Opinion: DOT’s math on privatization adds up to ‘no deal’

Source: Ledger-Enquirer, September 22, 2014

….This much is unarguable: If “privatizing,” as the term has been coined, costs more than the government function cost taxpayers in the first place, then it’s a bad idea no matter what function we’re talking about. That, apparently, is the case with the Georgia Department of Transportation — or rather, would have been the case if a DOT committee hadn’t done its homework. The department was considering a contract for janitorial and other services at highway welcome centers and rest areas. The DOT sent out a request for proposals, and received two bids, one for $37.7 million and the other for $36.5 million. Except that, according to the Atlanta Journal-Constitution, the Transportation Board’s Public-Private Partnership (P3) Committee determined that the DOT could employ people to do the same work for $27.8 million….