State and local governments are the backbone of public service delivery in the United States. From administering elections and managing public health to responding to disasters and maintaining infrastructure, they are where government meets the public. Yet as federal priorities shift, these governments are being asked to do more—often without the clarity, resources, or support they need.
At the National Academy of Public Administration’s recent National Conference, a panel of state and local association executives explored these challenges in a session titled “Bridging the Gap: State and Local Capacity in a Shifting Federal Landscape.” Their message was clear: despite mounting obstacles, state and local governments continue to deliver.
One of the most pressing issues is workforce capacity. Job vacancy rates of 10 to 30 percent are common, particularly in critical departments such as elections, public health, and emergency services. These shortages threaten critical service delivery and public trust.
Yet local governments are responding with ingenuity. Julia Novak, Executive Director and CEO of the International City/County Management Association, described how rural and small jurisdictions are “getting gritty”—partnering with community colleges to train residents for public service roles and building local pipelines for essential positions.
Capacity is more than staffing and budgets. It’s about adaptability, innovation, and responsiveness. As David Adkins, Executive Director of the Council of State Governments, asked, “Are we the people capable of having our best aspirations, our needs, and our collective will manifest in our institutions of government?” Despite political headwinds, Adkins sees this moment as an opportunity. Volatility and ambiguity, he argued, can be invitations to innovate. Governments are embracing new tools like artificial intelligence. and data-driven decision making, and collaboration to meet community needs.
While local governments innovate, the pace and unpredictability of federal changes are making their work harder. Shifts from block grants to mandates, delayed reimbursements, and inconsistent policy guidance have created what Novak called “policy chaos.” Local leaders are often tasked with implementing federal directives without the necessary funding or clarity.
Counties are especially strained. Matt Chase, Executive Director and CEO of the National Association of Counties, described how counties are “cash flowing billions of dollars” for disaster recovery, often waiting years for reimbursement. One Georgia county with a $20 million annual budget is fronting $60 million for hurricane debris removal—an example of the financial stress many face.
Changes to federal programs like Medicaid and SNAP also ripple through local systems. When benefits are cut, or systems fail, counties must fill the gaps—funding food banks, managing jail-based healthcare, and trying to backfill services with limited resources. These are not theoretical challenges; they are daily realities.
Despite these challenges, local governments are not standing still. They are forming regional networks, pooling resources, and leveraging technology. Counties are networking CIOs, procurement professionals, and urban administrators to share knowledge and accelerate innovation. As Chase noted, they are building “coalitions of the willing” to move forward together. Disruption can be a catalyst for change.
Panelists highlighted several strategies for strengthening state and local capacity:
