It is an arrangement we advocate for the Parkway; for the adjacent governing entities to form a Joint Powers Authority and under its oversight, create a new nonprofit or use an existing one, to provide daily management and funding development for the Parkway.
As this article from Governing reports, public/private partnerships do not always work out, and, as it involves city parking revenue, germane to the current plan to keep the Kings.
“State and local governments generally have been slow to reap all the potential benefits of prudent public-private partnerships. Part of the reason is political: Heavily unionized workforces pose a serious obstacle to contracting out services governments deliver. But labor isn’t the only hurdle governments face when trying to negotiate with the private sector: Cities and states too often are already in dire straits before embracing the PPP option.
“In Cincinnati, which faces a $35 million budget gap next year, controversy is currently raging over a proposal to contract out the management of the city’s parking meters and garages. Under the plan, the city would lease its parking assets to the Port of Cincinnati Development Authority, which would partner with four private companies to operate the meters for 30 years and the garages for 50 years.
“Cincinnati would get a $92 million upfront payment and annual installments estimated at $3 million. Part of the upfront money would be used to address next year’s deficit, but most would go to develop a downtown high-rise, a bike trail and a new highway interchange.
“The plan is on hold for the time being. After the city council approved it by a 5-4 vote, a Hamilton County judge issued a temporary restraining order to prevent the deal from moving forward. A hearing on the order is scheduled for this Friday.
“Parking-lease deals have been controversial since 2008, when Chicago received an upfront payment of $1.15 billion to lease 36,000 city parking meters for 75 years. Since then, parking rates have skyrocketed and Mayor Rahm Emanuel has criticized the deal made by his predecessor, Richard Daley.
“A dispute over lost revenue from street closings during city events and free parking for the handicapped has landed the city and its parking contractor in arbitration. New York City, Los Angeles and Pittsburgh recently scrapped plans to pursue similar lease deals.”