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Ideas




New Dem Dispatch
Ideas of the Week

DLC | New Dem Daily | March 27, 1998
Idea of the Week: Smart Cards, Smart Government

If "modernizing the public sector" is a central goal for New Democrats, then pushing government to take full advantage of new information technologies is one obvious and useful means for achieving that goal. This is much more than a matter of whiz-bang innovation, or even efficiency. Empowering citizens to directly access government information and services electronically is essential to breaking down the old bureaucratic model of "programs" that "clients" enter through a maze of regulatory barriers, led by paternalistic agency intermediaries.

Electronic empowerment is fast approaching the line that separates isolated experimentation from a systematic agenda. One real pioneer has been Texas Comproller (and long-time DLC member) John Sharp. Back in 1991, Sharp unveiled the Lone Star Card -- an ATM-type "smart card" that food stamp recipients could use at the checkout counter instead of the paper food stamp, which had become the currency of a corrupt, underground economy linking food markets with drug markets. Now 36 states have initiated pilot "electronic benefit" projects, though Texas and Maryland are the only two where the paper food stamp has vanished statewide.

Remember President Ronald Reagan's constant talk about reducing "waste, fraud, and abuse" in federal programs? It took a New Democrat to show how to virtually abolish it in the food stamp program.

Former Michigan Governor (and DLC stalwart) Jim Blanchard proposed a similar "smart card" to help workers negotiate the complex welter of skills training programs -- an idea that is central to the G.I. Bill for Workers proposal developed by his former advisor Doug Ross during his stint as Assistant Secretary of Labor in the Clinton Administration.

Information-Age innovations in governing are now popping up constantly. U.S. Rep. Anna Eshoo (D-CA) has introduced a bill that would require all federal agencies to make their forms available on the Internet, and just as importantly, to accept "digital signatures." A more direct blow at the "send this form back in triplicate" culture of federal bureaucracies is hard to imagine. A more welcome marriage of information technology and citizen empowerment is also hard to imagine -- but we hope someone does.