Headlines
JP Morgan to lend up to $2.5B for toll roads
FL: Italian firm eyes highway project
NY: Taxpayers to front new Yankees stadium?
MS: DOT seeks private partners for parkway
NY: Question mark looms over 3 expensive projects
LA: Worse than Katrina?
NY: NYC pavilion protest
MA: Schools pays for food provider’s losses
MI: Contract averts privatization

[click on ‘continued reading’ link for articles

News summaries
JP Morgan to lend up to $2.5B for toll roads
A growing interest by the private financial sector in transportation
projects has spread to Central Texas and may be part of the long-term
answer to funding toll roads. As cash-strapped federal and state
agencies increasingly relinquish funding and control over transportation
projects across the country, private capital is stepping in. MSNBC
FL: Italian firm eyes highway project
Italian highway operator Atlantia is interested in the privatization of
a highway in the U.S. state of Florida and has submitted a request to
determine eligibility for the project, a company source said on Wednesday.
"Atlantia is among the participants that have presented a request for pre-qualification,"
the source said, referring to the "Alligator Alley" highway project. Reuters
NY: Taxpayers front new Yankees stadium?
Yankees making ‘informal inquiries’ to get $400M more in public
financing for new Yankee Stadium. The Yankees have informally
approached New York City officials seeking increased public financing
to build their new stadium, the president of the city economic
development corporation said last night. State Assemb. Richard Brodsky
(D-Westchester), whose committee investigates publicly funded projects,
told The Associated Press that the Yankees now say that if they don’t
get another $400 million in public financing the stadium might not
reach completion. The $1.3 billion stadium is scheduled to open next
year across from the current stadium. Newsday
MS: DOT seeks private partners for parkway
The Mississippi Department of Transportation is seeking prospective
concessionaires to enter into the state’s first public-private
partnership to build a new toll road estimated to cost as much as $500
million. The concession, to be for 50 years, is expected to fully fund
and accelerate construction of the Airport Parkway project, which has
been under consideration for many years. No state funding will be
available other than $32 million the state DOT already has spent on
design and some right of way acquisition. The Bond Buyer ($)
NY: Question mark looms over 3 expensive projects
More than two years ago, the Bloomberg administration came up with an
aggressively creative way to use tax-exempt bonds to finance two of the
most expensive stadiums in the world, one for the Yankees in the Bronx
and another for the Mets in Queens. The IRS initially approved the use
of the bonds for the ballparks, but quickly issued a proposal in 2006
to tighten the rules governing the use of tax-exempt bonds so that it
would be more difficult, and perhaps impossible, for this kind of
financing to be used again by profitable, private enterprises like
professional sports teams. The New York Times
LA: Worse than Katrina?
Louisiana Gov. Bobby Jindal is on a path to finish the job Hurricane
Katrina started, destroying the public infrastructure that served,
however imperfectly, poor and working-class New Orleans residents. With
Jindal’s blessing, the majority of New Orleans schoolchildren are now
lab rats in a massive conservative experiment in private and charter
school education. More than half of the 79 public schools that have
been reopened since the hurricane — there were 128 schools before
Katrina struck — are now charter schools. On top of that are the 63
private and parochial schools operating in the parish, which Jindal
wants to support through a $10 million voucher plan. In an article on
New Orleans charter schools in The Washington Post this week, Leigh
Dingerson, education team leader for the Center for Community Change in
the District, called the result "a flea market of entrepreneurial
opportunism that is dismantling the institution of public education in
New Orleans." Campaign for America’s Future
NY: NYC pavilion protest
Members of the tongue-in-cheek troupe Billionaires for Bush wore
tuxedos and evening gowns and held signs reading, “Privatize the Park”
and “More Cars Less Park.” This display of performance art calling
attention to the purported privatization of Union Square Park space
opened with the anti-consumerist activist Reverend Billy acting as
master of ceremonies. The Villager
MA: Schools pays for food provider’s losses
An audit by an outside company shows the Haverhill schools paid their
private food service provider $200,000 this year to cover the company’s
financial losses caused by increased food and utility costs. The Eagle Tribune
MI: Contract averts privatization
Privatizing noninstructional services has been averted now that a
three-year contract has been approved between the Manchester Community
Schools Board of Education and the Manchester Educational Support
Personnel Association. The Ann Arbor News

Headlines
Law firms find privatization pays
CO: City explores ad revenue
LA: Senate passes school voucher plan
Chicago to privatize airport express project

[click on ‘continued reading’ link for articles]

