
Protecting
the Public Interest: The Role of Long-Term concession
Agreements for Providing Transportation Infrastructure ![]()
USC Keston Institute for Public Finance and Infrastructure Policy
PDF
Written
by Jeffrey Buxbaum and Iris Ortiz of Cambridge Systematics,
Inc. this paper explores the confusion and controversy surrounding
long-term concession agreements has come about because they have been promoted
as silver bullets, as essentially free money provided by the private
sector that will not require new taxes or fees. But users
of the facilities will have to pay, and how users pay will
be very different from how they have paid in the past. These
new models may in fact prove to be more equitable and efficient
than the old methods, but the negative reaction in some quarters
to the initial agreements highlights the need for careful
analysis and transparency going forward. The report
explores the recent long term lease transactions of the Chicago
Skyway, Indiana Toll Road and other potential transactions
in those two states as well as Texas, Virginia and other
domestic locations. The report identifies a number
of potential strategies to address public concerns regarding
public sector decision making including, conflicts of interest
between the public and private sectors, and how contract
terms can affect price levels and pubic control.
Driven
by Dollars: What States Should Know When Considering Public-Private Partnerships
to Fund Transportation ![]()
Pew Center on the States
Website
This report analyzes Pennsylvania's unsuccessful effort in 2008
to lease the Pennsylvania Turnpike to private investors. The report provides
valuable lessons for other cash-strapped states seeking to fund
their highways and bridges. It identifies the information states
need and the issues they should deliberate when exploring P3s
to fund infrastructure improvements.
According to the report, states considering public-private partnerships should have clear, data-driven answers to questions in the following four categories: (1) Examining the Options - the Decision-Making Process; (2) Let's Make a Deal - the Deal-Making Process; (3) Show Me the Money - Financial Analysis; and (4) Who Will Mind the Store? Oversight and Service Provision.
How States and Territories Fund Transportation: An Overview of Traditional and Nontraditional Strategies ![]()
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National Governors Association Center for Best Practices
Website
This report is designed to provide states with an overview of
traditional funding mechanisms, profiles of new and innovative programs at
work in the United States and overseas, and a summary of each state's surface
transportation funding approaches. The report covers state-driven mechanisms
only and is meant to help states identify strategies to consider in addressing
their revenue needs alongside federal and local approaches. P3s are discussed
among the nontraditional and innovative financing mechanisms, and the report
highlights which states are authorizes and have used P3s or surface transportation
projects.
Innovative State Transportation Funding and Financing: Policy Options for
States ![]()
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National Governors Association Center for Best Practices
Website
This paper
presents the basic state policy options for funding transportation
and outlines recent innovations by: (1) providing case studies of state and
international experience with a full range of policy options; (2) addressing
new options that have emerged; (3) summarizing new developments in P3s; and
(4) detailing financing options, such as congestion pricing, which establish
a price signal to users that can both raise revenue and encourage more efficient
use of the transportation infrastructure. Each chapter provides a description
of a different type of innovative financing or funding approach or ways to
address demand; best practices from the United States and abroad; and additional
considerations for states that are considering these options.
Chapter 6 deals with the recent interest in P3s by discussing innovative
procurement, design-build strategies, concession agreements, and other ideas.
Reason
Foundation Annual Privatization Report 2009![]()
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Reason Foundation
PDF
Reason Foundation's 23rd Annual Privatization Report details
the latest trends and examples of how public officials are
reducing costs and improving service delivery through public-private
partnerships, outsourcing, and performance-based government. The surface
transportation component of the report contains information on new P3 toll
roads, the leasing of existing toll roads, HOT/managed lane projects underway,
overseas concession projects, and a look at China's growing effect on private
capital.
Ten Myths and Facts on Transportation Public-Private Partnerships ![]()
Reason Foundation
PDF
This report authored by the Reason Foundation in conjunction with the Buckeye Institute for Public Policy Solutions aims to clarify 10 prominent “myths” about P3s and describe the corresponding “facts.” The report is designed to inform transportation infrastructure decision making following the 2011 legislative authorization permitting the Ohio DOT to enter into transportation P3s and the long-term lease of the Ohio Turnpike to private investors, separately authorized in that year’s state budget. In 2012, the Ohio DOT announced the formation of an internal Division of Innovative Delivery that is helping to identify alternative funding solutions for transportation initiatives, capitalizing on this new authorization in the face of traditional funding shortfalls.
