SB795: College Building Authority; certain projects financed thereby.


SENATE BILL NO. 795
AMENDMENT IN THE NATURE OF A SUBSTITUTE
(Proposed by the Senate Committee on Finance
on February 12, 2008)
(Patron Prior to Substitute--Senator Colgan)
A Bill to amend and reenact § 2.2-1503.2 of the Code of Virginia relating to capital improvement planning and funding; authorizing for certain projects to be financed by the Virginia College Building Authority with the principal amount of bonds issued for all such projects not to exceed $1,353,729,000; authorizing for certain projects to be financed by the Virginia Public Building Authority with the principal amount of bonds issued for all such projects not to exceed $1,103,600,000; and authorizing the State Treasurer to advance treasury loans in an amount not to exceed the costs of planning for certain capital projects with the total amount of treasury loans advanced for the costs of planning of all such projects not to exceed $95,570,000.

Be it enacted by the General Assembly of Virginia:

1. That § 2.2-1503.2 of the Code of Virginia is amended and reenacted as follows:

§ 2.2-1503.2. Filing of six-year capital improvement plan by Governor.

A. For purposes of this section:

"Capital outlay project" means acquisition of real property (including buildings or plant) or machinery or equipment, new construction, and improvements related to state-owned real property, buildings, plant, machinery or equipment (including plans therefor). It shall include any improvements to real property leased for use by a state agency, and not owned by the Commonwealth, when such improvements are financed by public funds and become state property upon the expiration of the lease. Capital outlay projects do not include projects that have been included in the Commonwealth Transportation Board's Six-Year Improvement Program.

B. On or before November 1 of the year immediately prior to the beginning of each regular session of the General Assembly held in an even-numbered year, the Governor shall submit to the members of the General Assembly a six-year capital improvement plan. The plan shall include all capital outlay projects that the Governor deems necessary for the six fiscal years immediately following the current fiscal year. The Governor shall include such plan in the “Budget Bill” submitted pursuant to subsection A of § 2.2-1509, and the Governor shall amend such plan as appropriate or warranted in his gubernatorial amendments proposed to the general appropriation act pursuant to subsection E of such section. The plan shall:

1. Identify each capital outlay project;

2. Describe the scope and nature of the project;

3. Provide an estimate of the total cost of each project upon payment in full;

4. Detail, by fiscal year, the source or sources of funds recommended for each capital outlay project;

5. Explain the specific criteria or justification that was used in determining the fiscal year in which funds were allocated to projects; and

6. Include any other information as may be requested by the General Assembly.

Any capital outlay project that requires additional funds in excess of the latest estimate submitted to the General Assembly, shall be included in the six-year plan with an updated estimate of the total cost as provided herein.

C. The capital improvement plan shall include a list of capital outlay projects that would be funded in whole or in part from general funds for each of the succeeding fiscal years in an amount equal to at least two percent of the anticipated general fund revenues for the respective fiscal year, as such revenues are estimated pursuant to § 2.2-1503. The amount of general funds included in the capital improvement plan shall be in addition to any allocation to capital outlay projects from the Central Maintenance Reserve of the general appropriation act.

2.  § 1. That pursuant to § 23-30.28 of the Code of Virginia, the General Assembly hereby authorizes the Virginia College Building Authority to undertake the following projects including, without limitation, constructing, improving, furnishing, maintaining, acquiring, and renovating buildings, facilities, improvements, and land therefor; to exercise any and all powers granted to it by law in connection therewith, including the power to lease such projects to educational facilities of the Commonwealth; and to finance all or any portion of the cost thereof by the issuance of revenue bonds in a principal amount not to exceed $1,353,729,000 plus amounts needed to fund issuance costs, reserve funds, original issue discount, interest prior to and during acquisition, construction, or renovation and for one year after completion thereof, and other financing expenses.

The Authority may pay all or any part of the cost of any project hereinafter listed or authorized or any portion thereof with any income and reserve funds of the Authority available for such purpose, and in such case may transfer such funds of the Authority, with the approval of the Governor.

