                                 CODE OF VIRGINIA

CURRENT AND MATURE SEMICONDUCTOR TECHNOLOGY GRANT FUND (§ 59.1-284.44)

A. As used in this chapter, unless the context requires a different meaning:
			&#8220;Capital investment&#8221; means an expenditure by or on behalf of a
qualified company on or after July 1, 2024, in real property, taxable tangible
personal property, or both, at a facility in an eligible locality that is
properly chargeable to a capital account or would be so chargeable with a proper
election. &#8220;Capital investment&#8221; includes the purchase or lease of
furniture, fixtures, business personal property, machinery and tools, including
under an operating lease, and expected building construction and up-fit by or on
behalf of a qualified company.
			&#8220;Eligible locality&#8221; means the City of Manassas.
			&#8220;Facility&#8221; means the building, group of buildings, or
manufacturing, distribution, and research and development campus, including any
related machinery and tools, furniture, fixtures, and equipment, in an eligible
locality that is owned, leased, licensed, occupied, or otherwise operated by the
qualified company for use in the manufacture of, or research and development
for, semiconductors and other electronic devices.
			&#8220;Fund&#8221; means the Current and Mature Semiconductor Technology
Grant Fund.
			&#8220;Grants&#8221; means the grant payments from the Fund that are awarded
to a qualified company in an aggregate amount not to exceed $70 million. The
proceeds of any grants may be used by the qualified company for purposes of
paying for or reimbursing the costs of building construction and infrastructure
related to the facility.
			&#8220;Memorandum of understanding&#8221; means a performance agreement or
related documents to be entered into by a qualified company and the Commonwealth
that sets forth the requirements for capital investment and the creation of new
full-time jobs by a qualified company to be eligible for grants from the Fund.
			&#8220;New full-time job&#8221; means a job position with full-time
employment at the facility as measured at any time following July 1, 2024, for
which the annual average wage is at least $104,873 subject to an escalation
factor for each year as set forth in the memorandum of understanding, that
requires a minimum of 38 hours of an employee&#8217;s time per week for the
entire normal year, consisting of at least 48 weeks, for the qualified
company&#8217;s operations. &#8220;New full-time job&#8221; shall not include
any seasonal or temporary positions and positions created when a job function is
shifted from an existing location in the Commonwealth. Any new full-time job
must be in addition to 1,380 existing full-time positions at the qualified
company&#8217;s facilities in the eligible locality.
			&#8220;Qualified company&#8221; means a semiconductor manufacturing company,
and its affiliates, that manufactures and distributes semiconductors and that
between July 1, 2024, and June 30, 2040, is expected to (i) make or cause to be
made a capital investment at a facility of at least $2,170,130,850 and (ii)
create and maintain at least 340 new full-time jobs at the facility related to,
or supportive of, its semiconductor manufacturing, distribution, and research
and development functions.
			&#8220;Secretary&#8221; means the Secretary of Commerce and Trade or his
designee.

B. There is hereby created in the state treasury a special nonreverting fund to
be known as the Current and Mature Semiconductor Technology Grant Fund. The Fund
shall be established on the books of the Comptroller. All funds appropriated to
the Fund shall be paid into the state treasury and credited to the Fund.
Interest earned on moneys in the Fund shall remain in the Fund and be credited
to it. Any moneys remaining in the Fund, including interest thereon, at the end
of each fiscal year shall not revert to the general fund but shall remain in the
Fund. Moneys in the Fund shall be used to pay grants pursuant to this chapter.
Expenditures and disbursements for grants from the Fund shall be made by the
State Treasurer on warrants issued by the Comptroller pursuant to subsection G,
but in no event shall the Comptroller draw any warrants to issue checks for
grants from the Fund without a specific appropriation authorization from the
General Assembly therefor.

C. A qualified company shall be eligible to receive grants each fiscal year
beginning with the Commonwealth&#8217;s fiscal year starting on July 1, 2026,
and ending with the Commonwealth&#8217;s fiscal year starting on July 1, 2040,
unless such timeframe is extended in accordance with a memorandum of
understanding or bonus grants are earned pursuant to subsection E. Grants paid
pursuant to this chapter shall be subject to appropriation by the General
Assembly during each such fiscal year and contingent upon a qualified company
meeting the requirements set forth in this chapter and the memorandum of
understanding for the number of new full-time jobs created and maintained and
the amount of capital investment made related to the construction or renovation
of a facility. The total aggregate amount of grants payable under this section,
in accordance with subsections D and E, shall not exceed $70 million.

