                                 CODE OF VIRGINIA

RATES AND CHARGES (§ 15.2-5431.25)

A. The authority may fix and revise rates, fees and other charges (which shall
include, but not be limited to, a penalty not to exceed 10 percent on delinquent
accounts, and interest on the principal), subject to the provisions of this
section, for the use of a project or any portion thereof and for the services
furnished or to be furnished by the authority, or facilities incident thereto,
owned, operated or maintained by the authority, or facilities incident thereto,
for which the authority has issued revenue bonds as authorized by this chapter
or received loan funding from other sources. Such rates, fees and charges shall
be so fixed and revised as to provide funds, with other funds available for such
purposes, sufficient at all times (i) to pay the cost of maintaining, repairing
and operating the project or systems, or facilities incident thereto, for which
such bonds were issued or loans obtained, including reserves for such purposes
and for replacement and depreciation and necessary extensions, (ii) to pay the
principal of and the interest on the revenue bonds as they become due and
reserves therefor, or other loan principal and interest, and (iii) to provide a
margin of safety for making such payments. The authority shall charge and
collect the rates, fees and charges so fixed or revised. The authority shall
maintain records demonstrating compliance with the requirements of this section
concerning the fixing and revision of rates, fees, and charges that shall be
made available for inspection and copying by the public pursuant to the Virginia
Freedom of Information Act (&#xA7; 2.2-3700 et seq.).

B. No rates, fees or charges shall be fixed under subsection A until after a
public hearing at which all of the users of such facilities; the owners, tenants
or occupants of property served or to be served thereby; and all others
interested have had an opportunity to be heard concerning the proposed rates,
fees and charges. After the adoption by the authority of a resolution setting
forth the preliminary schedule or schedules fixing and classifying such rates,
fees and charges, notice of a public hearing, setting forth the proposed
schedule or schedules of rates, fees and charges, shall be published twice in a
newspaper having a general circulation in the area to be served by such systems,
with the first notice appearing no more than 28 days before and the second
notice appearing no less than seven days before the hearing. The hearing may be
adjourned from time to time. A copy of the notice shall be mailed to the
governing bodies of all localities in which such systems or any part thereof is
located. After the hearing the preliminary schedule or schedules, either as
originally adopted or as amended, shall be adopted and put into effect.

C. A copy of the schedule or schedules of the final rates, fees and charges
fixed in accordance with subsection B shall be kept on file in the office of the
clerk or secretary of the governing body of the locality, and shall be open to
inspection by all interested parties. The rates, fees or charges so fixed for
any class of users or property served shall be extended to cover any additional
properties thereafter served which fall within the same class, without the
necessity of a hearing or notice. Any increase in any rates, fees or charges
under this section shall be made in the manner provided in subsection B. Any
other change or revision of the rates, fees or charges may be made in the same
manner as the rates, fees or charges were originally established as provided in
subsection B.

D. Connection fees established by any authority shall be fair and reasonable.
Such fees shall be reviewed by the authority periodically and shall be adjusted,
if necessary, to assure that they continue to be fair and reasonable. Nothing
herein shall affect existing contracts with bondholders which are in conflict
with any of the foregoing provisions.

HISTORY: 2003, c. 643; 2017, c. 389; 2023, cc. 506, 507; 2024, cc. 225, 242.