STATE CORPORATION COMMISSION

Bureau of Insurance

February 1, 2013

Administrative Letter 2013-01

To: Continuing Care Retirement Communities

Re: Supplemental Information and Other Required Disclosures

Section 38.2-4902 A 15 of the Code of Virginia allows the State Corporation Commission to require disclosure of material information in the disclosure statement filed by Continuing Care Retirement Communities ("CCRC"). In order to assist residents in understanding the financial position and the results of operations of a CCRC, we ask that each provider include supplemental information on its facilities and other consolidated entities in its audited financial statements for the two most recent years. In addition, we ask that each provider include a summary of the financial condition of each facility. Please find attached the format samples for the supplemental and financial summary information. We ask that this information be included in the provider's next annual filing with the State Corporation Commission Bureau of Insurance.

Section 38.2-4904 A of the Code of Virginia requires the provider to make the annual disclosure statement available by written notice to each resident at no cost. In accordance with § 38.2-4904 D of the Code of Virginia, the provider should amend its currently filed disclosure statement at any time if an amendment is necessary to prevent the disclosure statement from containing any material misstatement of fact or failing to state any material fact required. The provider must file any amendment with the State Corporation Commission Bureau of Insurance before distributing it to any resident. The provider is obligated to notify each resident of the existence of any such amendment or amended disclosure statement.

An amendment would be required if the provider has concerns about its ability to continue as a going concern, is unable to perform fully its obligations pursuant to its contracts due to financial instability, or has any problems with meeting the terms of its debt obligations. The State Corporation Commission Bureau of Insurance should be notified immediately of any such financial concerns.

Sections 38.2-4910 A and B of the Code of Virginia require the provider to hold meetings at least quarterly with the residents or representatives elected by the residents of the continuing care facility for the purpose of free discussion of issues relating to the facility. These issues may include income, expenditures and financial matters as they apply to the facility and proposed changes in policies, programs, facilities and services. The provider is required to give the resident's organization a copy of all submissions to the Commission. The provider is also required to give residents seven days' notice of each meeting.

Questions concerning this administrative letter may be addressed to: Ms. Daryl Hepler, Senior Insurance Financial Analyst, telephone (804) 371-9999, or email daryl.depler@scc.virginia.gov or Ms. Toni Janoski, Senior Insurance Financial Analyst, telephone (804) 371-9945, or email toni.janoski@scc.virginia.gov.

/s/ Jacqueline K. Cunningham
Commissioner of Insurance

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February 1, 2013

Administrative Letter 2013-02

To: All Insurers and Other Interested Parties

Re: Revisions to the Virginia Insurance Continuing Education Program Requirements, effective January 1, 2013

Note: All insurers receiving this administrative letter are expected to instruct their currently appointed agents to review it and familiarize themselves with the contents. The letter may be accessed through the Bureau of Insurance website at: http://www.scc.virginia.gov/boi/adminlets/index.aspx.

During the 2012 General Assembly session, the Virginia General Assembly amended Article 7 of Chapter 18, Title 38.2 of the Code of Virginia to streamline the Continuing Education ("CE") process for insurance agents subject to Virginia Insurance CE requirements. These amendments included the elimination of the provision that required agents whose licenses had been terminated for failure to comply with CE requirements to wait 90 days before reapplying for a license. In addition, pursuant to House Bill 209, the amendments to Article 7 make several modifications that are technical in nature.

Notably, beginning January 1, 2013:

• All resident insurance agents subject to Virginia insurance CE are required to complete three CE hours of insurance ethics in lieu of the previously required two hours of insurance law and regulations. These three credit hours of insurance ethics may include insurance law and regulations applicable in Virginia.

• The deadline for completing all coursework and paying the nonrefundable $15 Continuance fee for the 2013-2014 biennium is November 30, 2014.

• Agents who have not fully complied with all CE requirements for the 2013-2014 biennium will be mailed a notice of pending license termination on or about December 1, 2014.

• Agents will have a 31-day period (beginning on December 1, 2014) as a final opportunity to correct any CE deficiencies, by completing the required coursework and/or paying the $15 nonrefundable Continuance fee.

• Agents who have not met all CE program requirements will have their licenses administratively terminated by the Bureau of Insurance ("Bureau") effective January 1, 2015.

