Chap. 40.—An ACT to amend the Code of Virginia by adding thereto a new
) section numbered Section 4387-a, the object of which new section being,
to provide that, in certain condemnation proceedings instituted by cities or
counties under the general provisions of Chapter 176 of the Code of Virginia,
and in pursuance of the provisions of Section 3042 of the Code of Virginia,
for the acquisition of water works systems, the council or board or other
governing body of the condemning city or county shall, within the time fixed
by the court, file a copy of a resolution setting forth whether or not it
will be to the best interest of the city or county to take property sought to
be condemned, at the amount awarded therefor by the commissioners, to
provide for the dismissal of such proceedings for failure to pay the amount
of the award within the time fixed therefor; to provide for the fixing by
the court of the time when the amount of such award must be paid to
the party or parties entitled thereto, or into court; to provide for the exten-
sion of such time by the court for the purpose of allowing the condemning
party to raise the necessary money by the issuance and sale of the bonds
of the city or county, and for the holding of an election on the question of
issuing such bonds, if necessary or required; to provide for the condemning
party taking possession of the property sought to be condemned, after the
filing of the commissioner’s report and pending further proceedings subsequent
thereto; to provide for settlement of claims of property owners for interest
or damages on account of delay in payment of the award; to make this act
apply to condemnations now pending as well as to those hereafter instituted;
and to repeal all acts and parts of acts inconsistent with any of the provisions
of this act, to the extent of such inconsistency. [fH B 335]

Approved March 1, 1938

1. Be it enacted by the General Assembly of Virginia, That the
Code of Virginia be amended by adding thereto a new section numbered
section forty-three hundred and eighty-seven-a, which new section shall
read as follows:

Section 4387-a. In any proceedings instituted under the provisions
of chapter one hundred and seventy-six of the Code of Virginia by
any city or county pursuant to the provisions of section thirty hundred
and forty-two of the Code of Virginia for the acquisition by such city
or county of a water works system, after the commissioners have
filed their report as provided by said chapter, it shall be the duty of its
council or other governing body, within such time as may be fixed
and allowed by the court, to file in the proceedings a certified copy of
a resolution of such council or other governing body stating whether
said council or other governing body is of opinion that it is in the
best interest of said city or county to take the property sought to be
condemned at the amount fixed by the said commissioners as com-
pensation and/or damages on account of the taking of same. If such
copy of said resolution be not filed within the time allowed by the
court, or within any extension of such time which may be allowed, the
proceedings shall be dismissed on motion of any party thereto. If
in order to pay said amount it will be necessary for said city or county
to issue and sell its bonds, said resolution filed shall so state, and shall
further state that the said council or other governing body proposes
to promptly take the necessary and appropriate action required by law
to issue and sell said bonds; (a) whenever an order, decree or judg-
ment of the court confirming said report of the said commissioners
has become final and not subject to review by writ of error or appeal.
or, (b), if appealed, whenever said report shall be finally confirmed
by any final appellate court, or, (c) whenever a sole defendant, if
there be but one, or all of the defendants, if there be more than one,
shall file in the said proceedings a statement or statements that said
defendant or defendants will accept the said report of said commis-
sioners and will not dispute or contest in any manner the amount
therein fixed or the legality of the proceedings. If such a statement
or statements be filed no appeal or writ of error shall thereafter be
allowed said defendant or defendants. When said report shall have
been finally confirmed, as hereinabove provided, or when said defend-
ant or defendants have filed in said proceedings the statement or state-
ments as above provided, the court shall, upon motion of any party
to the proceedings, after notice to all other parties thereto, fix a rea-
sonable time within which the said city or county must complete the
issuance and sale of its bonds, if the sale of bonds is necessary, and/or
pay the money to the party or parties entitled thereto, or pay the same
into said court. Such time so fixed may be extended by the court
for good cause shown.

If the bonds which any such city proposes to issue in order to raise
the money necessary to pay the amount fixed in the commissioners’
report be revenue bonds requiring approval by the affirmative vote of
a majority of the qualified voters in a referendum election as pro-
vided in section one hundred and twenty-seven, subsection (b) of the
Constitution of Virginia and statutes enacted pursuant thereto, and in
any case where any such county proposes to issue bonds, the court
shall allow a reasonable time for the holding of the required election.
In the event that such an election is held and the proposed bond issue
1s not approved therein, or if approved and for any reason the bonds
proposed to be issued by any such city or county cannot be sold upon
terms which, in the opinion of the city council or other governing
body, are reasonably advantageous to said city or county, then, upon
motion of said city or county, the proceedings shall be dismissed and
there shall be no obligation upon said city or county to take the prop-
erty or pay the amount fixed by the Commissioner’s report, notwith-
standing the fact that the council or other governing body may have
hled the resolution of approval of the commissioners’ report as here-
inabove provided for, nor shall the filing of any such resolution ap-
proving the award of the commissioners be deemed to be a contract
on the part of any such city or county to purchase or take the prop-
erty sought to be condemned, or to render any such city or county
liable in damages for failure to take same. In the event that any
such city or county fails to pay the amount fixed and ascertained by
the commissioners’ report, as directed by the court and within. the
‘ime, or any extension thereof, allowed by the court as hereinabove
provided, the proceedings shall be dismissed on action of any party
hereto. But if such proceedings be so dismissed, judgment shall be
entered against the said city or county for all costs and the attornevs’
fee or fees actually incurred by the defendant or defendants; provided,
however, that said fee or fees shall be so paid only to the extent
they are reasonable in the opinion of the court.

Notwithstanding any exceptions which may be filed to the said
report of the commissioners or the pendency of proceedings on said
exceptions, or any appeal or writ of error which may be contemplated
or may be pending, or the pendency of any other matters in said
proceedings, any such city or county shall have the right at any time
pending such proceedings, after the filing of the report of the com-
missioners, to pay into court the amount of the award fixed by said
report and take possession of and operate the property sought to be
condemned and embraced in said commissioners’ report, and to enlarge
the works taken and construct additional works on any property taken
and to make any needed repairs to or replacements, or substitutions
with respect to said works or any part thereof. No court or judge
shall enter any order or decree restraining, prohibiting or enjoining
any such city or county from taking such possession of any such
water works or other property embraced in the said commissioners’
report, or from operating same or making replacements, repairs, better-
ments or additions thereto.

In the event that such money is paid and possession taken within
ninety days of the time of the filing of the said report of the com-
missioners, no interest on the amount of the award, or any part
thereof, shall be allowable to the defendant or defendants, and if
said money is paid and possession taken after the lapse of more than
ninety days from the date of the filing of the said report of the com-
missioners, the court, upon hearing after due notice, shall adjudicate
all claims made by the defendant or defendants for damages claimed
to have been sustained and for interest on the value of the property
taken, and for additions thereto or replacements during or for the
time elapsed since the expiration of said ninety days. If the property
taken, or any part thereof, be income producing the court shall take
into consideration any income accruing to the property owner during
said period, and shall also take into consideration depreciation of an
operating water system as well as the cost of additions, betterments
and replacements made by the city or county. If the court find that
said property owner is entitled to receive any additional payment by
reason of said matters, it shall render judgment against the city or
county for the amount thereot.

2. This act shall apply to all proceedings embraced herein whether
same be now pending or hereafter instituted.

3. All statutes and acts, or parts thereof, inconsistent with any
of the provisions of this act are hereby repealed to the extent of
such inconsistency. |

4. An emergency existing, this act shall be in force from the time
of its passage.