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Public sector report details strategies for building resilience amid mounting challenges

News Release // 01-15-2026

Forvis Mazars LLP, one of the largest public accounting and consulting firms in the United States, has released a new report identifying five core priorities for public sector entities as they navigate mounting challenges and rising expectations.

From staffing shortages and budget constraints to cybersecurity risks and outdated systems, public sector entities face growing pressure to deliver more with fewer resources. The report, “Transforming Public Value,” offers practical strategies to help state and local governments, and agencies like utilities and airports, strengthen resilience and improve outcomes for the communities they serve.

“The workforce challenge and other operational threats in public finance are here, and they’re already affecting how organizations meet the needs of their communities,” said Rachel Ormsby, Partner and Public Sector Industry Leader at Forvis Mazars. “Public sector leaders can position their organizations for sustainable success and build trust with the public by addressing staffing shortages and finding ways to modernize operations with the use of technology.”

Five Priorities for 2026 & Beyond

The report highlights five areas where public sector entities should focus their efforts to prepare for the future:

  • Addressing Staffing Shortages & Their Impacts: Entities must find new ways to recruit, retain, and supplement critical roles as retirements accelerate and talent pipelines shrink.
  • Enhancing Financial Reporting Capabilities: Modernizing reporting processes and leveraging automation tools can help improve transparency, compliance, and decision making.
  • Prioritizing Cybersecurity Compliance: Building sustainable IT compliance routines and managing emerging AI risks are essential to protect sensitive data and maintain public trust.
  • Unlocking Government Potential With Operational Assessments: Structured reviews of processes and systems can help uncover inefficiencies; reduce fraud, waste, and abuse; and improve service delivery.
  • Embracing Hyperautomation & AI in the Public Sector: Coordinated use of automation and AI can help entities streamline workflows, reduce costs, and free staff for higher-value work.

Facing these priorities head-on will help public sector entities move beyond short-term fixes and build lasting resilience. Entities that address gaps and modernize existing tools will be better prepared to navigate uncertainty and change while continuing to deliver essential services.

Access the Full Report

For actionable insights, download the complete “Public Sector Report: Transforming Public Value.”

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