Bill Text: PA HB2501 | 2009-2010 | Regular Session | Introduced

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Bill Title: Providing for the conversion of Interstate 80 to a toll road; and making editorial changes.

Spectrum: Bipartisan Bill

Status: (Introduced - Dead) 2010-10-04 - Referred to TRANSPORTATION [HB2501 Detail]

Download: Pennsylvania-2009-HB2501-Introduced.html

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PRINTER'S NO. 4430
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 2501 Session of2010
INTRODUCED BY PALLONE, CREIGHTON, GODSHALL, HORNAMAN, JOSEPHS AND METZGAR, OCTOBER 4, 2010
REFERRED TO COMMITTEE ON TRANSPORTATION, OCTOBER 4, 2010
AN ACT
Amending Titles 74 (Transportation) and 75 (Vehicles) of the
Pennsylvania Consolidated Statutes, providing for the
conversion of Interstate 80 to a toll road; and making
editorial changes.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Sections 1506(b)(1) and (e)(2) and 8116(a)(3) of
Title 74 of the Pennsylvania Consolidated Statutes are amended
to read:
§ 1506. Fund.
* * *
(b) Deposits to fund by department.--
(1) The following apply:
(i) Except as provided under subparagraph (ii), upon
receipt, the department shall deposit into the fund the
revenues received by the department under 75 Pa.C.S. Ch.
89 (relating to Pennsylvania Turnpike) [and the lease
agreement executed between the department and the
Pennsylvania Turnpike Commission under 75 Pa.C.S. §
8915.3 (relating to lease of Interstate 80; related
agreements)] as follows:
(A) For fiscal year 2007-2008, $250,000,000.
(B) For fiscal year 2008-2009, $250,000,000.
(C) For fiscal year 2009-2010, $250,000,000.
(D) For fiscal year 2010-2011 and each fiscal
year thereafter, the amount calculated for the
previous fiscal year[, increased by 2.5%].
(ii) The deposits made to the fund under this
subsection shall equal $250,000,000 annually for each
fiscal year [commencing after the expiration of the
conversion period if the conversion notice is not
received by the secretary prior to expiration of the
conversion period as set forth under 75 Pa.C.S. §
8915.3(3)].
* * *
(e) Program funding amounts.--Subject to available funds,
the programs established under this chapter shall be funded
annually as follows:
* * *
(2) (i) Except as provided under subparagraph (ii), for
the program established under section 1514 (relating to
asset improvement program):
(A) By the proceeds of Commonwealth capital
bonds deposited into the fund under subsection (c)
(2).
(A.1) For fiscal year 2007-2008, $50,000,000
from the revenues received by the department under 75
Pa.C.S. Ch. 89 [and the lease agreement executed
between the department and the Pennsylvania Turnpike
20100HB2501PN4430 - 2 -
Commission under 75 Pa.C.S. § 8915.3]. The amount
received by the department under this section shall
be deposited into the fund prior to distribution and
shall be in addition to the amounts received under
subsection (b)(1).
(B) For fiscal year 2008-2009, $100,000,000 from
the revenues received by the department under 75
Pa.C.S. Ch. 89 [and the lease agreement executed
between the department and the Pennsylvania Turnpike
Commission under 75 Pa.C.S. § 8915.3]. The amount
received by the department under this section shall
be deposited into the fund prior to distribution and
shall be in addition to the amounts received under
subsection (b)(1).
(C) For fiscal year 2009-2010, $150,000,000 from
the revenues received by the department under 75
Pa.C.S. Ch. 89 [and the lease agreement executed
between the department and the Pennsylvania Turnpike
Commission under 75 Pa.C.S. § 8915.3]. The amount
received by the department under this section shall
be deposited into the fund prior to distribution and
shall be in addition to the amounts received under
subsection (b)(1).