News summaries
Law firms find privatization pays
Growth in leasing public assets nets big fees for firms representing
governments, bidders and lenders. From the Pennsylvania Turnpike to
Chicago’s Midway Airport to Florida’s Everglades Parkway, law firms are
aiding a revolution in financing of U.S. infrastructure projects as
they craft transactions that let local and state governments lease
public assets to eager private investors. Two things drive the trend:
the need of state and local governments to revitalize aging public
infrastructure while hamstrung by limited budgets, and the promise of
new funds raised by the transactions to use in new projects. For
private investors, the deals offer a relatively secure and stable
investment in assets that can produce steady revenues under supervision
by experienced operators that often are foreign companies. Daily Report
CO: City explores ad revenue
Don’t be surprised to see a Nike or Home Depot logo on playground
equipment at a Colorado Springs city park or on the sleeve of a city
employee’s shirt if the city nails down a possible multimillion-dollar
sponsorship deal. The city this week issued a request for proposals for
an agent to sell exclusive naming rights for public venues, signs or
sponsorship of public events. "I would say we would probably be talking
about millions of dollars rather than hundreds of thousands," said
Parks Director Paul Butcher. His department is likely to have more
opportunities for sponsorships than other city departments, for such
things as ball field fences, playground equipment and even staff
shirts. The Gazette (Colorado Springs)
LA: Senate passes school voucher plan
In a major legislative success for Gov. Bobby Jindal, the Louisiana
Senate voted 25 to 12 on Wednesday for a bill that would let up to
1,500 low- to middle-income students in New Orleans attend private
schools at taxpayer expense. Backers say the bill will help some New
Orleans children escape a struggling school system that has for years
been known for corruption, bad management and poor student performance.
Opponents point to improvements in the New Orleans public schools since
the state and various charter organizations began running them after
Hurricane Katrina in 2005. They say the money would be better spent on
public schools. The New York Times
Chicago to privatize airport express project
For years, Chicago has dreamed of building an airport express line from
both Midway and O’Hare airports to the Loop that would save passengers
a lot of time. The Chicago Transit Authority plans to seek bids for a
private-sector partner to finish the job and run the line. "To
replicate the success of premium service in other major cities, we
really need to leverage private sector resources and expertise," said
CTA president Ron Huberman. Wired

Headlines
TX: State considers existing roads for toll project
NC: Ready for pay-as-you-go highways?
IN: Indiana toll road largesse – editorial
VA: City plans to privatize Roanoke civic center
MI: School district looks at privatizing transport
FL: Union’s ‘counterproposal’ deserves attention – editorial

[click on ‘continued reading’ link for articles]

News Summaries
TX: State considers existing roads for toll project
Responding to concerns that a superhighway project running from East
Texas to the border with Mexico could cut through private lands, state
transportation officials said Tuesday that they will only consider
putting it along existing roads. State officials have held almost 50
public meetings and received about 28,000 responses from residents
about the proposed Interstate 69 project, which would be part of the
so-called Trans-Texas Corridor network of toll roads. Opponents of the
Trans-Texas Corridor characterize it as the largest government grab of
private property in the state’s history and an unneeded and improper
expansion of toll roads. Austin American-Statesman
NC: Ready for pay-as-you-go highways?
The start of the toll road era is just days away unless public opinion
sways the minds of legislators either now or before the roads
eventually open. If nothing changes the course we are on, get ready to
pay-as-you-go. When a toll road company or authority has toll targets,
you can bet your last dollar for gas that they will be lobbying or have
written into contracts that alternative routes can’t compete too much
so as to lower toll revenues. Charlotte Observer
IN: Indiana toll road largesse – editorial
It certainly was noble of state legislators (well, most of them) to
decline offers of free passes on the Indiana Toll Road days after the
new private operator doubled the tolls. In a state whose lawmakers
consistently lead the nation in lobbying license, it actually is remarkable
how few turned down yet another perk of public self-service. After all,
if the venerable tradition of gratis meals, sports tickets and golf outings
from special interests hasn’t incited enough voter outrage to cause significant
turnover in the Indiana General Assembly, what’s 150 or so transponders
among friends? The Indianapolis Star
VA: City plans to privatize Roanoke civic center
The City of Roanoke plans to hire a private management company to take
over the Roanoke Civic Center. At this point there are no guarantees
those employees will keep their jobs. In fact, there’s a chance
they’ll have to reapply with the new company. WDBJ7 (Roanoke)
MI: School district looks at privatizing transport
More than $1 million may have to be cut to balance next school year’s
budget, Albion school officials predicted Tuesday. Vickie Reed, the
district’s controller, recommended $387,000 in cuts — which included
trimming 10 percent of the athletic program and looking at privatizing
transportation — but said another $650,000 would still need to be cut.
MILive.com
FL: Union’s ‘counterproposal’ deserves attention – editorial
Representatives of the Teamsters Union, confronted by Collier County
Public Schools’ interest in privatizing its 250-member crew of custodians,
say they can show how to trim $3 million from current costs. That sum is
the round number held up as the school system’s savings goal of outsourcing.
Even better, union officials have told the editorial board of the Daily News,
the cost savings can be achieved without sacrificing employees’ health-insurance
coverage, which some of the six private bidders say they would do if they get
the contract which is due for a School Board decision next week. Naples Daily News

Headlines
FL: DOT names 8 candidates for toll lease
FL: Toll roads – editorial
TN: Possibility of toll roads in state
CA: Town overthrows corporate giant for control of water
MI: Comstock school custodians to lose jobs in privatization
MI: Alma may privatize custodial service
MI: State’s bid to buy Wrigley strikes out
A bridge too far
Inherently governmental functions

