PRIOR PRINTER'S NO. 1547 PRINTER'S NO. 2145
No. 1158 Session of 2007
INTRODUCED BY MADIGAN, STOUT, SCARNATI, PILEGGI, RAFFERTY,
ERICKSON, D. WHITE, M. WHITE, WAUGH, ARMSTRONG, WASHINGTON,
RHOADES, WONDERLING, REGOLA, CORMAN, BOSCOLA, C. WILLIAMS AND
PIPPY, NOVEMBER 13, 2007
SENATOR MADIGAN, TRANSPORTATION, AS AMENDED, JUNE 10, 2008
AN ACT
1 Amending Title 74 (Transportation) of the Pennsylvania
2 Consolidated Statutes, providing for transportation
3 infrastructure partnership and development.
4 The General Assembly of the Commonwealth of Pennsylvania
5 hereby enacts as follows:
6 Section 1. Title 74 of the Pennsylvania Consolidated
7 Statutes is amended by adding a part to read:
8 PART V
9 TRANSPORTATION INFRASTRUCTURE
10 Chapter
11 91. Partnership and Development
12 CHAPTER 91
13 PARTNERSHIP AND DEVELOPMENT
14 Sec.
15 9101. Scope of chapter.
16 9102. Findings and declaration of policy.
17 9103. Definitions.
1 9104. Transportation development agreements.
2 9105. Proposals for transportation development agreements.
3 9106. Review and selection of proposals.
4 9107. Affected local jurisdictions.
5 9108. Terms and conditions of transportation development
6 agreements.
7 9109. Material default; remedies.
8 9110. Financing qualifying transportation projects.
9 9111. Power of eminent domain.
10 9112. Police powers; motor vehicle laws.
11 9113. Taxation of authorized development entity or entities.
12 9114. Pennsylvania Transportation Development Trust Fund.
13 9115. Regional mobility account, etc.
14 9116. Regional mobility authority.
15 9117. Turnpike lease restricted.
16 § 9101. Scope of chapter.
17 This chapter relates to transportation infrastructure
18 partnership and development.
19 § 9102. Findings and declaration of policy.
20 The General Assembly finds, determines and declares as
21 follows:
22 (1) There is urgent public need to reduce congestion,
23 increase capacity, improve safety and enhance economic
24 efficiency of transportation facilities throughout this
25 Commonwealth.
26 (2) The Commonwealth has limited resources to fund the
27 maintenance and expansion of its transportation facilities.
28 (3) To ensure that the needs of the public are
29 adequately addressed, alternative funding mechanisms and
30 strategies must be developed to supplement existing public
20070S1158B2145 - 2 -
1 revenue sources.
2 (4) Public entities should be authorized to enter into
3 transportation development agreements with private entities,
4 other public entities or partnerships of such entities in
5 order to accelerate the cost-effective delivery of improved
6 transportation facilities throughout this Commonwealth.
7 § 9103. Definitions.
8 The following words and phrases when used in this chapter
9 shall have the meanings given to them in this section unless the
10 context clearly indicates otherwise:
11 "Affected local jurisdiction." A county, city, township,
12 borough, incorporated town, local planning organization,
13 regional planning organization, metropolitan transportation
14 authority or regional mobility authority within whose
15 jurisdictional boundaries all or a portion of a qualifying
16 transportation project is located, or which is or will be
17 directly affected by the project.
18 "Approving body." In the case of a proposal subject to State
19 Transportation Commission review and approval under section
20 9104(a) (relating to transportation development agreements), the
21 State Transportation Commission and the proprietary public
22 entity. In the case of a proposal not subject to State
23 Transportation Commission approval under section 9104(a), the
24 proprietary public entity.
25 "Authorized development entity." A private entity, another
26 public entity or any partnership of the entities authorized by
27 the approving body or bodies to assume responsibility for the
28 use of or control, in whole or in part, of a transportation
29 facility from a proprietary public entity.
30 "Department." The Department of Transportation of the
20070S1158B2145 - 3 -
1 Commonwealth.
2 "Design build." The mode of infrastructure development
3 whereby the contractor is responsible for both the design and
4 construction of a qualifying transportation project.
5 "Develop" or "development." The term includes, but is not
6 limited to, the acts or functions of planning, designing,
7 financing, constructing, purchasing, installing, adding,
8 extending or other activities relating to the improvement of a
9 transportation facility.
10 "Fund." The Pennsylvania Transportation Development Trust
11 Fund established under section 9114 (relating to Pennsylvania
12 Transportation Development Trust Fund).
13 "Intergovernmental Cooperation Act." 53 Pa.C.S. Pt. III
14 Subpt. D (relating to area government and intergovernmental
15 cooperation).
