GDC Advances Public-Private Infrastructure Delivery Contract

Written by Jennifer McLawhorn, Managing Editor
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Screenshot of “Building America’s Most Urgent Infrastructure Project: The Workers of the Hudson Tunnel Project”
Gateway Program via YouTube

NEWARK/NEW YORK - The Gateway Development Commission (GDC) Board of Commissioners has authorized the use of the delivery partner model to deliver the Hudson Tunnel Project on schedule and on budget.

According to the release, the GDC says it currently has oversight of the Hudson Tunnel Project with a limited number of staff. In order to “accelerate construction across five active sites,” the GDC has used its delivery partner, MPA Delivery Partners, for their reach. MPA Delivery Partners is a joint venture between Parsons Corporation, Arcadis of New York, Inc., and Mace North America Limited. GDC awarded the delivery partner contract to MPA Delivery Partners in March 2024 after a procurement process. The release states the contract term will end in 2030. The contract includes the option of three subsequent three-year renewals.

The Board’s authorization enables the GDC to “retain the team” and build upon their project accomplishments “by adding engineers, project managers, planners, safety experts, and other key personnel.” GDC says since partnering with MPA Delivery Partners, the GDC has been able to secure full funding for the project and awarded three construction packages. The first construction project package involved tunnel boring.

Renderings of the TBMs that will be used to build the first tunnel under the Hudson River. (Herrenknecht AG photograph)

Additionally, the partnership has allowed the GDC to advance the first construction package, the Tonnelle Avenue Bridge and Utility Relocation Project. In August, RT&S reported on the two tunnel boring machines (TBMs) that were procured and manufactured. GDC managed the procurement process for four more construction packages. Two of these packages will reportedly be awarded in the next six months.

The Board’s authorization enables the delivery partner team “to provide all services and staffing needs to support the delivery of the Hudson Tunnel Project through the end of the initial contract term in 2030,” the GDC says. $665 million will be allocated over the next five years for this work. The funding will go toward growing the team that MPA hired for the project, currently estimated at 350 to 400 full-time equivalents.

New York GDC Commissioner and Co-Chair Alicia Glen, New Jersey GDC Commissioner and Co-Chair Balpreet Grewal-Virk, and GDC Amtrak Commissioner and Vice Chair Tony Coscia said, “The delivery partner model is an innovative approach to project delivery that has brought together the best of the industry to make sure the Hudson Tunnel Project stays on track. This public-private partnership has made GDC nimble, flexible, and innovative while staying on scope, schedule, and budget. We’re proud that GDC is using this model to drive performance in service of the hundreds of thousands of riders who travel on the Northeast Corridor every day. GDC’s track record of success since onboarding MPA Delivery Partners is undeniable, and we are confident the team will continue to deliver going forward.”

GDC CEO Tom Prendergast said, “Massive infrastructure projects like the Hudson Tunnel Project require huge teams of highly specialized experts. The delivery partner model enables GDC to bring in the right experts and resources for each aspect of this huge, multifaceted project while remaining a lean, efficient organization. As the past 18 months have shown, the model is working well. The MPA team has integrated seamlessly into our day-to-day operations, and the results speak for themselves. The GDC team looks forward to building on this successful partnership in the months and years to come.”

“This is a once-in-a-generation project and a true collaboration between the public and private sectors that will serve as a model for delivering future mega-infrastructure projects around the world,” said Joe Marie, senior vice president for MPA Delivery Partners. “We are united in our goal of successfully completing this critical project, which will transform the Northeast Corridor and deliver billions of dollars of economic growth to the U.S. economy. GDC and MPA function as a fully integrated partnership, working closely together to ensure the Hudson Tunnel Project is completed on time and within budget.”

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