1. Surviving the Economic Tsunami in Transit

2. Overview survival through private sector partnering.
how contracting can help:
possibilities
opportunities
optimizing the benefits

3. Challenges Identifying what to contract
Optimizing the cost efficiency of contracting.
Leveraging private sector capabilities

4. Contracting model Finding the Correct OPTIONS Contract
a function or multiple functions within a portion of the system
an entire division of the system
multiple functions within the entire system
the entire system

5. Private Sector Advantages
innovation and flexibility
broad and multi-faceted experience
efficiency, cost savings and accountability 25-30%
new alternatives for capital investment

6. Maximize Contracting Efficiencies Increase Scope and Term Share Risk
Include incentives and penalties
Include supply and/or financing of equipment
Collaborate on identification of opportunity to realize savings

7. What it looks like when it works
Large scope of work combining four separate contracts.
Contract term of 5 + 3
Enabled Veolia to find staffing efficiencies and make sizable investment – 26 OTR Coaches
Ongoing collaboration 7

8. Service Alternatives
For Low Demand

9. Using private provider capacity late night and weekends
Broker to serve an established market.
Issues:
Industry Profile – capacity
Regulatory Environment
fare elasticity
Alignment with contractual requirements

10. Keys to Success deep commitment by all partners
Willingness to re-define roles
Recognition of differing sector needs
Inclusion, Collaboration
mutual accountability, mutual respect