During the early stages of a financial recovery, jurisdictions need to take action right away to begin to stabilize the situation – before the leaders of the recovery process will be able to conduct a detailed diagnosis of the causes of distress and develop a response tailored to the situation. At this point, the organization can turn to generic retrenchment techniques – techniques that are safe to apply with little or no foregoing diagnosis of the situation, which are especially useful at the start of the recovery process. This paper presents a number of generic retrenchment techniques, divided into categories such as personnel, revenues, supplies and materials, and more. The experiences of Hanover County, Virginia, are presented as an example.
Generic Retrenchment Techniques: Any-Time Responses to Fiscal Distress