  Agency                      Project Description          Amount Christopher Newport           Construct Integrated Science  Center                        Center                      76,972,000         The College of William      Construct a new school of  and Mary                    education                   $ 38,085,000 The College of William      Renovate Tucker Hall  and Mary                                                $ 15,300,000 The College of William      Renovate/Expand Small Hall  and Mary                                                $  9,200,000 The College of William      Construct/Replace Cooling  and Mary                    Plant & Utility                              Improvements Phase II       $ 16,000,000 The Virginia Institute of   Construct Consolidated  Marine Science              Scientific Research                              Building                    $  7,200,000 Richard Bland College       Construct Science and Tech-                              nology Center               $ 19,000,000 George Mason University     Renovate Science and                              Technology II               $ 49,500,000 George Mason University     Construct Krasnow Addition,                              Phase II                    $  5,950,000 George Mason University     Construct Academic VI and                              Research II                 $  5,500,000 George Mason University     Infrastructure Academic VI                              and Research II             $  5,000,000 George Mason University     Construct Academic V         $  5,900,000 George Mason University     Construct Arlington II       $  8,600,000 George Mason University     Construct Institute for                              Conflict Analysis and                              Resolution                  $  5,000,000 James Madison University    Acquire Rockingham                              Memorial Hall               $  8,600,000 James Madison University    Renovate West Wing Hospital  $ 51,500,000 James Madison University    Renovate Johnston Hall       $ 13,000,000 James Madison University    Boiler Replacement and                              Infrastructure Phase I      $  6,000,000 Longwood University         Renovate and Expand Bedford                              Hall                        $ 32,000,000 Longwood University         Construct University                               Technology Center           $ 23,500,000 Longwood University         Construct Bedford Wygal                               Connector                  $  1,900,000 Longwood University         Construct Jarman Hall        $  1,500,000 Norfolk State University    Construct New Nursing and                              General Classroom Building                              and Demolition              $ 46,700,000 Norfolk State University    Construct a new library and                              demolition                  $ 45,139,000 Norfolk State University    Signage, roads, and campus                              sites improvements phases   $  2,600,000 Old Dominion University     Construct New Student                              Success Center              $ 11,131,000 Old Dominion University     Construct a Consolidated                              Arts Complex                $ 19,151,000 Old Dominion University     Renovate Hughes Hall         $  1,300,000 Old Dominion University     Construct child development                              centers                     $ 10,000,000 Radford University          Construct New College of                              Business and Economics                              Building                    $ 34,702,000 University of Mary          Construct Dahlgren Campus  Washington                                              $ 18,400,000 University of Mary          Construct Information and  Washington                  Technology Convergence                              Center                      $ 37,000,000 University of Virginia      Construct Information                              Technology Engineering                              Building                    $ 40,200,000 University of Virginia      Renovate New Cabell Hall     $ 80,000,000 University of Virginia      Upgrade central grounds                              medium temperature hot water                              piping                      $ 10,200,000  University of Virginia at   Renovate Wyllie Library  Wise                                                    $ 20,800,000 Virginia Commonwealth       Construct New School of  University                  Medicine, Phase I           $ 70,000,000 Virginia Commonwealth  University                 Construct General Classroom                              Building                    $ 44,000,000  Virginia Community College  Construct Phase III Building,  System                      Loudoun Campus, Northern                              Virginia                    $  8,600,000 Virginia Community College  Construct Academic Building  System                      Phase III, Manassas Campus,                              Northern Virginia           $  6,059,000 Virginia Community College  Construct Historic Triangle  System                      Campus                      $  5,640,000 Virginia Community College  Construct Phase VI, Academic  System                      Building, Annandale Campus,                              Northern Virginia           $  6,100,000 Virginia Community College    Construct Phase III Academic  System                       Building, Woodbridge Campus,                               Northern Virginia          $ 47,200,000 Virginia Community College   Renovate Dalton Cantrell  System                       Hall, Mountain Empire      $ 11,400,000 Virginia Community College   Renovate Phase I Facility,  System                       Downtown Campus, J. Sargeant                               Reynolds                   $ 11,600,000 Virginia Community College   Construct Learning Resources  System                       Building Phase I,                               Virginia Beach Campus,                               Tidewater                  $ 46,200,000 Virginia Community College   Construct North Campus  System                       Replacement (Anderson Hall)                               and Addition,                               Virginia Western           $ 25,600,000 Virginia Community College   Renovate Classroom and  System                       Labatory Buildings,                               Glenns and Warsaw,                               Rappahannock               $ 11,500,000 Virginia Community College   Construct Phase I, Regional  System                       Health Professions Center,                               Tidewater                  $  8,200,000 Virginia Community College   Americans with Disabilities  System                       Act Improvements           $  4,000,000 Virginia Community College   Construct Academic Services  System                       Building, Germanna         $ 25,800,000 Virginia Community College   Construct Academic Building,  System                       Chesapeake Campus,                               Tidewater                  $ 25,100,000 Virginia Military Institute  Improve Military and                               Leadership Field Training                               Grounds                    $ 25,400,000 Virginia State University    Renovate/Expand Hunter                               McDaniel Hall              $ 29,400,000 Virginia State University    Renovate Lockett Hall -                               Center for Funded                               Research                   $  5,100,000 Virginia Tech                Construct Medical School                               and Research Institute     $ 59,000,000 Eastern Virginia Medical     Construct Instructional and  School                       Research Medical Facility  $ 59,000,000 Roanoke Higher Education     Culinary Arts Facility      $  1,500,000  Center Central Capital Accounts     Reserve for Equipment Under $ 29,300,000                               $ 5,000,000 Central Capital Accounts     Reserve for Projects Under  $  5,600,000                               $ 5,000,000 Grand Total                                          $  1,353,729,000

§ 2. The Virginia College Building Authority is also authorized to exercise any and all powers granted to it by law in connection therewith, including the power to finance the cost thereof by the issuance of revenue bonds not to exceed the principal amount set forth plus amounts needed to fund issuance costs, reserve funds, original issue discount, interest prior to or during improvement and for up to one year after completion of the improvement, and other financing expenses.

3.  § 1. That pursuant to §§ 2.2-2261, 2.2-2263 and 2.2-2264 of the Code of Virginia, the General Assembly hereby authorizes the Virginia Public Building Authority to finance, without limitation, the acquisition, construction, renovation, improvement, furnishing, and equipping of the following projects:

Agency                       Project Description          Amount Department of General        Construct Eighth and Ninth  Services                     Street Building             $194,100,000 Department of General        Supplement Capitol Square  Services                     Renovations                 $  5,500,000 Department of Agriculture    Eastern Shore Seafood  And Consumer Services        Facility                    $  5,400,000                        Woodrow Wilson               Renovate Harold E. Watson  Rehabilitation Center        Kitchen & Dining Hall                               Building                    $ 18,800,000 Woodrow Wilson               Renovate Barnett Hall  Rehabilitation Center        Dormitory                   $  9,700,000 Department of Mental Health, Renovate Central Virginia  Mental Retardation and       Training Center  Substance Abuse Services                                 $ 40,600,000 Department of Mental Health, Repair and replace cottages  Mental Retardation and       at Southeastern Virginia  Substance Abuse Services     Training Center             $ 31,600,000 Department of Mental Health, Address life safety issues  Mental Retardation and       at state mental health and  Substance Abuse Services     mental retardation                               facilities                  $ 10,800,000 Department of Mental Health, Replace roofing, various  Mental Retardation and       sites  Substance Abuse Services                                 $ 18,300,000 Department of Mental Health, Replace Western State  Mental Retardation and       Hospital, Phase I  Substance Abuse Services                                 $ 111,800,000 Department of Mental Health, Replace boilers, HVAC, and  Mental Retardation and       heating systems, various  Substance Abuse Services     sites                       $ 15,300,000 Department of Conservation   Preservation of open space  and Recreation               and historic resources                               through conservation        $ 50,000,000 Department of Forestry       Acquire Big Woods State                               Forest                      $  5,900,000 Virginia School for the Deaf Renovate Staunton facilities  and Blind                                                $ 71,100,000 Department of Corrections    Replace roofing on all                               Buildings, Greensville      $ 16,600,000 Department of Corrections    Grayson County Prison Access                               Road                        $  5,000,000 Department of Juvenile       Repair erosion on Pamunkey  Justice                      River Frontage              $ 15,000,000 Department of Forensic       Expand Western Forensic  Science                      Laboratory Facility         $    100,000 Department of Forensic       Expand Eastern Forensic  Science                      Laboratory Facility         $  3,800,000 Central Capital              Reserve for Projects Under  Appropriations               $ 5,000,000                 $ 47,700,000 Central Capital              Project Supplement Reserve  Appropriations                                           $ 26,500,000            Grand Total                                               $703,600,000

