Recently in Transportation Category

Source: David Futrelle, Time, May 11, 2012

Related:
Parking Meter Firm Bills City Another $2.1 Million / Documents Show Hidden Cost Of Lease Deal To Taxpayers
Source: The Expired Meter (blog), December 15, 2011

While Chicago's infamous parking meter lease deal quietly celebrated its third anniversary the first week of December, the city was releasing documents chronicling more evidence the privatization of the city's more than 36,000 parking meters turned out to be more costly for taxpayers than originally imagined.

Financial statements, released by the Chicago Inspector General's office via their Open Chicago government transparency initiative, reveals what many critics of the lease deal had feared-the city would end up owing or paying Chicago Parking Meters, LLC millions of dollars in compensation when any sort of change or activity by the city impacts parking meter revenue for the company.

Financial statements for the company show that CPM has billed the city an additional $2,191,326 in "True-up Revenue" through the end of 2010....

...According to the over 500 pages of contract with CPM, these events could include any situation which would require the city to remove a metered space from the system (installing a loading zone, moving a bus stop, etc.), or if a tax on metered parking is imposed by the city, or when metered parking is temporarily out of commission during a closure.
See also:
- Meter company sends city $13.5 million bill for disabled parking
Source: Chris Fusco Chicago Sun-Times, December 13, 2011
Updated:
- Parking meter rates rising with the new year
Source: Chicago Tribune, January 02, 2012

Source: Baruch Feigenbaum, Reason Foundation, May 11, 2012

How and why the surface transportation reauthorization bill would deprive states of a much-needed tool for expanding investment in highways and transit

Source: The Real Deal, May 11, 2012

The Metropolitan Transportation Authority is currently considering an option to outsource both the management and operations of the East Side Access concourse and has paid a consulting firm $600,000 to see if the plan is possible, Crain's reported. The agency will also issue a request for proposals next month to have private companies manage the Fulton Street Transit Center in Lower Manhattan.

Source: Kate Hinds, Transportation Nation, May 10, 2012

Related:
- N.Y. Thruway Plans Toll-Backed Debt for New Tappan Zee Bridge
Source: Tonya Chin, Bond Buyer, May 10, 2012

- Cuomo Seeks Law for Private Investment in New Tappan Zee Bridge
Source: Freeman Klopott and Martin Z. Braun, Bloomberg News, March 22, 2012

Governor Andrew Cuomo is seeking legislation that would allow private-equity firms to help finance construction of public-works projects, including a new $5.2 billion Tappan Zee Bridge.

The bill would authorize the state to lease bridges, roads and state buildings to help pay for construction, maintenance and operations of infrastructure, said Thomas Madison, executive director of the New York State Thruway Authority....

Source: Fran Spielman, Chicago Sun Times, May 7, 2012

See also:
- City not yet grounding Midway privatization possibility
Source: Fran Spielman, Chicago Sun Times, March 30, 2012
- Chicago Leaves Door Open For Midway Airport Lease
Source: Yvette Shields, Bond Buyer, April 3, 2012
(subscription required)
- FAA OKs Chicago Bid for Midway Airport Privatization
Source: Yvette Shields, Bond Buyer, April 9, 2012
(subscription required)
- Plans to privatize Midway may fly again / As eligibility deadline approaches, some say deal is viable; Mayor Rahm Emanuel remains mum
Source: Kathy Bergen, Chicago Tribune, March 15, 2012

Chicago attorney John Schmidt, a key adviser to the city on the ultimately unsuccessful push several years ago to privatize Midway Airport, says such a deal would be viable now, given that the financial markets have stabilized....A proposal to privatize the Luiz Munoz Marin International Airport in San Juan, Puerto Rico, is moving ahead with strong interest from investors and support from the major airlines operating there, said Schmidt, who is counsel on that project and a partner with Mayer Brown LLP.

