Suzanne H. Sale, Federal Highway Administration, presiding
Sponsored by Committee on Taxation and Finance; Task Force on Design-Build
Sunday, January 22, 2006, 8:30am- 5:00pm, Hilton, International East
This workshop, co-sponsored by the Taxation and Finance Committee and the Design-Build Task Force as a collaborative effort with the Federal Highway Administration, PIARC World Road Association, and the OECD/ECMT Joint Transport Research Centre, provides a forum to explore the latest developments in innovative project delivery and financing approaches. With the growing trend to advance transportation infrastructure investment through PPPs, the workshop's emphasis is on sharing experiences of successful domestic and international strategies. The workshop will bring together national and international experts from both the public and private sector as well as project sponsors to provide their perspectives on how new, more innovative techniques and tools can be used to complement conventional transportation delivery and funding approaches. Also, USDOT representatives will share their insights on the new innovative finance provisions of SAFTEA-LU.
The workshop will be structured into three parts. The first part will feature international experts who will share their views on the application of innovative funding mechanisms in transportation infrastructure investment. Key questions for consideration include which innovative funding mechanisms should be employed and under what circumstances, and what are the determinants of success. Specific issues related to project design and execution, such as risk allocation, will also be addressed. The second part will focus on the innovative financing programs under SAFETEA-LU, covering new tools and improvements to current programs. Panelists will provide insights on how SAFETEA-LU makes it easier and more attractive for the private sector to participate in highway infrastructure projects. The third part will feature project sponsors who will discuss their first-hand experiences in implementing innovative financing and delivery approaches, sharing lessons learned and successful strategies to facilitate public-private partnerships. Potential new financial models for PPPs will also be explored. The format will be interactive so workshop participants will be able to ask questions and engage in dialogue with the transportation experts. View a list of presentations from this session.
Phyllis F. Scheinberg, U.S. Department of Transportation, presiding
Sponsored by Committee on Taxation and Finance
Monday, January 23, 2006, 8:00am- 9:45am, Hilton, International East
The recent enactment of SAFETEA-LU signifies increased federal funding levels, continued guaranteed spending of trust fund receipts, and enhanced opportunities for utilizing public-private partnerships. Yet the current system for financing the nation’s surface transportation infrastructure is facing significant challenges. The basic surface transportation program structure has been in place since the passage of ISTEA in 1991. The federal financing approach of providing reimbursement grants funded largely with fuel excise tax receipts credited to the Highway Trust Fund has been in place for nearly 50 years. Neither the federal responsibility for highway investment nor the funding mechanism employed has been fundamentally re-examined since the conclusion of the Interstate construction era. With all sorts of infrastructure investment needs continuing to outstrip available resources under this mechanism, there is a growing sense that fundamental policy questions concerning improved financing techniques and new funding sources must be addressed in the coming years:
What are the nature and magnitude of the transportation infrastructure “funding problem,” and what are some specific steps that could be taken to begin to address this problem?
Where are fuel excise taxes headed, both fiscally and politically?
What issues must be addressed in transitioning to a fundamentally different approach, such as mileage-based user fees?
How can government owners of transportation infrastructure better manage their assets in order to improve service and reduce cost?
And what factors should they evaluate in considering asset leases or sales?
This roundtable session will examine these and other questions pertaining to future investment in surface transportation infrastructure. While focusing on finance issues and options, the panelists will express their views in the broader context of the evolving roles of governmental units (especially the federal role) and private entities. The audience will be encouraged to engage the panelists in identifying and assessing the critical financial policy matters facing project sponsors and policy makers.
Roundtable Discussion (P06-1241)
Edward L. Mortimer, US Chamber of Commerce
Rudolph Penner, The Urban Institute
John Foote, Kennedy School of Government, Harvard University
Sponsored by Committee on Taxation and Finance
Monday, January 23, 2006, 10:15am-12:00pm, Hilton, International East
As interest in transportation public-private partnerships continues to grow, understanding and valuing the role of equity in these projects is becoming increasingly important. This panel will provide practitioners as well as newcomers to the topic a perspective on the current issues relating to equity. Panel members will address how equity has been valued in past U.S. transportation PPPs, how private firms approach equity investments, the potential role of equity when U.S. public agencies are direct financial partners, and how equity is treated as an element of PPP bidding and in concession contracts.
Valuing Equity from the Perspective of a Private Partner (P06-0712)
Bernard Carroll, Macquarie Securities, Inc.
Methods to Establish Appropriate Equity Returns (P06-0717)
Sasha Page, Infrastructure Management Group, Inc.
Equity Valuation Considerations in PPP Contracts (P06-0718)
Geoffrey S. Yarema, Nossaman Guthner Knox Elliott LLP
Mixing Equity with Taxable and Tax-Exempt Debt (P06-0719)
Raymond DiPrinzio, CIFG Services, Inc.
Viewing Equity from a State's Perspective (P06-1182)
Deborah Brown, Virginia Department of Transportation
Michael F. Lawrence, Jack Faucett Associates, Inc., presiding
Sponsored by Committee on Taxation and Finance; Committee on Transportation Economics; Committee on Congestion Pricing
Monday, January 23, 2006, 1:30pm- 3:15pm, Hilton, International East
Substantial changes in the tax and finance structure of highways over the past decade may have greatly altered the equity relationship in user fees. Federal versus state funds, local option taxes, sales taxes, tolls, debt finance, and other structure changes should be considered. This session explores the current state of knowledge in highway user equity at the federal and state levels, the impact of new finance mechanisms on user groups, and flaws in the current rate structure.
Defining Our Terms: Efficiency and Equity (P06-0702)
Michael F. Lawrence, Jack Faucett Associates, Inc.
