Sen. Albers pitches "Waste Reduction Act of 2026" to revive zero‑based budgeting

Senator Albers introduced Senate Bill 392, called the "Waste Reduction Act of 2026," to a Senate committee, saying the measure would reinstate zero‑based budgeting across state government and require agencies to build a base budget from the ground up at least once every 10 years. Albers told the panel the bill would eliminate the prior sunset on the process and set standardized reporting by the Office of Planning and Budget (OPB).

Albers said the approach prevents simply rolling forward last year’s numbers and forces review of duplication, obsolete programs and performance outcomes. "When you have to go back to the beginning, we realize over time things have changed," Albers said, urging the committee’s favorable consideration. He added the bill would cover all parts of state government, including the Board of Regents, the Department of Education and the judicial branch.

The sponsor described the measure as the "Waste Reduction Act of 2026" and said it would require agencies to conduct a zero‑based review at least once every 10 years, with OPB developing a standardized format and reporting process. "It's straightforward," Albers said, and characterized earlier versions of the policy (2012–2020) as largely successful, noting the previous law had an expiration date.

Committee members pressed for specifics. One member who said he had been a department head warned the exercise can be an "ordeal" for large agencies and asked whether federal grants and pass‑through dollars would be affected. Albers responded that grant funds are excluded from the base budget review because they are earmarked for specific purposes: "Grants do not apply," he said, explaining the bill targets the state tax‑funded base budget.

Several members asked whether the process would require additional staff at agencies or OPB. Albers acknowledged the work would take time but said modern tools and doing much of the work off session would limit new hires; he said prior rounds of zero‑based budgeting did not require additional staff. "I don't believe it's gonna cost any more money," Albers said, adding that better technology and off‑session time would make the work manageable.

Members also questioned the bill's front‑loaded timeline. The clerk summarized that the bill outlines a 10‑year process and would put roughly 40% of the budget through zero‑based review in the first year, and committee members asked why the Department of Education and the University System of Georgia were singled out early because of their large budgets. Albers said the heavy spending made those entities appropriate early targets and that the 10‑year cycle provides flexibility to break larger reviews into phases.

A numerical claim drew particular attention. Albers said recent analysis showed the state was "losing about $1,000,000,000 a year." Another member pushed back, asking instead about prior calculations of economic impact tied to tax credits for data centers and warning the process could politicize decisions if evaluations replace other policy considerations.

Members also asked about interactions with an upcoming ERP implementation and a referenced January 2027 start date for parts of the bill. Albers said the new system (Workday) should improve analysis and speed the review, and that much of the zero‑based work should take place outside the legislative session. On emergencies, Albers said governors have executive tools to respond in crisis, which would allow flexibility when an extraordinary event occurs.

The committee did not take a formal vote on SB 392. After answering questions, Albers left to vote on House bills, and the chair adjourned the meeting.

What’s next: No committee vote was recorded in the transcript; the sponsor said he would go vote on other business and the committee adjourned.