1. Notwithstanding other provisions of the Code of Virginia, the State Board of Education, assisted by the Department of General Services, shall enter into either 1) a conventional design contract and a construction manager at risk  contract, or 2) an interim agreement under the Public-Private Education Facilities and Infrastructure Act of 2002 (§ 56-575.1 et seq., Code of Virginia) to plan and design the consolidation of the Virginia School for the Deaf and the Blind at Staunton and the Virginia School for the Deaf, Blind and Multi-disabled at Hampton into a single campus and transfer the students, programs and services to a single campus at Staunton. Funding in this item is provided to plan for the necessary renovations, additions and new facility construction at the Staunton campus.  The Department of General Services shall develop a plan for disposing of buildings and property no longer necessary for special education purposes. The Department of General Services shall work with the City of Staunton and the Department of Historic Resources when considering proposals that may transfer ownership to or establish long-term leases with private entities. The properties shall be conveyed with appropriate historic easements at fair market value with the proceeds reverting to the general fund to offset the cost of construction of the new facility.

2. The Department of Education shall assist with the coordination with appropriate local entities for the transition of services to a regional day program in the Hampton Roads area by no later than June 30, 2008. The Department of General Services, in conjunction with the Board of Education may, with the Governor's approval, convey the current Hampton campus to an existing nonprofit or public entity in Hampton Roads to facilitate these services. In addition, the Department of Education shall provide appropriate technical assistance to regional special education programs and school divisions statewide. The Department of General Services shall develop a plan for disposing of buildings and property no longer necessary for special education purposes in the City of Hampton. The Department of General Services shall work with the City of Hampton and the Department of Historic Resources when considering proposals that may transfer ownership to or establish long-term leases with private entities. The properties shall be conveyed with appropriate historic easements at fair market value.

3. Out of this appropriation, $3,500,000 the second year from the general fund is available to continue the process for achieving consolidation of the two schools at the Staunton Campus.  Such funds may be used for, but are not limited to, expenditures to continue planning for consolidation at the Staunton campus and expenditures to facilitate the future use of the Hampton campus.