PRINTER'S NO. 218

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 208 Session of 1991


        INTRODUCED BY SCHULER, SCHEETZ, HERSHEY, STRITTMATTER, COLAIZZO,
           BARLEY, GEIST, FAIRCHILD, E. Z. TAYLOR, TRELLO AND SERAFINI,
           FEBRUARY 4, 1991

        REFERRED TO COMMITTEE ON TRANSPORTATION, FEBRUARY 4, 1991

                                     AN ACT

     1  Providing for the organization of corporations for the purpose
     2     of constructing and operating toll roads; providing for the
     3     supervision of same by the Pennsylvania Public Utility
     4     Commission and the Department of Transportation; and
     5     establishing the Toll Road Improvement Fund.

     6     The General Assembly finds that there is a compelling public
     7  need for rapid construction of safe and efficient highways for
     8  the purpose of travel within this Commonwealth, and that it is
     9  in the public interest to encourage the construction of
    10  additional safe, convenient and economic highway facilities by
    11  private parties, for a reasonable rate of return, provided that
    12  adequate safeguards are provided against default in the
    13  construction and operation obligations of the operators of such
    14  roadways.
    15                         TABLE OF CONTENTS
    16  Chapter 1.  Preliminary Provisions
    17  Section 101.  Short title.
    18  Section 102.  Definitions.
    19  Chapter 3.  Construction and Operation

     1  Section 301.  Prerequisite for construction and operation.
     2  Section 302.  Certificate of authority.
     3  Section 303.  Application.
     4  Section 304.  Incorporation and eminent domain.
     5  Section 305.  Powers of the commission.
     6  Section 306.  Powers and duties of roadway operator.
     7  Section 307.  Approval of department.
     8  Section 308.  Insurance and sovereign immunity.
     9  Section 309.  Local approval.
    10  Section 310.  Utility crossings.
    11  Section 311.  Highway and roadway crossings.
    12  Section 312.  Default.
    13  Section 313.  Police powers.
    14  Section 314.  Traffic and motor vehicle laws.
    15  Section 315.  Termination of certificate.
    16  Section 316.  Toll Road Improvement Fund.
    17  Chapter 9.  Miscellaneous Provisions
    18  Section 901.  Repeal.
    19  Section 902.  Effective date.
    20     The General Assembly of the Commonwealth of Pennsylvania
    21  hereby enacts as follows:
    22                             CHAPTER 1
    23                       PRELIMINARY PROVISIONS
    24  Section 101.  Short title.
    25     This act shall be known and may be cited as the Highway
    26  Corporation Law.
    27  Section 102.  Definitions.
    28     The following words and phrases when used in this chapter
    29  shall have the meanings given to them in this section unless the
    30  context clearly indicates otherwise:
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     1     "Certificate."  The certificate of authority awarded under
     2  this act which allows operation of a roadway.
     3     "Commission."  The Pennsylvania Public Utility Commission.
     4     "Department."  The Department of Transportation of the
     5  Commonwealth.
     6     "Fund."  The Toll Road Improvement Fund.
     7     "Highway."  The entire width between the boundary lines of
     8  every way or place of whatever nature open to the use of the
     9  public under the provisions of this act for purposes of
    10  vehicular travel in this Commonwealth.
    11     "Operation."  All functions and pursuits of the operator of
    12  any roadway under this chapter which are directly or indirectly
    13  related to acquisition, approval, construction, enlargement,
    14  maintenance, patrolling, toll collections, or connections of the
    15  roadway or highway with any other highway or with any street,
    16  road or alley. The term shall also include, without limitation,
    17  management and administrative functions attendant to actual
    18  physical operation of the roadway and management of the affairs
    19  of the operator.
    20     "Operator."  The corporation which submits to the commission
    21  an application for authority to construct, operate or enlarge a
    22  roadway, and which, after issuance of a certificate of
    23  authority, is responsible for operation of any roadway under the
    24  provisions of this act.