(D) For fiscal year 2010-2011 and each fiscal
year thereafter, the amount calculated for the prior
fiscal year [increased by 2.5% from the revenues]
received by the department under 75 Pa.C.S. Ch. 89
[and the lease agreement executed between the
department and the Pennsylvania Turnpike Commission
under 75 Pa.C.S. § 8915.3. The amount received by the
20100HB2501PN4430 - 3 -
department under this section shall be deposited into
the fund prior to distribution and shall be in
addition to the amounts received under subsection (b)
(1)].
[(ii) If the conversion notice is not received by
the secretary prior to the end of the conversion period
as set forth in 75 Pa.C.S. § 8915.3(3), no additional
allocation shall be made under subparagraph (i).
(3) For the program established under section 1516
(relating to programs of Statewide significance), 13.24% of
the revenues deposited in the fund under subsection (c)(1)
shall be allocated from the fund.
(4) For the program established under section 1517
(relating to capital improvements program), 16.77% of the
revenues deposited in the fund under subsection (c)(1).
Additional funds for this program may be provided from the
funds allocated but not distributed based on the limitation
set forth under section 1513(c)(3).]
§ 8116. Collection and disposition of tolls and other revenue.
(a) Establishment and changes in toll amounts.--Subject to
the terms of any trust indenture entered into by the commission
or any resolution authorizing the issuance of any bonds, notes
or other obligations of the commission, the commission is
authorized to fix and to revise tolls for the use of the
Pennsylvania Turnpike System and the different parts or sections
of the system, including the turnpike, the turnpike extensions
and improvements and the toll road conversions authorized by
this chapter. The commission is further authorized to charge and
collect tolls; to contract with any person, partnership,
association or corporation desiring the use of any part thereof,
20100HB2501PN4430 - 4 -
including the right-of-way adjoining the paved portion, for
placing thereon telephone, telegraph, electric light or power
lines, gas stations, garages, stores, hotels, restaurants and
advertising signs or for any other purpose, except for service
plazas in the right-of-way along Interstate 80 and for tracks
for railroad or railway use; and to fix the terms, conditions,
rents and rates of charges for use. Tolls shall be fixed and
adjusted as to provide funds at least sufficient with other
revenues of the Pennsylvania Turnpike System, if any, to pay all
of the following:
* * *
(3) Amounts due to the department under 75 Pa.C.S. Ch.
89 (relating to Pennsylvania Turnpike) and pursuant to the
lease agreement under 75 Pa.C.S. § [8915.3] 89A15.3 (relating
to lease of Interstate 80; related agreements).
* * *
Section 2. Section 8901 of Title 75 is amended to read:
§ 8901. Definitions.
The following words and phrases when used in this chapter
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
["Annual additional payments." As follows:
(1) During the conversion period and after the
conversion date, an amount equal to the scheduled annual
commission contribution, minus the sum of:
(i) $200,000,000 paid as annual base payments;
(ii) any Interstate 80 savings for that fiscal year.
(2) If the conversion period has expired and a
conversion notice has not been received by the secretary, in
each subsequent fiscal year until the end of the term of the
20100HB2501PN4430 - 5 -
lease agreement, the annual additional payments shall be
$250,000,000.
"Annual base payments." An amount equal to the sum of the
following:
(1) Annual debt service on outstanding bonds issued
under section 9511.2 (relating to special revenue bonds)
payable as required pursuant to the bonds.
(2) Two hundred million dollars payable annually in four
equal installments each due the last business day of each
July, October, January and April.
"Annual surplus payments." An amount equal to the general
reserve fund surplus payable for each fiscal year until the end
of the term of the lease agreement.
"Auditor General's certificate." The certificate issued by
the Auditor General within 180 days after the end of each fiscal
year of the Pennsylvania Turnpike Commission certifying all of
the following:
(1) The amount of the general reserve fund surplus for
the fiscal year.
(2) After review of the commission's current ten-year
capital plan, that the transfer of the general reserve fund
surplus under section 8915.3 (relating to lease of Interstate
80; related agreements) shall not impair the ability of the
commission to meet its obligations under the lease agreement
or the commission's ten-year capital plan.]
"Commission." The Pennsylvania Turnpike Commission.
