"At this time, the project is progressing as scheduled," she says. Activities include relocation of utilities, such as a 36-in.-dia water line on the Norfolk side of the Midtown Tunnel, and fabrication of the new tube's 12 rectangular reinforced-concrete segments.

VDOT, which has used P3s for many major transportation programs, has encountered little resistance to tolls on new projects such as the Capital Beltway lanes in the Washington, D.C., suburbs and the Pocahontas Parkway in Richmond. But, as other transportation agencies across the U.S. have found, applying the concept to existing roads proves to be difficult.

Proposals to implement tolls at two locations along I-95 south of Fredericksburg as a means for funding maintenance for the busy freeway has been roundly criticized by officials up and down the corridor. The state's recently forged transportation compromise includes a provision that prohibits VDOT from implementing those tolls without receiving approval from the state Legislature.

In northern Virginia, the Metropolitan Washington Airport Authority's increasing reliance on revenue from its Dulles Toll Road to help fund the Metrorail Silver Line extension to Dulles Airport has been a contentious issue for commuters and local officials. Further, toll hikes may be needed if the project's $1.6-billion second phase receives no federal funding.

Tolls also are planned for the new Route 460 link between the cities of Hampton Roads and Petersburg. So far, however, local opposition has focused more on the need for the new highway, rather than user fees.