    25     "Person."  Any natural person, corporation, partnership,
    26  joint venture and any other business entity. The term shall not
    27  include the State or any local government or agency thereof, or
    28  any municipal corporation or other corporate body.
    29     "Roadway."  That portion of a highway improved, designed or
    30  ordinarily used for vehicular travel, exclusive of the shoulder.
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     1  A highway may include two or more roadways if divided by a
     2  physical barrier or barriers or unpaved areas. "Roadway," as
     3  used in this act, shall include only privately owned or operated
     4  highways for which a toll or similar single-use charge is
     5  imposed prior to usage.
     6     "Toll."  The fee charged by the operator for a single use of
     7  all or a portion of the roadway.
     8                             CHAPTER 3
     9                     CONSTRUCTION AND OPERATION
    10  Section 301.  Prerequisite for construction and operation.
    11     No person may construct, operate or enlarge any roadway,
    12  within this Commonwealth without first having obtained a
    13  certificate of authority from the commission authorizing such
    14  construction, operation or enlargement.
    15  Section 302.  Certificate of authority.
    16     Any person may apply to the commission for a certificate of
    17  authority to construct or operate a roadway, or to extend or
    18  enlarge a roadway for which a certificate has been issued under
    19  this act. If the commission determines in writing, after notice
    20  and opportunity for a hearing, that the application is complete,
    21  that the applicant has obtained the approval in the form of a
    22  duly adopted resolution from the governing body of every
    23  municipality through which the proposed roadway will pass, that
    24  approval of the application is in the public interest and that
    25  the applicant has complied with the provisions of this act, it
    26  shall approve the application, with or without modification. If
    27  the commission receives a duly adopted resolution of the
    28  governing body of any municipality through which the roadway
    29  passes, which requests that the commission deny the application,
    30  the commission shall deny that application. If the application
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     1  is approved, the operator shall construct the roadway. Upon
     2  completion of construction and the opening of the roadway to the
     3  public, the roadway shall be kept open at all times for use by
     4  the public and made accessible to the public, upon payment of
     5  the toll established by the operator, provided that the roadway
     6  may be partially or completely closed, temporarily, with the
     7  concurrence of the department, to protect the public safety or
     8  for reasonable construction or maintenance procedures.
     9  Section 303.  Application.
    10     The commission may charge a reasonable application fee to
    11  cover the costs of processing, reviewing and approving or
    12  denying the application. The application for a certificate of
    13  authority shall contain the following material and information:
    14         (1)  The geographic area to be served by the roadway and
    15     a survey indicating the route of the roadway.
    16         (2)  A list of the property owners through whose property
    17     the roadway or highway will pass or whose property will abut
    18     the roadway or highway.
    19         (3)  The method by which the operator will secure all
    20     rights-of-way required for the roadway, including a
    21     description of the nature of the interest in the lands to be
    22     acquired, which shall provide, at a minimum, for permanent
    23     dedication so long as the lands are used for transportation
    24     purposes.
    25         (4)  The comprehensive plan or plans for all
    26     municipalities through which the roadway will pass and an
    27     analysis which shows that the roadway conforms to these
    28     comprehensive plans. To the extent that the roadway conforms
    29     to such plans, the fact that the operator is a corporation,
    30     as opposed to the Commonwealth, shall not affect the
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     1     construction and operation of the roadway.
     2         (5)  The operator's plan for financing the proposed
     3     construction or enlargement of the roadway, including
     4     proposed tolls to be charged for use of the roadway,
     5     projected amounts to be collected from such tolls and
     6     anticipated traffic volume and detailed plans for
     7     distribution of funds, including the priority in which
     8     necessary expenditures will be made.
     9         (6)  The operator's plan for operation of the proposed
    10     roadway or enlargement thereof.
    11         (7)  A list of all permits and approvals required for
    12     construction of the roadway from Federal, State or local
    13     agencies and a schedule for securing such approvals.
