Revitalizing Pennsylvania's infrastructure: local public-private partnerships as the key to bridging the gap with a case study for local public-private transportation partnerships

Bekrim Setiawan, Victoria Thornton and Ari Dwi Susanto
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Bekrim Setiawan: Pennsylvania State University
Victoria Thornton: Citizen Schools, New York, United States of America
Ari Dwi Susanto: Budget Analyst, Ministry of state Secretariat, Republic of Indonesia

International Journal of Research in Business and Social Science (2147-4478), 2023, vol. 12, issue 9, 381-391

Abstract: Pennsylvania's aging transportation infrastructure has long been a cause for concern, with bridges, highways, and other vital components approaching the end of their serviceable lifespans. The state's infrastructure, one of the nation's oldest, is in dire need of repair and replacement, particularly in the case of bridges, many of which are over 50 years old and in poor condition. However, the financial investment required for this task is substantial, posing challenges within the state's budget constraints. To address this infrastructure crisis, an amendment to Pennsylvania's existing legislation, Act 88, is proposed. This amendment would permit local governments to engage in Public-Private Transportation Partnerships (P3s), leveraging private sector financial resources and expertise. Such local government Transportation P3s have the potential to alleviate the state's infrastructure and financial woes. Currently, Act 88 prohibits municipal governments from participating in these partnerships, hindering the Commonwealth's ability to secure private funding and expertise when public resources are limited. This study aims to address the structural deficiencies in Pennsylvania's transportation infrastructure and its $2.2 billion financial deficit, which hampers repair and improvement efforts. The study employs a descriptive, multi-case analysis to investigate how an amendment to Act 88 could enable local municipalities to engage in P3 transportation projects. These partnerships could provide solutions to budgetary and funding challenges, particularly in the context of locally owned bridge repair and replacement projects. The selected cases are evaluated against various performance criteria, such as value, pricing, budgeting, public accountability, regulatory control, and capacity, offering a comprehensive assessment of the potential benefits of local government participation in P3 transportation projects. Key Words:Public-Private Partnerships, P3s, Transportation Partnerships, Infrastructure crisis, Bridges

Date: 2023
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