16 "INTERIM AGREEMENT." AN AGREEMENT, INCLUDING A MEMORANDUM OF <--
17 UNDERSTANDING OR BINDING PRELIMINARY AGREEMENT, BETWEEN A
18 PRIVATE ENTITY AND THE RESPONSIBLE PUBLIC ENTITY OR THE AFFECTED
19 PUBLIC ENTITY UNDER SECTION 9108 (RELATING TO TERMS AND
20 CONDITIONS OF TRANSPORTATION DEVELOPMENT AGREEMENTS) WHICH
21 PROVIDES FOR COMPLETION OF STUDIES, INTERIM COMPENSATION RATES
22 AND ANY OTHER ACTIVITIES TO ADVANCE THE DEVELOPMENT OR OPERATION
23 OF A QUALIFYING TRANSPORTATION FACILITY.
24 "Local governmental entity." A unit of government with less
25 than Statewide jurisdiction, or any officially designated public
26 agency or authority of the unit of government, that has the
27 responsibility for planning, construction, operation or
28 maintenance of or jurisdiction over a transportation facility.
29 The term includes, but is not limited to, a county, city,
30 township, borough, incorporated town, municipal authority, local
20070S1158B2145 - 4 -
1 or regional planning organization, metropolitan transportation
2 authority, regional mobility authority or other political
3 subdivision or governmental entity created with less than
4 Statewide jurisdiction, or any combination of the entities
5 acting pursuant to 53 Pa.C.S. Pt. III Subpt. D (relating to area
6 government and intergovernmental cooperation) or a similar
7 statute.
8 "Local planning organization." An entity whose jurisdiction
9 does not exceed the county in which it is located, and which is
10 charged with transportation planning responsibilities in the
11 area in which a qualifying transportation project is located.
12 "Material default." Failure of an authorized development
13 entity or entities to perform any duties under a transportation
14 development agreement which jeopardizes delivery of adequate
15 service to the public and remains unsatisfied after a reasonable
16 period of time and after the authorized development entity or
17 entities has received written notice from the approving body or
18 bodies of the failure.
19 "Maximum rate of return." The negotiated maximum rate of
20 return a private entity can receive as an authorized development
21 entity from the operating and nonoperating revenues of a
22 transportation facility pursuant to a transportation development
23 agreement, including any incidental receipts and other income
24 derived from the transportation facility covered by the
25 agreement.
26 "Municipality Authorities Act." 53 Pa.C.S. Ch. 56 (relating
27 to municipal authorities).
28 "Operate" or "operation." Includes, but is not limited to,
29 the acts or functions of managing, controlling, maintaining,
30 repairing, conducting financial proceedings and other day-to-day
20070S1158B2145 - 5 -
1 activities of an enterprise.
2 "Partnership." An organization structured as a partnership
3 or joint venture and comprised of any combination of private
4 entities or public entities or both.
5 "Private entity." A natural person, sole proprietorship,
6 corporation, company, association, syndicate, partnership,
7 limited liability company, business trust, public benefit
8 corporation, nonprofit entity or any other entity not
9 specifically listed in this definition entering into a
10 transportation development agreement with a proprietary public
11 entity for a qualifying transportation project.
12 "Proprietary public entity." The public entity that owns the
13 proposed or existing transportation facility subject to a
14 transportation development agreement.
15 "Public entity." The Commonwealth or any department,
16 commission, authority or agency thereof or any local government
17 entity. The term shall specifically include the State
18 Transportation Commission, the Department of Transportation and
19 the Pennsylvania Turnpike Commission. For purposes of this
20 chapter, the term does not include the General Assembly and its
21 members, officers or agencies or any court or other office or
22 agency of the Pennsylvania judicial system.
23 "Qualifying transportation project." A proposed or existing
24 undertaking by an authorized development entity or entities for
25 the development or operation of a transportation facility
26 totally or partially within this Commonwealth.
27 "Regional mobility account." A separate account of the
28 Commonwealth within the Pennsylvania Transportation Development
29 Trust Fund, under the custody of the State Treasurer, into which
30 transportation development revenues or other funds, including
20070S1158B2145 - 6 -
1 surcharges imposed by the Commonwealth, may be deposited for
2 operation or development of regional transportation facilities.
3 "Regional mobility authority." An authority or similar local
4 government entity created pursuant to 53 Pa.C.S. Pt. III Subpt.
5 D (relating to area government and intergovernmental
6 cooperation), 53 Pa.C.S. Ch. 56 (relating to municipal
7 authorities) or other Commonwealth statute and recognized under
8 this chapter and regulations issued by the State Transportation
9 Commission for the purpose of promoting regional transportation
10 development.
