Ben Brubeck
Director of Labor and Federal Procurement
Associated Builders and Contractors (ABC)
brubeck@abc.org
The Tortoise and the Hare?
Federal and State P3 Legislation and
Policy Developments
NCPPP’s P3 Connect Conference
Denver, July 29, 2014
Federal P3s: The Tortoise?
Slow Progress is Still Progress
House Transportation & Infrastructure
Committee Special Panel on P3s
• Chaired by U.S. Rep. John J. Duncan, Jr. (R-TN).
U.S. Rep. Michael Capuano (D-MA) serves as
the ranking member.
• Special panel has held nine roundtables in
2014.
• What’s the end game?
The Water Resources Reform and
Development Act of 2014 (H.R. 3080)
• P3 pilot program for 15 water-related projects
in the USACE construction backlog. (Section
5014).
• Authorizes $175 million for pilot financing
program known as the Water Infrastructure
Finance Innovation Act (WIFIA). (Section
5021).
White House
• President Obama signed a Presidential Memo
July 17, launching the Build America Investment
Initiative.
• Creates the Build America Transportation
Investment Center, housed at the U.S. DOT.
• (There is already a center at DOT’s FHWA).
• Build America Interagency Working Group with
P3 stakeholders.
• Infrastructure Investment Summit on September
9, 2014.
White House Pt. 2
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•
•
•
U.S. Rural Infrastructure Opportunity Fund
$10 billion from anchor investor, CoBank
USDA will act as a matchmaker
White House Rural Council’s Rural
Opportunity Investment Conference
Federal Agencies
• Multiple agencies are utilizing P3s and other
innovative finance and delivery tools beyond
traditional procurement methods to meet
needs within restrictive budgetary and
regulatory framework.
Barriers to More P3s in Federal Market
• Washington effectively shut down until 2015
starting Aug. recess. Full campaign mode and
extra lame duck if Senate flips.
• No Viable Legislative Solution
• Dysfunctional Congress
• Short term needs vs. Long term vision
• OMB’s 1991 Appendix B of Circular A-11
Legislation/Concepts to Watch Next
Congress
• T&I P3 Panel Recommendations/Actions.
• Highway Bill.
• Performance Based Building Coalition’s (PBBC)
mission is to increase P3s by creating a new
category of exempt facility bonds for public
buildings.
• The Partnership to Build America Act (H.R.
2084/S. 1957) by Rep. John Delaney (D-MD) and
Sen. Bennet (D-CO).
State P3s: The Hare?
39 States Enable P3s
As of July 2014
Enabling vertical and horizontal P3s to some degree
(22 states)
Enabling only vertical P3s to some degree
(3 states and DC)
Enabling only horizontal P3s to some degree
(14 states and PR)
Note: 39 states authorize P3s by statute/regulations or
limited partnerships. In these states, P3s may be
authorized on a specific project(s) or project type.
State P3s
• Laboratories of Democracy
• Progress compared to federal government
• Model comprehensive laws in VA, TX, MD, FL
and PR
• No Big Legislative Wins in 2014 (Setbacks?)
• Will 2015 be a breakthrough year for P3
legislation?
P3 Legislative Activity
As of July 2014
P3 Legislative Activity in 2014 State Legislative Sessions
Notable 2014 Developments
• Kentucky (H.B. 407)
(Comprehensive), killed via
Gov. Beshear (D) veto.
• Georgia (S.B. 255)
(Comprehensive-ish), out of
time.
• Colorado (SB 14 -197) (A P3
setback averted via veto
from Gov. Hickenlooper and
E.O. D2014-010).
• District of Columbia (L.B.
595), developing. Likely
2015.
States to Watch in 2015
• Elections have consequences.
• Not a budget year in most states.
• Tier 1: Arkansas, New Mexico, Georgia, District of
Columbia, Missouri, New Hampshire and
Pennsylvania.
• Tier 2: Kentucky, North Carolina, Michigan, New
York and Tennessee.
• How do we advance P3 legislation at state and
federal level?
How Will This End?
Contact information
Ben Brubeck
Director of Labor and Federal Procurement,
Government Affairs
Associated Builders and Contractors (ABC)
brubeck@abc.org
www.linkedin.com/in/benbrubeck/