Title of Regulation: 8VAC115-30. Richard Bland College Weapons on Campus Regulation (adding 8VAC115-30-10, 8VAC115-30-20, 8VAC115-30-30).

Statutory Authority: § 23-44 of the Code of Virginia.

Effective Date: February 7, 2012.

Agency Contact: J. Tyler Hart, Director of Institutional Effectiveness, Richard Bland College, 11301 Johnson Road, Petersburg, VA 23805, telephone (804) 863-2107, FAX (804) 862-6207, or email jhart@rbc.edu.

Summary:

The regulation establishes the weapons limitation policy at Richard Bland College.

CHAPTER 30
RICHARD BLAND COLLEGE WEAPONS ON CAMPUS REGULATION

8VAC115-30-10. Definitions.

The following words and terms when used in this chapter shall have the following meanings unless the context clearly indicates otherwise:

"College property" means any property owned, leased, or controlled by Richard Bland College of the College of William and Mary.

"Police officer" means law-enforcement officials appointed pursuant to Article 3 (§ 15.2-1609 et seq.) of Chapter 16 and Chapter 17 (§ 15.2-1700 et seq.) of Title 15.2, Chapter 17 (§ 23-232 et seq.) of Title 23, Chapter 2 (§ 29.1-200 et seq.) of Title 29.1, or Chapter 1 (§ 52-1 et seq.) of Title 52 of the Code of Virginia or sworn federal law-enforcement officers.

"Weapon" means any firearm or any other weapon listed in § 18.2-308 A of the Code of Virginia.

8VAC115-30-20. Possession of weapons prohibited.

Possession or carrying of any weapon by any person, except a police officer or an individual authorized pursuant to college policy, is prohibited on college property in academic buildings, administrative buildings, student residence and student life buildings, or dining or athletic facilities, or while attending an official college event, such as an athletic, academic, social, recreational [ , ] or educational event, or on vessels that are college property. Entry upon such college property in violation of this prohibition is expressly forbidden.

8VAC115-30-30. Person lawfully in charge.

In addition to individuals authorized by college policy, Richard Bland College police officers are lawfully in charge for the purposes of forbidding entry upon or remaining upon college property while possessing or carrying weapons in violation of this prohibition.

Title of Regulation: 10VAC5-40. Credit Unions (adding 10VAC5-40-70).

Statutory Authority: §§ 6.2-1303 and 12.1-13 of the Code of Virginia.

Effective Date: February 15, 2012.

Agency Contact: Werner Paul, Deputy Commissioner, Bureau of Financial Institutions, State Corporation Commission, P.O. Box 640, Richmond, VA 23218, telephone (804) 371-9698, FAX (804) 371-9416, or email werner.paul@scc.virginia.gov.

Summary:

The State Corporation Commission adopted a regulation to enable state-chartered credit unions that predominantly serve low-income members as defined in 12 CFR 701.34 to obtain a low-income designation. A low-income designated credit union has the following additional powers to the same extent, and subject to the same terms and conditions, as is authorized for federal credit unions that have obtained a low-income designation to: (i) accept nonmember deposits in accordance with 12 CFR 701.32 and 12 CFR 741.204; (ii) accept secondary capital in accordance with 12 CFR 701.34 and 12 CFR 741.204; (iii) participate in the Community Development Revolving Loan Program in accordance with 12 CFR Part 705; (iv) be eligible for an exception to the aggregate loan limit on member business loans in accordance with 12 CFR 723.17 and 12 CFR 723.18; and (v) obtain funds from the Community Development Financial Institutions Fund operated by the United States Department of the Treasury.

AT RICHMOND, FEBRUARY 3, 2012

COMMONWEALTH OF VIRGINIA, ex rel.

STATE CORPORATION COMMISSION

CASE NO. BFI-2011-00235

Ex Parte: In re: low-income
designated credit unions

ORDER ADOPTING A REGULATION

On November 28, 2011, the State Corporation Commission ("Commission") entered an Order to Take Notice of a proposal by the Bureau of Financial Institutions ("Bureau") to adopt a parity regulation that would give state-chartered credit unions the power to obtain a low-income designation so that they can take advantage of various benefits and resources that are currently available to federal credit unions that have obtained a low-income designation. The Order and proposed regulation were published in the Virginia Register of Regulations on December 19, 2011, posted on the Commission's website, and mailed to all state-chartered credit unions and other interested parties. State-chartered credit unions and other interested parties were afforded the opportunity to file written comments or request a hearing on or before January 6, 2012.

Comments on the proposed regulation were filed by the Virginia Credit Union League, Virginia Credit Union, Inc., Newport News Shipbuilding Employees' Credit Union, Inc. d/b/a BayPort Credit Union, Beacon Credit Union, Incorporated, Virginia Transfer and Storage Company, Virginians Against Payday Loans, and the Virginia Interfaith Center for Public Policy. All of the comment letters supported the proposed regulation. The Commission did not receive any requests for a hearing.

NOW THE COMMISSION, having considered the proposed regulation, the comments filed, the record herein, and applicable law, concludes that the proposed regulation should be adopted.

Accordingly, IT IS ORDERED THAT:

(1) The proposed regulation, as attached hereto, is adopted effective February 15, 2012.

(2) This Order and the attached regulation shall be posted on the Commission's website at http://www.scc.virginia.gov/case.

(3) The Commission's Division of Information Resources shall send a copy of this Order, including a copy of the attached regulation, to the Virginia Registrar of Regulations for publication in the Virginia Register of Regulations.

(4) This case is dismissed from the Commission's docket of active cases.

AN ATTESTED COPY hereof, together with a copy of the attached regulation, shall be sent by the Clerk of the Commission to the Commission's Office of General Counsel and the Commissioner of Financial Institutions, who shall send a copy of this Order and the attached regulation to all state-chartered credit unions and other interested parties designated by the Bureau.

10VAC5-40-70. Low-income designated credit unions.

A. Upon the filing and investigation of a written application, the Commissioner of Financial Institutions (commissioner) shall designate a state-chartered credit union as a low-income credit union if (i) the commissioner finds that a majority of the credit union's members qualify as low-income members as defined in 12 CFR 701.34 and (ii) the National Credit Union Administration concurs with the designation. If the application filed by a credit union is denied, the commissioner shall notify the credit union of the denial and the reasons for the denial.

B. A low-income designated credit union shall have the following additional powers to the same extent, and subject to the same terms and conditions, as is authorized for federal credit unions that have obtained a low-income designation pursuant to 12 CFR 701.34:

1. To accept nonmember deposits in accordance with 12 CFR 701.32 and 12 CFR 741.204.

2. To accept secondary capital in accordance with 12 CFR 701.34 and 12 CFR 741.204.

3. To participate in the Community Development Revolving Loan Program in accordance with 12 CFR Part 705.

4. To be eligible for an exception to the aggregate loan limit on member business loans in accordance with 12 CFR 723.17 and 12 CFR 723.18.

5. To obtain funds from the Community Development Financial Institutions Fund operated by the United States Department of the Treasury.

Whenever any of the federal regulations referenced in this subsection require a credit union to submit a written request, plan, application, or other documents to the National Credit Union Administration, the credit union shall send a copy of such written request, plan, application, or other documents to the commissioner.

C. The commissioner may at any time, based upon supervisory, legal, or safety and soundness considerations, impose additional terms or conditions upon a low-income designated credit union in conjunction with its exercise of any of the powers enumerated in subsection B of this section.

D. A low-income designated credit union shall submit written reports to the commissioner containing any information that the commissioner may require concerning the credit union's services to low-income members.

E. 1. If the commissioner determines that a low-income designated credit union no longer meets the criteria for the low-income designation, the commissioner shall notify the credit union in writing. The credit union shall, within five years, meet the criteria for the designation or comply with the regulatory requirements applicable to state-chartered credit unions that do not have a low-income designation. The designation shall remain in effect during the five-year period.

2. If a credit union is unable to qualify again for the designation but has secondary capital or nonmember deposits with a maturity beyond the five-year period, the commissioner may extend the time for the credit union to comply with regulatory requirements to allow the credit union to satisfy the terms of any account agreements.

3. Within 60 days of the date of the notice from the commissioner, a credit union may appeal the commissioner's determination that the credit union no longer meets the criteria for a low-income designation to the State Corporation Commission by filing a petition in accordance with its Rules of Practice and Procedure (5VAC5-20).

4. A low-income designation shall be removed by the commissioner with the concurrence of the National Credit Union Administration.

Title of Regulation: 11VAC10-20. Regulations Pertaining to Horse Racing with Pari-Mutuel Wagering (amending 11VAC10-20-20, 11VAC10-20-30, 11VAC10-20-190).

Statutory Authority: § 59.1-369 of the Code of Virginia.

Effective Date: March 27, 2012.