["Conversion date." The date set forth in the conversion
notice when the Pennsylvania Turnpike Commission intends to
exercise its option to convert Interstate 80 to a toll road.
"Conversion notice." Written notice to the Secretary of
20100HB2501PN4430 - 6 -
Transportation from the Pennsylvania Turnpike Commission
providing notice of its intent to exercise its options to
convert Interstate 80 under section 8915.3(3) (relating to lease
of Interstate 80; related agreements).
"Conversion period." A period of three years:
(1) which begins on the date of execution of the lease
agreement; and
(2) during which the Pennsylvania Turnpike Commission
may give the Department of Transportation conversion notice
or notice that the commission has exercised its option to
extend the conversion period pursuant to section 8915.3(2)
(relating to lease of Interstate 80; related agreements).
"Fiscal year." The fiscal year of the Commonwealth.
"General reserve fund surplus." The amount which:
(1) is certified by the Auditor General in the Auditor
General's certificate as existing in the Pennsylvania
Turnpike Commission's general reserve fund on the last day of
the fiscal year of the commission; and
(2) is not required to be retained in the general
reserve fund pursuant to any financial documents, financial
covenants, insurance policies, liquidity policies or
agreements in effect at the commission.
"Interstate 80 savings." An amount equal to the following:
(1) Prior to the conversion date, the amount shall be
zero.
(2) In the first fiscal year, including the conversion
date, the amount shall be a pro rata share of $116,985,856
calculated using the number of calendar days in the year
after the conversion date divided by 365 days.
(3) In the fiscal year succeeding the year, including
20100HB2501PN4430 - 7 -
the conversion date, the amount shall be $121,665,290.
(4) In subsequent fiscal years, the amount shall be the
amount calculated for the previous year increased by 4%.
"Lease agreement." A lease agreement between the Department
of Transportation and the Pennsylvania Turnpike Commission which
shall include provisions setting forth the terms of the
conversion of Interstate 80 to a toll road.
"Scheduled annual commission contribution." The following
amounts:
(1) $750,000,000 in fiscal year 2007-2008.
(2) $850,000,000 in fiscal year 2008-2009.
(3) $900,000,000 in fiscal year 2009-2010.
(4) For fiscal year 2010-2011 and each fiscal year
thereafter, the amount shall be the amount calculated for the
previous year increased by 2.5%, except that the amount shall
be equal to the annual base payments plus $250,000,000 if the
conversion notice is not received by the secretary prior to
the expiration of the conversion period.]
Section 3. Sections 8915.1, 8915.2, 8915.3, 8915.4, 8915.6
and 8915.7 of Title 75 are repealed:
[§ 8915.1. Conversion of Interstate 80.
In order to facilitate vehicular traffic across this
Commonwealth, the commission is authorized and empowered to do
all of the following:
(1) Convert Interstate 80 to a toll road and maintain
and operate it as a toll road.
(2) Construct, reconstruct, widen, expand, extend,
maintain and operate Interstate 80 from a point at or near
the Ohio border to a point at or near the New Jersey border,
together with connecting roads, interchanges, slip ramps,
20100HB2501PN4430 - 8 -
tunnels and bridges.
(3) Issue turnpike revenue bonds, notes or other
obligations, payable solely from revenues of the commission,
including tolls, or from funds as may be available to the
commission for that purpose, to pay the cost of constructing,
reconstructing, widening, expanding or extending Interstate
80 or any other costs of Interstate 80 and the Pennsylvania
Turnpike.
(4) Provide quarterly reports and periodic updates
regarding significant developments with respect to the
conversion of Interstate 80 to the chairman and minority
chairman of the Transportation Committee of the Senate and
the chairman and minority chairman of the Transportation
Committee of the House of Representatives. These reports
shall include, at a minimum, the status of outstanding
discussions with the United States Department of
Transportation regarding Interstate 80, the location and
construction of tolling-related equipment for Interstate 80,
planned capital improvements for Interstate 80 and other
information important to implementation of this section.
