Public-private partnerships (P3s) come in various sizes, shapes and types. Few are exactly alike but many are patterned after similar types that have proven successful. Best practices and lessons learned are hot topics with public officials these days.

Here are some examples that provide an inside look at best practices and P3s that have been declared successful:

Colorado State University (CSU) entered into a design, build, finance, operate contract with a partner to build a 30-acre, 23,000-panel solar power plant on CSU property. 

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LaHood says result will be vital infrastructure, jobs to put Americans back to work

Ray LaHood

Rail and bus rapid transit projects are at the heart of the proposed $2.2 billion in funding proposed by U.S. Transportation Secretary Ray LaHood. The funding would begin new projects and continue construction of nearly 30 such projects in 15 states.

LaHood said not only would the projects provide vital infrastructure, but also create jobs, reduce dependence on foreign oil and spur economic development.

The Transportation Secretary also noted that the administration's budget proposal provides for projects that will "improve our transit systems, highways, railways and airports well into the future."

The administration's proposed budget would invest $243.7 million in seven new transit construction projects in California, Florida, North Carolina, Oregon, Texas and Washington State. Other projects recommended in previous years and not funded would receive $769.5 million in the current year's budget.

In addition to new projects, the proposal would also provide nearly $1.2 billion for continuation of existing projects in Dallas, Denver, Hartford, Houston, Minneapolis-St. Paul, New York City, Northern Virginia, Orlando, Salt Lake City and Seattle.

Three provisions aimed at making process more transparent, fair

A bill was recently passed in the Oregon Senate that will reform the state's public contracting process.

Among the provisions of the bill are:

• Vendors who write the specs of a project will be prohibited from bidding on that project;
• Bidders may include information on the number of jobs that will be created in the state if that bidder is chosen for the project; and
• The Department of Administrative Services will be required to report to the legislature regarding special procurements, a procedure that allows state agencies to bypass the competitive bid process.

The bill was developed with the input of stakeholders from the private sector and from state agencies. It will now go to the House of Representatives for debate. 

David Powe

To help free up parking spaces for patients at the University of Mississippi Medical Center, UMC officials are planning a new employee parking garage. They also have plans for makeovers of the UMC entrances, both part of a 30-year master plan. "Each day, there are 20,000 people on this campus. This project will be a tremendous relief, not just on campus, but on the perimeter of the campus," said David Powe, UMC's chief administrative officer. The first phase will include construction within the campus, creation of a campus entrance and construction of a parking garage. The employee parking garage, which has more than 1,000 spaces will be built on land east of the Dental School and will be connected to that facility by a covered walkway. Completion date for the $16 million, public-private partnership is set for the end of 2013. Another $12.5 million will be added to the total for the related road costs. The new roadwork will set the stage for construction, when funding is available, of a School of Medicine research building and a biomedical and cancer research facility.

Michigan school district to try once again for successful bond issue 

Officials with the Bloomfield Hills (Michigan) School District are hopeful this time will be the charm, as they prepare to put a school bond issue before voters in May. The plans over time have been to have a singular high school. Officials say even if the bond issue fails, they will do away with having two monikers and switch the name to Bloomfield Hills High School instead of the Andover and Lahser high school names. School officials have long taken the stand that it takes at least 1,200 students for a high school to be able to offer the electives, athletics and performing arts students need and ask for. Andover's student population numbers 950 while Lahser has 850. Combining the two enrollments would bring the singular school closer to the 1,200 number. A successful bond issue would lead to the renovation and expansion of Andover and replace and enlarge many of Andover's athletic facilities. If the bond fails, officials will combine certain classes and do minimal renovations to the existing campuses.

 

Texas school district bypasses ordinance in plans for building wind turbines

Officials in the Sinton, Texas, Independent School District are bypassing the city's rejection of zoning variances and plan to go ahead with their plans to build two wind turbines at the high school campus. A contract for the turbines will soon be negotiated. A city ordinance prohibits large wind turbines within the city limits, but school officials say that does not apply to the school district because it regulates only turbines that are 10 kilowatts or weaker. The school project calls for 100-kilowatt turbines. The school's attorney says the city cannot impose a prohibition on a school district unless there is a health or safety issue involved. The district plans to build two 155-foot turbines using $974,000 in federal grant money and $243,000 in school district funds. Officials are hoping the return on their investment will be a savings of about $33,000 per year in energy costs.

