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The Two Big Ones


Wednesday, August 18, 2010

Goldstone then took estimates from a widely cited 2007 study that showed the city could save 10 percent to 25 percent per contract using managed competition. Applying 25 percent savings to the departments he selected, Goldstone reached $27 million.

One of the study's authors, Erik Bruvold, approved Goldstone's methodology. "I think a $27 million number is a plausible way of drilling down from our study's conclusion assuming that the cumulative cost of the six to eight functions Jay has identified total a bit north of $100 million and that we are talking about functions like print shop or fleet maintenance," said Bruvold, head of the National University System Institute for Policy Research.