11 "Regional planning organization." An entity with multicounty
12 jurisdiction and designated under Federal or State law with
13 transportation planning responsibilities in the region in which
14 a qualifying transportation project is located.
15 "Request for proposals." All materials and documents
16 prepared by or on behalf of a public entity to solicit proposals
17 from public or private entities to enter into a transportation
18 development agreement for a qualifying transportation project as
19 set forth in this chapter.
20 "Right-to-Know Law." The act of June 21, 1957 (P.L.390,
21 No.212), referred to as the Right-to-Know Law.
22 "Separations Act." The act of May 1, 1913 (P.L.155, No.104),
23 entitled "An act regulating the letting of certain contracts for
24 the erection, construction, and alteration of public buildings."
25 "State Adverse Interest Act." The act of July 19, 1957
26 (P.L.1017, No.451), known as the State Adverse Interest Act.
27 "State advisor." An entity as defined in section 2 of the
28 act of July 19, 1957 (P.L.1017, No.451), known as the State
29 Adverse Interest Act.
30 "State consultant." An entity as defined in section 2 of the
20070S1158B2145 - 7 -
1 act of July 19, 1957 (P.L.1017, No.451), known as the State
2 Adverse Interest Act.
3 "Transportation Commission." The State Transportation
4 Commission of the Commonwealth established under section 468 of
5 the act of April 9, 1929 (P.L.177, No.175), known as The
6 Administrative Code of 1929.
7 "Transportation development agreement." A lease, license,
8 franchise, easement, concession or other binding agreement
9 transferring rights for the use or control, in whole or in part,
10 of a transportation facility by a proprietary public entity to
11 an authorized development entity or entities for a definite term
12 during which the authorized development entity or entities will
13 provide transportation-related services, including, but not
14 limited to, any one or more of the following: operations and
15 maintenance, revenue collection, toll collection enforcement,
16 design, construction, development and other activities with
17 respect to existing or new transportation facilities that
18 enhance throughput, reduce congestion, improve safety or
19 otherwise manage or improve a transportation facility in return
20 for the right to receive all or a portion of the revenues of the
21 transportation facility.
22 "Transportation development revenues." Money generated from
23 or received in support of the development or operation of a
24 qualifying transportation project, including, but not limited
25 to, user fees, service payments, surcharges, lease payments,
26 governmental appropriations or grants, proceeds of debt or
27 equity issuance, income from operations and earnings on
28 investments.
29 "Transportation facility." A road, bridge, tunnel, overpass,
30 ferry, busway, guideway, other public transportation facility,
20070S1158B2145 - 8 -
1 vehicle parking facility, port facility, multimodal
2 transportation facility, airport, station, hub, terminal or
3 similar facility used for the transportation of persons, animals
4 or goods, together with any buildings, structures, parking
5 areas, appurtenances and other property needed to operate the
6 facility. The term includes any improvements or substantial
7 enhancements thereto.
8 "User fees." Rates, tolls, fees or other charges imposed or
9 collected by an authorized development entity or entities for
10 use of all or a portion of a transportation facility pursuant to
11 a transportation development agreement.
12 § 9104. Transportation development agreements.
13 (a) Authorization and approval.--Subject to the provisions
14 of this chapter and the approval of its governing body, a
15 proprietary public entity has full authority to enter into a
16 transportation development agreement with an authorized
17 development entity or entities governing the development or
18 operation of all or any portion of a transportation facility,
19 except that, if the transportation development agreement results
20 in the proprietary public entity disposing of or relinquishing
21 its control of a transportation facility or pertains to a
22 transportation facility that receives Commonwealth funding, then
23 the transportation development agreement must also be reviewed
24 and approved by the Transportation Commission before the
25 proprietary public entity can enter into the agreement.
26 (b) Project activities authorized.--Subject to the
27 requirements of this chapter, a transportation development
28 agreement may provide for the authorized development entity or
29 entities to be partially or entirely responsible for any one or
30 more of the following activities: planning, design, development,
20070S1158B2145 - 9 -
1 construction, reconstruction, improvement, extension or
2 expansion, operation, repair, maintenance, management, revenue
3 collection or financing of a transportation facility.
4 (c) Repositories for materials.--The Transportation
5 Commission shall serve as the primary repository for all
6 materials relating to the review and approval of transportation
7 development agreements that involve transportation facilities
8 that receive funding from the Commonwealth or result in the
9 proprietary public entity disposing of or relinquishing its
10 control over the transportation facilities. Otherwise, the
11 proprietary public entity shall serve as the repository for
12 materials relating to the review of transportation development
13 agreements which do not require the approval of the
14 Transportation Commission.
15 § 9105. Proposals for transportation development agreements.
