If state, county, and municipal government users are going to make improvements in their payments and document processing operations in 2010, they’ll likely have to do it without the benefit of additional capital, according to the results of a survey released in May by The Association for Work Process Improvement (TAWPI) and International Accounts Payable Professionals (IAPP).

The 2010 Government Payment and Document Processing Study was conducted in partnership with the Federation of Tax Administrators (FTA) and sponsored by J&B Software Inc. (a 3i Infotech company), Fairfax Imaging, ibml, WAUSAU Financial Systems Inc., Cash Management Solutions Inc., and Eastman Kodak Co. 

Among the key findings:

Capital budgets for payments automation projects in 2010, compared with 2009:
Unchanged: 46.4%
Slightly lower: 17.9%
Significantly lower: 28.6%
Slightly higher: 3.6%
Significantly higher: 4.6%

Capital budgets for document automation projects in 2010, compared with 2009:

Unchanged: 44.4%
Slightly lower: 14.8%
Significantly lower: 29.6%
Slightly higher: 7.4%
Significantly higher: 3.7%

Other findings: 

• Government operations are processing nearly as much paper as ever. For instance, for some types of taxes, respondents said as much as 94 percent of the submissions they receive arrive as paper. 

• State revenue agencies have been slow to adopt the provisions of Check 21, a law that gives a check image the same legal standing as the original paper check, allowing organizations to make deposits electronically. Only 48 percent are using it, although 95 percent said their banks offer it. 

• Government entities are doing a good job of holding the line on costs. For instance, one-third of state revenue agencies said that their payment processing costs were unchanged in the past year while another third said that they were down slightly. 

To read more about the TAWPI study, click here.