VIRGINIAS P 3 PROGRAM Morteza Farajian Ph D

VIRGINIA’S P 3 PROGRAM Morteza Farajian, Ph. D

Virginia’s Public-Private Partnership (P 3) Public Sector Capacity P 3 Legislation Political/ Public Support Virginia’s P 3 Program Pipeline of Projects Risk Analysis & Optimization Standardized Processes

PUBLIC-PRIVATE TRANSPORTATION ACT OF 1995 • Encourages investment by private entities • Authorizes private entities to develop and operate qualifying transportation facilities • Allows for solicited and unsolicited proposals • Requires guidelines that detail the proposal acceptance and review process • Requires Responsible Public Entity (RPE) to adopt guidelines • Award based on best value - does not require procuring agency to accept lowest price offer.

Virginia P 3 Projects delivered PPTA Project Contract Executed Total $$ Value Route 288 December 18, 2000 $236 M Route 199 October 21, 2002 $31. 4 M Route 895 June 22, 2006 $611 M Capital Beltway Express Lanes December 19, 2007 $1. 9 B I-95 Express Lanes July 31, 2012 $925 M Regional Traffic Operation Centers July 1, 2013 $355 M Dulles Rail June 2006 $1. 5 B Coalfields Expressway January 11, 2002 $2. 8 B Route 28 September 25, 2002 $351 M Route 58 December 15, 2003 $223 M Elizabeth River Crossing (Midtown Tunnel) April 13, 2012 $2. 1 B Total Project Value = $7 Billion Economic Activity = $5. 5 Billion and increasing

P 3 Guidance Documents • Commonwealth’s PPTA Implementation Manual & Guidelines (2015) – Increases Transparency – Increases Competition – Increases Public Engagement • P 3 Risk Management Guide • P 3 Value for Money Guide • P 3 Public Engagement Guide

P 3 Project Delivery Framework 6

P 3 Project Screening High-Level Criteria: Detail-Level Criteria: • Ability to Transfer Risk • Public Need and Benefits • Funding Requirement • Economic Development • Ability to Raise Capital • Market Demand for P 3 Delivery • Complexity of Effectively Leveraging Private Sector Innovation/Expertise • Stakeholder Support • Addresses Priorities in State, Regional and/or Local Transportation Plan • Project Efficiencies through P 3 Delivery • Technical Feasibility • Systematic Interface and Compatibility • Financial Feasibility • Legal/Legislative Feasibility • Project Risks 7

P 3 Risk Management Framework

VIRGINIA’S P 3 PROGRAM Morteza. Farajian@vdot. virginia. gov www. p 3 virginia. org