Coalfields Is West Virginia's First P3

DALLAS - A three-mile section of the Coalfields Expressway will be the first project built under West Virginia's public-private partnership law adopted by the Legislature in 2013.

When completed, the Coalfields Expressway will include 65 miles of four-lane highway in West Virginia and another 50 miles in southwest Virginia. The West Virginia portion will replace more than 90 miles of two-lane mountain roads.

Federal funding for the Coalfields project will total $140 million. The state spent $40 million on the project before awarding the new contract. The first federal funding for the Coalfields project came in 1991 with a $50 million appropriation.

Total cost of the West Virginia portion of the highway project is estimated at more than $1 billion. The route through the state is mostly mountainous terrain, with sharp turns and steep grades, and it is flanked by numerous small communities.

"Continued construction of the Coalfields Expressway is a key part of our expansion and continued development of West Virginia's highway system," said Gov. Earl Ray Tomblin. "Not only will this expressway have a lasting effect and help expand West Virginia's economy, it will serve and improve the productivity of our roadways now and for years to come."

Transportation infrastructure is an engine for economic development, Tomlin said.

"The public-private partnership concept is a great example of how state government and the private sector can work together to improve the quality of life for our residents," he said.

Bizzack Construction received a $45.2 million contract to design and build the 2.8 mile segment of the highway from the Sophia exit on the West Virginia Turnpike to the town of Mullens.

The West Virginia Department of Transportation had estimated it would cost the state more than $63 million to design and build the road as a conventional project.

The road builder will also be able to sell any coal unearthed during the construction.

West Virginia transportation secretary Paul Mattox said the initial P3 contract will provide level monthly payments to the contractor rather than outlays for specific work, which can be uneven and make cash flow difficult to predict.

"The monthly payments allow us to know up front what we have to set aside to pay for these projects," he said. "It's a set amount each and every month for the duration of the project."

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Infrastructure Transportation industry West Virginia
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