§ 8915.2. Application to United States Department of
Transportation.
(a) Application.--The commission, in consultation with the
department and at its own expense, is authorized to prepare and
submit an application to the United States Department of
Transportation for the conversion of Interstate 80 to a toll
road. The secretary shall ensure that all information required
for the application is made available to the commission as soon
as practicable after the effective date of this section.
(b) Open system.--A toll system shall consist of what is
20100HB2501PN4430 - 9 -
commonly referred to as an open system with no more than ten
toll collection points.
(c) Other agreements.--The commission and the department may
enter into any other agreements as may be necessary to
effectuate the execution of the application filed under this
section.
§ 8915.3. Lease of Interstate 80; related agreements.
The department and the commission shall enter into a lease
agreement relating to Interstate 80 prior to October 15, 2007.
The lease agreement shall include provisions setting forth the
terms and conditions of the conversion of Interstate 80 to a
toll road. The lease agreement and any related agreement, at a
minimum, shall include the following:
(1) A provision that the term of the lease agreement
shall be 50 years, unless extended upon mutual agreement of
the parties to the lease agreement and upon approval of the
General Assembly.
(2) A provision establishing the conversion period and
authorizing extension of the conversion period at the sole
option of the commission for three one-year extension periods
after consultation with the secretary. The commission shall
notify the secretary of its intent to extend the conversion
period not less than 90 days before the scheduled expiration
of the conversion period. During the conversion period, all
legal, financial and operational responsibility for
Interstate 80 shall remain with the department. All
operations and programmed rehabilitation shall be maintained
at levels no less favorable than those set forth in the
department's 12-year plan at the time of the execution of the
lease, with modifications as are approved in writing by the
20100HB2501PN4430 - 10 -
chairman of the commission.
(3) A provision permitting the commission to exercise
its option to convert Interstate 80 to a toll road prior to
the expiration of the conversion period by providing the
conversion notice to the secretary. Beginning on the
conversion date, all legal, financial and operational
responsibility for Interstate 80, as well as all toll
revenues subsequently collected with respect to its use,
shall automatically transfer to the commission. The
secretary, within five business days after receiving the
conversion notice, shall forward notice of the conversion
date to the Legislative Reference Bureau for publication in
the Pennsylvania Bulletin. Any revenues collected prior to
the conversion date shall be retained by the department. The
commission may contract with the department for any portion
of the maintenance of Interstate 80 at cost levels agreed to
by the department and the commission.
(4) A provision requiring the commission to pay annual
base payments to the department during the term of the lease
agreement.
(5) A provision requiring the commission to pay annual
additional payments to the department. The annual additional
payments shall be payable in four equal installments on the
last business day of each July, October, January and April of
each year during the term of the lease agreement.
(6) A provision requiring the commission to pay,
commencing in the fiscal year including the conversion date,
annual surplus payments to the department. The annual surplus
payments shall be payable by the commission within 30 days of
receipt by the commission of the Auditor General's
20100HB2501PN4430 - 11 -
certificate.
(7) A provision stating that the obligation of the
commission to pay the annual base payments, the annual
additional payments and annual surplus payments shall be a
subordinate obligation of the commission payable from amounts
in the general reserve fund of the commission only as
permitted by any financing documents, financial covenants,
liquidity policies or agreements in effect at the commission.
§ 8915.4. Initial payment.
(a) Commission payment required.--Within 20 days after the
effective date of this section, the commission shall pay to the
department an amount equal to $62,500,000, which shall be
deposited into the Public Transportation Trust Fund. The amount
paid shall represent 25% of the amount the department is
required to deposit into the Public Transportation Trust Fund
under 74 Pa.C.S. § 1506(b)(1)(i)(A) (relating to fund) and is
payable by the commission under the lease agreement.
(b) Use of payment.--The department shall allocate the funds
received under subsection (a) pursuant to 74 Pa.C.S. Ch. 15
(relating to sustainable mobility options).
