America For Sale: The Citicorp-Abertis Pennsylvania Turnpike?

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from Bloomberg:



Pennsylvania Offered $12.8 Billion by Citi, Abertis (Update1)

By Adam L. Cataldo

May 19 (Bloomberg) -- Pennsylvania officials said a $12.8 billion bid by Citigroup Inc. and Abertis Infraestructuras SA was the winner of a 75-year lease to operate and collect fares on the state's only toll road in what would be the biggest agreement of its kind in the U.S.

Rendell first proposed leasing the Turnpike last year and dropped his plan in the face of opposition from the Legislature. Rendell is a Democrat and his party controls the House of Representatives. Republicans control the Senate.

To fund transportation spending the Legislature passed and Rendell signed into law Act 44, which allowed the state to establish tolls on the 311-mile I-80. That road, which also runs east-west across the northern part of the state, is opposed by elected officials, including U.S. Representatives John E. Peterson and Phil English, both Republicans.

That opposition caused Rendell to revive his Turnpike leasing plan less than a month after signing the bill. Pennsylvania won't lease the Turnpike if putting tolls on I-80 is approved, Rendell has said.

The driver of a passenger vehicle pays $22.75 to travel 358 miles on the Turnpike from Pennsylvania's border with Ohio to the New Jersey state line. That trip will increase under the terms of the agreement set by the state to at least $36.40 in 10 years. .....(more)

The complete piece is at: http://www.bloomberg.com/apps/news?pid=20601087&sid=aoJuQlSfRjWw&refer=home

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1. Maybe they should list the turnpike on ebay