PA Turnpike for sale or rent

[KeithPA]

I didn't realize anything about this till it was mentioned on Lou Dobbs tonight. I couldn't believe it.....

http://www.philly.com/mld/philly/16177319.htm

Gov. Rendell officially put the Pennsylvania Turnpike up for sale or lease this morning.

Private operators, some of whom have been checking into the turnpike for nearly a year, have until Dec. 22 to submit their proposals, Rendell said at a news conference.

Privatizing the turnpike is one of several options Rendell plans to present to state legislators by late January as a means of curing Pennsylvania's ailing network of roads, bridges and mass transit.

The state's take from a private turnpike deal could range from $2 billion to $30 billion, Rendell said. He added, however, that the lower figure would be unacceptable. If the price were right, he said, all proceeds would be invested in a trust fund, with all interest income going toward transportation needs.

"We don't take this step lightly," the governor said, adding that Pennsylvania's transportation needs were too pressing to ignore any possible solutions.

"There is only one option that is not on the table," Rendell said. "And that is doing nothing."

Last month, a study commission created by Rendell reported that Pennsylvania needed $1.7 billion more a year to stabilize, maintain and modestly improve its roads, bridges, and public transportation systems.

Privatization was among the tools suggested by the Transportation Funding and Reform Commission for helping to raise that kind of cash. And the turnpike was the most prominently mentioned target.

Leasing the turnpike might be anathema to some politicians, yet it may prove more palatable than some of the commission's other proposals, such as a 12.5-cent-a-gallon increase in the gas tax. Higher prices at the pump could be a tough sell to a reshaped state legislature still stung by voter outrage over lawmakers' ham-handed bid for a pay raise.

Rendell said that any turnpike transaction would come with strong strings attached.

First, he said, no proceeds could be used for non-transportation needs. Limits would be placed on future toll increases. Private operators would have to adhere to a maintenance schedule. And protections for current turnpike workers would have to be included in the deal.

"We believe we can put those protections into the contract," Rendell said.

[Holleta]

Wonder how much it is to buy/rent one of the many potholes?

[LorDiego01]

holy F!!
12 cent per gallon of gas tax increase!!

These people are crazy.. that brings up the gas tax per gallon to about 70 or 80 cents.

[ReefBlue]

Why not raise the tolls a nickle. There has to be a chart somewhere that says for every cent increase per vehicle would equal x dollars/year.

[D-FENS]

Link to the original?

[KeithPA]

http://www.philly.com/mld/philly/16177319.htm

oops.... forgot it. Googled it, but basically only came up with the Philly Inquirer. All the others linked over from their article.

[The Drew]

Unlike the privitization of the liquor stores... I fail to see how a private company can send an additional 2 billion to the state and at the same time actually make a profit...

If someone can explain to me what a private firm will do that the state isn't already to make up this difference, I would love to hear it.

[exceltoexcel]

Advertisement! If say every 1-10 miles were posted with "Your toll has been paid for my McDonalds." That would solve about everything I could think of. I would probably be inticed to perform sexual favors for a company that would eliminate the Delaware/MD tolls on 95 .

[The Drew]

THe point though isn't to eliminate the tolls... The point is to avoid a major increase in gas tax by leasing the turnpike...

I never thought about the potential of advertising... It didn't click that the turnpike doens't have any billboards...

I would suppose that they could put in those new fangled electronic billboards to maximize potential earnings and costs after the initial build.

NJ did it with theirs I believe and helped out the state significantly. I wonder if a state like PA really needs advertisements and shit while driving on the long, nice quiet beautiful parts of the turnpike scattered through out central/northern PA