News summaries
WH decides to outsource NASA's manned programs
The White House has decided to begin funding private companies to carry
NASA astronauts into space, but the proposal faces major political and
budget hurdles, according to people familiar with the matter. The
controversial proposal, expected to be included in the Obama
administration's next budget, would open a new chapter in the U.S.
space program. The goal is to set up a multiyear, multi-billion-dollar
initiative allowing private firms, including some start-ups, to compete
to build and operate spacecraft capable of ferrying U.S. astronauts
into orbit—and eventually deeper into the solar system....The idea of
outsourcing a portion of NASA's manned space program to the private
sector gained momentum after recommendations from a presidential panel
appointed last year. The panel, chaired by former Lockheed Martin Corp.
Chairman Norman Augustine, argued that allowing companies to build and
launch their own rockets and spacecraft to carry American astronauts
into orbit would save money and also free up NASA to focus on more
ambitious, longer-term goals. However, many in NASA's old guard oppose
the plan. Charles Precourt, a former chief of NASA's astronaut corps
who is now a senior executive at aerospace and defense firm Alliant
Techsystems Inc., said that farming out large portions of the manned
space program to private firms would be a "really radical" and an
"extremely high risk" path. Unless the overall budget goes up, he said,
whatever new direction NASA pursues "isn't going to be viable."
The Wall Street Journal
TN: Nashville mayor eyes Morgan Stanley plan to privatize parking
Could Nashville end up auctioning off parking meters and other parking
spaces to the highest bidder?...[I]n a proposal -- marked "Preliminary
& Confidential" -- financial giant Morgan Stanley lays out a plan
in which private companies might bid for the city's 2,000 parking
meters and another 2,000 parking garage spaces -- paying the city now
and keeping income from those spaces for years to come. (
Read the Morgan Stanley proposal.)...The council member
said that while Nashville would get the upfront money now, it would mean
the loss of a source of revenue for the future. "I'm not comfortable with
giving any city service over to private enterprise. Then, how do we control the
parking rates. Who sets the parking rates? Who answers to problems?"
NewsChannel5.com
IL: Privatize Illinois' tollways? Voters say no
Politicians who hope to gain traction with voters by urging that the
Illinois Tollway be leased to a private company might want to rethink
their strategy. By overwhelming numbers, Republican and Democratic
voters alike oppose privatization of the tollway system and believe it
would lead to higher tolls, according to a Tribune/WGN-TV poll....
Among Democrats, 71 percent say tolls are certain to increase if the
tollway is leased to a private company; 68 percent of Republicans feel
the same way. The idea of leasing the tollway has been floated -- and
shot down -- before, in Illinois and elsewhere. Several states are
considering similar plans.
Chicago Tribune
CA: Incarcerate inmates in Mexico, Gov says
Gov. Arnold Schwarzenegger today suggested the state could contract
with the Mexican government to house the estimated 20,000 undocumented
immigrants incarcerated in California....“Think about it,” he said. “We
pay them to build the prison down in Mexico and then we have these
undocumented immigrants be down there in prison. With their prison
guards and all this, it’s half the cost to build and half the cost to
operate the prison. We gain $1 billion right there that could go into
higher education.”Administration officials said afterward the governor
had been speaking off the cuff and there is no formal proposal to
consider that option.
Ventura County Star
CO: Bill proposes outsourcing state services
A Republican Senate leader will introduce a bill this month that could
lead to the most comprehensive regulatory reform in Colorado history
and outsource more state services to private companies. Sen. Mike
Kopp’s measure will face criticism, both from Democrats who believe
state services are stretched as thin as possible, as well as from
members of both parties who are tired of the kinds of year-long studies
the bill creates. But Senate Majority Leader John Morse, D-Colorado
Springs, said that at a time when the state must continue to cut its
budget, there is a “unique opportunity to engage in some conversations
that otherwise are impractical.” Kopp, who owns a business and
nonprofit development company in Lit-tleton and serves as chairman of
the Senate Minority Caucus, is seeking legislative approval for the
formation of two bipartisan commissions that would meet for 12 to 18
months before reporting back to the Legislature.
Denver
Business Journal
FL: Rep.Mica says to privatize Fla toll roads
U.S. Rep. John L. Mica (FL-07), the Republican Leader of the House
Transportation and Infrastructure Committee, addressed a gathering of
Florida transportation leaders today and proposed consideration of
privatizing Florida’s toll roads.... Mica said, “It’s time to stop
sitting on our assets and start looking for innovative means of
financing highways and other infrastructure.” As an example, Mica
cited Indiana’s leasing of 157 miles of the Indiana Toll Road in return
for $3.8 billion. Mica suggested that all or part of Florida’s
turnpike system be considered for future private operation, maintenance
and expansion. The Florida turnpike system includes 460 miles of toll
roads...“The argument that these public agencies can operate our
transportation systems more economically and efficiently is bogus,”
Mica added.
John Mica PR
GA: Lawmaker pushes tax collection privatization
The push to improve sales tax collections seems to have reached a
tipping point at the state Capitol as leaders grapple with budget cuts
and digest a recent study showing major gaps in the collections
process... Rep. DuBose Porter, D-Dublin, ...continued Monday to push a
related idea: the privatization of sales tax collections. That would
allow local governments to hire private companies to collect, or at
least audit, sales tax collections instead of leaving it up to the
state. The idea came from a Republican-led study committee that met in
2008 and looked at how this process was implemented in Alabama. But the
issue died during last year’s legislative session, largely over
concerns that large businesses operating in multiple counties would
have to file returns with dozens of local governments instead of just
the state. Democrats quickly picked up the mantle on the issue and
called for these reforms. Now Porter has made improving sales tax
collections one of the largest planks in his 2010 gubernatorial
campaign.
Macon Telegraph
TX: The 2010 agenda: Open government - opinion
Make it clear that privatization of government functions does not
exempt compliance with the Public Information Act. Voters need access
to privatization costs when government entities outsource their
functions to third-party vendors. The continuing debacle with IBM and
the Department of Information Resources is a notorious example of lax
accountability. The same cost provisions should apply to private
companies in producing information requested under the Open Records Act
as apply to governmental agencies. Wanda Garner Cash, Professor of
journalism at the University of Texas.
Texas Tribune
UT: Privatizing state parks eyed
Lawmakers will need to trim about $200 million from the state's $11.3
billion budget in the first few weeks. Once that's completed, they'll
get to work on the upcoming budget year, where there's a $700 million
projected shortfall for state programs....Lawmakers may consider higher
taxes to help bridge the $700 million budget gap..Other suggestions
include privatizing operations of state parks, reducing the state motor
fleet, and even taking bids for state insurance coverage.
KSL.com
