Tag: Data Transparency Coalition

Let’s See What DATA Can Do

The New York Times reported at the top of page one yesterday on the $4.1 million in payments that a single physical therapist in Brooklyn got from Medicare in 2012. It’s a shocking sum, and Medicare fraud is common in both physical therapy and the Brooklyn area. The therapist who received the money says that the billings are for his large, multi-office practice.

The point is broader: Reporters, medical trade association figures, investigators and researchers are poring over newly released data about Medicare spending. They’re strengthening public oversight and the public’s capacity to question this government program. It’s data that the American Medical Association and other industry groups fought against releasing. There is risk that the numbers will lead some to unfair conclusions, perhaps even in the case of this Brooklyn physical therapist, but the public oversight it brings to the Medicare program and the circumspection it brings to fraudsters and others will be more than worth it. Data is a powerful oversight tool.

That’s why I think it’s good news that the House of Representatives passed the DATA Act yesterday. The Digital Accountability and Transparency Act, introduced by Mark Warner (D-VA) in the Senate and Darrell Issa (R-CA) in the House, requires the federal government to adopt data standards for all federal spending and publish all of it online. This will permit the public to gather insights like the ones in that New York Times story across the vastness of the federal spending enterprise. It will make the diffuse cost of government a little more acute in the minds of many, positioning Americans to say specifically which spending should stop.

Change will not come instantly, and the legislation is not self-executing, but groups like the Data Transparency Coalition, a prime mover behind the legislation, appear poised to insist on full execution of the law. Implementation should not have the cost that the Congressional Budget Office estimated for it, and if it does, the billions saved thanks to availability of information to the public should justify the costs. If another “cost” of transparency is improvement of federal programs that should be eliminated, I think that beats the today’s status quo of having them on the books and failing.

The DATA Act is not a direct response to a 2008 Cato event asking the Obama administration to “Just Give Us the Data.” Indeed, the administration has been conspicuously unsupportive of transparency in this area, though transparency was a key campaign theme in President Obama’s first election. Cato studies in this area since then include “Publication Practices for Transparent Government” and “Grading the Government’s Data Publication Practices.” We’ll be repeating the grading study during the summer, though it’s doubtful the administration’s grades will improve by that time. We will use the data structures that the DATA Act requires in our Deepbills project, which shines light on Congress’s proposals, including its plans for spending.

OMB’s Laggard Transparency Record

On Monday, I wrote about the rapidly growing movement to replace the Office of Management and Budget with a different coordinator for standardized publication of government spending data. Why? Because the OMB hasn’t been standardizing and publishing data about government spending. That’s why.

Yesterday, Kaitlin Lee posted a three-part indictment of the OMB on the Sunlight Foundation blog, called “OMB’s Commitment to Data Quality: Too Little, Too Late.” Lee is deeply knowledgeable in this area and extraordinarily patient with the data problems the government throws at her. Credit what you read in her blog post.

(See also the Data Transparency Coalition’s rebuttal of OMB controller Danny Werfel, who appears to be guiding the Obama administration toward opposition to spending data transparency.)

The drumbeat for better data is growing louder, it’s pan-ideological, and it’s non-partisan. Will the OMB preempt the DATA Act by moving forward with real data reforms, or will Congress preempt the OMB’s role?

Data Transparency Coalition Debuts Today

Meet the Data Transparency Coalition.

The Washington Post’s Capitol Business blog reports this morning:

A small but growing collection of companies has formed a coalition that will push the federal government to establish a standard system by which agencies categorize their data. …

“Our members understand that if the government identified its data elements in consistent ways, there would be vast new opportunities for the tools that they are building,” Executive Director Hudson Hollister said.

Early supporters include Microsoft and data analysis and management firms Level One Technologies, Teradata, and BrightScope. I’m on their Board of Advisors. One of their early priorities will be to pass H.R. 2146, the DATA Act.

Cato has worked extensively on government transparency, beginning with our December 2008 policy forum entitled, “Just Give Us the Data! Prospects for Putting Government Information to Revolutionary New Uses.”

We have modeled much of the data that the government should be publishing in standardized formats (much more cheaply than CBO has estimated it would cost) and graded the quality of current data publication in the areas of congressional process and budgeting, appropriating, and spending. Expect improvements to come with this new organization joining other efforts.

Follow the coalition’s founder and executive director on Twitter @hudsonhollister, and you can Like their Facebook page, as well, to get updates that way.