§ 15.2-2316.2. Localities may provide for transfer of development rights.
A. Pursuant to the provisions of this article, the governing body of anylocality by ordinance may, in order to conserve and promote the publichealth, safety, and general welfare, establish procedures, methods, andstandards for the transfer of development rights within its jurisdiction. Anylocality adopting or amending any such transfer of development rightsordinance shall give notice and hold a public hearing in accordance with §15.2-2204 prior to approval by the governing body.
B. In order to implement the provisions of this act, a locality shall adoptan ordinance that shall provide for:
1. The issuance and recordation of the instruments necessary to severdevelopment rights from the sending property, to convey development rights toone or more parties, or to affix development rights to one or more receivingproperties. These instruments shall be executed by the property owners of thedevelopment rights being transferred, and any lien holders of such propertyowners. The instruments shall identify the development rights being severed,and the sending properties or the receiving properties, as applicable;
2. Assurance that the prohibitions against the use and development of thesending property shall bind the landowner and every successor in interest tothe landowner;
3. The severance of transferable development rights from the sending property;
4. The purchase, sale, exchange, or other conveyance of transferabledevelopment rights, after severance, and prior to the rights being affixed toa receiving property;
5. A system for monitoring the severance, ownership, assignment, and transferof transferable development rights;
6. A map or other description of areas designated as sending and receivingareas for the transfer of development rights between properties;
7. The identification of parcels, if any, within a receiving area that areinappropriate as receiving properties;
8. The permitted uses and the maximum increases in density in the receivingarea;
9. The minimum acreage of a sending property and the minimum reduction indensity of the sending property that may be conveyed in severance or transferof development rights;
10. The development rights permitted to be attached in the receiving areasshall be equal to or greater than the development rights permitted to besevered from the sending areas;
11. An assessment of the infrastructure in the receiving area that identifiesthe ability of the area to accept increases in density and its plans toprovide necessary utility services within any designated receiving area; and
12. The application to be deemed approved upon the determination ofcompliance with the ordinance by the agent of the planning commission, orother agent designated by the locality.
C. In order to implement the provisions of this act, a locality may providein its ordinance for:
1. The purchase of all or part of such development rights, which shall retirethe development rights so purchased;
2. The severance of development rights from existing zoned or subdividedproperties as otherwise provided in subsection E;
3. The owner of such development rights to make application to the localityfor a real estate tax abatement for a period up to 25 years, to compensatethe owner of such development rights for the fair market value of all or partof the development rights, which shall retire the number of developmentrights equal to the amount of the tax abatement, and such abatement istransferable with the property;
4. The owner of a property to request designation by the locality of theowner's property as a "sending property" or a "receiving property";
5. The allowance for residential density to be converted to bonus density onthe receiving property by (i) an increase in the residential density on thereceiving property or (ii) an increase in the square feet of commercial,industrial, or other uses on the receiving property, which upon conversionshall retire the development rights so converted;
6. The receiving areas to include such urban development areas in thelocality established pursuant to § 15.2-2223.1;
7. The sending properties, subsequent to severance of development rights, togenerate one or more forms of renewable energy, as defined in § 56-576,subject to the provisions of the local zoning ordinance;
8. The sending properties, subsequent to severance of development rights, toproduce agricultural products or forestal products, as defined in § 15.2-4302;
9. The review of an application by the planning commission to determinewhether the application complies with the provisions of the ordinance;
10. Such other provisions as the locality deems necessary to aid in theimplementation of the provisions of this act; and
11. Approval of an application upon the determination of compliance with theordinance by the agent of the planning commission.
D. The locality may, by ordinance, designate receiving areas or receivingproperties, or add to, supplement, or amend its designations of receivingareas or receiving properties, so long as the development rights permitted tobe attached in the receiving areas are equal to or greater than thedevelopment rights permitted to be severed in the sending areas.
E. Any proposed severance or transfer of development rights shall only beinitiated upon application by the property owners of the sending properties,development rights, or receiving properties as otherwise provided herein.
F. A locality may not require property owners to sever or transferdevelopment rights as a condition of the development of any property.
