Powers of Local Government

Question 1

Does a locality have any inherent powers?

Answer 1

No

Question 2

Where does a locality get its powers?

Answer 2

Charter or by statute in VA

Question 3

What are some powers almost all localities have?

Answer 3

Taxes (property)
Sue and be sued
Enter in contracts
Acquire hold and dispose of revenue
Borrow money and issue bonds
Acquire hold and dispose real estate

Question 4

What is Dillon’s Rule?

Answer 4

Locality can only exercise powers expressly given by statute or charter

And no other powers unless implied in or incident to expressly granted powers

Or unless the implied power is essential to the the declared purpose of creating the locality

Question 5

What is Dillon’s rule in plain English?

Answer 5

Localities may only use powers given to them or sub powers of express powers

Or if a power is needed to create the locality

Question 6

Do localities have a limit on debt they can incur?

Answer 6

No bonds in excess of 10% of assessed value of locality real estate

Question 7

What are the four factors taken into consideration for the police power of a locality?

Answer 7

Health, safety, morals, and welfare of the inhabitants of the state

Question 8

What kind of taxation power does a locality have?

Answer 8

No income tax but may levy property taxes

Question 9

Does a locality have licensing power?

Answer 9

Yes. Any business, occupation, or activity

Question 10

What kind of tax is allowed under licensing power?

Answer 10

May tax the gross receipts of an activity