Geoffrey S. Yarema, Member of the National Surface Transportation Infrastructure Financing Commission, Nossaman Infrastructure Practice Group Chair, Nossaman LLP
Geoffrey S. Yarema, Chair of Nossaman's Infrastructure Practice Group, is a nationally recognized leader in infrastructure development and finance. He has helped pioneer innovative procurement, contracting and financing structures, for large public works projects and has proven himself an essential advisor to public agencies seeking to make effective use of innovative forms of contracts, including; design-build, design-build-operate-maintain (DBOM), toll concession, availability payment, and pre-development.
With three decades of experience in the field, Yarema has been sought out by more than 25 U.S. state departments of transportation and regional transportation agencies, frequently called upon to act as Special Assistant Attorney General on groundbreaking infrastructure projects throughout North America.
Yarema's work and prominence in the industry have been widely recognized and honored. In 2007, U.S. Secretary of Transportation Mary Peters appointed Yarema to the Congressionally mandated National Surface Transportation Infrastructure Financing Commission, Public Works magazine named him a "2007 Trendsetter," and in 2008, the American Road and Transportation Builders Association named Yarema as the private sector individual who had contributed most significantly, over the last 20 years, to public-private partnerships in the U.S. transportation sector.
The question of protecting the public interest while attracting private capital for public-private partnerships is an important question. I recommend looking at the issue from the perspective of a state or regional policymaker, those people in this country primarily charged with infrastructure stewardship and faced with increasingly difficult decisions. In the midst of a serious recession, compounded by an uncertain federal reauthorization, is it in the public interest for state and regional officials to continue to forego much needed maintenance in order to fund for new capacity? Is it in the public interest to continue deferring new capacity projects with the attendant… Read more
As state transportation budgets are increasingly pinched, and unless and until Congress steps up to the reality of creating new federal resources, state and local governments have no choice but to find alternative methods to pay for critical infrastructure. Tolling the interstate is an option that some states are considering. While distasteful to many, and politically difficult to be sure, the question is the extent to which Congress will limit the options the states will have available. D.J. Gribbin is correct that there are no current examples of successful tolling on pre-existing interstate capacity. But past is not necessarily prologue. The world is changing:… Read more
I agree with Ken Orski and Robert Darbelnet - the collapse of the Midway Airport deal is hardly the death knell for PPPs. Despite very difficult markets, there is good evidence that investors are still interested in infrastructure as an asset class, and greenfield deals in particular. In Florida, the I-595Express, the first availability payment contract in the United States representing the FDOT's largest construction contract, reached financial close in March. In Texas, two very large managed lanes toll concessions (North Tarrant Express and I-635) generated robust competition resulting in the selection of preferred bidders in the last few months.… Read more
As James Hoffa notes, there are likely to be a lot more jobs thanks to the stimulus package. And as Jeff Rosen notes, those who might work on transportation infrastructure projects are more likely to be unionized than the population at large. President Obama’s February 6th Executive Order on Project Labor Agreements (PLAs) is likely to encourage Federal and State agencies to use PLAs on large Federal and Federally assisted projects. The PLAs that the Executive Order approved do not require contractors to use unionized labor, but unions clearly benefit from PLAs. The Central Artery/Third Harbor Tunnel project (the "Big Dig") in Boston… Read more
I agree with Ed Wytkind’s statement: “We cannot build and maintain a national, intermodal surface transportation system that is overly reliant on for-profit PPPs.” I don’t think anyone is suggesting that we should. As Steve Heminger points out, PPPs are not appropriate for all projects, but can be an excellent option for certain capital intensive, critically needed projects that would benefit from private financing. This is particularly true in those cases when the private sector can produce better value for money than conventional delivery and when the alternative to PPP delivery is indefinite project deferral, together with attendant delays in mobility improvements… Read more
As the week following the release of the Commission's report winds down, I thought I would provide a few comments. First I would like to thank Commissioner Ruffalo for responding so eloquently to the questions posed here to date, just as she did during our almost 2 years of deliberations. Second, I would ask that responders offer any suggestions they may have about how we commissioners should follow up the release of our report with further engagement with the larger public policy community. Third, I would like to thak the Bush Administration for its support of our efforts and the tax writing… Read more
Related Link: http://www.nossaman.com