G. The owner of a property may sever development rights from the sendingproperty, pursuant to the provisions of this act. An application to transferdevelopment rights to one or more receiving properties, for the purpose ofaffixing such rights thereto, shall only be initiated upon application by theowner of such development rights and the owners of the receiving properties.
H. Development rights severed pursuant to this article shall be interests inreal property and shall be considered as such for purposes of conveyance andtaxation. Once a deed for transferable development rights, created pursuantto this act, has been recorded in the land records of the office of thecircuit court clerk for the locality to reflect the transferable developmentrights sold, conveyed, or otherwise transferred by the owner of the sendingproperty, the development rights shall vest in the grantee and may betransferred by such grantee to a successor in interest. Nothing herein shallbe construed to prevent the owner of the sending property from recording adeed covenant against the sending property severing the development rights onsaid property, with the owner of the sending property retaining ownership ofthe severed development rights. Any transfer of the development rights to aproperty in a receiving area shall be in accordance with the provisions ofthe ordinance adopted pursuant to this article.
I. For the purposes of ad valorem real property taxation, the value of atransferable development right shall be deemed appurtenant to the sendingproperty until the transferable development right is severed from andrecorded as a distinct interest in real property, or the transferabledevelopment right is used at a receiving property and becomes appurtenantthereto. Once a transferable development right is severed from the sendingproperty, the assessment of the fee interest in the sending property shallreflect any change in the fair market value that results from the inabilityof the owner of the fee interest to use such property for such usesterminated by the severance of the transferable development right. Uponseverance from the sending property and recordation as a distinct interest inreal property, the transferable development right shall be assessed at itsfair market value on a separate real estate tax bill sent to the owner ofsaid development right as taxable real estate in accordance with Article 1 (§58.1-3200 et seq.) of Chapter 32 of Title 58.1. The development right shallbe taxed as taxable real estate by the local jurisdiction where the sendingproperty is located, until such time as the development right becomesattached to a receiving property, at which time it shall be taxed as taxablereal estate by the local jurisdiction where the receiving property is located.
J. The owner of a sending property from which development rights are severedshall provide a copy of the instrument, showing the deed book and pagenumber, or instrument or GPIN, to the real estate tax assessor for thelocality.
K. Localities, from time to time as the locality designates sending andreceiving areas, shall incorporate the map identified in subdivision B 6 intothe comprehensive plan.
L. No amendment to the zoning map, nor any amendments to the text of thezoning ordinance with respect to the zoning district applicable theretoinitiated by the governing body, which eliminate, or materially restrict,reduce, or downzone the uses, or the density of uses permitted in the zoningdistrict applicable to any property to which development rights have beentransferred, shall be effective with respect to such property unless therehas been mistake, fraud, or a material change in circumstances substantiallyaffecting the public health, safety, or welfare.
M. A county adopting an ordinance pursuant to this article may designateeligible receiving areas in any incorporated town within such county, if thegoverning body of the town has also amended its zoning ordinance to designatethe same areas as eligible to receive density being transferred from sendingareas in the county. The development right shall be taxed as taxable realestate by the local jurisdiction where the sending property is located, untilsuch time as the development right becomes attached to a receiving property,at which time it shall be taxed as taxable real estate by the localjurisdiction where the receiving property is located.
N. Any county and an adjacent city may enter voluntarily into an agreement topermit the county to designate eligible receiving areas in the city if thegoverning body of the city has also amended its zoning ordinance to designatethe same areas as eligible to receive density being transferred from sendingareas in the county. The city council shall designate areas it deems suitableas receiving areas and shall designate the maximum increases in density ineach such receiving area. However, if any such agreement contains anyprovision addressing any issue provided for in Chapter 32 (§ 15.2-3200 etseq.), 33 (§ 15.2-3300 et seq.), 36 (§ 15.2-3600 et seq.), 38 (§ 15.2-3800 etseq.), 39 (§ 15.2-3900 et seq.), or 41 (§ 15.2-4100 et seq.), the agreementshall be subject to the review and implementation process established byChapter 34 (§ 15.2-3400 et seq.). The development right shall be taxed astaxable real estate by the local jurisdiction where the sending property islocated, until such time as the development right becomes attached to areceiving property, at which time it shall be taxed as taxable real estate bythe local jurisdiction where the receiving property is located.
