Shows & Panels
- The 2014 Big Picture on Cyber Security
- AFCEA Answers
- Ask the CIO
- Building the Hybrid Cloud
- Connected Government: How to Build and Procure Network Services for the Future
- Continuing Diagnostics and Mitigation: Discussion of Progress and Next Steps
- Federal Executive Forum
- Federal Tech Talk
- The Future of Government Data Centers
- The Future of IT: How CIOs Can Enable the Service-Oriented Enterprise
- The Intersection: Where Technology Meets Transformation
- Maximizing ROI Through Data Center Consolidation
- Mitigating Insider Threats in Virtual & Cloud Environments
- Modern Mission Critical Series
- Moving to the Cloud. What's the best approach for me
- Navigating Tough Choices in Government Cloud Computing
- The New Generation of Database
- Satellite Communications: Acquiring SATCOM in Tight Times
- Targeting Advanced Threats: Proven Methods from Detection through Remediation
- Transformative Technology: Desktop Virtualization in Government
- The Truth About IT Opex and Software Defined Networking
- Value of Health IT
- Air Traffic Management Transformation Report
- Cloud First Report
- General Dynamics IT Enterprise Center
- Gov Cloud Minute
- Government in Technology Series
- Homeland Security Cybersecurity Market Report
- National Cybersecurity Awareness Month
- Technology Insights
- The Cyber Security Report
- The Next Generation Cyber Security Experts
Shows & Panels
GAO: must plan for future of local governments
Thursday - 8/19/2010, 9:49pm EDT
"GAO for a long time has been talking about the challenges the federal government faces with its fiscal management so we decided that what we'd do is take a complementary look at the state and local sector," Stan Czerwinski, Director for Strategic Issues at GAO, said.
Based on historical data, the GAO was able to start testing for future fiscal health. The first model were tested two years ago, Czerwinski said, and predicted a recession before there was one.
"Fortunate for us geeks, we had a recession. Unfortunate for the country, we had a recession," Czerwinski said. "So what we wanted to do was to take the next step then and peel back the onion, and say what's going on here that's actually driving the fiscal condition of the state and local structure"
GAO started by reviewing the past.
What we wanted to do was look at both the spending and revenue for the state and local sectors over the past 30 years, and compare them," Czerwinski said. "The bottom line is, we've seen a faster growth in expenditures than we have in the revenue coming in."
Among the costs that dramatically increased? Health care, which was also driving up costs on the federal level over the same time frame. Health care costs in the state and local sector increased by 8 percent--from 12 percent in 1978 to 20 percent in 2008. The In 1978 12 percent in 2008-- 20 percent
"The question then becomes, what's it crowding out?" Czerwinski said.
Since state and local governments must balance their budgets, Czerwinski explained, so what the increased costs do is put pressure on the system, as opposed to creating debt. And it's big pressure.
"If we don't get things changed, we could be looking at approximately $10 trillion on the sector by 50 years out," Czerwinski said.
And when state and local government go down, it's the federal government that often is part of helping ease the pressure, or even bailing them out. So finding a solution and planning ahead is everyone's problem, Czerwinski explained.
"It's one that we're really going to have to work together," Czerwinski said. "When we think about it, it's going to have to be with the capacity and what the state and local sectors brings to the table in mind."
You can find a summary of the report here.
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