Archive for August, 2008

Running Out of Money, Cities Are Debating the Privatization of Public Infrastructure

By Jenny Anderson

Cleaning up road kill and maintaining runways may not sound like cutting-edge investments. But banks and funds with big money seem to think so.

Reeling from more exotic investments that imploded during the credit crisis, Kohlberg Kravis Roberts, the Carlyle Group, Goldman Sachs, Morgan Stanley and Credit Suisse are among the investors who have amassed an estimated $250 billion war chest — much of it raised in the last two years — to finance a tidal wave of infrastructure projects in the United States and overseas.

Port Authority Exec Says Infrastructure Improvements Needed

By Bob Hennelly

Port Authority Executive Director Chris Ward says the region must find a new way to finance tens of billions in essential transportation infrastructure needs.

WNYC’s Bob Hennelly has this report.

Building costs are up and tax revenues are down. New York and New Jersey are already deep in debt. The Port Authority’s Chris Ward told the New York Construction Congress raising capital for badly needed upgrades to the region’s airports was difficult because airlines are in a tail spin.

WARD: How do you partner with the equity markets to build new terminal facilities at a time when the very industry you are trying to service is facing a significant decline?

REPORTER: Ward said one avenue for funding infrastructure could be pension plans that can afford to earn a guaranteed rate of return over decades.

WARD: With that long view you can bring private equity to build something like the Tappan Zee Bridge.

REPORTER: Ward lauded Mayor Bloomberg’s congestion pricing strategy and faulted the Bush Administration for failing to invest in transportation infrastructure.

Cuts share $427M of pain

State budget reductions are broad and, critics maintain, far too deep

by Rick Karlin

Hundreds of programs are sharing the pain of $427 million in cuts from the present state budget as Gov. David Paterson and legislative leaders Wednesday congratulated themselves on the effort.

A closer look at the numbers suggests that, just as lawmakers have said, the burden of reduced spending is being shared fairly equally across the state’s geographic and social landscape.

NYSUT praises Assembly for offering ‘real relief’ to New York families

ALBANY, N.Y. August 19, 2008 – New York State United Teachers today praised the Assembly for protecting public education and for helping senior citizens and working families by passing ‘circuit breaker’ legislation that would actually reduce property tax bills for those New Yorkers who need relief the most.

Circuit Breaker, Millionaire’s Tax - No Cap - Pass Assembly

As expected, the Democrat-controlled Assembly approved its answer to Gov. David Paterson’s property tax cap bill, which was a combination circuit breaker and millionaire’s tax.

The vote was 118-24, which means about half of the Assembly Republicans joined the Democrats in voting “yes.”

The millionaire’s tax in this case has two tiers - one for people earning $1 million and another for super-millionaires, those who earn $5 million or more…