Scott Bird PM Cluster SFO 2009
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Open source information sharing can benefit states and local governments in several ways: 1) It allows data sharing between agencies to save money and improve services by identifying fraud, increasing accuracy of benefits determinations, and improving customer service. 2) Prediction markets that pool opinions from many traders can produce accurate predictions to help governments prepare for future events. 3) Electronic procurement systems can automate purchasing, increase competition, and decrease costs by linking volume purchasing to open source supplier information.
Scott Bird PM Cluster SFO 2009
- 1. OPEN SOURCE INFORMATION: EXAMPLES OF HOW STATES AND LOCAL GOVERNMENT CAN BENEFIT
- 2. DATA SHARING – LEVERAGING AGENCY DATA AND INFORMATION TO SAVE MONEY AND IMPROVE SERVICES
- 3. Open Source information: Allows cities, counties, and states to contribute and draw upon commonly-shared knowledge bases Enhances current electronic communications between state and county government Triggers new applications, efficiencies and methods of data sharing Is the great equalizer – bottom-up citizen and local government can be as important as top-down federal government information and data Requires solid analyses to support key decision-making
- 4. PARIS (PUBLIC ACCESS REPORTING INFORMATION SYSTEM): INTERSTATE DATA SHARING TO SAVE MONEY, IMPROVE SERVICES & FIGHT FRAUD AND ABUSE OF FEDERAL AND STATE BENEFITS
- 5. PARIS: An electronic interface with the VA and DOD to match all active Medicaid clients against VA and DOD benefit files. Currently, 30 states share their benefits data with each other (Temporary Assistance to Needy Families, Medicaid, Food Stamps and SSI benefits) Substantial cost savings to states by PARIS involvement: ID of fraud and overpayments to recipients receiving duplicate assistance from multiple states Increased accuracy for Medicaid benefits determinations Offset for states whose clients are eligible to receive VA pensions, Aid and Attendance and prescription medication (DOD benefits) Improved customer service to citizens whose federal entitlements were previously unknown
- 6. HELPING VETS AND SAVING DOLLARS: WASHINGTON STATE VA ENHANCEMENT PROJECT
- 7. The Enhancement Project: Partnership between WA’s Departments of Social & Health Services and Veteran’s Affairs Projects identifies and enables Medicaid-eligible Vets and their dependents to access the maximum federal benefits they are entitled to Project allows interagency staff to enhance Vets’ VA cash benefits & obtain service-connected disability rating and health care coverage for eligible (CHAMPVA) Has saved millions for the state General Fund and served as a valuable service to aged and disabled Vets and their spouses
- 8. BATTLING THE CASH-PAY ECONOMY: CALIFORNIA UNDERGROUND ECONOMY TASK FORCE
- 9. The Task Force: Formed in 1993 and designed to reduce the $3-6 billion lost annually in cash pay labor in California HQ shares data, information and leads from investigators at Cal-OSHA, Departments of Labor Standards, Criminal Investigations, Contractor Compliance and Franchise Tax Board Helps to eliminate unfair business competition, ensure that businesses pay what they owe in state tax and fees, and ensure that wage and hour laws and OSHA regulations are adhered to Target specific industries such as garment industry, residential construction, and janitorial services to monitor and reduce cash pay labor and tax non-compliance Partners with local communities, cities, counties, labor and business groups for to publicize regulatory requirements and obtaining information about suspicious business activities
- 10. UNDERSTANDING THE CAUSES OF HOMELESSNESS: SOUTH CAROLINA INTERAGENCY CASE MANAGEMENT SYSTEM
- 11. The Management System: Client data warehouse captures all social and health services used by residents on local and state level Data warehouse provides a 12-month rolling history and is built off existing systems from state agency legacy systems and private sector and assigns a unique identifier to clients Tracks South Carolina public sector clients across multiple state and local agencies to ensure better coordination of benefits and case management of clients Enables decision-makers to re-evaluate services to the poor, assess how public programs interact with each other and provide meaningful data as to the most common illnesses and diseases experienced by homeless
- 12. TAX COMPLIANCE State Interagency Tax Sharing Agreements IRS cross-match with States Contractor Compliance and State Taxing Agency Data CHILD SUPPORT Iowa-Nebraska Child Support Partnership Child Support Enforcement PUBLIC BENEFITS Unemployment Insurance & HHS – New Hire Data Match HHS and Social Security – Death Benefits Match CRIMINAL State Patrol and Department of Corrections Data Match NOCOMIS EXAMPLES OF OTHER EFFECTIVE STATE INTERAGENCY DATA SHARING