16 (a) Solicited proposals.--Before entering into a
17 transportation development agreement, the proprietary public
18 entity must issue a request for proposals as set forth in this
19 subsection. If the proposal being requested is subject to
20 Transportation Commission review and approval pursuant to
21 section 9104(a) (relating to transportation development
22 agreements), the request for proposals must be authorized and
23 issued jointly by the proprietary public entity and the
24 Transportation Commission. Any request for proposals shall use a
25 competitive procurement process that selects the authorized
26 development entity whose proposal provides the best value for
27 the proprietary public entity and for the Commonwealth. Notice
28 of any such request for proposals shall be published in the
29 Pennsylvania Bulletin and posted or published in whatever other
30 medium is regularly used by the proprietary public entity for
20070S1158B2145 - 10 -
1 procurement matters. A request for proposals issued under this
2 subsection shall include the following:
3 (1) The minimum scope and content of the information to
4 be provided by the respondent.
5 (2) The factors or criteria that will be used by the
6 approving body or bodies in evaluating the proposals and the
7 deadline for submitting the proposal.
8 (3) A statement concerning the scope and location of the
9 proposed project.
10 (4) A statement concerning any other information that
11 the approving body or bodies may consider in evaluating the
12 proposals.
13 (5) A statement indicating that if clarification is
14 needed in the evaluation of the proposals, the proprietary
15 public entity, together with the Transportation Commission if
16 its approval is required, may negotiate specific provisions
17 with the prospective authorized development entity that
18 submitted the proposal pursuant to the request for proposals.
19 (b) Unsolicited proposals.--A proprietary public entity may
20 entertain and accept for review unsolicited proposals submitted
21 by public or private entities for a qualifying transportation
22 project. To the extent a proposal is subject to Transportation
23 Commission review and approval pursuant to section 9104(a), the
24 proposal shall also be submitted to the Transportation
25 Commission. For proposals not subject to Transportation
26 Commission approval, proprietary public entities may establish
27 rules and procedures for accepting unsolicited proposals and may
28 set forth the information required to be included in unsolicited
29 proposals submitted by public or private entities. The
30 Transportation Commission shall be responsible for establishing
20070S1158B2145 - 11 -
1 rules and procedures for unsolicited proposals subject to its
2 approval, which shall include a review and response period not
3 exceeding 135 days from receipt of the unsolicited proposal for
4 any proposal with an estimated cost of construction greater than
5 $50,000,000. If an unsolicited proposal is deemed to be in
6 compliance with the rules and procedures as established by the
7 appropriate approving body and if the public entity or entities
8 so desire to pursue the proposed qualifying transportation
9 project, the proprietary public entity, jointly with the
10 Transportation Commission if its approval is required, must
11 publish a request for and receive competing proposals in <--
12 accordance with subsection (a). RESPONSES TO REQUESTS FOR <--
13 PROPOSALS ISSUED IN RESPONSE TO THE FAVORABLE REVIEW OF A
14 PROPOSAL UNDER THIS SUBSECTION SHALL BE RETURNED TO THE
15 COMMISSION OR PROPRIETARY PUBLIC ENTITY WITHIN 60 DAYS.
16 (c) Discussions and negotiations with proposing entities.--A
17 proprietary public entity, and the Transportation Commission
18 where its approval is required, may conduct discussions and
19 negotiations with public or private entities which have
20 submitted solicited or unsolicited proposals for the purpose of
21 clarification to assure full understanding of the proposals or
22 the responsiveness of solicited proposals to solicitation
23 requirements.
24 (d) Design build development; Separations Act
25 inapplicable.--Notwithstanding any other provision of law to the
26 contrary:
27 (1) any proposal made pursuant to this chapter may
28 provide for the design build mode of infrastructure
29 development; and
30 (2) in no event shall an authorized development entity
20070S1158B2145 - 12 -
1 or entities be subject to the requirements of the Separations
2 Act in connection with a transportation development agreement
3 authorized pursuant to this chapter.
4 (e) Federal credit assistance.--The approving body or bodies
5 and affected local jurisdictions may apply for, execute or
6 endorse applications by prospective authorized development
7 entities to obtain Federal credit assistance for a qualifying
8 transportation project.
9 (f) Adverse interests of proposing private entity.--
10 (1) Except as provided in paragraph (2), a private
11 entity which is a State advisor or State consultant for the
12 Transportation Commission, the department, the Pennsylvania
13 Turnpike Commission or any other proprietary public entity
14 shall not be deemed to be in violation of the State Adverse
15 Interest Act if the private entity:
16 (i) prepares or submits a proposal or a response to
17 a request for proposals under this section;
18 (ii) negotiates or enters into a transportation
19 development agreement; or
20 (iii) engages in other activities in furtherance of
21 the provisions or purposes of this chapter.
