AN ACT

 

1Amending the act of May 28, 1923 (P.L.458, No.250), entitled "An
2act authorizing the Department of Forestry, with the approval
3of the Governor and Attorney General, to lease for periods of
4not more than fifty years, on terms, conditions, and
5stipulations expressed in each lease, any portions of the
6State forests for dams, reservoirs, canals, pipe lines and
7other water conduits, power houses and transmission lines,
8for the development of water power, for steam raising and
9condensation, and for the generation and transmission of
10electric energy," providing for wind, solar and other
11renewable energy projects.

12The General Assembly of the Commonwealth of Pennsylvania
13hereby enacts as follows:

14Section 1. The title and section 1 of the act of May 28,
151923 (P.L.458, No.250), entitled "An act authorizing the
16Department of Forestry, with the approval of the Governor and
17Attorney General, to lease for periods of not more than fifty
18years, on terms, conditions, and stipulations expressed in each
19lease, any portions of the State forests for dams, reservoirs,
20canals, pipe lines and other water conduits, power houses and
21transmission lines, for the development of water power, for
22steam raising and condensation, and for the generation and

1transmission of electric energy," are amended to read:

2AN ACT

3Authorizing the Department of [Forestry] Conservation and 
4Natural Resources, with the approval of the Governor [and
5Attorney General], to lease for periods of not more than
6fifty years, on terms, conditions, and stipulations expressed
7in each lease, any portions of the State forests for dams,
8reservoirs, canals, pipe lines and other water conduits,
9power houses and transmission lines, for the development of
10water power, for steam raising and condensation, for wind, 
11solar or other renewable energy projects, and for the
12generation and transmission of electric energy.

13Section 1. Be it enacted, &c., That the [Department of
14Forestry] Department of Conservation and Natural Resources, with
15the approval of the Governor [and Attorney General], is hereby
16authorized, in its discretion, to lease for periods of not more
17than fifty years any portions of the State forests for use as
18sites for dams and other water obstructions, reservoirs, canals,
19pipe lines, and/or other water conduits for the purpose of the
20development of water power and/or for the main purpose of
21storage, conveyance, and/or cooling of water for steam raising
22and/or steam condensation in the generation of electric energy
23for public service, and/or for use as sites for wind turbines 
24and other wind energy facilities, and/or solar energy 
25facilities, and/or other renewable energy facilities, and/or for
26use as sites for power houses and/or transmission lines for the
27generation and transmission of electric energy. Every such lease
28shall be on such terms, conditions, and stipulations, expressed
29in each lease, as the department, with the approval of the
30Governor [and Attorney General], shall deem necessary for the

1protection of the present and future interests of the
2Commonwealth and its people and suitable for affording a
3reasonable opportunity for a fair return on the actual
4investment prudently made on the faith of such lease, which may
5include provisions not repugnant to the rights of the United
6States, its permittees, licensees, or transferees, existing at
7the time of the making of such lease, reserving an option in the
8Commonwealth to renew or extend for not more than fifty (50)
9years such lease, or to take over the project works, by and for
10itself or by and for another prospective lessee, upon payment by
11the Commonwealth or by such other prospective lessee of the
12actual net investment in the project works, by which is meant a
13complete unit of improvement or development consisting of a
14power house and appurtenant works, all water conduits, all dams
15and works appurtenant thereto which are a part of said unit, and
16all storage, diverting, or forebay reservoirs directly connected
17therewith, all wind, solar or other renewable energy facilities,
18the primary line or lines transmitting power from the power
19house, wind turbine, solar panel or other renewable energy 
20facility to the point of junction with the distribution system
21or with an interconnected primary transmission system, all
22miscellaneous structures used and useful in connection with such
23unit or any part thereof, and all water rights, rights of way,
24ditches, dams, reservoirs, wind turbines, solar panels, other 
25renewable energy facilities, lands, or interest in lands, the
26use and occupancy of which are necessary or appropriate in the
27maintenance and operation of such unit. A proposed lease shall 
28be advertised once a week for three weeks, in at least two 
29newspapers of general circulation published nearest the county 
30indicated, in advance of awarding the lease. The lease may then 

1be awarded to the highest and best bidder or offer or based on 
2criteria established by the Department of Conservation and 
3Natural Resources. The lessee shall give bond for the proper 
4performance of the lease as the Department of Conservation and 
5Natural Resources shall designate. The rents and proceeds from 
6the leases shall be placed in the Oil and Gas Lease Fund 
7established under the act of December 15, 1955 (P.L.865, 
8No.256), entitled "An act requiring rents and royalties from oil 
9and gas leases of Commonwealth land to be placed in a special 
10fund to be used for conservation, recreation, dams, and flood 
11control; authorizing the Secretary of Forests and Waters to 
12determine the need for and location of such projects and to 
13acquire the necessary land," and expended in accordance with 
14that act.

15Section 2. This act shall take effect in 60 days.