Private Toll Road Investors Shift Revenue Risk to States
Private Toll Road Investors Shift Revenue Risk to States
By David Mildenberg - Nov 27, 2013
Bloomberg
Companies that build private toll roads are pressing states to assume more financial risk of traffic not meeting expectations, a change that benefits the operators while threatening to increase taxpayer costs.
Illinois and Indiana are among states offering set payments instead of the right to keep toll revenue, the standard financing method in the past. A similar approach is being used in Florida to expand highways in Fort Lauderdale and Orlando, and by the Port Authority of New York and New Jersey for a bridge to Staten Island.