 

Two new buildings approved for construction at university in Texas

Maria Hernandez Ferrier

The first of its kind in the country collegiate building dedicated to the military student community is in the works for Texas A&M University-San Antonio. The 20,000-gross-square-foot building was one of two approved recently by the TAMU System Board of Regents. The veterans building - Patriot's Casa - will provide a space to guide veterans, who represent more than 11 percent of the university's student population, and their families through the transition from military life to higher education and into the civilian workforce. The second building approved was a 170,750-gross-square-foot academic building. The Central Academic Building will offer multiple floors of classrooms, lecture halls and an auditorium. There will be space for various student services, student lounge areas and an "Opportunity Mall/Hall" for events and club activities. Dr. Maria Hernandez Ferrier, president of Texas A&M-San Antonio, said the university is the fastest-growing campus in the TAMU System. "We are excited to provide a place for learning and engagement that will continue to reflect the culture, diversity and historic architecture of San Antonio in these new, iconic facilities," she said. The Kell Munoz architectural firm will design the buildings and Bartlett Cocke General Contractors will serve as construction manager-at-risk.

 

Illinois high school planning new aquatics center for swimmers, divers

The Niles North High School in Skokie, Illinois, is preparing for construction of its new aquatics center.

Officials are hailing the project as the largest capital expenditure in the school's five-year plan. The facility
will feature an 8-lane, 25-yard pool and a separate diving well with two springboards. The facility will seat 500.
Part of the $12 million in costs includes the renovation of the school's current pool and locker room. Most of the project will be funded by a bond sale and completion is expected in 15-18 months. The school also is planning window and door replacements, replacement of air handling units, renovation of the student and faculty cafes and enclosing the school's tennis courts.

 

U.S. Forest Service issues RFI for satellite notification devices

Responses to an RFI from the U.S. Forest Service for supplying satellite emergency notification devices, called SEND, are due this week. Approximately 6,000 of the devices are expected to be needed. A SEND uses an internal Global Positioning System to deliver SOS-type messages for life-threatening emergencies. In the case of the Forest Service, plans are to route those messages to a continuously operational monitoring center that will alert emergency contacts and pre-selected Search And Rescue teams. The contractor must provide the dispatch center with the SEND devices, battery chargers, cables, user manuals, secure Web portals and other components. A one-year contract is anticipated with two one-year options for service and repair and replacement of damaged SENDs. The RFI will be used for market research to prepare a solicitation.

Homeland security nearly doubles cybersecurity funding request

There may be deep cuts in the nation's budget, but not so in the Homeland Security Department's cybersecurity funding request. And with support from Congress regarding improving the security of government computer networks, the funding could come through. The department is seeking $769 million from Congress to go to the National Cyber Security Division. In 2011, the department requested only $459 million for the division. Similarly, the Infrastructure Protection and Programs Directorate that oversees cyber-related initiatives, could see an increase in funding from $888.2 million this year to $1.2 billion next year. Even the Obama administration and the president himself have spoken to the need for a safe and secure government information and communications infrastructure. And as threats to national security continue, cybersecurity as communications infrastructure applies to all federal agencies, becomes more important.

 

Santa Clara leaders approve plans for new 49ers NFL stadium

49ers stadium plan

Plans for a new San Francisco 49ers stadium were recently approved by city of Santa Clara leaders. That means that by 2014, the team name could be the Santa Clara 49ers. An $878.6 million contract will be executed to begin construction. The 68,500-seat stadium is expected to be completed in time for the 2014 exhibition season. In approving plans, the city council approved three resolutions, one for the stadium and the other two dealing with insurance and construction oversight. The stadium (as seen in the accompanying artist's rendering) will cost a little more than $1 billion to build. Most of the cost - $850 million - comes in the form of a loan approved by the city. The National Football League has agreed to give the team $200 million in loans and other funding. Turner Construction and Devcon Construction will team up to design and build the 15-acre facility on a parking lot site. Although the project was approved by voters in June 2010, a group has also been collecting signatures to seek a referendum on the loan. They allege that the public was not informed fully regarding the financial risks of the project.

 

South Dakota county studying redesign plan of courthouse as better fit

Officials in Meade County, South Dakota, are considering a new plan for the redesign of the county courthouse that will better meet their needs than the original proposal. The original plan called for the renovation of both floors of the building, while the new plan calls only for the renovation of one floor. The two-story design carried a cost of more than $6.18 million. On the other hand, the one-story design will cost only approximately $4.91 million. The construction is likely to take place in two phases. The first phase will include the renovation of the west half of the building. Then the east side will be renovated. The new design will build some conference rooms for attorneys and their clients.

