2022 Session

Budget Amendments - HB29 (Floor Approved)

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Virginia Business Ready Sites Funding

Item 112 #7h

Item 112 #7h

First Year - FY2021 Second Year - FY2022
Commerce and Trade
Economic Development Incentive Payments FY2021 $0 FY2022 $164,026,500 GF

Page 27, line 8, strike "$79,585,483" and insert "$243,611,983".

Page 30, after line 25, insert:

"S.1. Out of the appropriation in this item, $164,026,500 the second year from the general fund shall be provided to the Virginia Economic Development Partnership Authority (the Authority) for grants to eligible political subdivisions for the purpose of creating and maintaining a portfolio of project-ready sites to promote economic development. Of these amounts, the Authority shall award projects on a competitive basis to existing economic development sites in Virginia over 200 acres with at least a Tier 4 rating as identified by the Authority's 2019 site characterization study with priority given to large economic development sites with at least 1,000 acres of land that currently have inadequate infrastructure for large scale economic development projects. Notwithstanding the provisions of this paragraph, the Authority may award funds provided by this paragraph to a properly zoned site in coastal Virginia with a Tier 1 rating that has at least 3,000 acres of land. Any funding remaining at the end of the fiscal year shall not revert to the general fund and be carried forward into the next fiscal year.

2. The Authority shall include a summary of (i) grant awards and expenditures made from the funds provided in this paragraph (ii) grant project time schedules, (iii) any site re-characterization that has occurred as a result of any investment in an economic development site, (iv) economic development projects won as a result of these investments including direct jobs and capital investment, and (v) economic development projects lost as a result of an inadequate supply of project ready sites in its annual operating plan required by §2.2-2237.1, Code of Virginia. This report may exclude the funding directed in 3. of this paragraph.

3. From the amounts in this paragraph, $8,500,000 the second year from the general fund shall be provided to the County of Wythe for expenses related to the installation of a water tank in Progress Park, wastewater treatment plant improvements, and wastewater line extensions in the County. The improvements are meant to enhance infrastructure for businesses in Progress Park and properties in the surrounding area, including a nitrile butadiene rubber production plant and a medical-grade glove manufacturing facility (together, the New Businesses) in Progress Park. Disbursement of these funds shall be at the discretion of the  Authority, based upon arrangements with the County of Wythe and the New Businesses setting forth the terms and conditions of the distribution to the County of Wythe and any expected repayment, should the New Businesses fall short of their promises to invest at least $714.1 million at Progress Park, and to create at least 2,464 new jobs that pay an annual wage of at least $37,321 related to their operations at Progress Park.

4. The Director of the Department of Planning and Budget shall transfer the funds provided in this paragraph to the Authority upon the receipt of documentation that indicates Authority's intended use of the funds provided in this paragraph. Such documentation shall include planned individual project investments in economic development sites. The project in 3. of this paragraph is hereby excluded from the requirements set forth in this paragraph 4.

5. From the amounts provided in this paragraph, the Authority may use up to $325,000 in fiscal year 2022 to administer the Virginia Business Ready Sites Program."


(This amendment is part of a series of amendments that transfers a deposit of $155.5 million for the Virginia Business Ready Sites Program from the Virginia Economic Development Partnership Authority to the Economic Development Incentive Payments. The funding included in this amendment contains $8.5 million for infrastructure upgrades at Progress Park, which a companion amendment to House Bill 29, appropriately redirects to this program.)