Innovation Capture through the Alternative Technical Concept Process in PPPs in Texas: A Tool for Financial Viability

摘要

The Texas Department of Transportation (TxDOT) has effectively implemented in the last years processes of alternative technical concepts (ATCs) and industry review innovation, as part of the procurement of its comprehensive development agreement (CDA), or public-private partnership (PPP) projects. As proposer and private developer to a number of these projects, the team of Cintra and Ferrovial Agroman have participated vigorously in the process, resulting in substantial improvements in the financial viability of a number of projects. This paper presents several examples of innovation through ATCs or alternatives suggested through the industry review, and successfully implemented in projects underway or recently completed. These include examples where the initial construction cost was reduced, as well as others where project connectivity and therefore capacity to generate toll revenue was improved to more than offset the extra construction cost. Based on this experience, ways are suggested which, in the view of the authors, can facilitate the ATC and industry review process innovation capture.