29 Organizations Sign Letter Urging Highway Bill Conferees to Maximize Public Private Partnerships

Organizations Urge Congress to Reject Anti-P3 Provision; Support State Authority and Flexibility to Utilize P3s. 


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Katie Bell

Washington, D.C. June 8, 2012 - A broad based coalition of 29 national and regional business, taxpayer and free market organizations has urged Congress to reject a provision in the Highway Bill which would reduce levels of highway formula funding for states that utilize public-private partnerships (P3s). With no correlating provision in the House bill, the conferees are reconciling whether to include or reject the Bingaman provision. s (NSPS)

In a letter to the leadership of the Senate Committee on the Environment and Public Works and to the House Transportation and Infrastructure Committee, the groups recommend that Congress should be encouraging, incentivizing and removing barriers to such innovative financing arrangements by the States. It urges the House-Senate conference committee not to indulge its final bill a Senate provision by Sen. Jeff Bingman (D-NM).

“It is well documented that America’s infrastructure receives a grade of ‘D’ in the report card of the American Society of Civil Engineers (ASCE), highways earn a grade of D-, and the estimated 5-year investment need is $2.2 trillion.  With a $1.3 trillion annual deficit and a $15 trillion national debt, we cannot afford to take the P3, private financing option off the table,” said John Palatiello, President of the  Business Coalition for Fair Competition (BCFC).

P3s reduce long-term public costs and the risk associated with construction and financing. In the short-term, P3s inject immediate funds into state treasuries.

Palatiello concluded, “Provisions that prohibit, impede, interfere, obstruct, encumber, or delay the use of P3s, or other similar options to utilize private financing to help fund public transportation projects and/or improvements, should be kept out of the Highway Bill Reauthorization.”

Organizations signing the letter were: American Association for Laboratory Accreditation (A2LA); American Subcontractors Association (ASA); Americans for Tax Reform (ATR); Associated Builders and Contractors (ABC); Associated Equipment Distributors (AED); Associated General Contractors (AGC) of America; Business Coalition for Fair Competition (BCFC); Competitive Enterprise Institute (CEI); Construction Industry Round Table (CIRT); Cost of Government Center (CGC); Design Professionals Coalition (DPC); Fairness in Procurement Alliance (FPA); Helicopter Association International (HAI); LDB & Assoc.; Management Analysis, Incorporated; Management Association for Private Photogrammetric Surveyors (MAPPS); Minority Business RoundTable (MBRT); National Air Transportation Association (NATA); National Electrical Contractors Association (NECA); National Ready Mixed Concrete Association (NRMCA); National Society of Professional Surveyors (NSPS); Public Service Research Council (PSRC); Reason Foundation; Small Business & Entrepreneurship Council (SBEC); The Frederick Douglass Foundation (TFDF); U.S. Chamber of Commerce; Umbrella Initiative; Virginia Small Business Partnership (VSBP); and Women Construction Owners & Executives (WCOE), USA.

About BCFC:

The Business Coalition for Fair Competition (BCFC) is a national coalition of businesses, associations, taxpayer organizations and think tanks that are committed to reducing all forms of unfair government created, sponsored and provided competition with the private sector. BCFC believes the free enterprise system is the most productive and efficient provider of goods and services and strongly supports the Federal government utilizing the private sector for commercially available products and services to the maximum extent possible.


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