1. The terms and conditions of the density transfer agreement as provided inthis subsection shall be determined by the affected localities and shall beapproved by the governing body of each locality participating in theagreement, provided the governing body of each such locality first holds apublic hearing, which shall be advertised once a week for two successiveweeks in a newspaper of general circulation in the locality.
2. The governing bodies shall petition a circuit court having jurisdiction inone or more of the localities for an order affirming the proposed agreement.The circuit court shall be limited in its decision to either affirming ordenying the agreement and shall have no authority, without the expressapproval of each local governing body, to amend or change the terms orconditions of the agreement, but shall have the authority to validate theagreement and give it full force and effect. The circuit court shall affirmthe agreement unless the court finds either that the agreement is contrary tothe best interests of the Commonwealth or that it is not in the bestinterests of each of the parties thereto.
3. The agreement shall not become binding on the localities until affirmed bythe court under this subsection. Once approved by the circuit court, theagreement shall also bind future local governing bodies of the localities.
(2006, c. 573; 2007, cc. 363, 410; 2009, cc. 413, 731; 2010, c. 239.)
§ 15.2-2316.2. Localities may provide for transfer of development rights.
A. Pursuant to the provisions of this article, the governing body of anylocality by ordinance may, in order to conserve and promote the publichealth, safety, and general welfare, establish procedures, methods, andstandards for the transfer of development rights within its jurisdiction. Anylocality adopting or amending any such transfer of development rightsordinance shall give notice and hold a public hearing in accordance with §15.2-2204 prior to approval by the governing body.
B. In order to implement the provisions of this act, a locality shall adoptan ordinance that shall provide for:
1. The issuance and recordation of the instruments necessary to severdevelopment rights from the sending property, to convey development rights toone or more parties, or to affix development rights to one or more receivingproperties. These instruments shall be executed by the property owners of thedevelopment rights being transferred, and any lien holders of such propertyowners. The instruments shall identify the development rights being severed,and the sending properties or the receiving properties, as applicable;
2. Assurance that the prohibitions against the use and development of thesending property shall bind the landowner and every successor in interest tothe landowner;
3. The severance of transferable development rights from the sending property;
4. The purchase, sale, exchange, or other conveyance of transferabledevelopment rights, after severance, and prior to the rights being affixed toa receiving property;
5. A system for monitoring the severance, ownership, assignment, and transferof transferable development rights;
6. A map or other description of areas designated as sending and receivingareas for the transfer of development rights between properties;
7. The identification of parcels, if any, within a receiving area that areinappropriate as receiving properties;
8. The permitted uses and the maximum increases in density in the receivingarea;
9. The minimum acreage of a sending property and the minimum reduction indensity of the sending property that may be conveyed in severance or transferof development rights;
10. The development rights permitted to be attached in the receiving areasshall be equal to or greater than the development rights permitted to besevered from the sending areas;
11. An assessment of the infrastructure in the receiving area that identifiesthe ability of the area to accept increases in density and its plans toprovide necessary utility services within any designated receiving area; and
12. The application to be deemed approved upon the determination ofcompliance with the ordinance by the agent of the planning commission, orother agent designated by the locality.
