Analyzing the Financial Impact of ADA Compliance for Public Entities Under Title II
As the world increasingly relies on digital communication and online services, it’s crucial for governments to ensure their websites, mobile apps, social media posts, and electronic documents are accessible to all, including individuals with disabilities.
This past April, the U.S. Department of Justice (DOJ) proposed a new rule under Title II of the Americans with Disabilities Act (ADA), addressing the technical requirements that state and local governments must follow to provide equal access to individuals with disabilities. While the benefits of ADA compliance in terms of inclusivity are clear, these requirements, set forth by the Web Content Accessibility Guidelines (WCAG) 2.1 Level AA standards, provide an often confusing and difficult path for governments to follow in their journey toward digital accessibility.
Approximately 109,893 state and local government websites and 8,805 mobile apps that are affected by the Title II rule, according to the DOJ, which are managed by about 91,489 entities. The department recognizes that these parties will incur significant costs to achieve and maintain accessible websites.
We have summarized the DOJ’s analysis of the costs and benefits below.
The Costs of Having an Accessible Website
To understand the full financial impact, the report combines both the initial and ongoing costs over a 10-year period. The initial costs factor in services like testing the website and fixing necessary issues, whereas ongoing costs refer to recurring annual costs to maintain compliance.
The report estimates that the annualized cost of complying with the new rules over a 10-year period is about $3.3 billion with a 3% discount rate* and $3.5 billion with a 7% discount rate. Based on the analysis, the present value of total 10-year costs discounted at
7% is anticipated to be between $21 and $34 billion.
* Using different discount rates helps estimate the current value of future expenses, providing a clearer picture of the financial impact over time.
Investing in Web Accessibility is Essential
In order to have an accessible website, all entities should invest in web accessibility providers that offer a number of services, including audits, remediation, creating an accessibility policy, ongoing maintenance, and training staff on WCAG 2.1 Level AA standards.
The prices of these services depend on the complexity or simplicity of the project. For instance, if a website has thousands of pages or URLs that require remediation, it could take several months to fix. However, according to estimates, the total initial cost should fall under $8,000 in most cases.
Maintaining ADA compliance is an ongoing commitment. Governments must budget for regular inspections, updates, and staff training to ensure continued accessibility. This includes updating policies and procedures to reflect changes in technology and ADA standards.
While the financial implications of ADA compliance may seem daunting for smaller public entities with limited budgets, it’s important to consider the potential consequences of non-compliance. A lawsuit resulting from a non-accessible website can lead to costly legal fees, settlements, and fines, which could be far more burdensome than the initial investment in accessibility.
The Benefits of ADA Compliance
Public entities that have websites that align with ADA Title II requirements will benefit a large community of individuals with disabilities as well as the elderly population who may have a difficult time navigating online services. Over 60 million adults in the U.S. are living with a disability, per the CDC.
ADA compliance ensures everyone can fully participate and access digital resources. It not only demonstrates that state and local governments are committed to civil rights and inclusivity but also plays a crucial role in fostering a more equitable society. By making digital services accessible to all, we are empowering individuals with disabilities and the elderly, and creating a more inclusive and diverse community.
Conclusion
Although achieving ADA compliance under Title II has financial implications for governments, the benefits in terms of inclusivity are substantial. The DOJ’s efforts to provide technical guidance to government websites ensure that individuals with disabilities have equal access to online services.
However, it’s important to note that ADA compliance is not a one-time effort, but an ongoing commitment. Moving forward, continued investment in digital accessibility will be key to advancing the goals of the ADA and promoting equal opportunities for all. This investment is not just about meeting legal requirements, but about creating a more inclusive and accessible digital landscape for all.