[click on ‘continued reading’ link for articles]

News Summaries
FL: DOT names 8 candidates for toll lease
The Florida Department of Transportation last week released the names
of eight firms interested in the state’s first-ever lease of an
existing toll road. Leasing of the 78-mile toll road known as Alligator
Alley in South Florida is being considered primarily as a way to raise
cash when state revenue collections are down and there’s a backlog of
transportation needs. Funds from the lease must be spent on such
projects in Broward and Collier counties, which Alligator Alley
crosses. However, the leasing idea is getting considerable opposition
from drivers. Protestors carrying placards picketed several locations
in South Florida late last week attempting to get the attention of
elected officials visiting the region. Gov. Charlie Crist has
encouraged FDOT to use public-private partnerships to speed up some
transportation projects, and he has indicated he supports leasing the
Alley. The Bond Buyer ($)
FL: Toll roads – editorial
DOT officials say they need extra revenues to pay for other highway
projects, including widening both Interstate 75 and Interstate 95. They
say raising taxes isn’t politically feasible to fill the funding gap.
That much is understandable. But before any leases are cut, Floridians
need to see details, a lot of them. Principally, by how much would
tolls rise? Alligator Alley, like other Florida highways, is a lifeline
for the state, both for residents moving around and for businesses
trucking commerce. A precipitous rise in toll costs could hurt tourism,
and lead to increased costs for consumers. Sun Sentinel
TN: Possibility of toll roads in state
The State of Tennessee wants to raise some cash to fund road
construction, but with gas prices soaring, it’s unlikely lawmakers will
attempt to raise the state gas tax. The Tennessee Department of
Transportation (TDOT) has been given approval to study two projects;
one a bridge, the other a road. EyeWitnessNews
CA: Town overthrows corporate giant for control of water
Felton’s victory should inspire other communities suffering from the
effects of privatization to take back their water systems. Bay Area Indymedia
MI: Comstock school custodians to lose jobs in privatization
Nineteen custodians in Comstock Public Schools will soon be out of work
after the school district’s board voted Monday to privatize custodial
services. Officials say contracting with Grand Rapids Building Services
Inc. to perform custodial work next year is expected to save the
district $430,000. “They want to privatize our jobs and bring in
people for $8.50 an hour instead,” Valerie Hurley, lead custodian at
Green Meadow Elementary School, said as co-workers picketed and
she stood in front of the Comstock Education Service Center, handing
out fliers titled “Do You Want Strangers in School With Your Children?”
“They called us `the school family’ here until it cost more money to
keep that `family’ together,” said the 53-year-old Hurley, who has
been with the district for 23 years. MILive.com
MI: Alma may privatize custodial service
In a cost-saving effort, Alma school officials are exploring
privatizing custodial services. The district is looking at a budget deficit
of $176,000 this year and a shortfall of more than $400,000 in 2008-09.
The move would eliminate 19 custodial jobs, which doesn’t sit well with
members of the Alma Education Support Personnel Association. MILive.com
MI: State’s bid to buy Wrigley strikes out
Former Gov. Jim Thompson struck out Monday in his efforts to have the
state buy and renovate Wrigley Field without raising taxes. Thompson
finally acknowledged what the Sun-Times has reported for weeks: that
the Illinois Sports Facilities Authority’s creative financing plan relied on
the untested concept of "equity seat rights" and that the Tribune Co.
would not go along with it. The state would have raised money to acquire
Wrigley by issuing "taxable bonds" and by selling "associated
naming rights" that would not change the name Wrigley Field.
The Chicago Sun-Times
A bridge too far
The only thing worse than naming big places after politicians is naming
them after the writers of big checks. (I give a pass to Carnegie Hall,
but not Avery Fisher. Philharmonic is as apt and beautiful a word as
Idlewild.) Check that: even worse is naming them after corporations.
New York is not a more poetic city because the Selwyn Theatre, on
Forty-second Street, is now the American Airlines Theatre—though I
admit that, offhand, I’m not sure I could think of an alternative way
to pay for its refurbishment. The New Yorker
Inherently governmental functions
Has the government reached a “tipping point” regarding an overreliance
on contractors. The Public Manager

Headlines
IN: Legislators offered free ride
NV: Gov’s skewed priorities – editorial
PA: Leasing turnpike; take next exit – editorial
MA: Time to cross that bridge?
GA: Mayor pushing garbage privatization
NJ: S. Orange looking to outsource crossing guards
Senate votes to privatize its failing restaurants
Pundits wanted

[click on ‘continued reading’ link for articles]

