Sec. 1. Conditions of legislative grant of privileges and rights.

1. The Legislature finds that:

A. The rights, privileges, immunities and franchises bestowed by the laws of this State upon Great Northern Paper, Inc. that relate to the location, construction, operation or maintenance of dams used in the generation of electricity, referred to in this Act as "those dams," were bestowed in order to provide public benefits to the Katahdin area;

B. The public benefits to the Katahdin area are derived from the operation of and future capital investment in the pulp and paper production facilities located in Millinocket and East Millinocket that are powered by the electricity generated by those dams; and

C. Continuation of the publicly granted rights, privileges, immunities and franchises related to the location, construction, operation or maintenance of those dams must remain inextricably linked to the public benefits.

2. The following conditions apply to the use of electricity generated from those dams whether owned by Great Northern Paper, Inc. or a successor in interest.

A. Electricity generated from those dams must be used:

(1) To benefit the pulp and paper production facility located in the Town of East Millinocket that in 1999 depended upon that electricity;

(2) To benefit the pulp and paper production facility located in the Town of Millinocket that in 1999 depended upon that electricity; and

(3) To supply electricity to the Katahdin region.

3. The rights, privileges, immunities and franchises bestowed by law upon Great Northern Paper, Inc., or its successor, that relate to the location, construction, operation or maintenance of those dams are subject to review by the Legislature in accordance with subsection 4 following the occurrence of either of the following events:

A. The pulp and paper production facility located in the Town of East Millinocket that in 1999 depended on that electricity permanently ceases operations; or