22 (2) A private entity which submits an unsolicited
23 proposal or a response to a request for proposals shall be
24 prohibited from providing advice to the Transportation
25 Commission, the department, the Pennsylvania Turnpike
26 Commission or a proprietary public entity on its proposal,
27 any competing proposal or a request for proposals for which
28 it has submitted a response.
29 (g) Fees.--The approving body or bodies may require that a
30 nonrefundable fee accompany any solicited or unsolicited
20070S1158B2145 - 13 -
1 proposal submitted pursuant to this section to cover all or part
2 of the costs of processing, reviewing and evaluating the
3 proposal.
4 (h) Confidentiality of records.--To encourage public and
5 private entities to submit proposals under subsections (a) and
6 (b), the following information shall be considered confidential,
7 and shall not be considered a public record subject to
8 disclosure, public inspection or copying under the Right-to-Know
9 Law, or any other act, until a final transportation development
10 agreement for a proposed qualifying transportation project is
11 entered into:
12 (1) All or part of a proposal, whether solicited or
13 unsolicited, submitted by a public or private entity or any
14 partnership of the entities for a proposed qualifying
15 transportation project, except information regarding the
16 scope, location and limits of the project and information
17 pertaining to a public or private entity's qualifications,
18 experience, technical competence and capability to develop
19 the project.
20 (2) Information and records created during any
21 discussions or negotiations arising from the process as
22 described in subsection (c).
23 (i) Disclosure of records.--Notwithstanding subsection (h),
24 after a transportation development agreement has been entered
25 into, the entire selected proposal shall be considered a public
26 record for purposes of disclosure under the Right-to-Know Law.
27 Promptly after a transportation development agreement has been
28 entered into, the approving body or bodies shall also make
29 available for inspection and copying by the public a summary of
30 the terms of the selected proposal and a written explanation of
20070S1158B2145 - 14 -
1 the basis upon which the selection was made. Proprietary
2 information contained in proposals not selected and records of
3 negotiations with private entities not selected shall continue
4 to be exempt from public disclosure.
5 § 9106. Review and selection of proposals.
6 (a) Timing of review.--For proposals subject to its
7 approval, the Transportation Commission, IN CONJUNCTION WITH THE <--
8 DEPARTMENT, by published regulations shall promulgate procedures
9 and guidelines that establish the process for the review and
10 selection of a proposal submitted pursuant to section 9105(a)
11 and (b) (relating to proposals for transportation development
12 agreements). THE DEPARTMENT SHALL PUBLISH INTERIM GUIDELINES <--
13 WITHIN SIX MONTHS OF THE EFFECTIVE DATE OF THIS SECTION AND
14 SHALL PUBLISH FINAL REGULATIONS WITHIN TWO YEARS OF THE
15 EFFECTIVE DATE OF THIS SECTION. The guidelines shall establish:
16 (1) a specific schedule for the timing of the review of
17 the proposals by the approving body or bodies designed with a
18 high priority placed upon a review schedule requiring less
19 than 135 days;
20 (2) a process for alteration of that schedule if the
21 approving body or bodies deem that changes are necessary
22 because of the scope or complexity of proposals received; and
23 (3) the type and amount of information that is necessary
24 for adequate review of proposals. A proprietary public entity
25 shall promulgate its own procedures and guidelines for the
26 review and selection of proposals which do not require
27 Transportation Commission approval.
28 (b) Asset valuation.--In evaluating any submitted proposal,
29 the approving body or bodies may rely on internal reports
30 prepared by staff familiar with the operation of similar
20070S1158B2145 - 15 -
1 transportation facilities or may engage the services of the
2 private consultants, engineers and other experts as the
3 approving body or bodies determine are necessary or desirable
4 for the purposes of performing the evaluations. As part of each
5 evaluation of any submitted proposal, the approving body or
6 bodies shall be required to obtain a financial and valuation
7 assessment with respect to the proposed qualifying
8 transportation project from a qualified independent advisor with
9 experience and expertise with similar transportation facilities.
10 (c) Factors for review and selection of proposals.--The
11 appropriate approving body or bodies may consider the following
12 factors in reviewing and selecting a proposal to enter into a
13 transportation development agreement:
14 (1) the ability of the qualifying transportation project
15 to improve safety, reduce congestion, increase capacity and
16 promote economic growth;
17 (2) the compatibility of the proposal with existing
18 local or regional land use plans or the commitment of local
19 communities to approve plans in preparation for the proposed
20 project;
21 (3) the proposed cost of and financial plan for the
22 qualifying transportation project;
23 (4) the general reputation, qualifications, industry
24 experience and financial capacity of the entity or entities
25 submitting the proposal;
26 (5) the proposed design, operation and feasibility of
27 the qualifying transportation project;
28 (6) comments from local citizens and affected local
29 jurisdictions;
30 (7) benefits to the public;
20070S1158B2145 - 16 -
1 (8) the safety record of the entity or entities
2 submitting the proposal; and
3 (9) other criteria that the approving body or bodies
4 deem appropriate.
