Bill Text: OR HB2345 | 2013 | Regular Session | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to critical infrastructure development; and declaring an emergency.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2013-07-12 - Chapter 621, (2013 Laws): Effective date July 12, 2013. [HB2345 Detail]

Download: Oregon-2013-HB2345-Engrossed.html

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     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 2540

                           A-Engrossed

                         House Bill 2345
                  Ordered by the House April 1
            Including House Amendments dated April 1

Sponsored by Representative READ (Presession filed.)

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure.

  Establishes   { - West Coast Critical Infrastructure
Exchange - }  { + Oregon Innovation in Infrastructure + } Task
Force. Sunsets task force on June 30,   { - 2015 - }  { +
2014 + }.
  Declares emergency, effective on passage.

                        A BILL FOR AN ACT
Relating to critical infrastructure development; and declaring an
  emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + The Legislative Assembly finds that:
  (1) Adequate public infrastructure systems are essential to a
vibrant economy. Oregon's needs for many kinds of infrastructure
development cannot be met using traditional development and
financing methods. To close an expected multibillion dollar
investment gap for the development of critical public
infrastructure and to secure a sound and resilient economy,
Oregon must attract innovation in design, financing and asset
management.
  (2) Some public infrastructure projects require expertise in
identifying, procuring, negotiating and implementing projects
using a performance-based, life-cycle value method. To properly
utilize, manage and implement such a method and to ensure that
the public interest is protected through effective risk
mitigation, Oregon must establish a center of expertise that will
allow this state to take advantage of opportunities for
innovation, innovative financing and regional infrastructure
development while minimizing public risk and maximizing the value
obtained for taxpayer dollars. The design and implementation of
such a center of expertise should draw from successful models
that incorporate the flexibility and agility necessary to succeed
while preserving public transparency, accountability and
exemplary contracting attributes.
  (3) To create an attractive marketplace that will draw high
bidder quality and competition, the western states need to be
established as a marketplace for innovative infrastructure
financing. This is best accomplished through regional

collaboration to establish best practices, coordinate interstate
projects, and increase visibility of regional projects. + }
  SECTION 2.  { + (1) The Oregon Innovation in Infrastructure
Task Force is established, consisting of 10 members appointed as
follows:
  (a) The President of the Senate shall appoint two members from
among members of the Senate.
  (b) The Speaker of the House of Representatives shall appoint
two members from among members of the House of Representatives.
  (c) The Governor shall appoint four members as follows:
  (A) One member with experience in critical infrastructure
development and maintenance;
  (B) One member with experience in private capital investment
opportunities and strategies;
  (C) One member with experience in managing public project
development, delivery methods and financing; and
  (D) One member who has participated in regional discussions and
collaborations regarding west coast infrastructure status and
needs.
  (d) The Governor's Regional Solutions Director shall appoint
one member who represents the team members of the Regional
Solutions Centers.
  (e) The State Treasurer shall appoint one member who represents
the State Treasurer.
  (2) The task force shall make recommendations to the
Legislative Assembly regarding:
  (a) Participation in a west coast infrastructure exchange
effort that partners with innovators in other states and regions
on the west coast to assess the status of existing
infrastructures and to establish a west coast marketplace for
innovation in infrastructure development, construction, financing
and delivery of overall life-cycle value. The task force shall
seek innovative methods to develop and implement critical
infrastructure projects, including but not limited to projects
involving energy transmission and efficiency, transportation,
water storage capacity, municipal water systems and wastewater
management. The task force shall consider necessary financial,
policy and other expertise from Oregon and other jurisdictions
and develop guidelines for parity of participation.
  (b) Strategies for the creation, funding, function and
governance of an Oregon public corporation or other structure
that will be a center of expertise to encourage and implement
innovative practices, including:
  (A) Performance-based contracting;
  (B) Procurement for highest life-cycle value;
  (C) Negotiated risk transfer to private participants;
  (D) Combination of public and private construction capital; and
  (E) Grouping of projects for efficiency in design,
construction, financing and maintenance.
  (c) Effective utilization of methods and tools that will obtain
the best value from public expenditures for public infrastructure
by:
  (A) Encouraging innovation in design, delivery, construction,
and financing;
  (B) Providing greater access to sources of capital not
currently available for Oregon projects;
  (C) Transferring risks associated with the design,
construction, financing, and long-term performance of
infrastructure to parties or entities that are best able to
manage the risk with economic efficiency;
  (D) Ensuring competition;
  (E) Combining similar projects for ease of financing and
economies of scale;
  (F) Providing for the long-term performance of infrastructure
facilities through the use of well-structured maintenance

contracts that have scheduled costs and that reflect exemplary
contracting standards;
  (G) Accelerating the delivery of projects; and
  (H) Preserving the economic, workforce, and community benefits
of infrastructure projects through the application of contracting
and sustainability standards, and policies, relating to
prevailing wages, emerging small businesses, women and
minorities.
  (d) The responsibilities of the center of expertise, including
but not limited to providing services to enhance, improve and
maintain critical infrastructure systems in Oregon and on the
west coast by:
  (A) Bundling similar critical infrastructure projects;
  (B) Creating performance-based partnerships to manage projects
more efficiently;
  (C) Collecting consistent, comprehensive and high quality data
regarding existing infrastructure systems and potential
infrastructure enhancements and development;
  (D) Collaborating with industry experts and innovators;
  (E) Providing technical assistance to design and finance
critical infrastructure projects; and
  (F) Creating and implementing new mechanisms and strategies for
financing critical infrastructure projects, including but not
limited to attracting private investors that have traditionally
not invested in public infrastructure.
  (e) A data platform that will help Oregon to identify,
inventory and publicize potential infrastructure projects, and to
facilitate consultation among project sponsors and funding
program managers.
  (3) A majority of the members of the task force constitutes a
quorum for the transaction of business.
  (4) Official action by the task force requires the approval of
a majority of the members of the task force.
  (5) The task force shall elect one of its members to serve as
chairperson.
  (6) If there is a vacancy for any cause, the appointing
authority shall make an appointment to become immediately
effective.
  (7) The task force shall meet at times and places specified by
the call of the chairperson or of a majority of the members of
the task force.
  (8) The task force may adopt rules necessary for the operation
of the task force.
  (9) The task force shall submit a report in the manner provided
by ORS 192.245, and shall include in the report the task force's
recommendations required under subsection (2) of this section, to
the interim committees of the Legislative Assembly related to
infrastructure and business development, as appropriate, no later
than October 1, 2013.
  (10)(a) The State Treasurer and the Oregon Department of
Administrative Services shall provide staff support to the task
force.
  (b) The department shall facilitate, manage and direct
consultation among state agencies with respect to infrastructure
needs and funding.
  (11) Members of the task force who are not members of the
Legislative Assembly are not entitled to compensation, but may be
reimbursed for actual and necessary travel and other expenses
incurred by them in the performance of their official duties in
the manner and amounts provided for in ORS 292.495. Claims for
expenses incurred in performing functions of the task force shall
be paid out of funds appropriated to the Oregon Department of
Administrative Services for purposes of the task force.
  (12) All agencies of state government, as defined in ORS
174.111, are directed to assist the task force in the performance
of its duties and, to the extent permitted by laws relating to
confidentiality, to furnish such information and advice as the
members of the task force consider necessary to perform their
duties. + }
  SECTION 3.  { + Section 2 of this 2013 Act is repealed on June
30, 2014. + }
  SECTION 4.  { + This 2013 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2013 Act takes effect on its
passage. + }
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