Posted on 12/26/2007 1:43:40 PM PST by NormsRevenge
SAN FRANCISCO (Reuters) - California Gov. Arnold Schwarzenegger called on lawmakers on Wednesday to pass legislation to allow the private sector to have a bigger role in building, operating and maintaining the state's public works.
The Republican governor, who has often spoken in favor of public-private partnerships to improve and expand state infrastructure, urged the state's Democrat-led legislature to approve bills that would expand the types of projects, services and government entities that could enter into such tie-ups.
Schwarzenegger and top lawmakers rallied voters last year to support ballot measures authorizing more than $40 billion in general obligation debt to finance various public works projects. But he has maintained those funds represent a fraction of the investment the country's most populous state must make in its infrastructure.
His administration estimates California requires $500 billion in public works investment over the next two decades, an effort he expects the private sector to join if lawmakers allow.
"The bonds approved by voters last year marked the first major investment in California's infrastructure in decades, but the job is far from finished," Schwarzenegger said in a statement.
Earlier this year, Schwarzenegger proposed that lawmakers allow the private sector to lease and operate California's lottery. The state-run program's revenues have been disappointing and many officials in Sacramento, the state capital, think it could be operated more effectively for the state by a private company.
Democratic lawmakers who control the legislature have traditionally opposed proposals that may cut public payrolls through privatization, but they did not rule out Schwarzenegger's lottery proposal.
In his statement, Schwarzenegger stressed that public-private partnerships -- or "Performance Based Infrastructure" -- would not make public works private.
Instead, according to the statement, they would "improve the value citizens get from their infrastructure. ... That value can take many forms, including lower upfront or all-in costs, better service, greater efficiency, faster delivery, full cost accounting or lower risk."
California would not contract with a private company to build and manage a public works project if it does not save money for the state, Schwarzenegger adviser David Crane told reporters during a telephone conference call.
"You only enter into this when the terms make sense," said Crane, an advisor for matters of jobs and economic growth.
Schwarzenegger's statement noted that public-private infrastructure partnerships operate successfully in Canada, Australia, Europe and some other U.S. states.
Crane said the governor's office is studying the range of partnerships elsewhere to see how they could be applied to California.
The list of U.S. states interested in the tie-ups is growing as revenues decline amid an economic slowdown, raising the prospect of projects such as toll roads financed and operated by private companies in place of traditional highways and freeways.
California faces a budget shortfall estimated at $14 billion over its current and next fiscal year as the housing slump slows its revenue growth. Schwarzenegger and lawmakers may be forced to tighten spending from the state's general fund on public works.
Schwarzenegger calls for new tack on infrastructure (public-private partnerships) ^
http://www.freerepublic.com/focus/f-news/1931882/posts
Posted by calcowgirl
On News/Activism ^ 11/28/2007 1:09:04 PM PST · 91 replies
Los Angeles Times ^ | November 28, 2007 | Michael Rothfeld
He wants private firms to partner with the state in building and maintaining roads and other projects. SACRAMENTO — Gov. Arnold Schwarzenegger on Tuesday signaled a controversial push to engage private companies in the building and management of state and local public works projects, proposing a strategy widely employed in Canada, Europe and elsewhere. In such partnerships, which could take a variety of forms, private companies could finance, build and manage roads, schools, waste-water treatment plants, ports, levees, hospitals and other projects. The companies would rent the facilities to the government or collect fees from users. Though public-private partnerships have...
Don’t they do that in San Francisco?.......
Of course, that will mean an equal and commensurate decrease in taxes levied, and across the board!
Right?
Just dump Caltrans and privatize it all with no stipulations regarding union workers. Like that’ll ever happen...
CalPERS has a $252.2 Billion surplus which Ahrnold could tap. It’s public employee pension money, but they routinely get 10-11% return annually.
Crane, an advisor for matters of jobs and economic growth is also an Honorary member of the
California Commission for Jobs and Economic Growth
http://www.4cajobs.com/
too bad we can’t outsource state gubamints.. probably be a lot cheaper and less injurious to this state and country..
Chust like in de old country.
Reduces the size of the public staff but sure doesn’t reduce the size of the public budget. It’s a modern version of the old shell game.
Ahhhhnuld = big phoney
says I
I thought our government and big business already did that. The military industrial complex???????
Please Arnold, switch parties. You’re stinking up this tent.
Many opportunities for corruption.
Isn’t this how we got in trouble with Enron? Two years of brownouts because they were withholding electricity to up the price? I don’t know the politics but I know what it was like to have shortages, which proved to be manufactured for profit. Stores with half their lights off and the electric doors turned off, theaters with no air conditioning, brownouts almost every day, and bills that doubled in one summer. If he wants to outsource something it should be inmates, but they already put the kibosh on that. Oh, and he could outsource the illegal aliens to Mexico. I bet nobody’s thought of that one. (/extreme angry sarcasm)
calcowgirl called this one a long time ago. Pointing out of course how the “private” part of that deal will involve Arnold’s well-placed cronies.
calcowgirl called this one a long time ago. Pointing out of course how the “private” part of that deal will involve Arnold’s well-placed cronies.
—
purely coincidence, I am sure..
.. like the limoful of Kennedys that surround him..
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