C. In order to implement the provisions of this act, a locality may providein its ordinance for:
1. The purchase of all or part of such development rights, which shall retirethe development rights so purchased;
2. The severance of development rights from existing zoned or subdividedproperties as otherwise provided in subsection E;
3. The owner of such development rights to make application to the localityfor a real estate tax abatement for a period up to 25 years, to compensatethe owner of such development rights for the fair market value of all or partof the development rights, which shall retire the number of developmentrights equal to the amount of the tax abatement, and such abatement istransferable with the property;
4. The owner of a property to request designation by the locality of theowner's property as a "sending property" or a "receiving property";
5. The allowance for residential density to be converted to bonus density onthe receiving property by (i) an increase in the residential density on thereceiving property or (ii) an increase in the square feet of commercial,industrial, or other uses on the receiving property, which upon conversionshall retire the development rights so converted;
6. The receiving areas to include such urban development areas in thelocality established pursuant to § 15.2-2223.1;
7. The sending properties, subsequent to severance of development rights, togenerate one or more forms of renewable energy, as defined in § 56-576,subject to the provisions of the local zoning ordinance;
8. The sending properties, subsequent to severance of development rights, toproduce agricultural products or forestal products, as defined in § 15.2-4302;
9. The review of an application by the planning commission to determinewhether the application complies with the provisions of the ordinance;
10. Such other provisions as the locality deems necessary to aid in theimplementation of the provisions of this act; and
11. Approval of an application upon the determination of compliance with theordinance by the agent of the planning commission.
D. The locality may, by ordinance, designate receiving areas or receivingproperties, or add to, supplement, or amend its designations of receivingareas or receiving properties, so long as the development rights permitted tobe attached in the receiving areas are equal to or greater than thedevelopment rights permitted to be severed in the sending areas.
E. Any proposed severance or transfer of development rights shall only beinitiated upon application by the property owners of the sending properties,development rights, or receiving properties as otherwise provided herein.
F. A locality may not require property owners to sever or transferdevelopment rights as a condition of the development of any property.
G. The owner of a property may sever development rights from the sendingproperty, pursuant to the provisions of this act. An application to transferdevelopment rights to one or more receiving properties, for the purpose ofaffixing such rights thereto, shall only be initiated upon application by theowner of such development rights and the owners of the receiving properties.
H. Development rights severed pursuant to this article shall be interests inreal property and shall be considered as such for purposes of conveyance andtaxation. Once a deed for transferable development rights, created pursuantto this act, has been recorded in the land records of the office of thecircuit court clerk for the locality to reflect the transferable developmentrights sold, conveyed, or otherwise transferred by the owner of the sendingproperty, the development rights shall vest in the grantee and may betransferred by such grantee to a successor in interest. Nothing herein shallbe construed to prevent the owner of the sending property from recording adeed covenant against the sending property severing the development rights onsaid property, with the owner of the sending property retaining ownership ofthe severed development rights. Any transfer of the development rights to aproperty in a receiving area shall be in accordance with the provisions ofthe ordinance adopted pursuant to this article.
I. For the purposes of ad valorem real property taxation, the value of atransferable development right shall be deemed appurtenant to the sendingproperty until the transferable development right is severed from andrecorded as a distinct interest in real property, or the transferabledevelopment right is used at a receiving property and becomes appurtenantthereto. Once a transferable development right is severed from the sendingproperty, the assessment of the fee interest in the sending property shallreflect any change in the fair market value that results from the inabilityof the owner of the fee interest to use such property for such usesterminated by the severance of the transferable development right. Uponseverance from the sending property and recordation as a distinct interest inreal property, the transferable development right shall be assessed at itsfair market value on a separate real estate tax bill sent to the owner ofsaid development right as taxable real estate in accordance with Article 1 (§58.1-3200 et seq.) of Chapter 32 of Title 58.1. The development right shallbe taxed as taxable real estate by the local jurisdiction where the sendingproperty is located, until such time as the development right becomesattached to a receiving property, at which time it shall be taxed as taxablereal estate by the local jurisdiction where the receiving property is located.
J. The owner of a sending property from which development rights are severedshall provide a copy of the instrument, showing the deed book and pagenumber, or instrument or GPIN, to the real estate tax assessor for thelocality.
K. Localities, from time to time as the locality designates sending andreceiving areas, shall incorporate the map identified in subdivision B 6 intothe comprehensive plan.
L. No amendment to the zoning map, nor any amendments to the text of thezoning ordinance with respect to the zoning district applicable theretoinitiated by the governing body, which eliminate, or materially restrict,reduce, or downzone the uses, or the density of uses permitted in the zoningdistrict applicable to any property to which development rights have beentransferred, shall be effective with respect to such property unless therehas been mistake, fraud, or a material change in circumstances substantiallyaffecting the public health, safety, or welfare.
