Gov. Huckabee Sanders’ Initiative Aims to Save Arkansas $300M in Six Years

TL/DR –

Arkansas Governor Sarah Huckabee Sanders, through her Arkansas Forward initiative, has released a report outlining how the state government could save up to $300 million in the next six years. The report suggests over 300 initiatives across 15 departments focusing on five primary areas: the state’s procurement process, information technology, state-owned vehicles, state employees, and state-owned buildings. Some specific proposals from the report include redesigning the procurement process, modernizing IT, reducing the number of state-owned vehicles, changes to the state’s performance and pay approach, and increasing occupancy in state-owned buildings.

Arkansas Forward: Sarah Huckabee Sanders’ Initiative May Save State $300M

New report from Gov. Sarah Huckabee Sanders’ initiative, Arkansas Forward, proposes potential savings of $300 million over six years by improving state government efficiency.

A $5.5 million contract awarded to McKinsey & Co. in 2024 backs this initiative, aimed at providing more effective services to residents of Arkansas.

The report outlines over 300 strategic initiatives across 15 departments, focusing on five areas: information technology, procurement processes, state vehicles, state employees, and state-owned buildings.

Gov. Sanders expressed enthusiasm for the potential to reduce government’s burden on taxpayers, stating many of the Arkansas Forward initiatives are already in motion.

The full report suggests the state could save around $230 million by redesigning its procurement process, following a controversial $19,000 lectern purchase from the governor’s office recently.

Efficiency in the procurement process can be increased by enhancing contract negotiations, introducing consistent product categories across departments, and implementing an e-procurement system with training for procurement staff.

The report also emphasizes the potential of Generative AI to increase procurement speed and efficiency.

Approximately $65 to $130 million could potentially be saved annually by improving information technology (IT), reducing cybersecurity risks, and modernizing state systems.

Arkansas could also reduce spending by $3 to $5 million annually by reducing the fleet size of state-owned vehicles, the report suggests.

Addressing the state’s “retirement wave” and challenges in talent retention, the report calls for a systematic change in the state government’s approach to performance and pay.

Finally, the state could save around $15 to $25 million by optimizing the use of its buildings, including increasing occupancy, exiting leases, and consolidating offices.

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