It is important to note that the amendments to Article 7 take effect at the commencement of the 2013-2014 biennium and that no changes have been made to the current 2011-2012 biennium. Agents had until December 31, 2012 to meet all CE compliancy requirements for the current biennium. CE compliance for Virginia resident agents means completing the required Virginia Insurance Continuing Education Board's approved CE courses for the appropriate number of hours for the appropriate content and paying the nonrefundable $15 Continuance fee. The nonrefundable $15 Continuance fee must be paid by both resident and nonresident agents. If all CE requirements are not met, the Bureau will administratively terminate licenses on or about September 1, 2013.

Beginning February 2013, visit www.virginiainsurancece.com for further information regarding the revised 2013-2014 Virginia Insurance CE program.

Visit the Bureau's website http://www.scc.virginia.gov/boi/pro/index.aspx for additional Producer Licensing information.

Questions concerning this administrative letter may be addressed to: Preston Winn, Manager, Producer Licensing Section, Bureau of Insurance, State Corporation Commission, telephone (804) 371-9631, or email preston.winn@scc.virginia.gov.

/s/ Jacqueline K. Cunningham
Commissioner of Insurance

DEPARTMENT OF ENVIRONMENTAL QUALITY AND DEPARTMENT OF CONSERVATION AND RECREATION

Public Meeting and Public Comment for a TMDL Implementation Plan in Three Creek, Mill Swamp, and Darden Mill Run Watersheds; Southampton, Sussex, Greensville, and Brunswick Counties

The Virginia Department of Environmental Quality (DEQ) and the Department of Conservation and Recreation will host a public meeting on a water quality study for Three Creek, Mill Swamp, and Darden Mill Run located in the counties of Southampton, Sussex, Greensville, and Brunswick on Thursday March 21, 2013.

The meeting will start at 6:30 p.m. in the Southampton Board of Supervisors Meeting Room located at 26022 Administration Center Drive, Courtland. The purpose of the meeting is to provide information and discuss the study with interested local community members and local government.

The waters listed for this study were identified in Virginia's Water Quality Assessment Integrated Report as impaired for not supporting the primary contact use. The impairments are based on water quality monitoring data reports of sufficient exceedances of Virginia's water quality standard for E. coli bacteria.

The meeting will review the final implementation plan for the impaired waters. The implementation plan (IP) is developed to provide a clean up plan that will lead to attainment of the water quality standards. Public participation and stakeholder involvement are necessary in order to develop an effective and reasonable IP. This meeting will present the findings of the total maximum daily load (TMDL) study and the necessary steps in the IP development.

Section 303(d) of the Clean Water Act and § 62.1-44.19:7 C of the Code of Virginia require DEQ to develop total maximum daily loads for pollutants responsible for each impaired water contained in Virginia's § 303(d) TMDL Priority List and Report and subsequent Water Quality Assessment Reports. A TMDL is the total amount of a pollutant a water body can contain and still meet water quality standards. To restore water quality, pollutant levels have to be reduced to the TMDL amount. The TMDL report has been approved by Environmental Protection Agency (September 28, 2012) and can be found at http://www.deq.virginia.gov/portals/0/DEQ/Water/TMDL/apptmdls/chowanrvr/threecreekec.pdf.

The public comment period on materials presented at this meeting will extend from March 22, 2013, to April 22, 2013. For additional information or to submit comments, contact Jennifer Howell, Department of Environmental Quality, Tidewater Regional Office, 5636 Southern Blvd., Virginia Beach, VA 23462, telephone (757) 518-2111, or email jennifer.howell@deq.virginia.gov.

Additional information is also available on the DEQ website at www.deq.virginia.gov/tmdl.

DEPARTMENT OF ENVIRONMENTAL QUALITY

Public Meeting and Public Comment for Total Maximum Daily Load Studies in the Cities of Virginia Beach and Chesapeake

The Virginia Department of Environmental Quality (DEQ) will host a public meeting on water quality studies for several creeks located in the cities of Virginia Beach and Chesapeake on Wednesday, February 27, 2013.

The meeting will start at 6:30 p.m. at Creeds Ruritan Barn, Virginia Beach Farm Bureau Office, 1057 Princess Anne Road, Virginia Beach. The purpose of the meeting is to provide information and discuss the study with interested local community members and local government.

Beggars Bridge Creek, Upper and Lower Hell Point Creek, Muddy Creek, Lower Ashville Bridge Creek, Pocaty River, and Middle North Landing River were identified in Virginia's Water Quality Assessment and Integrated Report as impaired for not supporting the primary contact use. The impairment is based on water quality monitoring data reports of sufficient exceedances of Virginia's water quality standard for bacteria.

