Posts in Tollroads/ Turnpikes/ Managed Lanes.
FHWA Issues FONSI for MTA’s Central Business District Tolling Program

The first urban-core tolling program in the United States marked a major milestone. In late June, the Federal Highway Administration (FHWA) concluded its environmental assessment of the Metropolitan Transportation Authority’s (MTA) Central Business District (CBD) Tolling Program and issued a Finding of No Significant Impact (FONSI). This federal determination will allow the program to move forward into implementation. ... 

U.S. Department of Transportation Proposes Important Buy America Actions; FTA Administrator Issues Buy America Dear Colleague Letter

The Infrastructure Investment and Jobs Act (P.L. 117-58; IIJA) expanded the scope of the Buy America preference by requiring that all construction materials, iron and steel, and manufactured products used in federally supported infrastructure projects be produced in the United States. Prior to the IIJA, Buy America requirements did not apply to construction materials.

The federal government began implementing the new requirements earlier this year, beginning with the Office of Management and Budget’s implementation guidance, followed by the U.S. Department of ...

Rhode Island is trying to put the brakes on a federal lawsuit brought by the trucking industry that could steer the state’s truck toll system into a ditch.  The outcome could create speed bumps for transportation agencies considering deployment of innovative congestion management tools.

In 2016 the Rhode Island General Assembly passed the Rhode Island Bridge Replacement, Reconstruction, and Maintenance Fund Act of 2016 (“RhodeWorks Act”) to fill a funding gap between revenue needed to maintain the state’s bridges in sound condition and the state’s revenue sources.  The ...

Public agencies with toll-setting authority should take note of a recent federal court decision relating to the uses of user fees and toll revenue, as well as the stated goals of the plaintiff in that case.

The U.S. District Court for the Southern District of New York recently clarified the constitutional uses of toll revenue in American Trucking Associations v. New York State Thruway Authority, 13 Civ. 8123 (CM) (S.D.N.Y. Aug. 10, 2016). In this case, commercial trucking companies and the American Trucking Associations (ATA) claimed that the New York State Thruway Authority ...

For years, policymakers and economists around the country have been well aware that the federal gas tax is dying.

In its report to Congress, the National Surface Transportation Infrastructure Financing Commission, on which I was honored to serve, made clear that we must replace the 18.4 cent federal gas tax with other means of funding transportation in order to maintain and improve our highways, bridges and transit systems in the United States.

The commission recommended a road user charge as the most effective approach to solving this problem.

[If] we fail to address the immediate ...

Drivers of the I-405 in Orange County California are one step closer to an improved facility.  Today the Orange County Transportation Authority (OCTA) authorized release of a final request for proposals to design and construct the I-405 Improvement Project, the largest highway project in Southern California.  The project includes upgrading 16 miles of the I-405 between SR-73 in Costa Mesa and I-605 near the Los Angeles County line, adding a general purpose lane in each direction.  A new lane will also be added next to the current HOV lane between SR-73 and SR-22, and both lanes, in each ...

California has long been a transportation innovator, whether battery powered cars, high speed rail or the home of the first managed lanes facility in the United States—the SR91 Express Lanes.  The SR91 Express Lanes opened in 1995; the 10 mile project with two managed lanes in each direction connecting Orange County and Riverside County was originally developed as a P3 toll concession and acquired in 2003 by the Orange County Transportation Authority (and also featured the first fully electronic toll collection system in the world).  Additional managed lanes projects have been ...

Three months after the May 15, 2015 issuance of a Request for Qualifications (RFQ), the SH 249 Extension Project is another step closer to development.  The RFQ solicited qualifications from teams interested in entering into a design-build contract and a comprehensive maintenance agreement for the Project.  Following a two-month process, which included questions and answers from interested industry participants and an industry workshop, TxDOT received Qualification Statements from seven teams on July 17, 2015. Over the next month, the Qualification Statements were evaluated ...

The long-awaited Presidio Parkway opened for the first time to Bay Area motorists on July 12th, ahead of schedule and to local and national praises.

