E-government’s price – States expand online services

The rapid growth of electronic government leaves states wondering how to pay its high price, the Wall Street Journal reports on June 8.

According to the Center for Digital Government, nearly 40 percent of states provide some kind of electronic service, such as online vehicle registration, to their citizens. Many are adding services: California expects to spend about $100 million on e-government over the next five years, and Pennsylvania will spend $20 million in the next fiscal year.

Many states are saving money by outsourcing the work, and states hope they will save on administrative costs down the road.

Some, however, such as Texas, are considering charging small transaction fees to cover costs. Washington, which runs its own system, earns money by setting up Web sites for other agencies.

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