barriomulas.com - The Privatization Consensus

I feel the same about Anibal Acevedo Vila winning as I do Luis Fortuño. The only difference between the two is found solely in the bureaucrats that they stuff into their agencies. Either way, bureaucrats are bureaucrats and overall policy would remain the same no matter which of the two wins.

Both are monga; lacking the charisma of their party's predecessors; both have traditionally been moderates and content with the status quo in terms of the status debate; and both share similar macroeconomic and fiscal platforms.

Both prescribe to supply-side economics (reaganomics), hailing reimbursement and tax cuts as the ideal way to stimulate the economy; both wish to drastically cut back public services in the name of fiscal integrity; and most importantly both believe in privatization. Though a lot quieter than previous Governors, Acevedo Vila has been busy with his plans to sell public assets on the private market. Fortuño hasn't said a peep, for he's totally in accordance with Acevedo Vila's moves. There exists no real alternatives in November's elections for styles of managing public assets.

The April 10, 2008 issue of Caribbean Business reported the state's wish to sell lots in Minillas Industrial Park, the Wyndham Río Mar Hotel vicinity, Fernández Juncos Avenue, the formal National Guard Armory on Roosevelt Avenue in Hato Rey, the National Guard property in Puerta de Tierra, the former Leprocomio, Las Cumbres Ward, and the Ruíz Soler Hospital vicinity, and historic Old San Juan's Cruz Street. Total sales are estimated to amount to $150 million. Such sales are meant to "balance the budget", as stated by the Vice President of the Government Development Bank. Budget deficits are cured by structural reform and not temporary privatization. I ask what the state plans on doing when it runs out of real estate to sell.

Yesterday's issue of El Vocero reported the Governor's wish to privatize a portion of the PR-22 highway. I am totally opposed to such forms of privatization. I think it is much more viable and democratic to pass such lands to their respective communities so that their resident boards may decide the best use for such. I personally would prefer for the properties to be bulldozed and their lots re-forested instead of converting them into yet another bank, condo, or parking lot. Such lands are traditionally sold much cheaper than they are truly worth and open the door for acts of corruption and favoritism (read "Contracting Blues").

I also oppose such private-public partnerships such as the privatization of the PR-22 highway, which was likened to the Moscoso Bridge project by the Governor. Such projects allow for private corporations' costs to be subsidized by the public sector either int he form of cheap land, incentives, shared expenses, or subsidies. These private sector "partnerships" also provide a cheap (or free) ride on the back of the state's power of eminent domain. The shitty jobs, low wages, and whatever is left over after tax incentives is simply not worth the trade. I understand that it is in the nature of a private company to seek profit and that such entities operate much more efficiently than the state, but I oppose lucrative private profits for the few subsidized by the property and wealth of the collective.