FIVE LESSONS FROM THE DE-PRIVATIZATION OF 91 EXPRESS LANES

As reported in the prior issue of this publication, the Orange County (California) Transportation Authority reached an agreement to buy out the remaining 24 years of a private franchise for the pioneering 91 Express Lanes, operating them as a public-sector toll road. While opponents of privatization and market pricing rejoiced, and see the transaction as a bellweather, a more careful look suggests that this is simply a bump on the road toward a more commercialized highway system. This article gives some lessons learned for future projects.