15.2-1301 - Voluntary economic growth-sharing agreements.
§ 15.2-1301. Voluntary economic growth-sharing agreements.
A. Any county, city or town, or combination thereof, may enter voluntarilyinto an agreement with any other county, city or town, or combinationthereof, whereby the locality may agree for any purpose otherwise permitted,including the provision on a multi-jurisdictional basis of one or more publicservices or facilities or any type of economic development project, to enterinto binding fiscal arrangements for fixed time periods, to exceed one year,to share in the benefits of the economic growth of their localities. However,if any such agreement contains any provision addressing any issue providedfor in Chapters 32, 33, 36, 38, 39 or 41 of this title, the agreement shallbe subject to the review and implementation process established by Chapter 34of this title.
B. The terms and conditions of the revenue, tax base or economicgrowth-sharing agreement as provided in subsection A shall be determined bythe affected localities and shall be approved by the governing body of eachlocality participating in the agreement, provided the governing body of eachsuch locality first holds a public hearing which shall be advertised once aweek for two successive weeks in a newspaper of general circulation in thelocality. However, the public hearing shall not take place until theCommission on Local Government has issued its findings in accordance withsubsection D. For purposes of this section, "revenue, tax base, and economicgrowth-sharing agreements" means any agreement authorized by subsection Awhich obligates any locality to pay another locality all or any portion ofdesignated taxes or other revenues received by that political subdivision,but shall not include any interlocal service agreement.
C. Any revenue, tax base or economic growth-sharing agreement entered intounder the provisions of this section that creates a debt pursuant to ArticleVII, Section 10 (b) of the Constitution of Virginia, shall require the boardof supervisors to hold a special election on the question as provided in §15.2-3401.
D. Revenue, tax base and economic growth-sharing agreements drafted under theprovisions of this chapter shall be submitted to the Commission on LocalGovernment for review as provided in subdivision 4 of § 15.2-2903.
(1996, cc. 713, 725, 743, § 15.1-21.2; 1997, c. 587.)