Edmonton’s Anthony Henday Drive Unique Challenges

1. Edmonton’s Anthony Henday DriveUnique Challenges Saskatchewan P3 Summit 2014 Regina, Saskatchewan September 9, 2014

2. Alberta’s Ring Roads • Planned in mid-1960’s around Alberta’s two major cities • Began purchasing land in late 1960’s and early 1970’s • Freeway standard roadway

3. Project Delivery Mechanisms • Traditional Design-Bid-Build • Design-Build • Design-Build-Finance-Operate • also known as Public Private Partnerships (P3)

4. Edmonton Ring RoadCurrent Status • 90% open to traffic • Design and construction started in 2000 • 80 km total length • Fully complete in fall 2016 • $4.3 billion invested to date

5. Edmonton Ring Road

6. Edmonton Ring RoadDelivery Time Frames • Anthony Henday Southwest – 12 years (Design-Bid-Build) • Anthony Henday Southeast – 3 years (P3) • Anthony Henday Northwest – 3.5 years (P3) • Anthony Henday Northeast – 4.5 years (P3)

7. Calgary Ring RoadCurrent Status • 70% open to traffic • Design and construction started in 2003 • 100 km total length • $1.9 billion invested to date • Southwest segment remains to be completed

8. Calgary Ring Road

9. Calgary Ring RoadDelivery Time Frames • Stoney Trail Northwest – 12 years (Design-Bid-Build) • Stoney Trail Northeast – 3 years (P3) • Stoney Trail Southeast – 3.5 years (P3)

10. Public Private Partnership Projects

11. Alberta P3 Philosophy • P3 projects must demonstrate value for money • Risk transferred to the party best able to manage it • Agreement terms and technical requirements set before bids are submitted • No negotiation after submission of bids

12. Risk Allocation - Construction

13. Risk Allocation - Operations

14. Challenges:Quality Management • Implementation of contractor’s quality plan • staff with appropriate experience and qualifications • clearly defined roles for quality control and quality assurance • authority for quality management team to affect construction operations • contractor’s ability to make adjustments as required • Design and construction issues • meeting technical requirements • addressing non-conformance • rejection versus modification • garnering support from consortium level

15. Challenges:Fast-Track Design-Build • Ensure it is designed before it is built • Everything is on fast-track schedule • Designs are completed and submitted in sub-elements

16. Challenges:Regulatory Approvals For River Crossing • Completed some preliminary engineering for river crossings during Functional Planning Study • Met with Department of Fisheries and Oceans and Transport Canada well in advance of issuing RFQ • Incorporated regulatory review and input during RFP process • Expedited contractor’s ability to obtain regulatory approval for construction

17. Challenges:Utilities within Project Limits • Completed Hydrovac exposure of all underground utilities (approximately 500) and made information available to proponents during RFP phase • Existing utility agreements made available to proponents • Contractor required to coordinate relocations with their work • Getting utility crossing agreement with several different companies for construction phase • Shared risk for cost of utility relocations • up to $120 million borne by contractor • from $120 to $160 million shared 50/50 with department • beyond $160 million shared 25/75 with department

18. Challenges:Agreements with Railway Companies • Initiated discussions with CP Rail and CN Rail well in advance of issuing RFQ • Agreement reached on cost apportionment • Objective to have railway agreements signed and available to proponents during RFP phase

19. Challenges:Traffic Management During Construction • Projects include reconstruction of existing freeway and interchanges • Significant traffic disruptions occur over full duration of project • RFP included requirements to submit construction management plan along with staging analysis

20. Challenges:Public Communications • Multiple stakeholders • Public expectations • open house/information sessions • traffic advisories • addressing complaints

22. Thank you