Pocaty River and Lower Ashville Bridge Creek were identified in Virginia's Water Quality Assessment and Integrated Report as impaired for not supporting the aquatic life use. The impairment is based on water quality monitoring data reports of sufficient violations of Virginia's water quality standard for dissolved oxygen. Lower Ashville Bridge Creek is also impaired for not supporting the aquatic life use due to violations of the pH water quality standard.

Section 303(d) of the Clean Water Act and § 62.1-44.19:7 C of the Code of Virginia, require DEQ to develop total maximum daily loads (TMDLs) for pollutants responsible for each impaired water contained in Virginia's § 303(d) TMDL Priority List and Report and subsequent Water Quality Assessment Reports.

During the study, DEQ will develop total maximum daily loads for the impaired waters. A TMDL is the total amount of a pollutant a water body can contain and still meet water quality standards. To restore water quality, pollutant levels have to be reduced to the TMDL amount.

The public comment period on materials presented at this meeting will extend from February 28, 2013, to March 29, 2013. For additional information or to submit comments, contact Jennifer Howell, Department of Environmental Quality, Tidewater Regional Office, 5636 Southern Blvd., Virginia Beach, VA 23462, telephone (757) 518-2111, or email jennifer.howell@deq.virginia.gov.

Additional information is also available on the DEQ website at www.deq.virginia.gov/tmdl.

Public Meeting and Notice of Public Comment for a Water Quality Study (TMDL) of the Maury River and Tributaries

Public meetings: Two meetings will be hosted at two convenient locations within the Maury watershed. The first will be held Tuesday, February 26, 2013, at the Effinger Volunteer Fire Department, 2824 Collierstown Road, Lexington, VA 24450. This meeting will start with a no-cost community dinner at 6 p.m. (RSVP to Tara Sieber at telephone (540) 574-7870 by February 22, 2013). The second will be held Wednesday, March 6, 2013, at 7 p.m. at the Natural Bridge Volunteer Fire Department, 5705 S. Lee Highway, Natural Bridge, VA 24578. All meetings are open to the public and all are welcome. In the case of inclement weather, please contact Tara Sieber at telephone (540) 574-7870.

Purpose of notice: The Department of Environmental Quality (DEQ) and its contractors, Virginia Tech's Biological Systems Engineering Department, will present preliminary data for the development of a water quality study known as a total maximum daily load (TMDL) for the Maury River and its tributaries, including Cedar Creek, North Fork and South Fork Buffalo Creek, the mainstem of Buffalo Creek, and Colliers Creek. This is an opportunity for local residents to share information about the area and its local streams. A public comment period will follow the meetings (February 26, 2013, through April 8, 2013).

Meeting description: Two public meetings will be held to introduce to the local community the water quality improvement process in Virginia, known as the TMDL Process, invite their participation and solicit their contributions, and review the next steps. Section 303(d) of the Clean Water Act and § 62.1-44.19:7 C of the Code of Virginia require DEQ to develop TMDLs for pollutants responsible for each impaired water contained in Virginia's § 303(d) TMDL Priority List and Report.

Description of study: Several streams in the Maury River watershed do not meet Virginia's water quality standards due to excessive bacteria and have been placed on the 2006, 2008, and 2010 § 303(d) TMDL Priority List and Report as impaired. The bacteria standard preserves the "Primary Contact (recreational or swimming)" designated use for Virginia waterways. Excessive bacteria levels may pose a threat to human health. This water quality study reports on the sources of bacterial contamination and recommends reductions to meet total maximum daily loads (TMDLs) for the impaired waters. A TMDL is the total amount of a pollutant a water body can contain and still meet water quality standards. To restore water quality, bacterial levels need to be reduced to the TMDL amount. Virginia agencies are working to identify sources of bacterial contamination in the Maury River and its tributaries, including the following waterways:

In addition, Colliers Creek does not host a healthy and diverse population of aquatic life, and subsequently was listed as impaired for the "General Benthic (Aquatic life)" water quality standard. This water quality study will review all data collected and determine the cause of the benthic impairment through a weight of evidence approach.  Reductions and a TMDL for the cause of the impairment will be developed.

How to comment: The public comment period for these public meetings will end on April 8, 2013. Written comments should include the name, address, and telephone number of the person submitting the comments and should be sent to: Tara Sieber, Department of Environmental Quality, Valley Regional Office, P.O. Box 3000, Harrisonburg, VA 22801, telephone (540) 574-7870, FAX (540) 574-7878, or email tara.sieber@deq.virginia.gov.

