Although some analysts warn that PPPs can diminish public control over public assets (see Loss of Public Control and Flexibility on page 11), others assert that PPPs actually enhance public control over, and accountability for, transportation infrastructure. In a PPP, the contract details the many responsibilities and performance expectations the public agency requires of the private entity, including penalties, incentives, and default and termination provisions, as well as limits on tolls, fees or rates of return. Thus, by specifying the desired performance standards in the PPP contract and holding the private entity financially accountable for meeting them, it is argued, the public sector can potentially enhance its control over the project's outcomes.44

King Coal Highway, West Virginia (Special Negotiated Agreement). Some construction work for this 90-mile, four-lane highway is being done by local mining companies as they extract coal nearby. (Photo: FHWA)