alt Hacker NewsTwo different issues... On one hand, government should not compete with private enterprise because it has many unfair advantages. Imagine paying taxes to subsidize your competition, who is also exempt from regulations that apply to you. That is the kind of corruption that comes from government-run businesses.
As for this one:
>I’m currently watching an 8-figure park remodeling project happening near home. Instead of hiring one or two competent construction managers for a few hundred thousand dollars, the city seems to be spending several million dollars for outside management to oversee this one project.
Every time the government touches any money, there is an opportunity for corruption. I'm betting that there are kickbacks, nepotism, or some other bullshit involved in the case you mention here. There are countless fraud schemes. California is trying to pass a law against people like Nick Shirley investigating and reporting on widespread fraud, because they know where their bread is buttered.
> On one hand, government should not compete with private enterprise because it has many unfair advantages. Imagine paying taxes to subsidize your competition, who is also exempt from regulations that apply to you.
Are there any real examples of a government entity in the US competing with a private enterprise in which it genuinely would have been better for the government entity not to compete? I’m thinking of various public utility projects in CA (these are mostly great and more cities should do it), roads (I’ve never heard of a private road operating complaining about a public road), military (contractors complain when the military fixes their own gear, and this is asinine), the military doing some of its own research as you can read about in books like Ignition.
> there is an opportunity for corruption
It could just be incompetence. I read the construction contract. If I were a contractor, I would not have agreed to the fixed price and the steep late completion penalties without charging two arms and a leg and quoting a very long timeframe.