Is Virginia Tourism Corporation A Nonprofit? Understanding Its Structure

Are you curious about the Virginia Tourism Corporation and its operational structure? This article, brought to you by SIXT.VN, delves into the Virginia Tourism Authority, exploring its legal framework, purpose, and whether it qualifies as a nonprofit organization. Discover how this entity supports tourism in Virginia and how you can plan your perfect trip to Vietnam with SIXT.VN’s comprehensive travel services.

1. What is the Virginia Tourism Authority?

The Virginia Tourism Authority (VTA), which may do business as the “Virginia Tourism Corporation,” is a public body corporate and a political subdivision of the Commonwealth of Virginia. It is not a nonprofit organization. The VTA operates as a public instrumentality exercising public and essential governmental functions.

Understanding the Virginia Tourism Authority’s Role

The VTA plays a crucial role in boosting the Commonwealth’s economy by promoting its diverse tourist attractions. These include cultural, historical, commercial, educational, and recreational activities. By coordinating public and private efforts, the VTA aims to attract visitors and enhance the prosperity of Virginia’s residents.

Legal Basis and Public Purpose

The Virginia Tourism Authority Act (§ 2.2-2315 of the Code of Virginia) establishes the VTA and outlines its purpose. The General Assembly has declared that promoting tourism is a public necessity that serves a public purpose. This promotion enhances the health, safety, welfare, convenience, and prosperity of the people of Virginia.

2. What are the Main Objectives of the Virginia Tourism Authority?

The Virginia Tourism Authority (VTA) has several key objectives aimed at boosting tourism and economic development within the Commonwealth of Virginia. These objectives, as outlined in the Virginia Tourism Authority Act and related sections of the Code of Virginia, include:

2.1. Promoting Tourism

Encouraging, stimulating, and supporting tourism in the Commonwealth by marketing and advertising Virginia’s tourist attractions and locations (§ 2.2-2318).

2.2. Supporting the Film Industry

Encouraging, stimulating, and supporting the film industry in the Commonwealth, recognizing its importance as part of economic development (§ 2.2-2315, § 2.2-2318).

2.3. Coordinating Public and Private Efforts

Coordinating private and public efforts to promote tourism, ensuring a unified approach to marketing and development (§ 2.2-2315).

2.4. Managing Funds

Administering and managing the Cooperative Tourism Advertising Fund and the Governor’s Motion Picture Opportunity Fund (§ 2.2-2318). These funds are used to support tourism and film projects.

2.5. Developing and Updating Resources

Updating resources such as a travel guide for the disabled, ensuring accessibility for all tourists (§ 2.2-2318).

2.6. Promoting Historical Destinations

Developing comprehensive plans to promote destinations of historical significance, such as those related to the Jamestown settlement (§ 2.2-2318).

2.7. Ensuring Accurate Representation

Creating guidelines for publications and advertising materials to ensure the accurate representation of historical events, including the experiences and contributions of enslaved persons (§ 2.2-2318).

2.8. Supporting Local Tourism Programs

Supporting and encouraging each locality to foster its own tourism development programs (§ 2.2-2318).

2.9. Establishing Tourism Centers

Entering into agreements with public or private entities to establish and operate tourism centers, jointly funded by the entity and the Authority (§ 2.2-2318).

2.10. Developing New Airline Services

Supporting the development of additional commercial air services in the Commonwealth to enhance tourism and economic growth (§ 2.2-2320.1).

2.11. Providing Tourism Promotion Grants

Providing grants to tourism entities for promoting tourism in Virginia, funded through state taxes on accommodations fees (§ 2.2-2320.2).

2.12. Fostering Public-Private Partnerships

Creating public-private partnerships to maximize the impact of marketing and advertising efforts (§ 2.2-2319).

3. Who Leads the Virginia Tourism Authority?

The Virginia Tourism Authority is led by an Executive Director, who serves as the President and chief executive officer of the Authority (§ 2.2-2317). This individual is appointed by the Governor and is not a member of the Board of Directors. The Executive Director is responsible for administering, managing, and directing the affairs and activities of the Authority.

