Lessons from North of the Border: Why a Voluntary ACS Could Wipe Some States Off the Map

by Terri Ann LowenthalTerri Ann Lowenthal

What if we took a survey and no one answered? Or, to be more realistic, only two-thirds of us did?

That’s what happened north of the border recently. The Canadian Parliament decided to do away with the nation’s mandatory long-form survey and replace it with the voluntary National Household Survey (NHS). Statistics Canada (StatCan) reported the results of the first NHS, conducted in 2011, this week. Instead of the 94 percent response rate achieved with the 2006 mandatory long form, only 68 percent of households returned the voluntary survey. Instead of having reliable data for 97 percent of the country, only three-quarters of Canada’s localities will have a picture of their socio-economic conditions.

In abolishing the mandatory survey, conservatives decried the burden on Canadians of revealing “personal” information to the government. How ironic, then, that in order to make up for projected falling response rates, StatCan increased the number of households that received the survey, from one in five to one in three. That’s a 65 percent jump!

Now that we’ve recovered from the initial shock of a proposal (H.R. 1638) to axe just about everything the Census Bureau does, legislation to make American Community Survey (ACS) response optional might seem relatively tame, if not harmless. Think again, census stakeholders.

Rep. Ted Poe (R-TX), citing “big government at its worst,” reintroduced a bill (H.R. 1078) to let people ‘just say no’ to all or part of the survey. (See my March 20, 2013, post.) A 2003 field test of a voluntary ACS, which Congress demanded, gave a glimpse of the stiff consequences of such a significant change in methodology. Response rates would plummet, especially for traditionally hard-to-measure population groups, and costs would skyrocket (by at least 30 percent), as the Census Bureau scrambles to ensure enough response to produce accurate data for towns, small counties, rural communities, neighborhoods and smaller population groups such as veterans, people with disabilities and ethnic subgroups. The Canadian experience, the first of its kind to our knowledge, bears this out.

Congress doesn’t seem in the mood to allocate more money for good data; the Census Bureau already is reeling from an 11 percent budget cut this year (13 percent if you count the $18 million dip into the Working Capital Fund). The bureau might have to follow StatCan’s lead and put a warning on all small-area data estimates: Use at your own risk due to high non-response error. Translation: The data are flawed because some population groups are less likely to respond than others and therefore skew the representation of the sample.

More likely, we might not see any data for small areas because the bureau won’t have the money to compensate for plummeting response rates by increasing the sample size (that’s sampling error, folks) like StatCan did. Forty-one percent of U.S. counties are home to less than 20,000 people; even with a mandatory ACS, the Census Bureau must aggregate data over five years to accumulate enough responses to yield statistically valid estimates for these areas.

New York? Most counties are larger, although we’d lose information about communities and neighborhoods within counties, making it difficult for local governments and businesses to target services and investment dollars. But bye-bye to most of Montana, the Dakotas, Nebraska and Kansas, Idaho and Iowa. You can wipe half of Texas, Nevada, Wyoming and Utah, much of Colorado, Missouri, Georgia, West Virginia, Kentucky, Arkansas and Minnesota, and not insignificant portions of other states off the map. No data for 95 percent of American Indian reservations and Alaska Native areas, most elementary school districts, and more than half of secondary school districts. How is anyone supposed to make rational decisions without all of this local information?

Meanwhile, joining the list of conservative voices that appreciates the value of objective, reliable data to support decision-making is The Weekly Standard. A May 20 article calls the ACS “one of the most robust and important tools we have for measuring and understanding American trends.” Ironically, The Weekly Standard admonished the Census Bureau for deciding, because ACS content is now a zero sum game, to drop the question on how many times a person has been married, to make room for questions on use of health care subsidies and premiums that will help policymakers assess the effectiveness of the Affordable Care Act (okay, Obamacare).

Raise your hand if you remember what happened the last time the Census Bureau tried to mess with a census question on marriage? Well, before the 2000 count — when the census long form still ruled the data world — the bureau thought it might streamline the short form that everyone received, by shifting a question on marital status to the sample (or long) form. You would have thought someone proposed abolishing Mother’s Day! Very conservative Sen. Jesse Helms (R-NC), incensed at the inference that marriage was no longer a “sacred institution” — and who had been complaining for years that the census form was too long — proposed an amendment (to the Transportation appropriations bill, 106th Congress) in support of keeping the question on the short form.

