Well, no bridges have fallen yet, but more than 10 percent of all the bridges in America are rated as structurally deficient. That startling fact comes from the American Society of Engineers. Here's another shocking report - billions of dollars will be needed to repair the bridges and the work should have been started years ago. Now, the country's bridge problems are nearing the crisis stage.

Contractors offering engineering, construction and other transportation-related services are in high demand throughout the country. And, as many states turn to public-private partnerships (P3s) as a way to facilitate critical bridge projects, firms of all types have shown an interest. Many investment firms, banks and pension funds are scrambling to supply the capital. Other companies want to do the work.  

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Could lead to curtailment of projects financed by public-private partnerships

A tax exemption for bonds that have consistently been a successful financial tool for creating jobs and positively affecting economic development could be on the chopping block. U.S. Rep. David Camp (pictured) is seeking to end the tax exemption for Private Activity Bonds (PABs) as part of his Tax Reform Act of 2014. Current law provides that PABs are excluded from gross income and thus exempt from tax.

Many find it amazing that Camp would take aim at a tool that has become a facilitator for many private partners assisting with public projects. These tax-exempt bonds are issued on behalf of governments for projects that most often are those of a private-sector user, but have some benefit to the public sector. Private-sector investments through use of these bonds have helped finance projects such as hospitals, airports, housing, prisons and college and university buildings for communities nationwide.

Camp has called the current tax code a "wet blanket over our economy" and says eliminating the exemption for PABs would increase revenues by $23.9 billion over the period from 2014 to 2023.

Developers see doing away with the exemption as a step backward for financing public-private partnerships that result in much-needed projects that government can no longer afford. They also argue that such action would eliminate a tool from the financial tool box of government entities as more and more are turning to the private sector to help bridge funding gaps caused by decreasing revenue sources.

At least one group, the Council of Development Finance Agencies (CDFA) is rallying the troops in opposition to Camp's bill. The organization is urging development finance stakeholders to contact Camp and their own elected officials - from Congress to the statehouse to the local mayor's office - to voice their opposition to the bill.

Hopes to gain support by dedicating savings to higher education in state

Unable to gain traction during previous legislative sessions on a proposal that would cut state spending on consulting contracts, Louisiana State Treasurer John Kennedy (pictured) has tacked on a qualifier he is hopeful will draw more support. This time around, Kennedy wants to tie the money saved for dedication to higher education.

Kennedy claims that state agencies and departments could eliminate "less important" contracts and thus reduce spending. "We're only asking the governor to do what businesses do every single day," said the treasurer in an interview with the Monroe News-Star. Kennedy said those cuts would save $530 million that could go to higher education, which he said "has been cut to the bone."

Kennedy has sought a 10 percent cut in state government consulting contract for several years. That would make more than $525 million available for other needs. Since 2012, the state has spent $5.28 billion for professional, personal and consulting contracts. That amount is more than a quarter of the 2013 state budget of $25 billion. Kennedy is hopeful his proposal to tie the savings to higher education spending will garner support. The state currently has 19,000 consulting contracts throughout state government. However, the current administration is opposed to the plan, saying it will have an adverse effect on the state's privatization efforts.

Graves' proposal seeking increase from 23 to 25 percent awarded annually

Small businesses have a friend in U.S. Congressman Sam Graves, who has filed two pieces of legislation aimed at making government contracting more appealing and competitive for them. The current goal is for 23 percent of federal contracts to be awarded to small businesses. Graves' legislation, the Greater Opportunities for Small Business Act, would increase that number to 25 percent. The increase, if approved, would mean an additional $10 billion in contracts per year awarded to small businesses.

Graves also has a bill filed, the Contracting Data and Bundling Accountability Act, that would mandate more transparency in situations where smaller contracts are "bundled" into a single large contract. When bundling occurs, it makes bidding for small businesses more difficult.

Although the increase in the percentage of small businesses winning some of the contracts for the $460 billion in federal spending each year sounds good in theory, the federal government hasn't met the 23 percent threshold in the last seven years. But, there is optimism that the federal government will meet or come closer to its goal of 23 percent when the 2013 figures are released this summer.

Bond sale will lead to new high school for township in Pennsylvania

A new high school in the Kelly Township will take up the bulk of a $35.75 million bond sale recently approved in the Lewisburg (Pennsylvania) Area School District. The school district was able to secure a 3.8 percent average interest rate, lower than was expected, and the bond buyer also offered more premium up front. The bond sale included general obligation bonds of $30 million and a separate issue of $5.75 million to refinance the outstanding debt remaining from 2005. More debt is expected to be issued next year after bids for construction of the new school are returned.