The $1.1 billion Presidio Parkway replaces Doyle Drive – an outdated and seismically deficient viaduct – as San Francisco’s main connection to the Golden Gate Bridge.  The new 1.6-mile, six-lane roadway tucks elegantly into the natural contours of the historic Presidio of San Francisco, and enhances transit, pedestrian and bicycle access within the national park area.  The Presidio Parkway has received numerous honors ...

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Drivers in the U.S. are seeing the benefits of toll roads, according to a new report published by the International Bridge, Tunnel and Turnpike Association (IBTTA).   The 2015 Report on Tolling in the United States (June 30, 2015), indicates that U.S. drivers took 5.7 billion trips last year on toll roads, reflecting a 14% increase over the last four years.  The construction of new toll roads is also on the rise and thus may be contributing to the steady increase in toll traffic.

According to the Federal Highway Administration, the number of toll road miles in the U.S. increased from about ...

North Carolina, acting through the North Carolina Department of Transportation (NCDOT), reached a major milestone on May 20, 2015 when financial close was achieved on the I-77 Express Lanes Project – the first highway public-private partnership in the state.  The project, with a design and construction cost estimated at approximately $591 million, will add 26 miles of tolled, express lanes along the existing I-77 corridor in the Charlotte region.  The financing package includes $100 million of private activity bonds and a $189 million TIFIA loan from the U.S. Department of ...

Although historically the investment profile for pension funds has focused on established brownfields assets, the Canadian Pension Plan Investment Board (CPPIB) has recently invested $525 million AUD into the greenfields NorthConnex road tunnel in Sydney, Australia in partnership with experienced road operator Transurban and the Queensland Investment Corporation (QIC). CPPIB’s investment comes hot on the heels of the Dallas Police and Fire Pension System’s (DPFPS) 2010 equity investment in Texas’ LBJ  Freeway (I‐635) managed lanes toll-road, among other ...

Florida Governor Rick Scott broke ground yesterday on the I-4 Ultimate Project, which will rebuild I-4 in metro-Orlando. The Project involves the reconstruction of 21 miles of I-4 from west of Kirkman Road in Orange County to east of State Road 434 in Seminole County and promises to bring much needed relief to one of the most congested highways in the state. Along with developing a signature corridor with aesthetic enhancements and landscaping to convey the Florida Experience, the Project will provide a choice to motorists by adding two variable priced toll express lanes in each ...

The San Joaquin Hills Transportation Corridor Agency today successfully refinanced $1.4 billion of its $2.2 billion in outstanding debt issued to fund construction of the 73 Toll Road. "This is great news for drivers and the communities that surround the 73 Toll Road," said Scott Schoeffel, Chairman of the San Joaquin Hills Transportation Corridor Agency, the joint powers authority responsible for financing the 73 Toll Road. "Refinancing improves the agency's long-term financial health by lowering the annual debt service payments and improving financial flexibility."

The ...

The FHWA published its final Core Toll Concessions P3 Model Contract Guide (Guide) on September 10, 2014 as part of its mandate under MAP-21 to develop standard public-private partnership transaction model contracts for the most popular types of public-private partnerships.  The Guide serves as an educational tool to assist states, public transportation agencies, and other public officials in developing their own public-private partnership agreements. 

The FHWA determined an educational approach is preferred to prescriptive requirements based on feedback received during a ...

The Florida Department of Transportation reached commercial and financial close on the I-4 Ultimate Project in the urban Orlando area.  The $2.3 billion deal is the third transportation P3 project in Florida developed through an availability payment structure, and is the largest availability payment transaction ever undertaken in the United States.

FDOT entered into an agreement with I-4 Mobility Partners OpCo LLC, a consortium led by Skanska Infrastructure Development Inc. and John Laing Investments Limited.  The Concessionaire will design, construct, finance, maintain and ...

On August 22, 2014, the Texas Department of Transportation and Abrams-Kiewit Joint Venture (Developer) reached commercial close on the Loop 375 Border Highway West Extension Project (Project).  The contract, which includes design-build and comprehensive maintenance agreements (collectively the CDA), was conditionally awarded to the Developer in April of this year.  Developer is a joint venture consisting of J.D. Abrams and Kiewit Infrastructure South Co.

The Project is located west of downtown El Paso, south of Interstate Highway 10 (I-10) and extends approximately nine ...