(c) Credits.--The payment made by the commission under this
section shall be credited against the total amount payable by
the commission under the lease agreement for the 2007-2008
fiscal year.
§ 8915.6. Deposit and distribution of funds.
(a) Deposits.--Upon receipt by the department, the following
amounts from the scheduled annual commission contribution shall
be deposited in the Motor License Fund:
(1) For fiscal year 2007-2008, $450,000,000.
(2) For fiscal year 2008-2009, $500,000,000.
20100HB2501PN4430 - 12 -
(3) For fiscal year 2009-2010, $500,000,000.
(4) For fiscal year 2010-2011 and each fiscal year
thereafter, the amount calculated for the previous year
increased by 2.5%.
(b) Distribution.--The following shall apply:
(1) Annually, 15% of the amount deposited in any fiscal
year under subsection (a) shall be distributed at the
discretion of the secretary.
(2) Annually, $5,000,000 of the amount deposited in any
fiscal year under subsection (a) shall be distributed to
counties.
(i) The distribution shall be in the ratio of:
(A) the square footage of deck area of a
county's county-owned bridges; to
(B) the total square footage of deck area of
county-owned bridges throughout this Commonwealth.
(ii) The amount of square footage under subparagraph
(i) shall be that reported as part of the National Bridge
Inspection Standards Program.
(3) Annually, $30,000,000 of the amount deposited in any
fiscal year under subsection (a) shall be distributed to
municipalities pursuant to the act of June 1, 1956 (1955
P.L.1944, No.655), referred to as the Liquid Fuels Tax
Municipal Allocation Law.
(4) Any funds deposited under subsection (a) but not
distributed under paragraphs (1), (2) and (3) shall be
distributed in accordance with needs-based formulas that are
developed and subject to periodic revision based on
consultation and collaboration among metropolitan planning
organizations, rural planning organizations and the
20100HB2501PN4430 - 13 -
department.
(c) Definitions.--The following words and phrases when used
in this section shall have the meanings given to them in this
subsection unless the context clearly indicates otherwise:
"Metropolitan planning organization." The policy board of an
organization created and designated to carry out the
metropolitan transportation planning process.
"Rural planning organization." The organization of counties
with populations of less than 50,000 created and designated as
local development districts and which carry out the rural
transportation planning process.
§ 8915.7. Impact on associated highways and local roads.
Prior to the conversion date and within one year following
the conversion date, the commission, in collaboration with the
department, shall conduct traffic studies to determine the
average daily traffic on associated roads and highways. The
purpose of these studies will be to quantify any diversion of
traffic from Interstate 80 to other roadways as a result of the
conversion. This section shall not require duplication of
traffic studies undertaken by the commission as a part of the
conversion process or undertaken by the department as a normal
course of the department's operations.]
Section 4. Sections 8917(a)(2) and (e) and 8918(a)(1) of
Title 75 are amended to read:
§ 8917. Financial plan.
(a) Submission.--
* * *
(2) The financial plan shall demonstrate that the
operation of the commission in accordance with the plan can
reasonably be anticipated to result in the commission having
20100HB2501PN4430 - 14 -
unencumbered funds during the ensuing and future fiscal years
of the commission sufficient to make the payments due to the
department under this chapter and the lease agreement under
section 89A15.3 (related to lease of Interstate 80; related
agreements) for the ensuing and future fiscal years after all
other obligations of the commission have been met. Financial
plans prepared after June 1, 2008, shall also describe any
deviations that occurred from the financial plan for the
prior fiscal year of the commission and the reasons for the
deviations.
* * *
[(e) Lease agreement.--The provisions of this section and
section 8918 (relating to failure to perform) shall be included
in the lease agreement.]
§ 8918. Failure to perform.
(a) Notice.--The Secretary of the Budget shall send written
notice to the commission and to the Governor of the failure of
the commission to do any of the following:
(1) Make a payment to the department under this chapter
or the lease agreement under section 89A15.3 (related to
lease of Interstate 80; related agreements).
