Thoughts and Opinions On Today's Important Issues

Wednesday, May 05, 2010

Is MDOT's P3 Power Grab Dead Now

Do excuse me. Of course I am Blogging too much about P3s and the border. It's a boring subject....until taxpayers and their children and grandchildren realize that they have to pay to P3 investors megaprofits for the next 99 years.

Why no one does the simple math and cannot figure out that a loan at 5% is cheaper than a P3 at a rate of return at between 13-20% is beyond me to be honest.

Why no one can understand that a grab for taxing power by the Michigan Executive, because that is what paying back a P3 really is, and ignoring the Legislature is bad politics is beyond me.

Why people are applauding a move by Canada to get votes to pass P3 legislation in Michigan, and to have a Minister of the Canadian Government admit it too to "make it happen," is beyond my comprehension.

Why no one is asking the obvious question about why anyone would support a P3 with all of these negatives and with a rip-off of taxpayers is shocking.

So maybe we have to involve Constitutional law and the separation of powers doctrine to kill P3s as MDOT wants to do it. Check this out.

Here is the conclusion from a letter from the Michigan Attorney General's Office in Lansing

I do not see then how the proposed P3 Bill can allow the Executive to fund a P3 road or DRIC Bridge. It MUST go through the Legislature with Legislative oversight

Here is the Press Release from the State Representative Paul Opsommer who asked the question:

Nice try MDOT but no cigar.