SB-0097 Summary

• Enacts the "Michigan Alternative Project Delivery Act" authorizing public authorities (state departments and agencies) and local units of government to develop eligible projects through public-private agreements with private parties.

• Defines eligible projects as transportation projects (roadways, railways, transit systems) and facility projects (health care and laboratory facilities), excluding bridges at international border crossings and prohibiting tolls on transportation projects.

• Permits flexible procurement methods including unsolicited proposals, competitive solicitations, and negotiations; allows stipends for work product and permits public authorities to require use rights to bidder intellectual property.

• Exempts properties developed under public-private agreements from state and local ad valorem and other property taxes; allows public authorities to impose and collect user fees (excluding tolls) for project use.

• Establishes public-private agreement terms including risk allocation, payment schedules, performance security, maintenance standards, insurance requirements, and dispute resolution procedures, with initial agreement periods not exceeding 50 years; prohibits agreements from preventing public authorities from constructing competing facilities.