All their disads are non-unique – a Privatization’s inevitable internationally


Thirteen years of privatization in Kansas and San Francisco proves



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Thirteen years of privatization in Kansas and San Francisco proves


Falcus 14 – British Aviation Reporter (Matt Falcus, 8/8/14, “Airports consider switch to a privatized TSA,” http://exclusive.multibriefs.com/content/airports-consider-switch-to-a-privatized-tsa)//twemchen

The first major airport to choose its own agents instead of using the TSA was Kansas City International back in 2002, which required a more flexible staffing option than was possible with the government agency. It worked well but brought the additional headaches of contract renewals and negotiations once the private contract expired. Other major players, including San Francisco International, also opted in favor of private contractors at the earliest opportunity.
2ac – international

Inevitable internationally

AB 13 – Cygnus Business Media (Airport Business, September 2013, “Let’s Work Together,” Lexis)//twemchen

What?s ACI-NA?s stance on privatization? ACI?s position has always been if an airport wants to privatize, it should be allowed to, and if it doesn?t want to it shouldn?t have to. When I arrived at ACI-NA, the intellectual momentum in the U.S. industry was going in the privatization direction. Now that intellectual momentum has stopped. There are still people interested in it as a concept. But if you look around the world, a growing number of airports are run on some kind of private concession and a more business-like model.


More ev


Committee on Transportation and Infrastructure 11 – Prepared for Chairman John L. Mica (CTI, 6/3/11, “Committee on Transportation and Infrastructure Oversight and Investigations Staff Reform; TSA Ignores More Cost-Effective Screening Model,” http://www.aaae.org/?e=showFile&l=XQVIPZ)//twemchen

Most of the rest of the world utilizes a SPP-like screening model at airports. The United States is one of the only countries in the world, along with governments in the Middle East and Africa that operates as security operator, administrator, regulator, and auditor at airports (see Appendix 1). Most international governments contract the role of airport security “operator” to qualified private screening companies, allowing the government to focus on setting standards, performing oversight, and enforcing regulations. International stakeholders report that this private-federal model drives innovation, increases performance, and lowers costs.


The entire world does this

Committee on Transportation and Infrastructure 11 – Prepared for Chairman John L. Mica (CTI, 6/3/11, “Committee on Transportation and Infrastructure Oversight and Investigations Staff Reform; TSA Ignores More Cost-Effective Screening Model,” http://www.aaae.org/?e=showFile&l=XQVIPZ)//twemchen

The SPP models the screening operations of almost every other developed nation. There are three models for airport screening internationally: (1) governmental, (2) in-house, and (3) outsourcing. In the government model, replicated primarily in the Middle East and Africa, as well as under the current structure in the U.S., airport security services are provided by a government agency (see Appendix 1). In the “in-house” model, the airport authority provides screening services under government supervision and oversight. This model is replicated sporadically throughout the rest of the world, as well as under the SPP model at Jackson-Hole Airport in Wyoming. Most international screening operations are outsourced to qualified private security companies as duplicated by 15 U.S. airports under the SPP.98 TSA officials would benefit from adopting the international model of outsourced screening operations and focusing instead on setting standards, performing oversight, and enforcing compliance. Due, in part, to its role as service provider as well as regulator, TSA has failed to deploy appropriate assets to properly deter terrorist plots in several recent examples. The shoe bomber was foiled by a damp fuse and alert passengers.99 The liquid bomb plot was uncovered by British intelligence.100 The underwear bomber was stopped by a defective device, crew, and passengers.101 The cargo package plot was discovered by Saudi intelligence.102 The Times Square bomber ordered his cash-purchased ticket on his way to JFK and was then apprehended by Customs and Border Protection.103 Because the international community has historically used private screening, international security companies have pioneered significant innovations in this field. The major competitors of screening operations overseas have approximately one million employees and two centuries of combined security experience. These companies cite their years of experience, learned best practices, and the value placed on corporate reputation as the basis for increased flexibility and cost-savings provided to consumers. International companies report the importance of accommodating ever-changing client needs and believe that the trend towards private screening overseas is the result of the increased flexibility and efficiency that can be provided by the private sector. 105 In order to best measure their service, international security companies use two types of metrics to evaluate performance: metrics relating to their security service and metrics relating to their security performance.106 Security service measures queue management, passenger wait time, screener interaction with passengers, and passengers’ perception of airport security.107 Security performance metrics measure Threat Image Projection (TIP) scores, training data, and ongoing testing.108 These companies strive to provide the best service for the lowest cost. For example, in January of 2011 Austria transferred its airport security operations from the government to individual airport operators. Airport operators chose Securitas to perform screening operations. Securitas was able to reduce staff at the airport by 25 percent without impacting security or customer service. 109 At Gardermoen Airport in Oslo, Normandy, G4S reconfigured the physical layout of the airport’s screening operation to enhance screening efficacy and increase customer service, and in Brussels, G4S provides screening services equal to what the government had provided but with less staff. The company estimates that they were able to reduce operating costs to the airport by 35 percent.110
It’s everywhere

