Still waiting for legislative approval of availability pay contracts, Texas DOT has adopted an alternative “pass-through” approach for competing its SH 183 managed lanes project in Dallas. Rather than ask developers to take revenue risk, TxDOT will ask DBFM teams for their best offers in terms of scope and concession term based on a guaranteed minimum revenue stream to be paid annually by the state from its toll collections.

The team offering the most scope, shortest concession period between 30 and 40 years and lowest guaranteed revenue stream takes the prize.