🔒Opinion: We need public data for democracy — and business

As a nation, we have taken for granted that public data is a public good — one person’s use does not diminish another’s use and people can’t be prevented from using it. State and federal public data provides government transparency and allows the public to hold elected officials accountable, an underpinning of our democracy. But the value of public data goes far beyond holding public officials accountable. How do businesses decide where to locate, expand or sell services? How do nonprofits better understand where their offerings are most needed? How do state and local governments decide where to build roads or provide other essential services? Most of these answers come through federal public data. For example, the American Community Survey (ACS), an annual survey administered by the Census Bureau, is a widely used source of federal public data. It surveys households nationwide providing critical information on demographic, employment, social and economic characteristics of the population. Data from the ACS helps businesses determine where to expand and where to market new services. For example, if a company is looking to locate in Connecticut, they want to understand the cost of housing in the area, what are the education levels of a potential future workforce, and what are the prevailing wages in the area. All this data is sourced from the ACS. Further, businesses look to economic indicators from the Bureau of Labor Statistics such as monthly employment, interest rates and the inflation rate to determine if they should invest, expand employment and the level of cost-of-living increase to offer employees. However, the current administration is attempting to undermine this longstanding tool of democracy and innovation. One example is the firing of the Bureau of Labor Statistics commissioner over disappointing job numbers. Other examples include the underfunding of the Census Bureau and proposed legislation to make federal surveys optional. Yet another is the firing of enumerators that input “real” prices in the statistical models that calculate inflation rates. Why does this matter? Firing staff in such a manner erodes public trust. Making surveys optional will result in less reliable statistics, the underpinning of business decisions. Eliminating inputs means economic and statistical models are no longer based on the realities faced by consumers. The Center on Budget and Policy Priorities, a nonpartisan research and policy institute, recently expressed concern about the next U.S. Census because of decisions being made now. “Although 2030 is five years away, decennial census research, testing, planning, contracting and hiring are already on a tight timeline,” they explained. “Without sufficient funding, key preparations could be delayed or eliminated altogether, putting the count’s accuracy at risk.” Other national business-oriented organizations have noted the importance of data. For example, Oxford Global Resources has observed that data-driven decisions “lead to improved efficiency, profitability and growth.” In addition, the American Enterprise Institute has pointed out that “high-quality government data is extremely important to financial markets, business decisions, households’ decisions.” The absence of reliable data would make such outcomes much less certain. Data drives an array of vital decisions — including in businesses large and small — that have led to our nation’s success and track record of innovation. We urge Congress to fully fund, depoliticize and modernize America’s federal data statistical system, restoring the independence and credibility of the Census Bureau, the Bureau of Labor Statistics, and other essential federal agencies that produce public data that informs decisions and promotes innovation. Michelle Riordan-Nold is executive director of the Connecticut Data Collaborative (CTData). David Griggs is CEO of the MetroHartford Alliance. They will facilitate a panel discussing the road ahead and the vision for Connecticut at CTData’s Data for Democracy Conference in Hartford on Dec. 3.