    14         (8)  An overall description of the project, the project
    15     design and all proposed interconnections with the State
    16     highway system, including any interstate highway, or
    17     secondary system of highways or the streets or roads of any
    18     municipality not within the State highway system, accompanied
    19     by a copy of the approval of the project, the roadway design
    20     and interconnections from the department, as well as the
    21     municipality for connection with a street or road not under
    22     State control.
    23         (9)  A list of public utility facilities to be crossed
    24     and plans for such crossings or relocations of such
    25     facilities.
    26         (10)  A copy of a resolution of approval adopted by the
    27     governing body of every municipality through which the
    28     proposed roadway will pass.
    29         (11)  A certificate of the operator that the roadway will
    30     be designed and constructed to meet department standards, and
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     1     substantially in accordance with a proposed timetable which
     2     is agreeable to the department, and that the operator will
     3     provide a design, review and inspection agreement with the
     4     department which shall provide that the department shall
     5     authorize construction upon review and approval of the plans
     6     and specifications for the roadway and its interconnection
     7     with other roads, and that it shall inspect periodically the
     8     progress of the construction work to ensure its compliance
     9     with the department standards.
    10         (12)  Completion and performance bonds in form and amount
    11     satisfactory to the commission, which amounts shall be set by
    12     the commission after consultation with the department.
    13  Section 304.  Incorporation and eminent domain.
    14     The applicant shall be incorporated under the laws of this
    15  Commonwealth relating to business corporations. Eminent domain
    16  shall not be exercised by the operator for the purpose of
    17  acquiring any lands or estates or interests therein, nor any
    18  other property used by the operator for the construction or
    19  enlargement of a roadway pursuant to this act.
    20  Section 305.  Powers of the commission.
    21     The commission shall have the power, and be charged with the
    22  duties of reviewing and approving or denying the application, of
    23  supervising and controlling the operator in the performance of
    24  its duties under this act and of correcting any abuse in the
    25  performance of the operator's public duties. The commission
    26  shall require, from the operator, a verified report describing
    27  the nature of its contractual and other relationships with
    28  individuals or entities contracting with the operator for the
    29  provision of significant financial, construction or maintenance
    30  services. The commission shall review the report and such other
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     1  materials as it shall deem necessary for the purpose of
     2  determining improper or excessive costs, and shall exclude from
     3  the operator's costs any amounts which it finds are improper or
     4  excessive. The commission also shall have the duty and authority
     5  to approve or revise the toll rates charged by the operator.
     6  Initial rates shall be approved if they appear reasonable to the
     7  user in relation to the benefit obtained, not likely to
     8  materially discourage use of the roadway and to provide the
     9  operator no more than a reasonable rate of return as determined
    10  by the commission. Thereafter, the commission, upon application,
    11  complaint or its own initiative, and after investigation, may
    12  order substituted for any toll being charged by the operator a
    13  toll which is set at a level which is reasonable to the user in
    14  relation to the benefit obtained and which will not materially
    15  discourage use of the roadway by the public and which will
    16  provide the operator no more than a reasonable return as
    17  determined by the commission. If there are different conclusions
    18  reached by the department and the commission, the decision of
    19  the commission shall prevail.
    20  Section 306.  Powers and duties of roadway operator.
    21     (a)  Tolls and revenue.--The operator shall have the
    22  authority to operate the roadway and charge tolls for the use
    23  thereof, and shall pledge any revenue net of operational
    24  expenses realized from tolls charged for the use of the roadway
    25  in order to secure repayment of any obligations incurred for the
    26  construction, enlargement or operation of such roadway. The
    27  debts or obligations of the operator shall be limited to an
    28  amount not to exceed the cost of construction plus an amount for
    29  issuance cost and other financing expenses, and a reasonable
    30  amount for reserve funds. The Commonwealth shall not obligate
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     1  its full faith and credit on any financing of the operator and
     2  assumption of operation of the project shall not obligate the
     3  Commonwealth to pay any obligation of the operator, whether
     4  secured or otherwise, from sources other than toll revenue.
