77021323-38.104Virginia Decodedhttps://vacode.org2016Educational InstitutionsRestructured Higher Education Financial And Administrative Operations ActAlternative Authority For Covered InstitutionsInstitutional Management(Repealed effective October 1, 2016) Financial operations of covered institutions2005, cc. 933, 945.http://law.lis.virginia.gov/vacode/23-38.104/2.2-5005(Repealed effective October 1, 2016) Incentive performance benefits to certain public institutions of higher education/2.2-5005/23-38.105(Repealed effective October 1, 2016) Investments of operating funds/23-38.105/23-38.88(Repealed effective October 1, 2016) Eligibility for restructured financial and administrative operational authority/23-38.88//23-38.104/23/4.10/3/4/23-38.104Subject to such accountability measures and audits as are provided in this subchapter or as may otherwise be specifically made applicable by other law to institutions governed by this subchapter and subject to the expressed terms of the management agreement described in § 23-38.88, a covered institution may be permitted (i) to independently manage its operations and finances, including holding and investing its tuition, fees, research funds, auxiliary enterprise funds, and all other public funds; (ii) to create any and all financial policies deemed necessary to conduct its financial operations; (iii) to adopt the budget for the institution; and (iv) to control the expenditures of all moneys generated or received by the institution, including tuition, fees and other nongeneral fund revenue sources.sectionAA1The management agreement described in § 23-38.88 shall include the quantification of cost savings realized as a result of the additional operational flexibility provided pursuant to this subchapter.sectionCC1A covered institution may enter into any contract which the institution determines to be necessary or appropriate to place any bond or investment of the institution, in whole or in part, on the interest rate, cash flow, or other basis desired by the institution, which contract 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 institution in connection with, incidental to, entering into, or maintaining any (i) agreement that secures bonds, notes, or other obligations or (ii) investment or contract providing for investment, otherwise authorized by law, including but not limited to § 23-38.105. These contracts and arrangements may contain such payment, security, default, remedy, and other terms and conditions as determined by the institution, after giving due consideration to the creditworthiness of the counterpart or other obligated party, including any rating by any nationally recognized rating agency, and any other criteria as may be appropriate. Any money set aside and pledged to secure payments of bonds, notes or other obligations or any of the contracts entered into pursuant to this section may be pledged to and used to service any of the contracts or agreements entered into pursuant to this section.sectionDD1