Senate approves new public-private partnership law

By a vote of 85-8, the Senate approved the Law on Public-Private Partnerships that had been proposed by the Executive last November and has been pending a vote since April.  The law modernizes the framework for so-called PPPs, whereby the private sector provides services under long term concessions that are normally considered to be public sector responsibilities, such as operating tollroads, ports, and municipal water systems. While Mexico has undertaken a large number of PPPs since the beginning of the Calderón government, participants have been looking for modernization of the legal framework.  The law now goes to the Chamber of Deputies. (Reforma 10/12)

Flooded highway reopens

Ten days after unseasonal storms overwhelmed the water and sewage systems for greater Mexico City, the authorities finally reopened the main Mexico-City tollroad in Chalco, Mexico State.  Portions of Chalco are still underwater, and there is reportedly 30cm of mud in some locations that had been flooded. National Water Commission president José Luis Luege said emergency repairs on the Rio de la Compañia water tunnel had been completed. (Universal 2/15)

Parties trade blame for flooding

Record downpours during what is normally the dry season caused flooding in the poorer districts of Mexico City and adjacent areas of Mexico State, as well as Michoacán and Guerrero. At least 22 persons died in Michoacán. In the capital region, two major drainage canals broke their banks, leaving neighborhoods 6 ft deep in raw sewage, and closing the main Mexico-Puebla highway. President Calderón, Mexico state governor Enrique Peña Nieto, and Mexico City mayor Marcelo Ebrard toured the affected areas. National Water Commission head José Luis Luege blamed the Mexico City government for closing the deep drainage system for repairs despite forecasts of bad weather, while Ebrard blamed the feds for underspending on water infrastructure. (Reforma 2/8, Excelsior 2/8)