In January 2001, Perry proposed the Trans-Texas Corridor, a $145+ billion-dollar project that would build multi-lane highways, rail lines and data lines from Oklahoma to Mexico, and from east to west in southern Texas.
Instead of paying for the project with taxes, Perry proposed that it be partially financed, partially built and wholly operated by private contractors who, in exchange for a multi-billion dollar investment, would receive all toll proceeds, notably Cintra, a Spanish-owned company.
One of the more controversial aspects of the project was extensive use of eminent domain to acquire property. Opponents portrayed the proposal as a "land grab", and criticized Perry for opposing the public release of the actual terms of the 50-year deal with Cintra to the public for fear they would chill the possibility of the company's investment.
Perry's former liaison to the legislature, former State Senator Dan Shelly, returned to his consulting/lobbying work with Cintra after securing the TTC deal while on the state payroll.
All of Perry's gubernatorial opponents opposed the corridor project, as did the 2006 state party platforms of both the Democratic and Republicans parties.
The idea itself is not a bad one, especially considering the highways in Texas and how crammed they are, like rush hour from Dallas to Austin.
Toll roads are a great way to build a road without raising taxes, it's a pay to use system and if you don't want to use it, take the Interstate. I use 190 and 121 all the time and they are toll roads, I have other options but I pay around 40 bucks a month to move quickly from job to job.
Now to the eminent domain, yes that is why it failed, that's how government works. I hope they do come up with a better idea for relief.