Poole 14 – Searle Freedom Trust Transportation Fellow and Director of Transportation Policy Airport Policy and Security News #101” http://reason.org/news/show/airport-policy-security-news-101#c)//twemchen

The last few months have seen a number of significant airport privatization developments, with large-scale programs announced in Greece and Spain, and a number of privatized terminal projects announced in the Western Hemisphere. The biggest news was Spain's mid-June announcement that it will sell to investors 49% of state-owned AENA Aeropuertos, which owns all of the country's 46 commercial airports and two heliports. The privatization will have two parts, with 28% of the shares offered to investors via an initial public offering and another 21% offered to strategic investors via a competitive bidding process. The sales are expected to take place by November. A new airport regulatory framework will also be established. AENA Aeropuertos, the world's largest airport group, has been estimated as having a market value of $21 billion. The Greek government is doing something similar. Its Hellenic Republic Asset Development Fund announced that 37 state-owned regional airports will be privatized under 30-year concessions. Two packages of airports are being offered, each including seven core airports. Inspiratia Infrastructure reported last month that HRADF is currently assessing binding bids, with the assistance of a team of technical and financial advisors that include Citigroup Global Markets and Lufthansa. Greece is also seeking bids to finance, develop, and operate a new $1 billion airport at Heraklion, with a bid deadline of November 11th. The French government last month announced that it will sell a 49.99% stake in state-owned Toulouse-Blagnac Airport in southwestern France. The national government owns 60% of the airport, with another 25% owned by the Toulouse Chamber of Commerce. There has been talk of similar privatizations of the Lyon and Nice airports. The only negative privatization news I've seen from Europe was the decision by Slovenia's Prime Minister, shortly before the July 13th elections, to suspend privatization of 15 assets, including the country's international airport in Ljubljana. The plan had been to offer 75.5% of the airport, and expressions of interest were solicited back in March. Three Western Hemisphere developments signal no waning of airport privatization on this side of the Atlantic. The Peruvian government has awarded a 40-year concession to the Kunter Wasi consortium to design, finance, build, and operate a replacement airport for tourist city Cuzco. The consortium is a joint venture of Argentina's Corporacion America and Andino Investment Holdings. The airport is expected to cost $538 million to build, on a greenfield site 29 km from Cuzco, the jumping-off point for tourists to the Inca ruins at Machu Picchu. Mexico appears to be getting close to going forward with a $9.2 billion replacement for the country's largest airport, Benito Juarez serving Mexico City. The master plan developed by consulting firm Arup calls for four runways and one terminal with a capacity of 30 million annual passengers, to be completed by 2018. The ultimate plan would have six runways and two terminals, to accommodate 60 million passengers by mid-century. Given the huge cost of the airport, some form of privatization or public-private partnership arrangement is likely. Finally, the Jamaican government is moving forward with a 30-year concession to modernize its second-largest airport, Norman Manley International, serving the capital city of Kingston. The privatization would follow the model used a decade ago to modernize Sangster International Airport in Montego Bay, the country's primary tourism airport. Submissions were due July 30th, with the goal of awarding the concession in 2015.

2ac – west europe
Western Europe does this

Committee on Transportation and Infrastructure 11 – Prepared for Chairman John L. Mica (CTI, 6/3/11, “Committee on Transportation and Infrastructure Oversight and Investigations Staff Reform; TSA Ignores More Cost-Effective Screening Model,” http://www.aaae.org/?e=showFile&l=XQVIPZ)//twemchen

In Europe, the vast majority of airports use nongovernment screening personnel, employed either by the airport operators or by an outsourced security company. Many airports which currently use in-house security services are in the process of outsourcing their operations to a private company.114 Because of the uniform standards promulgated by the EU, European governments have been overwhelmingly supportive of airports outsourcing their screening operations.115 Zurich is the only European airport to use government screeners, and even there, some aspects of the baggage screening operation are outsourced to private companies.116 The vast majority of EU airports (approximately 90 percent) are operated by private security companies.11
More ev

Poole 14 – Searle Freedom Trust Transportation Fellow and Director of Transportation Policy at the Reason Foundation (Robert Poole, 12/4/14, “Airport Policy and Security Newsletter #103,” http://reason.org/news/show/1014094.html#b)//twemchen

