Building Public-Private Partnerships
A Public‐Private Partnership (P3) is a contractual agreement between a public agency (federal, state or local) and a private sector entity. Through this agreement, the skills and assets of each sector (public and private) are shared in delivering a service or facility for the use of the general public. In addition to the sharing of resources, each party shares in the risks and rewards potential in the delivery of the service and/or facility.
• Although the term privatization is used interchangeably with P3, there are key differences between them.
• These differences occur in three primary areas: ownership, structure, and risk.
• Ownership refers to the party that has and controls the rights or interests of an asset or service enterprise.
• Structure refers to the resulting contractual arrangements that are used to facilitate P3s.
• Risk refers to the financial and or legal responsibilities that are undertaken by the designated party – public, private or both depending on the terms and conditions of the contract.
Trainer: David M. Van Slyke, Ph.D.
Maxwell School of Citizenship and Public Affairs | Syracuse University | www.vanslyke.info
2013 Congressional City Conference | Washington, DC | Pre-Conference Seminar Presentations