Agency Contact: David S. Lermond, Jr., Regulatory Coordinator, Virginia Racing Commission, 10700 Horsemen's Lane, New Kent, VA 23024, telephone (804) 966-7404, FAX (804) 966-7418, or email david.lermond@vrc.virginia.gov.

Summary:

The amendments change the requirement of having a human ambulance present at the racetrack during the exercising or training of Standardbred (Harness) horses and in two sections strike references to a form that no longer exists.

Part II
Licensure

11VAC10-20-20. Identification of applicant for owner's, owner-operator's, operator's license.

An application shall include, on a form prepared by the commission, the name, address, and telephone number of the applicant and the name, position, address, telephone number, and authorized signature of an individual to whom the commission may make inquiry.

11VAC10-20-30. Applicant's affidavit.

An application shall include, on a form prepared by the commission, an affidavit from the chief executive officer or a major financial participant in the applicant setting forth:

1. That application is made for a license to own, own-operate, or operate a horse racing facility at which pari-mutuel wagering is conducted;

2. That the affiant is the agent of the applicant, its owners, partners, members, directors, officers, and personnel and is duly authorized to make the representations in the application on their behalf. Documentation of the authority shall be attached;

3. That the applicant seeks a grant of a privilege from the Commonwealth of Virginia, and the burden of proving the applicant's qualifications rests at all times with the applicant;

4. That the applicant consents to inquiries by the Commonwealth of Virginia, its employees, the commission members, staff and agents, into the financial, character, and other qualifications of the applicant by contacting individuals and organizations;

5. That the applicant, its owners, partners, members, directors, officers, and personnel accept any risk of adverse public notice, embarrassment, criticism, or other circumstance, including financial loss, which may result from action with respect to the application and expressly waive any claim which otherwise could be made against the Commonwealth of Virginia, its employees, the commission, staff, or agents;

6. That the affiant has read the application and knows the contents; the contents are true to affiant's own knowledge, except matters therein stated as information and belief; as to those matters, affiant believes them to be true;

7. That the applicant recognizes all representations in the application are binding on it, and false or misleading information in the application, omission of required information, or substantial deviation from representations in the application may result in denial, revocation, suspension or conditioning of a license or imposition of a fine, or any or all of the foregoing;

8. That the applicant will comply with all applicable state and federal statutes and regulations, all regulations of the commission and all other local ordinances;

9. The affiant's signature, name, organization, position, address, and telephone number; and

10. The date.

11VAC10-20-190. Criteria for unlimited horse racing facilities.

A. Generally. Every license to conduct a horse race meeting with pari-mutuel wagering privileges, of 15 days or more in any calendar year is granted by the commission upon the condition that the licensee will conduct horse racing at its facility or meeting for the promotion, sustenance, and growth of a native industry in a manner consistent with the health, safety, and welfare of the people. The adequacy and sufficiency with which the licensee meets the criteria for the procedures, facilities, and equipment for conducting a horse race meeting of such duration shall rest with the commission.

1. Each licensee shall accept, observe, and enforce all federal and state laws, regulations of the commission, and local ordinances.

2. Each licensee shall at all time maintain its grounds and facilities so as to be neat and clean, painted and in good repair, with special consideration for the comfort and safety of the public, employees, other persons whose business requires their attendance, and for the health and safety of the horses there stabled.

3. Each licensee shall honor commission exclusions from the enclosure and eject immediately any person found within the enclosure who has been excluded by the commission and report the ejection to the commission. Whenever any licensee ejects a person from the enclosure, it shall furnish a written notice to the person ejected and shall report the ejection to the commission.

4. No later than 15 days before the first day of any race meeting, each licensee shall submit to the commission the most recent inspection reports issued by governmental authorities regarding the condition of facilities, sanitation, and fire prevention, detection, and suppression.

5. Each licensee shall provide the commission daily attendance reports showing a turnstile count of all persons admitted to the enclosure and the reports shall indicate the daily number of paid admissions, taxed complimentary admissions, and tax exempt admissions.

6. Each licensee shall furnish to the commission within three months of the closing of its fiscal year, three copies of its balance sheet and of its operating statement for the previous fiscal year with comparison to the prior fiscal year, the same duly sworn to by the treasurer of the association, and certified by an independent certified public accountant. The financial report shall be in the form as may be prescribed from time to time by the commission.

7. Each licensee shall maintain a separate bank account to be known as the "horsemen's account," with the amount of purse money statutorily mandated to be deposited in the account within 48 hours of the running of the race. Withdrawals from this account shall at all times be subject to audit by the commission, and the horsemen's bookkeeper in charge of the account shall be bonded:

a. All portions of purse money shall be made available when the stewards have authorized payment to the earners; and

b. No portion of purse money other than jockey fees shall be deducted by the licensee for itself or for another, unless so requested in writing by the person to whom such purse moneys are payable, or his duly authorized representative. Irrespective of whether requested, at the close of each race meeting the horsemen's bookkeeper shall mail to each owner a duplicate of each owner's account showing every deposit, withdrawal, or transfer of funds affecting such owner's account.

8. Each licensee shall remit to the commission within five days of the day on which the revenue for pari-mutuel taxes, admission taxes, and breeders' funds were collected. The remittance shall be accomplished by a direct deposit in a financial institution designated by the commission. On those days when the fifth day is a holiday or a weekend day, the payment must be made by the succeeding business day. At the close of each month in which racing is conducted, the licensee must report to the commission all deposits of taxes and breeders' funds for that month.

9. On each day that deposits are made by the licensee, a report must be filed with the commission containing the following recapitulation: total retainage, pari-mutuel tax; state and local admissions taxes; purse moneys; total breakage; and breeders' fund taxes.

10. Each licensee shall provide areas within the enclosure where publications, other informational materials, and tip sheets, may be sold to the public. All persons holding a tip sheet concession at the facility must possess a permit from the commission as vendors. Such vendor shall post in a conspicuous place the previous day's tip sheet and the outcome of the races. Such vendor shall deliver one copy of the tip sheet to a commission representative at least one hour before post time.

11. Each licensee shall supervise the practice and procedures of all vendors of food, horse feed, medication, and tack, who are licensed and have access to the stabling area. No licensee by virtue of this regulation shall attempt to control or monopolize proper selling to owners, trainers, or stable employees; nor shall a licensee grant a sole concession to any vendor of feed, racing supplies, or racing services.

12. Each licensee shall provide to the commission copies of all subordinate contracts, in the amount of $15,000 annual gross and above, entered into by the owner, owner-operator, or operator, and such contracts shall be subject to approval of the commission.

13. Each licensee shall submit to the commission each calendar year a request for live racing days for the next calendar year as provided in 11VAC10-20-200. The holder of an unlimited license shall schedule not less than 150 days live racing days in the Commonwealth each calendar year; however, the commission may alter the number of live racing days based on what it deems to be in the best interest of the Virginia horse industry.

14. Each licensee shall post in a conspicuous place in every place where pari-mutuel wagering is conducted a sign that bears a toll-free telephone number for "Gamblers Anonymous" or other organization that provides assistance to compulsive gamblers.

B. Facilities. Each unlimited licensee shall provide all of the facilities for the conduct of horse racing so as to maintain horse racing of the highest quality and free of any corrupt, incompetent, or dishonest practices and to maintain in horse racing complete honesty and integrity.

1. Each licensee shall provide for flat racing a main racing surface of at least one mile in circumference; for flat or jump racing on the turf a racing surface of at least seven-eighths of a mile in circumference; for harness racing a main racing surface of at least five-eighths of a mile in circumference; and for other types of racing a racing surface of generally accepted standards.

a. Prior to the first race meeting at a facility owned or operated by the holder of an unlimited license, the licensee shall provide to the commission a certified report of a qualified surveyor, certifying the grade and measurement of the distances to be run.

b. Distances to be run shall be measured from the starting line at a distance three feet out from the inside rail.

c. The surveyor's report must be approved by the commission's executive secretary prior to the first race day of the meeting.

2. Turf course requirements include the following:

a. The licensee shall maintain an adequate stockpile of growing medium, and shall provide an irrigation system or other means of adequately watering the entire turf course evenly.

b. All turf course paths from inside rails to turf courses shall resemble the rest of the terrain, with no rails leading from the main course to the turf courses.

c. A portable rail shall be secure to absorb the impact of a horse.

3. Main track requirements include the following:

a. Each licensee shall provide a safety rail on the inside of each racing surface and such other fencing that is appropriate to safely enclose the racing surface for horses and riders.

b. The rail height shall be from 38 inches to 42 inches from the top of the cushion to the top of the rail. All top rails shall be bolted to poles and shall be smooth with no jagged edges. Rail posts shall be of a gooseneck type design and shall have no less than a 24-inch overhang with a continuous smooth elevated cover over posts.

c. All rails shall be constructed of materials designed to withstand the impact of a horse running at racing speed.

d. All rail posts shall be set in concrete at least six inches below the surface and 24 inches deep. A portable turf rail shall be secure to absorb the impact of a horse. No rail or post shall be used that will not take the impact of a horse or will break away, such as fiberglass, PVC, wood or hedges.

e. The design and construction of rails shall be approved by the commission prior to the first race meeting at the racetrack.

4. Each licensee shall provide distance poles marking off the racing surface and the poles shall be painted in the following colors: quarter poles, red and white; eighth poles, green and white; and sixteenth poles, black and white. All distance poles, including photofinish mirror imaging equipment and any other equipment, shall be set back a minimum of 10 feet from the back of the inside rail.

5. Each licensee shall provide racing surfaces whose construction, elevation, and surfaces have received scientific approval as safe and humane, adequate and proper equipment to maintain the racing surface, and sufficient trained personnel to properly operate the equipment. Daily records of maintenance shall be open for inspection.

6. Each licensee shall provide stabling in a sufficient amount to conduct a successful horse race meeting. The horses shall be quartered in individual stalls with separate feeding and watering facilities. Each barn, including the receiving barn, shall have a hot and cold water supply available, be well-ventilated, have proper drainage to prevent standing water and be constructed to be comfortable in all seasons during which racing is conducted.

7. Each licensee shall provide a stabling area that is maintained in approved sanitary condition with satisfactory drainage, manure, and other refuse kept in separate boxes or containers distant from living quarters, and the boxes or containers promptly and properly removed.

8. Each licensee shall provide a systematic and effective insect control program and programs to eliminate hazards to public health and comfort in the stabling area and throughout the enclosure.

9. Each licensee shall provide satisfactory living quarters for persons employed in the stabling area as well as satisfactory commissary, recreation, and lavatory facilities, and maintain the facilities in a clean and sanitary manner. No employee shall be permitted to sleep in any stall or barn loft.

10. Each licensee shall provide on every racing day satisfactory sanitary toilets and wash rooms, and furnish free drinking water for patrons and persons having business within the enclosure.

11. Each licensee shall provide a paddock where the horses are assembled prior to the post parade. Each licensee shall provide a public viewing area where patrons may watch the activities in the paddock. Each licensee shall also provide a sufficient number of roofed stalls so that horses may be housed during inclement weather.

12. Each licensee shall provide satisfactory facilities for jockeys or drivers who are participating in the day's program. The facilities shall include accommodations for rest and recreation, showers, toilets, wash basins, reducing facilities (sauna or steam room), arrangements for safe keeping of apparel and personal effects, and snack bar during horse race meetings.

13. Each licensee shall maintain an information desk where the public may make complaints regarding the facilities, operations of the licensee, or rulings of the commission. The licensee shall respond promptly to complaints, and inform the commission regarding any alleged violation of its regulations.

14. Each licensee shall maintain a test barn for use by commission employees in securing from horses that have run a race, samples of urine, saliva, blood, or other bodily substances for chemical analysis. The test barn shall include a wash rack, commission veterinarian office, a walking ring, and a sufficient number of stalls each equipped with a window sufficiently large to allow the taking of samples to be witnessed from outside the stall. The test barn shall be located convenient to the racing surface and shall be enclosed by a fence so that unauthorized persons shall be excluded. Space shall be provided for signing in and signing out of permittees whose attendance is required in the test barn.

15. Each licensee shall maintain a receiving barn conveniently located for use by horses arriving for races that are not quartered in the stabling area. The licensee shall have a sufficient number of stalls to accommodate the anticipated number of horses, hot and cold running water, and stall bedding. The licensee shall maintain the receiving barn in a clean and sanitary manner.

16. Each licensee shall provide and maintain lights so as to ensure adequate illumination in the stabling area and parking area. Adequacy of track lighting for night racing shall be determined by the commission.

17. Each licensee shall provide and maintain stands commanding an uninterrupted view of the entire racing surface for the stewards with the location to be approved by the commission. The licensee shall provide patrol judge stands so that the floor shall be at least six feet higher than the track rail. For harness racing, each licensee shall provide space for a patrol judge in the mobile starting gate that will accompany the horses during the race.

18. Each licensee shall furnish office space, approved by the commission, for the commission's use within the enclosure and an appropriate number of parking spaces so that its members and staff may carry out their duties.

19. Each licensee shall submit to the commission, at least 30 days prior to the opening day of a meeting, a complete list of its racing officials, as set forth elsewhere in these regulations, and department heads. No person shall hold any appointment for a horse race meeting unless approved by the commission after determination that the appointee is qualified for his duties, not prohibited by any law of the Commonwealth of Virginia or regulation of the commission, and eligible to hold a permit issued by the commission.

20. Each licensee shall provide a condition book, or for harness racing, a condition sheet, listing the proposed races for the upcoming racing days and prepared by the racing secretary, to the commission at least one week prior to opening day. Additional condition books or condition sheets shall be provided to the commission as soon as published.

21. No licensee shall allow any person to ride in a race or exercise any horse within the enclosure unless that person is wearing a protective helmet with the chin strap buckled. For flat racing, the term "exercising" is defined to include breezing, galloping, or ponying horses.

22. Each licensee shall employ at least three outriders for flat and steeplechase racing and at least one outrider for harness racing, to escort starters to the post and to assist in the returning of all horses to the unsaddling area for flat races. No outrider shall lead any horse that has not demonstrated unruliness, but shall assist in the control of any horse that might cause injury to a jockey or driver or others. During racing hours, outriders will wear traditional attire. For flat race meetings, outriders shall be required to be present on the racing strip, mounted, and ready to assist in the control of any unruly horse or to recapture any loose horse, at all times when the track is open for exercising.

23. Each licensee shall employ for flat meets a sufficient number of valets to attend each jockey on a day's program. Valets will be under the immediate supervision and control of the clerk of scales. Each licensee shall provide uniform attire for valets who shall wear the uniform attire at all times while performing their duties within public view.

24. No licensee shall allow any person to ride in a race or to exercise any horse within the enclosure unless that person is wearing a protective safety vest. The vest shall be designed to provide shock-absorbing protection to the upper body of at least a rating of five as defined by the British Equestrian Trade Association (BETA).

C. Equipment. Each unlimited licensee shall provide all of the equipment for the conduct of horse racing so as to maintain horse racing of the highest quality and free of any corrupt, incompetent, dishonest, or unprincipled practices, and to maintain in horse racing complete honesty and integrity.

1. Each licensee shall maintain at least two operable starting gates for flat meetings and two operable mobile starting gates for harness racing. The licensee shall have in attendance one or more persons qualified to keep the starting gates in good working order and provide for periodic inspection. For flat meetings, the licensee shall also make at least one starting gate along with adequate personnel available for schooling for two hours each day during training hours, exclusive of nonrace days. For flat race meetings, the licensee shall have an adequate number of assistant starters to ensure the integrity of the start and to provide safe conditions for horse and rider. If a flat race is started at a place other than in a chute, the licensee shall maintain in good operating condition backup equipment for moving the starting gate. The backup equipment must be immediately available to replace the primary moving equipment in the event of failure. For harness racing meetings, a mobile starting gate shall be made available for qualifying races and schooling.

2. Each licensee shall maintain photo-finish equipment to assist the stewards and placing judges, where employed for flat race meetings, in determining the order of finish of each race. The licensee shall provide two electronic photofinish devices with mirror images to photograph the finish of each race. The location and operation of the photofinish devices must be approved by the commission before its first use in a race. The licensee shall ensure that the photofinish devices are calibrated before the first day of each race meeting and at other times as required by the commission. The standards and operations of the photo-finish camera as well as the methodology of the personnel shall be subject to the approval of the stewards:

a. The photo-finish photographer shall promptly furnish the stewards and placing judges prints as they are requested, and the photographer will promptly inform the stewards and placing judges of any malfunction of his equipment;

b. A print of a photo finish where the placing of horse is a half of length or less shall be displayed either by posting copies of the print or video means to the public promptly after the race has been declared "official"; and

c. Each licensee shall be responsible for maintaining a file of photo finishes of all races for one year after the closing of the horse race meeting.

3. Each licensee shall provide color video tape recordings of the running of each race clearly showing the position and actions of the horse and jockeys or drivers at close range. Each licensee shall provide at least three cameras to record panoramic and head-on views of the race. One camera shall be located on the finish line:

a. Promptly after a race has been declared "official," video tape recordings shall be replayed for the benefit of the public. In those races where there was a disqualification, video tapes of the head-on views may also be shown with an explanation by the public address announcer.

b. The licensee shall safeguard the tapes of all videotapes for one year after the close of the horse race meeting and promptly deliver to the commission copies of videotapes of those races where there has been an objection, inquiry, protest, or disqualification.

c. The stewards may, in their discretion, direct a video camera operator to videotape the activities of any horses or persons handling horses prior to, during or following a race.

4. Each licensee shall provide an electronic timing system. The system shall have the capability of timing the leading horse in at least hundredths of a second. Each licensee shall also provide a qualified person to manually time each race, including splits of each quarter of a mile, in the event of a malfunction of the electronic system.

5. Each licensee shall provide an internal communication system which links the stewards' stand, racing secretary's office, pari-mutuel department, jockeys' or drivers' room, paddock, test barn, commission veterinarian's office, starting gate, film patrol office, ambulances, public address announcer, patrol judges, and any other personnel designated by the commission.

6. Each licensee shall provide a public address system whereby calls of the races and other pertinent information may be communicated to the public. This system shall be utilized by a qualified person, and the system shall have the capability of transmitting throughout the stabling area.

7. Each licensee shall provide a totalizator and employ qualified personnel to operate the system, provide maintenance of the hardware, software, and ancillary wagering devices, and be able to perform emergency repairs in case of emergencies. The licensee shall also provide a mutuel board in the infield where approximate odds, amounts wagered in the win, place, and show pools on each betting interest, and other pertinent information may be prominently displayed to the public:

a. The totalizator shall maintain at least two independent sets of pool totals and compare them at least once every 60 seconds. The totalizator shall record in a system log file any difference in the final pool totals;

b. The totalizator shall have the capability of calculating the mutuel pools, approximate odds, probable payoffs and display them to the public at intervals of not more than 60 seconds;

c. The totalizator shall have the capability of being locked and wagering terminated automatically at the command of a steward. Any failure of the system to lock at the start of the race shall be reported immediately by the mutuel manager to the stewards;

d. The totalizator shall have the capability of displaying the probable payouts on various combinations in the daily double, exacta, and quinella wagering, and displaying the payoffs to the public;

e. The totalizator shall have the capability of recording the wagering by individual wagers, including the amount wagered, the betting interest, and the mutuel window where the wager was placed. The records of the wagering shall be promptly made available to the commission upon request. The licensee shall preserve the records of the wagering for one year after closing of the horse race meeting. The records shall not be destroyed without permission of the commission;

f. The personnel operating the totalizator shall report immediately to the stewards any malfunction in the system, or what they perceive to be any unusual patterns in the wagering;

g. The totalizator personnel shall make available to the commission any special reports or requests that may assist the commission in carrying out its statutory duties and responsibilities for the conduct of horse racing; and

h. The commission may require an independent certified audit of the totalizator's software attesting to the accuracy of its calculations and the integrity of its accounting processes.

8. Each licensee shall provide at least one human ambulance and at least one equine ambulance within the enclosure at all times during those hours when the racing and training surface is open for racing and exercising. However, a human ambulance shall not be required to be present during the exercising of Standardbred horses. The ambulances shall be manned and equipped to render immediate assistance, and shall be stationed at a location approved by the stewards.

a. The equine ambulance must be a covered vehicle that is low to the ground and large enough to accommodate a horse in distress. The equine ambulance must be able to navigate on the racetrack during all weather conditions and transport a horse outside the enclosure.

b. The equine ambulance must be equipped with large portable screens to shield a horse from public view, ramps to facilitate loading a horse, adequate means of loading a horse that is down, a rear door and a door on each side, a padded interior, a movable partition to initially provide more room to load a horse and to later restrict a horse's movement, a shielded area for the person who is attending to the horse, and an adequate area for the storage of water and veterinary medicines and equipment.

c. A licensee shall not conduct a race unless an equine ambulance or a commission veterinarian-approved substitute is readily available.

d. The equine ambulance, its supplies and attendants, and the operating procedures for the vehicle must be approved by the commission veterinarian.

e. The licensee shall maintain a properly equipped human ambulance, staffed with certified paramedics at any time the racetrack is open for racing or exercising horses. However, a human ambulance shall not be required to be present during the exercising of Standardbred horses. If the ambulance is being used to transport an individual, horses may not be raced or exercised until the ambulance is replaced.

f. Unless otherwise approved by the stewards, a human ambulance shall follow the field at a safe distance during the running of races, or in the event of inclement weather, two ambulances shall be parked to render immediate service. The human ambulance must be parked at an entrance to the racing surface unless the ambulance is being used to transport a person or when it is following the field during the running of a race.

g. During a racing day, the licensee shall maintain a first aid room equipped with at least two beds and other appropriate equipment, and the services of at least one physician during flat race meetings.

9. Each licensee shall maintain lighting for the racetrack and the patron facilities that is adequate to ensure the safety and security of the patrons, participants and horses. Lighting to ensure the proper operation of the videotape and photofinish devices must be approved by the commission.

a. The licensee shall maintain adequate additional lighting in the stable area as required by the commission.

b. If racing is conducted at night, the licensee shall maintain a backup lighting system that is sufficient to ensure the safety of patrons, participants and horses.

D. Safety. Each unlimited licensee shall employ sufficient trained personnel to provide for the safety and security of the public and others who have business within the enclosure. Each licensee shall also take all measures to prevent the outbreak of fires within the enclosure and develop plans for the quick extinguishing of any fires that should occur.

1. Each licensee shall provide sufficient trained security personnel under the supervision of a qualified director of security. If the licensee contracts with a private security service, the security service must be bonded and meet all applicable licensing requirements. If the licensee establishes its own security force, then director of security shall forward to the commission detailed plans for the screening, hiring, and training of its own personnel.

2. The director of security of each licensee shall cooperate fully with the commission and its staff, federal and state law enforcement agencies, local police and fire departments, and industry security services to enforce all laws and regulations to ensure that horse racing in the Commonwealth of Virginia is of the highest integrity.

3. Each licensee shall develop a detailed security plan describing the equipment, i.e., fences, locks, alarms, and monitoring devices; the procedures to admit persons to restricted areas, i.e., stabling area, paddock, jockeys' or drivers' room, vault, mutuel lines, totalizator room, and test barn; and the trained personnel in sufficient numbers to provide for the safety and security of all persons during racing and nonracing hours.

4. Each licensee may provide a perimeter fence around the entire enclosure, but shall fence off the stabling area. The entrance to the stabling area shall be guarded on a 24-hour basis by uniformed security personnel so that unauthorized persons shall be denied access to the restricted stabling area. The licensee shall also provide for routine patrolling by uniformed security personnel on a 24-hour basis within the stabling area.

5. During racing hours, the licensee shall provide uniformed security personnel to guard the entrances to the paddock, jockeys' or drivers' room, stewards' stand, and other restricted areas as may be deemed appropriate by the commission so that unauthorized persons shall be denied access to them.

6. The licensee's director of security shall submit to the commission and Virginia State Police a written report describing every arrest or completed incident of security investigation or rule violation including the person charged, the charges against the person, the present whereabouts of the person, and disposition of the charges, if any.

7. The licensee's director of security shall submit to the commission a detailed plan describing the procedures to be followed in case of fire or any other emergency within the enclosure. The plan shall contain the resources immediately available within the surrounding communities to cope with fire or other emergencies, route of evacuation for the public, controlling traffic, and those resources available from the surrounding communities for police, fire, ambulance, and rescue services.

8. Each licensee shall observe and enforce all state and local building codes and regulations pertaining to fire prevention, and shall prohibit the following:

a. Smoking in horse stalls, feed rooms, or under the shedrow;

b. Open fires and oil or gasoline burning lanterns or lamps in the stable area;

c. The unsafe use of electrical appliances or other devices which would pose a hazard to structures, horses, permittees, or the public; and

d. Keeping flammable materials including cleaning fluids or solvents in the stabling area.

FORMS (11VAC10-20)

Unlimited License Application.

Authorization for Release of Personal Information (eff. 03/00).

Title of Regulation: 11VAC10-50. Racing Officials (amending 11VAC10-50-60).

Statutory Authority: § 59.1-369 of the Code of Virginia.

Effective Date: March 27, 2012.

Agency Contact: David S. Lermond, Jr., Regulatory Coordinator, Virginia Racing Commission, 10700 Horsemen's Lane, New Kent, VA 23024, telephone (804) 966-7404, FAX (804) 966-7418, or email david.lermond@vrc.virginia.gov.

Summary:

The amendment changes the requirement of having at least three patrol judges for Thoroughbred racing to a sufficient number of patrol judges as approved by the commission.

11VAC10-50-60. Patrol judge.

The licensee shall appoint a sufficient number of qualified persons to act as patrol judges for the race meeting. For flat and jump race meetings, the licensee shall appoint at least three patrol judges a sufficient number of patrol judges as approved by the commission, and for Standardbred race meetings, a single patrol judge shall ride in the mobile starting gate. Among the duties of the patrol judge are:

1. Reporting, particularly as to any suspected violation of these regulations, during the running of each race to the stewards through radio or telephone communication;

2. Writing a report of their observations of every race, and documenting all violations of these regulations that they observed during the running of the race. These reports shall be delivered to the stewards at the conclusion of each day of racing;

3. Assisting the stewards in making a determination of an objection, inquiry or protest of the running of a race;

4. Assisting the stewards in making up a list of participants in each race to review the films before the commencement of the next succeeding day of racing; and

5. Notifying the stewards of any objection lodged by a driver after a Standardbred race, and the mobile starting gate shall be positioned so that drivers can promptly lodge objections with the patrol judge.

FORMS (11VAC10-50)

Application for Racing Officials.

Application for Participants (rev. 02/07).

Title of Regulation: 11VAC10-130. Virginia Breeders Fund (amending 11VAC10-130-40, 11VAC10-130-51, 11VAC10-130-52).

Statutory Authority: § 59.1-369 of the Code of Virginia.

Effective Date: March 27, 2012.

Agency Contact: David S. Lermond, Jr., Regulatory Coordinator, Virginia Racing Commission, 10700 Horsemen's Lane, New Kent, VA 23024, telephone (804) 966-7404, FAX (804) 966-7418, or email david.lermond@vrc.virginia.gov.

Summary:

The amendments increase the amount of registration fees for nonmembers of the Virginia Thoroughbred Association by $100 for each horse that is registered for the Virginia Breeders Fund.

11VAC10-130-40. Stallion registration.

A. Initial registration. For a stallion owner to be certified to receive stallion owner awards from the Virginia Breeders Fund, the stallion owner shall register his stallion with the commission or its designee by satisfying the following requirements:

1. Each year prior to the commencement of the breeding season, but no later than January 31, or within 30 days following the entry into stud in Virginia if entry is after the breeding season commences, the owner or authorized agent shall submit an application on a form approved by the commission that shall set forth the name of the stallion, year of foaling, registration number, pedigree, including sire, dam and sire of the dam, where the stallion is standing at stud, the date of entry to stud if after the commencement of the breeding season, and the names and addresses of owners and lessees;

2. The application shall be signed and dated by the owner or lessee, or the authorized agent;

3. A notarized copy of the stallion's Certificate of Foal Registration, clearly showing the front and transfer side of the document, shall accompany the application;

4. If the stallion is held under a lease or a syndicate agreement, a copy of the lease or agreement shall accompany the application, and the lease or agreement must include a statement that the lessee or syndicate manager is authorized to sign the service certificate and receive stallion awards; and

5. The owner or authorized agent shall submit to the commission or its designee a notarized copy of The Jockey Club's Report of Mares Bred at the conclusion of the breeding season but no later than August 1.

B. Registration fees. A stallion may be registered with the commission or its designee for the breeding season after January 31 or 30 days following its entry into stud in Virginia. A registration fee of $100 for current members of the Virginia Thoroughbred Association (VTA) and $200 for non-VTA members shall accompany the application. A late registration fee of $250 for current VTA members and $350 for non-VTA members shall be assessed. A late registration of a stallion shall be accepted by the commission or its designee until August 1 for that breeding year.

C. Change of ownership. If there is a change in ownership or the stallion is subsequently leased or syndicated or the location of where the stallion is standing is changed, the new owner, lessee or syndicate manager shall submit to the commission or its designee a new application for stallion registration.

11VAC10-130-51. Foal registration.

A. Requirements. For an owner or lessee of a dam to be certified to receive breeder awards from the Virginia Breeders Fund, the owner or lessee must register his foal with the commission or its designee by satisfying the following requirements:

1. The owner, lessee or his authorized agent must submit an application on a form approved by the commission, including the name of the stallion; the name of the dam; the sire of the dam; the sex; color; year of birth; the location of foaling; and name, address and telephone number of the owner, lessee or his authorized agent;

2. The application must be signed and dated by the owner, lessee, or his authorized agent;

3. If the dam is held under a lease, a statement to that effect and a copy of the lease which must include a statement that the lessee is authorized to register the foal must accompany the application;

4. If the dam of the foal was not bred to a Virginia Thoroughbred sire or is not bred back to a Virginia Thoroughbred sire, then the owner, lessee or his authorized agent must sign the affidavit stating that the dam has been domiciled in the Commonwealth of Virginia from September 1 of the preceding year to February 1; and

5. As of September 1, 1999, all Virginia-bred Thoroughbred horses must be registered with the commission or its designee prior to being entered in any race at race meeting designated by the commission for purse supplements or awards from the Virginia Breeders Fund.

B. Registration fees. A foal may be registered by December 31 of its year of foaling by submitting a $25 fee for current members of the Virginia Thoroughbred Association (VTA) and $125 for non-VTA members that must accompany the application for foal registration. A yearling may be registered by December 31 of its yearling year by submitting a $50 fee for current VTA members and $150 for non-VTA members that must accompany the application for foal registration. A two-year-old or older may be registered by submitting a $200 fee for current VTA members and $300 for non-VTA members which must accompany the application for foal registration.

11VAC10-130-52. Virginia-Sired Thoroughbreds.

A Virginia-sired Thoroughbred may be registered with the commission or its designee by submitting a $25 fee for current members of the Virginia Thoroughbred Association (VTA) and $125 for non-VTA members that must accompany an application for registration in the Virginia Breeders Fund. The payment of the registration fee and filing of the application shall occur prior to entry in any race at a race meeting designated by the commission. Such registration shall entitle the horse to entry into races restricted to Virginia-bred Thoroughbreds and purse supplements, but shall not entitle a Virginia-sired Thoroughbred to other awards from the Virginia Breeders Fund.

FORMS (11VAC10-130)

Stallion Registration for the Year 20___ (eff. 10/00).

Application for Registration of Virginia-Bred Thoroughbred (eff. 8/99).

Standardbred Foal Registration for 2000 (eff. 10/00).

2-Year-Olds, Virginia-Bred Standardbred Registration Form, 2000 (eff. 10/00).

3-Year-Olds, Virginia-Bred Standardbred Registration Form, 2000 (eff. 10/00).

Virginia Breeders Fund Application for Registration of a Virginia Thoroughbred Stallion (rev. 03/12).

Virginia Breeders Fund Application for Registration of a Virginia-Bred Thoroughbred (rev. 03/12).

Virginia Breeders Fund Application for Registration of a Virginia-Sired Thoroughbred (rev. 03/12).

Standardbred Foal Registration Form (rev. 02/12).

2 Year Olds Virginia Breeders Fund Virginia-Bred Standardbred Registration Form (rev. 02/12).

3 Year Olds Virginia Breeders Fund Virginia-Bred Standardbred Registration Form (rev. 02/12).

Title of Regulation: 12VAC35-220. Certification Requirements for Early Intervention Professionals, Early Intervention Specialists, and Early Intervention Case Managers (amending 12VAC35-220-10, 12VAC35-220-30, 12VAC35-220-50, 12VAC35-220-80, 12VAC35-220-90; adding 12VAC35-220-35).

Statutory Authority: § 2.2-5304 of the Code of Virginia.

Effective Dates: February 14, 2012, through February 13, 2013.

Agency Contact: Catherine Hancock, Part C Administrator, Department of Behavioral Health and Developmental Services, 1220 Bank Street, Richmond, VA 23218-1797, telephone (804) 371-6592, FAX (804) 371-7959, or email catherine.hancock@dbhds.virginia.gov.

Preamble:

The proposed emergency regulations are mandated by Item 304 Q of Chapter 890 of the 2011 Acts of Assembly and provide requirements for the certification of early intervention case managers who may provide early intervention services and support to children and their families under the federal Part C program.

These regulations provide specific requirements for certification of practitioners as early intervention case managers under Virginia's early intervention services system. Section 2.2-5304 of the Code of Virginia designates the department as the state lead agency responsible for implementing Virginia's early intervention services system and ensuring compliance with the applicable federal requirements. The goal of these regulations is to ensure the competence of early intervention service providers under the authority granted to the lead agency. The regulations are also intended to provide the basis for the department to certify qualified practitioners of early intervention services so that they may be enrolled as service providers and receive reimbursement under the Medicaid State Plan. The department consulted with the Department of Medical Assistance Services in developing these regulations.

This regulatory action is required by legislation and will provide a means to ensure that providers have the appropriate credentials to provide and obtain reimbursement for services to children with developmental delays and their families. The proposed regulatory requirements have been developed to reflect professional practice standards in the field and provide a framework for the department to provide oversight as the lead agency for Virginia's early intervention services system. These regulations will help to ensure that providers have the expertise to effectively address the needs of Virginia's children with developmental delays and their families under the federal Part C program and are therefore essential to protect health, safety, and welfare of this vulnerable population.

The proposed regulations also will allow for expanded reimbursement for early intervention services under Medicaid, thereby maximizing the availability of federal and state funding under Part C of the Individuals with Disabilities Education Act.

CHAPTER 220
CERTIFICATION REQUIREMENTS FOR EARLY INTERVENTION PROFESSIONALS AND, EARLY INTERVENTION SPECIALISTS, AND EARLY INTERVENTION CASE MANAGERS

12VAC35-220-10. Authority and applicability.

A. Pursuant to § 2.2-5304 of the Code of Virginia, the Governor has designated the Department of Behavioral Health and Developmental Services as the state lead agency responsible for implementing the Virginia early intervention services system and ensuring compliance with federal requirements. These regulations are necessary to ensure the competence for early intervention services system practitioners under the authority granted to the lead agency.

B. Individual providers of early intervention services under the Medicaid State Plan must be certified by the Department of Behavioral Health and Developmental Services as qualified to provide certain early intervention professionals or early intervention specialists services. These regulations provide certification requirements for these early intervention professionals and early intervention specialists providers.

12VAC35-220-30. Certification required for the provision of early intervention services professionals and early intervention specialists.

A. Individual practitioners of early intervention services, with the exception of physicians, audiologists, and registered dietitians, shall be certified by the department as early intervention professionals or early intervention specialists.

B. Certified early intervention professionals shall have expertise in a discipline trained to enhance the development of children with a disability, as evidenced by state licensure, including application for state licensure if the discipline authorizes practice in Virginia while the application is pending and the individual practitioner meets all applicable requirements for such practice; state endorsement; or certification by a national professional organization. Qualified personnel in the following disciplines may seek certification from the department as early intervention professionals:

1. Counselors:

a. Licensed professional counselors licensed by the Virginia Board of Counseling; and

b. School counselors (Pre K - 12) endorsed by the Virginia Board of Education;

2. Educators:

a. Educators licensed by the Virginia Board of Education with endorsement in Special Education - Early Childhood (Birth - 5);

b. Educators licensed by the Virginia Board of Education with endorsement in Early/Primary Education (Pre K - 3);

c. Educators licensed by the Virginia Board of Education with endorsement in Career and Technical Education - Family and Consumer Services;

d. Educators licensed by the Virginia Board of Education with endorsement in Special Education - Hearing Impairments (Pre K - 12);

e. Educators licensed by the Virginia Board of Education with endorsement in Special Education - Visual Impairments (Pre K - 12); and

f. Educators with a technical professional license issued by the Virginia Board of Education in Career and Technical Education - Family and Consumer Sciences;

3. Family and consumer science professionals certified through the American Association of Family and Consumer Sciences (AAFCS). Individuals certified by the AAFCS after June 30, 2009, shall meet certification requirements in family and consumer sciences - human development and family studies;

4. Marriage and family therapists licensed by the Virginia Board of Counseling;

5. Music therapists certified by the Certification Board for Music Therapists (CBMT);

6. Nurses:

a. Nurse practitioners licensed by the Virginia Board of Nursing; and

b. Registered nurses licensed by the Virginia Board of Nursing;

7. Occupational therapists licensed by the Virginia Board of Medicine;

8. Orientation and mobility specialists certified by the National Blindness Professional Certification Board as a National Orientation and Mobility Certificant (NOMC) or certified by the Academy for Certification of Vision Rehabilitation and Education Professionals (ACVREP) as a Certified Orientation and Mobility Specialist (COMS);

9. Physical therapists licensed by the Virginia Board of Physical Therapy;

10. Psychologists:

a. Applied psychologists licensed by the Virginia Board of Psychology;

b. Clinical psychologists licensed by the Virginia Board of Psychology; and

c. School psychologists licensed by the Virginia State Board of Education with an endorsement in school psychology;

11. Social workers:

a. Licensed clinical social workers licensed by the Virginia Board of Social Work; and

b. School social workers licensed by the Virginia State Board of Education with an endorsement as a school social worker;

12. Speech-language pathologists licensed by the Virginia Board of Audiology and Speech-Language Pathology; and

13. Therapeutic recreation specialists certified by the National Council on Therapeutic Recreation.

C. Certified early intervention specialists shall hold a minimum of a high school diploma or general equivalency diploma. Qualified personnel in the following disciplines may seek certification from the department as early intervention specialists:

1. Early intervention assistants whose qualifications have been approved by the Department of Behavioral Health and Developmental Services;

2. Licensed social workers licensed by the Virginia Board of Social Work;

3. Nurses:

a. Certified nurse aides certified by the Virginia Board of Nursing; and

b. Licensed practical nurses licensed by the Virginia Board of Nursing;

4. Occupational therapy assistants licensed by the Virginia Board of Medicine; and

5. Physical therapy assistants licensed by the Virginia Board of Physical Therapy.

D. Certified early intervention professionals and certified early intervention specialists shall demonstrate knowledge of early intervention principles and practices, including infant and toddler development, family-centered practice and multidisciplinary team practice, by successful completion of the early intervention principles and practices online training modules administered by the department. A score of at least 80% accuracy on each module's competency test shall be required for successful completion.

12VAC35-220-35. Certification required for early intervention case managers.

A. Individual practitioners of case management services who provide service coordination to children enrolled in early intervention services shall be certified by the department as early intervention case managers.

B. Certified early intervention case managers shall hold:

1. A minimum of an undergraduate degree in any of the following fields:

a. Allied health, including rehabilitation counseling, recreation therapy, occupational therapy, physical therapy, or speech or language pathology;

b. Child and family studies;

c. Counseling;

d. Early childhood;

e. Early childhood growth and development;

f. Early childhood special education;

g. Human development;

h. Human services;

i. Nursing;

j. Psychology;

k. Public health;

l. Social work;

m. Special education - hearing impairments;

n. Special education - visual impairments; or

o. Other related field or interdisciplinary studies approved by the department;

2. An associate degree in a related field such as occupational therapy assistant, physical therapy assistant, or nursing; or

3. A high school diploma or general equivalency diploma, or an undergraduate degree in an unrelated field, plus three years' experience coordinating direct services to children and families and implementing individual service plans. Direct services address issues related to developmental and physical disabilities, behavioral health or educational needs, or medical conditions. Experience may include supervised internships, practicums, or other field placements.

C. Qualified persons shall demonstrate:

1. Expertise in the provision of case management services, as evidenced by successful completion of training approved by the department. A score of at least 80% accuracy on the training competency test or tests shall be required for successful completion.

2. Knowledge of early intervention principles and practices, including infant and toddler development, and family-centered practice and multidisciplinary team practice, as evidenced by successful completion of the early intervention principles and practices online training modules administered by the department. A score of at least 80% accuracy on each module's competency test shall be required for successful completion.

12VAC35-220-50. Initial certification and recertification processes.

A. Initial certification. To apply for initial certification as an early intervention professional, or early intervention specialist, or early intervention case manager, practitioners shall:

1. Obtain the designated early intervention certification application package from the department; and

2. Submit a completed and signed application package to the department with:

a. A signed assurance that the practitioner will comply with all federal and state early intervention requirements;

b. Documentation of the practitioner's educational credentials, professional certification, licensing, endorsement, or other qualification for the practice of his profession in the Commonwealth of Virginia; and

c. Documentation of the practitioner's successful completion of the early intervention principles and practices training administered required by the department.

Any initial certification granted to individuals who have made application for state licensure and are awaiting licensure shall be valid only as long as that individual meets the requirements of their discipline to practice in Virginia.

B. Three-year recertification. At least 30 days prior to the expiration of the practitioner's certification period, the certified early intervention professionals and certified early intervention specialists practitioner shall submit an application for recertification to the department. This application shall include:

1. Documentation of the practitioner's continuing professional certification, licensing, endorsement, or other qualification for the practice of his profession in the Commonwealth of Virginia, and

2. Documentation that the practitioner has successfully completed at least 30 hours of continuing learning activities during the three-year certification period. The continuing learning activities shall address one or more of the following: (i) evidenced-based practices in early intervention services; (ii) changes in federal or state law, regulations, or practice requirements; (iii) topics identified on a personal development plan; and (iv) training needed for new responsibilities relating to early intervention services; and (v) training required by the department. For each continuing learning activity, documentation shall include a description of the activity and sponsoring organization, if applicable; the date or dates of training; the number of hours; and a copy of a certificate or verification of attendance, if applicable.

12VAC35-220-80. Restoration of expired certifications.

A. The department shall notify practitioners in writing of the date their certification as an early intervention professional or early intervention specialist expired and that the practitioner has been placed on inactive status in the practitioner database maintained by the department.

B. Practitioners whose certification as early intervention professionals or early intervention specialists has expired may apply to the department for restoration of their certifications.

C. The department may restore certification for practitioners as early intervention professionals or early intervention specialists under the following conditions:

1. The individual's certification has been lapsed for a period of less than one year; and

2. The certification:

a. Has lapsed because the practitioner failed to complete the three-year recertification requirements and the individual provides documentation to the department demonstrating (i) he is currently qualified for the practice of his discipline or profession in the Commonwealth of Virginia, and (ii) he has completed at least 30 hours of training addressing one or more of the topics specified in 12VAC35-220-50 B 2; or

b. Has lapsed because the practitioner's discipline or profession-specific qualification expired and the practitioner documents that he now holds a current license, certification, endorsement, or other qualification for the practice of his discipline or profession in the Commonwealth of Virginia.

D. The department shall provide written notice of the decision on reinstatement of the practitioner's certification within 30 days of the receipt of a completed request and required documentation.

E. Upon restoration of the practitioner's certification as an early intervention professional or early intervention specialist, the department shall reinstate the individual's active status in the practitioner database maintained by the department.

12VAC35-220-90. Termination of early intervention professional or early intervention specialist certification.

A. The department shall terminate a practitioner's certification as an early intervention professional or early intervention specialist under the following circumstances:

1. The practitioner's discipline-specific license, certification, or endorsement has been suspended or terminated;

2. The practitioner, after a year, fails to comply with the recertification requirements set forth in these regulations; or

3. The practitioner fails to comply with his signed assurance that he will comply with all federal and state early intervention requirements.

B. The department shall notify the practitioner in writing of the date of and reason for termination and that the practitioner has been removed from the practitioner database maintained by the department.

Title of Regulation: 18VAC5-22. Board of Accountancy Regulations (amending 18VAC5-22-20).

Statutory Authority: § 54.1-4403 of the Code of Virginia.

Public Hearing Information:

April 10, 2012 - 10 a.m. - 9960 Mayland Drive, Perimeter Center, 2nd Floor Conference Center, Training Room #2, Henrico, VA

Public Comment Deadline: April 27, 2012.

Agency Contact: Wade A. Jewell, Executive Director, Board of Accountancy, 9960 Mayland Drive, Suite 402, Henrico, VA 23233, telephone (804) 367-8540, FAX (804) 527-4409, or email wade.jewell@boa.virginia.gov.

Basis: Section 54.1-4403 of the Code of Virginia authorizes the board to levy and collect fees for the issuance, renewal, or reinstatement of Virginia licenses that are sufficient to cover all expenses of the administration and operation of the board.

Purpose: As an independent, nongeneral fund agency, the board relies upon the fees charged for services as its only source of revenue. Penalties assessed by the board for violations of the accountancy statutes and regulations do not provide revenues for the board. Instead, they are deposited into the Commonwealth's Literary Fund.

The accountancy statutes require the board to maintain two cash accounts:

1. The Board of Accountancy Fund. This account is designed to have sufficient cash to fund the operating expenses of the board. Although the accountancy statutes refer to this account as the Fund, the board refers to it as the Operating Account to clearly distinguish between the purpose of this account and the purpose of the other cash account required by the accountancy statutes.

2. The Board of Accountancy Trust Account (Trust Account). This account is designed to have sufficient cash to fund expenses incurred in the study, research, investigation, or adjudication of matters involving possible violations of the accountancy statutes or regulations. However, the accountancy statutes also permit using cash in the account to fund other expenses that are germane to the board's statutory purposes and cannot otherwise be funded through the Operating Account.

During each of the first five fiscal years after the board was reestablished as an independent board (fiscal years that ended June 30 in 2002, 2003, 2004, 2005, and 2006), its revenues exceeded operating expenses and the excess was transferred to the Trust Account. However, over the past few years, the board's operating expenses have increased significantly. Some examples follow:

1. The board added staff to administer the certified public account (CPA) examination when it was determined that using a third-party administrator was not in the best interests of persons applying for and taking the CPA examination.

2. Significant expenses were incurred in purchasing and implementing a new licensing software system.

3. As with other state agencies, the board has incurred significant increases in expenses to keep pace with changes in information technology.

4. The board incurred significant expenses in moving to new operating facilities as part of the Commonwealth's efforts to consolidate locations.

Although operating expenses have increased significantly, fees have remained the same. Increases in operating expenses caused the operating expenses to exceed revenues during the fiscal years that ended June 30 in 2007, 2008, and 2009. Those deficiencies in revenues were funded through transfers of cash from the Trust Account. During the fiscal year that ended June 30, 2010, the board was able to keep operating expenses approximately equal to revenues. However, that was only because of temporary reductions in operating expenses. Operating expenses once again exceeded revenues during the fiscal year that ended June 30, 2011. The board forecasts that by early in 2013, it will have virtually no cash, either in the Operating Account or the Trust Account.

The board believes its operating activities are efficient and services cannot be eliminated. In addition, it is critical that the Trust Account be built up to comply with its primary statutory requirement. The need for the Trust Account has been demonstrated in other states by the highly publicized fraudulent financial reporting by Enron, WorldCom, and other well-known entities and by the highly publicized misappropriation of assets by Bernie Madoff and other prominent figures. In each of these cases, licensees were implicated. Studying, researching, investigating, or adjudicating whether circumstances that led to the perpetration of such fraud constitute violations of the accounting statutes or regulations requires complex considerations. However, fraud is not the only matter for which studying, researching, investigating, or adjudicating possible violations of the accountancy statutes or regulations requires complex considerations. These complex considerations require the use of experts with specialized skills, and the expenses incurred by boards of accountancy are typically significant.

The board's sole mission is to protect the citizens of the Commonwealth, and it views licensing as a broad concept that offers the public significant protection by prescribing requirements for formal and continuing professional education, examination, and experience; by prescribing standards of conduct and practice; and by imposing penalties for not complying with the accountancy statutes and regulations. The purpose of this action is to propose increases in the prescribed fees that will ensure that the board is able to fund its operating expenses and, based on the experience of boards of accountancy in other states, the Trust Account will be sufficient to fund expenses the board incurs in studying, researching, investigating, or adjudicating matters involving possible violations of the accountancy statutes or regulations.

As a gauge of the reasonableness of the fee increases proposed:

1. The current fees are considerably less than the fees adopted October 23, 1991, but the proposed fees are not significantly higher than the fees adopted October 23, 1991.

2. The proposed fees are lower than the fees charged by the boards of accountancy in many of the other states, and in some cases are significantly lower.

Substance: The board proposes to increase or add the following fees:

1. A fee of $20 is added for processing additional applications to take one or more sections of the CPA examination.

2. A fee of $25 is added for a preliminary evaluation of whether a person has met the requirements to take the CPA examination.

3. The fee for processing an application for issuance of a Virginia license to a person is increased from $24 to $75.

4. The fee for processing an application for issuance of a Virginia license to a firm is increased from $24 to $100.

5. The fee for processing an application for the timely renewal of a person's Virginia license is increased from $24 to $60.

6. The fee for processing an application for the timely renewal of a firm's Virginia license is increased from $24 to $75.

7. The additional fee for processing an application for the renewal of a person's Virginia license that is not timely is increased from $25 to $100.

8. The additional fee for processing an application for the renewal of a firm's Virginia license that is not timely is increased from $25 to $100.

9. The fee for processing an application for reinstatement of a person's Virginia license is increased from $250 to $350.

10. The fee for processing an application for reinstatement of a firm's Virginia license is increased from $250 to $500.

11. The fee for processing an application for lifting the suspension of a person's privilege of using the CPA title in Virginia is increased from $250 to $350.

12. The fee for processing an application for lifting the suspension of a firm's privilege of providing attest services or compilation services for persons or entities located in Virginia is increased from $250 to $500.

13. A fee of $25 is added for providing or obtaining information about a person's grades on sections of the CPA examination.

14. A fee of $25 is added for processing an online request for verification that a person or firm holds a Virginia license.

15. A fee of $50 is added for processing a manual request for verification that a person or firm holds a Virginia license.

16. A fee of $100 is added for not responding within 30 calendar days to any request for information by the board under subsection A of 18VAC5-22-170.

17. The additional fee for not using the online payment option for any service provided by the board is increased from $5 to $25.

Issues: The Code of Virginia establishes the board as the state agency that oversees licensing of CPAs providing services in Virginia. The board's sole mission is to protect the citizens of the Commonwealth, and it views licensing as a broad concept that offers the public significant protection by prescribing requirements for formal and continuing professional education, examination, and experience; by prescribing standards of conduct and practice; and by imposing penalties for not complying with the accountancy statutes and regulations.

The proposed fee increases will ensure that the board has sufficient revenues to fund its operating expenses and to ensure that the Trust Account is sufficient to comply with statutory requirements.

