Bill > HB1227

This bill adjusts how Virginia allocates its "state ceiling" on private activity bonds, which are tax-exempt bonds issued by state and local governments to finance projects that benefit private entities, such as housing or manufacturing facilities. Specifically, the bill increases the total portion of the state ceiling dedicated to housing from 57% to 67%. This increase is achieved by raising the allocation for the Virginia Housing Development Authority from 43% to 50% and for local housing authorities from 14% to 17%. Concurrently, the bill reduces the portion for industrial development bonds for manufacturing and exempt facilities from 25% to 15%, while maintaining the Governor's allocation for state projects at 18%. These changes are set to take effect for bonds issued in 2026 and subsequent years.

Budget and Finance

https://lis.virginia.gov/bill-details/20261/HB1227