Does privatization of local services still matter?
Circa during the Reagan Administration, there was an understanding amongtrue conservative leaders and themovement in generalto support privatization of public services whenever possible. The idea was to let the private sector compete with public employee unions, who had a total lock on the labor market for public services.
But as a result of the "Reagan Revolution," thinking started to change. For example, companies such as Corrections Corporation of America sprung up to provide "brick and mortar" correctional services across America, for prison services. These private companies could contract with local government to accomplish the goals of local governmentwithout the taxpayers having to encumber themselves with pension liabilities or union issues by hiring "contract" personnel. And these "contract" providers could save the taxpayers a whole lot of money!
In fact, some localities, including the City of Laguna Niguel, which incorporated in the wake of the Reagan Administration, were leaders in the privatization movement, and gleefully availed themselves of "contract" city staff, to avoid large… Read More