Private businesses in Michigan to partner with the state on transportation projects?

Jul 25, 2013

The Michigan Department of Transportation is asking businesses whether they’re interested in partnering with the state for certain projects. That could include taking over the building, operating, or financing of infrastructure projects from the state.

Joe Pavona is Governor Rick Snyder’s special advisor on public-private partnerships.

“I think that this is the direction of the future, and I think is consistent with providing improved customer service and value for Michigan,” he says.

Lawmakers in Lansing are debating how to boost transportation spending by more than a billion dollars a year. Pavona says including private businesses in transportation projects could save the state money and time.

But Michigan’s largest state employees union doesn’t like the idea. Ray Holman is with UAW Local 6000.

“You’re talking about services and responsibilities that are vital. And you’re talking about issues of safety, of course. And we believe that certain things are best handled by the state workforce,” he says.

Right now, MDOT is exploring public-private partnerships involving bridge work, freeway lighting, and two rest areas in Northern Michigan.

It says it’s too early to say whether the partnerships would shift public sector jobs to the private sector.