Role of the Board of Directors

The Executive Director operates with the advice and comment of a Board of Directors (§ 2.2-2316). The Board functions as an advisory body and includes:

• The Secretary of Agriculture and Forestry
• The Secretary of Commerce and Trade
• The Secretary of Finance
• The Secretary of Natural and Historic Resources
• The Lieutenant Governor
• Twelve members appointed by the Governor, subject to confirmation by the General Assembly

Responsibilities of the Executive Director

The Executive Director has several key responsibilities, including:

• Serving as the ex officio secretary of the Board.
• Keeping records of the Board’s proceedings.
• Maintaining custody of the Authority’s books, documents, and official seal.
• Employing agents and employees necessary to fulfill the duties of the Authority.
• Overseeing the Authority’s day-to-day operations.

Board Member Compensation

Members of the Board are reimbursed for reasonable expenses incurred while attending meetings or conducting Authority business. They also receive compensation as provided in § 2.2-2104 of the Code of Virginia for each day or portion thereof engaged in Authority business.

4. What Powers Does the Virginia Tourism Authority Possess?

The Virginia Tourism Authority (VTA), acting through its Executive Director, is granted extensive powers to carry out its mission of promoting tourism and supporting related industries within the Commonwealth of Virginia. These powers are outlined in § 2.2-2318 of the Code of Virginia and include:

4.1. Legal and Corporate Powers

• Perpetual Succession: The VTA has perpetual succession as a public body corporate and a political subdivision of the Commonwealth.
• Bylaws and Regulations: The VTA can adopt, amend, and repeal bylaws, rules, and regulations for the administration and regulation of its affairs, ensuring they are consistent with the Virginia Tourism Authority Act.
• Legal Authority: The VTA has the power to sue and be sued in its own name.
• Official Seal: The VTA can have and alter an official seal, although failure to affix the seal does not affect the validity of any instrument executed on its behalf.

4.2. Operational Powers

• Office Location: The VTA can maintain an office at any place within or without the Commonwealth.
• Contracts and Agreements: The VTA can make and execute contracts and all other instruments and agreements necessary or convenient for the performance of its duties.
• Property Management: The VTA can acquire real or personal property, manage, operate, and improve such property, and sell, convey, mortgage, lease, or otherwise dispose of its properties and assets.
• Employment: The VTA can employ officers, employees, agents, advisers, and consultants, determining their duties and compensation without the approval of any other agency.

4.3. Financial Powers

• Insurance: The VTA can procure insurance or provide self-insurance against any loss, cost, or expense in connection with its property, assets, or activities.
• Grants and Contributions: The VTA can receive and accept aid, grants, and contributions of money, property, labor, or other things of value to carry out its purposes.
• Agreements with Other Entities: The VTA can enter into agreements with any department, agency, or instrumentality of the United States, the Commonwealth, the District of Columbia, or any state.
• Fees and Charges: The VTA can establish, revise, amend, repeal, charge, and collect fees and charges in connection with its activities or services.
• Grants to Local Governments: The VTA can make grants to local governments with any available funds.

4.4. Promotional and Developmental Powers

• Procurement Policies: The VTA can develop policies and procedures generally applicable to the procurement of goods, services, and construction based on competitive principles.
• Publications and Advertising: The VTA can issue periodicals and carry and charge for advertising therein.
• Fundraising: The VTA can raise money in the corporate, nonprofit, and nonstate communities to finance its activities.
• Local Tourism Support: The VTA can support and encourage each locality to foster its own tourism development programs.
• Tourism Centers: The VTA can enter into agreements with public or private entities to establish and operate tourism centers.
• Tourism and Film Industry Support: The VTA can encourage, stimulate, and support tourism and the film industry in the Commonwealth.
• Fund Management: The VTA can administer and manage the Cooperative Tourism Advertising Fund and the Governor’s Motion Picture Opportunity Fund.
• Travel Guide Updates: The VTA can update a travel guide for the disabled.
• Historical Destination Promotion: The VTA can develop a comprehensive plan to promote destinations of historical and other significance.
• Accurate Representation: The VTA can create guidelines for its publications and advertising materials to ensure the accurate representation of historical events.

4.5. General Powers

• General Authority: The VTA can do any act necessary or convenient to the exercise of the powers granted or reasonably implied by the Virginia Tourism Authority Act, as long as it is not inconsistent with state law.

