Purple Line
Maryland
Proponents said a PLA would keep the Purple Line “on-time” and “on-budget.” As usual, they were wrong.
The Purple Line is a 16.2-mile light-rail system that runs through Montgomery and Prince George’s Counties in Maryland. After years of debate, construction began on the Public-Private Partnership (P3) August 2017. The projected budget was $5.6 billion and the anticipated completion date was Spring 2022. In 2020, however, the original P3 contractor left the job of disputes about delays and cost increases. When the State of Maryland retained new contractors, PLA proponents promised that a PLA would prevent such delays and cost overruns in the future by “supplying a steady stream of labor” and guaranteeing “labor peace.”
Since the PLA was executed in 2022, costs have continued to climb and delays have continued to pile up. Currently, the project is expected to be completed in 2027 at a cost of $9.3 billion – 5 years late at nearly $4 billion over the original price.
How it failed
In 2021, the project was re-awarded to new contractors, with an additional $3.4 billion in costs and the condition of executing a PLA. The completion date was revised to 2025.
The PLA was executed in August 2022 shortly before construction on the project resumed. As usual, PLA supporters claimed that the agreement would prevent further delays and cost overruns by ensuring adequate labor and preventing labor disputes.
Barely 9 months of the PLA was executed, in July 2023, the state announced that the project was $148 million over the new budget and 7 more months behind the 2025 targeted completion date.
But they weren’t done. In March 2024, another $425 million was requested was requested, on top of the $148 million increase from $148 million over the new budget and 7 more months a few months earlier, and the delivery date was delayed all the way to 2027.
Since signing the PLA, the costs of the Purple Line have increased by $573 million, with delays stretching to 2 years…and counting.
