The state will pay consultants Alvarez & Marsal “less than” $2.6 million to conduct an efficiency study of Kansas government, with the work to begin Tuesday.
The Kansas Legislature last session set aside up to $3 million for a professional services firm to examine state agencies and recommend potential cost savings.
Alvarez & Marsal and three other bidders made presentations to a legislative committee last month in closed session. The contract sets a Jan. 1 deadline for a preliminary report to the Legislature, with the final report due Feb. 1.
“A&M has produced positive results for clients that range from the state of Louisiana to the New York City school system,” Rep. Ron Ryckman Jr., an Olathe Republican, said in a news release.
“I believe their efforts will lead to better services in a more efficient manner for all Kansans, which they deserve and should expect,” he said. “I'm very confident that this investment will deliver long term benefits for our state.”
Besides making efficiency and cost-savings recommendations, the firm is slated to analyze the budget and budget process. The company’s review of Louisiana last year identified $2.7 billion in potential savings over a five-year period.