Turnpike Privatization

by: Hopeful

Tue Oct 26, 2010 at 04:28:06 PM EDT

Charles Wowkanech, President of the New Jersey State AFL-CIO representing one million union members, announced opposition to New Jersey Turnpike Authority Commissioner James Simpson's proposed plan to privatize approximately 700 jobs on the New Jersey Turnpike.  Simpson announced intentions to take bids for private operators for toll collection today at a Turnpike Authority meeting.

"Unfortunately, we are again headed down a road that has proved time and time again to be a bad deal not just for workers, but in the long run, for taxpayers" said Wowkanech.  "Logic dictates that before we move ahead with taking bids to privatize the work of toll collectors, a system needs to be in place to ensure transparency, oversight, efficiency and significant savings to taxpayers.  Short of these requirements, all that is occurring is a deal that puts 700 people on the unemployment line and misrepresents the possible benefit to taxpayers."

Admittedly this is a small step, not the large leap, but these experiments have consistently failed. The measures are being sold by claiming savings of $46 million but according to the 2009 annual report all toll operation costs are $73 million a year so I find that very hard to believe.

Over $950 million was collected last year so toll collector salaries and benefits have very little to do with the price of driving on the Turnpike.