§ 25-20 — Provisions of the public-private agreement

The public-private agreement shall include at a minimum all of the following provisions: (1) the term of the public-private agreement; (2) a detailed description of the civic build, including the retail, dining, and entertainment components of the civic build and a general description of the anticipated future private build; (3) the powers, duties, responsibilities, obligations, and functions of the public agency and private entity; (4) compensation or payments, including any reimbursement for work performed and goods or services provided, if any, owed to the public agency as the administrator of the public-private agreement on behalf of the State, as specified in the public-private agreement; (5) compensation or payments to the private entity for civic build costs, plus any required debt service payments for the civic build, debt service reserves or sinking funds, financing costs, payments for operation and management of the civic build, payments representing the reasonable return on the private equity investment in the civic build, and payments in respect of the public use of private land, air rights, or other real property interests for the civic build; (6) a provision granting the private entity with the express authority to structure, negotiate, and execute contracts and subcontracts with third parties to enable the private entity to carry out its duties, responsibilities and obligations under this Act relating to the development, financing, construction, management, and operation of the civic build; (7) a provision imposing an affirmative duty on the private entity to provide the public agency with any information the private entity reasonably believes the public agency would need related to the civic build to enable the public agency to exercise its powers, carry out its duties, responsibilities, and obligations, and perform its functions under this Act or the public-private agreement; (8) a provision requiring the private entity to provide the public agency with advance notice of any decision that has a material adverse impact on the public interest related to the civic build so that the public agency has a reasonable opportunity to evaluate that decision; (9) a requirement that the public agency monitor and oversee the civic build and take action that the public agency considers appropriate to ensure that the private entity is in compliance with the terms of the public-private agreement; (10) the authority to impose user fees and the amounts of those fees, if applicable, related to the civic build subject to agreement with the private entity; (11) a provision stating that the private entity shall have the right to all revenues generated from the civic build until such time that the State takes ownership over the civic build, at which point the State shall have the right to all revenues generated from the civic build, except as set forth in Section 25-45; (12) a provision governing the rights to real and personal property of the State, the public agency, the private entity, and other third parties, if applicable, relating to the civic build, including, but not limited to, a provision relating to the State's ability to exercise an option to purchase the civic build at varying milestones of the Project agreed to amongst the parties in the public-private agreement and consistent with Section 25-45 of this Act; (13) a provision regarding the implementation and delivery of certain progress reports related to cost, timelines, deadlines, and scheduling of the civic build; (14) procedural requirements for obtaining the prior approval of the public agency when rights that are the subject of the public-private agreement relating to the civic build, including, but not limited to, development rights, construction rights, property rights, and rights to certain revenues, are sold, assigned, transferred, or pledged as collateral to secure financing or for any other reason; (15) grounds for termination of the public-private agreement by the public agency and the private entity; (16) review of plans, including development, construction, management, or operations plans by the public agency related to the civic build; (17) inspections by the public agency, including inspections of construction work and improvements, related to the civic build; (18) rights and remedies of the public agency in the event that the private entity defaults or otherwise fails to comply with the terms of the public-private agreement and the rights and remedies of the private entity in the event that the public agency defaults or otherwise fails to comply with the terms of the public-private agreement; (19) a code of ethics for the private entity's officers and employees; (20) maintenance of public liability insurance or other insurance requirements related to the civic build; (21) provisions governing grants and loans, including those received, or anticipated to be received, from the federal government or any agency or instrumentality of the federal government or from any State or local agency; (22) the private entity's targeted business and workforce participation program to meet the State's utilization goals for business enterprises and workforce involving minorities, women, persons with disabilities, and veterans; (23) a provision regarding the rights of the public agency and the State following completion of the civic build and transfer to the State consistent with Section 25-45 of this Act; (24) a provision detailing the Project's projected long-range economic impacts, including projections of new spending, construction jobs, and permanent, full-time equivalent jobs; (25) a provision detailing the Project's projected support for regional and statewide transit impacts, transportation mode shifts, and increased transit ridership; (26) a provision detailing the Project's projected impact on increased convention and events visitation; (27) procedures for amendment to the public-private agreement; (28) a provision detailing the processes and procedures that will be followed for contracts and purchases for the civic build; and (29) all other terms, conditions, and provisions acceptable to the public agency that the public agency deems necessary and proper and in the best interest of the State and the public.

Legislative History

(Source: P.A. 101-10, eff. 6-5-19; 102-558, eff. 8-20-21.)