Due to the nature of PPP transactions, they involve a variety of government agencies, other than the Procuring Authority who will also play a role. Some of those other stakeholders can include:
A high-profile project will be of broader interest to the government, as it has the potential to affect the reputation of the administration in power at the time.
The Procuring Authority should carefully consider what information needs to be passed on to other government departments, such as a ministry of finance or other regulators. As a range of reports will be produced during both the construction and operations phases, there needs to be an assessment made of what exactly the Procuring Authority should report to the relevant government agency. Where there are significant changes made to a project (e.g. significant scope changes) approval is likely to be needed from a department such as the ministry of finance. This emphasises how important it is to consider what information needs to be shared with these departments. Scope changes are detailed in Section 3.5 (Claims).
It is also important for the Procuring Authority to assist these bodies by providing relevant project data to inform future infrastructure development. The combination of information from multiple sources is part of how these organisations, network groups and sector bodies are able to add value and improve the use of PPPs in that particular region. A Procuring Authority should maintain good relationships with these bodies to allow it to have continuing access to such resources. All markets, irrespective of whether they are mature or developing, have scope to improve significantly the strategy and the approach to understanding the value of data, including collecting and sharing it and making smart and effective use of it.
Example – Multiple government agencies
On the Port of Miami Tunnel project in the USA, funds were provided by federal, state, county and city sources, with the City of Miami also granting land access. The promise of ongoing funding to the Procuring Authority is particularly important given the decision not to impose tolls, as this increased the amount of money required from government. The Procuring Authority executed a funding agreement with the city and county, but these authorities had no direct oversight over the project. To assist in the management of the project, weekly meetings were held which included the Procuring Authority, the Project Company and the construction contractor, as well as representatives from city and county governments.
For more information, see the Port of Miami Tunnel Case Study.