5 § 9107. Affected local jurisdictions.
6 The Transportation Commission by published regulations shall
7 promulgate procedures and guidelines that establish a process in
8 which affected local jurisdictions receive notice of a proposed
9 qualifying transportation project and have an opportunity to
10 provide input regarding the project before a transportation
11 development agreement is executed. For proposed qualifying
12 transportation projects which do not require approval of the
13 Transportation Commission under section 9104(a) (relating to
14 transportation development agreements), the proprietary public
15 entity shall promulgate its own procedures and guidelines by
16 which affected local jurisdictions receive notice of a proposed
17 qualifying transportation project and have an opportunity to
18 provide input prior to the execution of a transportation
19 development agreement.
20 § 9108. Terms and conditions of transportation development
21 agreements.
22 (a) Proprietary public entity and authorized development
23 entity negotiations.--Except as otherwise expressly provided in
24 section 9105 (relating to proposals for transportation
25 development agreements) and this section, a proprietary public
26 entity may enter into a transportation development agreement
27 with an authorized development entity or entities without regard
28 to the provisions of 62 Pa.C.S. Pt. 1 (relating to Commonwealth
29 Procurement Code). The proprietary public entity and authorized
30 development entity or entities are expressly authorized to
20070S1158B2145 - 17 -
1 negotiate the provisions of a transportation development
2 agreement.
3 (A.1) INTERIM AGREEMENT.--PRIOR TO COMPLETION OF A <--
4 TRANSPORTATION DEVELOPMENT AGREEMENT, A PROPRIETARY PUBLIC
5 ENTITY AND AN AUTHORIZED DEVELOPMENT ENTITY MAY NEGOTIATE AN
6 INTERIM AGREEMENT FOR THE PURPOSE OF FURTHER DEFINING PROJECT
7 PLANNING AND DEVELOPMENT, ADVANCE RIGHT-OF-WAY ACQUISITION,
8 DESIGN AND ENGINEERING, ENVIRONMENTAL ANALYSIS AND MITIGATION,
9 SURVEYING, CONDUCTING TRANSPORTATION AND REVENUE STUDIES AND
10 ASCERTAINING THE AVAILABILITY OF FINANCING FOR THE PROPOSED
11 QUALIFYING TRANSPORTATION FACILITY OR FACILITIES. THE INTERIM
12 AGREEMENT MAY ALSO ESTABLISH THE PROCESS AND TIMING OF THE
13 NEGOTIATION OF THE COMPREHENSIVE AGREEMENT AND ANY OTHER
14 PROVISIONS RELATED TO ANY ASPECT OF THE DEVELOPMENT OR OPERATION
15 OF A QUALIFYING TRANSPORTATION FACILITY THAT THE PARTIES MAY
16 DEEM APPROPRIATE.
17 (b) Required provisions.--A transportation development
18 agreement entered into under this chapter shall provide for the
19 following:
20 (1) a process by which the authorized development entity
21 or entities implements, sets and adjusts any user fees on any
22 transportation facility;
23 (2) the methodologies, indices or other factors for the
24 setting and adjusting of user fees;
25 (3) the original term of the transportation development
26 agreement, which may not exceed 50 years;
27 (4) dates for the beginning and completion of
28 construction of or improvements to the qualifying
29 transportation project;
30 (5) the transportation facility acquired or constructed
20070S1158B2145 - 18 -
1 pursuant to a transportation development agreement is public
2 property that is leased to the authorized development entity
3 and belongs to the proprietary public entity;
4 (6) that upon termination of the transportation
5 development agreement, the transportation facility must be in
6 a state of proper maintenance and repair and shall be
7 returned to the proprietary public entity in satisfactory
8 condition at no further cost to the public entity;
9 (7) maintenance of a policy or policies of liability
10 insurance, copies of which shall be filed with the
11 proprietary public entity accompanied by proofs of coverage,
12 or self insurance, each in form and amount satisfactory to
13 the proprietary public entity and reasonably sufficient to
14 insure coverage of tort liability to the public and employees
15 and to enable the continued operation of the transportation
16 facility; and
17 (8) that the authorized development entity shall comply
18 with the act of August 15, 1961 (P.L.987, No.442), known as
19 the Pennsylvania Prevailing Wage Act, and 62 Pa.C.S. § 107
20 (relating to reciprocal limitations).
21 § 9109. Material default; remedies.