* * *
Section 5. Title 75 is amended by adding a chapter to read:
CHAPTER 89A
2010 CONVERSION OF INTERSTATE 80
TO TOLL ROAD
Sec.
89A01. Definitions.
89A02. (Reserved).
89A03. (Reserved).
20100HB2501PN4430 - 15 -
89A04. (Reserved).
89A05. (Reserved).
89A06. (Reserved).
89A07. (Reserved).
89A08. (Reserved).
89A09. (Reserved).
89A10. (Reserved).
89A11. (Reserved).
89A12. (Reserved).
89A13. (Reserved).
89A14. (Reserved).
89A15. (Reserved).
89A15.1. Conversion of Interstate 80.
89A15.2. Application to United States Department of
Transportation.
89A15.3. Lease of Interstate 80; related agreements.
89A15.4. (Reserved).
89A15.5. (Reserved).
89A15.6. Deposit and distribution of funds.
89A15.7. Impact on associated highways and local roads.
§ 89A01. Definitions.
The following words and phrases when used in this chapter
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Auditor General's certificate." The certificate issued by
the Auditor General within 180 days after the end of each fiscal
year of the Pennsylvania Turnpike Commission's certifying all of
the following:
(1) The amount of the general reserve fund surplus for
the fiscal year.
20100HB2501PN4430 - 16 -
(2) After review of the commission's current ten-year
capital plan, that the transfer of the general reserve fund
surplus under section 89A15.3 (relating to lease of
Interstate 80; related agreements) shall not impair the
ability of the commission to meet its obligations under the
lease agreement or the commission's ten-year capital plan.
"Commission." The Pennsylvania Turnpike Commission.
"Conversion date." The date set forth in the conversion
notice when the Pennsylvania Turnpike Commission intends to
exercise its option to convert Interstate 80 to a toll road.
"Conversion notice." Written notice to the Secretary of
Transportation from the Pennsylvania Turnpike Commission
providing notice of its intent to exercise its options to
convert Interstate 80 under section 89A15.3(3) (relating to
lease of Interstate 80; related agreements).
"Conversion period." A period of three years:
(1) which begins on the date of execution of the lease
agreement; and
(2) during which the Pennsylvania Turnpike Commission
may give the Department of Transportation conversion notice
or notice that the commission has exercised its option to
extend the conversion period pursuant to section 89A15.3(2)
(relating to lease of Interstate 80; related agreements).
"Fiscal year." The fiscal year of the Commonwealth.
"General reserve fund surplus." The amount which:
(1) is certified by the Auditor General in the Auditor
General's certificate as existing in the Pennsylvania
Turnpike Commission's general reserve fund on the last day of
the fiscal year of the commission; and
(2) is not required to be retained in the general
20100HB2501PN4430 - 17 -
reserve fund pursuant to any financial documents, financial
covenants, insurance policies, liquidity policies or
agreements in effect at the commission.
"Lease agreement." A lease agreement between the Department
of Transportation and the Pennsylvania Turnpike Commission which
shall include provisions setting forth the terms of the
conversion of Interstate 80 to a toll road.
"Scheduled annual commission contribution." The annual
payment of $450,000,000 made by the commission to the
department.
§ 89A02. (Reserved).
§ 89A03. (Reserved).
§ 89A04. (Reserved).
§ 89A05. (Reserved).
§ 89A06. (Reserved).
§ 89A07. (Reserved).
§ 89A08. (Reserved).
§ 89A09. (Reserved).
§ 89A10. (Reserved).
§ 89A11. (Reserved).
§ 89A12. (Reserved).
§ 89A13. (Reserved).
§ 89A14. (Reserved).
§ 89A15. (Reserved).
§ 89A15.1. Conversion of Interstate 80.
In order to facilitate vehicular traffic across this
Commonwealth, the commission is authorized and empowered to do
all of the following:
(1) Convert Interstate 80 to a toll road and maintain
and operate it as a toll road.
