House Speaker William J. Howell has proposed raising money to fund transportation improvements in Virginia by selling off chunks of the Interstate to private investors who, presumably, would be allowed to recoup their investment by imposing tolls. Howell has not said (at least not in print) how he would invest the proceeds of such sales, but there is no denying that the strategy could raise substantial sums of money. And if anyone in the Virginia press corps would inquire, Howell’s ideas about privatizing Interstates are part of a broader re-thinking of the role of state government in providing transportation solutions.
Personally, I don’t know if I’m comfortable with the idea of privatizing Interstates, but I’m willing to hear the Speaker out. Apparently, Michael Hardy and Jeff Schapiro with the Richmond Times-Dispatch have already written off the idea as a “scheme” — in contrast, say, to raising unspecified taxes by some $1 billion to $4 billion a year to continue the Business As Usual policies that created the transportation crisis in the first place. Here’s how they chacterize the Speaker’s ideas in an article about Gov.-elect Tim Kaine:
Kaine is not keen on such House Republican proposals as flipping highways and other commuter links for quick cash from investors. Speaker William J. Howell, R-Stafford, has suggested such privatization schemes, saying they could generate billions.
“I don’t like the idea of selling assets,” said Kaine. He is, however, favorably inclined — if the deal helps the state — to consider selling income streams from tolls when proceeds are used for transportation projects.” (My boldface.)
Everybody clear on the distinction? Selling highway assets outright amounts to a “scheme” for “flipping” them for “quick cash.” Merely selling the highway income streams for 30 to 50 years — which also would raise up-front cash for the state to spend — is an idea respectable enough to warrant no such invidious characterizations.
