The Lingering Consequences of Chicago's Parking Meter Privatization

An article examines "Exhibit A for bad public contracting"—a 75-year lease between Chicago a Morgan Stanley-led private consortium for 36,000 parking meters—as a cautionary tale about the lingering impacts of bad deals.

In 2008, Chicago signed a $1 billion contract with a private company to manage the city's parking meters. According to an article by Stephanie Farmer and Donald Cohen, "[after] the ink was dry, the city’s inspector general concluded that the city sold the meters $1 billion dollars under their value. Parking rates skyrocketed, and the terms of the lease protecting Morgan Stanley’s investment created new annual costs for the city."

The post then goes on to apply lessons from the bungled portions of that contract is continuing to hinder planning efforts in Chicago, including the removal of parking meters in connection with the city's planned BRT lines, pedestrian safety improvements, and adjustments to rush hour realignments. 

Full Story: Why Chicago’s Botched Parking Meter Privatization Is Also Bad for the Environment

Comments

building block set

NEW! Build the world you want to see

Irresistible block set for adults when placed on a coffee table or desk, and great fun for kids.
$25
Red necktie with map of Boston

For dads and grads: tie one on to celebrate your city!

Choose from over 20 styles imprinted with detailed city or transit maps.
$44.95
T-shirt with map of Chicago

Show your city pride

Men's Ultrasoft CityFabric© tees. Six cities available.
$23.00
Planetizen Courses image ad

Planetizen Courses

Advance your career with subscription-based online courses tailored to the urban planning professional.
Starting at $16.95 a month