States Can Help Provide A Roadmap for DOGE: Jonathan Williams on American Radio Journal
As the DOGE effort continues to gain momentum, it is inspiring a new wave of state-level innovation and idea generation on budget reform.
President Donald Trump has promised to drain the swamp and reform the federal government. This commonsensical goal resonated with hardworking Americans tired of bureaucratic inefficiency and rising national debt. In his second term, efforts like the Department of Government Efficiency, or DOGE, with support from private sector leaders like Elon Musk, are pursuing initiatives to reduce wasteful spending. These efforts are building momentum in Washington, D.C., and states are realizing the opportunity to also engage in this effort.
That’s why we just launched the ALEC Government Efficiency Coalition to bring together reform-minded members of Congress with state leaders to develop real solutions to our problems. States have long developed good solutions with cost-cutting measures that provide valuable lessons for the DOGE effort. One major difference between the states and Washington, D.C., of course, is that 49 states— all but Vermont— are required by law to balance their budgets in some way. This mandate forces states to practice fiscal discipline. Unlike the federal government, where the national debt has reached a staggering $36.4 trillion—amounting to over $323,000 for every taxpayer in America— a standout example of a state-level cost-cutting effort came in 2003 when Washington State, under then-Democrat Governor Gary Locke, faced a $2.4 billion deficit.
The state closed that gap without raising taxes by abandoning the traditional cost-plus budgeting approach, which simply adds a set percentage to the previous year’s spending. Instead, Washington adopted priority-based budgeting on a bipartisan basis, where government programs were ranked based on their importance and how well they aligned with key goals of the state. Before this process, state agencies didn’t even have mission statements to outline what their objectives were and how to define success.
Priority-based budgeting asked the fundamental questions of good government, such as: What is the role of government? What are the essential services government must provide to fulfill its purpose? How do we know if government is doing a good job? What should all of it cost? And when cuts must be made, how will they be properly prioritized?
This approach allowed Washington to balance its budget while focusing on essential government functions, offering a model for both other states and the federal government to emulate. While priority-based budgeting tackles government spending from the top down, other state initiatives focus on ensuring that established programs are still necessary. One of the central criticisms of government is that once programs and agencies are created, they rarely face reevaluation and proper scrutiny.
As economist Milton Friedman famously said, “Nothing is so permanent as a temporary government program.” To address this issue, Texas created the Sunset Advisory Commission in 1977, which is tasked with periodically reviewing government programs and eliminating those that are no longer effective or necessary. Under this system, agencies are automatically abolished unless the legislature passes a continuation bill, typically limited to 12 years. Over the years, the commission has saved Texas billions by eliminating or consolidating agencies. For every dollar spent on the commission, Texas has saved a reported $27, demonstrating that ongoing evaluation is essential to keeping government lean and efficient.
Another often overlooked aspect of government efficiency is understanding the true cost of government services. For instance, how much does it cost to plow a mile of snow or pave a mile of highway? Though these might seem like minor questions, large bureaucracies tend not to consider every cost involved in such services, and identifying those hidden costs can lead to large savings.
Another vital question about government is property on its balance sheet: What does the government own, and how much is it worth? Many government agencies at the federal, state, and local levels do not maintain clear records of their assets or how to value them.
The push for government efficiency led by President Trump is gaining traction as we face the gravity of our overwhelming $36 trillion national debt. By looking to the states for successful ideas on taxpayer savings, the federal government can adopt proven strategies to reduce waste, improve accountability, and ultimately save taxpayers money.
As the DOGE effort continues to gain momentum, it is inspiring a new wave of state-level innovation and idea generation on budget reform. The key takeaway is that common-sense solutions to overspending, and waste are not only possible—they are already being implemented by the states, and the federal government can benefit from taking these tested solutions and putting them into action.