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Originally Posted by LeftCoaster
There are times where crown corps and public services make a lot of sense, this just isnt one of them IMO.
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There has been no shortage of theorizing about why North American public transit projects (and nuclear power, and other big infrastructure projects) cost so much. But a common theme for these big projects is that soft costs such as engineering have increased significantly compared to hard costs.
Perhaps one of the better analysis of transit costs specifically is
this NYU study. It puts a lot of blame at the feet of little to no institutional knowledge at the government bodies charged with carrying out or supervising these projects. Another study I recently read was
this one on nuclear power plants. It came to similar conclusions.
Government entities can be bloated with too many employees, spend money on frivolous items, and fall behind padded construction schedules. But private companies can do the same. You're likely right that it simply wouldn't be politically feasible to build a provincial or federal infrastructure super taskforce, charged with parachuting into Toronto or Vancouver or Calgary or Saskatoon whenever a RRT, BRT, major bridge, or other project needs to be planned and executed. But it's undeniable that if such a taskforce was built, and its members didn't spend a significant amount of time sitting around waiting for work, it would be cheaper than paying private consulting firms to do all the work. I work in professional services and bill at $300 per hour. Meanwhile, I earn something like $40 per hour. That spread covers some actual costs like shared services, office rent, and benefits, but most of it ends up padding the bottom line. This wouldn't be necessary if the government did the work themselves.