There are no disadvantages to the public or the Commonwealth in raising the board's fees as proposed.

Department of Planning and Budget's Economic Impact Analysis:

Summary of the Proposed Amendments to Regulation. The Board of Accountancy (Board) proposes to create several new categories of fees and increase most fees paid by licensees that are subject to the Board's authority.

Result of Analysis. There is insufficient information to accurately gauge whether benefits are likely to outweigh costs for these proposed changes.

Estimated Economic Impact. Under current regulations, individuals who seek to take the Certified Public Accountant (CPA) exam pay a fee of $120 and can take the exam numerous times without any further fee costs. Both accountancy firms and individual accountants currently pay $24 for the processing of both their initial licensure applications and for subsequent applications for renewal of licensure; individuals and firms that renew their licenses late are currently subject to a late filing fee of $25. There is currently a $250 fee for individuals and firms who must have their licenses reinstated, for individuals who are seeking to regain the use of the CPA title in Virginia and firms that seek to regain the right to provide attest and compilation services. There is currently a $25 fee to obtain additional wall certificates and there is a $5 fee for not using the online payment system (although this fee is waived for individuals who cannot access that system from their computers).

With these proposed regulations, the Board intends to 1) separate licensure fees paid by individuals accountants from those that are paid by accounting firms (because firms are able to offer attestation and compilation services that individual accountants cannot), 2) raise most current fees, and 3) institute several new categories of fees including a fee for retaking all or portions of the CPA exam. Below is a comparison table for current and proposed fees:

Board staff reports that from FY2002 through FY2006, revenues to the Board exceeded expenditures and the Board was able to save money for future Board needs. From FY2007 through FY2009, the Board's expenditures exceeded its revenues and the Board's trust account was drained to bridge the gap. For FY2010, Board revenues and expenditures were roughly equal but Board staff expects that the Board will run a deficit again in FY2011 and, by early FY2013, both the Board's operating account and its trust account will be completely depleted. Board staff reports that expenses have greatly increased over the last several years for several reasons:

• Board staff now administers the CPA exam rather than it being administered by a third party vender,

• The Board purchased a new licensing software system,

• Information technology expenses have risen significantly, and

• The Board incurring significant additional expense for moving and higher rent.

Increasing fees will likely increase the cost of being licensed as an accountant and, so, will likely slightly decrease the number of people who choose to be accountants. To the extent that the public benefits from the Board regulating this professional population, they will also likely benefit from the Board's proposed action that will increase fees to support Board activities. There is insufficient information to ascertain whether benefits will outweigh costs.

Businesses and Entities Affected. Board staff reports that the Board currently regulates 23,500 licensed accountants and 1,200 accountancy firms. All of these entities, as well as any individuals or entities who may wish to become licensed in the future, will be affected by these proposed regulations.

Localities Particularly Affected. No locality will be particularly affected by this proposed regulatory action.

Projected Impact on Employment. Fee increases in this regulatory action will likely marginally decrease the number of individuals who choose to work in professional fields that are regulated by the Board. Individuals who work part time or whose earnings are only slightly higher in these licensed fields than they would be in other jobs that do not require licensure will be more likely to be affected.

Effects on the Use and Value of Private Property. To the extent that affected licensees are in private practice, fee increases will likely slightly decrease business profits and make their businesses slightly less valuable.

Small Businesses: Costs and Other Effects. Board staff reports that most of the firms regulated by the Board likely qualify as small businesses. Affected small businesses will bear the costs of proposed increased fees.

Small Businesses: Alternative Method that Minimizes Adverse Impact. There are several actions that the Board could take that might mitigate the necessity of raising fees overall. The Board could slightly lengthen the time that it takes to process both license applications and complaints so that staff costs could be cut. This option would benefit current licensees but would slightly delay licensure, and the ability to legally work, for new applicants. Affected small businesses would also likely benefit from increased scrutiny of the IT costs that are driving increases in Board expenditures.

Real Estate Development Costs. This regulatory action will likely have no effect on real estate development costs in the Commonwealth.

Legal Mandate. The Department of Planning and Budget (DPB) has analyzed the economic impact of this proposed regulation in accordance with § 2.2-4007.04 of the Administrative Process Act and Executive Order Number 14 (10). Section 2.2-4007.04 requires that such economic impact analyses include, but need not be limited to, the projected number of businesses or other entities to whom the regulation would apply, the identity of any localities and types of businesses or other entities particularly affected, the projected number of persons and employment positions to be affected, the projected costs to affected businesses or entities to implement or comply with the regulation, and the impact on the use and value of private property. Further, if the proposed regulation has adverse effect on small businesses, § 2.2-4007.04 requires that such economic impact analyses include (i) an identification and estimate of the number of small businesses subject to the regulation; (ii) the projected reporting, recordkeeping, and other administrative costs required for small businesses to comply with the regulation, including the type of professional skills necessary for preparing required reports and other documents; (iii) a statement of the probable effect of the regulation on affected small businesses; and (iv) a description of any less intrusive or less costly alternative methods of achieving the purpose of the regulation. The analysis presented above represents DPB's best estimate of these economic impacts.

Agency's Response to Economic Impact Analysis:

In its Economic Impact Analysis (EIA) of the fee changes the Virginia Board of Accountancy (Board) is proposing:

1. DPB concludes, "Increasing fees will likely increase the cost of being licensed as an accountant and, so, will likely decrease the number of people who choose to be accountants." VBOA response: The VBOA is responsible for licensing and regulating "Certified Public Accountants (CPA)," not accountants. The choice to become a CPA is generally based upon the individual's chosen professional objectives that require the CPA designation, recognizes that the CPA designation will likely assist in increased employment/income opportunities, and/or recognizes that the CPA designation is trusted and respected by the public in general and requires a certain level of expertise. The VBOA does not believe that slightly increasing fees for the first time in over 20 years (i.e., an annual renewal fee increase for individuals from $24 to $60, or only $36/year) will impact an individual's decision on whether to become a CPA. Virginia has over 24,000 active, licensed CPAs and continues to see growth in the number of new individuals choosing to become CPAs.

2. DPB concludes, "To the extent that the public benefits from the Board regulating this professional population, they will also likely benefit from the Board's proposed action that will increase fees to support Board activities." VBOA response: The VBOA agrees that the Board's proposed action will be of benefit to the public and to the profession in general.

3. DPB concludes, "Fee increases in this regulatory action will likely marginally decrease the number of individuals who choose to work in professional fields that are regulated by the Board. Individuals who work part time or whose earnings are only slightly higher in these licensed fields than they would be in other jobs that do not require licensure will be more likely to be affected." VBOA response: See response to "1." above. The board recognizes that there may be an extremely small number of working CPAs who do not need the CPA designation or whose job does not require licensure as a CPA who may choose not to renew his license and therefore not be able to use the CPA title.

4. DPB concludes, "To the extent that affected licensees are in private practice, fee increases will likely slightly decrease business profits and make their businesses slightly less valuable." VBOA response: The board does not believe that an increase of $36/year for an individual renewal or $51/year for a firm renewal will make their business "less valuable."

5. DPB concludes, "There are several actions that the Board could take that might mitigate the necessity of raising fees overall. The Board could slightly lengthen the time that it takes to process both license applications and complaints so that staff costs could be cut. This option would benefit current licensees but would slightly delay licensure, and the ability to legally work, for new applicants." VBOA response: The VBOA has a small staff of only 8 full-time positions. Of these individuals, only one staff member is dedicated to approving a CPA license (over 1,200/year), and only one staff member is dedicated to investigating and adjudicating complaints (over 100/year). Staff costs could not be cut without eliminating these positions, and therefore eliminating these functions. The VBOA does not believe that even DPB could justify the elimination of these functions. Without these positions, the VBOA could not process and issue a CPA license, nor could it investigate complaints. Considering that the VBOA's mission is to "protect the citizens of the Commonwealth through a regulatory program of licensure and compliance of CPAs and CPA firms," the VBOA could not exist without these critical functions.

6. DPB concludes, "Affected small businesses would also likely benefit from increased scrutiny of the IT costs that are driving increases in Board expenditures." VBOA response: The DPB conclusion assumes that the VBOA has not scrutinized its increasing IT costs. To the contrary, the VBOA has and continues to scrutinize and has taken numerous steps within its control to streamline IT-related costs. The Commonwealth of Virginia, through the Virginia Information Technologies Agency and through a contract with Northrop Grumman, has full control of IT-related telecommunications and computer equipment costs, and not the VBOA.

Summary:

The proposed amendments create several new categories of fees and increase most fees paid by licensees that are subject to the board's authority.

18VAC5-22-20. Fees.

A. The board shall charge the following fees for services it provides:

B. All fees for services the board provides are due when the service is requested and are nonrefundable.