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From page 26...
... 26 C h a p t e r 3 This chapter captures the current state-of-the-practice in the public transportation industry by reviewing eight ongoing or recently completed P3s. This chapter introduces a case study methodology and profiles case studies of ongoing or recently completed small- and mediumsized P3 initiatives and highlights domestic and international perspectives on O&M partnerships with some elements of risk transfer.
From page 27...
... Table 5. Selected case studies by P3 category.
From page 28...
... 28 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) were asked a general list of questions about either the transit agency or the private partner and specific questions about the initiative.
From page 29...
... Case Studies 29 an approximately $20 million commuter rail infill station, covering 100 percent of the station and track construction costs. The station (currently under construction)
From page 30...
... 30 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) project, MBTA manages the railroad, Keolis operates the commuter rail, and NB Development Group designs, constructs, and funds the project.
From page 31...
... Case Studies 31 Capital Cost Agreement Cost was the biggest concern during the planning stages. NB Development Group and MassDOT used other recent station construction costs to estimate potential costs of the new station.
From page 32...
... 32 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) about active right-of-way flagging requirements, the contractor will build it into the budget and schedule.
From page 33...
... Case Studies 33 3.2.1 Project Description The Metropolitan Atlanta Rapid Transit Authority (MARTA) partnered with KDC Real Estate Development & Investments (KDC)
From page 34...
... 34 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) 3.2.2 Identification History In February 2014, State Farm announced its plans to build a new four-tower campus in Atlanta, with one of the towers located above MARTA's Dunwoody Station.
From page 35...
... Case Studies 35 The developer's agreement approval process included negotiating the mechanics of the agreement and specified how and where the construction would occur. The developer's agreement included some of the following arrangements: • KDC was not obligated to own and maintain a portion of the station extension until KDC began construction on the station connector.
From page 36...
... 36 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) developer's agreement is a contract between MARTA and KDC that details the obligations of both parties and specifies the standards and conditions that KDC must abide by during the development of MARTA's property at Dunwoody Station.
From page 37...
... Case Studies 37 KDC is tracking data points to measure the success of the project. KDC is also monitoring its partnership with State Farm and MARTA based on State Farm employee ridership using the State Farm internal tracking mechanisms and the percentage of employees using MARTA.
From page 38...
... 38 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) 3.2.7 Key Benefits Each interviewee was asked to identify key benefits of the project.
From page 39...
... Case Studies 39 comply with MARTA's required standard design and construction guidelines. Had these guidelines been introduced at the onset of negotiations, the P3 would have seen fewer pre-development delays.
From page 40...
... 40 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) Purpose The Direct Connect partnership's goal is to provide viable and reliable connectivity where public transit services do not exist or may be discontinued in the future.
From page 41...
... Case Studies 41 complimentary pilot program. Agreements were negotiated over a 3-month period.
From page 42...
... 42 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) 3.3.5 Implementation The Direct Connect pilot program is advertised on PSTA's website as "Taking You to the Bus Stop." This is exactly what the program offers within the service zone.
From page 43...
... Case Studies 43 • By providing a connection to the nearby bus stops, PSTA, Uber, Lyft, and United Taxi are able to better serve the community and specifically that area. • The TNCs and taxi company benefit from the program by achieving the goal of integrating their services within a city's transportation network.
From page 44...
... 44 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) 3.4 O&M: International and Domestic Perspectives Profiles The following profiles (or vignettes)
From page 45...
... Case Studies 45 Approaching Public Partners Keolis pursues transit agencies in three phases. Expression of Interest Phase.
From page 46...
... 46 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) 15 years.
From page 47...
... Case Studies 47 calendar month. The in-text table below illustrates the various bonus levels based on total mileage: Total Mileage Bonus Assessment Zero preventable accidents in the month $7,500 155,000 or greater $5,000 150,000 $4,500 145,000 $4,000 140,000 $3,500 135,000 $3,000 130,000 $2,500 125,000 $2,000 120,000 $1,500 115,000 $1,000 110,000 $500 104,000–109,999 $0 99,000–103,999 $250 94,000–98,999 $500 89,000–93,999 $750 84,000–88,999 $1,000 79,000–83,999 $1,250 74,000–78,999 $1,500 69,000–73,999 $1,750 64,000–68,999 $2,000 59,000–63,999 $2,250 58,999 or less $2,500 maximum • Service-related complaints.
From page 48...
... 48 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) The partnership between SamTrans and MV Transportation benefits from cost savings, time benefits, and flexibility.
From page 49...
... Case Studies 49 transportation as well as potential bus or streetcar transit connections that are being studied as part of the Central Harbor Boulevard Transit Corridor Study to provide direct access from ARTIC to the Disneyland Resort and the city's convention center. The 12,000 square feet of commercial space in ARTIC was envisioned to become a premier transit-oriented downtown destination with lively shopping and dining.
From page 50...
... 50 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) Cost The City's FY 2015–2016 budget included $3.9 million to operate ARTIC, including the cost of utilities, property insurance, labor, maintenance, and management fees to LPC.
From page 51...