§ 2. In addition to the authority granted under § 1 and pursuant to §§ 2.2-2261, 2.2-2263 and 2.2-2264 of the Code of Virginia, the General Assembly hereby authorizes the Virginia Public Building Authority to finance, without limitation, the acquisition, construction, renovation, improvement, furnishing, and equipping of certain capital projects for which an appropriation of general funds was provided under Chapter 847 of the 2007 Acts of Assembly to finance such projects. The Virginia Public Authority is authorized to finance such capital projects that as of June 30, 2008, have a balance of general funds appropriated pursuant to Chapter 847 that have not been expended. In no case shall the total amount of bonds issued by the Authority pursuant to this section exceed a principal amount of $400,000,000. By no later than September 1, 2008, the Governor shall provide a certification to the Authority that lists such capital projects that are to be financed by the Authority pursuant to this section. For purposes of the development of such list, the Department of Planning and Budget and the State Treasurer shall determine the capital projects for which an appropriation of general funds was provided under Chapter 847 of the 2007 Acts of Assembly to finance such projects and that have a balance of such general funds that has not been expended as of June 30, 2008.

§ 3. The Virginia Public Building Authority is authorized to exercise any and all powers granted to it by law in connection with the foregoing projects described in §§ 1 and 2, including the power to finance the cost of the above projects by the issuance of revenue bonds from time to time in a principal amount not to exceed $1,103,600,000 plus amounts needed to fund issuance costs, reserve funds, original issue discount, other financing expenses, and interest prior to or during acquisition, construction, renovation, improvement, furnishing or equipping for up to one year after completion of each such project.

§ 4. The general conditions and general provisions of the general appropriation act enacted pursuant to Chapter 15 (§ 2.2-1500 et seq.) of Title 2.2 of the Code of Virginia, in effect from time to time, and all of the terms and conditions contained therein shall apply to the capital projects listed in this enactment clause.

4.  That the State Treasurer is authorized to advance treasury loans that shall not exceed the costs of planning set forth for each of the following projects:

Agency                       Project Description           Amount Department of General        New General Assembly  Services                     Building, Planning           $ 15,900,000 Department of General        Replace Department of  Services                     Taxation Central Office,                               Planning                     $  6,800,000 Department of General        Renovate Interior of Supreme  Services                     Court, Planning              $  9,000,000                          James Madison University     Construct CISAT                               Academic 3b, Planning        $  4,000,000 Longwood University          Renovate Heating Plant                               Facility, Planning           $    600,000 Norfolk State University     Renovate Wilder Center,                               Planning                     $    600,000 University of Virginia       Upgrade Ruffner Hall,                               Planning                     $  2,400,000 University of Virginia       Construct New Library,  at Wise                      Planning                     $  4,400,000 Virginia Commonwealth        Renovate Massey Cancer Center  University                   Laboratory Support, Planning $  1,500,000 Virginia State University    Renovate and Expand Daniel                               Gymnasium, Planning          $  1,700,000 Virginia Tech                Renovate Davidson Hall,                               Planning                     $  3,000,000 Virginia Tech                Engineering Signature                               Building, Planning           $  5,700,000 Virginia Tech                Chiller Plant, Planning       $  1,700,000                        Jamestown/Yorktown           Replace Yorktown Victory  Foundation                   Center, Planning             $  1,070,000 Science Museum of Virginia   Science Port – Northern                               Virginia Science Center,                               Planning                     $  6,000,000 Department of Mental Health, Construct Community Housing,  Mental Retardation and       Southeastern Virginia  Substance Abuse Services     Training Center, Planning    $  1,600,000 Department of Mental Health, Construct Community Housing,  Mental Retardation and       Central Virginia  Substance Abuse Services     Training Center, Planning    $  5,000,000 Department of Mental Health, Construct Sexually Violent  Mental Retardation and       Predator Facility #2,  Substance Abuse Services     Planning                     $  2,600,000 Department of Mental Health, Replace Central State  Mental Retardation and       Hospital Forensic Unit,  Substance Abuse Services     Planning                     $  4,000,000 Department of Conservation   Construct High Bridge State  and Recreation               Park, Phase I, Planning      $  1,500,000 Department of Conservation   Construct Powhatan State  and Recreation               Park, Phase I, Planning      $  2,200,000 Department of Conservation   Construct Mayo River State  and Recreation               Park, Phase I, Planning      $  2,400,000 Department of Corrections    Construct Medium Security #4,                               Charlotte County, Planning   $  8,700,000 Department of Corrections    Construct 200 Bed Housing Unit,                               Bland, Planning              $    900,000 Department of Corrections    Replace Door Control Systems,                               Greensville, Planning        $    700,000 Department of Corrections    Upgrade Building Electrical                               Service Entrance, Augusta,                               Planning                     $    700,000 Department of Corrections    Upgrade Wastewater Treatment                               Plant, Bland, Planning       $    600,000 Department of Juvenile       Renovate and Expand Department  Justice                      of Correctional Education                               School and Gymnasium,                               Planning                     $    300,000 Grand Total                                                $ 95,570,000

SENATE BILL NO. 795
Offered February 11, 2008
A Bill to amend and reenact § 2.2-1503.2 of the Code of Virginia relating to capital improvement planning and funding; authorizing the issuance of Commonwealth of Virginia General Obligation Bonds in an amount not exceeding $1,525,492,000 for the purpose of financing the costs of capital projects for educational facilities and providing that the Commonwealth of Virginia Educational Facilities Bond Act of 2008 shall not become effective and that no bonds shall be issued under the Act unless the Commonwealth of Virginia Educational Facilities Bond Act of 2008 shall be approved by a majority of the qualified voters of the Commonwealth voting thereon at an election, as required by Article X, Section 9(b) of the Constitution of Virginia; authorizing for certain projects to be financed by the Virginia Public Building Authority with the principal amount of bonds issued for all such projects not to exceed $493,420,000; and authorizing for certain projects to be financed by the Virginia College Building Authority with the principal amount of bonds issued for all such projects not to exceed $187,928,000.
Patron-- Colgan

Introduced at the request of Governor

Referred to Committee on Finance

Be it enacted by the General Assembly of Virginia:

1. That § 2.2-1503.2 of the Code of Virginia is amended and reenacted as follows:

§ 2.2-1503.2. Filing of six-year capital improvement plan by Governor.

