The Gardiner Expressway is in need of significant maintenance work. The City is undertaking an in-depth analysis of possible procurement options to deliver the project in the most effcient and cost-effective way. This includes the possibility of delivering the construction project as a Public-Private-Partnership (P3).

1. Public Consultation
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F.G. Gardiner Expressway
Rehabilitation
Public Consultation
February 17, 2015

2. Public Consultation
427
Kipling
Islington
ParkLawn
Dufferin
Strachan
Bathurst
Spadina
York
Yonge
Jarvis
LakeShore
“Anatomy” of Gardiner Expressway
– “At-grade” section: Hwy. 427 to Dufferin Street (1955 to 1958)
– “Elevated” section: Dufferin Street to Logan Avenue (1959 to 1966)
“At Grade”
- 11 km
- 32 bridges/
structures
“Elevated”
- 7 km
- 335 spans
DonValley
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3. Public Consultation
Rehabilitation Strategic Plan
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 In 2013 the Strategic Plan for the rehabilitation of the
Gardiner Expressway (developed by McCormick Rankin ) the
plan:
o identified immediate, short and long term rehabilitation needs of Gardiner;
o developed an implementation schedule for the necessary rehabilitation works
to maintain the Gardiner in a safe and serviceable condition; and,
o Took into consideration:
• previous rehabilitation work;
• User impacts and associated costs;
• Capital costs, Life cycle costs, Cash Flow requirements; and
• Assumed traffic restrictions of no more than a single lane closure in each
direction.

4. Public Consultation
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 In 2014, Staff presented the Strategic Rehabilitation plan to the
Public Works Committee and City Council.
 On April 2, 2014 City Council:
o approved the “Accelerated Construction” approach for Gardiner
Rehabilitation reducing the traffic impacts for the anticipated work from 20
years to 12 years
o directed to report back with analysis of project delivery models and
procurement options.
 On June 10, 2014, Council authorized retention of Infrastructure
Ontario for the purposes of preparing a procurement options
analysis in support of the implementation of the Strategic Plan
Rehabilitation Strategic Plan

5. Public Consultation
Accelerated Rehabilitation Approach
Placing Prefabricated Deck-Girder Section
Montreal: Jacques Cartier Bridge Rehabilitation
Prefabrication Facility
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6. Public Consultation
Evaluating Project Delivery
Various methods of project delivery
including
o Traditional project delivery
 Multiple contracts with private sector for design
and construction of various project components
o Public private partnership (P3)
 One large contract with private sector consortium
for design, construction, operations and life cycle
maintenance.

7. Public Consultation
Federal Funding Requests
 P3 Canada Fund
o P3 Canada funding for projects delivered as P3s
o Business case must demonstrate positive Value for
Money for project delivery as P3 compared with
traditional delivery methods
 New Building Canada Fund
o Projects with capital costs >$100 million must be
screened for potential delivery as P3
o Business case and procurement options analysis
to be submitted
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8. Public Consultation
Models of PPP in Canada
Degree of Private Sector Involvement
DegreeofPrivateSectorRisk
Design – Build
PPPModels
Operation & Maintenance
Build – Finance
Build – Finance – Maintain
Lease – Develop – Operate
Design – Build – Operate
Design – Build – Finance – Maintain
Design – Build – Finance – Operate
Design – Build – Finance – Operate - Maintain
Build – Own – Operate
Concession
Privatization

9. Public Consultation
Key Features of P3
 Risk Transfer from public sector to private sector,
including:
o Project Delivery on time and on budget
o Long term maintenance risk
 Innovation
o Project structured so as to promote innovation in design and construction
 Integrated Project Delivery
o Design, Construction undertaken by one consortium enhances asset
delivery meeting/exceeding expectations
 Life Cycle Accountability for the Work
o Maintenance of constructed work is responsibility of private sector, post
construction, over long-term concession period (eg 30 year)
o ensures that asset will be maintained in good condition, and handed back to the City in
good condition at end of contract

10. Public Consultation
P3 Risk Transference
Traditional: Design-Bid-Build
(DBB)
Owner’s Risks Bidder’s Risks
Design
Financing
Highway
Maintenance
Lifecycle
Highway
Availability,
Performance &
Asset Value
Construction
P3: Design-Build-Finance-Operate-Maintain
(DBFOM)
Bidder’s Risks
Output
Specifications
Design
Financing
Construction
Lifecycle
Highway
Availability,
Maintenance
Performance &
Asset Value
Owner’s Risks
Risks are transferred to the party best able to manage them.

11. Public Consultation
Defining Value for Money (VfM)
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• Base Costs: Design, Construction,
Operations (summer and winter maintenance)
and Rehabilitation over the concession term
• Financing Costs: Costs associated with
funding the project
• Ancillary Costs: includes additional 3rd
party
advisory, legal, delivery costs etc
• Risk Retained: Risks best managed by Public
sector stay with Public sector
• The risk adjusted cost difference between
PSC and AFP is the estimated Value for
Money
• If the AFP costs are less than the PSC cost,
there is positive Value for Money by
procuring a project using AFP.
Value for Money assessment compares the
cost of delivering the same project under two
different delivery models, Traditional or Public
Sector Comparator (PSC) to Alternative
Financing and Procurement (AFP) to determine
which provides a lower estimated total project
cost.
Base Costs
(Lower under AFP as a result of Innovation
Factor set off by higher Lifecycle Costs)
Risks Retained
+ Value for Money
PSC AFP
Ancillary Costs
Financing Costs

12. Public Consultation
Other Canadian Transportation P3 Projects
• Winnipeg- Chief Peguis Trail
• Saskatoon North Commuter Parkway and Traffic Bridge
Replacement
• Alberta- Stoney Trail (various projects)
• Quebec- Autoroutes 25 and 30
• Montreal- Rebuild of Turcott Interchange
• Federal- Montreal- Champlain Bridge
• New Brunswick- Fredricton-Moncton Highway
• Federal- New Brunswick- Trans Canada Highway
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