An Act to amend and reenact § 46.1-299, as amended, of the Code of Virginia, relating to devices signalling intention to turn or stop and rules therefor.
Volume 1968 Law 99
Volume | 1966 |
---|---|
Law Number | 689 |
Subjects |
Law Body
CHAPTER 689
An Act to amend the Code of Virginia by adding in Title 2 thereof a
chapter numbered 6.2 including sections numbered 2-57.02: through
2-57.012, creating the Virginia Industrial Building Authority, to de-
clare the purposes therefor, to provide for the organization, man-
agement and powers of procedures for and limitations upon such
authority and to provide for the construction of this act. rH 448)
Approved April 6, 1966
Be it enacted by the General Assembly of Virginia:
1. That the Code of Virginia be amended by adding in Title 2 thereof a
chapter numbered 6.2, including sections numbered 2-57.02 through
2-57.012, as follows:
Chapter 6.2
§ 2-57.02. Short Title—This chapter shall be known and may be
cited as the “Virginia Industrial Building Authority Act.”
§ 2-57.03. It is hereby found, determined and declared that
(a) A need exists to stimulate and promote the economy of the Com-
monwealth of Virginia by encouraging and assisting the location of new
businesses and industries and by the rehabilitation and expansion of exist-
ing businesses and industries throughout the Commonwealth.
(b) There currently exists in certain areas of the Commonwealth
critical pockets of unemployment and such conditions may well exist from
time to time in other areas of the Commonwealth.
(c) Economic insecurity due to involuntary unemployment is a
serious menace to the health, safety, morals and general welfare of all the
inhabitants of the Commonwealth, and, as such, creates a heavy burden
in the form of public assistance and unemployment compensation.
(d) Although industrial development corporations, banks, insurance
companies and other financial institutions in the Commonwealth have
made substantial loans for successful industrial projects, industrial de-
velopment corporations by reason of lack of funds and banks, insurance
companies and other financial institutions by reason of inability to provide
additional and sufficiently large loans have experienced difficulty in making
adequate loans to finance desirable industrial projects.
(e) There currently exists a need to stimulate a larger flow of private
investment funds from banks, insurance companies and other financial
ak an and sources into industrial projects throughout the Common-
Wi .
Therefore, this chapter is enacted to encourage the making of loans
for the purposes of furthering industrial expansion in the Commonwealth
and thereby promoting employment and improving the health, safety,
morals and general welfare of its inhabitants. Such purposes are hereby
declared to be public purposes for which public funds may be spent.
§ 2-57.04. As used in this chapter, the following words and terms
shall pave the following meanings, unless some other meaning is plainly
intended:
(a) The word “Authority” shall mean the Virginia Industrial Build-
ing Authority created by this chapter.
(b) The word “cost” shall mean the cost of fair market value of
construction or renovation, lands, property rights, easements, franchises,
financing charges, interest prior to and during construction and for a
period not to exceed one year thereafter, engineering and legal services,
plans, specifications, surveys, cost estimates, studies and other expenses
as may be necessary or incident to the development, construction, financing
and placing in operation of an industrial project; however, this definition
shall not include the cost of machinery and equipment.
(c) The term “industrial development corporation” shall mean a
corporation formed under Article 13 of Chapter 1 of Title 13.1 of the
Code of Virginia to encourage and promote the location of new businesses
and industries and the expansion of existing businesses and industries
throughout the Commonwealth.
(d) The term “industrial project” shall mean any building, facility
or other real estate improvement within the Commonwealth, including all
real estate deemed necessary therefor by an industry for the manufactur-
ing, processing or assembling of raw materials or manufactured products,
for distribution and warehousing, for research and development or scien-
tific laboratories or for such other related businesses as will be in further-
ance of the public purposes of this chapter. An industrial project as
defined herein shall not cost less than fifty thousand dollars.
(e) The term “loan guaranty fund” shall mean the fund created
by § 2-57.010 of this chapter to carry out the purposes of the Authority.
