Virginia Law

Capital Region Airport Commission

History

1975 Acts of Assembly, c. 537; repealed 1980, c. 380.

Current

1980 Acts of Assembly, c. 380.

Amendments

1985, c. 117 (§ 6)

1986, c. 410 (§§ 8, 13)

1997, c. 658 (§ 11)

1998, c. 588 (§§ 9, 14, 16)

2001, cc. 331, 344 (§§ 7, 15)

2014, c. 672 (§§ 10, 15)

2022, cc. 367, 368 (§ 8)

§ 1. Short title.

This act shall be known and may be cited as the "Capital Region Airport Commission Act." (1980, c. 380)

§ 2. Purpose of act; finding and declaration of necessity.

It is the intent of the General Assembly by the passage of this act to continue the Capital Region Airport Commission, heretofore created by and pursuant to Chapter 537 of the Acts of the 1975 General Assembly, as amended, the governing bodies of the city of Richmond and the county of Henrico having declared a need for an airport commission for establishing or operating one or more airports for such participating political subdivisions, and to confer upon such Commission all powers necessary or incident to the ownership and operation of such airports, to the end that such Commission may promote the welfare, convenience and prosperity of the inhabitants of the participating political subdivisions and this Commonwealth, and the increase of their commerce.

It is hereby found and declared that the ownership and operation by the Commission of modern and efficient air transportation and related facilities are proper and essential governmental functions and public purposes for which public moneys may be spent and private property acquired through the power of eminent domain. (1980, c. 380)

§ 3. Definitions.

As used in this act the following words and terms have the following meanings, unless a different meaning clearly appears from the context:

1. "Act" means this Capital Region Airport Commission Act.

2. "Bonds" means any bonds, notes, debentures, or other evidences of financial indebtedness issued by the Commission pursuant to this act.

3. "Commission" means the Capital Region Airport Commission created by and pursuant to Chapter 537 of the Acts of Assembly of 1975, as amended, and continued by this act.

4. "Commonwealth" means the Commonwealth of Virginia.

5. "Facility" means any and all airports, terminals, runways, hangars, loading facilities, repair shops, parking areas, facilities for the preparation of in-flight meals, restaurants and accommodations for temporary or overnight use by passengers, and other facilities functionally related to the needs or convenience of passengers, shipping companies and airlines, and industrial and commercial facilities, purchased, constructed or otherwise acquired or operated by the Commission pursuant to the provisions of this act. Any facility may consist of or include any or all buildings or other structures, improvements, additions, extensions, replacements, machinery, or equipment, together with appurtenances, lands, rights in land, aviation rights, water rights, franchises, furnishings, landscaping, utilities, approaches, roadways, or other facilities necessary or desirable in connection therewith or incidental thereto.

6. "Participating political subdivision" means any of the city of Richmond, the counties of Henrico, Charles City, Chesterfield, Goochland, Hanover, New Kent, or Powhatan or the town of Ashland, which may join or have joined the Commission pursuant to § 5 of this act.

7. "Political subdivision" means a county, municipality or other public body of this Commonwealth. (1980, c. 380)

§ 4. Continuation of Commission.

The Capital Region Airport Commission created by and pursuant to Chapter 537 of the Acts of Assembly of 1975, as amended, is hereby continued as a political subdivision of the Commonwealth with such public and corporate powers as are set forth in this act. (1980, c. 380)

§ 5. Participating political subdivisions.

The city of Richmond and the county of Henrico are the initial participating political subdivisions. Any of the counties of Charles City, Chesterfield, Goochland, Hanover, New Kent, or Powhatan or the town of Ashland may by resolution of its governing body join the Commission and become a participating political subdivision upon the condition that it first contribute, or make arrangements satisfactory to the Commission for a contribution, to the Commission that amount determined by the Commission to reflect such political subdivision's interest in the value of the Commission's properties.

No pecuniary liability of any kind shall be imposed upon any participating political subdivision because of any act, omission, agreement, contract, tort, malfeasance or misfeasance or nonfeasance by or on the part of the Commission or any member thereof, or its agents, servants, or employees, except as otherwise provided in this act with respect to contracts and agreements between the Commission and any political subdivision. (1980, c. 380)

§ 6. Appointment, tenure and compensation of Commissioners.

The powers of the Commission shall be vested in the Commissioners thereof in office from time to time. The governing body of each participating political subdivision shall appoint the number of commissioners, who may be members of the governing body, set forth opposite its name below, each to serve for a term of four years or until his successor be appointed and qualified, subject however to the right of the governing body of each political subdivision to remove at any time any Commissioner appointed by it and appoint a successor Commissioner:

The governing body of any participating political subdivision may compensate each Commissioner appointed by it in an amount not to exceed three thousand dollars annually. Each Commissioner may be reimbursed by the Commission for the amount of actual expenses incurred by him in the performance of his duties. (1980, c. 380; 1985, c. 117)

§ 7. Organization.