Connecticut city approves bond sale for road maintenance projects

A total of $4.5 million in bonding for two years of road maintenance has been approved by the Board of Finance in New Canaan, Connecticut. Officials made the bonding for two years so they could solicit bids for road projects sooner, in hopes of getting better rates. "In construction, if I get out in the market earlier, I see a reduction in our costs," said Assistant Director of Public Works Tiger Mann. With 123 miles of roads and a total of 287 roads, the city is planning to address problems more often instead of totally repaving a road and then coming back 20 years later for a "do-over." Addressing problems more frequently is less expensive in the long run. That and new repair methods will give the road longer than a 20-year lifespan.

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Tucson plans RFP for multi-modal center, mixed-use development

The city of Tucson is issuing a request for proposals (RFP) that would transform its single-use Ronstadt Transit Center into a multi-modal transit center and mixed-use development to help invigorate the downtown area. In the works since last September, city staff has been meeting with stakeholders to develop a scope of work for the project and has also accepted public input from both community and business representatives. Once responses are received, they will be vetted and a short list of prospects will be produced. The project will include development per Federal Transit Administration guidance and must continue to have a public transportation purpose. It will not only include transit functions, but also provide improved amenities and offer service of multiple modes of transportation. The proposed mixed-use development will be designed to stimulate the local economy, which in turn will add funding to sustain transit. The project is expected to be a partnership that will include the community, local government and private-sector partners. 

Colorado strikes deal with private sector for second phase of U.S. 36

The second phase of a $425 million project on U.S. 36 in Colorado will include a private partner. The Colorado Department of Transportation has announced Plenary Roads Denver will complete that phase and is currently building toll lanes in both directions on the highway. CDOT officials say some of the improvement already made by the company would have taken two decades before the state would have been able to afford those improvements. A fee of $6 to $14 will be imposed for drivers seeking to drive on the toll lane in both directions on U.S. 36. "After years of planning and extensive input on how to accelerate improvements in this corridor, we are extremely excited to see further progress toward a more diversified, sustainable and less congested U.S. 36 corridor," said Don Hunt (pictured), executive director of the Colorado Department of Transportation. Also part of the deal, Plenary will maintain U.S. 36 until 2063, relieving CDOT of that burden and cost. Plenary will also assume operations and maintenance responsibilities for Interstate 25 toll roads later this month, with current north/south lanes still free to motorists.

Are you a government official who has moved into a new position or to a new agency? Did you recently retire? Were you recently named to an executive-level position at a state-supported college, university or community college? Have you secured a new job as superintendent of a public school? If so, we'd like to hear from you - and so would your friends and colleagues - for our "Where Are They Now" column. Just drop us a line at editor@spartnerships.com and let us know about your previous job and where you are now. This week we feature Anthony Fung.

Burlington County College President David Hespe (top left) was named by Gov. Chris Christie to replace Christopher Cerf as New Jersey state education commissioner, a job he previously held from March 1999 to March 2001 under then-Gov. Christie Whitman. Wake County (North Carolina) Commissioner Tony Gurley (top center) has resigned after accepting the job of chief operating officer for the North Carolina Office of State Budget and Management, working under budget director Art Pope. The Alvin (Texas) Community College Board of Regents has named Dr. Christal Albrecht (top right), campus president at Florida State College at Jacksonville, as the lone finalist for president of ACC, to replace Dr. Rodney Allbright, who is leaving the presidency after 38 years. Gerald Williams, who began a 27-year career with the Lufkin (Texas) Police Department as a patrol officer, has been named the new police chief, replacing Scott Marcotte, who is retiring. Julie Chapman, director of the California Department of Human Resources, has announced her retirement, with Richard Gillihan, program budget manager at the Department of Finance named acting director, and Chief Deputy Director Howard Schwarts is also leaving, with Labor Relations Deputy Director Pam Manwiller named acting chief deputy. A veteran of law enforcement for more than three decades, San Diego Assistant Police Chief Shelley Zimmerman (bottom right) has been named Police Chief, replacing retiring Chief Bill Lansdowne. Colorado's Office of Information Technology has announced that Suma Nallapati (bottom center), former assistant vice president of service delivery for national nonprofit health system, Catholic Health Initiatives, has been named the state's new chief technology officer. Jim Davis (bottom left), who oversaw integration of Colorado's homeland security, emergency management and wildland firefighting agencies under the Department of Public Safety's umbrella, is resigning to start a security consulting practice. Alvin L. Crawley, former interim superintendent of Prince George's County schools, will become the next superintendent of the Alexandria (Virginia) City Public Schools system, replacing Morton Sherman, who resigned in August. Patrick Trudgeon, Roseville (Minnesota) community development manager since 2007, has been named the new Roseville city manager, replacing Bill Malinen, who resigned.