So, we have some conservatives railing against the public burden of so many nosy questions, and others urging the government to keep asking how many times you’ve been married. While Sen. Helms and conservative colleagues (e.g. John Ashcroft, Sam Brownback) were fighting to save the marriage question, the same Senate went on record urging Americans to answer only the long form questions they liked in the 2000 census. Yes, I feel a census headache coming on…!!

Where Have I Heard This Before? (or, History Repeats Itself)

by Terri Ann LowenthalTerri Ann Lowenthal

So where do we go from here, census stakeholders? Let’s take stock.

As I reported in my last blog post, nearly a dozen House members think it’s a good idea to do away with every survey and census — except the once-a-decade population count — the U.S. Census Bureau conducts. With a few legislative votes and the stroke of a president’s pen, they would leave the world’s greatest democracy with virtually no useful information on which to base prudent decisions and with which to hold elected officials (like themselves) accountable.

Some observers are understandably shocked — shocked! — at the absurdity of such a proposal. Whatever could the proponents be thinking?

According to a press release, the bill’s sponsor, Rep. Jeff Duncan (R-SC), is acting on behalf the many annoyed constituents who believe the surveys are “invasive.” Many? Really??? Given the small sample size of non-census surveys, only a tiny fraction of the congressman’s constituents would ever be asked to fill one out. While the congressman acknowledges the need for “some” economic data, he is confident there are other ways to gather it that don’t involve “harassing people” or “invading their privacy.” “Americans are tired of too much government meddling in their daily lives,” Rep. Duncan assures us. (Except, I’m sure, when potholes need filling, a doctor’s visit is paid for through Medicare or Medicaid, classrooms are too crowded, or they really would like a new senior center close to public transportation.)

This all sounds vaguely familiar. In fact, it sounds like an effort to up-end the census (and related American Community Survey, which used to be the census long form)… circa 1970.

You see, that’s when a group of young conservatives, in a mailing to (presumably) other conservatives, wrote: “The citizen’s right of privacy is directly violated when the federal government attempts to force us to answer questions that are none of the government’s business… The point is not what questions are being asked,” the authors declared, “but that a federal agency dares to institute a process that will pry into the core of our individual lives.” They also organized anti-census demonstrations at federal buildings.

And they might have stirred every limited-government soul to dodge the census, except that one very notable conservative decided to call their bluff. Renowned columnist James J. Kilpatrick, himself a recipient of the anti-census diatribe, countered the “privacy” argument in an op-ed (Washington Evening Star, 2/22/70; syndicated elsewhere):

“Is it true that such information is ‘none of the government’s business?’ On the contrary, such information is of the first importance to government. How else can public policies be fashioned wisely? Where should schools be built, and water lines laid, and parks established? How many people will be using what highways and airports when? The economic and demographic information coming from confidential Census reports… is vital to every public and private undertaking that rests upon a knowledge of what our country is.”

There’s something else going on here aside from vague concerns about “privacy.” In the required “Statement of Constitutional Authority,” here’s what Rep. Duncan submitted in support of H.R. 1638:

“Article I Section 2 notes the need for an Enumeration of the people necessary for the apportionment of Congressional districts. That is the true purpose of the Census Bureau. This legislation seeks to return the Census Bureau to the Constitutional intent of the Founding Fathers by eliminating non-Constitutional additional enumerations that the Bureau undertakes today.”

So there we have it. The sponsors believe that the federal government does not have the authority to gather information from the people in order to produce statistics that guide fiscal and social policy-making and the allocation of government resources. Funny, this also rings a bell; the 1970 protesters labeled the census a “violat[ion] [of] our rights under the First, Fourth, Fifth, and Ninth Amendments to the Constitution.”

