COMMONWEALTH OF VIRGINIA

DEPARTMENT OF EDUCATION

P.O. BOX 2120

RICHMOND, VIRGINIA 23218-2120

SUPTS. MEMO NO. 70

March 28, 2008

INFORMATIONAL

TO:

Division Superintendents

 

FROM:

Billy K. Cannaday, Jr.

Superintendent of Public Instruction

 

SUBJECT:

Release of Liens Held on Behalf of the Literary Fund Prior to July 1, 2007

 

Informational Superintendent's Memorandum No. 130, June 29, 2007 provided information on legislative changes made by the 2007 General Assembly (HB 2350) related to the process of requesting a loan from the Literary Fund. One of the changes enacted by the 2007 General Assembly eliminated the need for a title search and for a lien in favor of the Literary Fund to be placed on a public school construction or renovation project funded by the Literary Fund. This change applied to any loan approved and issued after July 1, 2007.

 

HB 769 passed by the 2008 General Assembly and signed by the Governor, will become effective on July 1, 2008. This legislation amends and reenacts Sections 22.1-151 and 22.1-161 of the Code of Virginia to release all memoranda of lien held on behalf of the Literary Fund for loans approved and issued prior to July 1, 2007. The purpose of this legislation is to ensure that those memoranda of lien that existed prior to July 1, 2007, will be released in accordance with the changes enacted by the 2007 General Assembly.

 

School divisions wishing to have Literary Fund liens released should notify the circuit court where the lien was recorded and request that the lien should be marked as released based on the amended Section 22.1-151 of the Code of Virginia.

 

If you have questions regarding this memorandum, please contact Christina Snellings, Financial Services Specialist, or Budget Office staff at (804) 225-2025.

 

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