5. What Funds Does the Virginia Tourism Authority Manage?

The Virginia Tourism Authority (VTA) manages several key funds to support its mission of promoting tourism and economic development in Virginia. These funds include:

5.1. Cooperative Marketing Fund

The Cooperative Marketing Fund (Marketing Fund) is established to encourage, stimulate, and support the tourism sector of the Commonwealth’s economy (§ 2.2-2319). This fund supports the promotion, marketing, and advertising of Virginia’s tourist attractions and locations through public-private partnerships.

• Purpose: To match eligible funds for marketing and advertising efforts.
• Eligibility: Proposals for new and existing programs with measurable return on investment are eligible.
• Application Process: Applicants must apply to the Authority in January of the year preceding the fiscal year for which funds are sought.
• Guidelines: The Authority develops guidelines for considering applications, which may indicate a preference for proposals from nonprofit organizations or state agencies.

5.2. Governor’s Motion Picture Opportunity Fund

The Governor’s Motion Picture Opportunity Fund (the Fund) supports the film and video industries in Virginia by attracting production companies and producers who make their projects in the Commonwealth using Virginia employees, goods, and services (§ 2.2-2320).

• Purpose: To attract film and video production to Virginia.
• Eligibility: The fund is used to assist production companies or producers that meet eligibility requirements set forth in the guidelines. Eligible projects include feature films, children’s programs, documentaries, and television series.
• Guidelines: The Authority assists the Governor in developing guidelines for the use of the Fund, including provisions for geographic diversity and caps on funding for specific projects.

5.3. Governor’s New Airline Service Incentive Fund

The Governor’s New Airline Service Incentive Fund provides grants to airlines serving local, regional, national, and international airports in Virginia to support the development of additional commercial air services (§ 2.2-2320.1).

• Purpose: To incentivize airlines to launch new air passenger service at Virginia airports.
• Eligibility: Grants are used for marketing, advertising, or promotional activities by airlines in connection with new air service.
• Guidelines: The Secretary of Transportation, in consultation with the Secretaries of Commerce and Trade and Finance, develops guidelines and criteria for awarding grants. These guidelines ensure that grants do not reduce existing commercial air service at other Virginia airports.

5.4. Tourism Promotion Grants

Tourism Promotion Grants are provided to tourism entities for the purpose of promoting tourism in Virginia (§ 2.2-2320.2). These grants are funded through state taxes on accommodations fees.

• Purpose: To increase tourism in Virginia through various promotional activities.
• Eligibility: Tourism entities, including localities, destination marketing organizations, and regional attractions marketing agencies, are eligible.
• Restrictions: No more than 50 percent of the funds available for a fiscal year can be distributed for the promotion or marketing operations of a tourism entity or for special events or grants. Funding requires a 50 percent cash or in-kind match from the grant recipient.

These funds enable the Virginia Tourism Authority to strategically invest in various sectors of the tourism industry, fostering economic growth and enhancing the visitor experience throughout the Commonwealth.

6. Is the Virginia Tourism Authority Subject to Taxes?

No, the Virginia Tourism Authority (VTA) is exempt from taxation (§ 2.2-2324). As outlined in subsection C of § 2.2-2315 of the Code of Virginia, the Authority performs an essential governmental function in exercising its powers. Therefore, the VTA is not required to pay any taxes or assessments on any project, property, operations, or income.

Tax Exemptions for Agents and Lessees

This tax exemption extends to agents, lessees, sublessees, or users of tangible personal property owned by or leased to the Authority. These entities are also not required to pay any sales or use tax on such property or the revenue derived from it.

Rationale for Tax Exemption

The rationale behind this exemption is that the VTA’s activities directly benefit the public by promoting tourism and economic development within the Commonwealth. By免除税款, the Authority can more effectively allocate its resources to support its mission and enhance the overall prosperity of Virginia.

7. Are the Virginia Tourism Authority’s Records Public?

Yes, the Virginia Tourism Authority (VTA) is subject to certain requirements regarding the inspection of public records, as implied by § 2.2-4342 and § 2.2-4354 of the Code of Virginia, which are referenced within § 2.2-2325 concerning the Authority’s procurement policies. While the Virginia Public Procurement Act (§ 2.2-4300 et seq.) does not directly apply to the Authority, the VTA’s governing board must adopt policies that incorporate principles of transparency and public access.

