Benefit corporations; definition, requirements. (HB2358)
Introduced By
Sen. Jennifer McClellan (D-Richmond)
Progress
✓ |
Introduced |
✓ |
Passed Committee |
✓ |
Passed House |
✓ |
Passed Senate |
✓ |
Signed by Governor |
☐ |
Became Law |
Description
Benefit corporations. Authorizes a Virginia stock corporation to elect to be a benefit corporation by including in its articles of incorporation, or amending existing articles to include, a statement that the corporation is a benefit corporation. A benefit corporation is required to have the purpose of creating a general public benefit, which is defined as a material positive impact on society and the environment taken as a whole, as measured by a third-party standard, from the business and operations of a benefit corporation. In addition, a benefit corporation may have the purpose of creating one or more specific public benefits, which include providing low-income or underserved individuals or communities with beneficial products or services; promoting economic opportunity for individuals or communities beyond the creation of jobs in the normal course of business; preserving the environment; improving human health; promoting the arts, sciences, or advancement of knowledge; increasing the flow of capital to entities with a public benefit purpose; and conferring any other particular benefit on society or the environment. In determining what the director of such a corporation reasonably believes to be in the best interests of the corporation, he is required to consider the effects of any action on shareholders, and other persons and issues. A benefit corporation shall deliver to shareholders an annual report describing the ways in which the corporation generally pursued its general public benefit and related matters. A copy of the report shall be filed with the State Corporation Commission. A benefit corporation's status as such will be revoked if the report is not filed for two consecutive years. Read the Bill »
Outcome
History
Date | Action |
---|---|
01/12/2011 | Committee |
01/12/2011 | Prefiled and ordered printed; offered 01/12/11 11100529D |
01/12/2011 | Referred to Committee on Commerce and Labor |
01/18/2011 | Impact statement from SCC (HB2358) |
01/21/2011 | Assigned C & L sub: #2 |
01/27/2011 | Reported from Commerce and Labor with substitute (20-Y 1-N) (see vote tally) |
01/27/2011 | Committee substitute printed 11104181D-H1 |
01/31/2011 | Read first time |
02/01/2011 | Read second time |
02/01/2011 | Committee substitute agreed to 11104181D-H1 |
02/01/2011 | Engrossed by House - committee substitute HB2358H1 |
02/02/2011 | Read third time and passed House (97-Y 0-N) |
02/02/2011 | VOTE: PASSAGE (97-Y 0-N) (see vote tally) |
02/03/2011 | Constitutional reading dispensed |
02/03/2011 | Referred to Committee on Commerce and Labor |
02/21/2011 | Impact statement from SCC (HB2358H1) |
02/21/2011 | Reported from Commerce and Labor (13-Y 0-N) (see vote tally) |
02/22/2011 | Constitutional reading dispensed (40-Y 0-N) (see vote tally) |
02/23/2011 | Read third time |
02/23/2011 | Passed Senate (40-Y 0-N) (see vote tally) |
03/03/2011 | Enrolled |
03/03/2011 | Bill text as passed House and Senate (HB2358ER) |
03/03/2011 | Signed by Speaker |
03/06/2011 | Signed by President |
03/07/2011 | Impact statement from SCC (HB2358ER) |
03/26/2011 | G Approved by Governor-Chapter 698 (effective 7/1/11) |
03/26/2011 | G Acts of Assembly Chapter text (CHAP0698) |