In an historic move, Standard & Poor’s upgraded the Orange County Transportation Agency SR91 Express Lanes Toll Revenue Bonds to AA-, making it one the highest rated managed lanes projects in the world.  The bonds were issued last year to refund bonds that were issued in 2003 when OCTA acquired the SR91 Express Lanes project from the private consortium that developed the project under California’s prior P3 law.

The 91 Express Lanes is a four-lane, 10-mile toll road built in the median of California’s Riverside Freeway, State Route 91, between the Orange/Riverside County line and ...

The North Tarrant Express Segments 3A & 3B Project (Project) reached financial close earlier today.  The Project will provide over $1.5 billion of needed infrastructure to the Fort Worth area, as well as operations and maintenance over the next several decades.  The Project will expand Interstate 35W in north Fort Worth, one of the region’s top priorities for congestion relief.  Segments 3A and 3B are the primary focus of the North Tarrant Express Master Development Plan, and will add approximately 10 miles of I-35W to the North Tarrant Express project.

Pursuant to the agreement ...

On September 10, 2013, the California Department of Transportation (Caltrans) in cooperation with the Los Angeles County Metropolitan Transportation Authority (Metro), announced the shortlist for the Accelerated Regional Transportation Improvements (ARTI) Project.

The Project, located in Los Angeles County, includes the development of one high-occupancy toll lane in each direction along Interstate 5 (I-5) North from the SR 14 freeway to Parker Road; the design, reconstruction, rehabilitation and maintenance of the pavement of all lanes of the same segment of I-5 North; ...

Commuters using the heavily congested SR-91 corridor between Riverside and Orange County in Southern California can enjoy an early July 4th celebration—on July 3, 2013, the Riverside County Transportation Commission closed on a billion dollars of financing for the SR-91 project which will provide needed relief of congestion in the corridor when the project is completed in May of 2017.  RCTC achieved financial close on the project less than 60 days after awarding the design-build contract for the project to a joint venture of Atkinson/Walsh.  The SR-91 corridor improvement ...

On June 5, 2013, the Florida Department of Transportation (FDOT) announced the shortlist for the proposed I-4 Ultimate Project in Orange and Seminole Counties.

The Project includes the reconstruction of 21 miles of I-4 from west of Kirkman Road in Orange County to east of State Road 434 in Seminole County. The I-4 project adds four tolled express lanes to I-4 while maintaining the existing free general use lanes.

The shortlisted teams were selected based on qualification statements submitted on April 19, 2013 in response to the request for qualifications (RFQ) issued by FDOT on March ...

The California Department of Transportation (Caltrans), in cooperation with the Los Angeles County Metropolitan Transportation Authority (Metro), issued on May 31, 2013 a Request for Qualifications (RFQ) for teams interested in submitting Statement of Qualifications (SOQs) to design, build, finance, operate and maintain the Accelerated Regional Transportation Improvements Project (the "ARTI" Project) through a public-private partnership (P3) agreement with Caltrans.

The ARTI Project consists of six elements, all of which are located in Los Angeles County, including ...

The Transportation Corridor Agencies recently named Neil Peterson the new CEO as of June 3.  A transportation industry veteran, Mr. Peterson succeeds Tom Margro, who retired last year.  TCA's Chief Communications Officer Lisa Telles has been acting CEO since Mr. Margro's retirement and will resume her role as CCO on June 3.

Mr. Peterson has a long history in the industry and joins TCA from CH2M Hill where he was a senior transportation strategy consultant.  Prior to that, he worked at Booz, Allen & Hamilton and served as executive director of the Los Angeles County Transportation ...

On May 17, 2013, the Texas Department of Transportation and AGL Constructors reached commercial close on the design-build and capital maintenance agreements for the I-35E Managed Lanes Project.  AGL Constructors is a joint venture comprised of Archer Western Contractors, LLC, Granite Construction Company and The LANE Construction Company. AGL Constructors was conditionally awarded the contract in December 2012, and was one of four teams the Texas Department of Transportation shortlisted for the project in early 2012.

The I-35E Managed Lanes Project is the first phase in a ...

On May 8th, 2013, the Riverside County Transportation Commission (RCTC) approved a $632 million dollar design-build contract for the SR-91 Corridor Improvement Project.  The design-builder is a joint venture between Atkinson Contractors, LP and Walsh Construction Company.  URS is the team’s lead designer.

