Governor Deval Patrick's Budget Recommendation - House 1 Fiscal Year 2010

Governor's Budget Recommendation FY 2010

Shared Services

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Governor Patrick    FY2010 House 1 Budget Recommendation:
    Policy Brief

    Deval L. Patrick, Governor
    Timothy P. Murray, Lt. Governor


Governor’s Proposal

In difficult economic times it is imperative that our state agencies are provided with the tools and flexibility to operate within budget constraints.  One tool that many Secretariats are beginning to employ is shared services or processing.  Section 4 of the Governor’s budget authorizes each Secretariat to consolidate their core administrative functions.  While this proposal does not alter existing reporting lines or decision making, it does allow each Secretary the discretion to decide which services can become shared, and where these services will be housed.  The shared services model eliminates redundant processes and systems while allowing agencies to focus resources on the direct services they provide to the public and other stakeholders.

Governor Patrick’s proposal differs from typical centralization plans by focusing more on service delivery, rather than the control and structure of the staff providing services. A separate recommendation to consolidate the state’s information technology systems is also included in the Governor’s budget.  The Governor’s proposal allows Secretariats to develop shared services programs that best meet their needs. There are several areas in which efficiencies are anticipated: payroll and human resources; financial management, including bill payment, purchasing and contract administration; and lease and facility management.  Traditionally, these functions have been managed by individual agencies at several district or regional offices.

Diagram showing the benefits of the Shared Services model.

The shared services model achieves increased transparency, improved management and an enhanced focus on an agency’s core mission.  The Office of the State Comptroller has facilitated the development of shared services by providing outreach and training at the annual Commonwealth Chief Financial Officers Conference.  Governor Patrick’s proposal builds from shared services and processing programs already occurring within state agencies, including the Executive Office of Transportation and Public Works, Executive Office of Health and Human Services and Office of Consumer Affairs.

Prepared by the Executive Office for Administration and Finance · Rooms 373 & 272 · State House
For more information contact:
Thomas Dugan and Lincoln Heineman ( and

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