Not so, states’ rights advocate Kilpatrick shot back. Not only do legislators have broad authority with regard to census-taking (i.e. “in such manner as they shall by Law direct”), the columnist said, they have the power to regulate commerce. “Nothing in the Constitution prohibits the Congress from combining its powers in useful ways. Thus a Census question on the houses we own, and the plumbing and heating in them, may not relate narrowly to ‘enumeration,’ but it relates reasonably to commerce — and it scarcely reaches ‘the core of our individual lives’ [quoting the anti-census mailing he received]. The same thing is true of questions relating to our jobs and how we get to them.”

Couldn’t have said it better myself, Jim, though heaven knows I’ve tried.

Having defended the need for informed decision-making (is there any other worthwhile kind in a democracy?), I fully understand why survey recipients might view the questions as odd, at best, or maybe nonsensical or even intrusive. The Census Bureau has a responsibility, too, to explain clearly the purpose of questions to households fortunate enough (smile) to receive one, as well as to limit follow-up calls and door-knocks to a reasonable number for people who clearly don’t want to be bothered. Kudos to the agency for finally establishing a Respondent Advocate for Household Surveys, to be the ears and voice for people wondering what the heck the government really wants to know (e.g. not when you leave the house, but how many cars are on the road during rush hour!) and advise the Census Bureau on how to make surveys more user-friendly.

Now, if only our elected officials would demonstrate some leadership and help illuminate the need for objective, reliable data, instead of pretending we can live in a society that doesn’t even calculate the unemployment rate!

What We Don’t Know Can’t Hurt Us (Right?)

by Terri Ann LowenthalTerri Ann Lowenthal

Hey, I have an idea!

Let’s stop collecting any information. About our economy. Our standard of living. Our educational progress. The well-being of our veterans and people with disabilities. The condition of our nation’s homes. How well our farmers are doing.

Let’s just live in an information vacuum, blithely ignoring the good and the bad (what you don’t know can’t hurt you, right?), drifting along in a state of blissful know-nothingness. Wouldn’t life be simple?

Okay, I’ll ‘fess up. This is not an original idea. I stole it from sophomore Rep. Jeff Duncan (R-SC-3), who just introduced a bill (H.R. 1638) to cancel the Census Bureau’s American Community Survey (ACS), Economic Census, Census of Governments and every other survey the agency conducts, except the once-a-decade population count. Oh, and bye-bye Census of Agriculture (transferred from Census to the Agriculture Department in 1997). Sayonara, adios — no more data.

I think I get where Rep. Duncan is coming from. His biography says he wants to create a new congressional Committee on the Elimination of Nonessential Federal Programs, “with the express purpose of reducing federal outlays.” No data? No way to identify society’s challenges and to allocate federal resources prudently. Mission accomplished.

Cool! Then we might not need congressmen, because just about all of them rely on Census Bureau data to justify their existence. Rep. Duncan’s website offers great “Resources” for businesses, linking to Business USA, a program started by President Obama (yikes!) in 2011. On the Business USA website, I found this nugget on the Twitter feed: “Who Are America’s Job Creators?” Important question, so I went to the blog by the SBA Administrator Karen Mills. Well, wouldn’t you know… there are 28 million small businesses in the U.S.; they create two out of three new jobs and employ half of the country’s workforce. “But when you dive into the data,” Ms. Mills blogs, “you see that not all small businesses are the same.” Whoa, stop reading… can’t continue this important analysis without the data, which presumably comes from the Economic Census (cancelled!) and follow-on surveys (cancelled!).

Rep. Duncan also offers “Guidance and key resources to help eligible grantseekers find information on federal grants, loans, and nonfinancial assistance for projects, as well as on private funding” on his Resources page. 3rd Congressional District businesses, please go no further, because in FY 2008, ACS data guided nearly 70 percent of all federal grants (Brookings Institution report). Scratch those opportunities off your list.

Given the recent tragic events in Boston, it’s probably a safe bet that most lawmakers support funding to bolster state and local resources to combat various threats to peace and safety. Rep. Duncan provides a link on his website to help localities in his district find information on Homeland Security Grants, as well as equally important Assistance to Firefighter grants. Wait, hold up… scratch those programs; both rely on ACS data to determine eligibility. Sorry, local law enforcement officials and first responders; you’ll have to look elsewhere for support.

