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A few days ago I shared an article that focused upon road privatization and which highlighted the President's rigid ideological commitment to endless privatization. I wrote: "Just for fun, you might try to mentally transpose this composition from the key of 'roads', to the key of 'parks' ... this song plays in all keys."
Pasted below is an Op-Ed opposing road privatization and written by a former Republican governor of Kansas. You'll find the tune instantly recognizable.
Just for the heck of it, you might try to transpose this trucking composition to the key of outdoor recreation --- it's easy to do. Once you get this tune in your head, you'll hear it being played everywhere and in every key. The tune's called "The Corporate Takeover of Everything" -- though many of you have long know it as "The Corporate Takeover of Nature".
Same song. Different key.
That said, and as valid are the actual points made in this Op-Ed, considering the motivation of the writer I suspect this could be the most insincere piece of writing I've ever read.
Scott
"A man's most valuable trait is a judicious sense of what not to believe." - Euripides 485-406 B.C.
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Privatizing Major Highways: Toll Roads Change For The Worse
February 25, 2007
By BILL GRAVES
I have a photo, from 1956, of a truck making its way through a Kansas
Turnpike toll plaza. The truck, emblazoned with the Graves Trucking
logo, belonged to my father's company.
As it turns out, 1956 was the year the Kansas Turnpike opened. The
project predated the Federal-Aid Highway Act - President Dwight D.
Eisenhower's historic initiative. In those days a toll road was one of
very few options available to states to build a freeway. Fifty years
later, toll roads are surging in popularity, but as a quick fix for
state financial woes.
With state budget shortfalls and a general unwillingness to raise
taxes, state politicians are flocking to private investors for the
highway equivalent of the payday loan. In 2005, Chicago leased I-90 to
the Australian Macquarie Infrastructure Group and Spanish Cintra for
$1.83 billion to pay off city debt and fund non-transportation
projects. In 2006, Indiana leased the Indiana Toll Road to the same
firms for $3.85 billion. Gov. Ed Rendell recently asked for expressions
of interest to lease the Pennsylvania Turnpike for as much as $16
billion.
Other deals are in the works. It is easy to see why politicians are
tempted by this new scheme. The nation's highway system needs to grow
and be maintained, but states are facing crushing debt loads. Funds to
relieve these problems must come from somewhere.
But the United States cannot maintain a national highway network if key
segments are leased to the highest bidder. More than money is at stake.
Leasing roads allows states only to postpone, not solve, their budget
problems, and without understanding the long-term implications.
Privatization is dismantling the nation's interstate highway network.
It's happening with the support and encouragement of the U.S.
Department of Transportation and, until recently, without congressional
review.
Alternatives exist. Since the interstate system's inception, fuel taxes
have foot the bill. Trucking pays nearly $15 billion in highway user
fees annually to the $35 billion Federal Highway Trust Fund. Fuel taxes
can be uniformly administered, are based on verifiable measures of
highway and vehicle use, are relatively simple to collect, not readily
evaded, and do not create impediments to interstate commerce.
Privatization, on the other hand, lets operators increase tolls
rapidly, robs the public of a degree of control, and does not guarantee
service and safety levels. A year ago, highway privatization was a
little-understood niche financing scheme. It is fast becoming the
financing of choice, as public interest has been sacrificed for the
almighty dollar.
We must consider the impact of privatization on toll rates. A private
company is usually allowed annual increases of a minimum of 2 percent
to a maximum of the average rate of change in GDP per capita (the
accepted standard). Based on historical figures, annual increases could
hit 6.2 percent, and privatized highways could soon become "Lexus
highways," unaffordable for those on limited incomes. Those who can't
afford higher tolls may use smaller local roads that are inherently
less safe.
And will a private operator ultimately act in the public's best
interest? Many targets of privatization are critical links in our
freight and military logistics chains. Congress has a constitutional
obligation to protect interstate commerce and our national defense,
which makes it a necessary partner in the decision-making process.
Private operators may be reluctant to expand highways if increases that
are forecast in traffic levels could not produce sufficient revenue
increases. Congestion may go untreated if contracts have non-compete
clauses that prohibit or discourage construction that would reduce
traffic on the private highways.
This is not to say that public-private partnerships have no place in
helping to solve the problem of how to fund our nation's infrastructure
needs. Private financing can play a role, especially where it creates
new capacity.
Having served two terms as governor of Kansas, I understand the
pressures our leaders face to find immediate solutions to complex
problems. But I also know constituencies expect their leaders to have
the political will to do what's right, rather than what's easy.
I challenge our leaders to find that will on this issue. Just last year
America celebrated the 50th anniversary of the Dwight D. Eisenhower
System of Interstate and Defense Highways. It would be a shame to see
this system, the best in the world, be transformed over the next
several years into a patchwork quilt of privately operated toll roads.
Bill Graves, a former governor of Kansas, is president and CEO of the American Trucking Associations of Alexandria, Va.
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