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In late 2014 or early 2015, MDOT / MTA will select a preferred partner and recommend the final agreement to the Board of Public Works for their review and approval. Construction could begin in spring 2015.
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From the Crenshaw/LAX Transit Corridor project to the Regional Connector Transit Corridor to a 10-mile P3 tunnel through the Sepulveda Pass, the force behind these projects is local.
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“If you’ve seen one public-private partnership (P3), you’ve seen one public-private partnership,” was a recurring theme in the “Financing New Projects in the U.S.” session.
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The final installment of the two-part series will focus on two significant decisions: selecting a contracting method and choosing an ideal design team.
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Although it is slow to take off in the U.S., there are plenty of possible benefits that could be derived through public-private partnerships, design-build and more. Experts are quick to point out, however, that it is not a magic bullet for completing construction projects.
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In late February, Alstom finalized a contract to provide 34 light rail vehicles and 30 years of maintenance services to the Rideau Transit Group consortium that was selected to design, build, finance and maintain the first line of the Ottawa Light Rapid Transit system.
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Act allows for a board to examine and approve potential public-private transportation projects. If the board determines a state operation would be more cost-effectively administered by a private company, the company will be authorized to either completely or partially take over that operation.
Read More →Recommends prioritizing corridors with demonstrated markets, such as the Northeast and California, and exploring alternative management and financing arrangements, including separating infrastructure development from rail operations and forming public-private partnerships.
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Although nothing new, employment generation is the renewed focus of new federal and local spending on rapid transit projects.
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One option to help keep costs down is replacing older vehicles through an accelerated vehicle acquisition plan that uses municipal leases. With tight credit markets and limited access to capital markets, this is an efficient, less costly option.
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