News Summaries
IN: Legislators offered free ride
Only days after cash tolls nearly doubled on the Indiana Toll Road, the
private company that manages the road had a money-saving offer for
state lawmakers: a free ride. Most legislators said no thanks. Indianapolis Star
NV: Gov’s skewed priorities – editorial
In an effort to pare funding for state services even more, Gov. Jim
Gibbons says he is considering hiring a private company to administer
part or maybe all of Nevada’s mental health services. The whole notion
of privatizing the state’s mental health system is a terrible one that
Gibbons has been pushing since last year. Private companies are in
business to make a profit, and it would be naive to think a corporation
would provide the necessary resources for mental health services if
that meant cutting the company’s bottom line. A similar experiment with
the state women’s prison a few years ago was a stunning failure because
the company was unable to provide adequate medical care, among other
things. The bottom line is that state government should not be
outsourcing its responsibility to provide vital services to its
residents. Las Vegas Sun
PA: Leasing turnpike; take next exit – editorial
While the governor deserves high praise for pursuing a long-term
solution to fixing the state’s crumbling roads and bridges while
supporting mass transit, he’s offering too rosy a traffic report on the
turnpike deal. Better for Pennsylvania would be the far less drastic
plan to add tolls to I-80 – with discounts carved out for local users
of that highway. State officials will get more mileage out of that
plan, while steering clear of the turnpike lease hazards. The biggest
problem with handing over the already well-maintained turnpike to a
private vendor is that the state’s financial return may be a good deal
less than advertised. The Philadelphia Inquirer
MA: Time to cross that bridge?
One Boston watchdog says privatizing the city’s bridges should be back
on the table. In a 1993 report, the Boston Municipal Research Bureau
recommended that the city put the drawbridge operation out to bid,
targeting the division as one area the city could save money. Boston Herald
GA: Mayor pushing garbage privatization
It’s not unusual for local governments to privatize garbage collection,
as Mayor Robert Reichert wants for Macon. A 1999 state survey conducted
by the Georgia Municipal Association indicates that of 301 cities
responding, 141 had privatized residential garbage collection. It was
the municipal service that was outsourced most frequently. Macon.com
NJ: S. Orange looking to outsource crossing guards
Three times a day, beginning at 7:30 a.m. and ending at 4 p.m., Joan
Valent is at her post at Scotland Road and Raymond Avenue in South
Orange, making sure school children get safely across the street. But
come September, she and the other 24 guards in town may not have jobs.
Village officials are considering privatizing the positions that pay a
maximum of about $20 an hour and less than $15,000 a year. "They want
to get rid of the crossing guards and outsource our jobs to a private
company," Valent said. "They (village trustees) didn’t tell us. And
they didn’t have the decency to tell the parents." The Star-Ledger (Newark)
Senate votes to privatize its failing restaurants
Last week, in a late-night voice vote, the Senate agreed to privatize
the operation of its food service, a decision that would, for the first
time, put it under the control of a contractor and all but guarantee
lower wages and benefits for the outfit’s new hires. Washington Post
Pundits wanted
I have a bit of a problem with making all roads toll roads or, even
worse, privatizing them anyway. The events of the last century have
gone something like this. Empowered by the automobile those with the
wherewithal have moved ever farther from city centers. That means that
either they must commute to their work or they must move their work to
their homes in the suburbs. If they elect to do the latter their servants,
employees, and contractors must commute to them. Increasing the costs
for the servants, employees, and contractors will make life harder for them
without changing the behavior of those who’ve moved out to the far
‘burbs much. The Glittering Eye

Headlines
NYC: Rev. Billy rallies against privatizing pavilion
FL: Protesting privatizing alligator alley
MA: Library to stay public
AL: Tolling, privatization bills fail to advance
IA: Private parking slow going
Edwards AFP housing will be privatized

[click on ‘continued reading’ link for articles]
News Summaries
NYC: Rev. Billy rallies against privatizing pavilion
Reverend Billy climbed to the roof of the Pavilion building in Union
Square last night around 6:30 p.m. to hang a banner reading: Not For
Sale. While he was up there, he gave the passersby a lesson on why the
historic free speech structure cannot be turned into a private, upscale
restaurant; reminding people that the first Labor Day in 1882 took
place there, and that one "shouldn’t have to buy a $15 appetizer to
have access to this building.” The Gothamist
FL: Protesting privatizing alligator alley
Members of the Citizens Transportation Coalition fear if the state
hands over Alligator Alley to a private company, it could mean we’d all
be paying as much as $20 to drive round-trip to Florida’s east coast.
The group protested the potential leasing of the alley at Pelican Marsh
Golf Club. They hoped to send a strong message — don’t privatize — to
Lt. Governor Jeff Kottkamp, who gave a speech to the Republican Men’s
Club this morning; however, none of the protesters actually got to see
or talk to the Lt. Governort. WINK News
MA: Library to stay public
Trustees have decided not to privatize Tewksbury’s public library after
all, saying it would not achieve the kind of financial relief for the
town’s budget woes expected by some. The privatization – which might
have been the first in Massachusetts – could have jeopardized state
aid, cut off access to other libraries, deprived local employees of
full-time jobs, challenged the trustees’ authority, and perhaps
violated the law, without reaping financial benefits, the trustees
said. Tewksbury library director Jennifer E. Hinderer called the
profit motive under privatization "completely incompatible" with the
services a public library should provide. Boston Globe
AL: Tolling, privatization bills fail to advance
Multiple efforts in the Alabama Legislature that have died sought to
make toll roads and privatization available as options to fund roadwork.
Land Line Magazine
IA: Private parking slow going
Any plan to turn the city’s downtown parking operation over to a
private manager and send about a dozen longtime city employees packing
isn’t anywhere near happening. In a spirited, hourlong debate, no one
on the City Council last night seemed eager to hire a private
management company to run the city’s parking operation, although Doug
Neumann, president/ CEO of the Downtown District, said many cities
swear by the move to privatization as a way to get improved service,
more expertise, newer technology, customer amenities and better
maintained parking facilities. Todd Taylor, a state representative in
House District 34 in Cedar Rapids and a staff representative for AFSCME,
spoke to the council on behalf of the city parking employees who stood to
lose their jobs if the council decided to privatize the operation. TMCNet
Edwards AFP housing will be privatized
Privatization means a developer, or project owner, will own all of base
housing with a 50-year lease of the land and will be responsible for
operations and maintenance. All Air Force installations in the United
States are slated to privatize under the Office of the Secretary of
Defense’s goal to eliminate all inadequate military family housing.
Several plans for the privatization include a community park and trails
linking the neighborhoods. The plan may also include amenities such as
additional parks and play areas and a new housing community center.
Edwards AFB

