Chap. 160.—An ACT to amend and re-enact section 5 of an act entitled an act
to create a State highway commission; to provide for a chairman thereot ;
and to prescribe the powers, duties and the compensation of the commis-
sion and chairman; and to provide for a State Inghway commissioner; to
create road construction districts; to provide for the apportionment among
them of road construction funds, and to provide for road construction, 1m-
provement, maintenance and preservation, also to repeal sections 1962, 1963,
1964, 1965, 1966, 1907, 1968, 1969, 1974 and 1975 of the Code of Virginia,
and to repeal an act entitled an act to amend and re-enact an act entitled an
act to establish a State highway commission; to define its powers and duties ;
the term ot othce, salary and qualifications of the commissioner; to authorize
the commission to call into consultation the professors of engineering in
certain State institutions, and appropriating money to carry the provisions
of this act into effect, approved March 6, 1900; to provide for the appoint-
ment of a commission, and fixing their term of ofhce; and to repeal all other
sections of the Code and acts or parts of acts inconsistent with this act,
approved March 24, 1922, section 5 of which was heretofore amended and
re-enacted by an act approved March 21, 1924, and further amended and
re-enacted by an act approved March 17, 1920. [S B 132}

Approved March 10, 1928

1. Be it enacted by the general assembly of Virginia, That section
five of an act entitled an act to create a State highway commission; tc
provide for a chairman thereof; and to prescribe the powers, duties
and compensation of the commission and chairman; and to provide fot
a State highway commissioner; to create road construction districts.
to provide for the apportionment among them of road constructior
funds, and to provide for road construction, improvement, mainte.
nance and preservation, also to repeal sections nineteen hundred and
sixty-two, nineteen hundred and sixty-three, nineteen hundred and
sixty-four, nineteen hundred and sixty-five, nineteen hundred and sixty-
six, nineteen hundred and sixty-seven, nineteen hundred and sixty-
eight, nineteen hundred and sixty-nine, nineteen hundred and seventy-
four and nineteen hundred and seventy-five of the Code of Virginia,
and to repeal an act entitled an act to amend and re-enact an act en-
titled an act to establish a State highway commission; to define its
powers and duties; the term of office, salary and qualifications of the
commissioner; to authorize the commission to call into consultation
the professors of engineering in certain State institutions, and appro-
priating money to carry the provisions of this act into effect, approved
March sixth, nineteen hundred and six; to provide for the appoint-
ment of a commission, and fixing their term of office, and to repeal
all other sections of the Code and acts or parts of acts inconsistent
with this act, approved March twenty-fourth, nineteen hundred and
twenty-two, section five of which was heretofore amended and re-
enacted by an act approved March twenty-first, nineteen hundred and
twenty-four, and further amended and re-enacted by an act approved
March seventeenth, nineteen hundred and twenty-six, be further
amended and re-enacted so as to read as follows:

Section 5. General powers and duties of the State highway com-
mission.—The State highway commission shall be vested with the
following powers and duties: to locate and establish the routes to be
followed by the roads comprising the State highway system between
the points designated in the act establishing said system; but where
the route has already been located and established in pursuance of law,
no change shall be made in such route by the commission; provided,
that appeals under section four, chapter thirty-one of acts of nineteen
hundred and nineteen, pending or allowable on July first, nineteen
hundred and twenty-two, shall be heard by the commission created by
this act. The commission, however, shall not locate and establish any
such route unless and until thirty days’ written notice of its proposed
action shall have been given to the clerk of the circuit court of the
county in which the route to be located and established, or any part
thereof, is situated, and also and unless and until, such notice shall
have been published at least once in a newspaper published in said
county or counties, or in some newspaper having general circulation.
therein, not less than thirty days before the proposed action of the
commission, and until a local hearing shall have been had by the com-
mission, if the same be requested. Immediately upon the receipt of
such notice, the clerk shall notify the board of supervisors and the local
road authorities of such county.

Within thirty days after the filing of said report with the clerk of
the court, the board of supervisors, or local road authorities of said
county, or any fifty or more freeholders thereof, may apply to the com-
mission for a rehearing of said decision, locating and establishing any
such route, and the commission shall thereupon, within a reasonable
and applied as the association may at any general or special meeting
direct. The association may in its by-laws prescribe the terms and
conditions, rules and regulations under and by which the shareholders
or employees, or co-operating non-shareholders may participate in the
earnings of the association.

Unless and until otherwise ordered by the association at any general
or special meeting the board of directors shall annually apportion the
net earnings by first paying dividends on the paid up capital stock
not exceeding eight per centum per annum, and by then setting aside
not less than ten per centum of the remaining net earnings for a reserve
fund until an amount has accumulated in said reserve fund equal to
thirty per centum of the paid up capital stock, and five per centum of
the then remaining net earnings for an educational fund to be used in
teaching co-operation; and shall apportion the remainder of said net
profits by uniform dividends to its shareholders upon the amount of
purchases of said association from its shareholders, and sales by the
association to its shareholders or for their account, and upon the wages
and salaries of employees, and one-half of such uniform dividend to
co-operating non-shareholders unless otherwise provided by the by-laws
of said association as follows: If the association be engaged in the mer-
cantile business, then to the extent the business is so conducted, divi-
dends, except as hereinafter otherwise provided, shall be paid to the
co-operative non-shareholders and upon the amount of their purchases,
and not upon the purchases made by the said association. If the as-
sociation be engaged to any extent in the purchase and sale of products
of farm or orchard or as selling agent of such products, or if the as-
sociation be a productive association, such as a creamery, cannery, or
factory, and the like, dividends to such extent shall be paid to the per-
sons so furnishing such products and upon the amounts so furnished,
and not upon sales by the association.

_(e) Any such association may, either in its charter or by-laws, pro-
vide and require that no share of its stock shall be issued to or voted
by any person not a member of a non-stock corporation or non-stock
corporations named or designated in such corporation or non-stock cor-
porations named or designated in such charter or by-laws, or may in
like manner provide that shares of its stock may be issued to or owned
by persons not members of such designated non-stock corporation or
non-stock corporations, but that when so owned such stock shall have
no voting power.

(f) No corporation or association hereafter organized or doing
business for profit in this State shall

ation or corporation incor-
general assembly nineteen
hundred and twenty-two, or under the general corporation laws of
this State, may be brought under the provisions of this act, and be
entitled to all the benefits thereof, and be subject to all provisions
restrictions and limitations thereof by amending their articles of a:
sociation or incorporation in the same manner as set out in section
twenty-four, chapter forty-eight, acts of general assembly nineteen hun-
dred and twenty-two, in cases of such associations and corporations
existing under chapter forty-eight, acts of assembly nineteen hundred
and twenty-two, either by original incorporations or by amendment
and in cases of such associations and corporations existing under the
general corporation laws by amending according to the provisions of
section thirty-seven hundred and eighty, Code of Virginia nineteen
hundred and nineteen; but when such amendment is had in the case
of a corporation or association existing under provisions of chapter
forty-eight, acts of assembly nineteen hundred and twenty-two, all
special privileges under chapter forty-eight, acts of assembly nineteen
hundred and twenty-two, are thereby surrendered.