Crisis leading state to real, recurring savings
By KENNETH BRYNIEN
By all accounts, the state’s budget deficit for the current fiscal year stands at more than $3 billion with some estimates reaching more than $4 billion. Gov. David Paterson continues to seek suggestions for addressing the state’s fiscal crisis and, while it presents challenges for our members, it also provides opportunities.
Time and again we have provided analysis and testimony that, by conservative estimates, the state could save as much as $417 million annually by replacing consultants with state employees.
As a result of the fiscal crisis, a realization by agency commissioners and directors that they must provide the best value for each dollar spent is creeping in. This has led to another realization: More times than not, PEF members provide significantly higher value for the work done than do consultants, especially in the areas of information technology (IT) and engineering.
The fiscal crisis is forcing their hands and we are beginning to see the results of our Go Public efforts as the state begins to reduce its reliance on consultants.
Recently, it was reported to me the Department of Law has eliminated two-thirds of its IT contractors.
The fiscal crisis was also the impetus for the recently introduced bill, negotiated among PEF, the governor and the Legislature, that provides the state the ability to transition away from and eliminate IT consultants and replace them with state employees. This process is referred to as “in-sourcing.”
Along with the bill, we negotiated a memorandum of understanding that will enhance our members’ promotional opportunities by providing the IT training in skills lacking in agencies that have led to contracting out. I hope this is just the first step of many as the state reduces its reliance on costly consultants.
As the state continues to address the fiscal crisis we will work to ensure the state’s leaders continue to understand not only the value of our members and the services we provide to the state’s citizens, but the value we provide to the state’s taxpayers as well.
