The Role of Economics in the Department of Homeland Security Gary Becker, Senior Economist Office of the Private Sector Department of Homeland Security December 7, 2004
Department of Homeland Security • Created in 2003 in response to the events of 9/11, DHS is the consolidation of 22 previously disparate agencies into one department • A more secure homeland through better coordination • Committed to protecting rights of citizens and enhancing public services
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Major Divisions • Border and Transportation Security (BTS) – e.g., Transportation Security Administration, Customs and Border Protection, Immigration and Customs Enforcement
• Emergency Preparedness and Response (EPR) – Preparation and response for disasters – e.g., Federal Emergency Management Agency
• Science and Technology (S&T) – Lead DHS efforts in R&D
• Information Analysis and Infrastructure Protection (IAIP) – Identify and assess threats, issue warnings
• Management – Budget, personnel 3
Other Divisions •
Coast Guard –
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Maritime protection
Secret Service –
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Protection of the President and other government leaders
Citizenship and Immigration Services (CIS) –
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Paperwork functions for immigration services and American citizenship
Office of the Private Sector –
Create a better government and foster strategic communications with the private sector
For complete detail and organization chart visit the DHS website: www.dhs.gov 4
Office of the Private Sector • Create and foster communications with private sector • Advise the Secretary on the impact of the DHS policies, regulations, processes, and actions on the private sector • Interface with other agencies with homeland security functions and assess their potential impacts on the private sector • Create and manage private sector advisory councils • Work with research centers • Promote and develop public-private partnerships • Promote and develop private sector “best practices” to secure critical infrastructure 5
Economists in the Private Sector Office • Promoting the more thorough examination of economic issues throughout DHS agencies • Ensuring that both regulatory and non-regulatory solutions are considered • Ensuring that the most cost-effective alternative is considered and implemented if possible • Considering the impacts to small businesses • Thinking beyond traditional government solutions—the success story in Nogales, Arizona 6
What role does economics play in DHS? • Regulations – Evaluate proposed and final rules to fulfill our obligations under various laws and Executive Orders
• Policies – Evaluate current policies and processes (e.g., security directives, non-immigrant visas, border crossing procedures)
• Creating a better government – Demonstrate to the private sector why partnering with DHS is beneficial (e.g., Free and Secure Trade program, FAST Lane)
• Proactively search for ways to do things more efficiently and effectively – Hold stakeholder conferences, perform surveys and contractor studies to find problems and develop workable nonregulatory and regulatory solutions 7
Samples of our Continuing Work • Regulations – Costs and benefits of Advance Passenger Information Systems
• US-VISIT – Assessing the range of economic impacts of its nationwide implementation
• Border wait times – Can we enhance security at the borders while reducing crossing times?
• Non-immigrant visa policies – What impacts are our visa policies having on the economy? Can we improve our procedures to reduce time and variance in the visa application process?
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Conclusion • The Private Sector office is a unique office in all of government. Our office was established to liaison with industry and provide the Secretary of DHS with advice to address the concerns of America’s business sector. • On behalf of the Private Sector Office and Al MartinezFonts, we are here to work with you. My name is Gary Becker at gary.becker@dhs.gov My phone number is 202-282-9013. • The whole staff of PSO is about 15 people and includes three economists. Call or e-mail me. I challenge you to help us help you.
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