 

New jail construction approved for county in Nebraska

The Red Willow County, Nebraska, commissioners recently approved the building of a new $5.1 million, 24-bed jail and law enforcement center. The facility will be built next door to the courthouse in McCook. Now the commissioners will take before voters a preliminary election to see if they want a bond repayment levy within the county's state-mandated 50-cent tax levy limit. The payment for construction costs would be $340,000 per year for 20 years. The jail project has been discussed for years and voters even turned down in 2006 a proposal to build a joint public safety facility in McCook, necessitating more holding cells, for which the county is responsible. The city offered its old facility to the county for $1, but commissioners expected that it would need upgrades soon to remain in compliance with jail standards and decided to build a new facility. The new building will be expandable to 36 beds and will be designed so that in the future in can be connected to the courthouse.

 

City in California considering outsourcing parking enforcement services

James Butts

Trying to help bridge a budget gap, officials in Inglewood, California, are considering outsourcing the city's parking enforcement services. The city approved issuing an RFP last month and asked staff to recommend a parking enforcement and meter operations provider. A study showed that the city could realize significant savings if it contracted the services out to the private sector. Projected benefits totaled a savings of $425,000 plus improved issuance of parking citations and improved quality of service and lower long-term employee costs for salaries and benefits. Mayor James Butts said the city has been studying the option of privatization. He said some development funds at the state level were done away with, which would directly impact the city's general fund. "We still have work to do to shore up our budget for the long term, so we're looking at this to see if it is a method to increase revenue and cut costs," he said.

 

Check out these recent awards:

• Jacobs Engineering Group won a contract worth up to $12 million from the Army for architect and engineering services.
• Mar-Conn LLC was awarded a $1,637,154.50 contract by the city of Shoreacres, Texas, for street and drainage work.
• L&R Contracting was awarded a $598,794 contract by the city of Panama City, Florida, for the 12th Street Drainage Project.
• BCS won a contract from the General Services Administration for up to $25 million for professional, administrative and management support services.
• Anderson Columbia was awarded a $514,024 contract for street resurfacing.
• Cherokee Information Services won a contract from the U.S. Department of Defense for up to $25.8 million for information technology services, including telecommunication services.
• W.L. Kline was awarded a contract for $198,000 by Tioga County, New York, for repairs to the courthouse basement that was damaged by floodwater.
• Contracting Consulting Engineering won a contract from the Army worth up to $4 million for utilities and housekeeping services.
• Angelini Construction was awarded an $11.432 million contract by the Kingsway Regional School District in Gloucester County, New Jersey, for its high school expansion project.
• Creek Associates won a contract worth up to $2.3 million from the General Services Administration for lease or rental of facilities.

Chicago Transit Authority hires firm to explore public-private partnerships

Forrest Claypool

When you have lots of jobs, and big jobs, that are needed and are short of funding, it may be time to consider public-private partnerships. That's exactly what the Chicago Transit Authority is doing and it has hired an outside firm to explore how P3s might help pay a portion of the cost of some of those projects.

CTA President Forrest Claypool (pictured) called federal, state and local funding sources "uncertain," and said hiring an outside firm to assist in finding funding "will allow the CTA to pursue innovative ideas and possible new funding sources" to complete some of its projects.

The CTA has chosen three firms, which will not be paid during the first year of their four-year agreement. That time will be used to evaluate approaches and recommend revenues streams. If the CTA decides to go after any of the recommended projects, the firms will be paid retainer fees for two the last three years, plus success fees. CTA is looking at more than $5 billion in capital needs for its Red Line improvements. Most P3 deals can include funding, financing, planning, design, construction, operation and maintenance - collectively or individually.

P3 proposal outlined as means for building new NBA arena in Seattle

Officials in Seattle are holding on to the prospects of drawing a National Basketball Association team to the city by proposing to build a new arena. It would be a public-private partnership, with $300 million from a San Francisco hedge fund manager and a group of investors and $200 million in bonds issued by the city and King County. The bonds would be paid back through rental payments, arena tenants and tax revenue the facility would generate.

 

The Sacramento Kings are showing some interest, but are waiting to see how the stadium proposal plays out. The project is only in the early stages at this point, officials said, but a citizen panel has been appointed to study the plan and report to the city within a month.

 

Pennsylvania considering allowing public-private partnerships for transportation

Richard Geist

Pennsylvania is considering joining the ranks of more than 30 other states in allowing public-private partnerships to fund transportation projects. The private sector return on investment would be realized through tolls. The legislature is currently addressing a bill sponsored by Rep. Richard A. Geist which brings the private sector into the mix for funding. Officials note that the state has underfunded its transportation infrastructure needs by $3 billion, even with a transportation budget of about $1.8 billion per year. The P3 will would allow the state or municipalities to partner with the private sector on projects that include roads, bridges, ports and passenger rail. If passed, the bill would lead to creation of a seven-member board to consider projects and recommend them for moving forward. The bill was voted out of committee last November and is now in the House for consideration. It is expected to make its way to the Senate around mid-March. A similar Senate bill is also under consideration.

