Alternative Project Delivery

Historically, port projects in the United States have been delivered on a Design-Bid-Build (low bid) basis. A few select projects have been delivered on a Design-Build basis. To date, these project delivery systems have served the industry well. However, there is an evolving environment that favors a new method of project delivery, Design-Build-Operate-Transfer (DBOT). This method of project delivery has been employed extensively overseas and on a limited basis within the United States in industries other than the maritime industry. It has been used very seldom within the port industry to date, however the use is being considered on several projects at this time. Simply stated, this method of project delivery is one where the DBOT organization (a private corporation) finances, designs and builds the required facilities, operates and maintains these facilities for a prescribed period of time and at the end of that period of time transfers the ownership of these facilities to the public entity (port authority).