- 13. USING THE PREDICTION MARKETS TO HARNESS OPEN SOURCE INFORMATION Virtual market designed to pool collective wisdom of an informed group of “traders” geographically located to produce accurate predictions about future events Prediction market is an efficient way to aggregate informed opinions and human intuition and extract an unbiased consensus about a future event (more effective than polls or surveys) Based on experimental economics research of Nobel Prize winner Vernon Smith Currently used by some Fortune 500 companies (Hewlett-Packard & Ford) to predict unit price per product
- 14. WHY MARKETS ARE MORE ACCURATE THAN POLLS OR SURVEYS Markets attract and identify true experts on subject of prediction Markets stream informed opinions in real-time Markets generate experienced and educated opinions, not average opinions Markets work with as few as a dozen traders to thousands Markets are proven to be reliably more accurate
- 15. WHEN MARKETS HELP THE MOST Open information or expertise is distributed among many people, is hard to gather or difficult to verbalize (implicit information) New information comes in continuously and requires frequent forecasts and updates Little reliable or relevant historical information about event or issue
- 16. IOWA INFLUENZA MARKET: PREDICTION MARKET IN ACTION
- 17. How the Market is set-up: Health care workers across the state recruited as “traders” in Market Each trader given an “educational grant’ of $100 with which to trade Grant grows or shrinks over course of flu season depending upon relative accuracy of individual trader’s predictions Trading occurs in market each week
- 18. Purpose of the Market: Creates more accurate and more timely influenza forecasts (ahead of Centers for Disease Control) and allows public health workers to reallocate resources to modify severity of outbreak
- 19. How the Influenza Market can help prevent influenza: Flu vaccine take 1-2 weeks for a protective immune response 2-3 weeks of advance warning allow public and private health workers to increase vaccination rates in vulnerable populations (long-term care facilities or schools)
- 20. Why are the Influenza Market’s predictions so accurate: Aggregate information from a variety of traders geographically dispersed Provide incentives for traders to reveal their knowledge in their trades Provide feedback to participate through market prices Allow traders to share their knowledge through market anonymously
- 21. GOVERNMENT APPLICATIONS Establish infectious disease surveillance networks (e.g., Type II Diabetes or influenza) Establish nationwide network of traders monitoring early signs of Pandemic Forecast demographic trends such as Hispanic population growth/migration Forecast ecological changes such as survival/extinction of local species Forecast trends in homelessness Forecast incidence of state and local tax non-compliance Forecast incidence of domestic violence and other social impact crimes
- 22. LINKING FORECASTS TO PUBLIC POLICY DEVELOPMENT AND ACTION Treat market predictions seriously and PREPARE! Develop public policy early to avert or absorb event(s) Increase public awareness and outreach to marginalize negative effects of event(s) Increase local and state’s ability to assess information and act quickly
- 23. OPEN SOURCE INFORMATION AS A RESOURCE FOR PUBLIC PROCUREMENT
- 24. ENHANCING SAVINGS IN PUBLIC PROCUREMENT Development of e-procurement communities among states an local governments (regional cooperative purchasing associations buying on one site) Benefits include saving time and labor by automating purchasing, controlling and amending purchases at any given time, and increasing competition and decreasing procurement costs (link volume purchasing to Open Source information – universe of suppliers) State & local government can make use of GSA Cooperative Purchasing Agreements for IT procurement State & local government can model additional purchasing cooperatives after GSA IT State/Federal Cooperative
- 25. BidNet – CREATING A VIRTUAL BUYING SYSTEM FOR STATE AND LOCAL GOVERNMENT
- 26. Bid-Net is a New York company that simplifies procurement process by automating public procurement procedures and linking a wide solicitation of volume bids from state and local governments to universe of suppliers. It: Shows successful savings across the US – PA, TX, NM, FL – in state and local government procurement Provides flexibility and options to public sector including sale of public surplus items, reverse auctions, cooperative bidding and electronic bidding System increases public entity’s control of overall procurements process, compels state and local government to identify common procurement needs and reduces time spent on financial reconciliation of purchases.