A simple, practical guide to municipal PPP, written with the particular needs of municipal governments and staff in mind.
Guidance Note Contents
Although a growing number of local governments are turning to PPP to meet their service delivery needs, the experience of PPPs at local levels and with smaller municipal projects has received less attention than larger, national PPPs. To help equip local governments with the tools needed to effectively utilize PPP, the Guidance Note provides municipalities with a rigorous procedural framework and a set of practical tools to enable them to identify promising projects and prepare and implement those projects well, all on a programmatic basis to reduce costs and improve efficiency.
The Guidance Note proposes a ‘light touch’ process, to provide enough control for the municipality , without burdening the municipality or the project with significant bureaucratic processes. While the Guidance Note covers the essential aspects of municipal PPP for practitioners, a detailed discussion of key issues is provided in 20 modules to allow users to access more information on specific topics as and when needed.
Addresses the cross-cutting, thematic issues practitioners need to know when pursuing PPP, including the definition of municipal PPP; why local governments choose PPP; the risks, benefits and challenges that arise in the municipal PPP context; and dispelling some common myths about PPP.
Describes the process for preparing a PPP project to bring to market, including appointing a project manager, developing a feasibility study, securing a transaction adviser, conducting market consultations, and approving a PPP project for tender.
Describes the steps for procuring a private partner to implement a PPP project, including preparing tender documents, selecting and executing an appropriate procurement option, and approval and financial close, as well as the unique concerns that arise with respect to unsolicited proposals.
Describes the roles and responsibilities of the municipality throughout the four sub-phases of PPP project implementation: (i) pre-construction; (ii) construction; (iii) operations; and (iv) handback, which differ from a municipality’s role in managing a conventional public procurement contract.