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Alternative Project Delivery

Alternative project delivery approaches – i.e., project procurement processes outside of the traditional design-bid-build approach most often used by municipal agencies – may provide benefits to utilities such as shorter capital project implementation timelines, risk transfer and access and incentives for private sector innovation. There is a wide array of such approaches, from design-build, to public-private-partnerships (P3s) of different forms, concessionary agreements and more.

The purpose of this discussion paper is to provide a starting place to talk about alternative project delivery, including P3s. This paper includes a definition of terms, as well as some considerations for utilities to deliberate when evaluating alternative project delivery arrangements. As described below, P3 arrangements (with or without a financial component) are forms of alternative project delivery, but not all alternative project delivery approaches are