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Cutting Government Waste
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10580 |
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Section : |
CURRENT ISSUES
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| Issue
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2 / 1986 |
954 Words |
| Author
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Dan Mitchell is a doctoral candidate in the field of economics
at George Mason University, Fairfax, Virginia. |
As governor of California, one of Ronald Reagan's successes was implementing a series of recommendations made by a commission composed of management experts from the private sector. The recommendation included suggestions to reduce government waste and make government more efficient.
During the first terms of his presidency, Ronald Reagan set a similar process in motion. Named for the executive appointed to head it, the Grace Commission was charged with compiling a list of ways to end government waste. The Grace Commission analyzed the procurement procedures, program management, distribution of goods and services, decision-making processes, and other aspects of government.
The commission's goal was to discover ways to eliminate waste, mismanagement, duplication, and pork-barreling. After eighteen months of research, the Grace Commission issued its final report. It contained 2,478 suggestions which, if implemented would result in a projected three-year savings of $424 billion.
It is difficult to estimate how responsive the government has been to the Grace Commission's findings. The report was released in January 1984. Of the suggestions requiring congressional action, as of the 1986 budget 1,354 or 55 percent have been approved. Based on these figures, the commission has been successful.
The Grace Commission has made inroads in the war against waste. From this perspective, it is certainly a valuable accomplishment. Has it been what its proponents claimed it would be? There are no figures which specify actual savings estimates. As such, it is impossible to evaluate the Grace Commission fully, Money has been saved and reforms have been instituted to streamline government, but whether $424 billion will be saved is less likely.
On July 18, 1984, the president announced that $41 billion dollars in savings were already in place. Additionally just six months after the report came out, he said the three year savings was already over $100 billion. Examples of savings include $6.3 billion due to efficient cash management, $2.7 billion in delinquent taxes, $2.4 billion in railroad retirement reforms and $1.66 billion in Social Security deposit reforms.
Without discrediting the progress that has been made critics have asserted that the Grace Commission avoided many controversial topics and did not go far enough on some issues. The final Grace
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