Virginia Code Title 15.2. Counties, Cities and Towns § 15.2-2413.21. Dissolution

A. Any business improvement and recruitment district established or extended pursuant to the provisions of this article, where there is no indebtedness, outstanding and unpaid, incurred to accomplish any of the purposes of the business improvement and recruitment district, may be dissolved by majority vote of the local governing body. The business improvement and recruitment district may be dissolved if the locality determines there has been misappropriation of funds, malfeasance, or a violation of law in connection with the management of the business improvement and recruitment district. In the event of dissolution of a business improvement and recruitment district, any remaining revenues, after all outstanding debts are paid, derived from the charge of fees, or derived from the sale of assets acquired with the revenues, or from bond reserve or construction funds, shall be appropriated for the purposes of the business improvement and recruitment district plan or shall be refunded to the businesses that are charged a fee by applying the same method and basis that was used to determine the business improvement and recruitment district fees that were charged.

B. During the operation of the business improvement and recruitment district, there shall be a 30-day period each year in which owners of benefited businesses may request dissolution of the business improvement and recruitment district. The first such period shall begin one year after the date of establishment of the business improvement and recruitment district and shall continue for 30 days. The next such 30-day period shall begin two years after the date of the establishment of the business improvement and recruitment district. Each successive year of operation of the business improvement and recruitment district shall have such a 30-day period. Upon the written petition of the owners or authorized representatives of businesses in the business improvement and recruitment district that pay 50 percent or more of the fees charged, the locality may by majority vote of the local governing body dissolve the business improvement and recruitment district.

C. The locality shall hold a hearing on any proposed dissolution.