Maryland transportation officials received state approval Wednesday to pursue private companies to design, build, finance and operate a $2.2 billion Purple Line in the Washington suburbs, marking a major milestone for the light-rail proposal.
The state's Board of Public Works unanimously approved the Maryland Department of Transportation's plan to seek a public-private partnership for a 16-mile and 21 stations Purple Line.
Final approval for the project is expected for late 2014.
The state will issue a Request for qualifications seeking interested companies very soon, according to government officials. Three to four companies will be chosen to submit proposals and a winning proposal will be chosen in fall 2014 and submit it to the Board of Public Works for approval in December 2014.
Construction would begin in 2015 and trains would begin running in 2020.
The state is applying for $900 million in U.S. federal transit funding, A team of private companies would contribute $500 million to $900 million toward the Purple Line.
The project would be based on availability payments and it would include milestone payments during the construction period. The concession term could be between 30 and 35 years.
The state could reimburse losing bidders up to $3 million each, particularly if it wants to use any ideas from those proposals, officials said.
