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News: 2007 Archived News Items

U.S. DOT Provides Model Legislation for Private-Sector Involvement in Transportation Projects

U.S. DOT recently provided model legislation that would give states flexibility to contract with the private sector to invest in and manage transportation projects. The model legislation, part of the Department's initiative to reduce congestion in the nation's transportation system, is based on a survey of existing state laws that authorize public-private partnerships in building, owning or operating highways, mass transit, railroads, airports, seaports, or other transportation infrastructure.

Recognizing that states need statutory authority to enter into public-private agreements, this legislation can be a model to help states reduce or remove barriers to private-sector investment in transportation infrastructure. The legislation is a starting point from which states can proceed to craft laws that are most appropriate for their unique needs, and provides useful guidance on what a public-private partnership agreement might look like.

Issues addressed by the model legislation include which modes of transportation would be eligible for private investment, whether or when tolls may be collected, innovative procurement methods, upkeep requirements for leased roads, and provisions to be considered in an agreement with the private sector.

The model legislation is available at the link listed below.

Related link:
PPP Legislation - FHWA web site

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