M. A county adopting an ordinance pursuant to this article may designateeligible receiving areas in any incorporated town within such county, if thegoverning body of the town has also amended its zoning ordinance to designatethe same areas as eligible to receive density being transferred from sendingareas in the county. The development right shall be taxed as taxable realestate by the local jurisdiction where the sending property is located, untilsuch time as the development right becomes attached to a receiving property,at which time it shall be taxed as taxable real estate by the localjurisdiction where the receiving property is located.
N. Any county and an adjacent city may enter voluntarily into an agreement topermit the county to designate eligible receiving areas in the city if thegoverning body of the city has also amended its zoning ordinance to designatethe same areas as eligible to receive density being transferred from sendingareas in the county. The city council shall designate areas it deems suitableas receiving areas and shall designate the maximum increases in density ineach such receiving area. However, if any such agreement contains anyprovision addressing any issue provided for in Chapter 32 (§ 15.2-3200 etseq.), 33 (§ 15.2-3300 et seq.), 36 (§ 15.2-3600 et seq.), 38 (§ 15.2-3800 etseq.), 39 (§ 15.2-3900 et seq.), or 41 (§ 15.2-4100 et seq.), the agreementshall be subject to the review and implementation process established byChapter 34 (§ 15.2-3400 et seq.). The development right shall be taxed astaxable real estate by the local jurisdiction where the sending property islocated, until such time as the development right becomes attached to areceiving property, at which time it shall be taxed as taxable real estate bythe local jurisdiction where the receiving property is located.
1. The terms and conditions of the density transfer agreement as provided inthis subsection shall be determined by the affected localities and shall beapproved by the governing body of each locality participating in theagreement, provided the governing body of each such locality first holds apublic hearing, which shall be advertised once a week for two successiveweeks in a newspaper of general circulation in the locality.
2. The governing bodies shall petition a circuit court having jurisdiction inone or more of the localities for an order affirming the proposed agreement.The circuit court shall be limited in its decision to either affirming ordenying the agreement and shall have no authority, without the expressapproval of each local governing body, to amend or change the terms orconditions of the agreement, but shall have the authority to validate theagreement and give it full force and effect. The circuit court shall affirmthe agreement unless the court finds either that the agreement is contrary tothe best interests of the Commonwealth or that it is not in the bestinterests of each of the parties thereto.
3. The agreement shall not become binding on the localities until affirmed bythe court under this subsection. Once approved by the circuit court, theagreement shall also bind future local governing bodies of the localities.
(2006, c. 573; 2007, cc. 363, 410; 2009, cc. 413, 731; 2010, c. 239.)
§ 15.2-2316.2. Localities may provide for transfer of development rights.
A. Pursuant to the provisions of this article, the governing body of anylocality by ordinance may, in order to conserve and promote the publichealth, safety, and general welfare, establish procedures, methods, andstandards for the transfer of development rights within its jurisdiction. Anylocality adopting or amending any such transfer of development rightsordinance shall give notice and hold a public hearing in accordance with §15.2-2204 prior to approval by the governing body.
B. In order to implement the provisions of this act, a locality shall adoptan ordinance that shall provide for:
1. The issuance and recordation of the instruments necessary to severdevelopment rights from the sending property, to convey development rights toone or more parties, or to affix development rights to one or more receivingproperties. These instruments shall be executed by the property owners of thedevelopment rights being transferred, and any lien holders of such propertyowners. The instruments shall identify the development rights being severed,and the sending properties or the receiving properties, as applicable;
2. Assurance that the prohibitions against the use and development of thesending property shall bind the landowner and every successor in interest tothe landowner;
3. The severance of transferable development rights from the sending property;
4. The purchase, sale, exchange, or other conveyance of transferabledevelopment rights, after severance, and prior to the rights being affixed toa receiving property;
5. A system for monitoring the severance, ownership, assignment, and transferof transferable development rights;
6. A map or other description of areas designated as sending and receivingareas for the transfer of development rights between properties;
7. The identification of parcels, if any, within a receiving area that areinappropriate as receiving properties;
8. The permitted uses and the maximum increases in density in the receivingarea;
9. The minimum acreage of a sending property and the minimum reduction indensity of the sending property that may be conveyed in severance or transferof development rights;
10. The development rights permitted to be attached in the receiving areasshall be equal to or greater than the development rights permitted to besevered from the sending areas;
11. An assessment of the infrastructure in the receiving area that identifiesthe ability of the area to accept increases in density and its plans toprovide necessary utility services within any designated receiving area; and
12. The application to be deemed approved upon the determination ofcompliance with the ordinance by the agent of the planning commission, orother agent designated by the locality.