     5  Subject to applicable permit requirements, the operator shall
     6  have the authority to cross any canal or navigable watercourse
     7  so long as the crossing does not unreasonably interfere with
     8  navigation and use of the waterway. In operating the roadway,
     9  the operator may:
    10         (1)  classify traffic according to reasonable categories
    11     for assessment of tolls; and
    12         (2)  with the consent of the department, make and enforce
    13     reasonable regulations, including regulations which:
    14             (i)  Set maximum and minimum speeds that shall
    15         conform to department and Commonwealth practices.
    16             (ii)  Exclude undesirable vehicles or cargoes or
    17         materials from the use of the roadway.
    18             (iii)  Establish commuter lanes for use during all or
    19         any part of a day and limit the use of such lanes to
    20         certain traffic, if deemed necessary by the department.
    21  The enumeration of powers in this subsection shall not limit the
    22  power of the operator to do anything it deems necessary and
    23  appropriate in the operation of the roadway, provided that the
    24  practice is reasonable and nondiscriminatory.
    25     (b)  Duties.--The operator shall have the following duties:
    26         (1)  It shall file and maintain at all times with the
    27     commission an accurate schedule of rates charged to the
    28     public for use of all or any portion of the roadway, and it
    29     shall also file and maintain a statement that such rates will
    30     apply uniformly to all users within any such reasonable
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     1     classification as the operator may elect to implement.
     2         (2)  It shall construct and maintain the roadway for
     3     anticipated use according to appropriate standards of the
     4     department for public highways operated and maintained by the
     5     department, and enlarge or expand the road when unsatisfied
     6     demand for use of the roadway makes it economically feasible
     7     to do so. The operator shall agree with the department for
     8     inspection of construction work by the department at
     9     appropriate times during any construction or enlargement. In
    10     addition, it shall cooperate fully with the department in
    11     establishing any interconnection with the roadway that the
    12     department may make.
    13         (3)  It shall contract with the Commonwealth for
    14     enforcement of the traffic and public safety laws by State
    15     authorities, and may similarly contract with appropriate
    16     local authorities for those portions of the roadway within
    17     the local jurisdiction.
    18  Section 307.  Approval of department.
    19     (a)  General rule.--The applicant for a certificate of
    20  authority to construct or enlarge a roadway pursuant to this act
    21  shall first secure the approval of the department for the
    22  project, the project construction costs, the location and design
    23  of the roadway, and its connection with any road under the
    24  jurisdiction of the department, at proper and convenient places,
    25  in order to provide for the convenience of the public. The
    26  department shall approve or deny approval:
    27         (1)  60 days following receipt of a description of the
    28     proposed location and design of the roadway and its
    29     connection with all other roads; or
    30         (2)  45 days following the conduct of a hearing held
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     1     under Title 2 of the Pennsylvania Consolidated Statutes
     2     (relating to administrative law and procedure).
     3  The department shall approve the project and its
     4  interconnections with other roads if there is a public need for
     5  a road project of the type proposed and the project and its
     6  interconnections are compatible with the existing road network.
     7  It shall approve the project construction costs if they are
     8  reasonable. If interconnections with an interstate highway or
     9  other Federal facility are contemplated, the department's
    10  approval shall be conditioned upon ultimate approval of any
    11  interconnection if such Federal approvals are required and have
    12  not been obtained by the time the department acts. Approval of
    13  the roadway design shall not be withheld if it conforms
    14  materially with department practices for toll facilities of
    15  similar size and with similar usage patterns. In making its
    16  determinations, the department shall keep in mind the public
    17  interest, which may include, without limitation, such
    18  considerations as the relative speed of the construction of the
    19  project and the allocation of the technical, financial and human
    20  resources of the department. The approval granted by the
    21  department shall be conditioned upon subsequent compliance by
    22  the applicant with the agreement contemplated by subsection (b).
    23  If the roadway is to be built partially or completely along
    24  existing State highway right-of-way, the department shall grant
    25  the applicant authority to use such right-of-way only if deemed
    26  necessary.