State Implementation Plan Revision (Proposed) - Consumer and Commercial Products (Rev. A12)

Notice of action: The Department of Environmental Quality (DEQ) is announcing an opportunity for public comment on a proposed revision to the Commonwealth of Virginia State Implementation Plan (SIP). The SIP is a plan developed by the Commonwealth in order to fulfill its responsibilities under the federal Clean Air Act to attain and maintain the ambient air quality standards promulgated by the U.S. Environmental Protection Agency (EPA) under the Act. The Commonwealth intends to submit the regulation revisions to EPA as a revision to the SIP in accordance with the requirements of § 110(a) of the federal Clean Air Act.

Regulations affected: The regulations affected by this action are as follows: Emission Standards for Asphalt Paving Operations (Article 39), Emission Standards for Portable Fuel Container Spillage (Article 42), Emission Standards for Architectural and Industrial Maintenance Coatings (Article 49), and Emission Standards for Consumer Products (Article 50) of 9VAC5-40 (Existing Stationary Sources).

Purpose of notice: DEQ is seeking comment on the issue of whether the regulation amendments (repeals of the above-listed articles) should be submitted as a revision to the SIP; i.e., whether reference to the repealed articles should be removed from the SIP.

Public comment period: February 25, 2013, to March 27, 2013.

Public hearing: A public hearing may be conducted if a request is made in writing to the contact listed below. In order to be considered, the request must include the full name, address, and telephone number of the person requesting the hearing and be received by DEQ by the last day of the comment period. Notice of the date, time, and location of any requested public hearing will be announced in a separate notice and another 30-day comment period will be conducted.

Public comment stage: Because the regulation amendments have been adopted by the board in accordance with the Administrative Process Act and have subsequently become effective, DEQ is accepting comment only on the issue cited above under "purpose of notice" and not on the content of the regulation amendments.

Description of proposal: This revision consists of removing Articles 39, 42, 49, and 50 of 9VAC5-40 from the SIP because they were repealed in their entirety. These articles were repealed because they have been replaced by corresponding articles in 9VAC5-45 (Consumer and Commercial Products), which contains updated provisions for controlling emissions from asphalt paving operations, portable fuel containers, architectural and industrial maintenance coatings, and consumer products. The provisions of 9VAC5-45 were not affected by the repeal of these regulations. There is therefore no longer a need for reference to the repealed regulations in Virginia's SIP.

Federal information: This notice is being given to satisfy the public participation requirements of federal regulations (40 CFR 51.102) and not any provision of state law. The proposal will be submitted as a revision to the Commonwealth of Virginia SIP under § 110(a) of the federal Clean Air Act in accordance with 40 CFR 51.104. It is planned to submit all provisions of the proposal as a revision to the Commonwealth of Virginia SIP.

How to comment: DEQ accepts written comments by email, fax, and postal mail. In order to be considered, comments must include the full name, address, and telephone number of the person commenting and be received by DEQ by the last day of the comment period. All materials received are part of the public record.

To review regulation documents: The proposal and a supporting document are available on the DEQ Air Public Notices for Plans website (http://www.deq.state.va.us/Programs/Air/PublicNotices/airplansandprograms.aspx). The documents may also be obtained by contacting the DEQ representative named below. The public may review the documents between 8:30 a.m. and 4:30 p.m. of each business day until the close of the public comment period at the following DEQ locations:

1) Main Street Office, 629 East Main Street, 8th Floor, Richmond, VA, telephone (804) 698-4070,

2) Southwest Regional Office, 355 Deadmore Street, Abingdon, VA, telephone (540) 676-4800,

3) Blue Ridge Regional Office, Roanoke Location, 3019 Peters Creek Road, Roanoke, VA, telephone (540) 562-6700,

4) Blue Ridge Regional Office, Lynchburg Location, 7705 Timberlake Road, Lynchburg, VA, telephone (804) 582-5120,

5) Valley Regional Office, 4411 Early Road, Harrisonburg, VA, telephone (540) 574-7800,

6) Piedmont Regional Office, 4949-A Cox Road, Glen Allen, VA, telephone (804) 527-5020,

7) Northern Regional Office, 13901 Crown Court, Woodbridge, VA, telephone (703) 583-3800, and

8) Tidewater Regional Office, 5636 Southern Blvd., Virginia Beach, VA, telephone (757) 518-2000.

Contact Information: Karen G. Sabasteanski, Department of Environmental Quality, 629 East Main Street, P.O. Box 1105, Richmond, VA 23218, telephone (804) 698-4426, FAX (804) 698-4510, TDD (804) 698-4021, or email karen.sabasteanski@deq.virginia.gov.