§ 2-57.05. There is hereby created a political subdivision of the
Commonwealth of Virginia, to be known as the Virginia Industrial Building
Authority, with such public and corporate powers as are hereinafter
provided, the exercise of which shall be deemed and held to be the perform-
ance of essential governmental functions. The Authority shall consist of
the State Treasurer, the Director of the State Division of Industrial De-
velopment and Planning and five additional members to be appointed by
the Governor, subject to confirmation by the General Assembly if in session
when such appointments are made, and if not in session, at its first session
subsequent to such appointments, who shall serve at the pleasure of the
Governor. The initial appointments shall be two members for terms of
four years and one member each for terms of three, two and one years, and
subsequent appointments to be made for terms of four years, except that
appointments to fill vacancies shall be made for the unexpired term. Each
member shall, before entering upon the discharge of his duties, take and
subscribe the oath prescribed by § 49-1 of the Code of Virginia.
The Governor shall appoint one member as chairman and the Authority
shall elect another member as vice chairman; provided, however, that the
State Treasurer and the Director of the State Division of Industrial De-
velopment and Planning shall not be eligible for appointment or election
as chairman or vice chairman. The Authority shall also elect a secretary
and a treasurer who may but need not be members and who shall perform
the duties commonly performed by such officers. The offices of secretary
and treasurer may be combined. The treasurer and such other officers and
employees as the Authority may determine shall execute surety bonds in
such penal amounts as the Authority may determine.
Four members shall constitute a quorum for the transaction of the
business of the Authority, and no vacancy in the membership of the
Authority shall impair the right of a quorum to exercise all the rights
and perform all the duties of the Authority.
The Authority shall keep minutes of its proceedings, which minutes
shall be open to public inspection. It shall keep suitable records of all its
financial transactions and shall have the same audited annually.
The members of the Authority shall receive no salaries but shall be
entitled to reimbursement for their necessary expenses incurred in the
attendance upon meetings of the Authority or while otherwise engaged
in the performance of their duties and twenty dollars per day for each
day or portion thereof in which they are engaged in the performance of
their duties, with the maximum of five hundred dollars payable to any
member as per diem compensation in any calendar year, except that the
State Treasurer and the Director of the State Division of Industrial De-
velopment and Planning shall not be entitled to the per diem compensation.
§ 2-57.06. The Authority is hereby authorized and empowered:
(a) to adopt bylaws for the regulation of its affairs and the conduct
of its business;
(b) to adopt an official seal and alter the same at pleasure;
(c) to maintain an office at such place or places as it may designate;
(d) to sue and be sued in its own name, plead and be impleaded;
(e) to appoint and employ such officers, agents and employees as
may be necessary or desirable for its purposes, to prescribe their duties
and to fix their compensation ;
(f) to accept from the federal government, the Commonwealth of
Virginia or any county, city or town therein, from any agency or instru-
mentality thereof, or from any person, firm or corporation, gifts, loans
and grants for any of the purposes of the Authority and to enter into
agreements with any of the foregoing with respect to such gifts, loans or
grants;
(zg) to cooperate with the State Division of Industrial Development
and Planning and with local industrial development corporations and others
in their efforts to stimulate and promote the business prosperity and
economic welfare of the Commonwealth and its citizens and to encourage
and assist the location of new businesses and industries and the rehabilita-
tion, improvement and expansion of existing businesses and industries
throughout the Commonwealth;
aed h) to guarantee loans for industrial projects as hereinafter pro-
vi ;
(i) to acquire, purchase, manage and operate, and hold and dispose
of real and personal property, to take assignments of rentals and leases
and to make and enter into all contracts, agreements, leases and arrange-
ments necessary or incidental to the performance of its duties;
(j) upon determination by the Authority that it is necessary or
advisable to further the purposes of this chapter or to safeguard the loan
guaranty fund, to purchase, acquire and take assignments of notes, mort-
gages and other forms of security and evidences of indebtedness; to pur-
ss
oe
chase, acquire or take title to any industrial project by conveyance or
when an insured loan thereon is in default, by foreclosure; and to improve,
sell, lease or rent any industrial project; and
(k) to do all acts and things reasonably necessary or convenient
to carrying out the powers expressly granted by this chapter.
§ 2-57.07. Upon a determination having been made by the Authority
that the undertaking of an industrial project will be in furtherance of the
public purposes of this chapter, the Authority may contract to guarantee
a loan not in excess of forty per centum of the cost of the industrial project,
subject, however, to the following conditions:
(a) The principal of the loan to be guaranteed together with the
principal of all other loans guaranteed by the Authority shall not exceed
an amount equal to ten times the value of the loan guaranty fund.
(b) The principal of the loan to be guaranteed shall not exceed five
hundred thousand dollars or twenty-five per centum of the value of the
loan guaranty fund, whichever is greater.