C. In order to implement the provisions of this act, a locality may providein its ordinance for:
1. The purchase of all or part of such development rights, which shall retirethe development rights so purchased;
2. The severance of development rights from existing zoned or subdividedproperties as otherwise provided in subsection E;
3. The owner of such development rights to make application to the localityfor a real estate tax abatement for a period up to 25 years, to compensatethe owner of such development rights for the fair market value of all or partof the development rights, which shall retire the number of developmentrights equal to the amount of the tax abatement, and such abatement istransferable with the property;
4. The owner of a property to request designation by the locality of theowner's property as a "sending property" or a "receiving property";
5. The allowance for residential density to be converted to bonus density onthe receiving property by (i) an increase in the residential density on thereceiving property or (ii) an increase in the square feet of commercial,industrial, or other uses on the receiving property, which upon conversionshall retire the development rights so converted;
6. The receiving areas to include such urban development areas in thelocality established pursuant to § 15.2-2223.1;
7. The sending properties, subsequent to severance of development rights, togenerate one or more forms of renewable energy, as defined in § 56-576,subject to the provisions of the local zoning ordinance;
8. The sending properties, subsequent to severance of development rights, toproduce agricultural products or forestal products, as defined in § 15.2-4302;
9. The review of an application by the planning commission to determinewhether the application complies with the provisions of the ordinance;
10. Such other provisions as the locality deems necessary to aid in theimplementation of the provisions of this act; and
11. Approval of an application upon the determination of compliance with theordinance by the agent of the planning commission.
D. The locality may, by ordinance, designate receiving areas or receivingproperties, or add to, supplement, or amend its designations of receivingareas or receiving properties, so long as the development rights permitted tobe attached in the receiving areas are equal to or greater than thedevelopment rights permitted to be severed in the sending areas.
E. Any proposed severance or transfer of development rights shall only beinitiated upon application by the property owners of the sending properties,development rights, or receiving properties as otherwise provided herein.
F. A locality may not require property owners to sever or transferdevelopment rights as a condition of the development of any property.
G. The owner of a property may sever development rights from the sendingproperty, pursuant to the provisions of this act. An application to transferdevelopment rights to one or more receiving properties, for the purpose ofaffixing such rights thereto, shall only be initiated upon application by theowner of such development rights and the owners of the receiving properties.
H. Development rights severed pursuant to this article shall be interests inreal property and shall be considered as such for purposes of conveyance andtaxation. Once a deed for transferable development rights, created pursuantto this act, has been recorded in the land records of the office of thecircuit court clerk for the locality to reflect the transferable developmentrights sold, conveyed, or otherwise transferred by the owner of the sendingproperty, the development rights shall vest in the grantee and may betransferred by such grantee to a successor in interest. Nothing herein shallbe construed to prevent the owner of the sending property from recording adeed covenant against the sending property severing the development rights onsaid property, with the owner of the sending property retaining ownership ofthe severed development rights. Any transfer of the development rights to aproperty in a receiving area shall be in accordance with the provisions ofthe ordinance adopted pursuant to this article.
