A special report done for the state House Democratic Caucus concludes that leasing the Pennsylvania Turnpike is a bad idea for motorists and taxpayers.

The 65-page report, titled "For Whom the Road Tolls: Corporate Asset or Public Good," says such a deal would result in higher tolls than those already planned, surrender control of a valuable transportation asset, and create unnecessary risks and problems.

The report recommends sticking with Act 44, including imposing tolls on Interstate 80, which both the House and Senate approved last summer, albeit not unanimously, and which Gov. Ed Rendell signed.

Since then, Mr. Rendell has revived his 2006 proposal to lease the toll road to private corporate interests, claiming such a deal would raise significantly more transportation funds than the "public-public partnership" that Act 44 created between the Pennsylvania Department of Transportation and the Pennsylvania Turnpike Commission.

The report points out, however, that "up-front" lease money totaling up to $30 billion might prove too tempting for lawmakers in the future. It could pose "a very real risk of legislative redirection ... at budget crunch time" and be spent on things other than transportation.

Act 44 calls for raising turnpike tolls by 25 percent next year and an estimated 3 percent a year thereafter and imposing the same toll rates on I-80. The bill is expected to generate more than $116 billion over the next 50 years, including $83.3 billion for PennDOT for roads, bridges and public transit and $8 billion for I-80 improvements.

Since none of the revenue measures has taken effect, the turnpike commission has thus far borrowed money to advance $521.4 million to PennDOT.

The special House report puts Democrats at odds with Mr. Rendell, who is said to be preparing to announce a list of turnpike suitors from the private sector and their proposals to lease the 530-mile system for a period of up to 99 years.

"We shouldn't mortgage our future by leasing the turnpike to an outside firm, especially when that lease comes with higher tolls and possible future financial shortfalls," House Majority Whip Keith McCall, D-Carbon, said in a prepared statement.

He will release the report and discuss details today with Appropriations Committee Chairman Dwight Evans, D-Philadelphia, House Transportation Committee Chairman Joe Markosek, D-Monroeville, and experts from Penn State University and Harvard University, who examined data from private toll roads and current world financial markets in order to determine the best course of action.

The report states:

"A long-term corporate lease is likely to be a far less efficient strategy for generating funding than the current Act 44 payment stream of full public monetization [issuing bonds for expected future revenue for money today] by the Turnpike Commission.

"This is 'not just about the money.' There are important policy advantages to retaining government control of the turnpike as a strategic asset rather than ceding it to the private sectors for decades to come. This is the case whether or not I-80 is converted to a toll road."

Before it can happen, the Federal Highway Administration must approve the joint request from PennDOT and the turnpike commission to turn I-80 into a toll road, a move opposed by residents and businesses along the corridor.

Clarion Mayor John Stroup, who's running for Congress, called tolling I-80 "an ill-advised scheme to shut down the economy of rural Pennsylvania" at a meeting with FHWA officials in Washington, D.C., last week.

The House report estimates that a private firm would increase tolls about 5 percent a year in order to return a reasonable profit to its investors.

It also looks at creating a nonprofit Public Benefit Corp. but concludes that would cost millions in start-up costs and, in essence, duplicate what the turnpike commission already has a half-century of experience doing.

"Under the control of a private concessionaire, the turnpike will be operated with a singular focus on the bottom line," the report says.

"The turnpike will cease to be an asset that state government can use to promote economic development and other social objectives and will no longer be part of a larger transportation network to be managed in a coordinated manner.

"We believe the Commonwealth is best served by staying the course with Act 44. If the [FHWA] fails to approve tolling on I-80, additional revenues can be generated through a full public monetization of the turnpike, by identifying other supplemental revenue sources, or by some combination of those approaches."

Pennsylvania is not the first to consider such leasing arrangements.

In October 2005, Chicago leased its eight-mile Chicago Skyway for 99 years for $1.82 billion. Most of the money is gone; it went to pay off road and city debts The old $2 toll is being raised a step at a time to $5 by 2017, when it will average 62.5 cents a mile.

In June 2006, Indiana leased its 157-mile Indiana Toll Road for 75 years for $3.85 billion. The money is programmed to be spent over 10 years to build other highways and bridges, while tolls are to be raised a minimum of 2 percent a year, depending on cost-of-living adjustments.