2006 Code of Virginia § 59.1-542 - Enterprise zone designation

59.1-542. Enterprise zone designation.

A. Upon the Department's announcement of periodic zone designationcompetitions, the governing body of any county or city may make writtenapplication to the Department to have an area or areas declared an enterprisezone. Such application shall include a description of the area or areas to beincluded, the development potential of these areas, the need for specialstate incentives, the local incentives that shall be provided to support neweconomic activity, and other information that the Department deems necessaryto assess requests for designation.

B. Two or more adjacent localities may file a joint application for anenterprise zone. Localities applying for a joint zone shall demonstrate aregional need for an enterprise zone and a regional impact that could not beachieved through a single jurisdiction zone. Applicants for a joint zoneshall also specify what mechanisms will be used to ensure that the economicbenefits of such a zone are shared among the applicant localities.

C. An enterprise zone may consist of no more than three noncontiguous areas.The aggregate size of these noncontiguous zone areas shall be specified byregulation. Localities shall be limited to three enterprise zone designations.

D. A joint enterprise zone shall consist of no more than three noncontiguouszone areas for each participating locality. The aggregate size of thesenoncontiguous areas shall be specified by regulation.

E. Upon recommendation of the Director of the Department, the Governor maydesignate up to 30 enterprise zones in accordance with the provisions of thischapter. Such designations are to be done in coordination with the expirationof existing zones designated under earlier Enterprise Zone Programprovisions. The initial round of six zone designation applications andapproval may be conducted prior to adoption of final program regulationsprovided that the process is consistent with the provisions of this chapter.Enterprise zones shall be designated for an initial 10-year period except asprovided for in subsections A and B of 59.1-546. Upon recommendation of theDirector of the Department, the Governor may renew zones for up to twofive-year renewal periods. Recommendations for five-year renewals shall bebased on the locality's performance of its enterprise zone responsibilities,the continued need for such a zone, and its effectiveness in creating jobsand capital investment.

F. Localities that have zone designations are responsible for providing thelocal incentives specified in their applications, providing timely submissionof enterprise zone reports and evaluations as required by regulation,verifying that businesses and properties seeking enterprise zone incentivesare physically located within their zones, and implementing an active localenterprise zone program within the context of overall economic developmentefforts.

(2005, cc. 863, 884.)