In these 75 year agreements what happens if the private company goes belly up? 
Does the state hand it off to the next highest original bidder or just take 
over ops and solicit for new bids?

-- "Richard Cuff" <[EMAIL PROTECTED]> wrote:
<shrug>

It's really the state of PA's politicians looking to monetize (one of
those high-falutin' MBA words) a state asset and generate cash instead
of raising taxes.

The risk in going through privatizations of this ilk is that
governments become addicted to the revenue windfalls.

While I am no expert on public sector financial instruments, it seems
to me that PA could instead issue revenue anticipation bonds for toll
receipts.  They would still get the cash up front.

I suppose another advantage of privatization is that a private company
would likely opt not to be bound by labor agreements established by
the Turnpike Commission and seek to pocket the difference in cost.

As someone who pays to drive the Turnpike on a regular basis, I am
concerned that a private operator of the Turnpike won't be treated as
a regulated public utility.

Richard Cuff / Allentown, PA

On Mon, May 19, 2008 at 10:48 PM, maryanne kehoe <[EMAIL PROTECTED]> wrote:
>
> That says something about the state of PA's finances if they are keen on
> selling off the Turnpike. It's simiar to the talk about selling off some
> of the airports here in this country to BAA.  Too bad Atlanta's didn't
> get past the taking stage.
>
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