30-19.03 - Estimates to be prepared for legislation affecting local government expenditures and revenues.
§ 30-19.03. Estimates to be prepared for legislation affecting localgovernment expenditures and revenues.
Whenever any bill requiring a net additional expenditure by any county, city,or town, or whenever any bill requiring a net reduction of revenues by anycounty, city, or town, is filed during any session of the General Assembly,the Commission on Local Government shall investigate and prepare an estimatesetting forth, to the extent practicable, the additional expenditures orreduction of revenues, if any, to be required of the affected localities inevent of enactment of such legislation.
A bill shall be deemed to require an expenditure if it has the effect ofrequiring any county, city, or town to (i) perform or administer a new orexpanded program or service, (ii) maintain an existing program or service ata specified level of spending or delivery, (iii) assume or incuradministrative costs in support of a state or state-related program, or (iv)furnish capital facilities for state or state-related activities.
For purposes of this section, "net additional expenditure" means the costanticipated to be incurred annually, less any revenues receivable on accountof the program or service from fees charged recipients of the program orservice, state or federal aid paid specifically and categorically inconnection with the program or service, new or increased local sources ofrevenue authorized and designated specifically to offset the cost of theprogram or service, and any offsetting savings resulting from the reductionor elimination of any program or service directly attributable to theperformance of the required program or service.
A bill shall be deemed to require a net reduction of revenues if it has theeffect of requiring any county, city, or town to (i) relinquish an existingor potential source of local revenue by classification or exclusion or (ii)diminish an existing or potential source of revenue by classification orexclusion.
For the purposes of this section, "net reduction of revenues" means thereduction anticipated in local revenues, including, but not limited to,general levies, special levies, revenues received pursuant to §§ 58.1-605 and58.1-606 and administrative and user fees, to be incurred annually, less anynew local revenues receivable and any offsetting savings resulting from thereduction of local revenues, caused by the classification or exclusion beingproposed.
The provisions of this section shall not apply to a reduction in localrevenues that is required or arises from a court order or judgment, nor to arevenue reduction that is adopted at the option of any county, city, or townunder a law that is permissive rather than mandatory, nor to a revenuereduction that is the result of a measure providing tax relief on a statewidebasis.
The Division of Legislative Services shall examine all bills filed during anylegislative session for the purpose of identifying and forwarding to theCommission on Local Government those bills requiring the preparation offiscal estimates pursuant to this section.
As soon thereafter as may be practicable, the Commission on Local Governmentshall forward copies of such estimates to the Clerk of the House of Delegatesfor transmittal to each patron of the legislation and to the chairman of eachcommittee of the General Assembly to consider the same.
All departments, agencies of government, the Division of LegislativeServices, and all local governmental units of the Commonwealth are directedto make available such information and assistance as the Commission on LocalGovernment may request in preparing the estimates required by this section.
(1979, c. 257; 1980, cc. 747, 749; 1995, c. 743; 1999, c. 1016; 2010, c. 410.)