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In 2010 we audited systems the Department of Infrastructure used in applying the P3 (private-public partnership) framework to the Alberta Schools Alternative Procurement project. The P3 framework identifies an alternative approach to building and paying for public facilities like schools and hospitals.

Our objective was to determine whether the department had effective systems to:

  • assess the potential value for money of the ASAP project
  • ensure procurement activities were fair and transparent

We made two recommendations in April 2010.2 This year, we assessed the department’s progress in implementing our recommendations to:

  • improve the processes it uses to challenge and support maintenance costs and risk valuations
  • publish value for money reports upon entering into P3 agreements

The department implemented our recommendations by using its historical data on school costs to support its assumptions on maintenance costs and to validate its risk valuation. The department also published value for money reports for its ASAP P3 projects.

Why this is important to Albertans

Albertans need to know if the government’s processes to deliver P3 projects are open and transparent, and can demonstrate that value for money will be achieved.