Honolulu rail officials explore public-private partnership options for project

Ernst & Young Infrastructure Advisors presented the findings of its public-private partnership viability analysis to the Honolulu rail project’s board of directors on Monday. The study, which was commissioned in December to study public-private options for the project, said a Design-Build-Finance-Operate-Maintain model “offers clear cost and schedule benefits, incentivizes long-term, high-quality system performance, and enhances opportunities for cost reduction and innovation.” “We are very excited about the prospect of using P-3 options to finish delivering this project’s MOS (minimum operable segment – to the Ala Moana Station) and to do so within our current budget,” Honolulu Authority for Rapid Transportation Executive Director Andrew Robbins said in a statement. “With the findings of the E&Y report, I am optimistic about our options moving forward.” Robbins said HART will share the findings with the members of the Honolulu City Council later this month. A March 2017 study by Hawaii impact investment firm Ulupono Initiative concluded that public-private-partnerships would be the key to lowering costs and speeding up delivery of the 20-mile elevated rail project. The report, titled “P3 Viability Assessment for the Honolulu Rail Transit Project,” concluded public-private partnerships could also provide better budget predictability for the completion of the downtown rail segment as well as the transit hub at Pearl Highlands. The report evaluated a number of delivery models, including a design-build-finance model where private investors would be paid only when work is complete.       Source: bizjournals