Privatizing may cost more

I have been reading that Spokane is talking about privatizing some of its public services. The Spokane City Council needs to be very careful. Kennewick went through this exercise in the 1980s. They found that private contract employees cost approximately 60 percent more than equivalent staff employees. Government employee costs do not include extra charges for profits, business development, income taxes, large executive salaries and bonuses, and political campaign donations.

By state law, when private contractors are hired for government work, tens of thousands of dollars are spent in preparing bid documents and negotiating final contracts. Not all winning low-bid contractors are honest, forthright businessmen. Sometimes, the quality of the work is inferior and invoices contain bogus charges.

The government needs to plan on spending more for staff to do work inspection and to audit financial documents. Finally, when a private contractor furnishes materials and supplies, the government pays retail costs instead of normal wholesale costs.

Most attempts to privatize government work cost the taxpayers more money, not less. To illustrate this point, look at the new cost of liquor in Washington.

George Thomas Clark

Deer Park