COMMITTEE SUBSTITUTE

FOR

Senate Bill No. 292

(By Senators Miller, Bailey, Whitlow, Schoonover and Withers)

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[Originating in the Committee on Agriculture;

reported February 16, 1994.]

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A BILL to amend and reenact article twelve-a, chapter nineteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating to the transfer of institutional farms, equipment, agricultural products and all other assets, except sewage and water facilities and pipelines, from the farm management commission to the land division of the department of agriculture; legislative findings; definitions; creating the institutional farm advisory council; powers and duties of the council; powers and duties of the land division and the commissioner of the department of agriculture; and effect of transfer on farm management commission employees.

Be it enacted by the Legislature of West Virginia:
That article twelve-a, chapter nineteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted to read as follows:
ARTICLE 12A. LAND DIVISION.

§19-12A-1. Legislative findings and declarations.

The Legislature hereby finds that in order to ensure economic and efficient land use; increase and improve agricultural production; provide food for residents of state operated institutions; provide a means of delivering vocational training; provide a means of delivering a therapeutic work incentive program for inmates; and serve as stewards and caretakers for West Virginia agricultural and forested lands, state-owned farms should be transferred from the farm management commission to the land division of the department of agriculture.
The Legislature finds that the operation of all institutional farms under one management system with a single integrated farm plan is the most efficient method of providing the food the residents of state operated institutions need and promotes the health and welfare of all citizens of this state.
The Legislature declares that the department of agriculture is the logical agency to oversee the operation of all of these institutional farms; that the operation of these farms under the department of agriculture is in the best interest of the citizens of the state; and that the purchase of products from these farms by state institutions is in the best interest of the citizens of the state.
§19-12A-2. Definitions.

For the purpose of this article:
"Agricultural products" means livestock and livestock products, poultry and poultry products, fruits and fruit products, vegetables and vegetable products, grains and hays and the products derived therefrom, tobacco, syrups, honey and otherproducts derived from the business of farming; including such other products as may be manufactured, derived or prepared from agricultural products, raw or processed, which are used as food for man or animals.
"Commissioner" means the commissioner of the West Virginia department of agriculture or his/her designee.
"Council" means the institutional farm advisory council.
"Farm equipment" means any equipment used for agricultural production, owned or controlled by the farm management commission and transferred to the land division of the department of agriculture.
"Farm facility" means any processing plant, milking parlor, farm equipment storage building, barn, silo, grain storage building, swinery or any other building owned by an institution, used in its farming operations and transferred from the farm management commission to the land division of the department of agriculture, except sewage treatment facilities, water storage tanks and easements for pipelines to the facilities and tanks which facilities, tanks and easements shall be retained and maintained by the institutions.
"Institution" means any facility operated by the department of health and human resources or the division of corrections for care, treatment, confinement or rehabilitation of residents.
"Institutional farm" means any land owned by the farm management commission and which was formerly operated as a farm, is now being operated as a farm or could be converted to a farm with agricultural production, and is transferred to the land division of the department of agriculture as provided in thisarticle.
§19-12A-3. Institutional farm advisory council; composition; terms; meetings; duties.

There is hereby created an institutional farm advisory council and shall consist of an appointee from the division of forestry, an appointee from the West Virginia University college of agriculture and forestry, an appointee from the division of corrections, a private farmer who has been in the farming business at least five years and a private citizen of this state, who by training or experience is knowlegeable about the field of agriculture. The farmer and the citizen shall be appointed by the commissioner. The terms for the members shall be three years and they may be reappointed. The commissioner shall serve as chairperson and shall only have voting privileges in the event of a tie vote.
No business shall be transacted by the council in the absence of a quorum. The institutional farm advisory council shall hold meetings at least twice per year or at the call of the commissioner or at the request of a majority of the membership. Members of the institutional farm advisory council shall only receive payment for actual expenses incurred.
The institutional farm advisory council shall advise the commissioner on matters relating to the operation of the institutional farms. The commissioner shall secure the approval of the institutional farm advisory council when leasing lands to private parties; transferring land to the public land corporation; leasing any oil, gas or mineral resource; selling timber; and consult the council on any matter affecting theinstitutional farms.
§19-12A-4. Transfer of institutional farms, equipment and all other assets and agricultural products to the land division of the department of agriculture; uninterrupted continuance of operation.

