The American Society of Civil Engineers (ASCE) recognizes Public Private Partnerships (PPPs) as one of many methods of financing infrastructure improvements. ASCE supports the use of PPPs only when the public interest is protected and the following criteria are met:

• Any public revenue derived from PPPs must be dedicated exclusively to comparable infrastructure facilities in the state or locality where the project is based.
• PPP contracts must include performance criteria that address long-term viability, life cycle costs, and residual value.
• Transparency must be a key element in all aspects of contract development, including all terms and conditions in the contract. There should be public participation and compliance with all applicable planning and design standards, and environmental requirements.
• The selection of professional engineers as prime consultants and subconsultants should be based solely on the qualifications of the engineering firm.

ASCE supports the development of criteria by governing agencies to protect the public interest. Examples of criteria include input from affected individuals and communities, effectiveness, accountability, transparency, equity, public access, consumer rights, safety and security, sustainability, long-term ownership, and reasonable rate of return.

Civil engineers plan, design, construct, operate, and maintain the nation's infrastructure. Strained state and local government budgets combined with increasing demand have led to the implementation of PPPs in several states and localities. The injection of private capital into public works, however, has drawn some criticism from stakeholder groups and raised the need for a set of guiding principles for these projects as they are planned, implemented, and maintained. While PPPs are a method of project financing, they do not replace direct public funding of infrastructure projects.

Private sector financing has been widely used in Europe, South America, and Australia, and is now being utilized in the United States.

For many types of projects there are no formalized criteria for the awarding and design of PPPs. In other countries where the practice is much more common, strict guidelines are in place to identify and protect the public interest. Such guidelines must be developed in the United States.

ASCE Policy Statement 526
First Approved 2008