USDOT’s BATIC issues best practices report on P3s for transportation funding

The U.S. Department of Transportation’s (USDOT) Build America Transportation Investment Center (BATIC) has released a report aimed at providing best practices for public-private partnerships (P3) and fully explaining how these methods of transportation funding work for project sponsors.

BATIC was created to serve as a centralized source for municipalities and states seeking federal transportation knowledge, applications for transportation credit programs and methods for accessing private capital for P3s. It was established in 2014 as part of President Obama’s Build America Investment Initiative.

“Investing in transportation infrastructure is critical for the economy and for the safety and wellbeing of our citizens,” BATIC Executive Director Andrew Right wrote in a blog post about the report. “By the end of this decade, the American Society of Civil Engineers predicts we will face a $1 trillion funding gap for transportation. To address this shortfall, we must use every tool available, including public private partnerships or P3s, which offer an opportunity to tap new financing sources, transfer certain project delivery risks, and lock-in long-term, high-quality performance.”

The 74-page report, “Successful Practices for P3s”, provides six chapters of details, providing background on P3 use; the phases of a P3 project, including legislation and policy, project development, procurement, monitoring and oversight; and issues affecting P3s throughout their phases.

BATIC also provides in the report several examples of successful P3 projects. These include:

The report is available here.