Senate Bill No. 652
(By Senators Minard, Oliverio, Bailey, Prezioso, Jenkins,
Facemyer, Chafin, Edgell, Fanning, Plymale, Love, Hunter,
Stollings, Caruth, Helmick, Foster, Guills, Bowman, Tomblin, Mr.
President, Green, Kessler, Deem, McKenzie and White)
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[Introduced February 13, 2008; referred to the Committee on
Natural Resources; and then to the Committee on Finance.]
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A BILL to amend and reenact §20-5-16 of the Code of West Virginia,
1931, as amended, relating to allowing the Director of the
Division of Natural Resources to enter into contracts granting
long-term usage and related rights and privileges to third
parties sufficient to attract private investment for the
financing, construction and operation of additional lodging
units at Stonewall Jackson Lake State Park; and directing the
Director of the Division of Natural Resources to file
emergency and legislative rules governing any such long-term
usage contracts and related rights and privileges.
Be it enacted by the Legislature of West Virginia:
That §20-5-16 of the Code of West Virginia, 1931, as amended,
be amended and reenacted to read as follows:
ARTICLE 5. PARKS AND RECREATION.
§20-5-16. Authority to enter into contracts with third parties to
construct recreational facilities and cabins; public
comment.
(a) Notwithstanding any other provision of this code to the
contrary, in addition to all other powers and authority vested in
the director, he or she is hereby authorized and empowered to:
(1) Enter into contracts with third parties for the financing,
construction and operation of recreational, lodging and ancillary
facilities at Chief Logan State Park, Beech Fork State Park,
Tomlinson Run State Park, Stonewall Jackson Lake State Park, Lost
River State Park and Canaan Valley Resort State Park. The
contracts may allow and recognize both direct and subsidiary
investment arrangements. The term of the contracts may not exceed
a period of twenty-five years.
at which time the full title to the
recreational facilities shall vest in the state; With respect to
the financing, construction and operation of lodging at Stonewall
Jackson Lake State Park in addition to the lodging in existence as
of the first day of July, two thousand eight, such contracts may
grant, convey or provide for commercially reasonable lodging usage
and related rights and privileges all on such terms and conditions
as the director may deem appropriate, desirable or necessary to
attract private investment for the construction of such additional
lodging units: Provided, That the director shall propose emergency
and legislative rules, in accordance with the provisions of article three, chapter twenty-nine-a of this code, governing the financing,
construction and operation of such additional lodging units at
Stonewall Jackson Lake State Park, which emergency and legislative
rules shall include at a minimum the following provisions:
(A) No more than one hundred additional lodging units may be
constructed, in addition to the lodging in existence as of the
first day of July, two thousand eight;
(B) Lodging unit contracts in respect of any and all such
additional lodging units that may be financed, constructed or
operated pursuant to the provision of this section shall generally
conform to the provisions of contracts entered into by federal
agencies or the National Park Service with private parties in
respect of privately financed property that is constructed,
developed or operated on public lands administered by federal
agencies or the National Park Service from time to time, subject to
modification and adaptation by the director as the director deems
appropriate, suitable and relevant to any such lodging units to be
constructed at Stonewall Jackson Lake State Park.
(C) A party granted rights and privileges under lodging unit
contracts awarded under the provisions of this section shall have
the right to renew his, her or its lodging unit contract for
successive terms not to exceed ninety-nine consecutive years:
Provided, That the party extended such renewal rights is in
compliance with all material rights, duties and obligations arising under his, her or its contract and all relevant and applicable
provisions of federal, state and local laws, rules, regulations,
contracts or agreements at the time of any such renewal: Provided,
however, That such renewals may be extended for more than
ninety-nine successive years if and in the event the director makes
an affirmative determination that such renewal or renewals are in
the best interest of the state and Stonewall Jackson Lake State
Park, giving due consideration to financial, operational and other
considerations deemed relevant and material by the director;
(D) All rights and privileges arising under any lodging unit
contract shall be transferred to the state or the state's designee
upon the expiration or termination of any such contract, all on
such terms and conditions as each such contract may provide or as
may otherwise be agreed between the parties;
(E) At the time of transfer of any lodging unit contract from
a private party to the state or the state's designee, whether at
the end of a contract term or otherwise, the private party shall be
paid the fair value of the private party's residual rights and
privileges under such lodging unit contract, such residual rights
and privileges to be valued generally in accordance with the
valuation standards set forth in the National Park Service's
standard contract provisions, or such other relevant federal agency
standards applicable to similar or like contract rights and
provisions as may be in existence at the time of such transfer, all as the same may be deemed relevant and appropriate by the director,
and all in the exercise of the director's reasonable discretion.
(2) Enter into contracts with third parties for the
construction, but not the operation, of cabins at any state park or
forest. Upon completion of the construction of the cabins, full
title to the cabins shall immediately vest in the state and the
cabins shall be operated by the parks and recreation section;
(3) Authorize the construction of at least five cabins by any
single third party in state parks and state forests which do not
offer such facilities on the effective date of this subsection; and
(4) Propose emergency and legislative rules, in accordance
with the provisions of article three, chapter twenty-nine-a of this
code, that set the conditions upon which the director may enter
into a contract with a single third party proposing to construct
cabins.
(b) All contracts shall be presented to the Joint Committee on
Government and Finance for review and comment prior to execution.
(c) A contract may provide for renewal for the purpose of
permitting continued operation of the facilities at the option of
the director for a term or terms not to exceed ten years.
(d)
Except as otherwise authorized by this section, no
extension or renewal beyond the original twenty-five year term may
be executed by the director absent the approval of the Joint
Committee on Government and Finance.
NOTE: The purpose of this bill is to attract private
investment for financing, construction and operation of additional
public cottages at Stonewall Jackson Lake State Park. The bill
authorizes and directs the Director of the Division of Natural
Resources to promulgate rules regarding the granting of long-term
lodging unit usage and related rights and privileges to private
parties on commercially reasonable terms that are deemed
appropriate, desirable or necessary by the Director to attract
additional private investment for such purposes.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.