Key Points:

• Procurement Policies: The VTA’s procurement policies must include provisions for the inspection of public records, similar to those outlined in § 2.2-4342.
• Transparency: The Authority is required to post notices of certain contract awards on the Department of General Services’ central electronic procurement website or the Authority’s website, enhancing transparency in its operations.
• Public Interest: Ensuring public access to records aligns with the VTA’s mission to serve the public interest by promoting tourism and economic development in the Commonwealth.

Limitations:

• While the VTA is committed to transparency, certain records may be exempt from public inspection to protect proprietary information or other legitimate interests, consistent with state law.

8. Does the Virginia Tourism Authority Have Sovereign Immunity?

Yes, the Virginia Tourism Authority (VTA) possesses sovereign immunity (§ 2.2-2326). This means that the VTA, along with its directors, officers, employees, and agents, is entitled to the protections afforded by sovereign immunity, which shields them from certain types of lawsuits and liabilities.

What Sovereign Immunity Means

Sovereign immunity is a legal doctrine that protects governmental entities from being sued without their consent. This protection is essential for the VTA to carry out its public functions without undue interference from litigation.

Scope of Immunity

The provision explicitly states that no aspect of the Virginia Tourism Authority Act, nor any action taken by the Authority, including procuring insurance or self-insurance, should be interpreted as a waiver of sovereign immunity. This ensures that the VTA and its personnel are protected in their official capacities.

Importance of Sovereign Immunity

Sovereign immunity allows the VTA to focus on its mission of promoting tourism and economic development in Virginia without the distraction and potential financial strain of unwarranted legal challenges.

9. How Does the Virginia Tourism Authority Ensure Fair Procurement?

The Virginia Tourism Authority (VTA) is committed to ensuring fair procurement practices through policies adopted by its governing board. Although the Virginia Public Procurement Act (§ 2.2-4300 et seq.) does not apply directly to the VTA, the Authority must adhere to specific guidelines to promote competition, prevent discrimination, and ensure transparency.

Key Requirements for Procurement Policies:

• Competition: Policies must seek competition to the maximum practical degree.
• Competitive Negotiation: Competitive negotiation is required for professional services, including compliance with §§ 2.2-4302.2 and 2.2-4303.1, unless there is only one source practically available.
• Non-Discrimination: Policies must prohibit discrimination against bidders or offerors based on race, religion, color, sex, sexual orientation, gender identity, national origin, age, disability, status as a service-disabled veteran, or any other basis prohibited by federal or state law.
• Prompt Payment: Policies must incorporate the prompt payment principles of § 2.2-4350 and the payment clauses of § 2.2-4354.

Exceptions to Competitive Requirements:

• Low-Value Purchases: For purchases of goods or nonprofessional services under $200,000 or professional services or non-transportation-related construction under $80,000, the Authority is not required to comply with the competition requirements.
• Public Purpose Contributions: For larger purchases, the Authority can waive competitive requirements if it determines in writing that the purchase contributes to the public purpose and mission of the Authority, as described in § 2.2-2315. The Authority must document the rationale, the item being purchased, the contractor selected, the date of the award, and the relationship of the purchase to the Authority’s mission. This notice must be posted on the Department of General Services’ central electronic procurement website or the Authority’s website.
• Emergency Purchases: In emergencies, the Authority can make necessary purchases with such competition as is practicable under the circumstances, provided it documents the emergency and the reasons for the selection of the contractor.
• Sole Source Procurement: Upon determining in writing that there is only one source practicably available, a contract can be negotiated and awarded to that source without competitive negotiation.

Oversight and Review:

• The Authority must submit its procurement policies to the Governor, the Department of General Services, and the Chairs of the Senate Committee on General Laws and Technology and the House Committee on General Laws every five years, starting November 1, 2024.