Headlines
A brighter light on federal spending
NY: Triborough will not be the RFK bridge
MN: 3rd bridge closed as inspections continue
FL: Word change ups chances for school vouchers
PA: Two introduce Rendell’s turnpike-lease plan
AR: Camps may turn private
ME: Toll road has supporters and detractors
FL: Beltway P3 postponed
Policy threatens conservation on public lands
Unappetizing politics of school lunches
Senate restaurants poised for privatized ownership

[click on ‘continued reading’ link for articles]

News Summaries

A brighter light on federal spending
If you read the morning paper, you know that Senator Obama has clinched
the Democratic presidential nomination. What you might not know is that
yesterday, Senators Obama (D-IL) and Coburn (R-OK) introduced legislation
to improve public access to government contract, grant, and lease information.
The "Strengthening Transparency and Accountability in Federal Spending Act of 2008"
(S. 3077) would expand the Senators’ first creation, USASpending.gov–a
user-friendly web site where taxpayers can see how our money is spent. POGO
NY: Triborough will now be the RFK bridge
On the eve of the 40th anniversary of the assassination of Robert F.
Kennedy, the state Assembly yesterday voted to rename the Triborough
Bridge in his honor. Gov. David Paterson plans to sign the measure to
call the span the Robert F. Kennedy Bridge, his spokesman said. New York Post
MN: 3rd bridge closed as inspections continue
State officials have closed a bridge over the Mississippi River after
finding problems similar to those suspected of contributing to the
fatal collapse of the Interstate 35W bridge in downtown Minneapolis
last Aug. 1. The bridge is the third to be closed since the state began
special inspections three months ago. The New York Times
FL: Word change ups chances for school vouchers
A majority of Florida voters don’t want to spend public money on private
and religious schools — but they’ll probably vote by large margins to do
it in November, anyway, according to a new poll. The reason: A tactical
decision by the state Taxation and Budget Reform Commission to combine
private-school vouchers with a proposal to ensure that 65 percent of
every education dollar is spent in the classroom. The Miami Herald
PA: Two introduce Rendell’s turnpike-lease plan
Gov. Rendell’s proposal to lease the Pennsylvania Turnpike to a private
operator for $12.8 billion was introduced in the state House yesterday by
a powerful Philadelphia Democrat and a rural Republican. The Philadelphia Inquirer
AR: Camps may turn private
The Corp of Engineers is considering a plan to turn campsites at three
Arkansas lakes over to private firms. The lakes in question are some of
the best in Arkansas, and the campers who use those lakes fear the plan
will lead to undesirable development around them. Camper Ricky Dunn
says things would be better if the money collected at the campsites was
used to manage them, instead of going to other budget items for the
Corp of Engineers. Dunn fears the lakes will never be the same, "These
boat docks, if they privatize they’ll be plum around this lake here.
It’ll be solid boat docks. Todaysthv.com
ME: Toll road has supporters and detractors
The proposal to build a privately owned, $1 billion toll road through
Maine has its supporters and its critics on both sides of the Canadian
border. Ivan Court, who last week was sworn in as the new mayor of
Saint John, is clearly an advocate of construction of a 220-mile,
east-west toll road through the wilderness of north-central Maine.The
project’s critics include Tim Sullivan, a self-described environmentalist
who is a manager of the Good Tern Natural Food Co-op & Café in
Rockland, and Jack McKay, president of the Bangor-based Eastern Maine
Labor Council. “It’s a little crazy, especially with the rising cost of fuel,”
said Sullivan, an advocate of free trade. “And having a right of way that
is 2,000 feet wide is really insane. A normal, two-lane highway is 100 feet
wide, which is why I think 2,000 feet is environmentally disastrous.”
Sullivan terms the proposed toll road “a [North American Free Trade Agreement]
highway” that will benefit Canada at the expense of Americans.
The Ellsworth American
FL: Beltway P3 postponed
The Florida Department of Transportation has postponed the receipt of
qualifications from potential concessionaires interested in designing,
building, and operating a nearly $2 billion project near Jacksonville
known as the First Coast Outer Beltway. The state is planning to use a
public-private partnership to build a four-lane, 46.5-mile-long,
limited-access toll road between Interstate 95 in St. Johns County and
Interstate 10 in Duval County. It includes a new bridge over the St.
Johns River and 13 interchanges. The Bond Buyer ($)
Policy threatens conservation on public lands
Acting behind closed doors, the Bush administration is rewriting a key
policy manual for management of endangered, threatened, and other
special-status species found on federal lands that would eliminate key
protections currently given to the most at-risk wildlife and plants.
“This is part of the Bush administration’s drive to privatize public
land management and promote industrial exploitation of public lands
resources for the profit of a few,” said Lisa Belenky, staff attorney
with the Center for Biological Diversity. “These changes would direct
BLM staff to limit conservation efforts on public lands rather than
ensure that wildlife and rare plants are conserved for future
generations.” Center for Biological Diversity
Unappetizing politics of school lunches
The USDA’s inability to achieve the lunch program’s goals opened the
door to privatization. To accommodate the products of brand-name foods,
federal nutrition standards were bent so far out of shape that ketchup
was declared a vegetable (although this is no longer the case). Still,
the nutrition of schoolroom lunches has not improved with private
companies nor have they improved the financial woes of the National
School Lunch Program (NSLP). CampusProgress
Senate restaurants poised for privatized ownership
The U.S. Senate is close to finally having privately run restaurants,
ending decades of in-house cafeterias whose large deficits have cost
the chamber millions of dollars. Roll Call ($)

