West Virginia Code of State Rules Agency 109 - Municipal Bond Commission
West Virginia Code of State Rules – Agency 109: Municipal Bond Commission
1. Overview
Agency 109 in the West Virginia Code of State Rules contains the procedural rules governing the West Virginia Municipal Bond Commission (MBC). The Commission is a state entity that acts as a fiscal agent for municipalities, overseeing public bonded indebtedness and municipal finance matters. Agency 109 does not regulate bond issuance directly; rather, it provides rules for how the Commission conducts meetings, records decisions, and enforces internal procedures.
The Commission’s rules are organized as:
Series 109‑01 – General procedural rules.
Series 109‑02 – Specific rules for Commission and executive committee meetings.
These rules ensure transparent and orderly governance consistent with statutory authority.
2. Statutory Authority
The Municipal Bond Commission is authorized under Chapter 13, Article 3 of the West Virginia Code, which governs municipal bonded indebtedness. Key points:
Creation and Composition
The Commission has five members:
Three ex officio members: State Auditor, State Treasurer, and State Tax Commissioner.
Two appointed members: one a mayor or former mayor, and one a county commissioner or former commissioner.
Vacancies are filled according to statutory procedures.
Powers and Duties
Serve as fiscal agent for municipalities issuing bonds.
Approve or manage municipal bond procedures.
Administer funds held for municipalities.
Rulemaking Authority
The Commission is authorized to adopt rules to govern its internal procedures, including meeting schedules, quorum requirements, and enforcement of compliance during meetings.
3. Contents of Agency 109 Rules
a) Purpose and Scope
Governs all meetings and procedural functions of the Commission and its committees.
Ensures transparent, consistent, and lawful operations.
Applies to both members and persons wishing to address the Commission.
b) Definitions
Commission: The Municipal Bond Commission as defined by statute.
Chair: The State Tax Commissioner, who presides over meetings.
Meeting: Any official convening of the Commission requiring a quorum.
Quorum: Minimum of three members present for official business.
c) Meetings
Notice: Meetings must be properly announced in advance.
Agendas: Must be prepared and followed.
Minutes: Written records are maintained for all meetings.
Executive Sessions: Allowed only under certain conditions (for sensitive matters), consistent with statutory and administrative law standards.
d) Enforcement
The Chair enforces procedural compliance during meetings.
Members or attendees not following procedural rules may be directed to comply or removed from participation.
4. Relationship Between Rules and Statute
Procedural rules are secondary to statute. Agency 109 rules cannot exceed the authority granted under Chapter 13, Article 3.
Rules implement statutory intent by ensuring orderly governance without altering bond issuance powers.
The quorum and officer roles defined in the rules mirror statutory composition of the Commission.
5. Case Law
a) Direct Case Law
There is no reported West Virginia appellate case that directly interprets or invalidates Agency 109 procedural rules.
Disputes over Commission procedures are usually resolved administratively rather than in court.
b) General Administrative Principles
Courts would likely apply standard principles of administrative law if a challenge arose:
Rule Validity
Must be authorized by statute.
Cannot impose requirements beyond legislative authority.
Due Process
Meetings must provide notice and a fair opportunity to be heard if members of the public are involved.
Judicial Review
A party affected by a Commission action may appeal under the West Virginia Administrative Procedures Act, asking a court to review:
Whether the rule is validly adopted.
Whether the Commission acted within its statutory authority.
Whether there was an abuse of discretion or violation of constitutional rights.
6. Practical Effects
Agency 109 rules ensure:
Transparent meetings – notices, agendas, and minutes.
Defined quorum and voting – minimum members needed for action.
Internal governance – Chair has authority to enforce procedural rules.
Consistency – all attendees and members follow the same procedures.
These rules do not govern the financial, investment, or issuance aspects of municipal bonds; those remain under statutory authority.
7. Key Takeaways
| Aspect | Key Points |
|---|---|
| Purpose | Procedural governance of the Municipal Bond Commission. |
| Authority | Chapter 13, Article 3 of the WV Code; Commission rulemaking authority. |
| Content | Meeting procedures, quorum, agendas, minutes, enforcement. |
| Case Law | No direct appellate decisions; general administrative law applies. |
| Enforcement | Chair presides and ensures compliance; judicial review possible under administrative law. |
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