On January 28, 2025, Virginia's legislative body introduced House Bill 2664 (VA HB2664), aimed at refining the governance structure of various economic development authorities within the state. The bill outlines the election process for board directors, their compensation, quorum requirements, and record-keeping protocols, addressing the need for transparency and efficiency in local economic governance.

Key provisions of VA HB2664 include the establishment of a chairman, vice-chairman, and optional secretary and treasurer from among the board members. While directors will not receive a salary, they may be compensated up to $200 per meeting or official representation, along with reimbursement for necessary expenses incurred while performing their duties. This provision aims to attract qualified individuals to serve on these boards without imposing a financial burden on local authorities.

The bill specifies that a quorum for conducting business will consist of four members for most boards, while certain authorities, such as those in Goochland and Powhatan counties, will require only three members. This adjustment is intended to facilitate smoother operations and decision-making processes, particularly in smaller jurisdictions.

Additionally, VA HB2664 mandates that detailed minutes of board proceedings be maintained and made available for public inspection, reinforcing the commitment to transparency. It also requires annual audits of financial transactions, with reports submitted to local governing bodies, ensuring accountability in the use of public funds.

Debate surrounding the bill has focused on the balance between adequate compensation for board members and the need for fiscal responsibility. Some lawmakers have expressed concerns about potential overreach in compensation, while others argue that fair remuneration is essential to attract skilled individuals to serve in these roles.

The implications of VA HB2664 are significant, as it seeks to enhance the operational effectiveness of economic development authorities, which play a crucial role in local economic growth and job creation. By streamlining governance and ensuring transparency, the bill aims to foster greater public trust and engagement in local economic initiatives.

As the legislative process unfolds, stakeholders will be closely monitoring discussions and potential amendments to the bill, which could shape the future of economic governance in Virginia. The next steps will involve committee reviews and potential votes, determining the bill's fate in the coming weeks.