PennDOT Selects Team for Compressed Natural Gas Fueling Stations Public-Private Partnership

PennDOT Selects Team for Compressed Natural Gas Fueling Stations
Public-Private Partnership

3/28/2016-KING OF PRUSSIA

Pennsylvania Department of Transportation (PennDOT) Secretary Leslie S.
Richards today announced at a media event that the Trillium CNG team, which

includes Larson Design Group of Williamsport, has been selected for the
department's Compressed Natural Gas (CNG) transit fueling station
Public-Private Partnership (P3) project.

Through the $84.5 million project, Trillium will design, build, finance,
operate and maintain CNG fueling stations at 29 public transit agency sites

through a 20-year P3 agreement. Stations will be constructed over the next
five
years and the firm will also make CNG-related upgrades to existing transit
maintenance facilities.

"The department is excited to partner on this project that will bring
benefits
for the state, our transit partners and the public for years to come,"
Richards
said. "The project's aggressive schedule means that we'll realize cost,
environmental and operational benefits quickly."

As part of Trillium's proposal, CNG fueling will be accessible to the
public at
seven transit agency sites, with the option to add to additional sites in
the
future. PennDOT will receive a 15 percent royalty, excluding taxes, for
each
gallon of fuel sold to the public, which will be used to support the cost
of
the project. The team has guaranteed at least $2.1 million in royalties
over
the term of the agreement.

PennDOT also expects transit agencies and the department to see significant

savings due to the project. Based on current CNG, diesel and gasoline
prices as
well as fuel usage, agencies can save a total of more than $10 million
annually. Due to these expected savings, transit agencies' sustainability
is
increased and dependency on state operational subsidies is reduced. After
10
years, the department estimates that the project will pay for itself with
the
estimated $100 million in savings.

"With Pennsylvania's natural gas resources, this project will not only
bring
efficiencies for transit agencies and the state, but we're also helping
establish a foothold for the CNG transportation market in areas that may
not
have seen this opportunity for some time," Richards said.

Using the P3 procurement mechanism allows PennDOT to install the fueling
stations faster than if a traditional procurement mechanism was used for
each
site, resulting in significant estimated capital cost savings of more than
$46
million.

"This is an exciting day for Pennsylvania as we connect vital citizen
services
with forward-looking infrastructure," said Sen. John Wozniak, Johnstown,
who
participated in the event. "I'm also pleased that this project will start
in
our backyard so this region can quickly reap this partnership's benefits."
When the project is completed, the fueling stations will supply gas to more

than 1,600 CNG buses at transit agencies across the state.

"I'm happy to be working with the administration in fulfilling the natural
gas
promise in making Johnstown the first natural gas public-private
partnership,"
said Rep. Bryan Barbin, Johnstown, who also joined the event.

Today's event was held at the Cambria County Transportation Authority's
Johnstown facility. Trillium CNG, headquartered in Salt Lake City, Utah,
was
recently acquired by Love's Travel Stops & Country Stores, Inc. of Oklahoma

City, Oklahoma.

To learn more about this and other P3 projects visit www.P3forPA.pa.gov.

MEDIA CONTACT: Rich Kirkpatrick, 717-439-1787 (cell) or Erin
Waters-Trasatt,
717-783-8800

Editor's Note: A list of agencies participating in the P3 project, in order
of
construction-start timeline, follows:

• Cambria County Transportation Authority, Johnstown Facility (2016),
includes
public fueling.
• Centre Area Transportation Authority (2016)
• York Adams County Transportation Authority, York Facility (2016),
includes
public fueling.
• Mid Mon Valley Transportation Authority (2017)
• Cambria County Transportation Authority, Ebensburg Facility (2017)
• Indiana County Transportation Authority (2017), includes public fueling.
• Lehigh and Northampton Transportation Authority, Allentown Facility
(2017)
• Westmoreland County Transportation Authority (2017)
• County of Lackawanna Transportation System (2017), includes public
fueling.
• New Castle Area Transportation Authority (2017), includes public fueling.
• Altoona Metro Transit (2017)
• Beaver County Transportation Authority (2017), includes public fueling.
• Lehigh and Northampton Transportation Authority, Easton Facility (2017)
• York Adams County Transportation Authority, Gettysburg Facility (2017)
• Luzerne County Transportation Authority (2017)
• Crawford Area Transportation Authority (2017)
• Erie Metropolitan Transportation Authority (2018), includes public
fueling.
• County of Lebanon Transportation Authority (2018)
• Schuylkill Transportation System (2018)
• Monroe County Transportation Authority (2019)
• Area Transportation Authority of North Central PA, Bradford Facility
(2019)
• Area Transportation Authority of North Central PA, Johnsonburg Facility
(2019)
• Butler Transportation Authority (2019)
• Mercer County Regional Council of Governments (2019)
• Fayette Area Coordinated Transportation System (2019)
• DuBois, Falls Creek, Sandy Township Joint Transportation Authority (2020)
• Transit Authority of Warren County (2021)
• Capital Area Transit (2021)
• Port Authority of Allegheny County (2021)
# # #

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