CODE OF VIRGINIA

ESTABLISHMENT AND MAINTENANCE OF FUND, DUTY OF DIRECTOR, ASSESSMENTS OF
REGULANTS (§ 54.1-2113)

A. Each initial regulant at the time of licensure shall be assessed $ 20, which
shall be specifically assigned to the fund. Initial payments may be incorporated
in any application fee payment and transferred to the fund by the Director
within 30 days.

B. All assessments, except initial assessments, for the fund shall be deposited,
within three work days after their receipt by the Director, in one or more
federally insured banks, savings and loan associations or savings banks located
in the Commonwealth. Funds deposited in banks, savings and loan associations or
savings banks, to the extent in excess of insurance afforded by the Federal
Deposit Insurance Corporation or other federal insurance agency, shall be
secured under the Security for Public Deposits Act (§ 2.2-4400 et seq.). The
deposit of these funds in federally insured banks, savings institutions or
savings banks located in the Commonwealth shall not be considered investment of
such funds for purposes of this section. Funds maintained by the Director may be
invested in securities that are legal investments for fiduciaries under the
provisions of § 64.2-1502. The Director shall maintain in his office an
accurate record of all transactions involving the fund, which records shall be
open for inspection and copying by the public during the normal business hours
of the Director.

C. The minimum balance of the fund shall be $ 400,000. Whenever the Director
determines that the balance of the fund is or will be less than such minimum
balance, the Director shall immediately inform the Board. At the same time, the
Director may recommend that the Board transfer a fixed amount of interest
earnings to the fund to bring the balance of the fund to the amount required by
this subsection. Such transfer of interest shall be considered by the Board
within 30 days of the notification of the Director.

D. If available interest earnings are insufficient to bring the balance of the
fund to the minimum amount required by this section, or if a transfer of
available interest earnings to the fund has not occurred, the Board shall assess
each regulant within 30 days of notification by the Director, a sum sufficient
to bring the balance of the fund to the required minimum amount. The Board may
order an assessment of regulants at any time in addition to any required
assessment. No regulant shall be assessed a total amount of more than $ 20
during any biennial license period or part thereof, the biennial period expiring
on June 30 of each even-numbered year. Assessments of regulants made pursuant to
this subsection may be issued by the Board (i) after a determination made by it
or (ii) at the time of license renewal.

E. At the close of each fiscal year, whenever the balance of the fund exceeds $
2 million, the amount in excess of $ 2 million shall be transferred to the
Virginia Housing Trust Fund established pursuant to Chapter 9 (§ 36-141 et
seq.) of Title 36. Except for transfers pursuant to this subsection, there shall
be no transfers out of the fund, including transfers to the general fund,
regardless of the balance of the fund.

F. If the Board determines that all regulants will be assessed concurrently,
notice to the regulants of such assessments shall be by first-class mail, and
payment of such assessments shall be made by first-class mail to the Director
within 45 days after the mailing to regulants of such notice.If the Board
determines that all regulants will be assessed in conjunction with license
renewal, notice to the regulants may be included with the license renewal notice
issued by the Board. The assessment shall be due with the payment of the license
renewal fees. No license shall be renewed or reinstated until any outstanding
assessments are paid.

G. If any regulant fails to remit the required payment mailed in accordance with
subsection F within 45 days of the mailing, the Director shall notify the
regulant by first-class mail at the latest address of record filed with the
Board. If no payment has been received by the Director within 30 days after
mailing the second notice, the license shall be automatically suspended. The
license shall be restored only upon the actual receipt by the Director of the
delinquent assessment.

H. The costs of administering the act shall be paid out of interest earned on
deposits constituting the fund. The remainder of the interest, at the discretion
of the Board, may (i) be used for providing research and education on subjects
of benefit to real estate regulants or members of the public, (ii) be
transferred to the Virginia Housing Trust Fund, or (iii) accrue to the fund in
accordance with subsection C.

HISTORY: 1977, c. 69, § 54-765.3; 1982, c. 6; 1984, c. 266; 1987, c. 555; 1988,
c. 765; 1990, c. 3; 1992, cc. 348, 810; 1997, c. 82; 2007, c. 791; 2013, c. 754.