A majority of the Commissioners in office shall constitute a quorum. No vacancy in the membership of the Commission shall impair the right of a quorum to exercise all the rights and perform all the duties of the Commission.

The Commissioners shall annually elect from their membership a chairman and a vice-chairman and, from their membership or not as they desire, a secretary and a treasurer or a secretary-treasurer, and such other officers as they may deem appropriate. The Commissioners shall appoint an airport administrator, who shall not be a Commissioner and whose title shall be president and chief executive officer. He shall administer, manage, and direct the affairs and activities of the Commission in accordance with the policies and under the control and direction of the Commissioners. He shall, in addition, have such other powers and perform such other duties as may be delegated to him by the Commissioners, including powers and duties involving the exercise of discretion.

The Commissioners may make and from time to time amend and repeal bylaws, not inconsistent with this act, governing the manner in which the Commission's business may be transacted and in which the power granted to it may be enjoyed. The Commissioners may appoint such committees as they may deem advisable and fix the duties and responsibilities of such committees. (1980, c. 380; 2001, cc. 331, 344)

§ 8. Powers.

The Commission is hereby granted, has and may exercise all powers necessary or appropriate to carry out and effectuate the purposes of this act, including, for purposes of illustration, the following:

1. To sue and be sued in its own name;

2. To have perpetual succession;

3. To adopt a corporate seal and alter the same at its pleasure;

4. To maintain offices at such places as it may designate;

5. To acquire, establish, construct, enlarge, improve, maintain, equip, operate and regulate any airports, air landing fields, structures, air navigation facilities and other property incidental thereto within the territorial limits of the participating political subdivisions;

6. To construct, install, maintain and operate facilities for the servicing and storage of aircraft and for the accommodation of cargo, freight, mail, express, etc., and for the accommodation and comfort of air travelers, and for lease or sale to industrial or commercial users, and to purchase and sell equipment and supplies as an incident to the operation of its airport facilities;

7. To grant to others the privilege to operate for profit concessions, leases and franchises, including but not limited to the sale of airplanes, fuel, parts and equipment, the accommodation and comfort of persons using its facilities and the providing of ground transportation and parking facilities for such persons, and such concessions, leases, and franchises shall be exclusive or limited when it is necessary to further the public safety, improve the quality of service, avoid duplication of service, or conserve airport property and the airport's resources;

8. To determine fees, rates, and charges for the use of its facilities;

9. To apply for and accept gifts, or grants of money or gifts, grants, or loans of other property or other financial assistance from the United States of America and agencies and instrumentalities thereof, this Commonwealth and political subdivisions, agencies and instrumentalities thereof, or any other person or entity, for or in aid of the construction, acquisition, ownership, operation, maintenance or repair of the Commission's facilities or for the payment of principal of any indebtedness of the Commission, interest thereon or other cost incident thereto, and to this end the Commission shall have the power to render such services, comply with such conditions and execute such agreements, and legal instruments, as may be necessary, convenient or desirable or imposed as a condition to such financial aid;

10. To establish, operate and maintain a foreign trade zone and otherwise to expedite and encourage foreign commerce;

11. To appoint, employ or engage such officers, employees, architects, engineers, attorneys, accountants, financial advisors, investment bankers, and other advisors, consultants, and agents as may be necessary or appropriate, and to fix their duties and compensation;

12. To establish personnel rules;

13. To own, purchase, lease, obtain options upon, acquire by gift, grant, or bequest or otherwise acquire any property, real or personal, or any interest therein, and in connection therewith to assume or take subject to any indebtedness secured by such property;

14. Subject to the provisions of the Deed and Agreement among the City of Richmond, the County of Henrico, and the Commission, made as of January one, nineteen hundred seventy-six, as it may be amended, to sell, lease, grant options upon, exchange, transfer, assign, or otherwise dispose of any property, real or personal, or any interest therein, if such disposition is in the public interest and in furtherance of the purposes of this act or if such property is not necessary for the purposes of the Commission;

15. To make and enter into all contracts, leases, and arrangements necessary or incidental to the exercise of its powers, including contracts for the management or operation of all or any part of its facilities;

16. To borrow money, as hereinafter provided and, provided such borrowing shall mature within one year, to borrow money for the purpose of meeting casual deficits in its revenues;

17. To adopt, amend, and repeal rules and regulations for the use, maintenance, and operation of its facilities and governing the conduct of persons and organizations using its facilities and to enforce such rules and regulations and all other rules, regulations, ordinances, and statutes relating to its facilities, all as hereinafter provided;