10. What Is the Significance of the Virginia Tourism Authority Act?

The Virginia Tourism Authority Act is significant because it formally establishes the legal framework and operational guidelines for the Virginia Tourism Authority (VTA). This act, codified as § 2.2-2315 through § 2.2-2327 of the Code of Virginia, outlines the VTA’s purpose, powers, and responsibilities in promoting tourism and economic development within the Commonwealth.

Key Aspects of the Act:

• Declaration of Public Purpose: The act declares that promoting tourism is in the public interest and serves a public purpose by enhancing the health, safety, welfare, convenience, and prosperity of the people of Virginia.
• Establishment of the Authority: It creates the VTA as a public body corporate and a political subdivision of the Commonwealth, granting it the authority to operate as a public instrumentality.
• Powers and Duties: The act specifies the VTA’s powers and duties, including the ability to promote tourism, support the film industry, manage funds, acquire property, enter into contracts, and more.
• Governance Structure: It defines the governance structure of the VTA, including the roles of the Executive Director and the Board of Directors.
• Financial Provisions: The act addresses financial matters such as the deposit of money, investment of funds, and the management of various funds like the Cooperative Marketing Fund and the Governor’s Motion Picture Opportunity Fund.
• Exemptions and Immunities: It provides the VTA with exemptions from taxation and ensures sovereign immunity, protecting it from certain legal liabilities.
• Procurement Policies: The act mandates the adoption of procurement policies that promote competition, prevent discrimination, and ensure transparency.
• Liberal Construction: The act stipulates that its provisions should be liberally construed to effectuate its beneficial purposes.

Impact and Benefits:

• Economic Development: By promoting tourism, the act contributes to economic development by increasing revenue, creating jobs, and supporting local businesses.
• Public-Private Partnerships: It encourages collaboration between public and private entities to maximize the impact of tourism promotion efforts.
• Strategic Planning: The act enables the VTA to develop and implement strategic plans for promoting tourism and supporting related industries.
• Accountability and Transparency: While providing operational flexibility, the act also ensures accountability and transparency through financial reporting requirements and procurement policies.

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12. FAQ: Virginia Tourism Authority

12.1. Is the Virginia Tourism Authority a government agency?

Yes, the Virginia Tourism Authority (VTA) is a public body corporate and a political subdivision of the Commonwealth of Virginia, functioning as a public instrumentality.

12.2. What is the main purpose of the Virginia Tourism Authority?

The main purpose is to promote tourism and economic development within the Commonwealth by marketing and advertising Virginia’s tourist attractions and locations.

12.3. How is the Virginia Tourism Authority funded?

The VTA is funded through appropriations from the General Assembly, grants, contributions, and revenue from its activities and services.

12.4. Who appoints the Executive Director of the Virginia Tourism Authority?

The Governor appoints the Executive Director of the Authority.

12.5. Does the Virginia Tourism Authority have the power to acquire property?

Yes, the VTA has the power to acquire real or personal property, manage, operate, and improve such property, and sell, convey, mortgage, lease, or otherwise dispose of its properties and assets.

12.6. Is the Virginia Tourism Authority subject to the Virginia Public Procurement Act?

No, the VTA is not directly subject to the Virginia Public Procurement Act, but it must adopt procurement policies that promote competition, prevent discrimination, and ensure transparency.

12.7. Can the Virginia Tourism Authority make grants to local governments?

Yes, the VTA can make grants to local governments with any available funds.

12.8. How often does the Virginia Tourism Authority report its activities?

The VTA submits an annual report of its activities to the Governor following the close of each fiscal year.

12.9. Does the Virginia Tourism Authority have sovereign immunity?

Yes, the VTA possesses sovereign immunity, protecting it and its personnel from certain legal liabilities.

12.10. How can I contact the Virginia Tourism Authority?

While specific contact information isn’t provided in the extracted text, you can typically find contact details on the official Virginia Tourism Corporation website.

Conclusion

The Virginia Tourism Authority is a vital entity in promoting tourism and economic growth within the Commonwealth of Virginia. While it operates as a public body and not a nonprofit, its efforts are essential for showcasing Virginia’s attractions and supporting its tourism industry. And remember, when planning your adventure to Vietnam, SIXT.VN is here to provide seamless and personalized travel services.

Virginia Welcome Sign: A warm welcome to visitors entering the state of Virginia, highlighting its tourism appeal.