Legislation should promote fairness, clarity and transparency in the procurement process.
The decision to deliver a project as a PPP should be based on careful analysis of its role in an overall transportation program, its possible effects on the public interest, its value and financial risks under different circumstances, and other elements of a comprehensive project analysis (see Principles 3, 6, 7 and 8). These initial investigations will guide whether a state pursues a PPP and, if so, its structure and parameters. The deal also may be informed by proposals received during the procurement stage, which includes bidding and negotiations.
Bidding and negotiations are conducted according to each state's procurement rules, which define procedures for bid requests, submission, evaluation, review and how to award a winner.213 Legislators can help protect the public interest and support executive decision making by addressing procurement issues in PPP legislation. Many enabling statutes have followed the model established by Virginia's 1995 Public-Private Transportation Act and provided such guidance.214 Key concerns are the procurement approach, evaluation criteria, review process, fees and payments, and transparency and confidentiality. Legislation also can address unsolicited proposals (see Principle 6).