Yet another reason Donald Trump needs to be voted off the island…
Donald Trump’s campaign quietly released a plan to privatize new infrastructure development in the United States. …the federal government would offer tax credits to private investors interested in funding large infrastructure projects, who would put down some of their own money up front, then borrow the rest on the private bond markets. They would eventually earn their profits on the back end from usage fees, such as highway and bridge tolls (if they built a highway or bridge) or higher water rates (if they fixed up some water mains). So instead of paying for their new roads at tax time, Americans would pay for them during their daily commute. And of course, all these private developers would earn a nice return at the end of the day.
In any event, one obvious disadvantage of relying so heavily on private developers, as the Washington Postnotes, is that it would mostly encourage new building in wealthy areas that can afford to pay high user fees. Private companies go where there are private profits to be earned, after all. Poorer areas—areas where infrastructure may be more likely to be crumbling!—could end up being neglected.
I can’t believe this isn’t getting more play as it’s the most Republican idea Trump has yet uttered: Sell off America’s infrastructure to private corporations, with the corporations collecting tolls to recover their original costs. Then, when they have recouped their initial layout, jack up the tolls to set profits as high as they want.
Put another way, the middle and lower economic classes will foot the bill, people who have to commute to work every day (and pay for the privilege; Ka-Ching!) Of course the wealthy (to whom a toll is less than a pittance) entirely avoid paying their fair share in taxes, per usual.