Schwarzenegger wants more private management of public projects
SACRAMENTO
December 26, 2007
12:28pm
• Says it’s used successfully elsewhere
• Claims it would save tax dollars
California should use public-private partnerships more often to build, operate or maintain its infrastructure better, faster or for less, says Gov. Arnold Schwarzenegger.
He claims private management could lower upfront or all-in costs and provide better service as well as greater efficiency and faster delivery.
The governor stops short of calling for privatization, his office notes.
But he wants the Legislature to expand the types of projects, services and government entities that can enter into such arrangements that he dubs “Performance Based Infrastructure” (PBI).
He says the state also needs increased “contracting flexibility” so it can better negotiate with potential contractors.
In addition, Mr. Schwarzenegger calls for lawmakers to pass legislation to establish "PBI California" to help determine which projects can benefit from the concept, represent the state in negotiations with participants, ensure transparency and monitor performance.
Mr. Schwarzenegger plans to include remarks about his PBI plan in his annual State of the State address, scheduled for Jan. 8.
There was no immediate reaction Wednesday from leaders of the Legislature.