Headlines
Texas DOT slammed by panel over toll road
NV: State mulls mental health fix — privatizing
MA: Board chews on privatizing school lunch
PA: Panel recommends privatizing sewage recycling
IN: Fire privatization proposal ignites safety debate

[click on ‘continued reading’ link for articles]
News Summaries
Texas DOT slammed by panel over toll road
The Texas state legislature’s Sunset Advisory Commission released a
report yesterday slamming the Texas Department of Transportation
(TxDOT) and its high-level focus on toll financing. In a blistering
157-page report, the commission condemned the agency’s attitude and
argued for shakeup in the way the department does business. "Early
concerns about the department’s approach to toll roads and its interest
in public-private partnerships have become a deep-seated distrust of
TxDOT’s motives and direction, as reflected in the legislature’s
insistent drive to recapture policy ground lost to the department," the
report explained. "Many expressed concerns that TxDOT was ‘out of
control,’ advancing its own agenda against objections of both the
legislature and the public." TheNewspaper.com
NV: State mulls mental health fix — privatizing
With Nevada facing a potential 14 percent budget cut, the state is
considering the possibility of turning all or part of its mental health
system over to private companies to reduce costs. Gretchen Greiner,
chairwoman of the state Commission on Mental Health and Developmental
Services, questioned whether private companies would be interested in
Nevada because of budget problems. “There’s no money for ourselves,”
she said. “How are we going to get money to pay them?” Greiner, of
Elko, also expressed concern that privatization would cripple mental
health in rural Nevada, which is short of services. Las Vegas Sun
MA: Board chews on privatizing school lunch
Salem Superintendent William Cameron Jr. says schools can’t afford to
keep food service in-house and guaranteed it would be cheaper to hire
an international company to feed local students. The School Committee
was supposed to vote last night on whether to privatize school lunches,
but postponed the decision until its next meeting. The group opposing
privatization distributed its suggestions last week to the superintendent,
School Committee members and Mayor Kim Driscoll in the form of a binder
divided into chapters that outline the proposed the finances, menus, staffing
and management of a revamped program. It includes an executive summary,
a conclusion, and various supporting materials with numbers, history and
student comments. It is titled "Proposal for Salem Public Schools
Lunch Program," with the subtitle "Local Solutions for a Strong Local
Economy." The Salem News
PA: Panel recommends privatizing sewage recycling
A Philadelphia City Council panel recommends privatizing a city sewage
sludge recycling operation. The city Water Department runs the 70-acre
Philadelphia Biosolids Recycling Center. The site under the Platt Bridge
converts sewage sludge to a "cake" product safe for landfill and
fertilizer use. The city pays to send it to landfills, farms and old strip
mines. The City Council’s Finance Committee recommended Tuesday
that the council approve a 23-year contract for a partnership led by
Synagro Technologies of Houston to operate the center. York Daily Record
IN: Fire privatization proposal ignites safety debate
There’s no doubt a private fire department would cost less than the
current public fire department, according to Ball State University
economist Michael Hicks. "The question is: Do you get the same
service?" Hicks said. Mayor Sharon McShurley announced Monday she was
considering — among other things — privatizing the Muncie Fire
Department to help compensate for an expected shortfall of $7 million
in tax revenue between 2009 and 2010 combined. A private fire
department, Whited said, would put profits before public safety. Whited
doubted that privatization would find support among the general public,
pointing to the fact that hundreds of fire department supporters
attended Monday’s council meeting. "Muncie firefighters have a vested
interest in this community," Whited said. "Not every firefighter lives
in the city but a lot of us own property in the city limits or have
businesses in the city limits. It’s our friends and family and people
we know that we are making runs to." The Star Press

