public-private education facilities and infrastructure act
TRANSCRIPT
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Public-Private Public-Private Education Facilities and Education Facilities and
Infrastructure ActInfrastructure Act
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What is it?What is it?
A tool that offers innovative alternatives to A tool that offers innovative alternatives to traditional procurement, financing, and traditional procurement, financing, and transaction structures for public buildings transaction structures for public buildings and facilities.and facilities.
Modeled after Public-Private Modeled after Public-Private Transportation Act of 1995 (PPTA)Transportation Act of 1995 (PPTA)
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Why Was it Adopted?Why Was it Adopted?Public need for education and other Public need for education and other government facilities government facilities
Need may not be wholly satisfied by Need may not be wholly satisfied by existing procurement methodsexisting procurement methods
Inadequate financial resourcesInadequate financial resources
Demonstrated evidence that public-Demonstrated evidence that public-private partnerships can improve private partnerships can improve schedule and lower costschedule and lower cost
Financial incentivesFinancial incentives
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Must Meet a Public PurposeMust Meet a Public Purpose
Public need or benefitPublic need or benefit
Estimated cost is reasonableEstimated cost is reasonable
Result in timely project deliveryResult in timely project delivery
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What Kind of Projects?What Kind of Projects?
Education facilityEducation facility
Facility for principal use by a public entityFacility for principal use by a public entity
Improvements to enhance public safety Improvements to enhance public safety and security of buildingsand security of buildings
Utility, telecommunications, and Utility, telecommunications, and communications infrastructurecommunications infrastructure
Recreational facilityRecreational facility
Technology infrastructureTechnology infrastructure
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Not Just Bricks and MortarNot Just Bricks and Mortar
Construction/Improvement/Construction/Improvement/
Renovation/ExpansionRenovation/Expansion
AcquisitionAcquisition
DesignDesign
EquippingEquipping
MaintenanceMaintenance
Operation Operation
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The LingoThe Lingo
PPEA or PPEIAPPEA or PPEIA
Public EntityPublic Entity
Private EntityPrivate Entity
Qualifying ProjectQualifying Project
Affected Local JurisdictionAffected Local Jurisdiction
Comprehensive AgreementComprehensive Agreement
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Two WaysTwo Ways
Solicited proposalsSolicited proposals
Unsolicited proposalsUnsolicited proposals
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Proposal ContentProposal ContentAct requires proposals to include certain Act requires proposals to include certain
information, includinginformation, including
Topographical mapTopographical map
Conceptual design/planConceptual design/plan
List of required permits/approvalsList of required permits/approvals
Plans for financingPlans for financing
User fees, lease payments, etc.User fees, lease payments, etc.
Information requested by the public entityInformation requested by the public entity
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FeesFees
May charge a reasonable fee for processing, May charge a reasonable fee for processing, reviewing and evaluating the reviewing and evaluating the request, request, but but not solicited proposalsnot solicited proposals– reasonable attorney's feesreasonable attorney's fees– financial and other necessary advisors or financial and other necessary advisors or
consultantsconsultants
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What about the VPPA?What about the VPPA?The VPPA does not apply, but you must The VPPA does not apply, but you must
adopt procedures consistent with the adopt procedures consistent with the VPPA forVPPA for
Evaluation and award of bids or Evaluation and award of bids or proposalsproposals
Discrimination prohibitedDiscrimination prohibited
Participation of small and minority-Participation of small and minority-owned business owned business
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Must Justify Selection Must Justify Selection ProcessProcess
Advantageous to the responsible public Advantageous to the responsible public entity and the public based on entity and the public based on
(i) the probable scope, complexity or (i) the probable scope, complexity or urgency of the project, or urgency of the project, or
(ii) risk sharing, added value, an increase (ii) risk sharing, added value, an increase in funding or economic benefit from the in funding or economic benefit from the project that would not otherwise be project that would not otherwise be available. available.
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Still Competitive and PublicStill Competitive and Public
Must post and publish notice that you are Must post and publish notice that you are considering an unsolicited proposal for at considering an unsolicited proposal for at least 45 days. least 45 days.
Encourage competitionEncourage competition
Advertise in VBOAdvertise in VBO
State agencies - post on eVAState agencies - post on eVA
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ADVANTAGES - PUBLICADVANTAGES - PUBLIC
Share Costs /Risks of Project Share Costs /Risks of Project
Additional Revenue Sources / Additional Revenue Sources / Financing OptionsFinancing Options
Competitive Negotiation versus Competitive Negotiation versus Traditional Bid MethodTraditional Bid Method
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ADVANTAGES - PUBLICADVANTAGES - PUBLIC
Ability to Receive New, Creative, and Ability to Receive New, Creative, and Alternative IdeasAlternative Ideas
Additional Method of ProcurementAdditional Method of Procurement
Shorter Implementation TimeShorter Implementation Time
Lower Project CostsLower Project Costs
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DISADVANTAGES - PUBLICDISADVANTAGES - PUBLIC
Loss of Traditional Control
You Have a Partner
Traditional Procurement Law does not Apply; Only Comprehensive Agreement
Private Financing May be More Expensive
Higher Risk of Public Criticism
Less Competitive Procurement
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ADVANTAGES - PRIVATEADVANTAGES - PRIVATE
Ability to Present Unsolicited Proposals
Working as Partner w/Public Entity
Procurement by Competitive Negotiation versus Traditional Method
Possibility of Diminished Competition
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DISADVANTAGES - PRIVATEDISADVANTAGES - PRIVATE
Considerable Investment of Time, Effort and Money
More Diverse Staffing Required
You Now Have a Partner
Greater Risk Sharing
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How to Get StartedHow to Get Started
Before you can consider unsolicited Before you can consider unsolicited proposals, the governing body must adopt proposals, the governing body must adopt and make publicly available procedures and make publicly available procedures that are sufficient to enable the that are sufficient to enable the responsible public entity to comply with responsible public entity to comply with this chapterthis chapter
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What Others Have DoneWhat Others Have Done
Model GuidelinesModel Guidelines
Commonwealth of Virginia (Model)Commonwealth of Virginia (Model)
Fairfax County Fairfax County
Norfolk Airport Authority (PPTA/PPEA)Norfolk Airport Authority (PPTA/PPEA)
City of RichmondCity of Richmond
Loudoun CountyLoudoun County
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QUESTIONS AND QUESTIONS AND ANSWERS???ANSWERS???