Lessons in Reform: A Case Study for DOGE

The Department of Government Efficiency (“DOGE”), an advisory team led by Elon Musk and Vivek Ramaswamy, represents an unprecedented opportunity for President Trump’s administration to deliver meaningful government reform. It is not merely a tool to streamline bureaucracy or cut costs; it is a mechanism to reimagine government itself. Defined by its potential, DOGE’s mission is to transform inefficiencies into opportunities, prioritizing fiscal responsibility and sustainable governance. However, like any meaningful reform, it requires more than just vision—it demands strategic vision and an unrelenting commitment to action, as I learned firsthand during my time leading Puerto Rico.

It was 12:01 am on January 2, 2017. I had just sworn in as governor of Puerto Rico. I decided to do so at that time because there was no time to waste. Puerto Rico had an unfunded debt liability of over 120 billion dollars, and around 500 million in the bank. It had a bloated government with over 130 agencies and a siloed workforce of over 150,000 government employees. We had to act fast. I signed six executive orders a few minutes after I signed in; and the day after I asked the newly formed legislature to pass government downsizing reform, labor reform, single employer initiative, amongst many others. They were all part of the plan I had presented to the people of Puerto Rico, so people knew about it. But… as we say in the island, it is not the same to call the Devil, than to see him coming. [No es lo mismo llamar al diablo que verlo venir].

It was here that I realized an immutable truth about leadership and reform—change is easy to champion in theory but immensely painful in practice, especially when it touches lives directly. In that crucible, we pioneered reforms that reshaped Puerto Rico’s government, achieving results that many believed impossible. Yet, even these victories came with scars, teaching lessons that now hold value for the United States as it contemplates the future of governance through DOGE.

For DOGE to succeed, it must draw on three lessons.

First, begin immediately. It seems that Musk and Ramaswamy are heading in this direction. But it must have the full buy-in of Trump’s administration. The opening days of an administration are a blitzkrieg moment—a chance to set the tone and pass meaningful reforms through executive orders and legislation.

Second, sequence reforms thoughtfully. Reforms must be staged to build momentum and minimize resistance. For DOGE, this could mean starting with high-impact, low-resistance initiatives that showcase tangible benefits before tackling more contentious issues.

Third, manage opposition strategically. Transparency, stakeholder engagement, and coalition-building are critical to preventing resistance from coalescing into an insurmountable barrier. DOGE must also be mindful of its messaging, ensuring that reforms are framed as opportunities rather than sacrifices.

In Puerto Rico, the Voluntary Transition Program was implemented quickly, but gave employees a runway with a clear objective of government to eventually reduce headcount. It is a story of both ingenuity and necessity. Designed during the fiscal crisis, this program addressed a fundamental issue: how to right-size government without causing undue harm to employees or disrupting essential services. The program offered public sector employees a voluntary exit with a safety net, including a year’s salary, healthcare stipends, and access to professional development or entrepreneurial opportunities. Participants could transition into the private sector, pursue higher education, or start new ventures, all while easing the government’s payroll burden.

What made this program successful was not just its structure but the environment we created around it. From day one, we signaled that the government was undergoing a transformation. Agency heads were aligned, creating a culture of transparency and inevitability while providing employees with the dignity of choice. By offering an "out" that was both humane and strategic, we reduced resistance and gained the bandwidth to execute broader reforms.

The results were historic. Over two years, we reduced government payroll expenses by 20%, consolidated 30% of government agencies, and achieved the lowest unemployment rates in Puerto Rico’s history. Tax reductions, increased government revenues, and the first year of economic growth in over a decade further underscored the success of these efforts.

Yet, reform comes at a cost. For instance, the concept of "aggregate opposition"—the cumulative resistance that builds as reforms affect entrenched interests. This opposition, if left unchecked, can halt progress entirely. For example, our efforts to reform municipal governance—intended to consolidate resources and improve efficiency—were met with significant pushback, ultimately stalling. The lesson here is clear: reformers must sequence their initiatives, balance the political landscape, and anticipate resistance.

This is the moment for reform. The question now is whether we have the wherewithal to act, the wisdom to prioritize, and the resilience/grit to see it through. If done correctly, DOGE could become a transformative force in American governance, proving that even the hardest reforms are possible when driven by purpose and executed with precision.

The cost of inaction is a burden too great for future generations to bear.