Roads? Where we're going, we don't need roads.
I want to buy a road.
There has been talk locally of the state government selling state property.
As I drive from home to work and back, I often have to veer and swerve to avoid potholes and defects in the roads.
I saw on TV recently that the US government spends less on infrastructure than almost any other 1st world country.
I see a lot of Tea Party people and Republicans in general say how the privatization of government functions would be good for the country. It would free up federal spending, and give the public better quality.
I also read about banks who borrow federal money at 0% interest, give that money to the government at 4% interest, and then complain that it isn't economically viable to loan small business owners money at 3.2% interest.
So, here is my business plan (read: pipe dream.)
I'll negotiate to purchase state route 315 for 35 million dollars in payments of $7 million every year over the course of 5 years. The advantage to the state treasurer (or whomever agrees to the deal) is that he can quietly not run for office in the term the deal expires, thus his successor will take the blame for the sudden loss of income.
This is a 22.48 mile long road that travels from north to south through the city of Columbus.
There are 17 exits, including its beginning and ending. I'll build 34 toll booths at each exit, one north bound and one south bound. They'll be simple structures, say $30,000 each for a total of $1,020,000. These will be manned by a staff of 136 full time and 136 part time employees. This will introduce over 300 new jobs, and will cost me $750,720.00 per month in salaries.
So, my initial outlay will be $9,521,440. The remaining four hundred thousand will equip the booths with electricity and maybe plumbing.
The Columbus Dispatch estimated in 2009 that 70,000 vehicles traveled 315 every day. If the toll booths charge $1 to use the road (note, I only built enough to cover entrance ramps, not exit), that is an estimated income of $70,000 per day, or $2,100,000 per month.
So, I would be making more per month than the monthly salaries (I haven't done the research, but I assume I'm also making more per month than the monthly salaries + benefits.) I'm going to estimate that at the end of the year I'll have made $16,000,000, which will go to pay off the initial loan, and pay the next year's lease agreement.
At the end of the year, I will undertake a media campaign talking to the local newspaper, tv stations, and radio stations letting people know that the tolls charged on 325 will go to improving the roads. I'll push a website that people can communicate directly to me to make improvement suggestions.
Meanwhile, I'll promote 17 full time employees to be station managers. They will have reduced duties (three shifts instead of four), will have authority over 15 employees, and will be able to make hiring and firing recommendations. I'll give them a salary of $45K per year, slightly higher than they were making as an hourly employee. I'll also promote 17 of the part time people to full time.
I'm assuming that there will have been some staff attrition by now. I started off paying $15/hr to the employees. I'll give good employees who have been with me since the start, but who didn't get promoted, a 5% raise to $15.75. This will keep me competitive at retaining employees. But, I'll pull back on the part time new hires by only offering $13/hr. This is still more than fast food would pay. I won't cut any pay, but again I think it is reasonable to think that at least 50% of my part time workers will move on to full time jobs elsewhere. So, I'll be able to give raises to employees, while keeping my staffing costs close to the same.
By now, however, the public will be upset if there are no visible improvements on the road. Many of them will be upset no matter what, and will simply take alternate routes. This will reduce my only source of income. So, I will begin selling FastPass discounts. Cards that will show that you have already paid to travel on the road, rather than pay a dollar every time.
Of course, I'll have to do some research. But, just off the top of my head, I'm thinking that $30 for a pass will be a good bargain for people who travel 315 twice a day (to work and back, perhaps). I'll also offer them through OSU and specific businesses for $20 to 25.
By year three, I should have the capital to start building automatic toll booths. Nets to catch change, and a swipe-thing for credit / debit cards and the FastPass thing. Maybe start selling gift cards through the local grocery stores and online for people who don't carry change.
This will let me cut my staff. If possible, I'll try and cut by not replacing people who leave rather than do lay offs.
Alternately, if I have the money and the connections, I could look into buying or leasing another stretch of highway. Move employees from where the automatic booths are going in to be start up employees on the new road.
Now, the downside of this plan is that people, in general, don't like toll booths. Many people would rather burn 2 gallons of gas at $3.50 per gallon than pay a one dollar toll. And, people really don't like paying for something that they used to get for free.
But, on the other hand, there has been quite the clamour in the conservative media for the privatization of government functions. This seems like an obvious step in that direction.
