Wednesday, July 28, 2010

Perdue asks for study of taking state IT private | projects

Perdue asks for study of taking state IT private | projects

First the state consolidates IT functions under ITS because of the lack of cohesiveness between the state's agencies computer systems, now the State wants to privatize ITS. But will there be any real cost savings, except in transferring State workers with benefits to contractor status with no benefits. I suspect privatization of State functions will be the least of Perdue's concerns as the Legislature grapples with a $3B shortfall in the coming biennial budget year. The Progressive Pulse whines that state spending is currently at 1996 levels. The last time I checked, the state's economy was booming in 1996, and the State Legislature was busy trying to spend a $2.4B surplus.

When spending returns to WWII levels, adjusted for population and rate of inflation, and before our federal government began their 70 year piling on of debt, of which we are now on the leading vertical edge, then we can start discussing how the money should be spent. All but essential services should be cut. What are essential services? That is a good question. Privatization of government operations is not the answer to the State's current budget plight, and indeed that of the nation. PRIORITIZATION is the key, and that is what the Governor is trying to avoid, shedding the generation of patronage in her Administration. Can't blame her for firing the budgetary warning shot across the bow to all State workers, but can't sympathize, either.

In fact, if the Governor is serious about streamlining government and reducing the budget, the surest way to do it is to require all retirement eligible employee to retire. Then backfill all essential position with lateral transfers. This serves two purposes, eliminating non-essential positions, and reducing the overall budget.

Either way, this will be the topic of discussion next Spring when revenues fall short of projections, again. All the low hanging fruit has been picked. It's time to start pruning, not chopping down the orchard

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