RCTC had previously pre-qualified 4 teams for the project and issued the RFP on July 26, 2012:  The 4 pre-qualified teams were:  Atkinson/Walsh, a joint venture; Flatiron/Skanska/Rados, a joint venture; Shimmick/Obayashi/FNF, a joint venture; and Kiewit Infrastructure ...

The Florida Department of Transportation (FDOT) announced on April 19, 2013 that it accepted Statements of Qualifications (SOQs) from seven proposers in response to a Request for Qualifications for the I-4 Ultimate Project.  The list of proposer teams may be found at the I-4 Ultimate Project website.

The project involves the reconstruction of over 21 miles of I-4 in Orange and Seminole Counties, including 19 major interchanges, 56 new bridges and 71 bridge replacements, and the addition of two managed toll lanes in each direction.  The estimated cost of the project is approximately ...

Texas Department of Transportation (TxDOT) executed agreements on March 22 for the development of the SH 99 Grand Parkway project with Zachry-Odebrecht Parkway Builders, JV, a joint venture comprised of Zachry Construction Corporation and Odebrecht Construction Inc.  The agreements provide for the design, construction and long-term capital maintenance of the Grand Parkway project, a 38 mile, greenfield toll road in Houston.

Project Details

The high-priority project reaching final award consists of Segments F-1, F-2 and G of the Grand Parkway, part of a proposed 180+ mile ...

On March 12, 2013, the Florida Department of Transportation (FDOT) issued a press release regarding their publication of a Request for Qualifications (RFQ) soliciting statements of qualifications from prospective private entities for development and implementation of a public-private partnership for the $2 billion+ Orlando-area project.  FDOT is seeking a private firm that is experienced in designing, building, financing, operating and maintaining both general use and managed lane roadways.

The I-4 Ultimate Project will be structured as an availability payment ...

Texas Department of Transportation (TxDOT) officials executed a Facility Agreement  with NTE Mobility Partners Segments 3 LLC (Developer) on March 1 for Segments 3A and 3B of the North Tarrant Express project in northeast Tarrant County.  The agreement provides for the expansion of Interstate 35W in north Fort Worth, one of the region’s top priorities for congestion relief.  Segments 3A and 3B are the primary focus of the North Tarrant Express Master Development Plan, and will add approximately 10 miles of I-35W to the North Tarrant Express project.

Pursuant to the Facility ...

The Florida Department of Transportation has scheduled an industry forum for the I-4 Ultimate Project.  The forum will be held on March 4, 2013 to introduce this $2 billion+ Orlando-area project.  The project will add two managed lanes in each direction from west of Kirkman Road in Orange County to the east of SR 434 in Seminole County, a distance of 21.1 miles.  As currently contemplated by FDOT, the project includes reconstruction of 15 interchanges, 56 new bridges and 68 bridge replacements and will be procured as a public-private partnership. 

The forum is intended for all those ...

On Saturday November 10, the California Department of Transportation (Caltrans) and Los Angeles County Metropolitan Transportation Authority (MTA) converted the I-110 Harbor Transitway lanes (ExpressLanes) from High Occupancy Vehicle (HOV) or carpool lanes to High Occupancy Toll (HOT) lanes.  The ExpressLanes, extending from Harbor Gateway Transit Center to Adams Boulevard, are part of a one-year demonstration program that seeks to introduce congestion pricing to the I-110 freeway, and later the I-10 freeway.  This conversion follows a growing trend in California, as well ...

The Texas Department of Transportation (TxDOT) and SH 130 Concession Company have announced the opening of Central Texas' newest toll road on October 24.  SH 130 Segments 5&6 is a 41-mile extension of the existing 50-mile SH 130 toll system that currently connects Georgetown to South Austin.  The new toll road extension starts at Mustang Ridge, spanning three counties and ending at Interstate 10 near Seguin. 

The new toll road is entirely automated, and will be fully interoperable with the existing SH 130 toll system so that travel between various segments will be seamless.  The new ...