20100HB2501PN4430 - 18 -
(2) Construct, reconstruct, widen, expand, extend,
maintain and operate Interstate 80 from a point at or near
the Ohio border to a point at or near the New Jersey border,
together with connecting roads, interchanges, slip ramps,
tunnels and bridges.
(3) Issue turnpike revenue bonds, notes or other
obligations, payable solely from revenues of the commission,
including tolls, or from funds as may be available to the
commission for that purpose, to pay the cost of constructing,
reconstructing, widening, expanding or extending Interstate
80 or any other costs of Interstate 80 and the Pennsylvania
Turnpike.
(4) Provide quarterly reports and periodic updates
regarding significant developments with respect to the
conversion of Interstate 80 to the chairman and minority
chairman of the Transportation Committee of the Senate and
the chairman and minority chairman of the Transportation
Committee of the House of Representatives. These reports
shall include, at a minimum, the status of outstanding
discussions with the United States Department of
Transportation regarding Interstate 80, the location and
construction of tolling-related equipment for Interstate 80,
planned capital improvements for Interstate 80 and other
information important to implementation of this section.
§ 89A15.2. Application to United States Department of
Transportation.
(a) Application.--The commission, in consultation with the
department and at its own expense, is authorized to prepare and
submit an application to the United States Department of
Transportation for the conversion of Interstate 80 to a toll
20100HB2501PN4430 - 19 -
road. The secretary shall ensure that all information required
for the application is made available to the commission as soon
as practicable after the effective date of this section.
(b) Open system.--A toll system shall consist of what is
commonly referred to as an open system with no more than ten
toll collection points.
(c) Other agreements.--The commission and the department may
enter into any other agreements as may be necessary to
effectuate the execution of the application filed under this
section.
§ 89A15.3. Lease of Interstate 80; related agreements.
The department and the commission shall enter into a lease
agreement relating to Interstate 80. The lease agreement shall
include provisions setting forth the terms and conditions of the
conversion of Interstate 80 to a toll road. The lease agreement
and any related agreement, at a minimum, shall include the
following:
(1) A provision that the term of the lease agreement
shall be 50 years, unless extended upon mutual agreement of
the parties to the lease agreement and upon approval of the
General Assembly.
(2) A provision establishing the conversion period and
authorizing extension of the conversion period at the sole
option of the commission for three one-year extension periods
after consultation with the secretary. The commission shall
notify the secretary of its intent to extend the conversion
period not less than 90 days before the scheduled expiration
of the conversion period. During the conversion period, all
legal, financial and operational responsibility for
Interstate 80 shall remain with the department. All
20100HB2501PN4430 - 20 -
operations and programmed rehabilitation shall be maintained
at levels no less favorable than those set forth in the
department's 12-year plan at the time of the execution of the
lease, with modifications as are approved in writing by the
chairman of the commission.
(3) A provision permitting the commission to exercise
its option to convert Interstate 80 to a toll road prior to
the expiration of the conversion period by providing the
conversion notice to the secretary. Beginning on the
conversion date, all legal, financial and operational
responsibility for Interstate 80, as well as all toll
revenues subsequently collected with respect to its use,
shall automatically transfer to the commission. The
secretary, within five business days after receiving the
conversion notice, shall forward notice of the conversion
date to the Legislative Reference Bureau for publication in
the Pennsylvania Bulletin. Any revenues collected prior to
the conversion date shall be retained by the department. The
commission may contract with the department for any portion
of the maintenance of Interstate 80 at cost levels agreed to
by the department and the commission.
(4) A provision requiring the commission to pay annual
base payments to the department during the term of the lease
agreement.
(5) A provision stating that the obligation of the
commission to pay the annual base payments shall be a
subordinate obligation of the commission payable from amounts
in the general reserve fund of the commission only as
permitted by any financing documents, financial covenants,
liquidity policies or agreements in effect at the commission.
20100HB2501PN4430 - 21 -
(6) The provisions of sections 8917 (relating to
financial plan) and 8918 (relating to failure to perform).
§ 89A15.4. (Reserved).
§ 89A15.5. (Reserved).
§ 89A15.6. Deposit and distribution of funds.
