Greenway In The Cross-Hairs Again

Two bills have been introduced in Virginia that would authorize the sale of tax-exempt bonds by the government to buy the Dulles Greenway from Macquarie Atlas Roads. The toll road investment fund hasn’t made a penny of profit since Macquarie Bank acquired the 14-mile road in 2005 from northern Virginia investors with $675 million in debt.

Any takeover by the state would require users and taxpayers to assume substantial outstanding debt and a road that isn’t expected to show cash earnings until 2019, even with revenue-maximized tolls. All of the political opponents of  private operations have promised to reduce the Greenway tolls, which would increase the taxpayer subsidy.

About Bill Reinhardt

Editor of Public Works Financing newsletter
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