Authority: Title 53.1, Chapter 3 and § 53.1-21, Code of Virginia.

A.1. The Commonwealth's share of the cost to construct, renovate, or expand local correctional facilities shall be paid out of this appropriation as follows:

2. The Department of Corrections shall reimburse the Commonwealth's share of the construction, renovation, or expansion costs for the local jail facility specified in the preceding paragraph A 1 within 60 days of completion of such project. In the case of disagreement between the Department and the affected locality over cost items eligible for reimbursement, the Department may withhold only the amount in dispute for a period of 90 days pending resolution by the Board of Corrections.

B. Subject to the conditions stated in this Item, and with the prior written approval of the Director of the Department of Planning and Budget, there is hereby reappropriated the unexpended balances remaining at the close of business on June 30, 2002, and June 30, 2003, in the Financial Assistance for Confinement in Local Facilities program. The reappropriations shall be applicable only for payments owing for physical plant projects for local jails which have been approved by the Governor and for which contracts are in effect June 30, 2002, and June 30, 2003, respectively.

C.1. From July 1, 2002 to June 30, 2004, the Board of Corrections shall not approve or commit additional funds for the state share of the cost of construction, enlargement, or renovation of a local or regional jail facility. However, the Board may grant exceptions to address emergency projects needed to comply with Board of Corrections' standards or life safety code requirements, or to address projects mandated through consent decrees or memoranda of understanding, pursuant to the Civil Rights of Institutionalized Persons Act, 42 U.S.C. § 1997 et seq., and required by the United States Department of Justice, or to address those projects for which contracts for design, including architectural and engineering services, of a local or regional jail facility had been signed as of March 1, 1996.

2. Accomack and Northampton Counties are hereby exempted from the provisions of paragraph C 1 in order to proceed in planning for a regional jail facility to be located on the Eastern Shore.

3. Botetourt and Craig Counties are hereby exempted from the provisions of paragraph C 1 in order to proceed in planning for a regional jail serving these two counties.

4. Buchanan, Dickenson, Lee, Russell, Scott, Smyth, Washington and Wise Counties and the Town of Norton are hereby exempted from the provisions of paragraph C 1 in order to proceed in planning for a regional jail project to be located in Southwest Virginia.

5. The Clarke-Fauquier-Frederick-Winchester Regional Adult Detention Center is hereby exempted from the provisions of Paragraph C.1. in order to proceed in planning for an expansion project involving up to 120 beds. Notwithstanding the provisions of § 53.1-82.3, Code of Virginia, the governing body of this proposed facility may submit the required community-based corrections plan, facility specifications, and the expected financing costs to the Department of Corrections and State Board of Corrections for review prior to March 1, 2005. Furthermore, the Governor may include a recommendation for funding such project, for consideration by the General Assembly at its 2005 session.

D. The Department of Corrections may enter into agreements with each local and regional jail to house state-responsible offenders and effect transfers of convicted state felons between and among such jails. Such agreements shall be governed by the provisions of Item 67, paragraph I of this act. In accordance with these agreements, the Department is authorized to place up to 300 state-responsible offenders in local jails on work-release status.