Thursday, June 15, 2006
Editorial: Privatizing roadways isn't the answer
Private profit motive shouldn't guide investment in the fundamental infrastructure of civilization. Deteriorating roads need a public commitment.
From the RoundTable blog
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Transportation isn't a problem just in Virginia. Around the nation, states are reaping the decaying fruit of years of neglect and failure to keep pace with growing traffic.
The result is predictable: deteriorating roads and increasing congestion.
The solution from some quarters is also predictable: Rather than increase public investment in infrastructure vital to the public good, why not sell off roads to the highest private bidder?
More states and cities are selling or leasing toll roads to private firms for billions of dollars in upfront cash.
Some in Virginia would like to see such privatization become a major plank in the commonwealth's approach to improving transportation.
The Bush administration also is urging privatization as the federal Highway Trust Fund evaporates, falling victim to stagnant fuel taxes and increased road construction costs.
Transportation Secretary Norman Mineta has been promoting a plan that would encourage states to pass laws to make it easier for private companies to invest in transportation.
But privatization isn't going over well in some places.
The Indiana legislature just barely approved a plan to lease its toll road to a foreign partnership for the next 75 years.
Residents were unimpressed by the $3.8 billion the lease generated. Some didn't like the idea of turning over important local infrastructure to foreign companies. Others thought drivers would get a raw deal.
The hope among privatization supporters is that companies hoping to make a profit will be more efficient than government.
But market efficiencies often squeeze out the common good in pursuit of profit. Some communities could find their less-lucrative roadways neglected, much as many smaller communities, including Roanoke, have learned in the wake of airline deregulation.
Indiana's House Democratic leader, Patrick Bauer, opposed the lease. He said the private companies "got a heck of an unbelievable deal. We got a bad deal."
That's a danger any time states partner with big-money interests.
"We are like a poker game," Mineta told The Washington Post. "We are inviting more people to the table and saying, 'Bring money when you come.'"
It is like a poker game. And, as the adage goes about poker, if you look around the table and don't see the mark, you are the mark.
