                                 CODE OF VIRGINIA

FURNISHING OF ELECTRIC PUBLIC UTILITY SERVICE OR PROVISION OF FACILITIES
THEREFOR BY MUNICIPAL CORPORATIONS AND OTHER GOVERNMENTAL BODIES (§ 56-265.4:1)

If any municipal corporation or other governmental body, having legal authority
by charter or other law, shall desire to supply electric public utility service,
or construct, enlarge or acquire, by lease or otherwise, any electric utility
facilities, outside its political boundaries, it shall have power to enter into
agreements in that regard with affected public utilities which shall be binding
in accordance with their terms and for the period therein provided; but no
contract entered into under this section shall limit the power of the Commission
to fix rates and to otherwise regulate a public utility. No such service by a
municipal corporation or other governmental body shall be provided, or
facilities constructed, enlarged or acquired, in territory allotted to any
public utility by the Commission except in territory served by such municipal
corporation or other governmental body on June 26, 1964, unless the affected
public utility shall consent by such an agreement or the Commission shall grant
a certificate therefor upon application by the municipal corporation or other
governmental body pursuant to § 56-265.4, authority for which certification is
hereby granted. Provided, however, this limitation on the extension of public
utility service by any municipal corporation or governmental body outside its
political boundaries shall not be applicable to cities or towns extending their
service in accordance with the provisions of § 56-265.4:2. No public utility
shall extend its electric public utility service, or construct, enlarge or
acquire, by lease or otherwise, any electric utility facilities, in territory
served exclusively by a municipal corporation or other governmental body on June
26, 1964, unless such municipal corporation or other governmental body shall
consent by such an agreement. In case of question as to the scope of the
territory served by a municipal corporation or other governmental body on June
26, 1964, the Commission may, and on application by either such public utility
or such municipal corporation or other governmental body shall, decide such
question and allot such territory accordingly, between such public utility and
such municipal corporation or other governmental body, in which event any
expansion of service outside the territory so allotted shall be subject to the
applicable provisions of this chapter, provided, however, that nothing contained
herein shall prevent any municipal corporation from constructing or maintaining
facilities in county areas for the purpose of generating or purchasing
electricity to be transmitted into the service area of such municipal
corporation.

HISTORY: 1964, c. 228; 1978, c. 325.