12105120D
SENATE BILL NO. 494
AMENDMENT IN THE NATURE OF A SUBSTITUTE
(Proposed by the Senate Committee on Finance
on February 7, 2012)
(Patrons Prior to Substitute--Senators Watkins and Hanger)
A BILL to amend and reenact §§10.1-1186.01 and 62.1-241.12 of
the Code of Virginia and to amend and reenact the third enactment of Chapters
851 and 900 of the Acts of Assembly of 2007, relating to reimbursement to
localities of funds for upgrades of publicly owned treatment works and grants
for CSO projects in Lynchburg and Richmond.
Be it enacted by the General Assembly of Virginia:
1. That §§10.1-1186.01 and 62.1-241.12 of the Code of
Virginia are amended and reenacted as follows:
§10.1-1186.01. Reimbursements to localities for upgrades to
treatment works.
A. The General Assembly shall fund grants to finance the
reasonable costs of design and installation of nutrient removal technology at
the publicly owned treatment works designated as significant dischargers
contained in subsection E, or as eligible nonsignificant dischargers as defined
in §10.1-2117. Notwithstanding §10.1-2128, at such time as grant
disbursements pursuant to this section reach 200 percent of the appropriations
provided for in Chapter 951 of the Acts of Assembly of 2005 and Chapter 10 of
the Acts of Assembly of 2006, Special Session I, the House Committee on
Agriculture, Chesapeake and Natural Resources, the House Committee on
Appropriations, the Senate Committee on Agriculture, Conservation and Natural
Resources, and the Senate Committee on Finance shall review the future funding
needs to meet the purposes of the Water Quality Improvement Act and the appropriate
funding mechanism for such needs.
B. The disbursement of grants for the design and installation
of nutrient removal technology at those publicly owned treatment works included
in subsection E and eligible nonsignificant dischargers shall be made monthly
based on a requisition submitted by the grant recipient in the form requested
by the Department. Each requisition shall include written certification that
the applicable local share of the cost of nutrient removal technology for that
portion of the project covered by such requisition has been incurred or
expended. Except as may otherwise be approved by the Department, disbursements
shall not exceed 95 percent of the total grant amount until satisfactory
completion of the project. The distribution of the grants shall be effected by
one of the following methods:
1. In payments to be paid by the State Treasurer out of funds
appropriated to the Water Quality Improvement Fund pursuant to §10.1-2131;
2. Over a specified time through a contractual agreement entered
into by the Treasury Board and approved by the Governor, on behalf of the
Commonwealth, and the locality or public service authority undertaking the
design and installation of nutrient removal technology, such payments to be
paid by the State Treasurer out of funds appropriated to the Treasury Board; or
3. In payments to be paid by the State Treasurer upon request
of the Director of Environmental Quality out of proceeds from bonds issued by
the Virginia Public Building Authority, in consultation with the Department of
Environmental Quality, pursuant to §§2.2-2261, 2.2-2263, and 2.2-2264,
including the Commonwealth's share of the interest costs expended by the
locality or regional authority for financing such project during the period
from 50% 50 percent completion of construction to final
completion of construction.
C. The General Assembly shall have the sole authority to
determine whether disbursement will be made pursuant to subdivision B 1, B 2,
or B 3, or a combination thereof;, provided that a disbursement
shall only be made pursuant to subdivision B 3 upon a certification by the
Department of Environmental Quality that project grant reimbursements for the
fiscal year will exceed the available funds in the Water Quality Improvement
Fund.
D. Exclusive of any deposits made pursuant to §10.1-2128, the
grants awarded pursuant to this section shall include such appropriations as
provided for in Chapter 951 of the Acts of Assembly of 2005; and Chapter
10 of the Acts of Assembly of 2006, Special Session I.
E. The disbursement of grants to finance the costs of design
and installation of nutrient removal technology at the following 89 85
publicly owned treatment works and other eligible nonsignificant
dischargers shall be provided pursuant to the distribution methodology included
in §10.1-2131. However, in no case shall any publicly owned treatment works
receive a grant of less than 35% 35 percent of the costs of the
design and installation of nutrient removal technology.
