Re: Virginia

[Dan Bell <dbell@kent.edu>]

Fellow EOPRIVers:

Don Ward made reference to the Virginia government and
ESOPs. I believe there has been some privatizing activity
in Virginia, and an ESOP may have resulted from that.

As far as I know, state governments are not the type
of corporation which sells shares of itself, so some
of the story probably got distorted. I would guess a
service which was previously provided by the state
government is now being provided by a newly created
private company and that part of the ownership of that
new company belongs to an ESOP.

On the other hand, I believe a state government can own
shares of a private company. So, in theory, an ESOP and
a state government could be co-shareholders of a private
company which is providing a service formally provided
by the state.

I do not have much direct knowledge of privatization in
Virginia. My guess is a good source of information would
be Alan Roth, Deputy Director, Commonwealth Competition
Council, (804)786-0242, competition@state.va.us

Possibly David Binns of the Foundation for Enterprise
Development would have some information as well.

--
Dan Bell
International Program Coordinator
Ohio Employee Ownership Center
Kent State University
Kent, OH 44242
(330) 672-3028
(330) 672-4063 fax
dbell@kent.edu
http://www.kent.edu/oeoc/