Tuesday, March 19, 2024
Hawai'i Free Press

Current Articles | Archives

Friday, February 26, 2016
Puerto Rico moves to privatize local ferry services
By Michael Hansen @ 4:46 AM :: 4945 Views :: Jones Act

Puerto Rico moves to privatize local ferry services

by Michael Hansen, Hawaii Shippers Council, February 25, 2016

Puerto Rico Public-Private Partnerships Authority announced in a press release issued on February 24, 2016, their intention to partially privatize the Commonwealth's government –owned and -operated intrastate ferry services.

Towards that end, the Authority intends to release a Request for Qualifications and Proposals (RFQP) by the end of this week (i.e., the week ending Sunday, February 28, 2016).

This is a continuation of the Commonwealth’s Public-Private Partnership – or “P3” – policy enacted into law by the Puerto Rico Legislative Assembly in 2009.

There are two separate local ferry services involved:

METRO SERVICE – operated by the Maritime Transportation Authority for Puerto Rico and the Municipal Islands (MTA) to islands within San Juan Bay

ISLAND SERVICE – operated by the Puerto Rico Integrated Transit Authority (PRITA) to the nearby Commonwealth islands of Vieques and Culbebra

The authority said that the intent of the RFQP is to select a private sector operator for the government-owned ferry vessels and maintenance base located on Isla Grande, San Juan Harbor.

This move by the Commonwealth government to partially privatize their government-owned local ferry follows a trend in Europe where governments are also privatizing ferry service through tender offers and other mechanisms.

Quote:

The Puerto Rico Public-Private Partnerships Authority (the “Authority”) in connection with the Maritime Transportation Authority for Puerto Rico and the Municipal Islands (“MTA”) and the Puerto Rico Integrated Transit Authority (“PRITA”) has started the process to develop a Public-Private Partnership (“P3”) as a Minor Scale Project, for the operation and maintenance of the public maritime transportation services currently provided by MTA and PRITA within the San Juan Bay (“Metro Service”) and the Municipal Islands of Puerto Rico - Vieques and Culebra - (“Island Service”) and the operation of the maintenance base located in Isla Grande, San Juan (collectively known as the “Project”).

The Project goals established by the MTA and PRITA are to:

• improve the quality of customer service;

• increase ridership of the Metro and Island Service;

• identify and introduce efficiencies in MTA’s operations by leveraging the private sector’s ferry operations expertise; and

• increase revenues through improved ancillary services (i.e. food and beverages), not related to ticket fares, in order to reduce net public subsidies.

The Authority is the sole entity responsible for the implementation of P3s in Puerto Rico, while MTA and PRITA are public corporations responsible for executing innovative infrastructure and transit plans, programs and projects that effectively facilitate the movement of people and goods, while protecting the natural resources of Puerto Rico.

To that end, the Authority commissioned and completed the Desirability and Convenience Study required by Art. 7(b) of Act No. 29 of 2009, as amended. The Desirability and Convenience Study recommended that the Authority pursue a P3 to operate and maintain the Project through an operations and maintenance contract (the “O&M Contract”). This O&M Contract would likely be of a medium term, 5 to 10 years, with a private entity (the “Operator”) selected through a competitive procurement process that will be compliant with the Federal Transit Administration (“FTA”) guidelines.

It is anticipated that risks related to the operation and maintenance of the ferry service will be transferred to an Operator, with compensation to the Operator sourced from existing public appropriations, applicable federal funding and Project revenues.

A Request for Qualifications and Proposals (“RFQP”) will be released this week.

Links

TEXT "follow HawaiiFreePress" to 40404

Register to Vote

2aHawaii

808 Silent Majority

Aloha Pregnancy Care Center

AntiPlanner

Antonio Gramsci Reading List

A Place for Women in Waipio

Ballotpedia Hawaii

Broken Trust

Build More Hawaiian Homes Working Group

Christian Homeschoolers of Hawaii

Cliff Slater's Second Opinion

DVids Hawaii

FIRE

Fix Oahu!

Frontline: The Fixers

Genetic Literacy Project

Grassroot Institute

Habele.org

Hawaii Aquarium Fish Report

Hawaii Aviation Preservation Society

Hawaii Catholic TV

Hawaii Christian Coalition

Hawaii Cigar Association

Hawaii ConCon Info

Hawaii Debt Clock

Hawaii Defense Foundation

Hawaii Family Forum

Hawaii Farmers and Ranchers United

Hawaii Farmer's Daughter

Hawaii Federalist Society

Hawaii Federation of Republican Women

Hawaii History Blog

Hawaii Homeschool Association

Hawaii Jihadi Trial

Hawaii Legal News

Hawaii Legal Short-Term Rental Alliance

Hawaii Matters

Hawaii's Partnership for Appropriate & Compassionate Care

Hawaii Public Charter School Network

Hawaii Rifle Association

Hawaii Shippers Council

Hawaii Smokers Alliance

Hawaii State Data Lab

Hawaii Together

HIEC.Coop

HiFiCo

Hiram Fong Papers

Homeschool Legal Defense Hawaii

Honolulu Moms for Liberty

Honolulu Navy League

Honolulu Traffic

House Minority Blog

Imua TMT

Inouye-Kwock, NYT 1992

Inside the Nature Conservancy

Inverse Condemnation

Investigative Project on Terrorism

July 4 in Hawaii

Kakaako Cares

Keep Hawaii's Heroes

Land and Power in Hawaii

Legislative Committee Analysis Tool

Lessons in Firearm Education

Lingle Years

Managed Care Matters -- Hawaii

Malama Pregnancy Center of Maui

MentalIllnessPolicy.org

Military Home Educators' Network Oahu

Missile Defense Advocacy

MIS Veterans Hawaii

NAMI Hawaii

Natatorium.org

National Christian Foundation Hawaii

National Parents Org Hawaii

NFIB Hawaii News

No GMO Means No Aloha

Not Dead Yet, Hawaii

NRA-ILA Hawaii

Oahu Alternative Transport

Obookiah

OHA Lies

Opt Out Today

OurFutureHawaii.com

Patients Rights Council Hawaii

PEACE Hawaii

People vs Machine

Practical Policy Institute of Hawaii

Pritchett Cartoons

Pro-GMO Hawaii

P.U.E.O.

RailRipoff.com

Rental by Owner Awareness Assn

ReRoute the Rail

Research Institute for Hawaii USA

Rick Hamada Show

RJ Rummel

Robotics Organizing Committee

School Choice in Hawaii

SenatorFong.com

Sink the Jones Act

Statehood for Guam

Talking Tax

Tax Foundation of Hawaii

The Real Hanabusa

Time Out Honolulu

Trustee Akina KWO Columns

UCC Truths

US Tax Foundation Hawaii Info

VAREP Honolulu

Waagey.org

West Maui Taxpayers Association

What Natalie Thinks

Whole Life Hawaii

Yes2TMT