US Government Data Center Consolidation Behind Schedule, Cost Savings Uncertain

itwbennett writes "The goal of saving $3 billion by closing 1253 data centers is 'very realistic,' says David Powner, director of IT management issues at the U.S. Government Accountability Office — except that agencies haven't been able to track cost savings for the initiative. Eighteen months from the 2015 deadline, 'we have no idea how much we've saved the taxpayers,' said Steve O'Keeffe, founder of MeriTalk, an online community for government IT issues. This isn't the first snag in the project. Almost a year ago, Slashdot reported that the project was woefully behind schedule." The government released a summary of what data they do have (PDF), and at least the DoD expects to save $575 million next fiscal year. Also see the full GAO report.

Comments

Re:Whatever the government does, it does poorly...

[moeinvt]

Medicare is "cheaper"? Yeah, because government fixes the prices they pay. Nothing is "free". Government stiffs the hospital by price fixing Medicaid/Medicare services, so hospitals just shift that cost onto everyone else, especially the uninsured.
Government forces hospitals to treat people at emergency rooms regardless of their willingness or ability to pay, but does not fund this mandate, so that also translates into higher bills for everyone else. Government bans re-importation of prescription drugs & medical devices, thus forcing Americans to subsidize R&D for the rest of the world and guarantee profits for big pharma.

With all of this cost shifting, retail prices are insanely expensive, so people are compelled to buy insurance. There's how your worthless middle man enters the picture, and now you MUST buy his product or the IRS will be after you.

Government has been heavily involved in the healthcare system for 50 years. What's the result? Costs have exploded, millions are unable to afford basic services, quality of service is poor for the price paid, etc. etc. Yet people think that even more government is the "solution"? That's how Einstein defined "insanity".

Eliminating a middle man would reduce costs. Competition and innovation would also drive down costs and increase quality. Government price controls and mandates do exactly the opposite.