. (ec) The loan to be guaranteed shall have a maturity satisfactory to
the Authority but in no event later than thirty-five years from the date
of the instrument evidencing the loan.
(d) A firm commitment shall have been secured for funds equal
to the full cost of the industrial project and adequate provision shall have
been made to obtain all machinery and equipment necessary for the opera-
tion of the industrial project.
(e) The proceeds from the loan to be guaranteed shall be used only
to pay a part of the cost of the industrial project.
(f) The maker of the loan is willing to enter into such contracts,
leases, mortgages, deeds of trust or other security agreements as the
Authority may deem necessary.
The Authority shall have no power to make direct loans for any
industrial project.
§ 2-57.08. The Authority shall make no contract to guarantee any
loan until it shall have received an application in writing and shall have
held such hearings or made such examination as it deems necessary to de-
termine whether the public purposes of this chapter will be accomplished
by the guarantee. The Authority may require the furnishing of any
information it shall consider pertinent to make such a determination.
§ 2-57.09. The Authority shall charge the maker of each guaranteed
loan an annual premium which shall be computed as a percentage of the
principal obligation outstanding on the anniversary date of the loan and
shall be payable in such manner as shall be prescribed by the Authority.
The premium shall be not less than one-half per centum and not more than
two per centum, as shall be determined from time to time by the Authority.
The premium for each guaranteed loan shall be calculated on the basis
of all available information.
§ 2-57.010. There is hereby established a loan guaranty fund to be
known as the Virginia Industrial Building Guaranty Fund and to be used
as a revolving fund for carrying out the purposes of this chapter. There
shall be deposited into the guaranty fund all receipts of the Authority,
including appropriations made by the Commonwealth, loan guaranty pre-
miums and proceeds from the sale, lease, rental or other disposition of real
or personal property. There shall be charged to the loan guaranty fund
all expenses of the Authority, including operating expenses, payments of
principal, interest, insurance, taxes and any other payment in connection
with a guaranteed loan that is in default, and expenses in connection with
foreclosure proceedings against an industrial project for which the Au-
thority has guaranteed a loan.
Moneys in the loan guaranty fund not immediately necessary for the
purposes thereof shall be invested in securities or deposits which are au-
thorized by law for public sinking funds.
At any time that the Authority shall determine that funds held for
the credit of the loan guaranty fund are in excess of the amount needed
to carry out the purposes of this chapter, the Authority shall take such
action as may be required to transfer such excess to the general fund
of the State treasury.
§ 2-57.011. Loan guarantees made under the provisions of this chapter
shall not be deemed to constitute a debt of the Commonwealth or
of any political subdivision thereof or a pledge of the faith or credit of
the Commonwealth or of any such political subdivision but shall be payable
solely from the loan guaranty fund. All contracts or agreements for the
guaranty of loans under this chapter shall contain a statement to the effect
that neither the Commonwealth nor the Authority shall be obligated to
pay the principal of or the interest on a guaranteed loan except from the
loan guaranty fund and that neither the faith and credit nor the taxing
power of the Commonwealth or of any political subdivision thereof is
pledged to the payment of the principal of or the interest on such guaran-
oan. |
All expenses incurred in carrying out the provisions of this chapter
shall be payable solely from the loan guaranty fund and no liability or
obligation shall be incurred by the Authority hereunder beyond the extent
0 a moneys shall have been provided under the provisions of this
pter.
§ 2-57.012. Loans guaranteed by the Authority under this chapter
and participations therein are hereby made securities in which all insurance
companies and associations, trust companies, banks, banking associations,
investment companies, executors, administrators, trustees and other fidu-
clarles may properly and legally invest funds under their control.
2. This chapter, being necessary for the promotion of the public welfare,
health, convenience and prosperity of the inhabitants of the Common-
wealth, shall be liberally construed to effect the purposes hereof. The
provisions of this chapter are severable, and if any of its provisions shall
be held unconstitutional by any court of competent jurisdiction the decision
of ron court shall not affect or impair any of the other provisions of this
chapter.
Except as otherwise expressly provided herein, none of the powers
granted to the Authority under the provisions of this chapter shall be
subject to the supervision or regulation or require the approval or consent
of any county, city or town or political subdivision or of any commission,
board, bureau, official or agency thereof or of the Commonwealth.