Infrastructure P3s in danger pending Marlyand court case

A Metro train arrives in Washington D.C. Image Credit: Flickr

A court ruling on Maryland’s Purple Line, a light rail line connecting parts of Suburban Washington D.C. to the regional Metro subway system, could undermine public-private partnerships (P3s) for infrastructure projects nationwide. The $2 billion, 16-mile route would be constructed and operated by private companies on behalf of the government. Just before breaking ground on the project in 2016, a federal judge ordered the State of Maryland conduct additional studies to determine if ongoing troubles with the Metro system might impact ridership on the Purple Line. In reaction, the American Road and Transportation Builders Association (ARTBA) warned, “Allowing a court -- at the culmination of years of environmental reviews and planning -- to superimpose its own views on whether a given project is good policy or cost-effective is not only wholly inappropriate legally, but would also create significant uncertainty for ARTBA and its members by threatening carefully planned project funding, schedules and construction.”. In July, an appeals court allowed construction to move forward as the matter is debated further in court. If the lower court’s decision is not overturned, many in the construction industry fear the ruling will discourage private investment in infrastructure projects due to uncertainty and potential project delay associated with such a requirement. 

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