|Introduced in House||Passed House||Introduced in Senate||Passed Senate||Became Law|
Tobacco Indemnification & Community Revitalization Fund; investments in Va. venture capital accts.
Authorizes the Tobacco Region Revitalization Commission to invest up to 10 percent of the available balance from the taxable portion of the Tobacco Indemnification and Community Revitalization Fund as of July 1, 2020, in Virginia venture capital accounts that have been certified by the Department of Taxation.
|01/06/2020||House: Prefiled and ordered printed; offered 01/08/20 20102577D||Open|
Be it enacted by the General Assembly of Virginia:
1. That �� 3.2-3103 and 3.2-3108 of the Code of Virginia are amended and reenacted as follows:
� 3.2-3103. Powers and duties of the Tobacco Region Revitalization Commission.
A. The Commission shall have the power and duty to:
1. Adopt, use, and alter at will an official seal;
2. Make bylaws for the management and regulation of its affairs;
3. Maintain an office at such place or places within the Commonwealth as it may designate;
4. Accept, hold, and administer moneys, grants, securities, or other property transferred, given, or bequeathed to the Commission, absolutely or in trust, for the purposes for which the Commission is created;
5. Determine how moneys in the Fund are to be distributed;
6. Authorize grants, loans, or other distributions of moneys in the Fund for the purposes set forth in this chapter;
7. For each economic development grant or award, including a grant from the Tobacco Region Opportunity Fund, require a dollar-for-dollar match from non-Commission sources, provided that a match shall not be required for an investment in Virginia venture capital accounts pursuant to the provisions of subdivision A 3 of � 3.2-3108. Performance bonds shall be considered acceptable matching payment. No more than 25 percent of the match shall be in-kind. However, a match of less than 50 percent may be considered by a two-thirds majority vote of the Commission;
8. Adopt policies governing the Tobacco Region Opportunity Fund, including a repayment policy. The Commission shall apply the policies consistently;
9. Enter into a contractual or employment agreement with a financial viability manager (the Manager). The management agreement shall require the Manager to provide a written financial viability and feasibility report to the Commission as to the financial propriety of certain loans, grants, or other distributions of money made for the revitalization of a tobacco-dependent locality as proposed in accordance with the Commissions strategic objectives. The Commission shall not make any loan, except a loan made through the Virginia Tobacco Region Revolving Fund created in Chapter 31.1 (� 3.2-3112 et seq.); grant; or other distribution of money until the Manager has provided the Commission with a written recommendation as to the financial viability and feasibility of the proposed distribution of funds. However, nothing in this section shall eliminate consideration of strategic economic initiatives;
10. Make and execute contracts and all other instruments and agreements necessary or convenient for the exercise of its powers and functions;
11. Invest its funds as provided in this chapter or permitted by applicable law, including investing in Virginia venture capital accounts pursuant to the provisions of subdivision A 3 of � 3.2-3108; and
12. Do any lawful act necessary or appropriate to carry out the powers herein granted or reasonably implied, including use of whatever lawful means may be necessary and appropriate to recover any payments wrongfully made from the Fund.
B. The Commission shall undertake studies and gather information and data in order to determine: (i) the economic consequences of the reduction in or elimination of quota for tobacco growers; (ii) the potential for alternative cash crops; and (iii) any other matters the Commission believes will affect tobacco growers in the Commonwealth.
C. The Commission shall at least biennially develop a
strategic plan containing specific priorities,
goals, and quantifiable outcomes. In developing the Strategic Plan, the
Commission shall solicit input from local and regional economic developers, the
Virginia Department of Agriculture and Consumer Services, the Virginia Economic
Development Partnership, the Virginia Department of Housing and Community
Development, the Virginia Tourism Authority, the Virginia Resources Authority,
and the Center for Rural Virginia. The Strategic Plan shall state how each Fund
award is consistent with the Commissions achievement of measurable goals and
outcomes and its advancement of the specific priorities of the Strategic Plan.
The Strategic Plan shall also state how awards from the Fund are projected to
affect key economic indicators of employment, income, educational attainment,
amount of Virginia-grown agricultural and forestal products used by the
project, and return on investment.
D. The Commission shall develop a publicly available online database of all Commission awards, listing for each project the projects goals, the means by which the project fits into the Strategic Plan, the projects expected and achieved outcomes, and the total amount of funding the Commission has awarded to the project through any prior grants.
E. The Commission shall submit a report annually to the Governor and the General Assembly.
� 3.2-3108. Distribution of Fund.
A. The Fund shall be distributed by the Commission for the following purposes:
1. The stimulation of economic growth and development in
tobacco-dependent communities in an equitable manner throughout the Southside
and Southwest regions of the Commonwealth, to assist such communities in
reducing their dependency on, or finding alternative uses for, tobacco and
2. Scientific research performed at one of the Commonwealths National Cancer Institute-designated research institutes designed to advance the treatment and prevention of cancers that directly impact the citizens of tobacco-dependent communities throughout the Southside and Southwest regions of the Commonwealth; and
3. Investment of up to 10 percent of the available balance from the taxable portion of the Fund as of July 1, 2020, in Virginia venture capital accounts certified by the Department of Taxation pursuant to the provisions of subdivision 27 of � 58.1-322.02 or subdivision C 25 of � 58.1-402.
B. The Commission may require that as a condition of receiving any grant or loan incentive that is based on employment goals, a recipient company must provide copies of employer quarterly payroll reports provided to the Virginia Employment Commission to verify the employment status of any position included in the employment goal.
The Commission shall require that each project have an accountability matrix. For an economic development program, the matrix shall be based on return on investment, jobs, wages, and capital investment. For a scholarship program, the matrix shall be based on attainment of bachelors degrees, credentials, or jobs. For a health care program, the matrix shall be based on health care outcomes. For an agriculture or forestry program, the matrix shall be based on jobs, capital investment, amount of Virginia-grown agricultural and forestal products used by the project, projected impact on agricultural and forestal producers, and a return on investment analysis.
The Commission shall require each applicant to provide with its application (i) baseline figures, (ii) explicit and quantified outcome expectations, (iii) the method used to calculate outcome expectations, (iv) details on the timing of the expected outcomes, and (v) a specific link to economic revitalization and the Strategic Plan.
The Commission shall require that as a condition of receiving any grant or loan incentive each project (a) demonstrate how it will address low employment levels, per capita income, educational attainment, or other workforce indicators; (b) be consistent with the Strategic Plan; and (c) receive a written recommendation as to its financial viability and feasibility from the Manager pursuant to subdivision A 9 of � 3.2-3103.
|01/29/2020||House||House: Subcommittee recommends laying on the table (8-Y 0-N)|
|01/14/2020||House||House: Assigned ACNR sub: Agriculture|
|01/06/2020||House||House: Prefiled and ordered printed; offered 01/08/20 20102577D|
|01/06/2020||House||House: Referred to Committee on Agriculture, Chesapeake and Natural Resources|