California bill would lift P3 sunset provision
California Assemblyman Henry T. Perea (D-Fresno) has introduced a new bill that would lift the sunset provision for P3s roads and highways.
The current law allowing P3s for state roads states that an agreement may not be entered into after 1 January 2017. Perea’s legislation, AB 1265, would extend P3 authorization indefinitely.
“California needs access to every avenue possible to rehabilitate our crumbling roads,” Perea said, in a statement. “AB 1265 will ensure we can continue utilizing P3s.”
The bill is supported by Transportation California, a coalition of contractors and allied labor. The Associated General Contractors of California (AGC) and the Association for the Improvement of American Infrastructure (AIAI) have also put their support behind the bill.
“The Associated General Contractors of California (AGC) are very supportive of legislation that continues the authority for Caltrans to utilize Public Private Partnerships as a procurement option,” the AGC’s CEO Tom Holsman said, in a statement. “The current shortage of adequate funding for state highway systems requires that California use all available options to fund vital projects. Where appropriate, private sector investment can allow a project to move forward that otherwise would never happen.”
Perea introduced the bill in the Assembly on 27 February. A vote has not yet been scheduled.