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Build America Transportation Investment Center (BATIC) Institute: An AASHTO Center for Excellence
Build America Transportation Investment Center (BATIC) Institute: An AASHTO Center for Excellence

Legislation & Regulations

A final update to this content was completed in March 2022.

State & Local Legislation

Enabling Legislation for Federal Programs

State Infrastructure Bank (SIB) Legislation

SIBs can provide many types of financial assistance, ranging from loans to credit enhancements. Forms of assistance may include interest subsidies, letters of credit, capital reserves for bond financing, construction loans, and purchase and lease agreements for highway and transit projects.

More about SIBs in the Financing section of the BATIC Institute website.

States that have recently enacted legislation enabling SIBs are listed below.

  • In 2014, lawmakers in New Hampshire (N.H. Rev. Stat. Ann. §21-L:19, L:20 & L:21) voted to create a state infrastructure bank.
  • In 2015, the Alabama Legislature enacted legislation (AL SB 111) to create a state infrastructure bank and enacted amendment in 2018 (AL SB 100).
  • In 2016, New Jersey enacted NJ A 10 establishing a State Transportation Infrastructure Bank and made revisions in 2018 (NJ S 2645) and 2020 (NJ A 5972).

The following examples provide brief overviews of several, more mature SIBs, along with links to the enabling legislation that established them.

Florida SIB Legislation

According to the Florida DOT's SIB website, Florida was selected as one of ten initial states to create a SIB under the National Highway System (NHS) Act of 1995. The Florida SIB began as a revolving fund loan program, and evolved over time through a series of legislative acts between 2000 and 2007. The DOT website provides extensive documentation on the SIB program and the projects it has supported, together with links to related legislation and statutes.

Fla. Stat. §339.55
Fla. Stat. §215.617

Minnesota SIB Legislation

The Minnesota Department of Transportation established the Transportation Revolving Loan Fund (TRLF) in 1997. The TRLF operates much like a commercial bank providing low interest loans to cities, counties, and other governmental entities for eligible transportation projects. When the loans are repaid, the funds are returned to the TRLF and used to finance additional transportation projects.

The TRLF was created by Minn. Stat. §446A.085. TRLF's comprehensive web site provides information on all aspects of its activities, including a listing of all TRLF loans and the projects they support.

Texas SIB Legislation

First created in 1995 as one of ten initial pilot SIBs, the Texas SIB was established to encourage public and private investment in transportation facilities both within and outside of the state highway system, including facilities that contribute to the multimodal and intermodal transportation capabilities of the state. The SIB is also intended to develop financing techniques designed to:

  • Expand the availability of funding for transportation projects and to reduce direct state costs
  • Maximize private and local participation in financing projects
  • Improve the efficiency of the state transportation system

The Texas DOT's website provides additional information about their SIB. Tex. Transportation Code Ann. §§222.071 et seq. contains the statutory language providing authority for the SIB.