 

Some contracting opportunities from across the country

Missouri

• The Missouri Department of Natural Resources' Division of State Parks contracts for the operation of its concession facilities (such as marinas, cabins, dining lodges, etc.) in state parks and historic sites with private companies or individuals through the RFP process. As contracts expire, individuals and companies are invited to bid on new concession opportunities.

Arkansas

• The University of Central Arkansas is seeking bids on demolition of two houses and tree removal.
• The State of Arkansas Office of State Procurement has issued an RFQ for meal provision to support a national level exercise May 16-20 by the State Emergency Operations Center.
• The Arkansas Department of Community Correction (DCC), acting as a fiscal agent for Arkansas drug courts, is soliciting an RFQ for responses from community-based service providers who are licensed and willing to execute a contract to provide partial day, dual diagnosis, residential substance abuse treatment services and/or chemical-free living that is ordered by a judicial circuit drug court.

Georgia

• Augusta State University is seeking a single supplier to provide Level IIIA body armor and accessories for the campus police force. Dekalb County is seeking bids for water meter installation.
• The Georgia World Congress Center Authority is seeking bids for waste management services.

New York State

• The State of New York has issued an RFI for food service opportunities at the Empire State Plaza in Albany.
• The New York State Office of General Services is seeking bids for warehousing and distribution/delivery services of USDA donated food commodities for Dutchess, Orange, Putnam, Rockland, Sullivan, Ulster and Westchester counties. 

John Rolfe (top left), CEO of Go Wichita Convention and Visitors Bureau since 2001, has been chosen to fill the newly created position of chief operating officer for the Greater Houston Convention and Visitors Bureau. Andrew McMahon (top center), a biologist at Harvard University, is headed to the Keck School of Medicine of the University of Southern California as a provost professor, chair of a department and director of the Eli and Edythe Broad Center for Regenerative Medicine and Stem Cell Research. Elizabeth Ambos (top right), Assistant Vice Chancellor for Research Initiatives and Partnerships for the California State University Chancellor's Office, has been appointed as executive officer of the Council on Undergraduate Research. Joe Polino, director of public safety for the city of Reno, Nevada, and interim police chief since April, has been named Reno police chief. James Ferneau, who has been city administrator of Sergeant Bluff, Iowa, since 2008, has been selected as the new city manager for the city of Burlington. East Palo Alto, California, Police Chief Ron Davis has been tapped to be interim city manager while the city searches for a replacement for City Manager ML Gordon, who will retire in March. Dallas Assistant Police Chief Floyd Simpson (middle right), a 25-year veteran of the department, has been chosen to be the new chief of police in Corpus Christi. Toby Ross (middle center), who has served as city manager in West Sacramento since 2002 and is also executive director of the Port of West Sacramento, has announced that he will retire before July 1. David Hathcoat (middle left), who has served as city manager of Ada, Oklahoma, for the last 15 year, has resigned his position, with Frank Stout appointed interim manager. Pat Thomas, currently the town manager of Swansboro, North Carolina, in Onslow County, has been selected city manager for the city of Southport. Matt Fisher, superintendent at Chase County Schools in Imperial, has accepted the job as the new superintendent of the Northwest Public Schools, Grand Island, Nebraska. Dr. Ryan Carstens, who has 27 years of experience in leadership and administration in higher education, has been named Associate Provost of Education and Community Partnerships at Salt Lake Community College. The Framingham, Massachusetts, School Committee has chosen Dr. Stacy Scott (bottom left), superintendent in Dracut, as the district's new superintendent, replacing Steven Hiersche, who will not renew his contract when it expires in June. Dr. Karen DeLano (bottom center), assistant superintendent for Vestavia Hills City Schools, has been selected superintendent of the Auburn, Alabama, City Schools. Dr. Dena Maloney (bottom right), assistant superintendent and vice president of the Canyon Country campus and vice president of economic development of the Santa Clarita Community College District, is the new superintendent of the West Kern Community College District in Taft, California. Scott Mettille, who has been with the Peoria Heights Police Department for 11 years, rising through the ranks from patrol officer to deputy chief, has been named police chief in Chillicothe, Illinois. Lee Kraft, former deputy fire chief for the city of Clovis, New Mexico and who has 30 years with the department, has been named Fire Chief after serving as interim chief since the retirement of Chief Rick Bennett last year. Former Jackson County, Oregon, Deputy Administrator Dave Kanner, who served in that capacity from 2000 to 2006 and then became administrator for Deschutes County, has been appointed Ashland's new city administrator.