The Texas Department of Transportation (TxDOT) has reached a tentative, $1.6 billion deal with a private developer to expand Interstate 35W in north Fort Worth.  According to a report released by TxDOT in late August, the stretch of I-35W in northern Tarrant County that is the subject of the agreement is the most congested roadway in the state - causing motorists to collectively waste more than 2 million hours.  The deal between TxDOT and the developer, an affiliate of the entity that is currently developing the $2.5 billion North Tarrant Express project in northeast Tarrant County, will ...

The Texas Transportation Commission selected the apparent best value proposer for the design, construction and long-term capital maintenance of the Grand Parkway project, a 37-mile, greenfield toll road in Houston. The high-priority project awarded on Thursday consists of Segments F-1, F-2 and G of the Grand Parkway, part of a proposed 184-mile highway, encircling the Houston area. A few of the other, smaller segments of the Grand Parkway are being developed using traditional construction contracts. Segments D and E are currently under construction and Segment I-2 is already ...

Governor Mitch Daniels of Indiana and Senator Jeff Bingaman of New Mexico exchanged comments regarding Indiana’s privatization of 157 miles of toll roads through two articles that appeared in The Washington Post, titled Indiana didn’t ‘sell its toll roads and Taxpayers paying for roads – twice.  This exchange concerns the Senator's proposal to, among other provisions, remove lane miles which are under a long-term PPP lease agreement from the formula which generates federal gas tax dollars to the states.  If Senator Bingaman's proposal were to become law, Indiana's ...

On April 26, 2012, the Texas Department of Transportation (TxDOT) announced the shortlist for the proposed IH 35E Managed Lanes Project in Dallas and Denton Counties.  The shortlisted teams were selected based on qualification statements submitted on March 23, 2012 in response to the request for qualifications (RFQ) issued by TxDOT on January 23, 2012.

The RFQ solicited separate qualification statements from teams with experience in design-build and toll concession contracting.  TxDOT decided to move forward with the design-build alternative with a capital maintenance option.  ...

On March 30, 2012, the North Carolina Department of Transportation (NCDOT)  shortlisted four teams for its I-77 HOT Lanes Project located in the Charlotte-Mecklenberg area.

The I-77 HOT Lanes Project is the first road transportation infrastructure project under a pubic-private partnership (P3) delivery model in North Carolina and will set the precedent for the use of P3s to implement HOT lanes projects in the state.  NCDOT anticipates that partnership with the private sector, and the innovative funding strategies that private sector funding brings, will more quickly and more ...

On January 23, the Texas Department of Transportation (TxDOT) issued a Request for Qualifications (RFQ) soliciting qualifications from private developers interested in entering into a design-build contract and capital maintenance agreement and/or a toll concession agreement for the IH 35E Managed Lanes Project. The RFQ provides prospective developers the opportunity to submit qualifications for one or both of the two public-private partnership (P3) methods. Qualification submittals for the project are due March 23, 2012.   

IH 35E serves the rapidly growing areas of ...

Our October 21 blog on managed lanes projects in Southern California talked about how three county transportation agencies are expanding on the success of the SR91 Express Lanes in Orange County, Calif., by using managed lanes to further relieve congestion and improve mobility in the region.  Not to be outdone by its Southern California cousins, the Metropolitan Transportation Commission (MTC), the transportation planning and funding agency for the nine-county San Francisco Bay Area, just received the blessing of the California Transportation Commission (CTC) to develop and ...

Southern California can’t say it’s number one when it comes to having the worst traffic congestion in the country, but it’s a huge economic and social problem for the region which three Southern California transportation agencies are addressing through the use of managed lanes.  That’s what we recently learned at the Women’s Transportation Seminar presentation on October 14, 2011.

On a panel moderated by Rick Backlund, an FHWA region official, we heard from Rose Casey, Program Manager for the Orange County Transportation Authority; Stephanie Wiggins, Executive ...

On October 24, 2011, the Alliance for Toll Interoperability (ATI), an organization of more than 40 toll road operators founded in 2007 for the purpose of promoting and implementing interstate interoperability, will commence pilot operations for four license plate interoperability hubs.  Pursuant to the Interoperability Network Pilot Program (INPP), separate hubs established by four vendors (ACS [a subsidiary of Xerox ], Federal Signal, Cofiroute USA, and Secure Interagency Flow [a CS/Egis joint venture]) will receive license plate data from six tolling agencies (E470 in ...

