by | Jun 25, 2024 | Articles

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“The difference between something good and something great is attention to detail.”

Charles R. Swindoll

The Infrastructure Revolution: Five Ways Local Governments Can Reap $1.63 Trillion in Savings

Infrastructure projects are notorious for their tendency to run over budget and past deadlines. An alarming 90% of global infrastructure projects are either late or over budget, leading to significant financial losses and inefficiencies. McKinsey & Company reports that improving infrastructure productivity could save the world a staggering $1.63 trillion annually. For local governments, these savings could translate into transformative benefits for communities. Here are five of the most important things a local government could do with the money saved from completing Capital Improvement Projects (CIP) on time and on budget, emphasizing the potential impact on Central Texas taxpayers who currently pay an average of $800 annually in CIP taxes.

1. Enhanced Public Services

One of the most immediate benefits of saving money on infrastructure projects is the ability to enhance public services. These savings can be redirected to:

  • Education: Increased funding for schools, allowing for better facilities, more teachers, and enhanced educational programs.
  • Healthcare: Improved healthcare facilities and services, ensuring better access and quality of care for all citizens.
  • Public Safety: Upgrading emergency services, including fire stations, police departments, and emergency medical services, leading to safer communities.

2. Reduced Tax Burden

By saving money on infrastructure projects, local governments can reduce the tax burden on citizens. For Central Texas taxpayers, this could mean:

  • Lower Property Taxes: Reducing the average $800 annual CIP tax, providing financial relief to homeowners.
  • Decreased Sales Tax Rates: Lowering sales tax rates to boost local spending and stimulate the economy.

3. Investment in Sustainable Projects

Savings from improved infrastructure productivity can be channeled into sustainable and environmentally friendly projects, such as:

  • Renewable Energy Initiatives: Investing in solar, wind, and other renewable energy sources to reduce the community’s carbon footprint and reliance on non-renewable resources.
  • Green Infrastructure: Developing parks, green roofs, and urban forests that not only improve the environment but also enhance the quality of life for residents.

4. Infrastructure Modernization

Reinvesting savings into the modernization of existing infrastructure can lead to:

  • Smart City Technologies: Implementing advanced technologies to create smart cities with improved traffic management, energy efficiency, and public services.
  • Resilient Infrastructure: Strengthening infrastructure to withstand natural disasters, reducing long-term maintenance costs and enhancing public safety.

5. Economic Development

Savings can be used to foster economic growth and development, including:

  • Business Incentives: Providing incentives for businesses to set up shop locally, leading to job creation and economic diversification.
  • Community Development Projects: Supporting local initiatives that promote tourism, arts, and culture, thereby boosting the local economy.


Improving infrastructure productivity presents a monumental opportunity for local governments to transform their communities. By completing CIP projects on time and within budget, significant savings can be realized and reinvested into essential public services, tax relief, sustainable projects, infrastructure modernization, and economic development. For Central Texas, this could mean enhanced public services, reduced tax burdens, and a stronger, more resilient community. As we strive for efficiency and accountability in our infrastructure projects, the potential benefits for our citizens are profound and far-reaching.

At Front Line Advisory Group, we manage Capital Improvement programs to ensure they are completed on time and within budget. We make sure every dollar is used wisely to improve our community. For more information or to start your project, contact us at


FLAG provides program management consulting services in Central Texas for municipal and school capital improvement bonds. FLAG is revolutionizing the construction industry and transforming client expectations by obsessing over the basics of budget oversight, schedule enforcement, compliance, vendor management, and stakeholder communication.

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