22 (a) General rule.--Upon the occurrence and during the
23 continuation of a material default of a transportation
24 development agreement by an authorized development entity or
25 entities, the approving body or bodies may:
26 (1) Elect to take over the transportation facility which
27 is the subject of the transportation development agreement,
28 including the succession of all right, title and interest in
29 the transportation facility, subject to any liens on revenues
30 previously granted by the authorized development entity or
20070S1158B2145 - 19 -
1 entities.
2 (2) Terminate the transportation development agreement
3 and exercise any other rights and remedies that may be
4 available.
5 (b) Takeover.--In the event that the approving body or
6 bodies elect to take over a transportation facility under
7 subsection (a), the approving body or bodies:
8 (1) Shall collect and pay any revenues that are subject
9 to lien to satisfy any obligation.
10 (2) May develop and operate the transportation facility,
11 impose user fees for the use of the transportation facility
12 and comply with any service contracts.
13 (3) May solicit proposals for the maintenance and
14 operation of the transportation facility under section 9105
15 (relating to proposals for transportation development
16 agreements).
17 § 9110. Financing qualifying transportation projects.
18 (a) User fees.--
19 (1) Each transportation development agreement shall
20 authorize the authorized development entity or entities to
21 impose user fees for use of the transportation facility.
22 Unless specifically prohibited in the transportation
23 development agreement, the authorization shall permit the
24 imposition of user fees on transportation facilities not
25 currently subject to user fees, subject to compliance with
26 applicable Federal and State law and approval by the
27 Transportation Commission.
28 (2) The transportation development agreement may
29 authorize the authorized development entity or entities to
30 collect tolls or user fees through both conventional methods
20070S1158B2145 - 20 -
1 and nonconventional methods, including, but not limited to,
2 automatic vehicle identification systems, electronic toll
3 collection systems and, to the extent permitted by law,
4 video-based toll-collection enforcement.
5 (3) A maximum rate of return on investment shall be
6 negotiated by the proprietary public entity and the
7 authorized development entity or entities and stated in the
8 transportation development agreement.
9 (4) After expiration of the original term of the
10 transportation development agreement, the proprietary public
11 entity may continue to charge user fees for the use of the
12 transportation facility.
13 (5) User fees under a transportation development
14 agreement shall generally be uniform for similar persons and
15 vehicles traveling under like conditions, except as may be
16 required to mitigate congestion on and preserve capacity of
17 the transportation facility which is the subject of the
18 transportation development agreement.
19 (b) Bonding authority.--A proprietary public entity or
20 authorized development entity or entities may authorize the
21 issuance of debt, equity or other securities or obligations to
22 pay all or part of the costs of a qualifying transportation
23 project and may secure any such financing with a pledge of,
24 security interest in or lien on any of the user fees charged and
25 collected for the use of the transportation facility. However,
26 any bonds, debt, other securities or other financing issued for
27 the purposes of this chapter shall be limited obligations of the
28 proprietary public entity or authorized development entity or
29 entities and shall not be considered to constitute a debt of the
30 Commonwealth or any political subdivision thereof or a pledge of
20070S1158B2145 - 21 -
1 the full faith and credit of the Commonwealth or any political
2 subdivision thereof.
3 (c) Limited recourse bonds backed by pledge of portion of
4 Motor License Fund revenues.--(Reserved).
5 § 9111. Power of eminent domain.
6 At the request of an authorized development entity or
7 entities, the proprietary public entity or an affected local
8 jurisdiction otherwise possessing the power of eminent domain
9 may exercise that power for the purpose of acquiring any real
10 property or interests therein deemed necessary to advance the
11 development or operation of a qualifying transportation project.
12 Any amounts payable in any such eminent domain proceeding may be
13 paid by the proprietary public entity or the authorized
14 development entity or entities.
15 § 9112. Police powers; motor vehicle laws.
16 (a) Powers and jurisdiction.--All law enforcement officers
17 of the Commonwealth and each affected local jurisdiction shall
18 have the same powers and jurisdiction within the limits of a
19 qualifying transportation project as they have in their
20 respective areas of jurisdiction, and law enforcement officers
21 shall have access to the qualifying transportation project at
22 any time for the purpose of exercising their law enforcement
23 powers and jurisdiction.
24 (b) Enforcement of traffic laws.--To the extent the
25 qualifying transportation project includes a highway, bridge,
26 tunnel, overpass or similar transportation facility for motor
27 vehicles, the traffic and motor vehicle laws of this
28 Commonwealth or, if applicable, any local jurisdiction shall be
29 the same as those applying to conduct on similar transportation
30 facilities in the Commonwealth or the local jurisdiction.
20070S1158B2145 - 22 -
1 (c) Payment of law enforcement costs.--The authorized
2 development entity or entities shall be responsible for the
3 payment of all costs associated with the provision of law
4 enforcement services pursuant to subsections (a) and (b) within
5 the limits of a qualifying transportation project.
