Money & Politics News

New Report Highlights How Other States Do Better

As an increasing number of states launch what they call “Google Government” --- using the Internet to make accessible detailed information about where taxpayer dollars go ---a new report highlights how far Massachusetts lags behind this national trend. [Teleconference information below]

In a growing number of states, searchable public databases provide easy access to information about government expenditures by agency, category, or contractor. With a few clicks, taxpayers and journalists in some states can discover where tax dollars are being spent and who gets government contracts, tax breaks and subsidies. But not in Massachusetts.

“Transparency is a necessary tool to keep a watchful eye on the public purse,” noted Deirdre Cummings,  legislative director at the Massachusetts Public Interest Research Group (MASSPIRG) which supports public transparency. She added, “this kind of information not only helps us hold our elected officials accountable but gives all of us – lawmakers and the public – the means to fully evaluate all the state’s investments whether they are in the form of a subsidy, tax break, budget allocation, or a fee for contracted services.”

The report, released today by the Washington D.C.-based think tank, Good Jobs First, (and available at http://www.goodjobsfirst.org/statedisclosure.cfm found that Massachusetts provides less information and access than  21 other states, falling just below North Dakota. The state fails to provide any information about financial subsidies and tax breaks doled out to private entities. Overall, Massachusetts received a grade of “D,” even though its score was buoyed by relatively good disclosure of contracting and lobbying.

"We found that many states have a long way to go, especially with regard to economic development subsidies, in fully disclosing their interactions with the private sector," said Philip Mattera, research director of Good Jobs First and principal author of the report. Payments to private contractors account for over 40 percent of state and local government spending across the nation, according to U.S. Department of Commerce reports. Company-specific subsidies and tax incentives have also grown in recent years.

“This is a good news - bad news report for Massachusetts,” continued Cummings. “We did very well compared to the rest of the country in the disclosure of contract and lobbying information, however, we scored a 0 -- or failed -- for any information whatsoever about subsidies. Both the Operational Services Division (OSD)* and the Secretary of State’s Office have demonstrated that we have the capacity and know-how to make critical information about government spending more transparent and accessible. Now more than ever, we must apply that same capacity to providing transparent information about all the local and state subsidies. We have the know-how – now we need to apply it.”

Other states in the region generally outscored Massachusetts. Connecticut and New York scored number one and four in the rankings respectively. Maine and Vermont also scored better than Massachusetts, though Rhode Island and New Hampshire scored worse.

“With  Massachusetts’ constant budget shortfalls and often rancorous debate about taxes and spending,” added Cummings, “we owe it to ourselves to at least provide full information about where the money goes.”

*OSD facilitates and audits the acquisition of commodities, professional, general, human and social services and is in the Executive Office of Administration and Finance.