Location |
Denver Metro Area, Colorado |
Project Sponsor / Borrower |
Colorado High Performance Transportation Enterprise (HPTE) Plenary Roads Finco LP (Plenary) - the TIFIA Borrower |
Program Areas |
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Fiscal Year Approved |
Fiscal Year 2014 |
Mode |
Highway / Managed Lanes; Bus Rapid Transit |
Description |
U.S. 36 is a four-lane divided highway that connects the City of Boulder to Denver, Colorado at its intersection with I-25. The highway currently experiences significant congestion and has been targeted for improvements by the Colorado Department of Transportation (CDOT) since the late 1990s. The U.S. 36 Managed Lane Project Phase 2 is the second phase of approximately 15 miles of improvements between the two cities. It extends the 10-mile Phase 1 work five miles further northwest to Boulder and will include the following components:
Phase 2 is being delivered as a design, build, finance, operate, and manage (DBFOM) public-private partnership (P3). Pursuant to a competitive procurement process, HPTE selected Plenary Roads Denver Ltd. (PRD) in April 2013 as the concessionaire for Phase 2, completing improvements to the entire U.S. 36 corridor between Denver and Boulder. PRD will finance, design, and construct Phase 2, and operate and provide routine maintenance and life cycle maintenance on the Phase 1, Phase 2 and the existing I-25 Express Lanes under a 50-year agreement. PRD is an affiliate of Plenary Roads Finco, the TIFIA Borrower. On the Phase 1 Services Commencement Date, the concessionaire will commence the operations, maintenance, and collection of tolls on the Phase 1 managed lanes and the operations and maintenance of the Phase 1 general purpose lanes and thereafter will be entitled to receive all Phase 1 toll revenues. |
Cost |
$208.4 million ($170.2 million of Eligible Project Costs) 2 |
Funding Sources 3 |
Plenary Funding:
HPTE/CDOT Funding
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Project Delivery / Contract Method |
DBFOM (design, build, finance, operate, and maintain) |
Project Partners |
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Project Advisors / Consultants |
To the Public Sponsor:
To the Borrower:
To USDOT TIFIA JPO:
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Lenders |
Bondholders, USDOT TIFIA, Subordinated Lender (Northleaf/PRD LenderCo LP) |
Duration / Status |
HPTE awarded the DBFOM concession in April 2013. Construction will start in 2014 and is scheduled to be completed in December 2015. The duration of the P3 concession is 50 years. |
TIFIA Credit Assistance |
Direct Loan: $60.0 million The TIFIA Phase 2 loan is secured by a net pledge of revenues from the I-25 Express Lanes (existing) and the U.S. 36 Phase 1 (upon the transfer to Plenary) and Phase 2.managed lanes. Plenary will assume the TIFIA Phase 1 loan at substantial completion of Phase 1 when responsibility for that segment is transferred from HPTE to PRD. The Phase 2 TIFIA loan will be subordinate to the Senior Lien Private Activity Bonds (PABs) and the Phase 1 Loan .Both TIFIA loans will have the benefit of debt service reserve funds in addition to a $6 million ramp up reserve. The TIFIA Phase 2 loan has been rated "BBB-" by Fitch Ratings. |
Financial Status / Financial Performance |
The TIFIA credit agreement was executed on February 25, 2014. Financial close of the Senior Lien PABs occurred on February 26, 2014. |
Innovations |
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Related Links / Articles |
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Contacts |
Terry Ostrom, Vice President, Project Delivery |
1 Includes $38.3 million of estimated costs that are not TIFIA.
2 Includes $25.6 million in costs to be directly incurred by HPTE and CDOT that will funded with Federal, state, and local funds.
3 Numbers rounded.