AN ACT to allow the DEPARTMENT of transportation to partner with private developers on transportation improvement projects and provide funding directly to the private developer.

The General Assembly of North Carolina enacts:

SECTION 1.  Chapter 136 of the General Statutes is amended by adding a new section to read:
"§ 136‑28.6A.  Partnerships with private developers.(a)	When in the best interest of the State, the Department may enter into a contract with a private developer to accomplish the engineering, design, or construction of improvements to the State highway system. 
(b)	The Department is authorized to establish policies and promulgate rules providing for its participation in contracts for projects performed on or abutting a state highway or on a facility planned to be added to the State highway system for purposes of completing incidental work on the State highway system.
(c)	Any project funded or constructed under this section shall be subject to the following restrictions:
(1)	The Department's participation shall be limited to the lesser of ten percent (10%) of the amount of the engineering contract and any construction contract let by the developer for the project or two hundred fifty thousand dollars ($250,000). However, under no circumstances shall participation in the contracts by the Department exceed costs associated with normal practices of the Department.
(3)	Plans for the project must meet established standards and shall be approved by the Department.
(4)	Projects shall be constructed in accordance with the plans and specifications approved by the Department.
(d)	The Secretary shall report annually, not later than March 1, in writing to the Joint Legislative Commission on Governmental Operations and the Joint Legislative Transportation Oversight Committee on all agreements entered into between the Department and a private developer for participation in private engineering and construction contracts under this section."

SECTION 2.  This act is effective when it becomes law. This act shall expire on December 31, 2011.
In the General Assembly read three times and ratified this the 22nd day of June, 2009.

	s/	 Walter H. Dalton
	 President of the Senate

	s/	 Joe Hackney
	 Speaker of the House of Representatives

	s/	 Beverly E. Perdue
	 Governor

Approved 6:02 p.m. this 30th day of June, 2009