18. To pay pensions and establish pension plans, pension trusts, and other compensation plans for any of its employees;

19. To purchase and maintain insurance on behalf of and to indemnify and to indemnifyany person who is or was a Commissioner, officer, employee or agent of the Commission against any liability asserted against him or incurred by him in any such capacity or arising out of his status as such;

20. To make charitable donations and provide financial assistance, personnel assistance, and other assistance to educational and charitable entities, organizations, programs, and other endeavors designed to foster an appreciation by the public of the importance of aviation, assist the public in aviation travel, or help develop and educate the next generation of aviation professionals in the Commonwealth. The Commission may form or support one or more independent foundations for such purposes. Some or all of the directors of any such foundation may be appointed by the Commission from among the Commission staff, Commission members, aviation and travel hospitality sector professionals, or members of the public. Any such foundation shall be organized to qualify under § 501(c)(3) of the Internal Revenue Code and shall not be deemed to be a public body or political subdivision of the Commonwealth or subject to any requirements thereof, including the Virginia Public Procurement Act (§ 2.2-4300 et seq. of the Code of Virginia) or the Virginia Freedom of Information Act (§ 2.2-3700 et seq. of the Code of Virginia); and

21. To do all things necessary or convenient to the purposes of this act. (1980, c. 380; 1986, c. 410; 2022, cc. 367, 368)

§ 9. Rules and regulations.

The Commission shall have the power to adopt, amend, and repeal rules and regulations for the use, maintenance and operation of its facilities and governing the conduct of persons and organizations using its facilities.

Unless the Commission shall by unanimous vote of all Commissioners present determine that an emergency exists, the Commission shall, prior to the adoption of any rule or regulation or alteration, amendment or modification thereof:

a. Make such rule, regulation, alteration, amendment, or modification in convenient form available for public inspection in the office of the Commission for at least ten days;

b. Publish a notice in a newspaper of general circulation published in the participating political subdivisions declaring the Commission's intention to consider adopting such rule, regulation, alteration, amendment, or modification and informing the public that the Commission will hold a public hearing at which any person may appear and be heard for or against the adoption of such rule or regulation or such alteration, amendment, or modification, on a day and at a time to be specified in the notice, after the expiration of at least ten days from the day of the publication thereof; and

c. Hold the public hearing on the day and at the time specified in such notice or any adjournment thereof, and hear persons appearing for or against such rule, regulation, alteration, amendment, or modification.

The Commission's rules and regulations shall be available for public inspection in the Commission's principal office.

The Commission's rules and regulations relating to: a. Traffic, including but not limited to motor vehicle moving violations and the location of and payment for public parking; b. Access to Commission facilities, including but not limited to solicitation, handbilling, and picketing; and c. Aircraft operation and maintenance; shall have the force and effect of law, as shall any other rule or regulation of the Commission which shall contain a determination by the Commission that it is necessary to accord the same the force and effect of law in the interest of the public safety; provided, however, that with respect to motor vehicle traffic rules and regulations, the Commission shall obtain the approval of the traffic engineer or comparable official of the political subdivision in which such rules or regulations are to be enforced. The violation of any rule or regulation of the Commission relating to motor vehicle traffic shall be tried and punished in the same manner as if it had been committed on the public roads of the participating political subdivision in which such violation occurred; all other violations of the Commission's rules and regulations having the force and effect of law shall be punishable as misdemeanors. (1980, c. 380; 1998, c. 588)

§ 10. Police powers.

The Commission may exercise full law-enforcement powers upon all property owned, managed, leased, or maintained by or under the control of the Commission; establish and maintain a police department; and employ police officers to enforce the laws of the Commonwealth and all rules and regulations of the Commission. The Commission's police force and its police officers shall have all the powers vested in local police forces and police officers under Virginia law. Any person appointed and employed as a Commission police officer pursuant to this section must meet the training requirements established by the Department of Criminal Justice Services under § 9.1-102 and the requirements of § 9.1-114.

Such police officers may issue summons to appear, or arrest on view or on information without warrant as permitted by law, and conduct before any court of competent jurisdiction any person violating any rule or regulation of the Commission or other applicable statute, ordinance, rule, or regulation.

For the purpose of enforcing such statutes, ordinances, rules, and regulations, the court or courts having jurisdiction for the trial of criminal offenses of the participating political subdivision wherein the offense was committed shall have jurisdiction to try a person charged with the violating of any such statutes, ordinances, rules, and regulations. (1980, c. 380; 2014, c. 672)

§ 11. Eminent domain; right of entry.

