                                 CODE OF VIRGINIA

CERTAIN CONTRACTS MUST BE APPROVED BY THE COMMISSION (§ 56-77)

A. No contract or arrangement providing for the furnishing of management,
supervisory, construction, engineering, accounting, legal, financial, or similar
services, and no contract or arrangement for the purchase, sale, lease or
exchange of any property, right or thing, other than those above enumerated, or
for the purchase or sale of treasury bonds or treasury capital stock made or
entered into between a public service company and any affiliated interest shall
be valid or effective unless and until it shall have been filed with and
approved by the Commission. The Commission shall, after the filing of such a
contract or arrangement, approve or disapprove the contract or arrangement
within sixty days. The sixty-day period may be extended by Commission order for
an additional period not to exceed thirty days. The contract or arrangement
shall be deemed approved if the Commission fails to act within sixty days or any
extended period ordered by the Commission. It shall be the duty of every public
service company to file with the Commission a verified copy of any such contract
or arrangement, regardless of the amount involved, and the general rule herein
referred to shall remain in full force and effect as to all other public service
companies.

B. The Commission may, in its discretion and upon petition of the public service
company or upon the Commission&#8217;s own action, choose to exempt a public
service company from all or any part of the requirements imposed by subsection A
if the Commission determines that such an exemption is in the public interest.
In addition to exemptions for individual public service companies, the
Commission may adopt rules implementing exemptions from all or any part of the
requirements imposed by subsection A. The Commission may revoke any exemptions
granted under this subsection if it finds that such action is in the public
interest.

C. Notwithstanding the provisions of &#xA7; 56-481.2, the Commission, after
giving notice and an opportunity for a hearing, may, in its discretion, require
any company certificated to provide, and engaged in the provision of, local
exchange telephone service to meet the requirements of subsection A.

HISTORY: 1934, p. 744; Michie Code 1942, § 3774c; 1996, c. 19; 1998, c. 707.