(a) Authority of department.--The department shall have the power to grant to any person a hydroelectric franchise and any necessary right-of-way or lease for the construction, operation and maintenance of a hydroelectric facility utilizing the lands, water rights or facilities of the Commonwealth at Chain Dam, Lehigh River, Northampton County. Any such grant affecting lands or facilities of the City of Easton shall be subject to the agreement and approval of the City of Easton.

(b) Collections and deposit of charges, royalties, lease payments, etc.--All charges, royalties, lease payments and other revenues collected under the provisions of this section shall be paid into the State Treasury and shall be deposited in a restricted revenue account known as the Hydroelectric Resources Account. Funds deposited in this account shall be used solely for the planning, development, operation, maintenance, repair and restoration of the Chain Dam facility and the reacquisition of that facility following the expiration of the right granted for development and operation of that facility. The deposited funds are hereby appropriated for these purposes.