South Suburban Leagues of Women Voters Begins Privatization Study

The League of Women Voters of Homewood-Flossmoor Area, Park Forest Area, and Palos-Orland Area are beginning a study of privatization of governmental services.  This is part of the League of Women Voters' U.S. study whose purpose is to identify policies and paramenters that should be considered when any governmental entity is planning to undertake some type of privatization process.

LWV member Gretchen Knell writes, "Federal, state and local governments own extensive assets and are major employers.  Governments often consider selling assets, and outsourcing some functions and services to the private sector, including 'core' government services such as providing for the safety, security and general welfare (public well-being) of citizens, the economy, and our country.  Privatization of these government assets, services and functions has been occurring for decades at all levels of government.  The consequences of 'privatizing' a government service or function, in particular, may enhance the function or service.  Alternatively, it may reduce or alter functions and services.  Government revenues may be reduced or lost and jobs may be cut.  In some instances, this may have a detrimental effect on the 'common good' or public well-being." 

Diane Dilanni, another LWV member, notes, "Across the 50 states, legislative approaches to privatization differ widely, and while some states have enacted laws that promote and facilitate privatization, others have enacted laws seeking to regulate and curtail such activity. Moreover, such legislative approaches differ in scope.  Some states have enacted  broad-based privatization laws tha tapply to all such activity within the state, such as the Massachusetts Pacheco law that tends to restrict and regulate such activities.  Other states have passed laws that relate only to one or more sectors, such as the Tennessee private prison contracting act, which, according to some commentators, has led to the rise of the national private prison industry."

A recent story in the New York Times recounts how privatization is moving direct-care workers and other public employees down the income ladder.  "The state of Michigan, for example, hopes to replace some government emplyoyees with contract workers who will do the same job for less," The Times reported as part of its 'Working for Less' series." 

A privatization issue is occuring right now in the South Suburbs.  H-F LWV member Karen Maurer attended a meeting on Monday evening, January 9, at the Crete Township Hall.  She reports that the Hall was packed with 120 people and additional people looking on from the kitchen and front hall.  The issue that brought all these people to Crete was the privatization of public services:  the proposed 750-bed immigrant detention center would be built, staffed and managed by a private business, Corrections Corporation of America, which has a reputation for high-paid administrators and low-paid staff. Karen stated that Crete residents are up in arms because of what appears to be secrecy on the part of their village officials.  This meeting was covered by the Southtown Star, the Northwest Indiana Times and WBEZ.  Anyone interested in more details can read the stories on-line.