... Case Studies 51 Convention, Sports & Entertainment Department manages the ARTIC operations and is the lead contact for LPC. The private partner, LPC, is a national real estate development and management company that has been in business since 1965.
From page 52...
... 52 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) media coverage.
From page 53...
... Case Studies 53 • Leverage a partner's skill and experience. Engage your private partner in the development and design process as early as possible.
From page 54...
... 54 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) Station in Boulder, Colorado.
From page 55...
... Case Studies 55 with RTD to design and build the RTD bus rapid transit station. The new transit center serves several routes, including HX and S, and the Flatiron Flyer, as an end-of-line station.
From page 56...
... 56 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) Long-Term Goals The City of Boulder is roughly 30 miles from Denver, the largest city in Colorado.
From page 57...
... Case Studies 57 3.6.4 Implementation After the planning processes was complete, construction started in August 2013 and was originally expected to finish within 18 months. The schedule of the project was as follows: • 2003: CMAQ funds awarded to the City and RTD.
From page 58...
... 58 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) In addition, as noted by RTD, the developer was extremely patient and diligent throughout the entire planning and implementation process and was a natural champion of the project.
From page 59...
... Case Studies 59 3.6.8 Conclusions The RTD Real Estate P3 ultimately helped shape the City of Boulder's TOD image through its private partner's industry expertise and participation and through the public partner's flexibility and willingness to adapt the P3 scope. While the public partner was originally just looking for a developer to deliver the underground BRT station in exchange for TOD rights adjacent to the station, it was the private developer who introduced the idea of also providing a financial strategy that would allow them to include affordable housing.
From page 60...
... 60 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) place for 5 years.
From page 61...
... Case Studies 61 daily audience riding public transit. While many public transit vehicles promote business and services through physical posters and displays inside cars or at bus shelters, the company's founder identified an alternative way for businesses to target potential customers on transit.
From page 62...
... 62 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) that their rules tended to apply to vendors receiving payment from the transit agency.
From page 63...
... Case Studies 63 3.7.5 Planning Mutual Objectives Both partners have two primary mutual objectives. First, they are interested in maximizing revenues through advertisement sales.
From page 64...
... 64 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) some staff turnover among the critical contacts within HART that had initially understood and supported the project.
From page 65...
... Case Studies 65 for the system and have been found off-putting by some riders. Documenting clear guidelines to which the private partner must adhere to is critical.
From page 66...
... 66 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) 3.8.1 Project Description The Ark-Tex Council of Governments (ATCOG)
From page 67...
... Case Studies 67 • Operating Funds: While TRAX was well positioned to receive operating funds from the state of Texas, the program required a 50-percent local match. TRAX needed to identify a local funding source to match the state operating assistance funding.
From page 68...
... 68 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) transportation manager to groups of local residents and business owners through the local chapters of the Kiwanis and Rotary Clubs, where she was able to present TRAX's plan to create the Paris Metro system and reiterate the benefits it would have for the city's residents.
From page 69...
... Case Studies 69 Communication The P3 did not create a formal communication plan for the 3-year partnership period. TRAX will have a full-time staff located in the new transit center, who will be in regular communication with TRAX's transportation manager located in Texarkana.
From page 70...
... 70 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) Paris Metro staff will report ridership data using the reporting system currently used on TRAX rural service lines.
From page 71...
... Case Studies 71 likely foster goodwill and favor toward the private partner from existing and potential clients in Paris. 3.8.8 Lessons Learned Each interviewee was asked to identify any lessons learned or elements that they would have done differently.
From page 72...
... 72 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) 3.9 New York MTA Wi-Fi and Wireless Service New York City, New York Sponsor New York Metropolitan Transportation Authority Partner Transit Wireless Agency size Large Category Innovative technology Type Wi-Fi and wireless service, Design Build Finance Operate Maintain Service provided Wi-Fi and wireless service Risk transfer DBFOM of Wi-Fi and wireless service; management of advertising P3 initiative size: Medium Status Ongoing 3.9.1 Project Description New York Metropolitan Transportation Authority (MTA)
From page 73...
... Case Studies 73 In 2012, MTA entered into private partnerships called "disposition opportunities" (analogous to a franchise) with four major telecommunication carriers to install wireless service in Grand Central Station.
From page 74...
... 74 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) 3.9.4 Planning The timeline of the project was as follows: • 2005: RFP released by MTA.
From page 75...
... Case Studies 75 suit and sign contracts with Transit Wireless to offer their services in the stations. This was an added risk that Transit Wireless assumed by serving as a neutral host.
From page 76...
... 76 public transportation Guidebook for Small- and Medium-Sized public-private partnerships (p3s) Lessons learned by Transit Wireless include: • Solidify the project's goals and parameters early on.
From page 77...
... Case Studies 77 3.9.9 Conclusions This P3 features a public partner who recognized that the type of technology design and installation expertise could be provided more effectively through a private partner with specific industry experience. Through the competitive RFP process, the public partner was able to review multiple potential partners, and private partners were also able to present innovative partnership models that MTA might not have initially considered that could provide additional benefits to the transit agency.

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