Under Transportation issues, Rep. Duncan tells us that, “infrastructure is a legitimate government function.” Good, I’m with you so far. The congressman goes on to say he supports legislation to phase out federal involvement in highway and mass transit programs, turning over all responsibility to the states and eliminating “costly federal mandates.” Okay, I don’t necessarily agree, but let’s assume the congressman’s position for a minute. And just how is South Carolina supposed to decide where to allocate its transportation dollars: better roads in Charleston, or Anderson (“The Electric City!”)? Without comparable, high-quality, small-area data (available from only one source: the U.S. Census Bureau), Palmetto lawmakers presumably will be throwing darts at a map (or maybe holding a sweepstakes – YES!). Anderson officials, by the way, really want you to know that the city is a magnet for businesses because it sits on the busy I-85 corridor. Sadly, businesses won’t know where to set up shop, because they rely on ACS and Economic Census data to understand local markets, workforce, commuting patterns and economic activity in prospective new locations.

Rep. Jason Chaffetz (R-UT-3), original cosponsor of H.R. 1638, good to hear from you again. I applaud your focus on economic recovery (whether or not I agree with your approach); the fiscal plan described on your website clearly lays out the potential problem of deficit and spending in relation to gross domestic product. Wait… we won’t be able to calculate GDP without the quinquennial Economic Census, which provides the baseline data on classes of business enterprises, economic output, producer incomes, investment in assets and other measures of economic activity. (Worse, I’ll be deprived of one of my favorite statutory words: quinquennial!) Seems hard to make the case for one fiscal plan over another without, well, data on the economy. Just sayin’.

Hello, Rep. Steve Southerland II (R-FL-2)! I see you just introduced the “Strengthening Rural Communities Act” (H.R. 1632), directing 3-5 percent of existing Rural Development Essential Communities Facilities money for technical assistance. The bill would “make it easier for rural communities to thrive by providing the technical assistance and project planning they need to strengthen public safety, public health, and public access to upgraded services.” A worthy goal, indeed.

The Agriculture Department administers the Community Facility Grants Program to help very small communities develop “essential” facilities, such as health care and childcare centers. Wait… the program gives priority to low-income rural areas — those with “median household incomes below the higher [sic?] of the poverty line or 60% of the State non-metropolitan median household income.” The only source of that information for rural areas would be the American Community Survey. Sorry, 2nd Congressional District residents; if you want to demonstrate a need for these grants, you might have to stand outside looking poor (because your congressman has cosponsored a bill to eliminate the availability of any data to prove it). (Good thing Marianna, Blountstown and other 2nd District communities have already taken advantage of project planning assistance to build or upgrade water and wastewater projects, according to the congressman’s website. Without the ACS, no more USDA Water and Waste Disposal Loans and Grants, worth $45 million in FY 2008.)

I think I’m getting one of my famous census headaches. But while you join me with a cold pack on your forehead, trying to take this all in, let me say there is a redeeming provision in this otherwise absurd bill. It eliminates the mid-decade census! What? You didn’t know Congress authorized a second census in the year ending in “5?” Well, that’s because Congress never funded one! But obviously lawmakers thought in 1976 that it might be a good thing to have more data about the condition of our communities and well-being of our population. Whatever were they thinking back then?

The Cycle of Life, Part Two: Time to Ramp It Up

by Terri Ann LowenthalTerri Ann Lowenthal

Last week, I gave a little tutorial on the lifecycle cost of a decennial census. You know: “The seasons, they go round and round, and the painted ponies go up and down.” Up and down are the operative words; right now, the cycle is in up mode. Meaning the Census Bureau needs modest funding increases each year to stay on an efficient, productive research and planning schedule that will save billions of dollars in implementation costs over the entire lifecycle.

Did I just date myself terribly? (“Like” if you remember that song!) But, I digress. President Obama’s Fiscal Year 2014 (FY2014) $982.5 million budget request for the Census Bureau barely budged over his request for the current year. Embedded in that overall agency number is $486 million for the 2020 Census, which includes the ongoing American Community Survey (ACS).