Headlines
UT: Toll-road plan has some cities steamed
TX: State to own all toll roads
NJ: Unions say privatizing prisons leads to escapes
PA: Bid to lease turnpike might shrink
PA: If managers goof up with turnpike, state can break lease
IN: Mayor wants to privatize Muncie fire department
CA: City to lease out golf course
IN: Gov. candidates on toll road

[click on ‘continued reading’ for articles]

News Summaries
UT: Toll-road plan has some cities steamed
The idea of tolling the Mountain View Corridor was dead, at least
that’s what Riverton Councilman Brad Markus thought. But it’s alive, he
and other city leaders learned, and remains very much an option for
funding the proposed west-side highway. So he and council members from
other Salt Lake Valley cities, fearful that their objections aren’t
being heard, are banding together and urging municipalities to pass
resolutions against the toll-road option."It’s a matter of fairness,"
West Valley City Councilwoman Carolynn Burt said. A state study found
the tolls would pay for about $1.1 billion of Mountain View’s $1.8
billion price tag. But council members worry about long-term costs.
They fear some residents may have to cough up $200 a month to use the
road. They also worry about fee-dodging commuters bypassing the highway
altogether, clogging up and wearing down other routes. The Salt Lake Tribune
TX: State to own all toll roads
The Texas Transportation Commission has adopted a toll road policy that
calls for all Texas highways to be owned by the state, even future
roads that might be built and operated by private developers. The new
policy also prohibits the imposition of tolls to existing highways,
except for new lanes that might be added to relieve traffic congestion.
If tolled lanes are added, the number of free lanes cannot be reduced.
All-new comprehensive development agreements will include provisions
that allow the Texas Department of Transportation to purchase the
interest of the private developer at any time "if buying back the
project would be in the best financial interest of the state," the TTC
said. "The commission’s action today reflects the comments we have
received from Texas drivers, legislators, and members of our citizen
advisory committees," said TTC chairwoman Deirdre Delisi. Delisi said
that the Trans-Texas Corridor implementation plan, which was issued in
June 2002, should be updated to reflect changes in the state’s
transportation challenges since then. The Trans Texas Corridor proposal
includes a toll highway that would parallel portions of Interstate
Highway 35, and a new interstate highway from Northeast Texas to the
Rio Grande Valley. The Bond Buyer ($)
NJ: Unions say privatizing prisons leads to escapes
When a halfway house resident was arrested in Bridgeton two weeks ago
for soliciting prostitution, some viewed it simply as odd news. State
corrections officers viewed it as a sign of a larger problem, that of
privatizing prisons, and Thursday they unleashed a radio campaign
hammering on just that. Press of Atlantic City
PA: Bid to lease turnpike might shrink
The $12.8 billion bid to operate the Pennsylvania Turnpike will shrink
if interest rates rise, the winning bidders said yesterday. The
provision is designed to protect the consortium from increased costs
for borrowing money, said Rob Collins, of Morgan Stanley & Co., the
administration’s financial adviser on the turnpike lease. He said
similar clauses were included in the leases of the Chicago Skyway and
the Indiana Toll Road.Gov. Rendell said he expects no legislative
action on the proposed lease of the turnpike until at least the fall.
The private consortium that Rendell wants to operate the turnpike also
said that any turnpike workers displaced by new technologies would be
retrained and given new jobs on the toll road. Philadelphia Inquirer
PA: If managers goof up with turnpike, state can break lease
State officials could bail out of a 75-year lease of the Turnpike —
and keep all the up-front money — if its private managers bungle
operations of the highway. But such a step could only follow an
exhaustive process that includes mediators and the courts, say the
Rendell administration and officials from the Spanish-American
consortium angling for control of the Turnpike. The administration is
seeking the Legislature’s consent to lease the highway. The Morning Call
IN: Mayor wants to privatize Muncie fire department
Mayor Sharon McShurley said she is considering privatizing fire
protection or utilizing volunteer firefighters to compensate for
expected shortfalls in property tax revenues. McShurley did not offer
many details about how privatized fire protection worked or how many
other cities contract out fire services. The Star Press
CA: City to lease out golf course
The city of Salinas plans to turn over all operations at Fairways Golf
Course to a private firm, a move officials say will eventually save the
city millions of dollars. Although Sierra Golf won’t immediately increase
prices at Fairways, fees will eventually climb as the company makes
capital improvements to the course, said Jeff Christensen, the company’s
president and chief executive officer. On Monday, some of the course’s longtime
regulars expressed mixed emotions over Salinas Fairways’ privatized future.
"A lot of retired people play out here," said Phil Nelson, a retired Salinas
resident. "If they raise the rates, the chances of continuing are very slim
because of their fixed incomes." The Salinas Californian
IN: Gov. candidates on toll road
Challenger Jill Long Thompson and other Democrats have blasted the Toll
Road lease and other privatization deals. Gov. Daniels says rolling
back those deals would cost taxpayers hundreds of millions of dollars,
and says Democratic hostility toward the word "private" sums up the
difference between the parties. WIBC-FM

