U.S. DOT Advocates Leasing Highways, Infrastructure

National - The U.S. Department of Transportation has announced it is anxious to support states in their privatization of roads and infrastructure. Transportation Secretary Mary Peters said Monday that the department has developed model legislation for states to use authorizing public-private partnerships for "building, owning, or operating highways, mass transit, railroads, airports, seaports, or other transportation infrastructure."

The U.S. DOT plans for the model to be used to reduce or remove obstacles to private investment with the justification that more lanes and roads will help alleviate highway congestion.

"The growing stranglehold that congestion is placing on America's transportation network calls for new ways of financing and maintaining our critical transportation infrastructure," Secretary Peters said. "This model legislation will help ensure that states are in a position to tap into the billions of dollars that the private sector and lenders have amassed to invest in transportation."

Secretary Peters noted that 21 states and Puerto Rico already have at least some legal ability to utilize public-private partnerships. However, many of those laws provide limited or project-specific authority. Broad authority will also give states the opportunity to take advantage of various federal tools and pilot programs now available under SAFETY-LU and the recently created congestion initiative.

The model legislation is available on the Internet at http://www.fhwa.dot.gov/ppp/legislation.htm.