    27     (b)  Comprehensive agreement.--If approval of the project,
    28  project design and connections of the roadway is granted by the
    29  department, it shall thereafter enter into a comprehensive
    30  agreement with the applicant which provides, inter alia, that
    19910H0208B0218                 - 11 -

     1  the department shall review and approve plans and specifications
     2  for the roadway if they conform to Commonwealth practices; that
     3  the department will inspect and approve construction of the
     4  roadway if it conforms to the plans and specifications or
     5  Commonwealth construction and engineering standards; that the
     6  department will, throughout the life of the roadway project,
     7  monitor the maintenance practices of the operator and take such
     8  actions as are appropriate to ensure the performance of
     9  maintenance obligations; and that the department shall be
    10  reimbursed for its direct project costs, by the operator, for
    11  the services performed by the department. The agreement shall
    12  also provide, inter alia, that the operator will establish and
    13  fund accounts which shall ensure that funds are available to
    14  meet the obligations of the operator, including reasonable
    15  reserves for contingencies and maintenance replacement
    16  activities. The approval of plans and specifications and
    17  construction may be undertaken in phases, but no construction
    18  may commence until the approval of plans which include that
    19  phase of construction. The services for which the department
    20  shall be reimbursed include project development costs, such as
    21  those attendant to preparation of environmental impact
    22  statements, which are necessary for the construction of the
    23  roadway by a private operator but have been performed by the
    24  department. The agreement may include a provision that the
    25  department will perform services necessary for project
    26  development on behalf of the operator, and in such a case, the
    27  department shall be fully reimbursed by the operator for its
    28  direct costs.
    29  Section 308.  Insurance and sovereign immunity.
    30     Any operator who constructs, operates or enlarges a roadway
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     1  pursuant to this act shall secure and maintain a policy or
     2  policies of public liability insurance in form and amount
     3  satisfactory to the commission and sufficient to insure coverage
     4  of tort liability to the public and employees, and to enable the
     5  continued operation of the roadway. Proofs of coverage and
     6  copies of policies shall be filed with the commission. Nothing
     7  in this act shall be construed as or deemed a waiver of the
     8  sovereign immunity of the Commonwealth with respect to its
     9  participation or approval of all or any part of the roadway
    10  application or operation, including, but not limited to,
    11  interconnection of the roadway with the State Highway System.
    12  Municipalities through which a roadway passes shall possess
    13  governmental immunity with respect to roadway construction and
    14  operation.
    15  Section 309.  Local approval.
    16     (a)  General rule.--Prior to the issuance of a certificate of
    17  authority by the commission and prior to the filing of any
    18  application materials with the commission, the applicant shall
    19  provide the local governing body of each municipality through
    20  which any part of the roadway passes, information and materials
    21  required by section 303 and an overall description of the
    22  project and its benefits. The governing body of the municipality
    23  may participate in procedures conducted by the department or the
    24  commission concerning the application.
    25     (b)  Lands, existing roads, etc.--When the operator wishes to
    26  occupy lands owned by any municipality, including streets,
    27  alleys or roads, it shall first obtain a franchise allowing such
    28  occupancy or it may obtain the necessary interests through grant
    29  or other appropriate conveyance of the operator for a period of
    30  time not to exceed the term of the certificate.
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     1     (c)  Interconnection plans.--Where the applicant wishes to
     2  interconnect with the streets or road system of any
     3  municipality, and the municipality is willing to allow the
     4  interconnection, the applicant shall submit appropriate plans
     5  for the connection to the governing body of that municipality,
     6  which shall approve the connection if it determines that the
     7  connection meets all appropriate engineering requirements.
     8     (d)  Supplemental agreements, etc.--The operator and the
     9  municipality may also agree on any supplemental or related
    10  matters according to such terms and conditions as are
    11  reasonable, appropriate and in the public interest, and any such
    12  municipality is hereby authorized to enter into such an
    13  agreement.
