BPW Approves Modified Purple Line Agreement to Permit Full Construction

The state’s Board of Public Works unanimously approved a modified Purple Line Public-Private Partnership Agreement yesterday that will allow the project’s new design-build team to complete the line, officials announced.

The Purple Line Transit Partners, working with the Maryland Transit Administration, recently chose Maryland Transit Solutions (comprised of Dragados USA Inc. and OHL USA Inc., as the new design-build team to complete the light rail project.

The modified P3 agreement now has a cost of $9.284 billion, an increase in the design-build cost from $2 billion to $3.4 billion, to complete the build out, with operations expected in fall 2026.

“Today’s action is the critical step needed to move the Purple Line from construction into an active light rail line that creates a truly interconnected regional transit system,” said MTA Administrator Holly Arnold in a press release.

“Since we and MDOT MTA selected Maryland Transit Solutions as providing the best value to the people of Maryland, we’ve been working closely with MTS to help them hit the ground running,” added Jane Garvey, chair of the PLTP board of directors.

Highlights from the modified agreement also include, according to the release:

  • Shortening, clarifying and streamlining the process for any dispute resolution between parties
  • Removing the right to unconditionally terminate the P3 Agreement for extended delay (used by the previous design-build contractor as a basis to leave the project)
  • Narrowing the right to conditionally terminate for extended delay for a cause outside of either parties’ control, and
  • Reducing the PLTP’s rate of return—essentially what it gets back on the project—by 20%.

MTA photo

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