The ACS is really a bargain, folks. Its $242 million price tag is an infinitesimal half a thousandth of a percent of the federal aid directed prudently (Congress enacts the formulas, after all) each year to states and localities for schools, roads and transit systems, rural economic development projects, health care, job training, crime prevention programs, and other state and local activities, based (directly or indirectly) on data the ACS yields annually. Businesses and community-based nonprofits use the data to make billions (and billions and billions) of dollars in investment and program decisions that spur job growth, commerce and economic development. And the survey is now a two-for-one deal: it’s a rolling test bed for new methods and systems that could reduce 2020 Census costs considerably.

Speaking of 2020 (just around the corner… see my last blog post!), the president requested an increase of $154.2 million to finish the research and testing phase, allowing the Census Bureau to select a design framework and move forward with operational and systems development in subsequent years. Key elements of census reform could include broad use of administrative records to keep the address list up-to-date and to identify unresponsive households during the enumeration, as well as multi-mode response options that take advantage of the latest tech gadgets. Without thorough research and testing, the bureau might fall back on a far more expensive (but tried and true) paper and pencil design. Which Congress already has said it won’t pay for, by the way.

As Commerce Inspector General Todd Zinser warned Senate and House appropriators this week, “To achieve cost savings, the Bureau is exploring new and innovative design alternatives based on evidence from its research and testing operations. However, the Bureau may be seeing signs of delays due to budget reductions and schedule slippage in its 2010 decennial census evaluation program and the 2020 decennial research and testing program.”

The problem, in other words, is that the Census Bureau already is positioned fiscally to fall behind, because Congress whacked about 13 percent from its 2020 Census budget request for the current year, what with sequestration and across-the-board cuts. The bureau will need its full FY2014 request of $244.8 million for 2020 Census planning just to stay on top of things.

So here we are, once again, facing an uphill battle for a reasonable investment in two of the nation’s premier statistical programs, both of which return far more to a democracy and informed decision-making than they will ever cost. Time to buckle down, census stakeholders, and fight the good (if often unrecognized) fight!

The Cycle of Life: Pay Now Or Pay Later

By Terri Ann LowenthalTerri Ann Lowenthal

Lifecycle.

Probably makes you contemplate caterpillars and butterflies as spring blossoms start to appear. Or, maybe babies and grandparents; The Lion King.

Me? As usual, I’m wringing my hands about the lifecycle of a census. The planning, preparation, promotion, implementation, numbers crunching. The census lifecycle goes up and it goes down — and then up again — but there is no plateau.

Research and test; develop methodology, operational plans and systems; prepare to launch; execute; tabulate and publish data. Repeat every 10 (the constitutionally required decennial census) or five (the legally required Economic Census and Census of Governments) years.

2020 seems light-years away. But consider the following:

  • A mere seven years from now, census forms will be in the mail (or online or your smartphone or whatever latest gadget I’ll be too old to master).
  • In six years, field workers will be canvassing the nation’s streets, rural roads and remote dirt lanes to be sure all addresses are in the system.
  • Just five years down the road, the Census Bureau will submit the 2020 Census questionnaire to Congress; in four, it will send lawmakers the topics it will include on the form — both submissions are required by law.
  • In three years, Census staff will be mired in final, targeted research and testing of the 2020 design (using the American Community Survey, if lawmakers haven’t pulled the plug, as a primary cost-effective test-bed), operations development, and complex IT systems testing.
  • Next year (that’s 2014, folks), the agency will choose the basic design for the 2020 population count.

My, my… where does the time go?

Here’s the rub: there is little flexibility in the lifecycle; no “down time” to push back decision-making; no “give” in the schedule without risky and often costly delays down the road. Census planning and preparation are up against two immutable deadlilnes: Article I, section 2, of the U.S. Constitution, and a codified census date — April 1, 2020.

There’s no putting it off. There are no do-overs. The Census Bureau has to get it right the first time, on time.

