Intro || Talking Points || Bills || Press Clips

ALEC TRIES TO PULL THE PULL ON ELECTRONIC GOVERNMENT SERVICES

Introduction

In April 2003, the corporate-funded American Legislative Exchange Council (ALEC) unveiled its model Electronic Government Services Act. ALEC promotes the bill as a way “to protect against unfair government competition in the marketplace” and to provide “oversight of government spending and activity.”(1) Those opposing the legislation, including environmental groups, librarians, open government advocates, public interest groups, and voter education organizations, say the ALEC bill would reduce public access to a wide range of government information.

The Electronic Government Services Act prohibits government agencies from providing any “electronic commerce services” that are also offered by at least two private companies. Agencies that feel it is in the public interest for the government to provide an electronic service (including information) also offered by private companies are required by the Act to justify their reasons, hold a public comment period, and present detailed findings regarding the service, including the direct, indirect, and per taxpayer costs. Even then, the agency’s provision of electronic services is open to legal challenge by any company doing similar business within the state.

The legislation was drafted by ALEC’s Telecommunications and Information Technology Task Force, at least partially in response to more than 20 states offering online tax preparation services.(2) Another government activity that bill supporters object to is a job training program for inmates run by Ohio’s Department of Rehabilitation and Correction. The bill’s main sponsor in the Ohio House said the program’s online store for basic office furniture made by inmate trainees negatively affects private businesses. In its analysis, the conservative Progress and Freedom Foundation also maintained that the ALEC bill would improve online security: “The adoption of digital technologies by our governments has increased efficiency and lowered costs... [but] information about identity, activities, assets, and preferences are also more accessible to the public, more at risk to ‘bad actors’ and, generally, less private.”(3)

Opponents of the ALEC legislation are concerned that it would make important information – even data developed with taxpayer money – less accessible, or accessible only for a fee. Specific areas that might be restricted by what some opponents call the “make the people pay act” include information about state parks, such as camping reservation systems; state and local environmental plans, including land use maps; corporate charters and other information on companies in the state; neighboring states’ sales tax and other policies; books available at both public libraries and bookstores; state legislation and judicial opinions; high-speed internet connections at public libraries; and online fee payments. ALEC calls these charges “demagoguery.”(2) The model bill’s summary paragraph clarifies that “commercial activities should not be confused with electronic government services such as ordering government publications or renewing drivers’ licenses.” But vague wording in the main body of the bill makes no distinctions and contains no exemptions for any type of government information.

ALEC’s Electronic Government Services Act was introduced in seven states in 2002; none passed, though the Mississippi House approved the bill. In 2003, five states introduced the legislation; again, none became law. In Ohio, ALEC state co-chair and ALEC “Legislator of the Year, 2002”(4) Representative Stephen Buehrer, frustrated by his inability to pass the legislation as a stand-alone bill in 2002 or 2003, attached the bill language to the two-year state budget act, without any public debate. Buehrer’s controversial move spurred broad-based opposition to the measure, including local newspapers, the League of Women Voters, Ohio Public Interest Research Group, librarians, People for the American Way, the American Association of Law Libraries, and Democratic state legislators. Governor Taft also expressed concern at possible effects of the legislation and at the extensive approval process required before government agencies could offer electronic services or information duplicated by businesses.(5) Neither the Senate budget bill nor the conference committee version signed by the governor contained Electronic Government Services Act language.(6)

Although efforts to pass the Electronic Government Services Act have failed to date, due to robust public opposition, ALEC’s pro-business and pro-government efficiency rhetoric can be attractive, especially during a time of tight state budgets. It is important for state legislators to realize that the Act would, in reality, negatively impact the state budget and, more importantly, limit citizens’ ability to access important information.

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Talking Points

  • ALEC’s Electronic Government Services Act would privatize government information and services developed with taxpayers’ money.
  • The bill would make important information less accessible, or accessible only for a fee.
  • Public access to a wide range of information could be affected, including state park reservations; state and local environmental plans; health, safety, and environmental regulations; state legislation and judicial opinions; and the corporate charters of businesses in the state.
  • The bill could negatively impact state government, restricting agencies such as tourism departments from publicizing information, and requiring agencies to go through a long, onerous process to obtain permission to offer information or services duplicated by private businesses.

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Links to Relevant Bills

Ohio
H 5450 (introduced Jan. 21, 2003; failed joint favorable deadline Apr. 7, 2003)

Mississippi
S 2637 (introduced Jan. 20, 2003; died in committee Feb. 4, 2003)

Rhode Island
S 842 (introduced and referred to Financial Services, Technology and Regulatory Issues Feb. 26, 2003)

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Press Clips

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Sources:
(1) “E-Government Services Act ‘Shines a Light’ on Government Activities.” American Legislative Exchange Council. 28 April 2003. 5 September 2003 <http://www.alec.org/viewpage.cfm?pgname=3.1151>.
(2) Long, Morgan of the American Legislative Exchange Council, quoted by Paul Kostyu. “Proposal on Web Info Stirs Up Bill.” The Repository. 2 May 2003. 5 September 2003 <http://www.cantonrep.com/printable.php?ID=9>. (Requires Free Registration)
(3) “Ohio Bill Improves Security, Limits Government.” Progress and Freedom Foundation. 14 May 2002. 8 September 2003 <http://www.pff.org/pr/pr051402Ohio.htm>.
(4) “Ohio State Representative Stephen Buehrer Honored as Legislator of the Year.” American Legislative Exchange Council. 9 August 2002. 10 September 2003 <http://www.alec.org/viewpage.cfm?id=2405&versid=2947&xsectionid=97&dosrch=1>.
(5) Richey, Diane. “Provision in State Budget Bill Could Limit Access to Public Info.” Dayton Daily News. 25 April 2003.
(6) Legislative Service Commission, 125th General Assembly, Representative Charles Calvert, Sponsor. “Comparison Document: Amended Substitute House Bill 95.” Ohio: Legislative Service Commission, June 20, 2003 (p. 408). 9 September 2003 <http://www.legislature.state.oh.us/BillText125/HB95_CompareDoc125_CC.pdf>.

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