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Illinois General Assembly’s Plans For P3s Under New Legislation



Under current Illinois law, the P3 delivery method is generally limited to the State of Illinois’ transportation agencies (i.e. the Illinois Department of Transportation, the Illinois State Toll Highway Authority) and Illinois municipalities that possess home rule powers (which represent approximately 15% of the total number of municipalities throughout the state).

Thus, perhaps the most significant component of the P3 Act is its extension of the P3 model to (i) Illinois state agencies other than the state’s transportation agencies and (ii) Illinois local governments that are not home rule municipalities, including counties, townships, school districts, park districts, villages, and towns. The Act establishes the framework by which such participating public entities would conduct competitive procurements to select private partners and then negotiate and execute the necessary project agreements.

The P3 Act also creates a new state agency called the Infrastructure Investment Commission to promote and encourage P3s and to support the development of a steady flow of P3 projects in Illinois.

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