De Marco, A; Mangano, G; Cagliano, A C and Grimaldi, S (2012) Public financing into build-operate-transfer hospital projects in Italy. Journal of Construction Engineering and Management, 138(11), pp. 1294-1302. ISSN 0733-9364
Abstract
An empirical analysis is presented to investigate the factors that have significant influence on the share of public financing into the total initial investment required to develop build-operate-transfer (BOT) health-care projects. Based on a model describing the main risks associated with public participation in BOT projects, a linear regression analysis has been conducted on a data set of Italian BOT hospital projects to yield implications. Outcomes reveal that the size of investment, the financial strength of the concessionaire, the duration of the concession period, the number of services, and the level of borrowing of the local health-care granting agency are significant factors of the level of public funding. The study confirms that public funding is provided not only to cover the non-self-financing portion of investment but also as a way to undertake a project in periods of scarce public financial resources. The methodology may be useful to refine the decision criteria for determining the level of public funding of a BOT hospital project in order to gain an understanding of the value that could be obtained from funding similar projects.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | build/operate/transfer; financial factors; health-care facilities; project management; regression analysis; risk management |
| Index terms: | project management, regression analysis, duration, decision criteria, build-operate-transfer, risk management, financial factor, funding, concession period, financing, public participation, agency, Italy, methodology, concessionaire |
| Subjects: | statistical analysis, sociology, decision analysis, project controls, project management theory and practice, Geography, research methods, contract structure, economic analysis, contractual arrangements, participation process, contract type, risk assessment |
| Topics: | Stakeholder Management, Risk Management, Procurement, Business Strategy, Project Management, Geographical Context, Research Practice, Time Control |
| Descriptive scope: | 4 PCTA |
N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here