The Commission is hereby granted full power to exercise within the participating political subdivisions the right of eminent domain in the acquisition of any lands, easements, privileges or other property interests which are necessary for airport and landing field purposes, including the right to acquire by eminent domain, avigation easements over lands or water outside the boundaries of its airport or landing fields where necessary in the interests of safety for aircraft to provide unobstructed air space for the landing and taking off of aircraft utilizing its airport and landing fields even thought such avigation easement be inconsistent with the continued use of such land for the same purposes for which it had been used prior to such acquisition, or inconsistent with the maintenance, preservation and renewal of any structure or any tree or other vegetation standing or growing on said land at the time of such acquisition. Proceedings for the acquisition of such lands, easements and privileges by condemnation may be instituted and conducted in the name of the Commission in accordance with Title 25 of the Code of Virginia.

The authorized agents and employees of the Commission may enter upon any lands, waters, and premises within the participating political subdivisions for the purpose of making surveys, or obtaining environmental samplings as they may deem necessary for the purposes of this chapter, and such entry shall not be deemed a trespass, nor shall an entry for such purpose be deemed an entry under any condemnation proceedings which may be then pending. The Commission shall make reimbursement for any actual damage resulting to such lands, waters, and premises as a result of such activities. The Commission shall disclose the results of any such environmental samplings to the property owner if requested. (1980, c. 380; 1997, c. 658)

§ 12. Reports.

The Commission shall keep minutes of its proceedings, which minutes shall be open to public inspection during normal business hours. It shall keep suitable records of all its financial transactions and shall arrange to have the same audited annually by an independent certified public accountant. Copies of each such audit shall be furnished to each participating political subdivision and shall be open to public inspection. (1980, c. 380)

§ 13. Construction contracts.

All contracts that the Commission may let for construction or materials shall be subject to the Virginia Public Procurement Act, § 11-35 et seq. of the Code of Virginia. This section shall not apply to contracts relating to the construction of facilities by tenants on land leased from the Commission. (1980, c. 380; 1986, c. 410)

§ 14. Deposit and investment of funds.

All moneys received pursuant to the authority of this act, whether as proceeds from the sale of bonds or as revenues or otherwise, shall be deemed to be trust funds to be held and applied solely as provided in this act. All moneys of the Commission shall be deposited as soon as practicable in a separate account or accounts in one or more banks or trust companies organized under the laws of the Commonwealth or national banking associations. Such deposits shall be continuously secured in accordance with the Virginia Security for Public Deposits Act.

Funds of the Commission not needed for immediate use or disbursement may, subject to the provisions of any contract between the Commission and the holders of its bonds, be invested in securities which are considered lawful investments for fiduciaries. (1980, c. 380; 1998, c. 588)

§ 15. Authority to issue bonds.

The Commission shall have power and is hereby authorized to issue bonds from time to time in its discretion for any of its purposes, including the payment of all or any part of the cost of any of its facilities and the refunding of any bonds previously issued by it.

Bonds may be issued under this act notwithstanding any debt or other limitation prescribed in any statute and without obtaining the consent of any city, town, or county government or any commission, board, bureau, or agency of the Commonwealth or of any of the foregoing, 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.

The Commission may issue such types of bonds as it may determine, including, without limiting the generality of the foregoing, bonds payable as to principal and interest: (i) from its revenues generally; (ii) exclusively from the income and revenues of a particular project; or (iii) exclusively from the income and revenues of certain designated projects, whether or not they are financed in whole or in part from the proceeds of such bonds. Any such bonds may be additionally secured by a pledge of any grant or contribution from a participating political subdivision, the Commonwealth or any political subdivision, agency or instrumentality thereof, any federal agency or any unit, private corporation, copartnership, association, or individual, as such participating political subdivision, or other entities may be authorized to make under general law or by a pledge of any income or revenues of the Commission, or where such mortgage has been approved by the participating political subdivisions, a mortgage of any facilities of the Commission.

Bonds of the Commission shall be authorized by resolution and may be issued in one or more series, may be dated, may mature at such time or times not exceeding forty years from their date or dates, may be subject to redemption or repurchase at such price or prices and under such terms and conditions, and may contain such other provisions, all as determined by the Commission before their issuance or in such manner as the Commission may provide. The bonds may bear interest at such rate or rates as may be determined by the Commission or in such manner as the Commission may provide, including the determination by reference to indices or formulas or by agents designated by the Commission under guidelines established by it. The Commission 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 denominations 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 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 the Commonwealth. The bonds may be issued in coupon or registered form or both, as the Commission may determine, 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 conversion and reconversion into coupon bonds of any bonds registered as to both principal and interest and vice versa. The Commission 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 Commission.

Prior to the preparation of definitive bonds, the Commission 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. (1980, c. 380; 2001, cc. 331, 344; 2014, c. 672)

§ 16. Resolution or trust indenture to secure bonds.

