2006 Code of Virginia § 38.2-1057 - Assessment for expense of holding deposits; Insurance Collateral Assessment Fund

38.2-1057. Assessment for expense of holding deposits; Insurance CollateralAssessment Fund.

A. For the purpose of defraying the expense of the State Treasurer's officein the safekeeping and handling of the securities or surety bonds depositedunder the provisions of this title, the State Treasurer shall levy annuallyagainst each insurer an assessment. The assessment shall be a percentage ofthe par or face value of the securities or surety bonds on deposit with theState Treasurer's office in each insurer's account at the end of eachcalendar year. The percentage shall be determined annually by the StateTreasurer as the amount necessary to meet the estimated annual expensesincurred by the State Treasurer to meet the provisions of this title. Thepercentage shall not exceed one-fourth of one percent of the par or facevalue of the securities or surety bonds on deposit with the State Treasurer'soffice. Assessment collections that are more than actual expenses in any yearshall be added to the next year's assessment calculation. The assessmentshall be collected every January. No part of the amount collected shall beused to increase the compensation of any person connected with the office ofthe State Treasurer.

B. All moneys collected from the annual assessment imposed under subsection Ashall be paid into the state treasury and credited to a special, nonrevertingfund known as the Insurance Collateral Assessment Fund which is herebyestablished. The Fund shall be established on the books of the Comptrollerand be administered by the State Treasurer's office. Disbursements from theFund shall be on warrants issued by the Comptroller to pay expensesassociated with the safekeeping and handling of the securities or suretybonds deposited under the provisions of this title. Any moneys remaining inthe Fund at the end of a fiscal year shall not revert to the general fund butshall remain in the Fund and be used to offset subsequent years' expenses asprovided in subsection A.

(Code 1950, 38-43; 1952, c. 317, 38.1-121; 1973, c. 173; 1986, c. 562;2005, c. 38.)