33.1-277 - Credit of Commonwealth not pledged.
§ 33.1-277. Credit of Commonwealth not pledged.
A. Commonwealth of Virginia Toll Revenue Bonds issued under the provisions ofthis article shall not be deemed to constitute a debt of the Commonwealth ofVirginia or a pledge of the faith and credit of the Commonwealth, but suchbonds shall be payable solely from the funds herein provided therefor fromtolls and revenues, from bond proceeds or earnings thereon and from any otheravailable sources of funds. All such bonds shall state on their face that theCommonwealth of Virginia is not obligated to pay the same or the interestthereon except from the special fund provided therefor from tolls andrevenues under this article, from bond proceeds or earnings thereon and fromany other available sources of funds and that the faith and credit of theCommonwealth are not pledged to the payment of the principal or interest ofsuch bonds. The issuance of such revenue bonds under the provisions of thisarticle shall not directly or indirectly or contingently obligate theCommonwealth to levy or to pledge any form of taxation whatever therefor orto make any appropriation for their payment, other than appropriate availablefunds derived as revenues from tolls and charges under this article orderived from bond proceeds or earnings thereon and from any other availablesources of funds.
B. Commonwealth of Virginia Transportation Contract Revenue Bonds issuedunder the provisions of this article shall not be deemed to constitute a debtof the Commonwealth of Virginia or a pledge of the faith and credit of theCommonwealth, but such bonds shall be payable solely from the funds hereinprovided therefor (i) from revenues received pursuant to contracts with aprimary highway transportation district or transportation service district orany other alternative mechanism for generation of local revenues for specificfunding of a project satisfactory to the Commonwealth Transportation Board,(ii) to the extent required, from funds appropriated and allocated, pursuantto the highway allocation formula as provided by law, to the highwayconstruction district in which the project or projects to be financed arelocated or to the county or counties in which such project or projects arelocated, (iii) from bond proceeds or earnings thereon, (iv) to the extentrequired, from other legally available revenues of the Trust Fund, and (v)from any other available source of funds. All such bonds shall state on theirface that the Commonwealth of Virginia is not obligated to pay the same orthe interest thereon except from revenues in clauses (i) and (iii) hereof andthat the faith and credit of the Commonwealth are not pledged to the paymentof the principal and interest of such bonds. The issuance of such revenuebonds under the provisions of this article shall not directly or indirectlyor contingently obligate the Commonwealth to levy or to pledge any form oftaxation whatever or to make any appropriation for their payment, other thanto appropriate available funds derived as revenues under this article fromthe sources set forth in clauses (i) and (iii) hereof. Nothing in thisarticle shall be construed to obligate the General Assembly to make anyappropriation of the funds set forth in clause (ii) or (iv) hereof forpayment of such bonds.
C. Commonwealth of Virginia Transportation Revenue Bonds issued under theprovisions of this article shall not be deemed to constitute a debt of theCommonwealth of Virginia or a pledge of the full faith and credit of theCommonwealth, but such bonds shall be payable solely from the funds hereinprovided therefor (i) from revenues received from the U.S. Route 58 CorridorDevelopment Fund, subject to their appropriation by the General Assembly,(ii) to the extent required, from revenues legally available from theTransportation Trust Fund and (iii) to the extent required, from any otherlegally available funds which shall have been appropriated by the GeneralAssembly.
D. Commonwealth of Virginia Transportation Revenue Bonds issued under thisarticle for Category 1 projects as provided in subdivision (2) (s) of §33.1-268 shall not be deemed to constitute a debt of the Commonwealth ofVirginia or a pledge of the faith and credit of the Commonwealth. Such bondsshall be payable solely, subject to their appropriation by the GeneralAssembly, first from (i) revenues received from the Northern VirginiaTransportation District Fund, (ii) to the extent required, funds appropriatedand allocated, pursuant to the highway allocation formula as provided by law,to the highway construction district in which the project or projects to befinanced are located or to the city or county in which the project orprojects to be financed are located, (iii) to the extent required, legallyavailable revenues of the Transportation Trust Fund, and (iv) such otherfunds which may be appropriated by the General Assembly.
E. Commonwealth of Virginia Transportation Program Revenue Bonds issued underthis article for projects defined in subdivision (2) (t) of § 33.1-268 shallnot be deemed to constitute a debt of the Commonwealth or a pledge of thefaith and credit of the Commonwealth. Such bonds shall be payable solely,subject to their appropriation by the General Assembly, first from (i) anyrevenues received from any Set-aside Fund established by the General Assemblypursuant to § 58.1-816.1, (ii) to the extent required, revenues receivedpursuant to any contract with a local jurisdiction or any alternativemechanism for generation of local revenues for specific funding of a projectsatisfactory to the Commonwealth Transportation Board, (iii) to the extentrequired, funds appropriated and allocated, pursuant to the highwayallocation formula as provided by law, to the highway construction districtin which the project or projects to be financed are located or to the city orcounty in which the project or projects to be financed are located, (iv) tothe extent required, legally available revenues from the Transportation TrustFund, and (v) such other funds which may be appropriated by the GeneralAssembly.
F. Commonwealth of Virginia Federal Highway Reimbursement Anticipation Notesissued under this article shall not be deemed to constitute a debt of theCommonwealth of Virginia or a pledge of the full faith and credit of theCommonwealth, but such obligations shall be payable solely, subject toappropriation by the General Assembly, (i) first from any federal highwayreimbursements and any other federal highway assistance received from time totime by the Commonwealth, (ii) then, at the discretion of the Board, to theextent required, from legally available revenues of the Transportation TrustFund, and (iii) then, from such other funds, if any, which are designated bythe General Assembly for such purpose.
G. Commonwealth of Virginia Transportation Credit Assistance Revenue Bondsissued under the provisions of this article shall not be deemed to constitutea debt of the Commonwealth of Virginia or a pledge of the full faith andcredit of the Commonwealth, but such obligations shall be payable solely,subject to appropriation by the General Assembly, from revenues with respectto or generated by the project or projects being financed thereby and anytolls or other revenues pledged by the Board as security therefor and inaccordance with the applicable federal credit assistance authorized withrespect to such project or projects by the United States Department ofTransportation.
H. Commonwealth of Virginia Transportation Capital Projects Revenue Bondsissued under the provisions of this article for projects as provided insubdivision 2 v of § 33.1-268 shall not be deemed to constitute a debt of theCommonwealth of Virginia or a pledge of the full faith and credit of theCommonwealth, but such bonds shall be payable solely, subject to theirappropriation by the General Assembly, (i) from the revenues deposited intothe Priority Transportation Fund established pursuant to § 33.1-23.03:8; (ii)to the extent required, from revenues legally available from theTransportation Trust Fund; and (iii) to the extent required, from any otherlegally available funds.
(Code 1950, § 33-237; 1970, c. 322; 1982, c. 403; 1986, Sp. Sess., c. 13;1988, cc. 844, 903; 1989, Sp. Sess., cc. 9, 11; 1990, c. 710; 1991, cc. 666,713; 1993, cc. 391, 793; 1994, cc. 233, 520, 589, 662; 1995, c. 354; 2000,cc. 1019, 1044; 2004, c. 807; 2007, c. 896.)