France and Spain are in the process of launching new rounds of airport privatizations, and there are quite a few transactions taking place elsewhere in Europe, as well. Spain's long-awaited privatization of its 46 commercial airports (including Barcelona and Madrid) has gotten under way with the separation of the air traffic control function from state aviation company AENA. (The now-separate air navigation service provider is called ENAIRE.) Next, the government sold 21% of what is now a purely airports company, AENA, to three "cornerstone" investors for $2 billion. They are U.K.-based Children's Investment Fund, Ferrovial Aeropuertos, and Corporacion Financiera Alba. Another 28% of AENA will be sold to investors early in 2015 via an initial public offering (IPO) of shares on the Madrid stock exchange. That will leave the government with 51%. Based on the initial price for the first 21%, analysts expect the IPO to increase the government's overall proceeds to as much as $5 billion. France is also on the threshold of a new era of airport privatization. Until the early 2000s, all commercial airports in France were owned by the national government. Early in that decade, except for the Paris airports, the government devolved significant control of commercial airports to local governments, giving them partial ownership stakes. In 2006, Aeroports de Paris (AdP) was part-privatized via an initial public offering of shares, with additional small stakes subsequently acquired by Schiphol Group, Vinci, and Predica; today the French government holds 50.6% of AdP. In 2009-2010 the government began allowing companies such as Keolis, SNC-Lavalin, and Vinci to enter into management contracts at secondary and tertiary airports. CAPA Centre for Aviation lists 22 airports with such private-sector operators as of November 2014. In 2009-10, the government allowed Vinci to purchase 99% of four regional airports. And in 2012 the government announced plans to sell its ownership stakes in four primary airports: Bordeaux, Lyon, Montpellier, and Toulouse—but those plans were put on hold due to the 2013 presidential election. That plan was revived in mid-2014, with Toulouse as the first candidate. Ten companies expressed interest in acquiring the offered 49.9% stake, and three consortia ended up submitting bids by October 31st: AdP/Predica, Vinci/CDC/EDF, and SNC-Lavalin. Assuming this sale goes through, CAPA predicts that eight other airports will follow in 2015: Bordeaux, Lyon, Marseille, Montpellier, Nice, Strasbourg and two overseas departments—Fort de France (Martinique) and Saint-Denis (Reunion). Greece's privatization agency, Hellenic Republic Asset Development Fund, received three international bids for the first 14 of its 37 regional airports, being offered as a 30-year concession. The winner was Fraport, with a bid of $1.5 billion up-front. The government is also seeking bids to finance, develop, and operate a new $1 billion airport at Heraklion, on the island of Crete, under a 37-year concession; bids are due Dec. 16th. Still undecided is the fate of the government's 55% stake in Athens Airport, developed under a 30-year concession by Hochtief (now AviAlliance) in the 1990s. Greece's rival Turkey had expected to have its third Istanbul Airport project under way by 2014, after having selected a five-company consortium to develop it under a 25-year concession in 2013. But in February a court put the project on hold, over questions about the adequacy of the environmental impact of the planned six-runway airport estimated to cost nearly $30 billion. Malaysia Airports Holdings, which already owned 60% of Istanbul's second airport (Sabiha Gökcen), purchased the other 40% from Turkish company the Limak Group. In the United Kingdom, AENA and its joint venture partner, Ardian, received the OK from the Luton Borough Council to expand the capacity of privatized Luton's terminal from 12 million to 18 million annual passengers, at a cost of $172 million. Two small U.K. airports, formerly privatized, shut down in 2014 when their owners could not afford to continue losing money. Balfour Beatty Infrastructure could not find a buyer for ailing Blackpool Airport, and shut it down in October (though it was subsequently re-opened by a new Balfour Beatty subsidiary as a general aviation airport). Infratil in 2013 sold money-losing Kent International Airport (in Manston) to Scottish entrepreneur Ann Gloag, but she could not turn it around and closed it down in May. Other privatization developments in Europe include: Croatia: A consortium led by Aeroports de Paris reached financial close on a $331 million, 30-year concession to expand and modernize Zagreb Airport, the country's largest. Denmark: Copenhagen Airport, owned by Ontario Teachers' Pension Plan Board and Macquarie European Infrastructure Fund 3, refinanced $1.05 billion in debt, to take advantage of lower interest rates. Hungary: Privatized Budapest Airport completed a $1.4 billion debt refinancing. Budapest's largest shareholder is Canada's Public Sector Pension Investment Board. Italy: Corporacion America, which already owns minority stakes in the Florence and Pisa airports, has offered by buy out the government's remaining interest in both of them, offering $110 million for Florence and $55 million for Pisa. - See more at: http://reason.org/news/show/1014094.html#b

2ac – east europe
East Europe does it

Committee on Transportation and Infrastructure 11 – Prepared for Chairman John L. Mica (CTI, 6/3/11, “Committee on Transportation and Infrastructure Oversight and Investigations Staff Reform; TSA Ignores More Cost-Effective Screening Model,” http://www.aaae.org/?e=showFile&l=XQVIPZ)//twemchen

