OVERVIEW OF STATES WITH SIGNIFICANT TRANSPORTATION PUBLIC PRIVATE PARTNERSHIP ("PPP") AUTHORITY

(Reflects legislative developments through August 2005)1

State

Statute

Comments

1. AL

Ala. Code §§ 23-1-80 to 23-1-95

Authorizes the Alabama DOT and county commissions to establish toll roads, toll bridges, ferries or causeways or allow for their operation by private parties. No express provision regarding the solicitation or acceptance of unsolicited proposals. Not appropriate to use as a model for PPP enabling legislation.

2. AZ

Ariz. Rev. Stat. §§ 28-7701 to 28-7758

Two pilot programs each allow up to two solicited and unsolicited proposals. Not appropriate to use as a model for PPP enabling legislation.

3. CA

Cal Sts & Hy Code § 143(a) Cal Gov Code § 5956

The legislation authorizing Caltrans to enter into PPPs (known as AB 680) was recently repealed; new legislation is pending pursuant to Governor Schwarzenegger's "GoCalifornia" transportation initiative (AB 850).

This legislation (also known as AB 2660) authorizes PPPs for a range of "fee-producing infrastructure projects," but explicitly excludes the use of toll roads on state highways2.

4. CO

Colo. Rev. Stat. §§ 43-1-1201 to 1209

Colo. Rev. Stat. §§ 43-4-801 to 812

Colo. Rev. Stat. §§ 43-3-201 to 43-3-416

Allows solicited and unsolicited proposals for PPPs

Created a statewide tolling enterprise to finance, build, operate and maintain toll highways. Operated as a government-owned business within the Colorado DOT.

Provides PPP authority to Colorado DOT for specific projects including turnpikes and HOT lanes.

5. DE

Del. code Ann. tit. 2, part II, ch. 20, §§ 2001 to 2012

Authorizes solicited and unsolicited proposals for PPP projects, including highways and bridges.

6. FL

Fla. Stat. Ann. § 334.30

Fla. Stat. Ann. §§ 338.22 to 338.241

Allows Florida DOT to receive or solicit proposals for PPPs.

1953 statute that established the Florida Turnpike Enterprise, which is operated like a private-sector business within the Florida DOT.

7. GA

Ga. Code. Ann. §§ 32-2-78 to 32-2-80

Now allows Georgia DOT to both receive and solicit proposals for PPPs. In May of 2005, several significant amendments to this statute were enacted as S.B. 270. Potential competitors, for example, now have 135 days (instead of 90 days) to respond to an unsolicited proposal.

8. LA

La. Rev. Stat. §§ 48:1251 to 1281 La. Rev. Stat. §§ 48:2020 to 2037

Allows parishes, municipalities and Louisiana Transportation Authority to enter into PPPs. No express provision regarding the solicitation or acceptance of unsolicited proposals. Not appropriate to use as a model for PPP enabling legislation.

9. MD

Md. transportation code Ann. § 8-204

Maryland does not have a statute expressly authorizing highway PPPs. According to a 1996 Attorney General opinion referenced in the annotations to this statute, the Maryland Transportation Authority has authority to construct toll roads using certain forms of PPPs3. Additional legislative authority may be needed, however, depending on the form of the transaction. There is also no express provision regarding the acceptance of unsolicited proposals for highway projects.

10. MN

Minn. Stat. Ann. §§ 160.84 - 160.93

Authorizes solicited and unsolicited PPPs for toll facilities. Authorizes HOT lanes.

11. MO

Mo. Rev. Stat. §§ 238:300 to 238:367

Creates a special purpose non-profit corporation known as a Transportation Corporation as a vehicle for PPPs. No express provision regarding the solicitation or acceptance of unsolicited proposals. Not appropriate to use as a model for PPP enabling legislation.

12. NV

Nev. Rev. Stat. §§ 338.161 to 168.

Authorizes public bodies to accept unsolicited proposals to develop, construct, improve, maintain or operate transportation facilities. Toll bridge and toll road projects, however, are prohibited under this statute.

13. NC

N.C. Gen. State. §§ 136-89.180 to 136-89.197

H.B. 253 became law in August. North Carolina Turnpike Authority now authorized to develop, construct, operate and maintain up to nine toll facilities, including a toll bridge.4 Solicitedprocess only. No projects implemented to date, but Executive Director just appointed.

14. OR

Or. Rev. Stat. §§ 367.800 to 367.826
Or. Rev. Stat. §§ 383.001 to 383.019.

Establishes the Oregon Innovative Partnerships Program with detailed guidelines at OAR 731-070-0005 to 731-070-0360.
Allows Oregon DOT to solicit and accept unsolicited PPPs for tollway projects.

15. PR

9 Leyes P.R. An. §§ 2001 to 2021

This Spanish language statute establishes a toll transportation facility authority with broad powers to authorize private participation in public highway projects

16. SC

S.C. Code § 57-3-200

S.C. Code § 57-5-1310 et. al.

Allows South Carolina DOT to enter into PPPs

Allows DOT to construct and operate turnpike facilities; § 57-5-1330(1)4 appears to permit SC DOT to use PPPs to develop these facilities. No express provision regarding the solicitation or acceptance of unsolicited proposals.

17. TX

Tex. Transp. Code Ann. ch. 227, 361 and 370

Allows TxDOT, the Texas Turnpike Authority, and Regional Mobility Authorities to accept solicited and unsolicited proposals for PPPs. Pending legislation (H.B. 2702) would require a popular vote for any conversion from free lanes to tolled. The bill also would limit toll franchises to 50 years.

18. VA

Va. Code Ann. §§ 56-556 to 56-575

Virginia's Public-Private Transportation Act of 1995 authorizes PPPs and was modified during the 2005 legislative session. Allows solicited and unsolicited proposals. Contains detailed guidelines to assist VDOT and other public entities in implementing this program.

19. WA

Wash. Rev. Code §§ 47.46.010 to 47.46.900

New PPP enabling legislation was passed in May of 2005 (as H.B. 1541), but it is unlikely to encourage much private sector investment because (1) the only significant projects that require PPPs are state (WashDOT) projects; (2) the exclusive source of financing for WashDOT projects is state treasurer-issued indebtedness; and (3) no such indebtedness, or expenditures from it, may occur without prior legislative approval. Presently, solicited proposals only, but unsolicited proposals may be accepted after 1/1/07.




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1 This survey should not be construed as legal advice regarding any particular project in any state. Please contact bchase@nossaman.com with any additions or corrections.

2 See Cal Gov Code § 5956.10(a).

3 See MD 81 Op. Att'y Gen. (issued 2/2/96).

4 N.C. Gen. Stat. § 136-89.183(a)(3).