In connection with the issuance of bonds and/or in order to secure the payment of such bonds, the Commission shall have power:

1. To pledge by resolution, trust indenture, or other agreement, all or any part of its fees, rents, or revenues;

2. To covenant to impose and maintain such schedule of fees, rents and charges as will produce funds sufficient to pay operating costs and debt service;

3. To covenant against pledging all or any part of its fees, rents, and revenues to which its right then exists or the right to which may thereafter come into existence or against permitting or suffering any lien thereon;

4. To provide for the release of fees, rents, and revenues from any pledge and to reserve rights and powers in the fees, rents and revenues from which are subject to a pledge;

5. To covenant with respect to limitations on its right to sell, lease, or otherwise dispose of any facility or facilities of the Commission or any part thereof or with respect to limitations on its right to undertake additional projects;

6. To covenant as to the bonds to be issued pursuant to any resolution, trust indenture, or other instrument and as to the issuance of such bonds in escrow or otherwise, and as to the use and disposition of the proceeds thereof;

7. To covenant as to what other, or additional, debt may be incurred by it;

8. To provide for the terms, form, registration, exchange, execution, and authentication of bonds;

9. To provide for the replacement of lost, destroyed, or mutilated bonds;

10. To covenant as to the use of any or all of its property, real or personal, subject to the continued use of such property for airport purposes;

11. To create or to authorize the creation of special funds in which there may be segregated: (i) the proceeds of any loan or grant; (ii) all of the fees, rents, and revenues of any facility or facilities or parts thereof; (iii) any moneys held for the payment of the costs of operation and maintenance of any such facilities or as a reserve for the meeting of contingencies in the operation and maintenance thereof; (iv) any moneys held for the payment of the principal and interest on its bonds or the sums due under its leases or as reserve for such payments; and (v) any moneys held for any other reserve or contingencies; and to covenant as to the use and disposal of the moneys held in such funds;

12. To redeem its bonds, and to covenant for their redemption and to provide the terms and conditions thereof;

13. To covenant against extending the time for the payment of its bonds or interest thereon, directly or indirectly, by any means or in any manner;

14. To prescribe the procedure, if any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of bonds the holders of which must consent thereto and the manner in which such consent may be given;

15. To covenant as to the maintenance of its facilities, the insurance to be carried thereon and the use and disposition of insurance moneys;

16. To vest in a bondholder the right, in the event of the failure of the Commission to observe or perform any covenant on its part to be kept or performed, to cure any such default and to advance any moneys necessary for such purpose, and the moneys so advanced may be made an additional obligation of the Commission with such interest, security and priority as may be provided in any trust indenture, lease or contract of the Commission with reference thereto;

17. To covenant and prescribe as to the events of default and terms and conditions upon which any or all of its bonds shall become or may be declared due before maturity and as to the terms and conditions upon which such declaration and its consequences may be waived;

18. To covenant as to the rights, liabilities, powers, and duties arising upon the breach of it of any covenant, condition, or obligation;

19. To covenant to surrender possession of all or any part of any facility or facilities acquired or constructed from bond proceeds, the revenues from which have been pledged upon the happening of any event of default, as defined in the contract, and to vest in a bondholder the right without judicial proceeding to take possession and to use, operate, manage, and control such facility or any part thereof, and to collect and receive all fees, rents, and revenues arising therefrom in the same manner as the Commission itself might do and to dispose of the moneys collected in accordance with the agreement of the Commission with such obligee, subject to the continued use of such facilities for airport purposes;

20. To vest in a trustee or trustees the right to enforce any covenant made to secure, to pay, or in relation to the bonds, to provide for the powers and duties of such trustee or trustees, to limit liabilities thereof and to provide the terms and conditions upon which the trustee or trustees or the bondholders or any proportion of them may enforce any such covenant;

21. To make covenants other than and in addition to the covenants herein expressly authorized, of like or different character;

22. To execute all instruments necessary or convenient in the exercise of the powers herein granted or in the performance of its covenants or duties, which may contain such covenants and provisions, in addition to those above specified, as any purchaser of the bonds of the Commission may reasonably require;

23. To make such covenants and to do any and all such acts and things as may be necessary or convenient or desirable in order to secure its bonds, or in the absolute discretion of the Commission tend to make the bonds more marketable; notwithstanding that such covenants, acts or things may not be enumerated herein; it being the intention hereof to give the Commission power to do all things in the issuance of bonds, and in the provisions for their security that are not inconsistent with the Constitution of the Commonwealth or this act; and

24. In connection with, or incidental to, the issuance or carrying of notes or bonds or the acquisition or carrying of any investments, to enter into swap agreements or other contracts or arrangements that the Commission determines to be necessary or appropriate to place obligations or investments of the Commission, as represented by notes, bonds or investments of the Commission, in whole or in part, on the interest rate, currency, cash flow or other basis desired by the Commission or to hedge payment, currency, rate, spread or other exposure. Such contracts or arrangements may be entered into by the Commission in connection with, or incidental to, entering into or maintaining (i) any agreement that secures notes or bonds of the Commission and is authorized or permitted by law or (ii) any investment, or contract providing for any investment, otherwise authorized or permitted by law.

