CHAPTER 515

An Act to amend and reenact §§ 8, 7,9, and 14 of Chapter 221 of the Acts
of Assembly of 1964, approved March 27, 1964, and to amend said
chapter by adding sections numbered 18-a and 1 7, the amended and
new sections relating, respectively, to definitions; issuance of revenue
bonds; trust agreements to secure such bonds; contributions by certain
municipality; competing parking facilities, and construction of the
chapter

[H 853]
Approved April 4, 1966

Be it enacted by the General Assembly of Virginia:
1. That §§ 3, 7, 9 and 14 of Chapter 221 of the Acts of Assembly of 1964,
approved March 27, 1964, be amended and reenacted, and that the chapter
be amended by adding sections numbered 13-a and 17, the amended and
new sections being as follows:

. Definitions.—As used in this act the following words and terms
shall have the following meanings, unless the context shall indicate another
or different meaning or intent:

(a) The word “Authority” shall mean the Authority created under
the provisions of this act, or, if the Authority shall be abolished, the board,
body or commission succeeding to the principal functions thereof or to
whom the powers given by this act to the Authority shall be given by law.

(a-1) The word “bonds’’ or the words “revenue bonds” shall mean
revenue bonds, revenue refunding bonds or notes of the Authority issued
under the provisions of this act.

(b) The word “cost” as applied to parking facilities or to extensions
or additions thereto shall include the cost of construction or reconstruction,
the cost of all labor, materials, machinery and equipment, the cost of all
lands, property, rights, easements and interests acquired by the Authority
for such construction or reconstruction or the operation thereof, the cost
of demolishing or removing any buildings or structures on land so acquired,
including the cost of acquiring any lands to which such buildings or struc-
tures may be moved, financing charges, interest prior to and during con-
struction, and, if deemed advisable by the Authority, for one year after
completion of construction, reasonable provision for working capital, cost
of engineering and legal services, cost of plans and specifications, surveys
and estimates of cost and of revenues, administrative expense and such
other expenses as may be necessary or incident to such construction or
reconstruction, the financing thereof and the placing of the parking facili-
ties in operation. Any obligation or expense incurred by the Authority or
by the organizing municipality prior to the issuance of bonds under the
provisions of this act in connection with any of the foregoing items of
cost may be regarded as a part of such cost.

(c) The words “governing body” shall mean the board, commission,
council or other body by whatever name it may be known in which the
general legislative powers of the municipality are vested.

(d) The word “municipality” shall mean the city of Winchester in
the Commonwealth of Virginia.

(e) The words “parking facilities” shall mean and shall include
lots, garages, parking terminals, or other facilities or structures for the
off-street parking of motor vehicles, open to public use for a fee, and may
also include, but without limiting the generality of the foregoing, terminal
facilities for trucks and busses, waiting rooms, lockers, and offices catering
primarily to those using such parking facilities, and all facilities appur-
tenant thereto and all property, rights, easements and interests relating
thereto which are deemed necessary for the construction or operation
thereof; provided, however, the words “parking facilities” shall not mean
or include the sale or dispensing of products used in or for the servicing of
motor vehicles.

§ 7. Revenue Bonds.—The Authority is hereby authorized to issue
at one time or from time to time, revenue bonds of the Authority for the
purpose of paying the cost of constructing, reconstructing, equipping,
improving, extending or enlarging any one or more parking facilities.
The bonds of each issue shall be dated, shall mature at such time or times
not exceeding forty years from their date or dates and shall bear interest
at such rate or rates not exceeding * stz per centum * (6%) per annum, as
may be determined by the Authority, and may be made redeemable before
maturity, at the option of the Authority, at such price or prices and under
such terms and conditions as may be fixed by the Authority prior to the
issuance of the bonds. The Authority shall determine the form of the
bonds, including any interest coupons to be attached thereto, and the
manner of execution of the bonds, and shall fix the denomination or denomi-
nations of the bonds and the place or places of payment of principal and
interest, which may be at any bank or trust company within or without the
Commonwealth. In case any officer whose signature or a facsimile of whose
Signature shall appear on any bonds or coupons shall cease to be such
officer before the delivery of such bonds, such signature or such facsimile
shall nevertheless be valid and sufficient for all purposes the same as if he
had remained in office until such delivery. Notwithstanding any of the
other provisions of this act or any recitals in any bonds issued under the
provisions of this act, all such bonds shall be deemed to be negotiable
instruments under the laws of this Commonwealth. The bonds may be
issued in coupon or registered form or both, as the Authority may deter-
mine, and provision may be made for the registration of any coupon bonds
as to principal alone and also as to both principal and interest, and for the
reconversion into coupon bonds of any bonds registered as to both prin-
cipal and interest. The Authority may sell such bonds in such manner,
either at public or private sale, and for such price, as it may determine to
be for the best interests of the Authority, but no such sale shall be made at a
price so low as to require the payment of interest on the money received
therefor at more than * six per centum * (6%) per annum, computed with
relation to the absolute maturity or maturities of the bonds in accordance
with standard tables of bond values, excluding, however, from such com-
putation the amount of any premium to be paid on redemption of any
bonds prior to maturity.

