Public-private partnerships have been discussed as a possible tool for county governments facing increasing school construction costs and short construction deadlines. At the same time, Maryland’s highly rated local governments often have the ability to raise capital at very low interest rates and develop long-term investments through building schools on their own.
In its third installment of its guide to financial literacy, Governing magazine has released a review of the risks and rewards of public private partnership from the government perspective.
Public-Private Partnerships (P3s) are now a permanent part of state and local governments’ service delivery toolkit and interest in them has a lot to do with financial necessity. P3s can help address spending gaps in infrastructure investments by, among other things, using private sector money to jump-start projects that might not happen otherwise. This guide focuses on P3 infrastructure projects, with emphasis on emerging applications for areas such as stormwater management, broadband and public buildings.
To understand what P3s are, how they work and when they’re right for the community, download the Guide to Financial Literacy Vol. 3: Understanding the Risks & Rewards of Public-Private Partnerships.