Such contracts and arrangements may contain such payment, security, default, remedy, and other terms and conditions as determined by the Commission, after giving due consideration to the creditworthiness of the counterparty or other obligated party, including any rating by any nationally recognized rating agency, and any other criteria as may be appropriate.

In connection with or incidental to any of these contracts or arrangements, the Commission may enter into credit enhancement or liquidity agreements with such terms and conditions as it shall determine. (1980, c. 380; 1998, c. 588)

§ 17. Fees, rents and charges.

The Commission is hereby authorized to and shall fix, revise, charge, and collect fees, rents and other charges for the use and services of any facilities. Such fees, rents, and other charges shall be so fixed and adjusted as to provide a fund sufficient with other revenues to pay the cost of maintaining, repairing, and operating the facilities and the principal and any interest on its bonds as the same shall become due and payable, including reserves therefor. Such fees, rents, and charges shall not be subject to supervision or regulation by any commission, board, bureau, or agency of the Commonwealth or any participating political subdivision. The fees, rents, and other charges received by the Commission, except such part thereof as may be necessary to pay the cost of maintenance, repair, and operation and to provide such reserves therefor as may be provided for in any resolution authorizing the issuance of such bonds or in any trust indenture or agreement securing the same, shall, to the extent necessary, be set aside at such regular intervals as may be provided in any such resolution or trust indenture or agreement in a sinking fund or sinking funds pledged to, and charged with, the payment of and the interest on such bonds as the same shall become due, and the redemption price or the purchase price of such bonds retired by call or purchase as therein provided. Such pledge shall be valid and binding from the time when the pledge is made. So long as any of its bonds are outstanding, the fees, rents, and charges so pledged and thereafter received by the Commission shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the Commission irrespective of whether such parties have notice thereof. Neither the resolution nor any trust indenture by which a pledge is created need be filed or recorded except in the records of the Commission. The use and disposition of moneys to the credit of any such sinking fund shall be subject to the provisions of the resolution authorizing the issuance of such bonds or of such trust indenture or agreement. (1980, c. 380)

§ 18. Credit of Commonwealth and political subdivisions not pledged.

The bonds of the Commission shall not be a debt of the Commonwealth or any political subdivision thereof, other than the Commission, and neither the Commonwealth nor any political subdivision thereof, other than the Commission, shall be liable thereon, nor shall such bonds be payable out of any funds or properties other than those of the Commission. All bonds of the Commission shall contain on the face thereof a statement to such effect. The bonds shall not constitute an indebtedness within the meaning of any debt limitation or restriction. (1980, c. 380)

§ 19. Commissioners and persons executing bonds not liable thereon.

Neither the Commissioners nor any person executing the bonds shall be liable personally on the Commission's bonds by reason of the issuance thereof. (1980, c. 380)

§ 20. Remedies of bondholders.

Any holder of bonds issued under the provisions of this act or of any of the coupons appertaining thereto, and the trustee under any trust indenture or agreement, may, either at law or in equity, by suit, action, injunction, mandamus, or other proceedings, protect and enforce any and all rights under the laws of the Commonwealth or granted by this act or under such trust indenture agreement or the resolution authorizing the issuance of such bonds and may enforce and compel the performance of all duties required by this act or by such trust indenture or agreement or resolution to be performed by the Commission or by any officer or agent thereof, including the fixing, charging and collection of fees, rents and other charges. Any resolution authorizing the issuance of the Commission's bonds or trust indenture or agreement securing the same may limit or abrogate the individual right of action by the holders of such bonds or coupons appertaining thereto. (1980, c. 380)

§ 21. Exemption from taxation.

The exercise of the powers granted by this act shall in all respects be presumed to be for the benefit of the inhabitants of the Commonwealth, for the increase of their commerce, and for the promotion of their safety, health, welfare, convenience and prosperity, and as the operation and maintenance of any project which the Commission is authorized to undertake will constitute the performance of an essential governmental function, the Commission shall not be required to pay any taxes or assessments upon any facilities acquired and constructed by it under the provisions of this act and the bonds issued under the provisions of this act, their transfer and the income therefrom including any profit made on the sale thereof, shall at all times be free and exempt from taxation by the Commonwealth and by any political subdivision thereof. (1980, c. 380)

§ 22. Bonds as legal investments.