The proceeds of the bonds of each issue shall be used solely for the
purpose for which such bonds shall have been authorized and shall be
disbursed in such manner and under such restrictions, if any, as the
Authority may provide in the resolution authorizing the issuance of such
bonds or in the trust agreement hereinafter mentioned securing the same.
If the proceeds of such bonds, by error of estimates or otherwise, shall be
less than such cost, additional bonds may in like manner be issued to pro-
vide the amount of such deficit, and, unless otherwise provided in the
authorizing resolution or in the trust agreement securing such bonds, shall
be deemed to be of the same issue and shall be entitled to payment from the
same fund without preference or priority of the bonds first issued for the
same purpose.

The resolution providing for the issuance of revenue bonds, and any
trust agreement securing such bonds, may also contain such limitations
upon the issuance of additional revenue bonds as the Authority may deem
proper, and such additional bonds shall be issued under such restrictions
and limitations as may be prescribed by such resolution or trust agreement.

Prior to the preparation of definitive bonds, the Authority may, under

like restrictions, issue interim receipts or temporary bonds, with or without
coupons, exchangeable for definitive bonds when such bonds shall have
been executed and are available for delivery. The Authority may also
provide for the replacement of any bonds which shall become mutilated or
be destroyed or lost.
Bonds may be issued under the provisions of this act without obtain-
ing the consent of any commission, board, bureau or agency of the Common-
wealth of Virginia or of any political subdivision, and without any other
proceedings or the happening of other conditions or things than those
proceedings, conditions or things which are specifically required by this
act.

Revenue bonds issued under the provisions of this act shall not be
deemed to constitute a debt of the Commonwealth or of any municipality
or other political subdivision of the Commonwealth or a pledge of the faith
and credit of the Commonwealth or of any municipality or other political
subdivision, but such bonds shall be payable solely from the funds herein
provided therefor and a statement to that effect shall be recited on the face
of the bonds.

§ 9. Trust Agreement.—In the discretion of the Authority, each or
any issue of revenue bonds may be secured by a trust agreement by and
between the Authority and a corporate trustee, which may be any trust
company or bank having the powers of a trust company within or without
the State. The resolution authorizing the issuance of the bonds or such
trust agreement may pledge the revenues to be received *. In connectton
with the issuance of such bonds or in order to secure the payment thereof,
the Authority shall have power under such agreement to mortgage all
or any part of its property, real or personal, then owned or thereafter ac-
quired, to vest in the trustee thereunder the right to foreclose such mort-
gage and to provide the terms and conditions upon which such trustee or
the holders of bonds or any proportion thereof may exercise the right of
foreclosure. Such trust agreement or resolution providing for the issuance
of such bonds may contain such provisions for protecting and enforcing the
rights and remedies of the bondholders as may be reasonable and proper
and not in violation of law, including covenants setting forth the duties of
the Authority in relation to the construction, reconstruction, equipment,
improvement, maintenance, repair, operation and insurance of any parking
facilities, the fixing and revising of rates, rentals, fees and charges, and the
custody, safeguarding and application of all moneys, and for the employ-
ment of consulting engineers in connection with such construction, recon-
struction, improvement, maintenance and operation. It shall be lawful for
any bank or trust company incorporated under the laws of the Common-
wealth which may act as depositary of the proceeds of bonds or of revenues
to furnish such indemnifying bonds or to pledge such securities as may be
required by the Authority. Such resolution or trust agreement may set
forth the rights and remedies of the bondholders and of the trustee, if any,
and may restrict the individual right of action by bondholders. Such resolu-
tion or trust agreement may contain such other provisions in addition to the
foregoing as the Authority may deem reasonable and proper for the secur-
ity of the bondholders. Except as in this act otherwise provided, the Au-
thority may provide for the payment of the proceeds of the sale of the
bonds and the revenues of any parking facilities or part thereof to such
officer, board or depositary as it may designate for the custody thereof, and
for the method of disbursements thereof, with such safeguards and restric-
tions as it may determine. All expenses incurred in carrying out the pro-
visions of such resolution or trust agreement may be treated as a part of
the cost of operation.

All pledges of revenues under the provisions of this act shall be valid
and binding from the time when such pledge is made. All such revenues
so pledged and thereafter received by the Authority shall immediately be
subject to the lien of such pledges without any physical delivery thereof
or further action, and the lien of such pledges shall be valid and binding
as against all parties having claims of any kind in tort, eontract or other-
wise against the Authority, irrespective of whether such parties have
notice thereof.

§ 18-a. Competing Parking Facilities —So long as any bonds issued
under the provisions of this act are outstanding, the municipality shall
not construct, operate or maintain any parking facilities competing with
parking facilities of the Authority.

§ 14. Contributions.—The municipality is hereby authorized to
make contributions or advances to an Authority which it organizes under
the provisions of this Act from any available moneys * for any purpose of
the Authority, including payment of principal and interest on its bonds.
The municipality is hereby further authorized to enter into agreements
with the Authority obligating the municipality to pay to the Authority
any part or all of the receipts from the operation of on-street parking
meters and making such covenants as may be deemed necessary or desirable
to assure the successful and profitable operation of the on-street parking
meters for so long as any bonds of the Authority remain outstanding.

§ 17. Construction.—This act, being necessary for the welfare of
the Commonwealth and its inhabitants, shall be liberally construed to
effect the purpose thereof.
2. Anemergency exists and this act is in force from its passage.