Steve Forbes: Railroading The Taxpayer

Commentary by Steve Forbes - Washington likes to think that government-funded infrastructure projects boost economic activity. It was just such a belief that the President tapped into last year to justify part of his expensive grab bag of projects and programs that constituted his initial $787 billion stimulus package. But there is at least one form of Washington-generated infrastructure spending we could manifestly do without: high-speed rail projects. If the White House has its way the federal government--as well as state and local ones--will spend hundreds of billions of dollars over the next couple of decades on projects that will be mammoth moneylosers and serve but a tiny fraction of the U.S. traveling public. Despite the fact that almost all the world's bullet trains operate in the red, they have cast a spell over political elites. Environmentalists love them because they will allegedly get us out of our automobiles. Unions love them because government projects mean bloated payrolls, pay packages and pensions. And the poor taxpayer gets railroaded. Nevertheless, with great fanfare the Administration announced last year that it would shovel out $8 billion to help fund several high-speed rail corridors around the country. While that's seemingly small change by today's government standards, transportation officials understand that these appropriations are but a down payment on massive amounts of money yet to come. Traditionally, once a pork barrel scheme is started, nothing in heaven or on Earth is likely to stop it. Like barnacles on a ship, too many vested interests will glom onto it and fight to protect it. Read more

Steve Forbes: Railroading The Taxpayer