Headlines
Trend towards water privatization
PA: Turnpike lease: read the fine print – opinion
Ill. Senate ok’s lottery privatization
MD: New rules revisit an old debate
FL: Public cool to plan to privatize toll road
CA: Republican reps. want toll road extended
WI: Security firm raided for writing phony parking tickets
NY: Fancy restaurant in NYC’s union square?
SC: Councils might lose power over private sewage plants
Rent-a-spy

[click on ‘continued reading’ link for articles]

News Summaries
Trend towards water privatization
A privatization trend has swept the water utility industry recently as
more municipalities – which control the majority of the nation’s water
suppliers – mull selling off assets for an infusion of cash. Already
American Water serves more than 1,600 communities throughout 20 states.
CNN Money
PA: Turnpike lease: read the fine print – opinion
The proposed contract to privatize the Pennsylvania Turnpike is
available on the Internet, but most people won’t read one word of the
686-page document. Not only is its length intimidating, but it begins
with 21 pages of specialized definitions, such as "compensation event,"
cross-referenced to other parts of the contract. Might as well post a
Keep Out sign. But average people can — and must — understand this
document and its potential impact on life in Pennsylvania for the next
75 years. It is about far more than leasing the turnpike and paying
higher tolls to generate billions of dollars for road repairs. When
"compensation events" happen, money can flow the other way — from the
taxpayers to the turnpike contractor. But even more important, leasing
the turnpike could restructure Pennsylvania government. Pittsburgh Post-Gazette
Ill. Senate ok’s lottery privatization
The Illinois Senate has approved a major gambling expansion that would
include a casino in downtown Chicago. The expansion would help pay for
a major construction program to build new roads, bridges and schools.
The Senate also approved another part of the construction program —
privatizing the state lottery. Chicago Tribune
MD: New rules revisit an old debate
New federal transportation rules scheduled to stop the Maryland Transit
Administration’s $10 bus rides to and from park-and-ride lots to
Orioles games starting tomorrow are based on a philosophical argument
made nationally by private bus companies that they should not have to
compete for special-event business with publicly subsidized buses.
According to state transportation officials, tougher enforcement of
national rules by the Federal Transit Administration would force
limitations on the services public transit agencies can offer if the
services compete with private firms. It would be enforced with
financial penalties for those who violate the rules. In Maryland, that
means no more $10 express service to Orioles or Ravens games or to next
year’s Preakness, though regularly scheduled transit routes would be
unaffected. Baltimore Sun
FL: Public cool to plan to privatize toll road
The Florida Department of Transportation is looking for a private
company to lease the 78-mile section of I-75 that connects Southwest
and Southeast Florida.The private company would operate and maintain
the road for 50 years or more. The state would still own it. The
bidding process is still in the early stages, but residents in Collier
and Broward counties are not enamored with the idea. Miami Herald
CA: Republican reps. want toll road extended
U.S. Rep. Dana Rohrabacher is one of eight congressmen who asked the
U.S. Secretary of Commerce to overrule the California Coastal
Commission’s rejection of an extension of the 241 toll road through San
Onofre State Beach. Huntington Beach Independent
WI: Security firm raided for writing phony parking tickets
Police raided the office of a local security firm and the home of its
owner on Wednesday after a number of people reported they received
official-looking parking tickets that weren’t issued by police. In
search warrants filed Thursday in Dane County Circuit Court, DeForest
Police Sgt. Jim Pertzborn wrote that people were confused by the $25
and $50 parking tickets issued by Metropolitan Private Police and left
on cars in business and residential parking lots. The Wisconsin State Journal
NY: Fancy restaurant in NYC’s union square?
Save Union Square 2008, a group of concerned New York residents, has
taken up the fight to stop privatization of a historic portion of
Manhattan’s Union Square. Last Wed., they began holding weekly events
to raise opposition to plans by the city and private interests to
convert the historic Pavilion at the north end of Union Square from a
children’s indoor playground and community space into a private,
upscale restaurant. The Village Voice
SC: Councils might lose power over private sewage plants
The Legislature is considering a bill that would strip regional
councils of governments of their authority to prohibit privately owned
sewage treatment plants. The legislation could clear a path toward
developing rural areas with no sewer lines, like Awendaw and parts of
Johns Island. Opponents say amendment violates Clean Water Act.
The Post and Courier (Charleston)
Rent-a-spy
Three quarters of the U.S. intelligence budget now goes to outside
contractors. As investigative reporter Tim Shorrock notes in this
valuable (and angry) book, Spies for Hire, contractors have long had
the run of the Pentagon and CIA, working hand in hand on projects
ranging from reconnaissance satellites to Predator drones. But Shorrock
persuasively shows that the business has changed dramatically in recent
years, beginning even before the Sept. 11 attacks set off a homeland
security gold rush. Washington Post