Dec 31st 2014 | Posted in Public-Private Partnerships (P3), State, Transportation by Government Contracting Pipeline

West Virginia Division of Highways logo

West Virginia Division of Highways logo

It’s a first for West Virginia! The state recently awarded its first public-private partnership (P3) contract. The contract was awarded to Bizzack Construction in Kentucky and calls for construction of a three-mile section of the Coalfields Expressway in Wyoming County. The price tag on the project is $45.2 million. Construction on the project is expected to begin in the spring of 2015 with an anticipated completion date in the fall of 2018.

West Virginia Transportation Secretary Paul Mattox (pictured) said the bid from Bizzack was good news for the state. It was $18 million lower that the state’s estimated cost of $63 million.paul_mattox

The highway will be designed and built by Bizzack and will link the West Virginia Turnpike and connect the city of Mullens to existing sections already under construction.

Because a P3 method of delivery was used, the state will be able to spread out its payments throughout the life of the project. And, Bizzack will benefit from having a consistent source of revenue throughout each year. That helps the state, said Mattox, because officials know what will have to be budgeted to pay for P3 projects. “It’s a set amount each and every month for the duration of the project,” he said.