SB729 • 2026

Private activity bonds; allocation of state ceiling.

An Act to amend and reenact § 15.2-5002 of the Code of Virginia, relating to private activity bonds; allocation of state ceiling.

Housing

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor: Jones
Last action: 2026-03-31
Official status: Acts of Assembly Chapter
Effective date: Not listed

Plain English Breakdown

Checked against official source text during the last sync.

Adjusting Allocation of Private Activity Bonds

This act modifies Virginia's private activity bond ceiling allocation, increasing the portion designated for housing from 57% to 67%, with corresponding adjustments in allocations to local housing authorities and the Virginia Housing Development Authority.

What This Bill Does

Increases the total allocation for housing bonds from 57% to 67% of the state ceiling on private activity bonds.
Raises the allocation to the Virginia Housing Development Authority from 43% to 50% of the housing portion.
Boosts the allocation to local housing authorities from 14% to 17% of the housing portion.
Reduces the allocation for industrial development bonds for manufacturing and exempt facilities from 25% to 15%.
Maintains the current 18% allocation for state issuing authorities.

Who It Names or Affects

Local housing authorities in Virginia.
The Virginia Housing Development Authority.
State issuing authorities in Virginia.

Terms To Know

Private activity bonds: Bonds issued by state or local governments to finance private projects, such as housing developments and industrial facilities.
Housing allocation: The portion of the total bond ceiling set aside for financing single family and multifamily housing projects.

Limits and Unknowns

The bill does not specify how the increased allocations will be used or managed.
It is unclear what specific changes this might bring to local housing authorities and the Virginia Housing Development Authority beyond the percentage increases.

Bill History

2026-03-31 Governor
Approved by Governor-Chapter 38 (effective 7/1/2026)
2026-03-31 Governor
Acts of Assembly Chapter text (CHAP0038)
2026-03-10 Senate
Enrolled Bill communicated to Governor on March 10, 2026
2026-03-10 Governor
Governor's Action Deadline 11:59 p.m., April 13, 2026
2026-03-05 House
Signed by Speaker
2026-03-05 Senate
Signed by President
2026-03-05 Senate
Enrolled
2026-03-05 Senate
Bill text as passed Senate and House (SB729ER)
2026-03-05 Senate
Fiscal Impact Statement from Department of Planning and Budget (SB729)
2026-03-02 House
Moved from Uncontested Calendar to Regular Calendar
2026-03-02 House
Read third time
2026-03-02 House
Passed House (90-Y 8-N 0-A)
2026-02-27 House
Read second time
2026-02-25 Commerce Agriculture & Natural Resources
Assigned HAPP sub: Commerce Agriculture & Natural Resources
2026-02-25 Appropriations
Reported from Appropriations (22-Y 0-N)
2026-02-20 House
Placed on Calendar
2026-02-20 Appropriations
Referred to Committee on Appropriations
2026-02-20 House
Read first time
2026-02-16 Senate
Read second time
2026-02-16 Senate
Rules suspended
2026-02-16 Senate
Rules suspended
2026-02-16 Senate
Blank Action
2026-02-16 Senate
Engrossed by Senate Block Vote (Voice Vote)
2026-02-16 Senate
Constitutional reading dispensed Block Vote (on 3rd reading) (39-Y 0-N 0-A)
2026-02-16 Senate
Read third time and passed Senate Block Vote (39-Y 0-N 0-A)
2026-02-13 Senate
Rules suspended
2026-02-13 Senate
Passed by for the day
2026-02-13 Senate
Constitutional reading dispensed Block Vote (on 1st reading) (35-Y 0-N 0-A)
2026-02-12 Finance and Appropriations
Reported from Finance and Appropriations (15-Y 0-N)
2026-02-03 Finance and Appropriations
Continued to 2027 in Finance and Appropriations (15-Y 0-N)
2026-01-28 General Laws and Technology
Rereferred from General Laws and Technology to Finance and Appropriations (11-Y 0-N)
2026-01-26 Senate
Fiscal Impact Statement from Department of Planning and Budget (SB729)
2026-01-19 Senate
Presented and ordered printed 26105459D
2026-01-19 General Laws and Technology
Referred to Committee on General Laws and Technology

Official Summary Text

Private activity bonds; allocation of state ceiling.
Increases the housing allocation of the Virginia state ceiling on private activity bonds from 57 to 67 percent by (i) increasing the allocation to the Virginia Housing Development Authority from the current 43 percent to 50 percent and (ii) increasing the allocation to local housing authorities from the current 14 percent to 17 percent. The bill also maintains the current 18 percent for the Governor's state allocation portion and reduces the industrial development bonds for manufacturing and exempt facilities portion of the ceiling from 25 to 15 percent. This bill is identical to HB 1227.

Current Bill Text

Read the full stored bill text

An Act to amend and reenact §
15.2-5002
of the Code of Virginia, relating to private activity bonds; allocation of state ceiling.
Be it enacted by the General Assembly of Virginia:
1. That §
15.2-5002
of the Code of Virginia is amended and reenacted as follows:
§
15.2-5002
. Allocation of state ceiling for 2026 and beyond.
This section shall apply to all private activity bonds issued by issuing authorities during
2008
2026
and in years subsequent to
2008
2026
. The state ceiling for these calendar years shall be allocated as follows:
1. "Housing." For calendar years
2008
2026
and beyond, an amount equal to
57
67
percent of the Virginia state ceiling on private activity bonds shall be set aside for single family and multifamily housing bonds. The housing portion of the state ceiling shall be divided between local housing authorities and the Virginia Housing Development Authority. The bond authority allocated to these issuers shall be distributed as follows:
Issuer
Portion of State Ceiling
Local Housing Authorities
14%
17%
Virginia Housing Development Authority
43%
50%
Total Housing Allocation
57%
67%
2. "Industrial Development." For calendar years
2008
2026
and beyond, an amount equal to
25
15
percent of the Virginia state ceiling on private activity bonds shall be set aside for the issuance of industrial development bonds for manufacturing and exempt facilities
;
,
provided, however, that in the event that on July 1,
2008
2026
, the amount of private activity bonds allocated since January 1,
2008
2026
, for manufacturing and exempt facilities pursuant to the guidelines established under §
15.2-5003
shall have exceeded such
25
15
percent amount, the amount set aside for the Virginia Housing Development Authority under this section for calendar year
2008
2026
shall be reduced by the amount of such excess, but in no event shall the amount of private activity bonds so allocated exceed
41
25
percent of the Virginia state ceiling on private activity bonds for calendar year
2008
2026
.
3. "State allocation." For calendar years
2008
2026
and beyond, an amount equal to
eighteen
18
percent of the Virginia state ceiling on private activity bonds shall be set aside for state issuing authorities for allocations to housing and to exempt projects and manufacturing facilities of state and regional interests as determined by the Governor.