I. For the purposes of ad valorem real property taxation, the value of atransferable development right shall be deemed appurtenant to the sendingproperty until the transferable development right is severed from andrecorded as a distinct interest in real property, or the transferabledevelopment right is used at a receiving property and becomes appurtenantthereto. Once a transferable development right is severed from the sendingproperty, the assessment of the fee interest in the sending property shallreflect any change in the fair market value that results from the inabilityof the owner of the fee interest to use such property for such usesterminated by the severance of the transferable development right. Uponseverance from the sending property and recordation as a distinct interest inreal property, the transferable development right shall be assessed at itsfair market value on a separate real estate tax bill sent to the owner ofsaid development right as taxable real estate in accordance with Article 1 (§58.1-3200 et seq.) of Chapter 32 of Title 58.1. The development right shallbe taxed as taxable real estate by the local jurisdiction where the sendingproperty is located, until such time as the development right becomesattached to a receiving property, at which time it shall be taxed as taxablereal estate by the local jurisdiction where the receiving property is located.
J. The owner of a sending property from which development rights are severedshall provide a copy of the instrument, showing the deed book and pagenumber, or instrument or GPIN, to the real estate tax assessor for thelocality.
K. Localities, from time to time as the locality designates sending andreceiving areas, shall incorporate the map identified in subdivision B 6 intothe comprehensive plan.
L. No amendment to the zoning map, nor any amendments to the text of thezoning ordinance with respect to the zoning district applicable theretoinitiated by the governing body, which eliminate, or materially restrict,reduce, or downzone the uses, or the density of uses permitted in the zoningdistrict applicable to any property to which development rights have beentransferred, shall be effective with respect to such property unless therehas been mistake, fraud, or a material change in circumstances substantiallyaffecting the public health, safety, or welfare.
M. A county adopting an ordinance pursuant to this article may designateeligible receiving areas in any incorporated town within such county, if thegoverning body of the town has also amended its zoning ordinance to designatethe same areas as eligible to receive density being transferred from sendingareas in the county. The development right shall be taxed as taxable realestate by the local jurisdiction where the sending property is located, untilsuch time as the development right becomes attached to a receiving property,at which time it shall be taxed as taxable real estate by the localjurisdiction where the receiving property is located.
N. Any county and an adjacent city may enter voluntarily into an agreement topermit the county to designate eligible receiving areas in the city if thegoverning body of the city has also amended its zoning ordinance to designatethe same areas as eligible to receive density being transferred from sendingareas in the county. The city council shall designate areas it deems suitableas receiving areas and shall designate the maximum increases in density ineach such receiving area. However, if any such agreement contains anyprovision addressing any issue provided for in Chapter 32 (§ 15.2-3200 etseq.), 33 (§ 15.2-3300 et seq.), 36 (§ 15.2-3600 et seq.), 38 (§ 15.2-3800 etseq.), 39 (§ 15.2-3900 et seq.), or 41 (§ 15.2-4100 et seq.), the agreementshall be subject to the review and implementation process established byChapter 34 (§ 15.2-3400 et seq.). The development right shall be taxed astaxable real estate by the local jurisdiction where the sending property islocated, until such time as the development right becomes attached to areceiving property, at which time it shall be taxed as taxable real estate bythe local jurisdiction where the receiving property is located.
1. The terms and conditions of the density transfer agreement as provided inthis subsection shall be determined by the affected localities and shall beapproved by the governing body of each locality participating in theagreement, provided the governing body of each such locality first holds apublic hearing, which shall be advertised once a week for two successiveweeks in a newspaper of general circulation in the locality.
2. The governing bodies shall petition a circuit court having jurisdiction inone or more of the localities for an order affirming the proposed agreement.The circuit court shall be limited in its decision to either affirming ordenying the agreement and shall have no authority, without the expressapproval of each local governing body, to amend or change the terms orconditions of the agreement, but shall have the authority to validate theagreement and give it full force and effect. The circuit court shall affirmthe agreement unless the court finds either that the agreement is contrary tothe best interests of the Commonwealth or that it is not in the bestinterests of each of the parties thereto.
3. The agreement shall not become binding on the localities until affirmed bythe court under this subsection. Once approved by the circuit court, theagreement shall also bind future local governing bodies of the localities.
(2006, c. 573; 2007, cc. 363, 410; 2009, cc. 413, 731; 2010, c. 239.)
