Michigan Proposes Privatizing Some State Transportation Operations
Michigan has proposed a sweeping plan under which private companies would take over work currently handled by the state’s transportation department — from operating rest stops and freeway lighting to replacing, repairing and maintaining bridges along interstate highways.
The Michigan Department of Transportation issued the requests for proposals late last week, saying it hopes to attract vendors willing to enter into public private partnerships, or P3s, with the state.
“This is an information-gathering stage, the first step to starting a conversation about what’s possible in financing and building infrastructure,” said Transportation Director Kirk Steudle.
“We’re looking for innovations that will save taxpayer dollars, improve service and efficiency, and enhance public safety,” Steudle said in a statement.
Among the RFPs issued is one for private companies willing to design, construct, finance and maintain bridges for as long as 35 to 50 years.
The bridges the state issued RFPs for include: deck replacements worth about $100 to $150 million for two Interstate 75 bridges over the Rouge River in Detroit.
Ohio is looking to put its non-interstate rest stops into the hands of private operators. And several states, including Ohio, New Jersey, Louisiana, and New Hampshire are considering legislation to allow them to solicit sponsors and sell naming rights to their rest stops or such landmarks as bridges.
For additional coverage, see the Aug. 5 print edition of Transport Topics.
