Public-Private Partnership (P3) Model State Legislation in Infrastructure

The U.S. faces a growing need to build and maintain critical infrastructure—everything from airports to wastewater treatment plants—but with limited government funding to do the job. Encouraging private sector investment in infrastructure is part of the solution. But one promising tool—public-private partnerships or “P3s”—is currently limited or unavailable in most states due to lack of enabling legislation.

States with P3-Enabling Legislation

Source: National Conference of State Legislatures; Note: This map refers only to laws enabling transportation P3s.

Key Components of the Model Law

  • Enables P3s for a wide range of projects
  • Creates a state office dedicated to providing P3 expertise and assistance
  • Standardizes and promotes best practices
  • Protects the public interest

As shown above, 33 states (along with the District of Columbia and Puerto Rico) have enacted by statute some sort of P3- enabling legislation—a patchwork of laws met with varying degrees of success and public support. The following model legislation is the product of review of best practices nationwide. While drafted with the intention of having each state tailor the legislation according to its needs and circumstances, states considering adopting P3-enabling legislation for the first time or updating their existing laws may want to use this model as a tool.

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