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Saskatchewan P3 Summit 2014 Regina, SK Achieving better value, timeliness and accountability through public-private partnerships September 9, 2014 John McBride, CEO, PPP Canada Slide 2 2 PPP Canada: Leading the Governments P3 Agenda Crown Corporation reporting through the Minister of Finance Operational since 2009 Accomplished private sector Board Focal point for developing P3 expertise Slide 3 To improve the delivery of public infrastructure by achieving better value, timeliness and accountability to taxpayers, through P3s. To deliver more P3s by leveraging incentives, demonstrating success, and providing expertise. To deliver better P3s by promoting P3 best-practices and capacity- building. Our Mandate www.p3canada.ca3 Slide 4 4 P3s require new and specialized skills within the public sector The federal government is a significant player in public infrastructure development Why PPP Canada? Tasked with: Being a source of expertise Identifying federal P3 projects and advising on their execution Leveraging federal funding of provincial and municipal infrastructure projects to promote effective P3s, including the dedicated P3 Canada Fund Slide 5 A Source of Expertise 5 Slide 6 6 All projects with a capital cost over $100 million submitted for federal funding are subject to a P3 Screen If initial P3 suitability assessment indicates P3 potential, a complete Procurement Options Analysis (POA) is required This is consistent with existing practices in many provinces The federal government recognizes established practices and methodologies employed by experienced provinces PPP Canada administers the P3 Screen and provide advice to the Department of Infrastructure and Communities Working with Provinces, Territories and Municipalities: New P3 Screen for Building Canada Fund Slide 7 P3 Canada Fund To stimulate the adoption of the P3 procurement by Provinces, Territories, Municipalities and First Nations Supports public infrastructure in 15 categories Projects that build the P3 market $1.2 Billion fund (renewed for an additional 5 years starting in 2014) P3 viability Readiness P3 Models Applicant capacity Merit Based Program Maximum contribution of 25% of eligible costs Range of potential instruments including non-repayable contributions, repayable contributions, loans and loan guarantees 50% Project Development Funding Available Support www.p3canada.ca7 Slide 8 Local roads Shortline rail Short Sea Shipping Regional and Local Airports Water and Wastewater Public Transit National Highway System Solid Waste Management 8 Further breakdown of eligible categories is provided in the P3 Canada Fund: Application Guide Priority Infrastructure Categories Slide 9 9 Over $6 billion in capital investment 5:1 leverage Have committed funding to over 20 projects 16 jurisdictions employing P3 for the first time 58% of the $1.2 billion committed to 15 municipal projects Mix of small, medium and large projects 7 water/wastewater projects 7 public transit projects Working with Provinces, Territories and Municipalities: Results from Original $1.2 Billion from the P3 Canada Fund Slide 10 10 $1.2 billion over 5 year renewal of P3 Canada Fund announced in Budget 2013 Funding of up to 25% of eligible capital costs remains unchanged First investment round of renewed P3 Canada Fund was launched April 14 th Focus remains on: o Economic growth priorities: transportation, water/wastewater, solid waste disposal o Maximum private sector participation: preferably Design-Build- Finance-Operate-Maintain, minimum Design-Build-Finance- Maintain o Building experience: new jurisdictions, new sectors, new approaches Project Development Funding available for up to 50% of upfront P3 project development costs Working with Provinces, Territories and Municipalities Renewed $1.2 billion P3 Canada Fund Slide 11 www.p3canada.ca11 M$ProjectStage 22.9Hamilton Biosolids Management Project (Hamilton, ON)Pre-procurement 58.5Regina Wastewater Treatment Plant (Regina, SK)Procurement 12.0Sorting and Waste Treatment Centre (MRC de la Haute Yamaska, QC)Procurement 42.9Saskatoon Transit Operations Centre and Snow Salt-Laden Decontamination Facility (Saskatoon, SK)Procurement 16.9Organics Biofuel Facility Project (Surrey, BC)Procurement 48.4Stoney CNG Bus Storage and Transit FacilityProcurement 66.0Saskatoon North Commuter Parkway (Saskatoon, SK)Procurement 57.3Safe Clean Drinking Water Program Saint John (Saint John, NB)Procurement 250.0Edmonton LRT (Edmonton, AB)Procurement 83.4Biosolids Energy Centre (Greater Victoria, BC)Procurement 5.8Barrie Transit Facility Project (Barrie, ON)Procurement 23.8Chief Peguis trail extension (Winnipeg, AB)Operations 3.8Lac La Biche Wastewater Treatment PlantOperations 11.0Biosolids Management Facility (Greater Sudbury, ON)Construction 7.0Lincoln Station Project (Coquitlam, BC)Construction P3 Canada Fund Municipal Investments Slide 12 www.p3canada.ca12 20 P3 projects entered into the procurement phase in 2013 7 of these projects were at the municipal level up from 1 in 2008 All of the projects were in municipalities employing the P3 model for the first time The Canadian Context Municipal P3s Slide 13 13 The Canadian Context Municipal P3s Increasing interest and adoption by Canadian municipalities as demonstrated through the P3 Canada Fund: 50% of applications under Round Five; and 79% of applications under Round Six PPP Canada development of tools and guides and workshops to assist municipalities in the screening and development of their P3 projects Economic Action Plan 2014 PPP Canada will undertake additional efforts to provide smaller municipalities with information, guidance and tools to support P3s and promote the bundling of projects.