Let’s stipulate that putting the 2020 Census on a 2010 Census design path will cost too much money — $30 billion, according to government agency watchdogs. That’s why major design changes are in the works now. By the end of next year, the Census Bureau must have a framework for 2020 that will allow development and thorough testing of multi-mode response options (but my dad, who will then be 88, will still fill out his paper questionnaire, I promise!), IT platforms to support appropriate use of existing data sources (also known as administrative records), evolving communications strategies to reach a diverse (age, race and ethnicity, type of community, language) population, and streamlined field operations overseen by six, not the previous 12, regional offices. Investing now in this essential planning will yield a census lifecycle cost of $13 – $18 billion, depending on the design chosen. Hey, now we’re talking real savings!

It all seems like a logical means to a rational end, except Congress doesn’t seem to get this lifecycle thing yet. For the current fiscal year (2013), the president had requested $970.4 million for the Census Bureau, including $711.3 million for the account covering the 2020 Census and ACS. The House slashed $75.6 million from the 2020 Census planning pot in its first stab (and I do mean that figuratively and literally) at the Commerce Department funding bill last May, even deciding to axe the ACS altogether. The Senate was more generous in its first go-round, although it couldn’t resist dipping into the Working Capital Fund again to come up with the money. But as Congress struggled (and struggled) to avoid sequestration (unsuccessfully) and then enact a final funding measure as the fiscal year clock ticked away, the Census Bureau lost a few tens of millions here and a few tens of millions there — and before you could say “prudent investment,” the need for a modest budget ramp up of 3 percent had become a budget cut of roughly $126 million, or 13 percent.

The hapless 2012 Economic Census — you know, the one that yields little secrets, like how well the economy is doing — really took it on the chin. FY2013 is the peak year in its short five-year lifecycle; now there’s not enough money to produce key economic data on time. The administration requested an exception from forced spending cuts, probably figuring it might be nice to know about payrolls, business investment and industry competitiveness when economic recovery is front and center, but Congress wouldn’t go along. Another likely casualty is the Survey of Business Owners, an add-on to the quinquennial (I love that word!) Economic Census which produces the only information on women-, minority- and veteran-owned businesses. We’re not just cutting budgets anymore; we’re losing information that helps us spend the money we do have wisely.

Tomorrow the president will unveil his budget request for FY2014. And it seems to me that Congress has a choice: it can pay now, to reduce total census costs conceivably by half — or it can pay later. More; much, much more.

The Option of Ignorance: Gutting the ACS Puts Democracy at Risk

by Terri Ann LowenthalTerri Ann Lowenthal

In a blog post last summer, I waxed incredulously about the ease with which the U.S. House of Representatives dismissed the need for reliable, objective and comprehensive data to guide public and private decision-making and resource allocation, first by voting to make response to the U.S. Census Bureau’s American Community Survey (ACS) optional and then to eliminate funding for the survey altogether.

No matter that a myriad of laws Congress itself passed require the data to distribute aid to states and localities for schools, roads and local transit, health care, rural development projects, services for people with disabilities and veterans, and other basic societal functions. Never mind that American businesses use ACS data to locate new plants and stores, determine workforce capabilities, and meet the needs of customers (such as families with children and senior citizens, language minorities, and people with disabilities) — in other words, day-to-day decisions that grow the economy. Forget state, regional and local authorities who rely on ACS data to plan emergency response services, law enforcement strategies, transportation and waste disposal systems, after-school and elder care programs, and other basic functions that make communities tick. Don’t even mention provisions of the Voting Rights Act that require ACS data to ensure access at the polls for limited English proficiency voters.

Two new bills would have us believe that the right of Americans to just say no to a few, simple questions from the Census Bureau outweighs the need of elected, community and business leaders to make informed and transparent decisions in a democracy. H.R. 1078 and S. 530 — similar to bills introduced in the 112th Congress, but sneakily more alarming — would make ACS response voluntary. Just to make sure everyone (especially the teensy percent of U.S. households that are in the monthly sample) knows: the proposals require a statement in the ACS instructions that response (to all but the basic name, address, number of people in household) is optional. As in, “Hey, Americans, this survey really isn’t all that important, so feel free not to respond!”

