Truck toll lanes proposal filed for I-285/I-20 Atlanta

Blue is the GS/McGW/PBSJ proposal, brown is Bechtel and green covers other possible extensions

A Goldman Sachs/McGuireWoods/PBSJ team filed a proposal this morning with Georgia DOT to develop truck only toll lanes (TOTLs) for a northwestern segment of I-285, the perimeter highway, and west on I-20, in the Atlanta area - for a total of 24km (15mi). They would complement TOTLs being negotiated by Bechtel for I-75 from the perimeter highway northwest - another 24km (15mi) project.

The I-285 segment would be 2x2 TOTLs, and the I-20 segment 2x1 TOTLs for a total of 45 lane-miles (72 lane-km).

They propose opening their 15mi simultaneously with the Bechtel 15mi.

Only an Executive-Summary of the GS/McGW/PBSJ proposal is available.

Key passages include: "Our team proposes a public-private partnership with

Georgia DOT that essentially privatizes the delivery of constructed TOT lanes in the northwest quadrant of I-285 with minimal assistance from the Department. We propose to provide all services to fully plan, permit, finance, design and implement the project. We will act as an agent and work through Georgia DOT to coordinate with other state and federal agencies."

Feasibility study

The proposal promises a feasibility study early in the process "to determine the extent of anticipated public funding for the project." (Surely the feasibility study determines the extent of investor funding likely to be available? Public funding is determined by political support and competing uses for budgetary-$s. Typo? TRnews)

Range of contract deals

The document continues: "We anticipate considering a full range of financing options for the project, ranging from a traditional tax exempt financing to a long-term concession. We anticipate that this project (like other PPIs) may not be 100% fully funded through toll revenues. Some blend of state or federal funding mechanisms or a concession agreement may be necessary or practical for a successful project."

They say the project should be fully developed before a decision is made by the state on how to proceed - whether by the state toll authority doing a bond financing or by concession:

"Our approach to this PPI is to fully develop the project through planning, permitting, design, financing and legal structuring to a point where the State can make the best decision on how to proceed with construction and implementation."

They propose that decision be mid-2009.

The proposers note that what they call the "western wall" of I-285 is the major north-south trucking route in the region and the northwest segment carries about 20k trucks daily, making it a logical early project. 70% of trucks coming south on I-75 turn at I-285 to go west and south toward I-20 (counterclockwise, or outerlooping) They propose to extend truck lanes out west along I-20 to Thornton Rd - an area of major trucking activity.

Team wants project development work only

The "bid package" will cover NEPA (environmental permitting) documents, costing plans, an investment grade traffic and revenue study, and a plan of finance. The proposing team say they deliberately excluded a contractor and concessionaire partner from their team because they want to do only project development.

They propose a concessionaire or design-build contractor be selected by competitive bid in the second half of 2009. They would work on final design of the project and act as the state's project managers during a 3.5 year construction period.

Mid-2014 is the target for opening the TOTLs. TOLLROADSnews 2006-05-18