City of Ottawa P3 Policy - The Canadian Council for Public-Private ...

More documents

Recommendations

Info

FINANCE AND ECONOMICDEVELOPMENT COMMITTEEREPORT 3110 APRIL 2013221 COMITÉ DES FINANCES ET DUDÉVELOPPEMENT ÉCONOMIQUERAPPORT 31LE 10 AVRIL 2013Public-Private Partnership (P3): A contractual agreement between a publicauthority and a private entity for the provision of infrastructure and/or services inwhich:i. The private sector participant assumes the responsibility for financingpart or all of the project; and/orii. The City seeks to transfer risks that it would normally assume, basedon the private sector participant’s ability to better manage those risks;and/oriii. The arrangement extends beyond the initial capital construction of theproject.Public Sector Comparator (PSC): The hypothetical, risk-adjusted net presentvalue cost of a project as if it were to be delivered by the public sector. Itincludes an estimate of the total cost of the project over its life including costs ofdesign, construction, maintenance and facilities management services andadjustments for risk, insurance, and taxation. The traditional PSC model is basedon construction that is done on a Design Bid Build (DBB) basis, which is thetraditional method of procurement of the public sector for this type of project.Value for Money (VFM): An analysis in the context of a P3 project, refers to theprocess of developing and comparing the total project costs, expressed in dollarsmeasured at the same point in time, related to the estimated costs to the publicsector of delivering a project using traditional procurement processes (underwhich total estimated costs are known as the public sector comparator(PSC),and the estimated costs to the public sector of delivering the same project to theidentical specifications using the P3 approach. The difference between the PSCand the total estimated costs using the P3 approach is referred to as the VFM. Ifthe total estimated cost of using the P3 approach is less than the public sectorcomparator, there is positive value for money by procuring a project using a P3approach.Keyword SearchFairness commissionerP3Public sector comparatorValue for money
FINANCE AND ECONOMICDEVELOPMENT COMMITTEEREPORT 3110 APRIL 2013222 COMITÉ DES FINANCES ET DUDÉVELOPPEMENT ÉCONOMIQUERAPPORT 31LE 10 AVRIL 2013EnquiriesFor more information on this Policy, contact:ManagerStrategic Sourcing and Supply Chain ManagementSupply BranchFinance DepartmentCity Manager’s OfficeTel: 613-580-2424, ext. 25165Appendices• Public Private Partnership - Procedures• P3 Business Case Template
Page 1 and 2: FINANCE AND ECONOMICDEVELOPMENT COM
Page 3 and 4: FINANCE AND ECONOMICDEVELOPMENT COM
Page 5: FINANCE AND ECONOMICDEVELOPMENT COM

City of Ottawa P3 Policy - The Canadian Council for Public-Private ...

Create successful ePaper yourself

Delete template?

Save as template?