ATRN 323-1A MIDTERM

Under this contract, the government hires a private company or entity to carry out one or more specified tasks.

• SERVICE CONTRACT

• MANAGEMENT CONTRACT

• Build-own operate

This contract expands the services to be contracted out to include some or all operations of the public service

• LEASE

• DESIGN-BUILD-OPERATE

• MANAGEMENT CONTRACT

Under this contract, the private partner is responsible for the service in its entirety and undertakes obligations relating to quality and service standards.

• LEASE

• 1.        SERVICE CONTRACT

• BOT

This contract is an agreement that the private partner provides the capital required to build the new facility

• BOT

• DBFO

• LEASE

What variations of BOT where the developer construct and operates the facility without transferring ownership to the public?

• Lease

• Build own operrate

• Concession

In a BOT arrangement, the private entity usually has the right to collect revenue directly from users of the infrastructure during the concession period, which helps recoup their investment in the project.

• TRUE

• FALSE

In a service contract, the government compensates the private partner with a prearranged fee for the service rendered, which could be structured as a one-time payment, unit cost, or another agreed-upon.

• FALSE

• TRUE

Build-Operate-Transfer the private entity typically finances and builds the infrastructure, operates it for a set duration, and then transfers ownership to the government.

• TRUE

• FALSE

Concession Contract the private entity usually operates the infrastructure and may receive revenue from users.

• TRUE

• FALSE

In the DBFO contract, ownership remains outside of private hands.

• FALSE

• TRUE