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United States Department of Transportation United States Department of Transportation

Portsmouth Bypass

Portsmouth Bypass Map
Alternate Project Name
Portsmouth Bypass Project
Project Type
Roads and Bridges
Financing Type
TIFIA
Status
Credit Agreement Executed
Sponsor/Borrower
Ohio Department of Transportation/ Portsmouth Gateway Group
Project Description

The Portsmouth Bypass is a $634 million, 16-mile, four-lane, limited-access highway around the City of Portsmouth in Scioto County in South Central Ohio. The project will also provide a largely access controlled alternative to I-77 and I-75 for motorists making trips between southern Ohio and the Columbus region, saving over 70 miles on some trips. The project is being delivered as an availability payment design-build-finance-operate-maintain (DBFOM) concession. The term of the concession is expected to extend for 35 years.

The project is the first availability payment P3 concession in Ohio.  According to the project, public benefits include: correcting deficiencies in the existing system, improving regional mobility, enhancing the region’s competitive advantage for businesses, and decreasing crash rates.  Designated as State Route 823, the project will improve regional mobility to provide travel time savings of up to 16 minutes per trip compared to the current route. Given the rural nature of the County, this project and subsequent development could also have a material impact on the County’s high unemployment rates.  The State estimates the financial structure, including the TIFIA loan, accelerates delivery of the project and benefits by 8 years.

Project Details
TIFIA Assistance
$209.00M
Primary Revenue Pledge
Availability Payments
Project Cost
$634.30M
Fiscal Year Closed
FY2015
Duration/Status
Construction began in 2015. Substantial completion is scheduled to occur in late 2018. 
Funding Sources
Appalachian Development Highway System Funds: $97M
Other Federal & State Funds: $28M
Private Activity Bonds (PABs): $227M
PABs Premium: $24M
TIFIA Loan: $209.3M
Equity: $49M
Project Delivery/Contract Method
DBFOM (Design-Build-Finance-Operate-Maintain)
Project Participants
ACS Infrastructure Development, Inc.; InfraRed Capital Partners Limited; Star America
Project Advisers/Consultants
To the Borrower:

Technical Advisor: MS Consultants

Financial Advisor: Societe Generale

Counsel to the Borrower: Ashurst LLP

To USDOT TIFIA JPO:

TIFIA Legal Advisor: Skadden, Arps, Slate, Meagher & Flom LLP

TIFIA Financial Advisor: Louis Berger Group
Project Lender
Bondholders, USDOT TIFIA
Credit Assistance Detail
Direct loan: $209.304 million
Financial Status
TIFIA credit agreement was signed in March 2015. Interest payments are expected to start in 2018, and principal payments are expected to begin in 2019; final loan maturity is expected to occur in 2050.
Application Details
Applicant
Ohio Dept. of Transportation
LOI Fiscal Year Received
FY2013
LOI Received Date
Application Received Fiscal Year
FY2013
Credit Agreement Executed
Initial Eligibility Review
Review complete
Creditworthiness Review
Review complete
Application Review
Review complete
Estimated Project Cost
$634.00M
TIFIA Request
$209.00M
Instrument Type
Direct Loan