Various Factors for the Downfall of the Public Private Partnership

597 Words Jan 30th, 2018 2 Pages
For decades, the private and public sectors were capable of working in close conjunction through the public private partnership model, which allowed municipal governments to issue bonds to generate the funding needed for highways, bridges, hydroelectric dams, power plants, and other essential components of modern infrastructure. With the nation still struggling to recover from the devastating effects of a prolonged economic slump known as the "Great Recession," many local governments have experienced severe budget shortfalls that have forced politicians and the public alike to make extremely difficult financial decisions. One option which has become increasingly attractive to city managers across America is the privatization of public assets, a situation which recently occurred in South Carolina when the state awarded the lease to a 16 mile stretch of interstate expressway, known as the Greeneville Southern Connector, to the private investment group Connector 2000 Association. Through a disastrous series of miscalculation and misappropriation, the toll road envisioned by South Carolina's government to become the state's…