FACILITY NAME OWNER
Shenandoah - Potomac River Basin
ACSA-Fishersville STP Augusta County Service Authority
Luray STP Town of Luray
ACSA-Middle River Regional STP Augusta County Service Authority
HRRSA-North River WWTF
Regional Sewer Authority Harrisonburg-Rockingham
ACSA-Stuarts Draft STP Augusta County Service Authority
Waynesboro STP City of Waynesboro
ACSA-Weyers Cave STP Augusta County Service Authority
Berryville STP Town of Berryville
Front Royal STP Town of Front Royal
Mount Jackson STP Town of Mount Jackson
New Market STP Town of New Market
Shenandoah Co.-North Fork
Regional WWTP Shenandoah County
Stoney Creek Sanitary District STP Stoney Creek Sanitary District
Strasburg STP Town of Strasburg
Woodstock STP Town of Woodstock
FWSA-Opequon Water Reclamation
Facility Authority Frederick-Winchester Service
FWSA-Parkins Mill WWTF Authority Frederick-Winchester Service
Purcellville-Basham Simms WWTF Town of Purcellville
LCSA-Broad Run WRF Loudoun County Service Authority
Leesburg WPCF Town of Leesburg
Round Hill WWTP Town of Round Hill
PWCSA-H.L. Mooney WWTF Authority Prince William County Service
Upper Occoquan Sewage Authority WWTP Upper Occoquan Sewage Authority
FCW&SA-Vint Hill WWTF Fauquier County Water and Sewer
Authority
Alexandria Sanitation Authority WWTP Alexandria Sanitation Authority
Arlington Co. WPCF Arlington County
Fairfax Co. - Noman-Cole
Pollution Control Facility Fairfax County
Stafford Co.-Aquia WWTP Stafford County
Colonial Beach STP Town of Colonial Beach
Dahlgren Sanitary District WWTP
Authority King George County Service
Fairview Beach STP Authority King George County Service
Purkins Corner WWTP Authority King George County Service
District of Columbia - Blue
Plains STP (Virginia portion
and Fairfax County contract
for capacity) Loudoun County Service Authority
Rappahannock River Basin
Culpeper WWTP Town of Culpeper
Marshall WWTP Town of Marshall
Mountain Run WWTP Culpeper County
Orange STP Town of Orange
Rapidan STP Rapidan Service Authority
FCW&SA-Remington WWTP Fauquier County Water and Sewer
Authority
Warrenton STP Town of Warrenton
Wilderness Shores WWTP Rapidan Service Authority
Spotsylvania Co.-FMC WWTF Spotsylvania County
Fredericksburg WWTF City of Fredericksburg
Stafford Co.-Little Falls Run WWTF Stafford County
Spotsylvania Co.-Massaponax WWTF Spotsylvania County
Montross-Westmoreland WWTP Westmoreland County
Oakland Park STP Authority King George County Service
Tappahannock WWTP Town of Tappahannock
Urbanna WWTP Hampton Roads Sanitation District
Warsaw STP Town of Warsaw
Reedville Sanitary District WWTP Reedville Sanitary District
Kilmarnock WWTP Town of Kilmarnock
York River Basin
Caroline Co. Regional STP Caroline County
Gordonsville STP Rapidan Service Authority
Ashland WWTP Hanover County
Doswell WWTP Hanover County
HRSD-York River STP Hampton Roads Sanitation District
Parham Landing WWTP New Kent County
Totopotomoy WWTP Hanover County
HRSD-West Point STP Hampton Roads Sanitation District
HRSD-Mathews Courthouse STP Hampton Roads Sanitation District
James River Basin
Buena Vista STP City of Buena Vista
Clifton Forge STP Town of Clifton Forge
Covington STP City of Covington
Lexington-Rockbridge Regional WQCF Maury Service Authority
Alleghany Co.-Low Moor STP Alleghany County
Alleghany Co.-Lower Jackson River
WWTP Alleghany County
Amherst-Rutledge Creek WWTP Town of Amherst
Lynchburg STP City of Lynchburg
RWSA-Moores Creek Regional STP
Authority Rivanna Water and Sewer
Crewe WWTP Town of Crewe
Farmville WWTP Town of Farmville
Chesterfield Co.-Falling Creek WWTP Chesterfield County
Henrico Co. WWTP Henrico County
Hopewell Regional WWTF City of Hopewell
Chesterfield Co.-Proctors Creek WWTP Chesterfield County
Richmond WWTP City of Richmond
South Central Wastewater
Authority WWTF South Central Wastewater Authority
Chickahominy WWTP New Kent County
HRSD-Boat Harbor STP District Hampton Roads Sanitation
HRSD-James River STP District Hampton Roads Sanitation
HRSD-Williamsburg STP District Hampton Roads Sanitation
HRSD-Nansemond STP District Hampton Roads Sanitation
HRSD-Army Base STP District Hampton Roads Sanitation
HRSD-Virginia Initiative Plant STP
District Hampton Roads Sanitation
HRSD-Chesapeake/Elizabeth STP
District Hampton Roads Sanitation
Eastern Shore Basin
Cape Charles WWTP Town of Cape Charles
Onancock WWTP Town of Onancock
Tangier Island WWTP Town of Tangier
Broadway Regional WWTP Town of Broadway
F. To the extent that any publicly owned treatment works
receives less than the grant specified pursuant to §10.1-2131, any year-end
revenue surplus or unappropriated balances deposited in the Water Quality Improvement
Fund, as required by §10.1-2128, shall be prioritized in order to augment the
funding of those projects for which grants have been prorated. Any additional
reimbursements to these prorated projects shall not exceed the total
reimbursement amount due pursuant to the formula established in subsection E of
§10.1-2131.
