2025 SESSION

INTRODUCED

24102492D

SENATE BILL NO. 302

Offered January 10, 2024

Prefiled January 9, 2024

A BILL to direct the Manufacturing Development Commission to create a proposed budget and business plan for the Virginia First Manufacturing Incentive Program.

—————

Patrons—DeSteph and Craig

—————

Referred to Committee on Finance and Appropriations

—————

Be it enacted by the General Assembly of Virginia:

1. That the Code of Virginia is amended by adding a section numbered 2.2-2240.7 as follows:

§ 2.2-2240.7. Virginia First Manufacturing Incentive Program and Fund.

A. For purposes of this section, "qualified open job" means any job of an existing manufacturer that has been vacated by an employee and relocated to a Virginia employer that has received incentive funding.

B. There is hereby created the Virginia First Manufacturing Incentive Program to facilitate the growth of existing manufacturing industries by (i) creating a reshoring, nearshoring, and inshoring program focused on expanding and recruiting manufacturing operations that produce products identified as critical infrastructure; (ii) authorizing the Authority to use discretionary incentive funding to provide for trade assistance to any existing manufacturing operation in a workforce region with less than five percent unemployment; and (iii) providing recruitment, pre-employment screening, and industry credential training.

C. There is hereby created in the state treasury a special nonreverting fund to be known as the Virginia First Manufacturing Incentive Fund, referred to in this section as "the Fund." The Fund shall be established on the books of the Comptroller. All funds appropriated for such purpose and any gifts, donations, grants, bequests, and other funds received on its behalf shall be paid into the state treasury and credited to the Fund. Interest earned on moneys in the Fund shall remain in the Fund and be credited to it. Any moneys remaining in the Fund, including interest thereon, at the end of each fiscal year shall not revert to the general fund but shall remain in the Fund. Moneys in the Fund shall be used solely for the purposes of prioritizing Virginia manufacturing jobs. The total amount of funds provided to eligible businesses per qualified open job is limited to $3,500. Expenditures and disbursements from the Fund shall be made by the State Treasurer on warrants issued by the Comptroller upon written request signed by the President and Chief Executive Officer or his designee. The Fund shall be administered by the President and Chief Executive Officer.

2. That the President and Chief Executive Officer of the Virginia Economic Development Partnership Authority shall create a proposed budget and business plan for the Virginia First Manufacturing Incentive Program, as created by this act. The business plan shall identify potential manufacturers eligible to receive incentive funding for reshoring manufacturing jobs from the Virginia First Manufacturing Incentive Fund, as created by this act. The President and Chief Executive Officer of the Virginia Economic Development Partnership Authority may consult with GENEDGE Alliance and the Virginia Manufacturers Association.