that area or
portion with an adjoining locality not a part of the newly consolidated
locality. The terms and conditions of this division and consolidation may be
included in the agreement or may be determined by the Commission on Local
Government if the affected localities are unable to agree. The nonagreeing
locality shall have the right to reject the recommendations of the Commission,
and not accept such area or portion.

18. In the event of consolidation of counties and cities into a single city
which completely surrounds another city, the agreement may provide for the
subsequent unilateral consolidation of the surrounded city into the consolidated
city at any time. The agreement shall provide that a referendum take the sense
of the voters of the surrounded city on the question of whether the surrounded
city and the surrounding consolidated city shall consolidate.

19. In the event of consolidation of such counties and cities into a single city
which completely surrounds another city, the agreement may provide for the
subsequent unilateral consolidation and conversion of the surrounded city to a
township within the surrounding consolidated city at any time. The agreement
shall provide that a referendum take the sense of the voters of the surrounded
city on the question of whether such city shall convert to a township. The
township may, in the discretion of its council, continue to be called a city and
may formally be referred to as ____________________ city, a Virginia township.
Such township shall have no right to become an independent city, nor to annex or
exercise any extraterritorial jurisdiction within the consolidated city but
otherwise shall have the rights, powers and immunities granted towns. The
consolidated city&#8217;s legal relationship with such township shall be
governed by the same laws that govern county-town relationships, except as
modified herein.

HISTORY: Code 1950, § 15-222.3; 1950, p. 1607; 1956, c. 554; 1962, c. 623, §
15.1-1135; 1971, Ex. Sess., c. 36; 1975, c. 214; 1979, c. 85; 1983, c. 4; 1984,
c. 695; 1986, c. 312; 1989, c. 656; 1990, c. 424; 1991, c. 189; 1995, c. 728;
1997, c. 587.