(a) On the first day of July, one thousand nine hundred ninety-four, the farm management commission shall transfer all institutional farms and all easements, mineral rights, appurtenances, farm equipment, agricultural products, inventories and farm facilities thereon, or attached thereto, except sewage treatment facilities, water storage tanks and easements for pipelines to the facilities and tanks which facilities, tanks and easements shall be retained and maintained by the institutions, to the land division of the department of agriculture, as set forth below:
(1) The Lakin state hospital institutional farm, located at Lakin, Mason county, which shall include not less than nine hundred fifty acres;
(2) The Weston state hospital institutional farm, located at Weston, Lewis county, which shall include not less than three hundred fifty acres;
(3) The Huttonsville correctional center institutional farm, located at Huttonsville, Randolph county, which shall include not less than five thousand two hundred acres, including all of the tract of land commonly known as Becky's Creek farm;
(4) The Hopemont state hospital institutional farm, located at Terra Alta, Preston county, which shall include not less than five hundred acres;
(5) The West Virginia industrial school for boys institutional farm, located at Pruntytown, Taylor county, which shall include not less than one thousand five hundred eighty- seven acres;
(6) The Pinecrest state hospital institutional farm, located at Beckley, Raleigh county, which shall include not less than two hundred acres;
(7) The West Virginia penitentiary institutional farm, located at Moundsville, Marshall county, which shall contain not less than one hundred acres;
(8) The Andrew S. Rowan memorial home institutional farm, located at Sweet Springs, Monroe county, which shall include not less than six hundred fifty acres;
(9) The West Virginia children's home institutional farm, located at Elkins, Randolph county, which shall include not less than one hundred fifty acres.
(b) The commissioner of agriculture and the institutional farm advisory council shall ensure that the operation of the institutional farms shall not be interrupted or discontinued.
(c) On the first day of July, one thousand nine hundred ninety-four, all other assets, money, bank accounts and funds held or under the control of the farm management commission, including its special revenue account, shall be transferred to the department of agriculture's special revenue account.
§19-12A-5. Powers and duties of the commissioner of agriculture and the land division of the department of agriculture.

(a) The land division of the department of agriculture shall manage the institutional farms, equipment and other property,transferred to it by the farm management commission, in the most efficient way to produce food products for state institutions, and shall implement the intent of the Legislature as set forth by this article. In the event of surplus, the commissioner may market food products through any available commercial channel to secure the highest return. If the food product is useable but not marketable, the commissioner may donate the food product to senior citizens or other public or private groups.
(b) The commissioner of agriculture is specifically authorized and empowered, in addition to all other powers and authority provided elsewhere, to:
(1) Lease to public or private parties, for agricultural production, experimentation or public necessity, any land easements, equipment or other property: Provided, That no property shall be leased for any use in any manner that would render the land toxic for agricultural use, nor shall toxic or hazardous materials, as identified by the commissioner of agriculture, be used or stored upon the property, unless all applicable state and federal permits necessary are obtained.
Any lease for an annual consideration of one thousand dollars or more shall be by sealed bid and the land division shall give notice of the bid procedure by publication as a Class II-0 legal advertisement, in compliance with the provisions of article three, chapter fifty-nine of this code, and the publication area for such publication shall be the county in which the property to be leased is located;
(2) Transfer to the public land corporation any land designated by the institutional farm advisory council and thecommissioner to be disposed of and which land shall be sold, exchanged or otherwise transferred pursuant to sections four and five, article one-a, chapter twenty of this code:
Provided, That the net proceeds of the sale of these lands shall be deposited in the general revenue fund of the state: Provided, however, That no sale may be concluded until on or after the fifteenth day of March, one thousand nine hundred ninety-five, except with respect to: (A) Properties located at institutions closed on or before the effective date of this section; or (B) properties conveyed to or from the department of agriculture or any other entity in order to facilitate the construction of a regional jail or correctional facility by the regional jail and correctional facilities authority or the state building commission, with the decision to execute any such conveyance being solely within the discretion of, and at the direction of, the regional jail and correctional facilities authority;
(3) Develop the lands of the department of agriculture for the public use including forestation, recreation, wildlife, stock grazing, agricultural production, experimentation, rehabilitation and/or other conservation activities;
(4) Contract or lease for the development of timber, oil, gas or mineral resources, including coal by underground mining or by surface mining where reclamation as required by specifications of the division of energy will increase the beneficial use of such property. Any such contract or lease shall be by sealed bid, as provided in subdivision (1) of this subsection;
(5) Seek and receive grants or moneys from other sources in order to accomplish the purposes of this article; and
(6) Exercise all other powers and duties necessary to effectuate the purposes of this article.
(c) Notwithstanding the provisions of subdivision (4), subsection (b) of this section, no timberland may be leased, sold, exchanged or otherwise disposed of unless the division of forestry of the department of commerce, labor and environmental resources, certifies that there is no commercially salable timber on the timberland, an inventory is provided, an appraisal of the timber is provided, and the sale, lease, exchange or other disposition is accomplished by the sealed bid procedure provided in subdivision (1) of said subsection.
(d) State institutions are required to purchase commodities or products produced on the institutional farms when prices are competitive and when products produced are similar to products purchased by the institutions from other sources. State institutions shall purchase a proportionate amount of these products based on the dietary needs of each institution.
(e) The commissioner of agriculture and the commissioner of corrections may make cooperative joint agreements, that are mutually beneficial to both agencies, concerning the use of inmates for job training, therapy and the preservation of these institutional farms.
(f) The commissioner, in consultation with the institutional farm advisory council, shall promulgate rules, in accordance with chapter twenty-nine-a of this code, to implement the provisions of this article.
(g) All funds collected by virtue of this article, whether from the sale of food, the disposition of assets other than land,the leasing of land or minerals, or from any other source, shall be paid into a special revenue account to be used for purposes of this article.
(h) The commissioner shall direct the land division to prepare an annual report and before the fifteenth day of January of each year, present this report to the Legislature.
§19-12A-6. Effect of transfer on employees.

Nothing contained in this transfer from the farm commission to the land division of the department of agriculture, pursuant to this article, shall be construed to abridge the rights of farm employees. The employees shall remain under the procedures and protections of sections ten and ten-a, article six, chapter twenty-nine of this code, subject to the limitations set forth in subsection (d), section two, article two, chapter five-f of this code.