Metro Magazine

APR 2013

Magazine serving the bus and rail transit & motorcoach operations since 1904

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ALTERNATIVE PROJECT DELIVERY WHAT ARE SOME SITUATIONS WHERE ALTERNATIVE PROJECT DELIVERY MAY BE MORE IDEAL? PIERSON: Certainly, it's best for Greenfeld projects, as well as an extension of of an existing project or system where you have the ability to go out and really control the environment in which you're working. Where it is an upgrade to an existing line and is tied very closely into the existing system, it becomes less favorable. Te reason for that is the more fexibility that one can give to the design-build contractor, the more room for innovation, cost savings and schedule savings there is. REFFREGER: Tere is no defnition of a best project. Obviously when it's going to be a Greenfeld application, it might be easier because you are starting from scratch and don't have any constraints or parameters that you need to ft into. WHAT SHOULD AGENCIES LOOK FOR WHEN CHOOSING A PARTNER? PLACILLA: Tey want to look at the credentials of the company — their financial wherewithal, their performance records, the credentials of the people they are planning on putting on the job. Have they done a project like this before? Bottom line is can the company provide the bonding necessary for the project, and ultimately, can they write down a number that is competitive? BAREND: Consider if there is any ability to gather innovation through a PPP. A PPP can bring a lot more innovation than a traditional delivery, but if it's a very simple construction project with a little design that's needed, then there won't be many benefts in terms of innovation. You need to consider the public policy ramifcations and if there's existing transit and maintenance already. If there's a transit line that already exists and you're going to expand, you have to consider what you're going to do with your existing workforce and how you'd deal with that, if you embarked on a PPP. Do you want to include operations and maintenance, or do you just want to include major maintenance? Tat is a major factor to consider. BRUN-BRUNET: Alternative project or procurement schemes really become relevant for projects with a total price tag of $150 million or greater. Beyond that, they can be applied to any type of project as long as the agency in question understands and accepts a few basic realities of a public private partnership as it perPhoto courtesy Bombardier tains to their project. REFFREGER: You need to look First, the project has to be vi- Experts say alternative project delivery enables public at a reliable, proven technology able, and its structure should be transit agencies to transfer risk to the private sector and provider. There are a lot of peothoroughly guided and vetted by focus on what they do best, moving and servicing people. ple in our industry that do many experienced financial, legal and things, but there are very few in the technical advisors. industry that can integrate all the Additionally, a public-private partnership is not a substitute diferent elements. You certainly have to go through a process for public transportation funding. It is a way to accelerate proj- to fnd people that are going to be able to integrate all these ects by leveraging some public money to attract private invest- into one seamless delivered network. ment while controlling costs and guaranteeing certain performance criteria for construction, operation and maintenance PIERSON: If I was sitting on an agency's review board, [I of the system. would] obviously look for all the important things, such as the Also, private partners assume some of the risk associated experience and qualifcations of the frm or team that is put with a new transportation project, but not all of it. Any risk forward. I think, though, that what is going to deliver value and linked to public activity, such as land acquisition, relocating be viewed as delivering value more and more is the ability of utilities, changing laws or infation, remains in the purview of a team to really deliver that value in a cross-disciplinary manthe public agency or entity driving the project. In turn, the pri- ner. Tat is to say, the days of someone who is a design engivate partner or consortium assumes the risk of constructing neer and only a design engineer are moving behind us. Teams the system on-time and on-budget, and operating and main- need to be able to bring expertise in planning, design and containing it proftably for as long as 30 years. struction even if they are only doing the planning or the deFinally, as with any large-scale efort to better serve the pub- sign. Tey need to have the full range of abilities because these lic, transportation projects need a political champion to drive projects, whether they are in traditional plan, design and build them forward and build broader support throughout the com- mode or they are in the design-build integrated mode, are remunity. After all, why would people ride a train they never quiring the full skillsets more and more because they are part wanted in the frst place? Te importance of community en- of an integrated approach, even if there are separate compagagement in making these innovative transportation projects nies doing the work. successful really cannot be understated. So, what I would look for is the ability to integrate multidisciplinary skillsets in that team, so that you have the best solution. 32 < mETRO mAGAZINE APRIL 2013 metro-magazine.com

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