6 (d) Fines.--Fines imposed by law enforcement officers for
7 violations occurring within the limits of a qualifying
8 transportation project shall be imposed, collected, distributed
9 and governed as otherwise provided by applicable law.
10 § 9113. Taxation of authorized development entity or entities.
11 (a) General rule.--To the extent that revenues or user fees
12 received by an authorized development entity or entities are
13 subject to any tax imposed by a political subdivision prior to
14 the effective date of this chapter, the revenues or user fees
15 shall continue to be subject to the tax and to future increases
16 in the rate of the tax.
17 (b) New taxation barred.--After the effective date of this
18 chapter, no new tax shall be imposed by a political subdivision
19 on the revenues or user fees received by an authorized
20 development entity or entities.
21 (c) Realty transfer tax.--No transportation development
22 agreement, lease, concession, franchise or other contract
23 involving real property of a qualifying transportation project
24 shall be subject to any Commonwealth or local realty transfer
25 tax imposed under the act of December 31, 1965 (P.L.1257,
26 No.511), known as The Local Tax Enabling Act, the act of March
27 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, or
28 a successor statute.
29 (d) Property.--Property used in connection with a qualifying
30 transportation project shall be considered public property and
20070S1158B2145 - 23 -
1 is exempt from ad valorem property taxes and special assessments
2 levied against property by the Commonwealth or any political
3 subdivision.
4 § 9114. Pennsylvania Transportation Development Trust Fund.
5 (a) Establishment of fund.--The Pennsylvania Transportation
6 Development Trust Fund is hereby established separate and
7 distinct from the General Fund of the Commonwealth. Interest
8 earned on moneys held in the fund shall be credited to the fund.
9 The Transportation Commission shall hold, administer and manage
10 the fund, and expenses of administering the fund shall be paid
11 from money in the fund.
12 (b) Separate accounts.--Within the fund, separate accounts
13 and subaccounts may be established.
14 (c) Deposits.--Subject to the provisions of a transportation
15 development agreement, the following moneys may be deposited
16 into the fund:
17 (1) Payments received from an authorized development
18 entity or entities under a transportation development
19 agreement.
20 (2) Revenues received from a qualifying transportation
21 project pursuant to a transportation development agreement
22 with an authorized development entity or entities.
23 (3) Excess earnings over the negotiated maximum rate of
24 return for an authorized development entity or entities in a
25 transportation development agreement.
26 (4) Surcharges or other service fees or user fees which
27 may be imposed or levied by the Commonwealth on passenger or
28 commercial travel.
29 (5) Appropriations, if any, made by the General
30 Assembly.
20070S1158B2145 - 24 -
1 (6) Interest, premiums, gains or other earnings on the
2 fund.
3 (7) Any other moneys from any sources, public or
4 private, that are done by donation, grant, contract, law or
5 other means transferred, allocated or appropriated to the
6 fund.
7 (d) Permitted uses.--
8 (1) The fund shall be a separate trust fund to be
9 appropriated and used by the Transportation Commission, upon
10 majority vote thereof, solely for the operation and
11 development of transportation facilities wholly or partly
12 within this Commonwealth. Included as a permitted use of fund
13 moneys is the funding of regional mobility authorities
14 designated by the Transportation Commission under section
15 9115 (relating to regional mobility account, etc.).
16 (2) Money may not be transferred, assigned or otherwise
17 removed from the fund except by the Transportation Commission
18 and not by the General Assembly or any other agency,
19 authority or other political subdivision of the Commonwealth.
20 (3) Money in the fund at the end of the fiscal year
21 shall not revert to the General Fund.
22 § 9115. Regional mobility account, etc.
23 (Reserved).
24 § 9116. Regional mobility authority.
25 A regional mobility authority shall be eligible to receive
26 transportation development revenues directly from the fund or
27 from a regional mobility fund. An existing local governmental
28 entity shall be eligible for designation as a regional mobility
29 authority upon application to the Transportation Commission.
30 § 9117. Turnpike lease restricted.
20070S1158B2145 - 25 -
1 The Pennsylvania Turnpike, its additions and lease properties
2 may not be subject to a transfer of oversight responsibilities
3 through a lease, sale or other agreement unless specific
4 authority is granted through an act of law passed by a majority
5 of members of the General Assembly. This section shall not
6 restrict the ability of the Pennsylvania Turnpike Commission or
7 the Transportation Commission to consider and approve
8 partnership agreements which do not require a transfer of
9 operational oversight from the Pennsylvania Turnpike Commission.
10 Section 2. This act shall take effect in 60 days.
J31L74RLE/20070S1158B2145 - 26 -