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Perzel flips on turnpike

Brad Bumsted
| Thursday, May 3, 2012 4:00 a.m.
HARRISBURG Former Speaker John Perzel, R-Philadelphia, who lost his job as the top elected House leader last month, stepped out of the shadows last week with a blast at Gov. Ed Rendell's proposal to privatize the Pennsylvania Turnpike. Perzel's timing couldn't have been better considering how well the turnpike kept its lanes open in the recent ice storm compared to PennDOT, which foundered to say the least. Some at the Capitol were joking that Rendell should be selling PennDOT rather than the patronage-laden turnpike, which has far more employees per mile. In a news release, Perzel, since officially named "Speaker Emeritus Perzel" by House GOP leaders, said Rendell's proposal is "ill-advised, short-sighted and dangerously reckless," primarily because the pike would be leased to "a foreign company for 75 years." Perzel hadn't been heard from since the surprise Jan. 2 drubbing he took at the hands of longtime rival Rep. Dennis O'Brien, R-Philadelphia. O'Brien won the speaker's post with the backing of most House Democrats and a handful of Republicans. But Perzel came out pushing the hot button on the turnpike proposal, which Rendell is exploring to try to find money to pay for roads, bridge repair and transit. One of the major suitors is the Macquarie Group of Australia. No company appears to have been selected. It is, however, troubling that much of this pre-contract negotiation is taking place behind closed doors. Why isn't the turnpike just being auctioned? Perzel hitting the "foreign company" alarm is interesting since I have heard that thrown out by interests hired to kill privatization and protect the turnpike. That's not to say it isn't a legitimate issue. But some scoff at the idea of raising the foreign flag. Other states have sold public properties to Macquarie and the Aussie's aren't exactly from a radical Islamic regime -- not to mention that in today's global economy, it's hard to find a corporation without some multinational ties. Still, in Pennsylvania, it could be a fatal blow to any potential legislation that would be needed to lease the turnpike. What's also worth noting is that when Perzel appeared before the Pennsylvania Press Club last November he sounded like someone who was in favor of the sale or lease of the turnpike. He said he had been told it could bring in up to $30 billion and was "something that absolutely has to be looked at." Then comes his broadside against "Rendell's proposal." Perzel spokesman Marty O'Rourke, when asked about this inconsistency, said Perzel looked into it and decided it was a bad deal for the state. Perzel knocked "Rendell's assertion" that the turnpike lease could bring in $10 billion. (Note the rapid price de-escalation.) Perzel said it is a "gross misrepresentation" because $3 billion off the top would be needed to buy down turnpike debt. With another $1 billion needed for "massive transportation costs" taxpayers would realize an instant 40 percent loss, Perzel said. Perzel argued that the turnpike is critical to national security by interlocking state and federal highways crucial in emergencies and for shipping military cargo. Asked Perzel: "Do we really want the major highway used by our military and state police controlled by foreign interests who have no stake in Pennsylvania's security?"


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