Cleveland Mayor Frank Jackson is heading to Columbus today to try and sell state legislators on his plan for overhauling his city’s school system. …. Cleveland’s teachers union opposes the proposal, which would allow the district to fire ineffective teachers and share tax revenue with privately operated charter schools….
Streetsboro — A plan to outsource grass cutting services is being slowed by City Council members’ concerns the city’s union would balk at the idea, which administrators have said would not cost the city jobs. According to Service Director Bill Miller, seeking a contract with an independent company for cutting grass would be a more efficient use of city funds than paying service workers to do it. According to the proposed legislation, the contract would not exceed $40,000 for 2012….
In tight times, governments push for more centralization. But it doesn’t always produce the positive results that are hoped for.
Selling state prisons has turned out to be more of a challenge than a moneymaker. The closed Ohio River Valley Juvenile Correctional Facility in Franklin Furnace, valued at $11.5 million by the Scioto County auditor, attracted just two bids yesterday. The high bid of $284,000 came from MGNR Properties of North Ridgeville, Ohio. A second bid of $117,558 was offered by National Scrap Corp. of South Bloomfield, Ohio. The 36 acres of land alone are worth more than either bid: $846,230, according to county records.
Brunswick City Council’s authorization Feb. 13 to enter into a three-year agreement with Mark’s Cleaning Service to provide cleaning services to its recreation center, police department and city hall buildings closes a three-month revolving door of temporary cleaning companies. “Bids were opened Jan. 22 and 10 were received,” Parks and Recreation Director John Piepsny said. “The contract will be for $4,000 per month for the Rec Center and $2,550 per month for the police department and city hall.”
Ward 3 Councilman Dave Coleman asked how much of an increase the monthly amounts were, when compared to that of Personal Touch Janitorial, which terminated its three-year contract with the city and stopped providing services Nov. 30, 2011.
Piepsny said the Mark’s Cleaning contract represents a $600 per month increase for the Rec Center cleaning, and a $445 increase for cleaning of the other two buildings.
As state governments wrestle with massive budget shortfalls, a Wall Street giant is offering a solution: cash in exchange for state property. Prisons, to be exact.
Corrections Corporation of America, the nation’s largest operator of for-profit prisons, has sent letters recently to 48 states offering to buy up their prisons as a remedy for “challenging corrections budgets.” In exchange, the company is asking for a 20-year management contract, plus an assurance that the prison would remain at least 90 percent full, according to a copy of the letter obtained by The Huffington Post.
– America’s Gulag: The Money (in Politics) Behind Prison Privatization
Source: Nick Penniman, Huffington Post, February 15, 2012
– CCA’s False Advertising
Source: Mike Brickner, ACLU Blog of Rights, March 2, 2012
– Private purchasing of prisons locks in occupancy rates
Source: Kevin Johnson, USA Today, March 1, 2012
– Proposal to buy prisons raises ethical concerns
Source: Kevin Johnson, USA Today, March 7, 2012
– Corrections firm offers states cash for prisons
Source: Greg Bluestein, Associated Press, March 9, 2012
…ODOT’s Director Jerry Wray talked about the possibility of privatizing the turnpike and rest areas. The move would make Ohio the first state in the nation to privatize rest areas, something that could generate a significant annual income source. According to ODOT, maintaining the rest areas along the turnpike costs 30 to 40 million dollars each year….
Proponents of liquor privatization in at least eight states hope they can drink their budget deficit pain away.
Privatization, which would do away with post-Prohibition regulations on the sale of distilled spirits, could herald a new era of easy access to liquor and perhaps cheaper prices. The move is being aggressively supported in some states by big box retailers like Costco, which are hoping to get a cut of the liquor market. But opponents say the onetime cash infusion that would come from selling off liquor licenses would sacrifice the revenue generated by state monopolies on liquor sales or distribution.
Some of Ohio’s largest road and bridge construction projects wouldn’t have to wait decades if state leaders considered using private companies to build and operate transportation venues normally controlled by government, Ohio Department of Transportation officials said Wednesday.
ODOT got the green light in a transportation budget bill last year to use public-private partnerships to finance big projects. And the agency is considering privatizing 59 noninterstate rest stops and examining other ways to leverage state assets to generate cash, including leasing the Ohio Turnpike to a private operator.
Despite unresolved litigation that has stalled the deal for a year, Ohio is moving forward with a plan to lease its liquor enterprise to a newly created private agency that will float $1.5 billion of bonds to finance the deal. The plan calls for the nonprofit agency JobsOhio to take over the state’s lucrative liquor distribution system for 25 years and use the roughly $200 million annual revenue stream for economic development efforts.
Ohio Gov. John Kasich’s administration tries legal maneuver to move JobsOhio, his private economic plan, forward
Source: Reginald Fields, The Plain Dealer, August 10, 2012
New jobs entity files complaint in Ohio high court
Source: Kantele Franko, Associated Press, August 10, 2012
JobsOhio Suit Gets Tossed
Source: Caitlin Devitt, Bond Buyer, June 20, 2012
Kasich to Privatize Ohio’s Liquor Sales in $1.4 Billion Deal
Source: Julie Kent, Cleveland Leader, January 24, 2012
Ohio Crafts $1.4B Deal to Privatize Liquor Sales
Source: Caitlin Devitt, Bond Buyer, January 24, 2012
Ohio has reached an agreement to privatize its lucrative liquor distribution system for $1.4 billion through a newly created private nonprofit entity that will use the revenue for economic development. The nonprofit, JobsOhio, will issue up to $1.5 billion of bonds to finance the 25-year deal. The bond sale is expected within the first quarter. JobsOhio officials said they had already assembled a finance team to bring the bonds to market, but declined to name the firms.