Bonds issued by the Commission under the provisions of this act are hereby made securities in which all public officers and public bodies of the Commonwealth and its political subdivisions, all insurance companies, trust companies, banking associations, investment companies, executors, administrators, trustees, and other fiduciaries may properly and legally invest funds, including capital in their control or belonging to them. Such bonds are hereby made securities which may properly and legally be deposited with and received by any State or municipal officer or any agency or political subdivision of the Commonwealth for any purpose for which the deposit of bonds or obligations is now or may hereafter be authorized by law. (1980, c. 380)

§ 23. Appropriation by political subdivision.

Any participating political subdivision, or other political subdivision of the Commonwealth all or a part of which is located within sixty miles of a Commission facility, is authorized to provide services, to donate real or personal property and to make appropriations to the Commission, for the acquisition, construction, maintenance, and operation of the Commission's facilities. Any such political subdivision is hereby authorized to issue its bonds in the manner provided in the Public Finance Act or in any applicable municipal charter for the purpose of providing funds to be appropriated to the Commission.

The Commission may agree to assume, or reimburse a participating political subdivision for, any indebtedness incurred by such participating political subdivision with respect to facilities conveyed by it to the Commission. With the consent of the governing body of the participating political subdivision any such agreement may be made subordinate to the Commission's indebtedness to others. (1980, c. 380)

§ 24. Commission budget.

A. The Commission shall annually prepare and submit to the participating political subdivisions (i) a proposed operating budget showing its estimated general fund revenues and expenses on an accrual basis for the forthcoming fiscal year, and, if such estimated expenses exceed such estimated revenues, the portion of the deficit proposed to be borne by each participating political subdivision, and (ii) a proposed capital budget showing its estimated expenditures for such fiscal year for assets costing more than ten thousand dollars (or such higher amount as the Commission and the participating political subdivisions may determine) and having an estimated useful life of twenty years or more and the source of funds for such expenditures, including any amount requested from the participating political subdivisions. No depreciation shall be included in the Commission's operating budget with respect to assets purchased by the Commission with funds appropriated to it for such purpose by a participating political subdivision and, for this determination, it shall be assumed that any appropriation so made is for the purchase of assets set forth in the applicable Commission budget to the extent such purchase price is included in the approved budget. Assets purchased by the Commission with bond proceeds shall be depreciated over the term of the bond issue in proportion to the maturities, including sinking fund installments, of the bond issue.

B. If the governing body of a participating political subdivision shall approve the Commission's proposed operating budget, it shall appropriate to the Commission such political subdivision's portion of such deficit. If during any fiscal year the Commission shall receive general fund revenues in excess of those estimated by the Commission in its approved budget for such year, the budgeted deficit for such fiscal year shall automatically be reduced and, except as herein provided, the appropriation of each participating political subdivision shall be proportionately reduced. Notwithstanding the foregoing, with the consent of the governing bodies or chief financial officers of the participating political subdivisions, all or a portion of such appropriations may be maintained so as to enable the Commission to expend such excess revenues for its proper purposes.

C. If the governing body of a participating political subdivision shall approve the Commission's proposed capital budget, it shall appropriate to the Commission such participating political subdivision's portion of the expenditures set forth therein. Any such appropriation shall automatically be reduced by the participating political subdivision's proportionate share of any grant funds received by the Commission for the purchase of assets included in the Commission's approved capital budget in excess of the grant funds shown in such capital budget as a source of funds for such expenditure, unless prohibited by the basic provider of the grant funds.

D. The Commission may expend any and all moneys within its control without obtaining the approval of the participating political subdivisions, but, except as otherwise provided in this act with respect to contracts and agreements between the Commission and any political subdivision, the Commission shall not commit any participating political subdivision in an amount in excess of that appropriated to the Commission by the governing body of such political subdivision.

E. If at any time during any fiscal year it shall appear that the cash disbursements of the Commission will exceed its cash receipts for such fiscal year, including amounts appropriated to it by the participating political subdivisions, the Commission may request supplemental appropriations from the participating political subdivisions and any other political subdivision. (1980, c. 380)

§ 25. Allocation of commission deficit among participating political subdivisions.

Any deficit budgeted by the Commission in any fiscal year, i.e., any excess of its estimated general fund expenses over its estimated general fund revenues, and the cost of any budgeted capital expenditures in excess of the amount shown as available therefor, as shown on the Commission's operating and capital budgets approved by the participating political subdivisions, shall be allocated among the participating political subdivisions in proportion to their respective populations as most recently before such fiscal year determined by The Tayloe Murphy Institute of Government. In the event the appropriation of any participating political subdivision is insufficient to pay its portion of the deficit incurred in any fiscal year, the allocation of any deficit for any succeeding fiscal year shall take into account the cumulative deficiency attributable to such participating political subdivision; provided, however, that no participating political subdivision shall be required to pay to the Commission in any fiscal year any amount in excess of that appropriated to the Commission by the governing body of such participating political subdivision. (1980, c. 380)

§ 26. Contracts with political subdivisions.