Shift to Local Taxes for Transportation Funding: Less Efficiency and Less Equity (P06-0788)
Martin Wachs, University of California, Berkeley
Improving Equity with Sensible Transportation Finance (P06-0790)
Will Kempton, California Department of Transportation
Equity Considerations in State Highway Finance (P06-0791)
Carl Batten, ECONorthwest
Randall Johnston Pozdena, ECONorthwest
John Merriss, Oregon Department of Transportation
Developing Equitable Transportation Funding Model (P06-0792)
John V. Wells, U.S. Department of Transportation
Christopher R. Mann, Southeast Michigan Council of Governments, presiding
Sponsored by Committee on Taxation and Finance
Monday, January 23, 2006, 2:30pm- 5:00pm, Hilton, International Center
The Discount Rate in Life-Cycle Cost Analysis of Transportation Projects (06-2662)
Dima Jawad, Council for Development and Reconstruction, Lebanon
Kaan Ozbay, Rutgers University
Issues in Estimating State Motor Fuel Tax Evasion (06-1459)
Anthony M. Rufolo, Portland State University
Patrick J Balducci, Battelle Memorial Institue
Mark Weimar, Battelle Memorial Institute
Potential Gains from More Efficient Spending on Texas Highways (06-2991)
David M. Luskin, University of Texas, Austin
Erin Mallard, University of Texas, Austin
Likelihood of Occurrence, Magnitude, and Rate of Cost Discrepancies in Highway Contracts (06-2447)
Konstantina Gkritza, Purdue University
Samuel Labi, Purdue University
J. Richard Capka, Federal Highway Administration, presiding
Sponsored by Committee on Taxation and Finance
Monday, January 23, 2006, 3:45pm- 5:30pm, Hilton, International East
As highway funding continues to be stretched, more public- and private-sector entities are exploring opportunities for public-private partnerships (PPPs) to produce the maximum value for the traveling public. They are finding that implementing a PPP requires knowledge and skills in new areas such as project finance, economic analysis, and risk factors. These new dynamics also need to be distilled and communicated effectively to the public to ensure that confidence is maintained. Come listen and talk to some of the pioneers. The Chicago Skyway, Dulles Greenway, and the Trans Texas Corridor are a few of the high-profile projects that will be explored during this session.
Roundtable Discussion (P06-0749)
Mike Krusee, Texas House of Representatives
Barbara Wilson Reese, Virginia Department of Transportation
Amadeo Saenz , Texas Department of Transportation
Mark Florian, Goldman Sachs & Company
Trent Vichie, Macquarie Bank
William D. Ankner, Missouri Transportation Institute, presiding
Sponsored by Committee on Taxation and Finance
Tuesday, January 24, 2006, 7:30pm- 9:30pm, Hilton,
Thoroughbred
Financing of Transport Infrastructure: Spanish Experience (06-0244)
Samuel Carpintero, Universidad Politécnica de Madrid,
Spain
Minimum Income Guarantee in Transportation Infrastructure Concessions in Chile (06-0526)
Jose Manuel Vassallo, Universidad Politécnica de Madrid,Spain
Antonio Sanchez Solino, Universidad Politécnica de Madrid, Spain
A New Financing Approach for Transportation Infrastructure Expansion (06-1300)
Patrick T. DeCorla-Souza, Federal Highway Administration
Public-Private Partnerships in North Texas: Challenges and Strategies (06-2906)
Nabeel Khwaja, University of Texas, Austin
Robert Brown, Texas Department of Transportaion
Patrick Jones, International Bridge, Tunnel, and Turnpike Association, presiding
Sponsored by Committee on Congestion Pricing; Committee on Taxation and Finance; Committee on Transportation Economics
Monday, January 23, 2006, 8:00am- 9:45am, Hilton, Jefferson East
Interest in public-private partnerships and tolling is growing significantly as a promising means to accelerate highway development and enhance transportation system efficiency. Some see promise in tolling and PPPs for financing improved public transportation, as well as mitigation of adverse environmental and community impacts. Others are concerned that PPPs may be used to weaken environmental and labor protections, and reduce the role of local officials and the public in transportation decision-making. This session will explore diverse perspectives on new toll roads developed through PPPs, seeking to clarify points of agreement and divergence. Are there approaches to PPPs and tolling that might deliver value for all transportation stakeholders? How can these best be advanced?
PPP Toll Roads: Achieving or Defeating Environmental and Community Protections? (P06-0180)
Michael A. Replogle, Environmental Defense
PPP Toll Roads and the Environment: Allies, not Enemies (P06-0181)
Robert W. Poole, Reason Foundation
PPPs in Transportation: A Labor Perspective (P06-0182)
Jeffrey Rosenberg, Amalgamated Transit Union
The Private Sector Provides More Than Money: It Brings New Ideas (P06-0183)
Gary Groat, Fluor Enerprises, Inc.
Ginger Goodin, Texas Transportation Institute, presiding
Sponsored by Committee on High-Occupancy Vehicle Systems; Committee on Freeway Operations; Committee on Taxation and Finance; Committee on Bus Transit Systems
Monday, January 23, 2006, 3:45pm- 5:30pm, Marriott, Balcony D
Sponsored by Committee on Transportation Asset Management; Committee on Taxation and Finance
Wednesday, January 25, 2006, 2:30pm- 4:00pm, Hilton, Monroe West
A panel of specific matter experts has been formed to discuss recognized weaknesses in the current life cycle asset management reporting practices. Representatives of the Credit Market, government, and industry will present briefly their respective view of the weaknesses in the current reinvest, maintain, and life cycle reporting components of asset management. The panel will also describe what is needed in the life cycle asset management area to shift negative aspects of bond proposals into positive aspects and the need to the incorporate mainstream application interoperability movement into asset management.
