PPP (PUBLIC-PRIVATE PARTNERSHIPS)

Public-private partnerships refer to contractual agreements formed between a public agency and private sector entity that allow for the greater private sector participation in the delivery of transportation projects. Traditionally, private sector participation has been limited to separate planning, design or construction contracts on a fee for service basis based on the public agency’s specifications. Expanding the private sector role is intended to allow the public agencies to tap private sector technical, management and financial resources in new ways to achieve certain public agency objectives such as greater cost and schedule certainty, supplementing in-house staff, innovative technology applications, specialized expertise or access to private capital.