by James A. Bacon
Virginians can argue all day long about the proper size and scope of state and local government. But we should be able to agree upon one thing: that whatever it does, government needs to do its job as efficiently and cost-effectively as possible.
So, it’s good news to hear that the state Office of Transportation has generated $105 million in savings, according to Dave Ress with the Richmond Times-Dispatch. It’s not clear from the article whether the savings occurred in fiscal 2024 or the three years since Governor Glenn Youngkin set up the office. Either way, it’s not chump change, even in a General Fund that spends roughly $30 billion a year.
On the other hand, the savings cited in Ress’ article come from administrative efficiencies that seem in retrospect to be no-brainers: reversals of practices that should never had been allowed in the first place.
The biggest gains came from changes in procurement policy. For example, as described to Ress by Chief Transformation Officer Rob Ward, state agencies hire professional services, such as consulting services, without knowing (or caring) that other agencies have engaged the same consultants at lower hourly rates. Adjusting payments for all services to the lower rates netted $47 million in savings.