A. For purposes of this section:

"Capital outlay project" means acquisition of real property (including buildings or plant) or machinery or equipment, new construction, and improvements related to state-owned real property, buildings, plant, machinery or equipment (including plans therefor). It shall include any improvements to real property leased for use by a state agency, and not owned by the Commonwealth, when such improvements are financed by public funds and become state property upon the expiration of the lease. Capital outlay projects do not include projects that have been included in the Commonwealth Transportation Board's Six-Year Improvement Program.

B. On or before November 1 of the year immediately prior to the beginning of each regular session of the General Assembly held in an even-numbered year, the Governor shall submit to the members of the General Assembly a six-year capital improvement plan. The plan shall include all capital outlay projects that the Governor deems necessary for the six fiscal years immediately following the current fiscal year. The Governor shall include such plan in the “Budget Bill” submitted pursuant to subsection A of § 2.2-1509, and the Governor shall amend such plan as appropriate or warranted in his gubernatorial amendments proposed to the general appropriation act pursuant to subsection E of such section. The plan shall:

1. Identify each capital outlay project;

2. Describe the scope and nature of the project;

3. Provide an estimate of the total cost of each project upon payment in full;

4. Detail, by fiscal year, the source or sources of funds recommended for each capital outlay project;

5. Explain the specific criteria or justification that was used in determining the fiscal year in which funds were allocated to projects; and

6. Include any other information as may be requested by the General Assembly.

Any capital outlay project that requires additional funds in excess of the latest estimate submitted to the General Assembly, shall be included in the six-year plan with an updated estimate of the total cost as provided herein.

C. The capital improvement plan shall include a list of capital outlay projects that would be funded in whole or in part from general funds for each of the succeeding fiscal years in an amount equal to at least two percent of the anticipated general fund revenues for the respective fiscal year, as such revenues are estimated pursuant to § 2.2-1503. The amount of general funds included in the capital improvement plan shall be in addition to any allocation to capital outlay projects from the Central Maintenance Reserve of the general appropriation act.

2.  § 1.  Title.

The second enactment clause of this act shall be known and may be cited as the “Commonwealth of Virginia Educational Facilities Bond Act of 2008.”

§ 2.  Authorization of Bonds and BANs.  The provisions of the Commonwealth of Virginia Educational Facilities Bond Act of 2008 shall be subject to a favorable vote of a majority of the qualified voters voting on the Commonwealth of Virginia Educational Facilities Bond Act of 2008 at the November 4, 2008 general election as hereinafter provided. Thereafter, the Treasury Board is hereby authorized, by and with the consent of the Governor, to sell and issue, at one time or from time to time, bonds of the Commonwealth, to be designated “Commonwealth of Virginia General Obligation Bonds, Series....” in an aggregate principal amount not exceeding $1,525,492,000. The Treasury Board is further authorized, by and with the consent of the Governor, to borrow money in anticipation of the issuance of the bonds by the issuance of bond anticipation notes (“BANs”), including BANs issued as commercial paper. 

§ 3.  Purpose; Projects.  The proceeds of the bonds and BANs, excluding amounts needed to pay issuance costs and other financing expenses, shall be used as provided in § 4 hereof for capital projects for educational facilities as follows:

Educational Facility          Project Description              Amount College of William and Mary   Construct/Replace Cooling                                Plant & Utility Improve-                                ments Phase II             $11,745,000 College of William and Mary   Construct Integrated                                Science Center, Phase III   35,000,000 University of Virginia        Construct Information                                Technology Engineering                                Building                    37,921,000 University of Virginia        Renovate New Cabell Hall     77,600,000 Virginia Tech                 Construct Medical School                                and Research Institute      59,000,000 Virginia Tech                 Renovate Davidson Hall       30,124,000 Virginia Tech                 Construct Sciences Building                                Laboratory I                28,758,000 Virginia Tech Extension       Construct Human and Agricul-                                tural Biosciences Building                                I                           28,293,000 Virginia Military Institute   Improve Military and Leader-                                ship Field Training Grounds                                Phase I                     15,119,000 Virginia Military Institute   Renovate Science Building    16,330,000 Virginia Military Institute   Renovate Post Hospital        4,137,000 Virginia State University     Renovate/Expand Hunter                                McDaniel Hall               22,345,000 Virginia State University     Construct Multipurpose                                Center                      50,625,000 Norfolk State University      Construct New Nursing and                                General Classroom Building  34,069,000 Longwood University           Renovate and Expand Bedford                                Hall                        29,499,000 Longwood University           Construct University Techno-                                logy Center                 19,871,000 Longwood University           Renovation of Heating Plant                                Facility                     7,067,000 University of Mary            Construct Dahlgreen Campus  Washington                                                23,000,000 University of Mary            Construct Jepson Science  Washington                    Center Addition              7,053,000 James Madison University      Construct Biotechnology/                                Centennial Hall             44,809,000 James Madison University      Renovate/Expand Duke Hall    43,472,000 Radford University            Construct New Computational                                Sciences Building           36,235,000 Old Dominion University       Construct New Student                                Success Facilities          11,131,000 Old Dominion University       Establish a Consolidated                                Arts Complex                19,151,000 Old Dominion University       Construct a Systems Research                                and Academic Building       18,147,000 Old Dominion University       Renovate and Construct Child                                Development Centers          9,789,000 Old Dominion University       Renovate the Education                                Building                     9,984,000 Old Dominion University       Renovate Spong and Rollins                                Hall                        19,076,000 Virginia Commonwealth         Construct New School of  University                    Medicine, Phase I           59,000,000 Virginia Commonwealth         Construct General Classroom  University                    Building                    41,042,000 Virginia Commonwealth         Renovate Massey Cancer  University                    Laboratory Support           5,913,000 Richard Bland College         Construct Science and Tech-                                nology Center               19,000,000 Christopher Newport           Construct Integrated Science  Center                        Center                      76,972,000 University of Virginia at     Construct New Library  Wise                                                      41,710,000 George Mason University       Renovate Science and Tech-                                nology II                   49,679,000 George Mason University       Construct Krasnow Addition,                                Phase II                     5,644,000 George Mason University       Construct Campus Library                                Addition, Phase I           50,291,000 Virginia Community College    Construct New Science and  System                        Technology Building,                                Virginia Western            22,717,000 Virginia Community College    Renovate Academic Classrooms  System                        and Administrative Building,                                Rappahannock                10,564,000 Virginia Community College    Construct Phase III Academic  System                        Building, Woodbridge Campus,                                Northern Virginia           38,222,000 Virginia Community College    Renovate Dalton Cantrell  System                        Hall, Mountain Empire       11,208,000 Virginia Community College    Renovate Phase I Facility,  System                        Downtown Campus, J. Sargeant                                Reynolds                    10,820,000 Virginia Community College    Construct Academic Services  System                        Building, Germanna          23,286,000 Virginia Community College    Construct Academic Building,  System                        Chesapeake Campus,                                 Tidewater                  20,573,000 Virginia Community College    Construct Higher Education  System                        Center, Loudoun Campus,                                Northern Virginia           14,263,000 Virginia Community College    Construct Workforce Develop-  System                        ment Center, Piedmont                                Virginia                     6,854,000 Virginia Community Colllege   Renovate Hampton III Build-  System                        ing, Thomas Nelson           8,033,000 Virginia Community College    Renovate Building B, J.  System                        Sargeant Reynolds-Parham Road                                Campus                       4,704,000 Virginia Community College    Renovate Bird and Nicholas  System                        Halls, John Tyler-Chester                                Campus                      16,054,000 Virginia Community College    Construct Learning Resources  System                        Building, Southside                                Virginia                    11,448,000 Virginia Community College    Construct Learning Resources  System                        Building, Virginia Beach                                Campus, Tidewater           36,891,000 Virginia Community College    Replace HVAC, New River  System                                                     1,439,000 Virginia Community College    Upgrade Electrical Systems,  System                        Wytheville                   2,566,000 Virginia Community College    Upgrade Major Mechanical  System                        Systems, Paul D. Camp        3,442,000 Virginia Community College    Renovate Phase I Academic  System                        and Administration Building,                                Eastern Shore                9,287,000 Virginia Community College    Renovate Russell Hall, System                         Southwest Virginia           9,645,000 Virginia Community College    Renovate Library and Learning  System                        Resource Center, Virginia                                Highlands                    2,365,000 Virginia Community College    Construct Workforce Develop-  System                        ment Center, Woodbridge                                Campus, Northern Virginia   23,668,000 Virginia Community College    Construct New Location for  System                        Trucking Program, Portsmouth                                Campus, Tidewater            8,440,000 Virginia Community College    Construct Workforce Solutions  System                        & Academic Training Center,                                Fauquier, Lord Fairfax      13,937,000 Virginia Community College    Construct Occupational Pro-  System                        gram Building, Culinary Arts                                Career Studies Certification                                Program, Central Virginia    1,448,000 Virginia Community College    Construct Motorsports/  System                        Workforce Development                                Center, Patrick Henry        8,715,000 Virginia Community College    Renovate Engineering and  System                        Industrial Technology                                Building, Danville           6,332,000 Virginia Community College    Construct Classroom and  System                        Administration Building,                                Blue Ridge                   5,616,000 Virginia Community College    Renovate Warren and Scott  System                        Halls, Dabney S. Lancaster   6,339,000 Virginia Institute of Marine  Replace Eastern Shore  Science                       Seawater Laboratory          4,182,000 Virginia Institute of Marine  Control Shoreline Erosion  Science                                                    1,200,000 Eastern Virginia Medical      Construct Instructional and  School                        Research Medical Facility   59,000,000 Frontier Culture Museum       Construct Early American                                Industry Exhibit             1,407,000 Science Museum of Virginia    Construct Belmont Bay                                Science Center              20,000,000 Science Museum of Virginia    Construct Danville Science                                Center Planetarium &                                Theater                      2,226,000 Grand Total                                            $1,525,492,000

The General Assembly hereby finds and determines that the estimated useful life of the capital projects described above is in excess of twenty-one years.

The Governor or the Governor’s designee shall designate the amount of the proceeds of the bonds and BANs allocated to any other capital project included herein.  No allocation to a capital project may be increased until it has been demonstrated to the satisfaction of the Governor or the Governor’s designee that (a) the cost of the capital project has been reduced to the extent reasonable, (b) the capital project has not been expanded or enhanced beyond that originally approved, and (c) the capital project is suitable and adequate for the scope originally intended.  No increase in the amount allocated to any capital project shall constitute an authorization for the issuance of bonds in an amount in excess of the aggregate amount authorized hereunder.

§ 4.  Application of Proceeds.

Proceeds (including any premium) of the bonds and any BANs (except the proceeds of (i) bonds the issuance of which has been anticipated by BANs, (ii) refunding bonds and (iii) refunding BANs) shall be deposited by the State Treasurer in a special capital outlay fund in the State Treasury and shall be disbursed only for the purpose for which the bonds or any BANs have been issued.  In the event that the proceeds of the bonds or BANs exceed the cost of the projects as allocated in § 3, the Treasury Board shall cause such excess proceeds to be applied to the retirement of bonds or BANs.  The proceeds of (i) bonds the issuance of which has been anticipated by BANs, (ii) refunding bonds and (iii) refunding BANs and any funds provided by the General Assembly, or available from any other source, for the purpose, shall be used to pay such BANs, refunded bonds and refunded BANs.

The proceeds of the bonds and any refunding bonds or BANs are hereby appropriated for disbursement from the State Treasury for the current biennium pursuant to Article X, Section 7 of the Constitution of Virginia, and § 2.2-1819 of the Code of Virginia.  The general conditions and general provisions of the general appropriation act enacted pursuant to Chapter 15, Title 2.2 (2.2-1500 et seq.) of the Code of Virginia, in effect from time to time, and all of the terms and conditions contained therein shall apply to the capital projects listed in § 3.  The Governor or his designee is hereby authorized to increase the appropriation for any project listed in § 3 by the amount of the proceeds of donations, gifts, grants or other nongeneral funds paid into the state treasury in excess of such appropriation.

§ 5.  Details, sale of bonds and BANs.

