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State and Local Governments Need IT

By Dennis McCafferty on 2010-06-10


Even as state and local government spending continues to get squeezed by the Great Recession and its aftermath, demand for information technology is growing in the public sector. Among the top priorities for state and local IT decision-makers are justice, public safety, and education, according to INPUT, a top government-focused IT industry tracker.
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$54.8 billion is the projected value of the state/local government IT marketin 2011—up from $52.8 billion this year.

Justice/public safety is the top local segment, slated to grow by $100million, to $3.8 billion, over the next year.

Primary and secondary education represent the largest state-level category,expected to grow by $300 million to $6.5 billion.

Driven by the housing crisis:

Mobility/GIS for code enforcement; streamlinedtech for condemnation proceedings; improved public housing administrationtools.

Green initiatives are on the increase, with 33 notable projects planned in18 states.

$500:

the amount Virginia is providing in tax credits for every green jobcreated—including IT jobs.

Educational initiatives:

Online student-performance data; virtual learningproducts; statewide data systems that include public, charter, privateschools.

Hot issue:

Gulf oil spill highlights need for better rapid-response systems

Hot issue:

Immigration reform demands employment verification systems,birth/death records databases.

IT vendor priorities:

• Put costs in perspective to projected savings• Stress consolidation, business-process reengineering opportunities.

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