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Why do U.S. states adopt public private partnership enabling legislation?
November 2013
R. Richard Geddes, Benjamin L. Wagner
Summary
Utilizing 13 elements of Public-private partnership enabling laws, researchers developed an index to determine the degree to which a state is encouraging or discouraging of private infrastructure investment. The political/institutional factors along with other reasons behind the passage of such laws are examined.
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Policy Implications
States with traffic congestion, growth in per-capita income, and the percentage of Republicans in the state legislature all increase favorability of private investment in infrastructure laws. As states face challenges in financing and maintaining transportation infrastructure, expanding the role of private investment could be a potential solution for limited budgets.
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