United States leads with 41 successful surface transportation P3 projects in 2024

In 2024, significant developments in public-private partnerships (P3) for surface transportation were noted in the United States, resulting in 41 P3 projects that successfully reached financial closure. This was part of a wider context where the Reason Foundation published their Annual Surface Transportation Infrastructure Report, which focused on various aspects of transportation financing. The report highlighted that despite earlier setbacks, such as several U.S. projects being bought out by state or local governments in the preceding years, growth was observed in P3 undertakings during 2024, particularly in surface transportation. Among the noteworthy projects were the $2.3 billion I-10 Calcasieu River Bridge in Louisiana and the $1.25 billion design-build-finance project on I-285W and I-20W in Atlanta. These developments positioned the U.S. within the global landscape, where it was recognized to have two of the world’s largest investor-financed transportation infrastructure projects for that year. Additionally, there was an ongoing dialogue regarding legislative changes needed to optimize the funding structures for these types of projects. One of the significant legislative points emphasized the necessity of raising the federal surface transportation bill's cap to at least $45 billion or potentially removing it entirely. There was a growing concern about the Highway Trust Fund's impending shortfall, as current highway user fees and taxes were viewed as insufficient for addressing capital and operational costs, particularly in a shifting landscape characterized by an increase in electric vehicles and hybrids. Moreover, the report from the Reason Foundation transcended its initial focus on infrastructure financing; it also addressed transit's evolving role in urban settings following the COVID-19 pandemic. The examination pointed to a disconnect between the aspirations for revitalized funding and the reality of public transit utilization, particularly as ride-hailing services transformed mobility patterns. Hence, the future of public transit seems uncertain, faced with competing transportation modes that may diminish traditional ridership levels but are vital for individuals lacking other transportation means.