Description
The Commonwealth of Kentucky is seeking a private partner to modernize, operate, and maintain distributed building-level HVAC systems across Kentucky Venues facilities through a public-private partnership (P3) structure. The partnership will replace outdated assets, reduce deferred maintenance obligations, improve comfort, indoor air quality, and energy discipline, and transfer lifecycle and performance risks to the private partner. The private partner will be responsible for designing, constructing, financing, operating, and maintaining the HVAC systems, as well as providing energy performance guarantees. The contract will be for a term of 30 years, with a comprehensive P3 agreement that includes availability payments, KPIs, lifecycle delivery, and hand-back condition. The evaluation criteria will include executive summary, strength of team participants, relevant P3 project experience, key individuals and reporting structure, ability to take and understand risk, deferred maintenance projects and life cycle capital experience, energy savings projects capabilities, operations and maintenance services capabilities, project approach, and financial capabilities and strength.
• Key objectives of the project include addressing deferred maintenance issues, maintaining public ownership of assets, transferring operations and maintenance responsibilities to the private partner, and enhancing occupant comfort and indoor air quality.
• The private partner will be required to meet Key Performance Indicators (KPIs) established jointly during the Project Agreement phase, with any failure to meet agreed KPIs triggering predetermined penalties.
• The project will be developed in collaboration with the private partner to ensure value for money to the Commonwealth.
• The Commonwealth is seeking innovative and "outside the box" solutions regarding finance structure, and the evaluation committee will exercise broad discretion in reviewing and scoring the finance structure that is most advantageous to the Commonwealth.