2001 SESSION

01-0454

03/01

HOUSE BILL 634

COMMITTEE: Public Works and Highways

ANALYSIS

This bill authorizes the commissioner of the department of transportation to enter into transportation projects with private entities which may utilize a combination of public and private financing sources.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

01-0454

03/01

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand One

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Statement of Intent. The general court hereby finds and declares the following:

I. It is essential for the economic well-being of the state and the maintenance of a high quality of life that the people of New Hampshire have a modern, efficient, and well-maintained transportation system.

II. State funding sources are inadequate to provide fully for a transportation system that accommodates the state's population growth and the needs of the economy.

III. The state should encourage the formation of public/private partnership collaborations in order to take advantage of the abilities and resources present in each sector to construct, maintain, and improve present and contemplated transportation facilities.

IV. The federal government encourages the development of innovative methods of design, construction, financing, and operation of transportation facilities, and the department of transportation should be enabled to develop projects using the most advanced methods available, consistent with the requirements of state law.

V. Public/private partnerships are in the public interest because they may:

(a) Take advantage of private sector efficiencies in designing, constructing, and operating transportation projects.

(b) Allow for the rapid formation of capital necessary for funding transportation projects.

(c) Require continued compliance with applicable environmental requirements and applicable state and federal laws that all publicly-financed projects must address.

(d) Take advantage of new opportunities provided by 23 U.S.C. sec. 129, as amended, which establishes a new program authorizing federal participation in construction or improvement of publicly or privately owned roads, bridges, tunnels, land, and property, and allows states to leverage available federal funds as a means for attracting private sector capital.

2 Powers of Governor and Council; Disposal of Real Estate; Exception. Amend RSA 4:40, I to read as follows:

I. Except as provided in RSA 4:39-a [and], RSA 204-D, and RSA 228:31, upon recommendation of the head of any state department having jurisdiction over the same and with the approval of the council on resources and development, all requests for the disposal or leasing of state-owned properties shall be reviewed and approved by the long range capital planning and utilization committee prior to submission to the governor and council for approval. Upon determination that the property is no longer needed by the state, the governor and council shall first offer it to the town, city, or county in which the property is located. If the town, city, or county refuses the offer, the governor and council may sell, convey, transfer, or lease the real property.

3 Authorization to Encumber Federal Aid; Amount Authorized Amended. Amend RSA 228:14 to read as follows:

228:14 Authorization to Encumber Federal Aid. The department of transportation is hereby authorized to encumber a total amount not to exceed [one year of the regular federal aid highway appropriations] the maximum amount established by the current federal transportation aid legislation, as amended. This authorization shall be a continuing authorization and shall be utilized to encumber contracts under the direction of the commissioner.

4 Acquisition and Disposal of Land or Property; Financing of Public/Private Ventures Authorized. Amend RSA 228:31 to read as follows:

228:31 Acquisition [and], Disposal, and Financing of Land or Property. The commissioner may acquire, by agreement with the owner, lands and property or any interest therein for highway, railroad, or transit purposes in the name of the state at what [he] the commissioner considers [a] reasonable compensation[, and, with approval of the governor and council, may sell, convey, or lease, in the name of the state, any land or property or any interest therein which the state has acquired for highway purposes]. The commissioner may authorize the use of highway funds by agreement with another state agency or with a municipality, as authorized by federal regulations, for the functional replacement of land and improvements required for highway purposes. After receiving approval of the council on resources and development pursuant to RSA 162-C, the approval of the long range capital planing and utilization committee, pursuant to RSA 17-M, and the approval of the governor and council, the commissioner may:

I. Solicit proposals and enter into agreements with private entities to study, design, construct, finance, operate, and maintain public/private partnership transportation projects on state land so acquired which utilize sources of financing other than direct appropriation of state funds, or a pledge of the credit of the state.

II. Lease for a term of years, in the name of the state, any land or property, or any interest therein, which the state has so acquired, and dedicate the revenue realized as the governor and council may determine.

III. Sell or convey, in the name of the state, any land or property or any interest therein which the state has acquired for highway, railroad, or transit purposes.

5 Effective Date. This act shall take effect 60 days after its passage.