28.2-1208 - Granting easements in or leasing the beds of certain waters.
§ 28.2-1208. Granting easements in or leasing the beds of certain waters.
A. The Marine Resources Commission may, with the approval of the AttorneyGeneral and the Governor, grant easements over or under or lease the beds ofthe waters of the Commonwealth outside of the Baylor Survey. Every easementor lease executed pursuant to this section shall be for a period not toexceed five years, except in the case of offshore renewable energy leasesdescribed in clause (ii), in which case the period shall not exceed 30 years,and shall specify the rent and such other terms deemed expedient and proper.Such easements and leases may include the right to renew the same for anadditional period not to exceed five years. Any lease that authorizesgrantees or lessees to (i) prospect for and take from the bottoms coveredthereby, oil, gas, and other specified minerals and mineral substances; or(ii) generate electrical energy from wave or tidal action, currents, offshorewinds, or thermal or salinity gradients, and transmit energy from suchsources to shore shall require a royalty. Except for offshore renewableenergy leases, purchase payment for any easement granted to a public servicecorporation, certificated telephone company, interstate natural gas companyor provider of cable television or other multichannel video programmingservice shall be $100 and shall be for a period of 40 years. However, noeasement or lease shall in any way affect or interfere with the rightsvouchsafed to the people of the Commonwealth concerning fishing, fowling, andthe catching and taking of oysters and other shellfish in and from the leasedbottoms or the waters above.
B. All easements granted and leases made pursuant to this section shall beexecuted for, and in the name and on behalf of, the Commonwealth by theAttorney General and shall be countersigned by the Governor.
C. All oil, gas and other minerals royalties collected from such easements orleases on and after July 1, 2000, shall be paid into the state treasury tothe credit of the Marine Habitat and Waterways Improvement Fund. Allroyalties collected as a result of the generation or transmission ofelectrical or compressed air energy from offshore renewable sources includingwave or tidal action, currents, offshore winds, and thermal or salinitygradients shall be paid into the state treasury and appropriated to theVirginia Coastal Energy Research Consortium established pursuant to § 67-600.
D. Prior to December 1 of each year, the Commissioner and the AttorneyGeneral shall make reports to the General Assembly on all easements andleases executed pursuant to this section during the preceding 12 months.
E. The Commission shall, in cooperation with the Division of Geology andMineral Resources of the Department of Mines, Minerals and Energy and withthe assistance of affected state agencies, departments and institutions,including the Virginia Coastal Energy Research Consortium, maintain a StateSubaqueous Minerals and Coastal Energy Management Plan that shall supplementthe State Minerals Management Plan set forth in § 2.2-1157 and the VirginiaEnergy Plan (§ 67-200 et seq.). The State Subaqueous Minerals and CoastalEnergy Management Plan shall include provisions for (i) the holding of publichearings, (ii) public advertising for competitive bids or proposals formineral and renewable energy leasing and extraction activities, (iii)preparation of environmental impact reports to be reviewed by the appropriateagency of the Commonwealth, and (iv) review and approval of leases by theAttorney General and the Governor as required by subsection A. Theenvironmental impact reports shall address, but not be limited to:
1. The environmental impact of the proposed activity;
2. Any adverse environmental effects that cannot be avoided if the proposedactivity is undertaken;
3. Measures proposed to minimize the impact of the proposed activity;
4. Any alternative to the proposed activity; and
5. Any irreversible environmental changes which would be involved in theproposed activity.
For the purposes of subdivision 4 of this subsection, the report shallcontain all alternatives considered and the reasons why the alternatives wererejected. If a report does not set forth alternatives, it shall state whyalternatives were not considered.
(Code 1950, § 62-3; 1958, c. 290; 1962, c. 637; 1968, c. 659, § 62.1-4; 1986,c. 488; 1992, c. 836; 1993, c. 644; 2000, c. 1056; 2004, cc. 899, 1018; 2008,c. 369; 2009, c. 766.)