The bills’ sponsors, Rep. Ted Poe (R-TX) and Sen. Rand Paul (R-KY), want to be very sure the Census Bureau doesn’t ask about a person’s religion in the ACS, even though the law already prohibits the Census Bureau from compelling any person “to disclose information relative to his religious beliefs or to membership in a religious body.” (Title 13, USC §221) Hmmm… perhaps this completely unnecessary new provision might gin up further disdain for census surveys among those who believe government already overreaches? Just sayin’.

House members already approved, by breezy voice vote, an appropriations bill amendment making ACS response voluntary. So it’s not a stretch to worry about momentum building around the new Poe/Paul proposals or similar amendments to the next round of funding bills.

Let’s envision the nation’s largest, most comprehensive and important baseline survey as a choice for the next five years. Americans will be told they can decide whether to answer any or no questions (other than name, rank and serial number). By the time the 2020 Census rolls around, more Americans just might believe data aren’t important at all, and sit out the next decennial count.

Mahatma Gandhi had it right. When he called for a general strike against British civil authority, he was nevertheless wise enough to encourage participation in India’s census. This nation needs objective, reliable information, not only to function efficiently, but to ensure that Americans can hold their government accountable for its decisions. It’s a pact that makes a true democracy work, and to suggest that the people have rights but no responsibilities is starting to sound… well, un-American.

Sequestration Cuts’ Impact on Statistical Agencies

Steve PiersonThis blog post is provided by Steve Pierson of the American Statistical Association. Steve found three letters from statistical agencies that indicate the impact of the so-called sequestration cuts on these agencies.

In response to a request from Senate Appropriations Committee Chairwoman Barbara Mikulski (MD-D), federal agencies have sent letters to Mikulski on how sequestration would affect them. The letters are posted on the Senate Appropriations Commitee website and contain sequestration impacts for the Census Bureau, BLS and NASS. The other agency letters do not go to a level of detail to include the impacts on other federal statistical agencies (BEA, BJS, BTS, EIA. ERS, NCES, NCHS, NCSES, IRS SOI, SSA ORES).

In the letter from the Commerce Department, the following impacts for the Census Bureau are listed:

Sequestration would have to cut a total of $46 million from the Department’s Census Bureau. The Census Bureau will be forced to significantly cut contract dollars and not fill hundreds of vacancies, pushing back research and testing for the 2020 Decennial Census as well as seriously delaying the release of critical economic and demographic data needed for this calendar year.

The last benchmark of economic statistics supporting America’s assessment of Gross Domestic Product (GDP) and other key economic indicators was taken in 2007, prior to the recession. If the sequestration cuts move forward, the Census Bureau will be ready to make major departures from past operational designs that are intended to save money without diminishing quality. The Census Bureau has committed to executing a Census that would cost less per household in real dollars. Cuts now are virtually guaranteed to force the Census Bureau to ask for larger investments later, putting at risk that goal of achieving more significant forced to impose a six-month delay in releasing vital statistics for these indicators, putting at risk our ability to take accurate stock of current economic conditions and well-being and potentially impacting policy making and economic decisions in the private sector.

Furthermore, delays in developmental work for the 2020 Decennial Census will increase the risk that the Census Bureau will not be ready to make major departures from past operational designs that are intended to save money without diminishing quality. The Census Bureau has committed to executing a Census that would cost less per household in real dollars. Cuts now are virtually guaranteed to force the Census Bureau to ask for larger investments later, putting at risk that goal of achieving more significant savings.

In the letter from the Department of Agriculture, the section on the National Agricultural Statistical Service states that sequestration would stop FY13 scheduled activities for the Census of Agriculture including data processing. The letter goes on to say that data will be incomplete and not statistically sound for publication, which will “negatively affect decisions made by farmers, business and governments and ultimately will bring volatility to food markets and impact prices consumers pay.”

The Department of Labor letter states, “With millions in reductions, BLS would have to eliminate or reduce some of its programs.”

Presumably what is presented above for these three agency is paraphrased from much more substantive documents presented by Census, BLS and NASS to their respective departments.

Given the impacts of sequestration to the federal statistical agencies (and NSF and NIH), the ASA continues to urge its members to head the call late last year of 2012 President Bob Rodriguez: ASA President Asks ASA Members to Help Avoid Steep Cuts to NSF, NIH, and Federal Statistical Agencies.

See also: