Government Technology - May 2008 - (Page 32)

Silver Lining It’s hard for anyone to claim the economy is doing well, but that doesn’t mean it’s time to declare DEFCON 1. Most people would agree the economy has taken a downward turn due to the weakened U.S. dollar and the housing market collapse. Not surprisingly, the way that carries over to state budgets differs from state to state. Last year wasn’t so bad for state budgets, according to The Fiscal Survey of the States, a December 2007 report by the National Association of Missouri CIO Dan Ross is State Budget Officers and the an unassuming, National Governors AssoSouthern gentleciation: “State fiscal conditions man who also remained strong for most happens to be states in fiscal 2007, but overall making a big growth slowed slightly from the splash in publicrobust conditions of fiscal 2006. sector IT. Ross’ Revenues were generally stable, efforts with conand only one state was forced to solidating IT in his make midyear budget cuts.” state have earned That description does not a lot of praise. He has also gone jibe with the supposed budget above and beyond calamity that states are bracing by attempting to for. Some states, such as Misrecruit future state souri, actually are in good shape IT employees in going forward. the virtual world “In Missouri, for the current of Second Life. fiscal year and the next, the This out-of-the-box consensus revenue estimate is thinking serves that barring a crisis, the revRoss well during enues will be aligned with the tough times. budget,” Missouri CIO Dan Ross said. “So we’re not seeing [shortfalls] on the immediate horizon, anyway.” His account is jarringly pedestrian. It turns out that while things aren’t great, the budget picture is OK. For CIOs like Ross, that’s the way it usually is — small budget reductions come annually, sometimes 10 percent and sometimes less. Each cycle forces his IT shop to be more agile to compensate. Ross is a big advocate of IT consolidation. It has helped his agency through the lean times, he said, and also generated tangible savings that were reinvested in service delivery. That reinvestment in technology is a critical part of his strategy for Missouri. “IT consolidation has really helped Missouri, and I would highly recommend it as a MAY_08 “While technology has stood in the gap these last several years, there’s a great need to reinvest to keep that technology current.” Dan Ross, CIO, Missouri Ross also points to other techniques that he uses to keep his agency above water: Developing common architecture standards and instituting bulk buying have saved money for Missouri. Establishing service-level agreements and building good relationships with vendors also helped take the sting out of diminished resources. One area that is often targeted for cuts, especially in IT, is employee training. Ross is adamant that these cuts are self-defeating, particularly with a massive loss of institutional knowledge looming on the horizon as a wave of IT workers near retirement age. “I would not throw out training,” said Ross. “I think that’s an investment, and your ability to deliver products and services depends on keeping your staff sharp. While for some that would be one of the first things they would cast out, we hung onto the budget for providing either formal degree training or technical training to keep our tools sharp.” Phoenix Rising Maybe you’re not convinced. Maybe you think Missouri is an oasis in a desert of economic despair. It isn’t. In the arid Southwest, for instance, the heat is still more oppressive than the fiscal situation. Arizona was hit rather hard by America’s housing mess because of the state’s dependence on construction and real estate for its economic lifeblood. Arizona CIO Chris Cummiskey said sales tax revenues have been impacted and economic growth has slowed from 8 percent or way to stave off those kinds of reductions in resources. There are so many opportunities to achieve cost savings, efficiencies or cost avoidances,” he said. “It’s imperative that funds be invested in [technology], because if we fail to do that, we’ll face service interruptions and speed and capacity issues. So while technology has stood in the gap these last several years, there’s a great need to reinvest to keep that technology current.” Convention Center, Phoenix 32 http://www.govtech.com

Table of Contents Feed for the Digital Edition of Government Technology - May 2008

Government Technology - May 2008 Contents Point of View The Last Mile Big Picture On the Scene Four Questions for … Turning Over a New Leaf Crash Diet Budget Blues? Failing Grade? Running the Numbers The 311 Report High-Tech Corrections How It Works Spectrum Two Cents Products Personal Computing Signal: Noise

Government Technology - May 2008

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