NEARLY TWO DECADES later, we still remember the $640 toilet seat
and the $436 hammer. Those examples of wasteful government spending,
which helped lead to reforms in a federal procurement system that
had obviously gotten out of control, were products of President
Reagan's Grace Commission.
The idea behind that commission -- that business executives could
find ways to make government more efficient "by simply turning to
modern business practices" -- is being borrowed by Gov. Mark Sanford
to try to reduce the cost of government in South Carolina.
It is an exciting idea that could lead to some of the most
dramatic changes in the way state government operates in a
decade.
One of the biggest problems with state government is that we
assume the way we've always done things is the way they need to be
done, and any changes we make are incremental. While three years of
budget cuts have led some agencies to reexamine these assumptions,
not all managers have the expertise to identify efficiencies, and
many reforms need to be made across several agencies or even the
entire government.
We are encouraged by Mr. Sanford's desire to examine long-held
assumptions about spending practices and priorities, but that's a
huge task. Bringing on people with management expertise, if only for
a few months, should make the process more productive.
But in order for it to live up to its potential, the Management,
Accountability and Performance, or MAP, Commission needs to take
care to avoid some of the pitfalls of its prototype.
While supporters claim $700 billion in savings from the Grace
Commission, that's a pittance when amortized over nearly 20 years
since the report was issued; the report had promised three-year
savings of $424 billion. The savings weren't realized because the
Congress rejected most of the recommendations; and a big reason for
that is that most had little to do with improving the way the
government did what it was doing. Instead, they focused on changing
what government does, from restricting Medicare payments and cutting
military retirement pay to charging more for hydroelectric power and
charging boaters for Coast Guard services.
There's no question that our state government delivers some
services it doesn't need to deliver. But it's best to leave the task
of identifying those to the politicians, particularly given the
short time frame Mr. Sanford has given his MAP Commission. Where
this panel can provide a real service is to find better ways of
providing the services that are currently being provided.
Fortunately, it appears that this is its plan. Despite debate
about such things as what is and isn't classroom spending, the
panel's task forces are examining such topics as procurement,
information technology, human resources and organizational
structure. Last week, Mr. Sanford made the point of reminding the
commission that it needed to focus "more on substance, big
structural change, and less on sound bites."
Excellent direction. We have reached a point where the
Legislature doesn't want to discontinue programs, and it doesn't
want to raise taxes, and as a result we are starving such vital
services as public education and public safety. Bringing in fresh
eyes to examine how we do business would be a smart idea any time;
it's crucial now. This could be our best hope for preventing the
disintegration of the social order.