BRADENTON, Fla. - The Florida Department of Transportation on Monday began seeking
The state road agency expects to enter into a concession agreement through a public-private partnership to lease the road, which is part of Interstate 75, in return for an upfront payment and a portion of excess toll revenues over the life of the concession agreement, which will be between 50 and 75 years.
It is Florida's first attempt to lease an existing toll facility, but FDOT officials have said the move is prompted by the need to find new sources of revenue for new and back-logged transportation projects.
"FDOT is seeking a private partner that is both experienced in operating and maintaining large toll roads under a concession approach and that is willing to share risks," states the request for qualifications released Monday. "The successful proposer must have proven ability to arrange and close financing on favorable terms, as well as demonstrated skill in managing and operating toll roads on behalf of public sector owners."
FDOT expects to select a short list of firms qualified to bid on the project by June 30. The agency will seek proposals for leasing the project in July and hopes to select a firm with which to negotiate a contract by October.
The department's move to proceed with leasing the project follows the end of the annual legislative session last Friday, in which lawmakers failed to pass an omnibus transportation bill that could have stalled the P3 project.
Monetizing the toll road through a P3 is even more important now as FDOT searches for new sources of revenue, particularly since the fiscal 2009 budget does not authorize any new debt for transportation projects. The Legislature has authorized debt for transportation projects in each of the last eight years.
The 60-day legislative session ended last Friday with the Senate voting 32 to 8 for a $66.2 billion budget for fiscal year 2009, which begins July 1. The House voted 75 to 44 for the budget on Thursday.
In his budget, Gov. Charlie Crist had proposed authorizing $727 million of bonds for various transportation programs. After the budget was approved, Crist said the Legislature faced a challenging economy and less revenue but still managed to pass a budget that did not raise taxes.
Crist did not indicate that he had any immediate problems with the spending plan, but he has line-item veto power to make cuts and the budget has not yet made it to his desk for review.
Crist has encouraged FDOT to use innovative P3s to speed up some transportation projects.