    14  Section 310.  Utility crossings.
    15     The applicant shall include in the application a list of
    16  public utility facilities and rights-of-way to be crossed or
    17  otherwise affected in the construction of the roadway and a plan
    18  and schedule for such crossings. The operator and each public
    19  utility whose works are to be crossed or affected shall each
    20  have the duty to cooperate fully with the other in the planning
    21  and arranging of the manner of the crossing or relocation of the
    22  facilities. Any public utility possessing the powers of eminent
    23  domain is hereby expressly granted such powers in connection
    24  with the moving or relocation of facilities to be crossed by the
    25  roadway or which must be relocated to the extent that such
    26  moving or relocation is made necessary by construction of the
    27  roadway, which shall be construed to include construction of
    28  temporary facilities for the purpose of providing service during
    29  the period of construction. Should the applicant or operator and
    30  the public utility whose facilities are to be crossed or
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     1  relocated not be able to agree upon a plan for such crossing or
     2  any necessary relocation, either party may request the
     3  commission to inquire into the need for the crossing or
     4  relocation and to decide whether such crossing or relocation
     5  should be compelled, and, if so, the manner in which such
     6  crossing or relocation is to be accomplished and any damages due
     7  either party arising out of the crossing or relocation. The
     8  commission may, in its discretion, employ expert engineers who
     9  shall examine the location and plans for such crossing or
    10  relocation, hear any objections and consider modifications, and
    11  make a recommendation to the commission. In such a case, the
    12  cost of the experts is to be borne equally by the applicant and
    13  the public utility, unless the commission determines that it
    14  would be unjust, in which case the cost shall be borne as the
    15  commission decides.
    16  Section 311.  Highway and roadway crossings.
    17     No crossing of a railway, highway, street, road or alley
    18  shall be at grade, but shall pass above or below the railway,
    19  highway, street, road, or alley, and such crossings are hereby
    20  permitted, subject to the provisions of this act.
    21  Section 312.  Default.
    22     In the event of material and continuing default in the
    23  performance of the operator's construction or operation duties
    24  or failure of the operator to comply with the terms of its
    25  agreement with the department, or in the event that construction
    26  has not begun within two years of the issuance of a certificate,
    27  the commission, after a hearing in which the applicant or
    28  operator has notice and opportunity to participate, may revoke
    29  the certificate of authority for the roadway, declare a default
    30  in the construction or operation of the roadway, and make or
    19910H0208B0218                 - 15 -

     1  cause to be made the appropriate claim or claims under any
     2  completion or performance bonds, or take such other action as it
     3  may deem appropriate, under the circumstance. The department may
     4  participate in or initiate such proceedings. In case of
     5  revocation of a certificate, the applicant or operator shall
     6  thereafter be without any authority to construct or operate the
     7  roadway, and the department may take over construction and
     8  operation of the roadway, and may proceed thereafter to take any
     9  steps which are in the public interest, including completion of
    10  construction or additions to the roadway, closing the roadway,
    11  or any intermediate step. The department shall receive the full
    12  proceeds of any payments due to claims against bonding companies
    13  or sureties for this purpose. In addition, in such event, the
    14  operator shall grant to the department all of its right, title
    15  and interest in the assets of the corporation. Nothing herein
    16  shall be construed to limit the department's exercise of the
    17  power of eminent domain. In either case, the operator may obtain
    18  compensation from the department for such assets, except that
    19  the department shall first deduct from the value of such assets
    20  all of the department's costs incurred in connection with
    21  completion or fulfillment of the unperformed obligations of the
    22  operator, and any other costs associated with the events
    23  contemplated in this section. The department shall take into
    24  account moneys received from the proceeds of any payment or
    25  completion bond in calculating the amount due the operator.