The bonds shall be dated, shall mature at such time or times not exceeding twenty-one years from their date or dates and may be made redeemable before their maturity or maturities at such price or prices or within such price parameters, all as may be determined by the Treasury Board, by and with the consent of the Governor.  The principal of the bonds shall be amortized, by payment into a sinking fund or otherwise, in annual installments.  The first annual installment of principal of the bonds shall become due not later than one-tenth of the term of the bonds, and no installment of principal of the bonds shall be more than twice the smallest previous installment.  Any such sinking fund shall not be appropriated for any other purpose.

The bonds shall be in such form, shall bear interest at such rate or rates, either at fixed rates or at rates established by formula or other method, and may contain such other provisions, all as the Treasury Board or the State Treasurer, when authorized by the Treasury Board, may determine.  The principal of and premium, if any, and interest on the bonds and BANs shall be payable in lawful money of the United States of America.  Bonds and BANs may be certificated or uncertificated as determined by the Treasury Board.  The Treasury Board may contract for services of such registrars, transfer agents, or other authenticating agents as it deems appropriate to maintain a record of the persons entitled to the bonds and BANs.  Bonds and BANs may be issued under a system of book entry for recording the ownership and transfer of ownership of rights to receive payments on the bonds and BANs.  The Treasury Board shall fix the denomination or denominations of the bonds and the place or places of payment of principal, premium, if any, and interest, which may be at the office of the State Treasurer or at any one or more banks or trust companies within or without the Commonwealth.

The Treasury Board may sell the bonds and any BANs in such manner, either by competitive bidding, negotiated sale or private placement, and for such price as it may determine, by and with the consent of the Governor, to be in the interest of the Commonwealth.

At  the discretion of the Treasury Board, bonds and BANs may be issued at one time or in part from time to time and may be issued and sold at the same time with other general obligation bonds and bond anticipation notes, respectively, of the Commonwealth authorized pursuant to Article X, Section 9(a)(3), (b) or (c) of the Constitution of Virginia, either as separate issues, as a combined issue designated “Commonwealth of Virginia General Obligation Bonds/Bond Anticipation Notes, Series 20....,” or as a combination of both. The bonds and BANs shall be signed on behalf of the Commonwealth by the Governor and by the State Treasurer, or shall bear their facsimile signatures, and shall bear the lesser seal of the Commonwealth or a facsimile thereof.  In the event that the bonds or BANs bear the facsimile signature of the State Treasurer, they shall be signed by such administrative assistant as the State Treasurer shall determine or by such registrar or paying agent as may be designated to sign them by the Treasury Board.  If any officer whose signature or facsimile signature shall appear on any bonds or BANs shall cease to be such officer before the delivery, such signature or such facsimile shall nevertheless be valid and sufficient for all purposes the same as if such officer had remained in office until such delivery, and any bond or BAN may bear the facsimile signature of, or may be signed by, such persons as at the actual time of the execution are the proper officers to sign such bond or BAN although, at the date of such bond or BAN, such persons may not have been such officers.

§ 6.  Refunding.

The Treasury Board is hereby authorized, by and with the consent of the Governor, to sell and issue, at one time or from time to time, refunding bonds and BANs of the Commonwealth, to refund any or all of the bonds and BANs, respectively, issued under this Act or otherwise pursuant to Article X, Section 9(b), Constitution of Virginia. Refunding bonds and BANs may be issued in a principal amount up to the amount necessary to pay at maturity or redeem the bonds and BANs to be refunded and pay all issuance costs and other financing expenses of the refunding.  Such refunding bonds and BANs may be issued whether or not the bonds or BANs to be refunded are then subject to redemption.  Any escrow or trust fund established with the proceeds from the sale of refunding bonds shall be irrevocably pledged to the payment of the bonds to be refunded, and shall be used solely to pay such bonds or BANs at maturity or upon redemption or for the purchase of not less than all of the bonds or BANs to be refunded.  Any such escrow or trust fund shall constitute a special fund for the payment of such refunded bonds or BANs, and such refunded bonds or BANs, to the extent of amounts, including the maturity amounts of investments, set aside for the payment thereof in such escrow or trust fund, shall not be included for the purposes of determining any limitations upon the amount of bonded indebtedness of the Commonwealth that may be incurred pursuant to Article X, Section 9(b), the Constitution of Virginia.  The Treasury Board may, however, direct that the interest received from the investment of the proceeds of the bonds or any BANs be transferred to the general fund of the State Treasury.

§ 7.  Investments and Contracts.

A.  Pending the application of the proceeds of the bonds or BANs (including refunding bonds and BANs) to the purpose for which they have been authorized and the application of funds set aside for the purpose to the payment of bonds or BANs, they may be invested by the State Treasurer in securities that are legal investments under the laws of the Commonwealth for public funds and sinking funds, as the case may be.  Whenever the State Treasurer receives interest from the investment of the proceeds of bonds or any BANs, such interest shall become a part of the principal of the bonds or any BANs and shall be used in the same manner as required for principal of the bonds or BANs.

B. The Commonwealth may enter into any contract or other arrangement that is determined to be necessary or appropriate to place the obligation or investment of the Commonwealth, as represented by bonds, BANs or investments, in whole or in part, on the interest rate, cash flow or other basis desired by the Commonwealth.  Such contract or other arrangement may include without limitation, contracts commonly known as interest rate swap agreements, and futures or contracts providing for payments based on levels of, or changes in, interest rates.  These contracts or arrangements may be entered into by the Commonwealth in connection with, or incidental to, entering into, or maintaining any (i) agreement which secures bonds or BANs or (ii) investment, or contract providing for investment, otherwise authorized by law.  These contracts and arrangements may contain such payment, security, default, remedy, and other terms and conditions as determined by the Commonwealth, 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. The determinations referred to in this paragraph may be made by the Treasury Board or any public funds manager with professional investment capabilities duly authorized by the Treasury Board to make such determinations.

C.  Any money set aside and pledged to secure payments of bonds, BANs or any of the contracts entered into pursuant to this section may be invested in accordance with paragraph A. of this section and may be pledged to and used to service any of the contracts or other arrangements entered into pursuant to paragraph B. of this section.

§ 8.  Security for bonds and BANs.

