Cash squeeze means more privatization in local US gov

Despite all the public resistance to foreign investment in public infrastructure here, this WSJ story reports that cities are moving into privatization of services in a big way, to include everything from janitors to cops:

After years of whittling staff and cutting back on services, towns and cities are not outsourcing some of the most basic functions of local government, from policy to trash collection.

Despite the usual concerns voiced, cities say they have little choice.

Expect California, with its $19B deficit, to lead the way in terms of local experimentation.