In which situation does a government agency release ownership and control of an entire process?

The correct answer is privatization because this process involves the government transferring ownership and control of a public service or asset to the private sector. When privatization occurs, all responsibilities associated with the operation and management of the service are shifted to a private entity, effectively releasing government oversight and direction over that specific process.

In contrast, contracting involves the government hiring private firms to provide services while maintaining some level of control or oversight. Reorganization refers to internal changes within a government structure, often aimed at improving efficiency or effectiveness without transferring ownership. Consolidation typically involves merging multiple entities or services to streamline operations, but again, it does not equate to transferring ownership and control to the private sector.

Thus, privatization is uniquely characterized by this complete transfer of ownership and control, making it the correct choice in this context.