    26  Section 313.  Police powers.
    27     The roadway and highways constructed or operated under this
    28  act may be policed in whole or in part by officers of the
    29  Pennsylvania State Police, even though all or some portion of
    30  any such projects lie within the corporate limits of a
    19910H0208B0218                 - 16 -

     1  municipality and just as if the roadway and highway were a part
     2  of the State highway system. The operator and the Pennsylvania
     3  State Police shall agree upon reasonable terms and conditions
     4  pursuant to which the activities contemplated in this section
     5  may take place. Such officers shall be under the exclusive
     6  control and direction of the Commissioner of the Pennsylvania
     7  State Police and shall be responsible for the preservation of
     8  public peace, prevention of crime, apprehension of criminals,
     9  protection of the rights of persons and property, and
    10  enforcement of the laws of this Commonwealth, within the limits
    11  of any highway and roadway. All other police officers of the
    12  Commonwealth and of each municipality or other political
    13  subdivision of this Commonwealth through which any roadway, or
    14  portion thereof, extends shall have the same powers and
    15  jurisdiction within the limits of such roadways and highways as
    16  they have beyond such limits and shall have access to the
    17  highway and road at any time for the purpose of exercising such
    18  powers and jurisdiction. This authority does not extend to the
    19  private offices, buildings, garages and other improvements of
    20  the operator to any greater degree than the police power extends
    21  to any other private buildings and improvements.
    22  Section 314.  Traffic and motor vehicle laws.
    23     The traffic and motor vehicle laws of this Commonwealth shall
    24  apply to persons and motor vehicles on the roadway or highway,
    25  and the powers of arrest of police officers shall be the same as
    26  those applying to conduct on the State highway system.
    27  Punishment for offenses shall be as prescribed by law for
    28  conduct occurring on the State highway system.
    29  Section 315.  Termination of certificate.
    30     Within 90 days of completion and closing of the original
    19910H0208B0218                 - 17 -

     1  permanent financing, the operator shall provide full details of
     2  the financing, including the terms of all bonds, to the
     3  commission; and shall certify the date on which all debt will be
     4  retired. The commission may require that the operator provide
     5  copies of any relevant documents, and shall review the financing
     6  and determine the date on which all bonds or other debt
     7  constituting the original permanent financing will be retired.
     8  After establishing this date, the commission shall enter an
     9  order terminating the operator's authority pursuant to the
    10  certificate of authority on a date which shall be ten years from
    11  the date on which all of the original permanent financing will
    12  be completely retired. At the request of the operator or the
    13  department, or on its own initiative, the commission may revise
    14  its order to modify the date for termination of the certificate
    15  of authority in order to take into account any refinancing of
    16  the original permanent financing, where the refinancing or
    17  modification is in the public interest, or any refinancing for
    18  the purpose of expansion, or early retirement of the debt. Upon
    19  the termination of the certificate of authority, the authority
    20  and duties of the operator under this chapter shall cease, and
    21  the highway assets and improvements of the operator shall be
    22  dedicated to the Commonwealth for highway purposes.
    23  Section 316.  Toll Road Improvement Fund.
    24     (a)  Establishment.--There is hereby established a separate
    25  account in the State Treasury to be known as the Toll Road
    26  Improvement Fund. This fund shall be for the purpose of
    27  providing moneys for transportation improvements which are
    28  related to or affected by the toll roads operating under this
    29  act. All moneys in the fund are hereby appropriated to the
    30  department on a continuing basis to carry out this section.
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     1     (b)  Toll rates.--In setting toll rates, the commission shall
     2  determine them in an amount which will:
     3         (1)  Meet the operator's financial obligations under this
     4     act.
     5         (2)  Provide a reasonable rate of return for the
     6     operator.
     7         (3)  Provide a reasonable amount of revenues for the
     8     fund.
     9     (c)  Assistance grants.--The commission shall, by regulation,
    10  adopt a plan for the equitable allocation of grants from the
    11  fund to municipalities for transportation projects relating to
    12  toll roads.
    13                             CHAPTER 9
    14                      MISCELLANEOUS PROVISIONS
    15  Section 901.  Repeal.
    16     All acts and parts of acts are repealed insofar as they are
    17  inconsistent with this act.
    18  Section 902.  Effective date.
    19     This act shall take effect in 60 days.








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