Financial arrangements

Financial arrangements. (a) The responsible public entity may do any combination of applying for, executing, or endorsing applications submitted by private entities to obtain federal, State, or local credit assistance for transportation projects developed, financed, or operated under this Act, including loans, lines of credit, and guarantees. (b) The responsible public entity may take any action to obtain federal, State, or local assistance for a transportation project that serves the public purpose of this Act and may enter into any contracts required to receive the federal assistance. The responsible public entity may determine that it serves the public purpose of this Act for all or any portion of the costs of a transportation project to be paid, directly or indirectly, from the proceeds of a grant or loan, line of credit, or loan guarantee made by a local, State, or federal government or any agency or instrumentality of a local, State, or federal government. Such assistance may include, but not be limited to, federal credit assistance pursuant to the Transportation Infrastructure Finance and Innovation Act (TIFIA). (c) The responsible public entity may agree to make grants or loans for the development, financing, or operation of a transportation project from time to time, from amounts received from the federal, State, or local government or any agency or instrumentality of the federal, State, or local government. (d) Any financing of a transportation project may be in the amounts and upon the terms and conditions that are determined by the parties to the public-private agreement. (e) For the purpose of financing a transportation project, the contractor and the responsible public entity may do the following: (1) propose to use any and all revenues that may be available to them; (2) enter into grant agreements; (3) access any other funds available to the responsible public entity; and (4) accept grants from the responsible public entity or other public or private agency or entity. (f) For the purpose of financing a transportation project, public funds, including public or private pension funds, may be used and mixed and aggregated with funds provided by or on behalf of the contractor or other private entities. (g) For the purpose of financing a transportation project, each responsible public entity is authorized to do any combination of applying for, executing, or endorsing applications for an allocation of tax-exempt bond financing authorization provided by Section 142(m) of the United States Internal Revenue Code, as well as financing available under any other federal law or program. (h) Any bonds, debt, or other securities or other financing issued by or on behalf of a contractor for the purposes of a project undertaken under this Act shall not be deemed to constitute a debt of the State or any political subdivision of the State or a pledge of the faith and credit of the State or any political subdivision of the State.(Source: P.A. 103-570, eff. 1-1-24.)