Chief Patron: Stump
DOC - Pocohontas

Item C-164.10 #1h

Language
Page 415, after line 12 insert:
The Department of Corrections, with the approval of the Board of Corrections and the Commonwealth Treasury Board, is hereby authorized to enter into a development and lease arrangement with the Industrial Development Authority of the County of Tazewell or such other agent or instrumentality of the County of Tazewell as designated by the County to provide for the design, construction, equipping and financing of an adult correctional facility or facilities on an approximately 870 acre site currently owned by the Commonwealth and commonly referred to as the Big Vein property near Pocohontas in Tazewell County.  The lease arrangements shall be subject to the following terms and conditions:
1.  The Commonwealth shall convey a leasehold interest in the subject real property and improvements thereto to the Tazewell Entity pursuant to a mutually agreeable ground lease whose term shall be no longer than 25 years from the date of occupancy of the correctional facilities.
2. The Tazewell entity shall re-lease the subject real property and improvements thereto to the Department of Corrections pursuant to the terms of a mutually agreeable financing lease whose term shall be no longer than 20 years from the date of occupancy of the correctional facilities.  Payments by the Commonwealth under such financing lease shall be subject to appropriation from time to time by the General Assembly.  At the conclusion of the term of the financing lease, the leasehold interest held by the Tazewell Entity shall be reconveyed to the Commonwealth at no additional cost.
3. The facilities to be provided by this arrangement generally may be described as an adult correctional facility or facilities of approximately 1,024 beds more or less, and may include work-release facilities with an additional 152 beds more or less, all of which shall conform in all material respects with the prototype designs of the Department of Corrections for such facilities.
4. It is the intent of the General Assembly that the provisions of Chapter 43 of Title 2.2, Code of Virginia, shall not apply to the contracts for the design, construction, equipping and financing of such facilities entered into by, or on behalf of, the Tazewell Entity, but such contracts shall be in a form acceptable to the Department of Corrections.  The costs for the design, construction, equipping and financing of such facilities shall be paid from proceeds of bonds or other debt issued by the Tazewell Entity.
5. The Commonwealth shall be responsible for the cost of maintenance and operation of such facilities as may be mutually agreed.
6. The ground lease and financing lease shall be approved by the Governor consistent with the provisions of § 2.2-1149 and § 2.2-1150, Code of Virginia.
7. It is the intent of the General Assembly that the facilities contemplated in this item shall be made available for occupancy no later than December 31, 2008, and all agencies and institutions of the Commonwealth are hereby directed to act forthwith to this end."