CODE OF VIRGINIA

(REPEALED EFFECTIVE OCTOBER 1, 2016) BOARD ACTIONS NOT A DEBT OF COMMONWEALTH
(§ 23-38.78)

A. No act or undertaking of the Board shall be deemed to constitute a debt of
the Commonwealth or any political subdivision thereof, or a pledge of the full
faith and credit of the Commonwealth or of any political subdivision, but shall
be payable solely from the Plan.

B. Notwithstanding the provisions of subsection A, in order to ensure that the
Plan is able to meet its current obligations, the Governor shall include in the
budget bills submitted pursuant to § 2.2-1509 a sum sufficient appropriation
for the purpose of ensuring that the Plan can meet the current obligations of
the Plan. Any sums appropriated by the General Assembly for such purpose shall
be deposited into the Fund. All amounts paid into the Fund pursuant to this
subsection shall constitute and be accounted for as advances by the Commonwealth
to the Plan and, subject to the rights of the Plan’s contract holders,
shall be repaid to the Commonwealth without interest from available operating
revenue of the Plan in excess of amounts required for the payment of current
obligations of the Plan. As used in this section, “current obligations of
the Plan” means amounts required for the payment of contract benefits or
other obligations of the Plan, the maintenance of the Plan, and operating
expenses for the current biennium.

HISTORY: 1994, c. 661; 1998, c. 373; 2000, cc. 382, 400.