The Riverside County Transportation Commission, which oversees funding and coordination of all public transportation services within Riverside County, is seeking a Toll Project Manager to manage delivery of toll projects from the environmental phase through design and construction.

This is a contract employee position that will terminate upon project completion or at the discretion of the RCTC. It is expected that the initial contract term will be three years and may be extended based on the needs of the toll program and RCTC.

Ideal candidates should have advanced knowledge of ...

Last week, the North Texas Tollway Authority scored a touchdown by closing on $1 billion of bonds and notes to finance an 11.5 mile extension of the President George Bush turnpike in the Dallas Metroplex, which provides convenient access to the new Dallas Cowboys football stadium.  A major factor in the success of the transaction is the participation of the Texas Department of Transportation in the financial structure.  The project was originally to be procured as a P3 under TxDOT's CDA Program, but state legislation gave NTTA an option to develop and operate the project, for which NTTA ...

AASHTO, through its Center for Excellence in Project Finance, has released its final report on strategies for funding and financing surface transportation for the next decade. The report, Funding and Financing Solutions for Surface Transportation in the Coming Decade,is available for download via AASHTO’s website at the following address:

http://www.transportation-finance.org/pdf/featured_documents/sep_30_report_final_2011_02_02.pdf

In September 2010, AASHTO convened a forum of members of Congress, representatives of state and local governments, and ...

Last week the National Governors Association strongly urged key Senators to stand with them against new restrictions on public private partnerships and tolling in the House T&I Committee’s draft surface transportation bill. In their letter to chairs and ranking members of the Senate Environment and Public Works, Finance, and Banking, Housing and Urban Affairs, the NGA highlighted the efforts of state and local governments to pursue innovative financing options to complement traditional sources, and asked the Senate to omit the proposals from the Senate’s ...

On June 22, 2010 the Texas Department of Transportation’s I-635 project became the first U.S. highway public-private partnership (P3) to achieve financial close in 2010. LBJ Infrastructure Group - a Cintra-led consortium - will build, finance, maintain and operate a 17-mile corridor which includes managed lanes in the congested Dallas-Fort Worth area. This project along with the North Tarrant Express (NTE), one of three U.S. transportation P3s to close in 2009, are nationally significant for advancing the use of managed lanes to address congestion.

The projects are notable ...

On June 1, the Georgia Department of Transportation (GDOT) announced the shortlist of qualified proposers for the West by Northwest Project.  The three shortlisted teams are eligible to receive the Request for Proposals for the project, which is expected to be issued in the fall. The selected teams are as follows:

The West by Northwest Development Partners

  • Equity: VINCI Concessions and OHL Concesiones.
  • Lead Contractors: Archer Western Contractors, OHL USA and the Hubbard Construction Company.
  • Lead Engineering Firm: Parsons Transportation Group.
  • Lead Operations and ...

The IBTTA is discussing the future of tolling existing interstate capacity in light of the Federal Highway Administration’s decision to reject Pennsylvania’s application to toll Interstate 80.

My opinion?

The political barriers to tolling existing interstate capacity are just as real and monumental as raising the gas tax. In the short to mid term the more likely scenario is an acceleration of the trend to toll new capacity within existing interstate rights of way. The Ft. Lauderdale I-595, the Ft. Worth North Tarrant Express, and the Dallas I-635 are all recent examples of ...

It was the best of times, it was the worst of times…  Dickens could have been describing 2009, as the P3 market continued to look strong, notwithstanding the economic downturn. Last year three significant P3 deals reached financial close in the United States: in March the I-595 in Florida, in October the Port of Miami Tunnel also in Florida, and mid-December the North Tarrant Express in Texas. All were remarkable in their own right, and cumulatively earned Nossaman the top spot in Infrastructure Journal’s league tables in the North American Transport P3 legal advisor category.

We take a look back at what made the deals remarkable and what 2010 might bring…

Nossaman’s 30-plus infrastructure attorneys offer clients, colleagues, strategic partners and industry media a wealth of practical experience, insider insight and thoughtful analysis here on Infra Insight. We blog about what we know best, from industry-leading procurements to local and national policy developments that affect the market and our clients.

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