The Public-Private Partnerships Transparency and Accountability Act

What is a P3?

P3 agreements outline financing and project requirements for public infrastructure projects.

Under the agreement, typically the private sector guides and manages the project because of their expertise in building a particular type of project. The public sector owns the asset being built, but may not operate or maintain it. 

What are some of the new requirements under the Public-Private Partnerships Transparency and Accountability Act?

The Public-Private Partnerships Transparency and Accountability Act outlines rules for public sector organizations that take part in P3 agreements.

The act does not define what projects are suitable for a P3 agreement. Instead, these rules outline how information is prepared and released about decision-making and how the project is completed. This improves the transparency and accountability of the decision-making process.

New requirements under the act for public sector organizations include:

• Undertaking a preliminary analysis, outlining the risks, costs and benefits of using a P3 agreement. 
• Holding public consultations (including a public meeting) and releasing a report on the public proceedings.
• Appointing a fairness monitor to oversee purchasing processes and releasing a contract summary.
• Reporting to the provincial auditor general after construction is complete. 

The act and the act's regulation outline the specific requirements.

• P3 Canada offers several resources, including a business case development guide that outlines a step-by-step process to determine if a P3 agreement is appropriate and how to undertake a value-for-money analysis.
  
  
• Infrastructure Alberta has various technical documents, including a P3 Assessment Framework and Procurement Guide.
  
  
• The Canadian Council for Public Private Partnerships has a number of publications including a P3 Guide for Municipalities and various case studies.
  
  
• The United States National Council for Public Private Partnerships has various resources, including a number of American P3 case studies.
  
  
• The Canadian Union of Public Employees has published a guide for municipalities considering P3 agreements.
  
  
• Partnerships British Columbia also has resource documents available about infrastructure procurement disclosure and analysis.