(a) Deposits.--For fiscal year 2010-2011 and each fiscal
year thereafter during which the lease under section 89A15.3
(relating to lease of Interstate 80; related agreements) is in
existence, upon receipt by the department, the following amounts
from the scheduled annual commission contribution shall be
deposited as follows:
(1) $200,000,000 into the Motor License Fund.
(2) $250,000,000 into the Public Transportation Trust
Fund.
(b) Distribution.--The following shall apply:
(1) Annually, 15% of the amount deposited in any fiscal
year under subsection (a) shall be distributed at the
discretion of the secretary.
(2) Annually, $5,000,000 of the amount deposited in any
fiscal year under subsection (a) shall be distributed to
counties:
(i) The distribution shall be in the ratio of:
(A) the square footage of deck area of a
county's county-owned bridges; to
(B) the total square footage of deck area of
county-owned bridges throughout this Commonwealth.
(ii) The amount of square footage under subparagraph
(i) shall be that reported as part of the National Bridge
Inspection Standards Program.
(3) Annually, $30,000,000 of the amount deposited in any
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fiscal year under subsection (a) shall be distributed to
municipalities pursuant to the act of June 1, 1956 (1955
P.L.1944, No.655), referred to as the Liquid Fuels Tax
Municipal Allocation Law.
(4) Any funds deposited under subsection (a) but not
distributed under paragraphs (1), (2) and (3) shall be
distributed in accordance with needs-based formulas that are
developed and subject to periodic revision based on
consultation and collaboration among metropolitan planning
organizations, rural planning organizations and the
department.
(c) Definitions.--The following words and phrases when used
in this section shall have the meanings given to them in this
subsection unless the context clearly indicates otherwise:
"Metropolitan planning organization." The policy board of an
organization created and designated to carry out the
metropolitan transportation planning process.
"Rural planning organization." The organization of counties
with populations of less than 50,000 created and designated as
local development districts and which carry out the rural
transportation planning process.
§ 89A15.7. Impact on associated highways and local roads.
Prior to the conversion date and within one year following
the conversion date, the commission, in collaboration with the
department, shall conduct traffic studies to determine the
average daily traffic on associated roads and highways. The
purpose of these studies will be to quantify any diversion of
traffic from Interstate 80 to other roadways as a result of the
conversion. This section shall not require duplication of
traffic studies undertaken by the commission as a part of the
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conversion process or undertaken by the department as a normal
course of the department's operations.
Section 6. The definition of "annual debt service payments"
in section 9501 of Title 75 is amended to read:
§ 9501. Definitions.
The following words and terms when used in this chapter shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
* * *
"Annual debt service payments." The annual debt service
payments on the bonds issued under section 9511.2 (relating to
special revenue bonds) and payable by the commission to the
department [as part of annual base payments as defined under
section 8901 (relating to definitions)].
* * *
Section 7. Section 9511.4(a) of Title 75 is amended to read:
§ 9511.4. Special revenue bonds and preliminary or interim
financing.
(a) Authorization.--The commission is authorized to provide,
by resolution, for the issuance of special revenue bonds of the
commission up to an aggregate principal amount not exceeding
$5,000,000,000, exclusive of original issue discount, for the
purpose of paying the cost of the department and bond-related
expenses. The resolution must recite an estimate of the cost of
the department. No more than $600,000,000 in aggregate principal
amount of special revenue bonds, exclusive of original issue
discount, may be issued in any calendar year. No bond may be
issued and outstanding under this section unless the lease
agreement authorized under section [8915.3] 89A15.3 (relating to
lease of Interstate 80; related agreements) is in effect as of
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the date of issuance. No bond may be outstanding beyond the term
of the lease. Special revenue refunding bonds as set forth in
section 9511.9 (relating to special revenue refunding bonds)
shall not be deemed to count against the total or annual maximum
issuance volume. The principal and interest of the bond shall be
payable solely from pledged revenues.
* * *
Section 8. This act shall take effect in 60 days.
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