New school in Brandon to be built using public-private model

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Province of Manitoba News Release

The province of Manitoba, in collaboration with the Public Schools Finance Board (PSFB), today released a competitive request for proposals (RFP) to develop a Public Private Partnership (P3) business case and financial advisory services for constructing four new schools with a total value of over $100 million, Premier Brian Pallister announced today as he was joined by Education and Training Minister Ian Wishart.

“The P3 model has proved to be very successful across Canada and in Saskatchewan in particular for such projects.  We have studied these approaches carefully and believe a similar innovative procurement delivery model could mean cost savings and better value for Manitobans,” said Pallister.  “We owe it to taxpayers to consider how we can deliver high-quality services more cost-effectively.  Today’s RFP is the first step in this fully transparent, competitive process.”

The RFP will determine whether the project is suitable for P3 procurement by conducting the appropriate analyses and developing a business case and value-for-money, the premier said.  The RFP also includes building Manitoba’s internal P3 capacity and processes, which will be important to undertaking further such procurement, he added.  Once a business case has been developed, a request can be issued to potential private-sector consortiums to bid on the project to undertake the design and financial plan.

Manitoba Education and Training and the PSFB have identified four new schools (one kindergarten to Grade 5, two kindergarten to Grade 8 and one grades 9 to 12) in four individual school divisions, as priorities based on the greatest need given higher enrolment pressures in these neighbourhoods.  The projects identified in the RFP are as follows:

School Program Location Student capacity

With core expandable to:

Space

Requirement

(sq. ft.)

Kindergarten to Grade 5 French Immersion Seven Oaks – Precinct E

450

600

56,662

Kindergarten to Grade 8 Dual Track Winnipeg – Waterford Green

600

825

78,938

Kindergarten to Grade 8 English Southeast Brandon

450

675

69,684

Grades 9 to 12 English Pembina Trails – Waverly West

1,000

1,200

125,087

Wishart confirmed that these schools will be operated by their respective school boards and will deliver education services just like all other schools within the boards’ jurisdictions.

“We are taking a pragmatic approach to the procurement of new schools in order to deliverquality infrastructure on time and on budget,” said Wishart.

Wishart noted that each of the school facilities will be designed to accommodate a child-care centre with 20 infant spaces and 54 preschool spaces, in accordance with the PSFB policy to integratechild-care facilities in all newly constructed schools.  The schools will also be built to top energy efficiency standards to save electricity use with a Leadership in Energy and Environmental Design (LEED) Gold standard.  This builds upon the PSFB’s longstanding practice of constructing highly durable, energy efficient school buildings, the minister noted.

“This new approach will not result in any delays for the construction of new schools and other capital projects,” said Wishart.  “Construction of new schools for Winkler and Niverville, our top priority projects based on high enrolment in these divisions, will be pursued through the traditional procurement model.”

Manitoba has used the traditional procurement model (design-bid-build) to deliver infrastructure projects for government-supported and government-owned infrastructure.  Government has typically funded 100 per cent of facilities, either through capital grants or by making progress payments, and has also been responsible for virtually all of the project-related risks.  P3s, by comparison, are a performance-based approach to procuring public infrastructure where the private sector assumes a major share of the risks in terms of financing and construction, and ensuring effective performance of the infrastructure, from design and planning to long-term maintenance.  However, the public sector retains ownership of the infrastructure, operates it and remains accountable for the services provided to Manitobans.

The PSFB is the provincial statutory agency established in 1967 with responsibility for financing major capital projects in Manitoba’s public schools.  The board will provide a co-ordinated point of access for the P3 business case analysis and for the collection, discussion and examination process similar to the current role the organization plays in liaising with school divisions on all aspects of school infrastructure needs.

The deadline for submissions is June 15 with the contract to begin by Aug. 1.  The goal is for the four projects to break ground in the 2019 construction season, Wishart added.