Last month P3 Bulletin revealed that a P3 deal was being considered to develop the US 35 highway, which runs between the cities of Buffalo and Point Pleasant in Putnam County. That has now been approved by officials.
The project will now be funded under a P3 model, which is valued at $214m and will not include toll charging.
Although no private bidder has been chosen, completion of the deal has been earmarked for April 2016.
As part of the current proposals, an additional fourth lane will be added to a portion of the highway to improve safety on what has become a collision hotspot in the region.