Theno
There has been talk locally of the state government selling state property.
As I drive from home to work and back, I often have to veer and swerve to avoid potholes and defects in the roads.
I saw on TV recently that the US government spends less on infrastructure than almost any other 1st world country.
I see a lot of Tea Party people and Republicans in general say how the privatization of government functions would be good for the country. It would free up federal spending, and give the public better quality.
I also read about banks who borrow federal money at 0% interest, give that money to the government at 4% interest, and then complain that it isn't economically viable to loan small business owners money at 3.2% interest.
So, here is my business plan (read: pipe dream.)
I'll negotiate to purchase state route 315 for 35 million dollars in payments of $7 million every year over the course of 5 years. The advantage to the state treasurer (or whomever agrees to the deal) is that he can quietly not run for office in the term the deal expires, thus his successor will take the blame for the sudden loss of income.
This is a 22.48 mile long road that travels from north to south through the city of Columbus.
There are 17 exits, including its beginning and ending. I'll build 34 toll booths at each exit, one north bound and one south bound. They'll be simple structures, say $30,000 each for a total of $1,020,000. These will be manned by a staff of 136 full time and 136 part time employees. This will introduce over 300 new jobs, and will cost me $750,720.00 per month in salaries.
So, my initial outlay will be $9,521,440. The remaining four hundred thousand will equip the booths with electricity and maybe plumbing.
The Columbus Dispatch estimated in 2009 that 70,000 vehicles traveled 315 every day. If the toll booths charge $1 to use the road (note, I only built enough to cover entrance ramps, not exit), that is an estimated income of $70,000 per day, or $2,100,000 per month.
So, I would be making more per month than the monthly salaries (I haven't done the research, but I assume I'm also making more per month than the monthly salaries + benefits.) I'm going to estimate that at the end of the year I'll have made $16,000,000, which will go to pay off the initial loan, and pay the next year's lease agreement.
At the end of the year, I will undertake a media campaign talking to the local newspaper, tv stations, and radio stations letting people know that the tolls charged on 325 will go to improving the roads. I'll push a website that people can communicate directly to me to make improvement suggestions.
Meanwhile, I'll promote 17 full time employees to be station managers. They will have reduced duties (three shifts instead of four), will have authority over 15 employees, and will be able to make hiring and firing recommendations. I'll give them a salary of $45K per year, slightly higher than they were making as an hourly employee. I'll also promote 17 of the part time people to full time.
I'm assuming that there will have been some staff attrition by now. I started off paying $15/hr to the employees. I'll give good employees who have been with me since the start, but who didn't get promoted, a 5% raise to $15.75. This will keep me competitive at retaining employees. But, I'll pull back on the part time new hires by only offering $13/hr. This is still more than fast food would pay. I won't cut any pay, but again I think it is reasonable to think that at least 50% of my part time workers will move on to full time jobs elsewhere. So, I'll be able to give raises to employees, while keeping my staffing costs close to the same.
By now, however, the public will be upset if there are no visible improvements on the road. Many of them will be upset no matter what, and will simply take alternate routes. This will reduce my only source of income. So, I will begin selling FastPass discounts. Cards that will show that you have already paid to travel on the road, rather than pay a dollar every time.
Of course, I'll have to do some research. But, just off the top of my head, I'm thinking that $30 for a pass will be a good bargain for people who travel 315 twice a day (to work and back, perhaps). I'll also offer them through OSU and specific businesses for $20 to 25.
By year three, I should have the capital to start building automatic toll booths. Nets to catch change, and a swipe-thing for credit / debit cards and the FastPass thing. Maybe start selling gift cards through the local grocery stores and online for people who don't carry change.
This will let me cut my staff. If possible, I'll try and cut by not replacing people who leave rather than do lay offs.
Alternately, if I have the money and the connections, I could look into buying or leasing another stretch of highway. Move employees from where the automatic booths are going in to be start up employees on the new road.
Now, the downside of this plan is that people, in general, don't like toll booths. Many people would rather burn 2 gallons of gas at $3.50 per gallon than pay a one dollar toll. And, people really don't like paying for something that they used to get for free.
But, on the other hand, there has been quite the clamour in the conservative media for the privatization of government functions. This seems like an obvious step in that direction.
Theno