Eastern Europe is closely following the European move towards privatized security. While Poland, Romania, and Bulgaria use government screeners, pending legislation in Poland would allow airports to outsource their screening operations, according to a Committee contact at Securitas.118 The same source reports that Hungary and Serbia, which currently have in-house screening, are seeking to outsource screening operations to private companies.119

2ac – greece
Poole 6/4 – Searle Freedom Trust Transportation Fellow and Director of Transportation Policy at the Reason Foundation (Robert Poole, 6/4/15, “Airport Policy and Security Newsletter #106,” http://reason.org/news/show/airport-policy-security-news-106#e)//twemchen

Greece Will Implement Airport Privatization Agreement. Despite previous populist objections by its new leftist government, Greece announced on May 5th that it will go ahead with the previously agreed privatization of regional airports. Under the agreement negotiated last year, winning bidder Fraport will pay $1.3 billion to operate, improve, and manage the airports for 40 years. The settlement was part of bail-out negotiations between European agencies and the nearly bankrupt Greek government.


2ac – middle east/africa
Africa and the Middle East outsource their screening

Committee on Transportation and Infrastructure 11 – Prepared for Chairman John L. Mica (CTI, 6/3/11, “Committee on Transportation and Infrastructure Oversight and Investigations Staff Reform; TSA Ignores More Cost-Effective Screening Model,” http://www.aaae.org/?e=showFile&l=XQVIPZ)//twemchen

In the Middle East and Africa region, passenger and baggage screening is performed primarily by the government in each country.120 Yet, in most of these countries, government regulation allows airport operators to outsource certain functions, such as cargo screening or prescreening prior to check-in, even if the government provides the bulk of the screening operation.121

2ac – latin america
Latin America does it

Committee on Transportation and Infrastructure 11 – Prepared for Chairman John L. Mica (CTI, 6/3/11, “Committee on Transportation and Infrastructure Oversight and Investigations Staff Reform; TSA Ignores More Cost-Effective Screening Model,” http://www.aaae.org/?e=showFile&l=XQVIPZ)//twemchen

In Latin American countries, airport operators outsource some or all of the screening operations to private companies.122 In Argentina, the only country with a vestige of government screening operations, there is a move towards privatized passenger and baggage screening.123

2ac – asia
Committee on Transportation and Infrastructure 11 – Prepared for Chairman John L. Mica (CTI, 6/3/11, “Committee on Transportation and Infrastructure Oversight and Investigations Staff Reform; TSA Ignores More Cost-Effective Screening Model,” http://www.aaae.org/?e=showFile&l=XQVIPZ)//twemchen

While Asian governments maintain some significant involvement in airport screening operations, only Malaysia uses a strict government-only screening model.124 In the Philippines and in Hong Kong and Makao, the government does the bulk of the screening operations, but private or quasi-private companies complement these services.125



2ac – midway
Midway’s modeled

AB 13 – Cygnus Business Media (Airport Business, September 2013, “Let’s Work Together,” Lexis)//twemchen

The United States has a pilot program for privatization but it?s proved very hard to participate largely because of the requirement for 65% of the airlines to approve filing the application. We need a better program for privatization. The San Juan project is a good development, but I?m not sure how much affect it will have on mainland airports. If Chicago-Midway was to have privatized a few years ago, and the Mayor had held up a check for $2.5 billion, I think a lot of other mayors around the country would have said: ?Maybe we should get a piece of that.? It would have really opened the program up. We will have to see what happens with the current Midway proposal underway at FAA.

2ac – alaska
Alaska’s doing it lolz

Wilkening 9 – (David Wilkening, 10/22/9, “Inept TSA leads to growing privatization of airport security,” http://www.travelmole.com/news_feature.php?news_id=1139052&c=setreg®ion=3)//twemchen

Rude customer service and long wait lines prompted Glacier Park International Airport in Alaska to do what others are doing: privatize their airport security force. The Transportation Security Administration (TSA) created in 2004 Screening Partnership Program allows all commercial airports an opportunity to apply to use private security screeners. So far, 15 of 450 airports across the nation have opted to privatize, says Daily Inter Lake.com. Airport Director Cindi Martin said Glacier Park International has applied to privatize because what TSA offers the airport is not meeting its needs. "We've had a fair share of complaints about customer service and wait times," Martin said. "If we don't have adequate staffing, it frustrates travelers. This is an ongoing problem with TSA nationwide." This does not make the TSA employees happy. "We're concerned about our jobs, our seniority, our benefits," Eric Wood, a security worker at the airport, was quoted as saying. He said some employees were concerned the private force would lead to higher costs for consumers. Dwayne Baird, a regional spokesman for TSA, said the decision to privatize is up to each airport, but the agency requires that the private contractors maintain the same standards of security and the same benefits for employees during the duration of the contract. However, Baird and others maintain that TSA is already operating an efficient program.



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