The full faith and credit of the Commonwealth are hereby irrevocably pledged for the payment of the principal of and the interest on bonds and (unless the Treasury Board, by and with the consent of the Governor, shall provide otherwise) BANs issued under the Commonwealth of Virginia Educational Facilities Bond Act of 2008.  The proceeds of (i) bonds the issuance of which has been anticipated by BANs, (ii) refunding bonds and (iii) refunding BANs are hereby irrevocably pledged for the payment of principal of and interest and any premium on such bonds or BANs to be refunded thereby.  In addition, the Treasury Board may pledge the full faith and credit of the Commonwealth for the payment of the principal of and interest on any BANs.  If sufficient funds are not appropriated in the general appropriations act for any fiscal year for the timely payment of the principal of and the interest on the bonds, any refunding bonds or any BANs where the full faith and credit of the Commonwealth has been pledged, there shall be set apart by direction of the Governor, from the first general fund revenues received during such fiscal year and thereafter, a sum sufficient to pay such principal and interest.

§ 9.  Expenses.

All expenses incurred under the Commonwealth of Virginia Educational Facilities Bond Act of 2008 shall be paid from the proceeds of the bonds or any refunding bonds or and BANs or from any other available funds as the Treasury Board shall determine.

§ 10.  Exemption of interest from tax.

The bonds and BANs issued under the provisions of the Commonwealth of Virginia Educational Facilities Bond Act of 2008, their transfer, and the income therefrom, including any profit made on the sale thereof, shall at all times be exempt from taxation by the Commonwealth and by any political subdivision thereof.  The interest on the bonds and any refunding bonds or BANs may be subject to inclusion in gross income of the holders thereof for federal income tax purposes.

§ 11.  Referendum.

The question of the effectiveness of the Commonwealth of Virginia Educational Facilities Bond Act and the authorization of the bonds shall be submitted to the qualified voters of the Commonwealth at the general election to be held on Tuesday, November 4, 2008.  The referendum shall be supervised and held, notice thereof given, ballots prepared, returns made and certified, votes canvassed and results ascertained and made known, as provided by law. The ballots to be used at the election shall pose the question in substantially the following form:

QUESTION:  Shall the second enactment clause of Chapter ___, Acts of the General Assembly of 2008, authorizing the issuance of general obligation bonds of the Commonwealth of Virginia in the maximum amount of $1,525,492,000 pursuant to Article X, Section 9(b) of the Constitution of Virginia for capital projects for educational facilities, take effect?

The State Board of Elections shall cause to be sent to the electoral boards of each county and city sufficient copies of the full text of the second enactment clause of this act and the question contained herein for the officers of election to post in each polling place on election day.  The State Board of Elections shall without delay make out and transmit to the Governor and to the Treasury Board an official certified copy of the report of the whole number of votes cast at the election for and against the Commonwealth of Virginia Educational Facilities Bond Act of 2008. 

If a majority of those voting thereon shall vote in favor of the Commonwealth of Virginia Educational Facilities Bond Act of 2008, the second enactment clause of this act shall take effect and the bonds may be issued as hereinabove provided.  If a majority of those voting thereon shall vote against the Commonwealth of Virginia Educational Facilities Bond Act of 2008, the second enactment clause of this act shall not take effect and the bonds shall not be issued.

The expenses incurred in conducting this election shall be defrayed as in the case of election of members of the General Assembly.

§ 12.  Severability.

The provisions of the Commonwealth of Virginia Educational Facilities Bond Act of 2008 or the application thereof to any person or circumstance which are held invalid shall not affect the validity of other provisions or applications of the Commonwealth of Virginia Educational Facilities Bond Act of 2008 which can be given effect without the invalid provisions or applications.

3.  § 1. That pursuant to § 23-30.28 of the Code of Virginia, the General Assembly hereby authorizes the Virginia College Building Authority to undertake the following projects including, without limitation, constructing, improving, furnishing, maintaining, acquiring, and renovating buildings, facilities, improvements, and land therefor; to exercise any and all powers granted to it by law in connection therewith, including the power to lease such projects to institutions of higher education of the Commonwealth; and to finance all or any portion of the cost thereof by the issuance of revenue bonds in a principal amount not to exceed $187,928,000 plus amounts needed to fund issuance costs, reserve funds, original issue discount, interest prior to and during acquisition, construction, or renovation and for one year after completion thereof, and other financing expenses.

The Authority may pay all or any part of the cost of any project hereinafter listed or authorized or any portion thereof with any income and reserve funds of the Authority available for such purpose, and in such case may transfer such funds of the Authority, with the approval of the Governor.

  Agency                      Project Description                Amount The College of William      Construct Integrated Science  and Mary                    Center (Equipment)          $  4,725,000 The College of William      Construct a new school of  and Mary                    education                   $ 38,085,000 University of Virginia      Construct Medical Research                              Building (MR-6)             $    765,000 Virginia Polytechnic  Institute and State  University                 Renovate Henderson Hall      $  3,458,000 Virginia Military  Institute                  Renovate Kilborne Hall       $    485,000 Virginia Military  Institute                  Renovate Mallory Hall        $    760,000 Norfolk State University    Construct a new library      $ 45,139,000 University of Mary  Washington                 Renovate Monroe Hall         $  1,500,000 University of Mary  Washington                 Renovate Lee Hall            $    750,000 University of Mary          Renovate four academic  Washington                  buildings                   $  1,000,000 James Madison University    Construct Center for the                              Arts                        $    676,000 James Madison University    Acquire Rockingham                              Memorial Hall               $  8,600,000 Radford University          Renovate Davis Hall          $    149,000 Radford University          Renovate Young Hall          $    284,000 Radford University          Construct New College of                              Business and Economics                              Building                    $ 34,702,000 George Mason University     Construct Academic VI and                              Research II                 $  5,500,000 George Mason University     Construct Academic V         $  4,500,000 Virginia Community College  Construct Phase I, Regional  System                      Health Professions Center,                              Tidewater                   $  8,200,000 Virginia Community College  Construct Tri-Cities Higher  System                      Education Center, Portsmouth                              Campus, Tidewater           $    900,000 Virginia Community College  Construct Phase III Building,  System                      Loudoun Campus, Northern                              Virginia                    $  8,600,000 Virginia Community College  Construct Academic Building  System                      Phase III, Manassas Campus,                              Northern Virginia           $  6,059,000 Virginia Community College  Construct Historic Triangle  System                      Campus                      $  5,640,000 Virginia Community College  Construct Phase II,  System                      Midlothian Campus, John                              Tyler                       $  2,800,000 Virginia Community College  Construct Phase VI, Academic  System                      Building, Annandale Campus,                              Northern Virginia           $  6,100,000 Virginia Community College  Renovate Hobbs Campus, Paul  System                      D. Camp                     $    210,000 Virginia Community College  Renovate Science Building,  System                      Annandale Campus, Northern                              Virginia                    $    700,000 Virginia Commonwealth       Construct Medical Science  University                  Building, Phase II          $  3,700,000 Grand Total                                              $187,928,000