Source: Reuters, May 2, 2012

Puerto Rico officials eyeing a possible $1 billion payday on Wednesday said they had narrowed to two the finalists for a public-private concession to run the Caribbean island's Luiz Munoz Marin Airport for as long as half a century. The Puerto Rico Public Private Partnership Authority and the Ports Authority announced as finalists, consortiums Grupo Aerpuertos Avance (GAA) and Aerostar Airport Holdings LLC (AAH). They were chosen from as many as six bidders which had made offers in March....

...The government expects a big upfront payment, with most of the money used to pay off some of the $900 million of outstanding debt issued by Puerto Rico's cash-strapped Ports Authority....

...This is the second large public-private deal Puerto Rico is working on. Last year, the U.S. commonwealth undertook a 40-year concession for roadways PR22 and PR5 to Metropistas.

Source: Leonard Gilroy and Harris Kenny, Reason Foundation, April 30, 2012

Now in its 25th year of publication, Reason Foundation's Annual Privatization Report is the world's longest running and most comprehensive report on privatization news, developments and trends.

Annual Privatization Report 2011 (APR 2011) details the latest on privatization and government reform initiatives at all levels of government. The individual sections of APR 2011 include:

Federal Privatization
State Privatization
Local Privatization
Air Transportation
Surface Transportation
Education
Telecommunications
Corrections and Public Safety

Source: Matt Katz, Philadelphia Inquirer, April 29, 2012

....The next piece of New Jersey government that may hit the market could provide the biggest windfall - and the biggest controversy. The Treasury Department has sought information from vendors about privatizing the $2.6 billion state lottery....Other states are considering offering long-term leases on their lotteries. Such a move would bring an immediate infusion into New Jersey's coffers, expand gaming opportunities, and allow the state to tax profits....

...One of the world's biggest players in lottery, GTech, responded with information about its experience running the Illinois lottery in a consortium with another company, Scientific Games. GTech is a subsidiary of an Italian firm and operates in 26 states - including New Jersey, where it has a contract to operate electronic lottery terminals....A British firm, Camelot, also is interested....

...Companies that get state lottery contracts are notorious for their campaign contributions....

What's for Sale in N.J.? The lottery...Tolls...Highway maintenance...Vehicle maintenance...Child-support payment processing...Prison food services...Schools....Public TV...Racetracks....State parks....Housing for the developmentally disabled....NJ Transit parking....

Source: Matthew Cunningham-Cook, Labor Notes, April 24, 2012

...Escambia County, Florida, is conservative: John McCain took it by 59 percent in 2008. But in December a community coalition between the transit local, Occupy Pensacola, and faith leaders scored a victory for respect in the workplace. Riders, drivers, and community members successfully pressured the county commission to remove the French multinational Veolia Transportation as its transit provider....

...Veolia had proposed reducing sick leave and creating more part-time, benefit-free positions, in addition to creating a far stricter attendance policy. During the negotiations, Veolia aggressively disciplined drivers for minor incidents, such as unspecified and undocumented passenger complaints....Veolia was extracting a half-million-dollar annual profit from the community, to employ only three people, while the rest of the workers were employed directly by the county....While the county gave the contract to another company, First Transit, the local has received commitments from commissioners that if the work environment doesn't change, First Transit will be removed as well.

Source: Jeremiah McWilliams, Atlanta Journal-Constitution, April 20, 2012

...Atlanta's parking enforcement started rankling residents almost immediately after it was outsourced in 2009. The controversy has quieted somewhat but has not disappeared....Milwaukee-based Duncan Solutions, which does business as ParkAtlanta, installed hundreds of meters in 2010, within months of winning the contract. After residents complained about the aggressive new approach, the City Council restricted ParkAtlanta's operations with a moratorium on new meters and reduced hours.

That boomeranged on the city when an arbitrator ruled late last year that, because of those restrictions, the company would only be required to pay the city $1.5 million per year -- a 73 percent reduction from the $5.5 million originally agreed to. The $4 million difference is enough to pay for 50 police officers, said Duriya Farooqui, the city's chief operating officer....