HB1138 — Economic development incentives; wage requirements.

Summary

Economic development incentives; wage requirements.

Bill Text

Compared against the Code of Virginia as published AI-generated reading aid — verify against the official bill.

This bill amends 2 section(s) of the Code of Virginia: 2.2-2240.3, 2.2-5101.

• 2.2-2240.3

  "Economically

  Inserts “"Economically”.

• 2.2-2240.3

  d

  Inserts “d”.

• 2.2-2240.3

  istressed

  Inserts “istressed”.

• 2.2-2240.3

  l

  Inserts “l”.

• 2.2-2240.3

  ocality" means a locality that has an unemployment rate (i) for the most recent calendar year for which such data is available that is greater than the final statewide average unemployment rate for that calendar year or (ii) with a poverty rate for the most recent calendar year for which such data is available that exceeds the statewide average poverty rate for that year.

  Inserts “ocality" means a locality that has an unemployment rate (i) for the most recent calendar year for which such data is available that is greater than the final statewide average unemployment rate for that calendar year or (ii) with a poverty rate for the most recent calendar year for which such data is available that exceeds the statewide average poverty rate for that year.”.

• 2.2-2240.3

  "Prevailing average wage" means that amount determined by the Virginia Employment Commission to be the average wage paid

  Inserts “"Prevailing average wage" means that amount determined by the Virginia Employment Commission to be the average wage paid”.

• 2.2-2240.3

  to

  Inserts “to”.

• 2.2-2240.3

  workers in the city or county of the Commonwealth where the job creation or sustainment project is located. The prevailing average wage shall be determined without regard to any fringe benefits.

  Inserts “workers in the city or county of the Commonwealth where the job creation or sustainment project is located. The prevailing average wage shall be determined without regard to any fringe benefits.”.

• 2.2-2240.3

  a minimum entry-level wage rate per hour of at least 1.2 times the federal minimum wage or the Virginia minimum wage, as required by the Virginia Minimum Wage Act (§ 40.1-28.8 et seq.), whichever is higher

  Strikes “a minimum entry-level wage rate per hour of at least 1.2 times the federal minimum wage or the Virginia minimum wage, as required by the Virginia Minimum Wage Act (§ 40.1-28.8 et seq.), whichever is higher”.

• 2.2-2240.3

  . In areas that have an unemployment rate of one and one-half times the statewide average unemployment rate, the wage rate minimum may be waived by the Authority

  Strikes “. In areas that have an unemployment rate of one and one-half times the statewide average unemployment rate, the wage rate minimum may be waived by the Authority”.

• 2.2-2240.3

  an average wage for the jobs eligible for assistance

  Inserts “an average wage for the jobs eligible for assistance”.

• 2.2-2240.3

  that

  Inserts “that”.

• 2.2-2240.3

  is (i) no less than the prevailing average wage

  Inserts “is (i) no less than the prevailing average wage”.

• 2.2-2240.3

  or (ii) in the case of an economically distressed locality, no less than 85 percent of the prevailing average wage

  Inserts “or (ii) in the case of an economically distressed locality, no less than 85 percent of the prevailing average wage”.

• 2.2-2240.3

  qualify for

  Strikes “qualify for”.

• 2.2-2240.3

  include fringe

  Inserts “include fringe”.

• 2.2-2240.3

  for the employee

  Inserts “for the employee”.

• 2.2-2240.3

  and

  Inserts “and”.

• 2.2-5101

  and

  Strikes “and”.

• 2.2-5101

  or

  Inserts “or”.

Action History

1. February 05, 2026

   H Read third time and defeated by House (33-Y 65-N 0-A)

2. February 04, 2026

   H Read second time and engrossed

3. February 04, 2026

   H Moved from Uncontested Calendar to Regular Calendar

4. February 03, 2026

   H Read first time

5. January 30, 2026

   H Reported from Appropriations (21-Y 0-N)

6. January 29, 2026

   H Placed on Appropriations Agenda

7. January 28, 2026

   H Subcommittee recommends reporting (5-Y 0-N)

8. January 27, 2026

   H Placed on Appropriations Agenda

9. January 22, 2026

   H Assigned HAPP sub: Commerce Agriculture & Natural Resources

10. January 21, 2026

    H Fiscal Impact Statement from Department of Planning and Budget (HB1138)

11. January 14, 2026

    H Referred to Committee on Appropriations

12. January 14, 2026

    H Prefiled and ordered printed; Offered 01-14-2026 26102879D

Sponsors

• Terry L. Austin · Primary

Votes

Subjects