STATE LOTTERY DEPARTMENT

Director's Orders

The following Director's Orders of the State Lottery Department were filed with the Virginia Registrar of Regulations on January 16, 2013, and January 28, 2013. The orders may be viewed at the State Lottery Department, 900 East Main Street, Richmond, VA, or at the office of the Registrar of Regulations, 910 Capitol Street, 2nd Floor, Richmond, VA.

Director's Order Number Four (13)

"Valley's February 2013 Retailer Incentive Promotion" Virginia Lottery Retailer Incentive Program Requirements (effective January 17, 2013)

Director's Order Number Six (13)

Virginia's Instant Game Lottery 1397 "20X The Money" Final Rules for Game Operation (effective January 23, 2013)

Director's Order Number Seven (13)

Virginia Lottery's "Pet Lovers Sweepstakes" Final Requirements for Operation (effective January 23, 2013)

Director's Order Number Eight (13)

Virginia's Instant Game Lottery 1421 "Pet Lovers" Final Rules for Game Operation (effective January 23, 2013)

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The following Director's Orders of the State Lottery Department were filed with the Virginia Registrar of Regulations on January 24, 2013.

Director's Order Number Sixteen (13)

Certain Virginia Instant Game Lotteries; End of Games.

In accordance with the authority granted by §§ 2.2-4002 B 15 and 58.1-4006 A of the Code of Virginia, I hereby give notice that the following Virginia Lottery instant games will officially end at midnight on January 25, 2013.

The last day for lottery retailers to return for credit unsold tickets from any of these games will be March 1, 2013. The last day to redeem winning tickets for any of these games will be July 24, 2013, 180 days from the declared official end of the game. Claims for winning tickets from any of these games will not be accepted after that date. Claims that are mailed and received in an envelope bearing a postmark of the United States Postal Service or another sovereign nation of July 24, 2013, or earlier, will be deemed to have been received on time. This notice amplifies and conforms to the duly adopted State Lottery Board regulations for the conduct of lottery games.

This order is available for inspection and copying during normal business hours at the Virginia Lottery headquarters, 900 East Main Street, Richmond, Virginia; and at any Virginia Lottery regional office. A copy may be requested by mail by writing to Director's Office, Virginia Lottery, 900 East Main Street, Richmond, Virginia 23219.

This Director's Order is effective on the date of its signing and shall remain in full force and effect unless amended or rescinded by further Director's Order.

/s/ Paula I. Otto
Executive Director
January 17, 2013

STATE WATER CONTROL BOARD

Proposed Consent Order for Loudoun County Sanitation Authority

An enforcement action has been proposed for Loudoun County Sanitation Authority for violations in Loudoun County. The State Water Control Board proposes to issue a consent order to Loudoun County Sanitation Authority to resolve violations of State Water Control Law and Regulations regarding an unauthorized discharge from the sanitary sewer collection system associated with the Upper Foley Pump Station. A description of the proposed action is available at the DEQ office named below or online at www.deq.virginia.gov. Daniel Burstein will accept comments by email at daniel.burstein@deq.virginia.gov, FAX at (703) 583-3821, or postal mail at Department of Environmental Quality, Northern Regional Office, 13901 Crown Court, Woodbridge, VA 22193, from February 26, 2013, through March 28, 2013.

VIRGINIA CODE COMMISSION

Notice to State Agencies

Contact Information: Mailing Address: Virginia Code Commission, General Assembly Building, 201 North 9th Street, 2nd Floor, Richmond, VA 23219; Telephone: Voice (804) 786-3591; FAX (804) 692-0625; Email: varegs@dls.virginia.gov.

Meeting Notices: Section 2.2-3707 C of the Code of Virginia requires state agencies to post meeting notices on their websites and on the Commonwealth Calendar at http://www.virginia.gov/.

Cumulative Table of Virginia Administrative Code Sections Adopted, Amended, or Repealed: A table listing regulation sections that have been amended, added, or repealed in the Virginia Register of Regulations since the regulations were originally published or last supplemented in the print version of the Virginia Administrative Code is available at http://register.dls.virginia.gov/cumultab.htm.

Filing Material for Publication in the Virginia Register of Regulations: Agencies use the Regulation Information System (RIS) to file regulations and related items for publication in the Virginia Register of Regulations. The Registrar's office works closely with the Department of Planning and Budget (DPB) to coordinate the system with the Virginia Regulatory Town Hall. RIS and Town Hall complement and enhance one another by sharing pertinent regulatory information.