The Commission is authorized to enter into contracts with any one or more political subdivisions, which contracts may restrict the powers of the Commission otherwise granted by this act. Any participating political subdivision, or other political subdivision of the Commonwealth all or a part of which is located within sixty miles of a Commission facility, is authorized to enter into contracts with the Commission, pursuant to which the Commission undertakes to provide the facilities and render the services specified therein. Any such contract or agreement may provide that the political subdivision will make payments to the Commission based on the services rendered by the Commission to the residents of such political subdivision, determined in such reasonable manner as the Commission and the political subdivision may mutually agree. Each political subdivision entering into such a service contract with the Commission is authorized to do everything necessary or proper to carry out and perform such contract and to provide for the payment or discharge of any obligation thereunder by the same means and in the same manner as any other of its obligations. (1980, c. 380)

§ 27. Retirement benefits for certain employees formerly employed by a participating political subdivision.

Any employee of a political subdivision who upon such political subdivision's becoming a participating political subdivision has before July one, nineteen hundred eighty, become an employee of the Commission and elected to be treated as an employee of such participating political subdivision for the sole purpose of being so entitled, shall be entitled to the benefits provided by such political subdivision to its employees under its retirement system. In such event, service of such employee with the Commission shall be creditable as service with the participating political subdivision and compensation received by such employee shall be deemed paid by the participating political subdivision for all purposes of the benefit programs of the participating political subdivision. Any employee so electing shall not be entitled to any benefit under the Commission's retirement system, and the Commission shall pay the employer share of benefits provided the Commission's employees by such political subdivision. Nothing herein shall apply to any health and accident insurance plan or to the Federal Old Age and Survivors Insurance System. (1980, c. 380)

§ 28. Dissolution of Commission.

Whenever it shall appear to the governing body of any participating political subdivision that the need for the Commission no longer exists, it may petition the circuit court of a participating political subdivision for the dissolution of the Commission. If the court shall determine that the need for the Commission as set forth in this act no longer exists and that all debts and pecuniary obligations of the Commission have been fully paid or provided for, it may enter an order dissolving the Commission.

Upon such dissolution, the court shall order the assets of the Commission distributed to the participating political subdivisions in proportion to their respective contributions theretofore made to the Commission.

The Commission, each participating political subdivision and all holders of the Commission's bonds shall be made parties to any such proceeding and shall be given notice as provided by law. Any party defendant may reply to such petition at any time within six months after the filing of the petition. From the final judgment of the court an appeal shall lie to the Virginia Supreme Court. (1980, c. 380)

§ 29. Agreement with Commonwealth and participating political subdivisions.

The Commonwealth and, by participating in the Commission, each participating political subdivision pledge to and agree with the holders of any bonds issued by the Commission that neither the Commonwealth nor any participating political subdivision will limit or alter the rights hereunder vested in the Commission to fulfill the terms of any agreements made with said holders or in any way impair the rights and remedies of said holders until such bonds are fully met and discharged. The Commission is authorized to include this pledge and agreement in any contract with the holders of the Commission's bonds. (1980, c. 380)

§ 30. Liberal construction.

Neither this act nor anything herein contained is or shall be construed as a restriction or limitation upon any powers which the Commission might otherwise have under any laws of this Commonwealth, and this act is cumulative to any such powers. This act does and shall be construed to provide a complete, additional, and alternative method for the doing of the things authorized hereby and shall be regarded as supplemental and additional to powers conferred by other laws. However, the issuance of bonds under the provisions of this act need not comply with the requirements of any other law applicable to the issuance of bonds, notes or other obligations, and contracts for the construction and acquisition of any facility undertaken pursuant to this act need not comply with the provisions of any other law applicable to contracts for the construction and acquisition of State-owned property. No proceedings, notice or approval shall be required for the issuance of any bonds or any instrument as security therefor, except as is expressly provided in this act. The provisions of this act are severable, and, if any of its provisions shall be held unconstitutional by any court of competent jurisdiction, the decision of such court shall not affect or impair any of the other provisions of this act. (1980, c. 380)

§ 31. Application of zoning ordinances, service charges and taxes upon leaseholds.

Nothing herein contained shall be construed to exempt the Commission's property from any applicable zoning ordinance of a political subdivision in which such property is located. Nor shall anything herein contained exempt the property of the Commission from any service charge authorized by the General Assembly pursuant to Article X, Section 6(g) of the Constitution of Virginia, or exempt any lessee of any of the Commission's property from any tax imposed upon his leasehold interest in such property or upon the receipts derived therefrom. (1980, c. 380)