BRADENTON, Fla. – The North Carolina House voted to terminate the state's first public-private partnership in a move that could cost the state millions in penalties.
Before passing House Bill 954 on a vote of 81-27 Thursday, lawmakers amended the measure to provide funding for legal fees and costs to unwind the Interstate 77 transaction.
The measure now goes to the Senate.
Gov. Pat McCrory has not indicated whether he will sign or veto the bill should the Senate pass it.
HB 954, sponsored by Rep. Charles Jeter, R-Mecklenburg, initially did not designate a source of funding to cancel the P3.
The amended bill appropriates $25,000 from the Highway Fund for legal fees to calculate damages from canceling the concession agreement, and creates a reserve account to pay early termination costs.
A state analysis has said that unwinding the project could cost $300 million or more.
Construction on the $648 million project began in December, and is designed to relieve severe congestion in the Charlotte region by widening I-77 and adding tolled express lanes.
The state Department of Transportation and I-77 Mobility Partners closed financially on the contract a year ago. Cintra Infraestructuras SA is the main backer.
Work is expected to take about 3.5 years, after which I-77 Mobility will operate and maintain the project for 50 years.
