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P3 Proponent Selected for Regina Bypass Project

Released on May 29, 2015

SaskLink Global Transportation Partners (SGTP) has been selected to partner with the Ministry of Highways and Infrastructure to build the new Regina Bypass as a design-build-finance-operate-maintain public-private partnership (P3).  Once complete, the bypass will be the largest transportation infrastructure project in Saskatchewan’s history.

“The Regina Bypass Project is the largest transportation project in the province’s history and is going to have a major impact on our economy and on traffic safety,” Highways and Infrastructure Minister Nancy Heppner said.  “After more than a decade of planning and significant consultations with municipalities, stakeholders and the general public work will start in just a few short weeks, with the immediate priority being the long-awaited overpass at White City.”

Based on preliminary numbers, this project will generate significant economic benefits for the province by creating 8,200 construction-related jobs in Saskatchewan.

Contract negotiations will now begin with the intent to finalize terms by late-summer 2015.  The contract’s financial details will be disclosed once contract negotiations and signing are complete at financial close.  Releasing this information sooner could harm the province’s negotiating position.  The value for money report will be based on the final agreement and released at the earliest opportunity following financial close.

SaskBuilds and its external financial advisors determined there was value for money delivering the project using a P3 model.  There is value for money when the cost of delivering a project using a P3 model is less than the cost of delivering the same project using a traditional approach.  The value for money calculation includes P3-related costs, such as private financing.

SGTP was selected after successfully completing a two-staged transparent procurement process that consists of a Request for Qualifications and a Request for Proposals.

SGTP includes the following partners as an integrated team:
  • VINCI
  • GraCorp Capital
  • Parsons
  • Graham
  • Carmacks
  • McElhanney
  • Urban Systems
  • Buckland and Taylor
  • Exp
  • Clifton Assoc. 
  • Delcan
  • National Bank
“This is a significant milestone for Saskatchewan as we move forward with our second P3 infrastructure project that will not only improve the quality of life for Saskatchewan people, but one that is also delivering savings and on-time delivery for taxpayers,” SaskBuilds Minister Gordon Wyant said.

In recognition of the bypass’ important contribution to improving public safety and supporting continued economic growth in Saskatchewan, the Government of Canada, through PPP Canada, is investing up to $200 million in the project.

The province will enter into an Early Works Agreement with SGTP in advance of contract finalization.  Early works will include work related to service roads to the southeast and east of the city and the overpass at White City.  Activities such as design work, utility moves and clearing may be part of the Early Works Agreement.

Construction on the publicly owned bypass is expected to begin in summer 2015 and be complete by fall 2019, with priority components opening in advance of the full bypass completion.

SaskBuilds is leading an open, transparent, and fair procurement process that is monitored by an external Fairness Advisor.  For copies of the Fairness Advisor reports and more information on SaskBuilds, visit www.saskbuilds.ca.

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For more information, contact:

Sarah Harrison
SaskBuilds
Regina
Phone: 306-798-1213
Email: sarah.harrison@gov.sk.ca

Doug Wakabayashi
Highways and Infrastructure
Regina
Phone: 306-787-4804
Email: doug.wakabayashi@gov.sk.ca

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