G. Notwithstanding the provisions of subsection B of §
10.1-2131, the Director of the Department of Environmental Quality shall not be
required to enter into a grant agreement with a facility designated as a
significant discharger or eligible nonsignificant discharger if the Director
determines that the use of nutrient credits in accordance with the Chesapeake
Bay Watershed Nutrient Credit Exchange Program (§62.1-44.19:12 et seq.) would
be significantly more cost-effective than the installation of nutrient controls
for the facility in question.
§62.1-241.12. Combined Sewer Overflow Matching Fund
established; purposes.
A. There is hereby established the Combined Sewer
Overflow Matching Fund ("Fund") to match federal money for
purposes of providing provide grants to localities for CSO projects.
The Fund shall be established out of the sums appropriated from time to time by
the General Assembly for the purpose of matching, which may include
funds designated to match federal funds allocated to Virginia for CSO
controls, and funds from any other source, public or private. The Fund,
and all income from the investment of moneys held in the Fund and any other
sums designated for deposit to the Fund from any source, public or private,
shall be set apart as a permanent and perpetual fund, subject to liquidation
only upon the solution of Virginia's combined sewer overflow problems, as may
be determined by the General Assembly. The Fund shall be administered and
managed by the Virginia Resources Authority, subject to the right of the State
Water Control Board, following consultation with the Authority, to direct the
distribution of grants from the Fund to particular local governments. The State
Water Control Board may establish such terms and conditions on any grant as it
deems appropriate, and grants shall be disbursed from the Fund by the Virginia
Resources Authority in accordance with the written direction of the State Water
Control Board.
B. In the fiscal year beginning July 1, 2012, not less than
$78 million of the net proceeds of bonds issued by the Virginia Public Building
Authority shall be deposited into the Fund to be used, along with any interest
earnings thereon, by the Virginia Resources Authority and the State Water
Control Board to make grants to the cities of Lynchburg and Richmond to pay a
portion of the capital costs of their CSO control projects. Thirty-six percent
of such net proceeds shall be provided to the City of Lynchburg and 64 percent
to the City of Richmond. No such net proceeds shall be used to pay debt service
on obligations of the Cities of Lynchburg or Richmond or any other localities
or regional or local authorities.
2. That the third enactment of Chapters 851 and 900 of
the Acts of Assembly of 2007 are amended and reenacted as follows:
3. That based upon a determination
determinations by the General Assembly pursuant to (i) subsection C
of §10.1-1186.01 of the Code of Virginia to distribute the grants
certain Water Quality Improvement Grants for the design and installation of
nutrient removal technology at publicly owned treatment works designated as
significant dischargers or as eligible nonsignificant dischargers as defined in
§10.1-2117 of the Code of Virginia and (ii) subsection B of §62.1-241.12
of the Code of Virginia to make grants to the Cities of Lynchburg and Richmond
to pay a portion of the capital costs of their combined sewer overflow control
projects, through the use of bonds as provided for in subdivision B 3 of §
10.1-1186.01 and subsection B of §62.1-241.12, the Virginia Public
Building Authority is authorized to fund certain Water Quality Improvement
Grants such grants through the issuance of bonds as follows:
§1. Pursuant to §§2.2-2261, 2.2-2263, and 2.2-2264 of the
Code of Virginia, the Virginia Public Building Authority is hereby authorized
to finance, through the issuance of bonds, without limitation and together
with other available funds, (i) certain Virginia Water Quality Improvement
Grants pursuant to Article 4 (§10.1-2128 et seq.) of Chapter 21.1 of Title
10.1 of the Code of Virginia, through the issuance of bonds, without
limitation and together with other available funds ("Nutrient
Removal Grants") and (ii) certain Combined Sewer Overflow grants pursuant
to subsection B of §62.1-241.12 of the Code of Virginia ("CSO
Grants," and together with Nutrient Removal Grants, "the
Grants"). Such grants Grants shall be used exclusively
to fund (a) a portion of some or all of the acquisition, design,
construction, installation, equipping equipage, improvement, or
renovation of nutrient removal technology for significant dischargers contained
in §2 of this enactment subsection E of §10.1-1186.01 of the Code
of Virginia and eligible nonsignificant dischargers as defined in §
10.1-2117 of the Code of Virginia and (b) a portion of the capital costs of
the combined sewer overflow control projects of the Cities of Lynchburg and
Richmond pursuant to subsection B of §62.1-241.12.
§2. The Virginia Public Building Authority is authorized
to take any and all necessary, proper, or convenient steps and to exercise any
and all powers granted to it by law to carry out the undertaking and financing
contemplated by the provisions of this enactment, including the power to
finance grants the Grants to fund a portion of the costs of any
or all of the projects set forth in this act by the issuance of revenue bonds
from time to time in an aggregate principal amount not to exceed $250 $628
million, plus amounts needed to fund issuance costs, reserve funds,
original issue discount, and other financing expenses.
§3. The $550 million of the net proceeds of
Virginia Public Building Authority bonds shall finance Virginia Water
Quality Improvement Nutrient Removal Grants to fund or reimburse
approved capital costs for each such nutrient removal project as and to
the extent determined by the Department of Environmental Quality pursuant to
the provisions of this enactment and of Article 4 (§10.1-2128 et seq.) of
Chapter 21.1 of Title 10.1 of the Code of Virginia, including but not limited
to the qualifications of projects for Virginia Water Quality Improvement Grants
as set forth in §§10.1-2129, 10.1-2130, and 10.1-2131 of the Code of
Virginia and in written guidelines developed by the Secretary of Natural
Resources in accordance with §10.1-2129. The remaining $78 million of the
net proceeds shall finance the CSO Grants in accordance with subsection B of §
62.1-241.12 of the Code of Virginia. Bond proceeds may not be used to pay debt
service on obligations of regional or local governments or authorities. A
separate account shall be maintained for the grants under this enactment and
for bonds issued to finance such grants. Upon certification to the Authority by
the Department of Environmental Quality that a project qualifies for a grant
under the provisions of this act and the provisions of Article 4 (§10.1-2128
et seq.) of Chapter 21.1 of Title 10.1 of the Code of Virginia and of the
proposed amount and purpose of such grant, the Authority shall cause the
disbursement of bond proceeds to fund such grant, but only to the extent of
available funds therefore.
§4. The proceeds of such bonds are hereby appropriated for
disbursement from the state treasury pursuant to Article X, Section 7 of the
Constitution of Virginia, and §2.2-1819 of the Code of Virginia. Grants
funded with The net proceeds of the bonds issued to make Nutrient
Reduction Grants will be deposited in a separate account in the Virginia
Water Quality Improvement Fund, pursuant to §10.1-2128 of the Code of
Virginia, which authorizes such Fund to consist of such other sums as may be
made available to it from any other source, public or private. Upon
certification to the Authority by the Department of Environmental Quality that
a project qualifies for a Nutrient Reduction Grant under the provisions of this
act and the provisions of Article 4 (§10.1-2128 et seq.) of Chapter 21.1 of
Title 10.1 of the Code of Virginia and of the proposed amount and purpose of
such Grant, the Authority shall cause the disbursement of bond proceeds to fund
such Grant, but only to the extent of available funds therefor. The net
proceeds of the bonds issued to finance the CSO Grants shall be deposited in
the Combined Sewer Overflow Matching Fund established pursuant to §62.1-241.12
of the Code of Virginia. The general conditions and general provisions of a
general appropriation act enacted by the General Assembly, in effect from time
to time, and all of the terms and conditions contained therein shall apply to
the capital projects listed in this act.
§5. No bonds authorized pursuant to this enactment in
excess of the aggregate principal amount of $378 million shall be issued
prior to July 1, 2008 2013.
3. That the amended authorization made to §2 of the
third enactments of Chapters 851 and 900 of the Acts of Assembly of 2007, as
amended by the second enactment of this act, relating to the Virginia Public
Building Authority to issue bonds in an additional aggregate principal of $378
million, is for the purposes of (i) funding or reimbursing approved capital
costs for additional nutrient removal technology projects of significant
dischargers as defined in subsection E of §10.1-1186.01 of the Code of
Virginia and of eligible nonsignificant dischargers as defined in §10.1-2177
of the Code of Virginia, pursuant to the Chesapeake Bay TMDL Phase 1 Watershed
Improvement Plan, and (ii) financing grants to the cities of Lynchburg and
Richmond to pay a portion of the capital costs of their combined sewer overflow
control projects pursuant to subsection B of §62.1-241.12 of the Code of
Virginia.
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