Magazine article Government Finance Review

"No Free Lunch Online"

Magazine article Government Finance Review

"No Free Lunch Online"

Article excerpt

Perlman, Ellen

Governing, August 2000, pp. 28-32.

This article discusses the issues related to funding government e-commerce Web sites. The article mentions six methods of funding. One method is to use the government's general fund. Fairfax County, Virginia, has used general fund money to set up an egovernment program that will cost $2 million over five years. The program includes a Web site, 21 kiosks, and an interactive voice response system. The county Web site currently includes more than 15,000 documents and has more than 1 million visitors a month. Another method is to issue bonds. In 1996, the State of Massachusetts issued bonds that included $175 million for "better government." The state has used the funds to put financial and accounting information on the Internet and to set up an e-mail that would enable state agencies to make purchases on the Web. Some governments, including the states of Washington and Maryland, have set up special technology funds. Each year the State of Maryland's Information Technology Investment Fund receives $1.5 million fr om the general fund and $3 to $4 million from telecommunication user fees. State agencies apply for funds on a competitive basis. …

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