D. A qualified company may earn grants under this subsection for progress
towards and achievement of pledged capital investment and new full-time jobs.
The aggregate amount of grants payable under this section shall not exceed $60
million. Grants are anticipated to be paid in 15 annual fiscal year
installments, calculated in accordance with a memorandum of understanding, as
follows:

   1. $1,395,020 for the Commonwealth&#8217;s fiscal year beginning July 1, 2026;

   2. $5,852,390, less the total amount of grants previously awarded pursuant to
   this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2027;

   3. $11,839,430, less the total amount of grants previously awarded pursuant to
   this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2028;

   4. $17,702,060, less the total amount of grants previously awarded pursuant to
   this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2029;

   5. $22,854,420, less the total amount of grants previously awarded pursuant to
   this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2030;

   6. $28,006,780, less the total amount of grants previously awarded pursuant to
   this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2031;

   7. $33,159,140, less the total amount of grants previously awarded pursuant to
   this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2032;

   8. $36,514,260, less the total amount of grants previously awarded pursuant to
   this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2033;

   9. $39,869,380, less the total amount of grants previously awarded pursuant to
   this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2034;

   10. $43,224,500, less the total amount of grants previously awarded pursuant
   to this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2035;

   11. $46,579,620, less the total amount of grants previously awarded pursuant
   to this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2036;

   12. $49,934,740, less the total amount of grants previously awarded pursuant
   to this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2037;

   13. $53,289,860, less the total amount of grants previously awarded pursuant
   to this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2038;

   14. $56,644,980, less the total amount of grants previously awarded pursuant
   to this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2039; and

   15. $60 million, less the total amount of grants previously awarded pursuant
   to this subsection, for the Commonwealth&#8217;s fiscal year beginning July 1,
   2040.

E. In addition to any grants authorized pursuant to subsection D, a qualified
company may earn bonus grants under this subsection that shall not exceed an
aggregate amount of $10 million across all fiscal years. A bonus grant may only
be earned pursuant to subdivision 1 or 2, or a combination of both. Bonus grants
may be earned by a qualified company by:

   1. Creating more than 340 new full-time jobs, to be paid in accordance with
   the terms of the memorandum of understanding; and

   2. Maintaining at least 340 new jobs in fiscal years 2041 through 2045, to be
   paid in accordance with the terms of the memorandum of understanding.

F. A qualified company applying for a grant installment under this section shall
provide an annual report and evidence satisfactory to the Secretary of (i) the
aggregate number of new full-time jobs created and maintained as of the last day
of the fiscal year, the payroll paid by the qualified company during the fiscal
year, and the average annual wage of the new full-time jobs in the fiscal year
and (ii) the aggregate amount of capital investment made during the fiscal year,
including the extent to which such capital investment was or was not subject to
Virginia sales and use tax pursuant to Chapter 6 (&#xA7; 58.1-600 et seq.) of
Title 58.1. The report and evidence shall be filed with the Secretary in person,
by mail, or as otherwise agreed upon in the memorandum of understanding and by
no later than October 1 each year following the end of the prior fiscal year
upon which such report and such evidence are based.

G. Within 30 days of receiving the report and satisfactory evidence pursuant to
subsection F, the Secretary shall certify to the Comptroller and the qualified
company the amount of grants to which such qualified company is entitled for
payment. Payment of such grants shall be made by check issued by the State
Treasurer on warrant of the Comptroller by the end of the calendar year during
which the annual report and satisfactory evidence are submitted. The Comptroller
shall not draw any warrant to issue checks for grants without a specific
appropriation for the same.

H. As a condition of receipt of grants under this section, a qualified company
shall make available to the Secretary for inspection, upon request, all
documents that are relevant or applicable to determining whether the qualified
company has met the requirements for receipt of a grant pursuant to this section
and subject to the memorandum of understanding. Any such documents appropriately
identified by a qualified company shall be considered confidential and
proprietary and shall not be subject to disclosure pursuant to the Virginia
Freedom of Information Act (&#xA7; 2.2-3700 et seq.).

HISTORY: 2025, cc. 34, 45.