4.  § 1. That pursuant to §§ 2.2-2261, 2.2-2263 and 2.2-2264 of the Code of Virginia, the General Assembly hereby authorizes the Virginia Public Building Authority to finance, without limitation, the acquisition, construction, renovation, improvement, furnishing, and equipping of the following projects:

Agency                       Project Description                Amount Department of General        Provide supplemental funding  Services                     to renovate the Capitol     $  5,500,000 Department of General        Replace Department of Taxation  Services                     Central Office              $ 85,000,000 Department of General        Construct Eighth and Ninth  Services                     Street Building             $185,100,000 Department of Agriculture    Construct Eastern Shore  and Consumer Services        Marketing and Inspection                               Office                      $  1,115,000 Department of Agriculture    Construct Eastern Shore  and Consumer Services        Seafood Facility            $  5,463,000 The Science Museum of        Restore interior stucco  Virginia                                                 $  1,100,000 Virginia Museum of Fine      Renovate carpenter shop  Arts                                                     $  1,695,000 Virginia Museum of Fine      Replace boilers  Arts                                                     $    975,000 Virginia Museum of Fine      Replace chillers  Arts                                                     $  1,080,000 Woodrow Wilson               Renovate Harold E. Watson  Rehabilitation Center        Kitchen & Dining Hall                               Building                    $  7,946,000 Department For the Blind     Renovate administrative and  and Vision Impaired          activities building         $  7,214,000 Department of Mental Health, Renovate Central Virginia  Mental Retardation and       Training Center  Substance Abuse Services                                 $ 22,000,000 Department of Mental Health, Repair and replace cottages  Mental Retardation and       at Southeastern Virginia  Substance Abuse Services     Training Center             $  9,000,000 Department of Mental Health, Address life safety issues  Mental Retardation and       at state mental health and  Substance Abuse Services     mental retardation                               facilities                  $ 24,000,000 Department of Conservation   Repair various state park  and Recreation               and soil and water                               conservation district dams  $ 20,000,000 Department of Conservation   Construct phase one  and Recreation               development, High Bridge                               State Park                  $  4,500,000 Department of Conservation   Construct phase one  and Recreation               development, Powhatan State                               Park                       $  3,000,000 Department of Conservation   Preservation of open space  and Recreation               and historic resources                               through conservation        $ 50,000,000 Department of Juvenile       Connect cottages to  Justice                      emergency generators        $    670,000 Department of Juvenile       Convert facilities to  Justice                      propane                     $    525,000 Department of Juvenile       Provide new school heating  Justice                      and coooling plant at                               Hanover Juvenile Correctional                               Center                      $    500,000 Department of Juvenile       Upgrade mechanical, electrical  Justice                      and plumbing systems for                               Reception and Diagnostic                               Center cottages             $    700,000 Department of Juvenile       Replace natural gas, water,  Justice                      and sewage lines            $  2,200,000 Department of Juvenile       Upgrade fire alarm and  Justice                      protection systems          $    700,000 Department of Juvenile       Remove abandoned underground  Justice                      fuel tanks                  $    250,000 Department of Juvenile       Construct dry-storage  Justice                      warehouse at Culpeper                               Juvenile Correctional                               Center                      $    880,000 Department of Juvenile       Replace classroom trailers  Justice                      at Beaumont                 $    450,000 Department of Juenile        Replace housing units at  Justice                      Natural Bridge              $  1,691,000 Department of Corrections    Construct milk processing                               center and new dairy barn                               at Powhatan                 $  7,178,000 Department of Corrections    Construct access road for                               Mt. Rogers prison           $  4,000,000 Department of Corrections    Upgrade electrical system                               at Powhatan                 $  2,000,000 Department of Corrections    Replace fire alarm systems                               and exits                   $    890,000 Department of Corrections    Upgrade Powhatan wastewater                               treatment plant             $  3,812,000 Department of Corrections    Upgrade St. Brides water                               treatment plant             $  3,353,000 Department of Corrections    Replace modular housing                               units at Marion             $  4,401,000 Department of Corrections    Replace door and locking                               systems                     $  2,500,000 Department of Corrections    Replace prison door control                               panels                      $  2,500,000 Department of Corrections    Install auger grinders       $    800,000 Department of Corrections    Construct new kitchen and                               dining hall at Halifax      $  4,061,000 Department of Corrections    Replace sally port at                               Southampton                 $  1,613,000 Department of Corrections    Replace plumbing and heating                               systems in field units      $  2,500,000 Department of Corrections    Upgrade electrical systems                               in field units              $    600,000 Department of Corrections    Replace windows              $  2,000,000 Department of Corrections    Renovate bathrooms and                               provide handicapped access                               at Chesterfield             $    500,000 Department of Corrections    Install railings and mesh                               at Greensville              $    622,000 Department of Corrections    Expand sally port building                               at Deerfield                $    238,000 Department of Corrections    Install elevated water tank                               at Greensville              $  2,771,000 Department of Forensic       Expand Eastern Virginia  Science                      Forensic Lab                $  3,827,000 Grand Total                                               $493,420,000

§ 2. The Virginia Public Building Authority is authorized to exercise any and all powers granted to it by law in connection with the foregoing, including the power to finance the cost of the above projects by the issuance of revenue bonds from time to time in a principal amount not to exceed $493,420,000 plus amounts needed to fund issuance costs, reserve funds, original issue discount, other financing expenses, and interest prior to or during acquisition, construction, renovation, improvement, furnishing or equipping for up to one year after completion of each such project.

§ 3. The general conditions and general provisions of the general appropriation act enacted pursuant to Chapter 15 (§ 2.2-1500 et seq.) of Title 2.2 of the Code of Virginia, in effect from time to time, and all of the terms and conditions contained therein shall apply to the capital projects listed in this act.

5.  The State Treasurer is authorized to advance a treasury loan for the following projects:

Agency                       Project Description                Amount Jamestown/Yorktown  Foundation                  Planning                       $1,500,000