The 5th Meeting of Ministries and Agencies Concerned with Unification and Standardization of Systems for Core Business of Local Governments was held on June 16, 2025 (2025).

Last Updated:: Jul 3, 2025

Overview

Date: Monday, June 16, 2025 (2025), from 11:00 to 11:40
Location: Online
Agenda:
1. Opening
2. Address by the Chairman
3. Agenda
  1. Standardization of Local Government Information Systems and Comprehensive Measures for Operating Expenses after Migration to Government Cloud
  2. Financial Measures for the Cost of Renovation of Local Government Systems in Accordance with the Institutional Revision after the Transition to standard compliance system
  3. Other
4. Closing

Data

Related policy

Unification and standardization of systems for core business of local governments

Summary of proceedings

Date and time

Monday, June 16, 2025 (2025), from 11:00 to 11:40

Location

On-line

Attendees

Seiji Ninomiya, Vice-Minister for Digital Policy
Seiya TANAKA (Deputy Director-General of the Cabinet Secretariat Administration [with Assistant Deputy Chief Cabinet Secretary Cabinet Secretariat])
KUSUNOKI Masanori (Director-General, Digital Agency)
Kazuhiko Mihashi (Deputy Director-General, Digital Agency)
Tsuyoshi Fukuda (Deputy Director-General, Minister's Secretariat for Economic and Social Systems, Cabinet Office)
Hidemasa Nakamura Children and Families Agency
Tomoaki ABE (Director-General of Local Administration Bureau Ministry of Internal Affairs and Communications)
Tsutomu TAKEUCHI (Director-General of the Ministry of Justice
Shuichi Sakamoto (cybersecurity and Policy Planning Deputy Director-General, Ministry of Education, Culture, Sports, Science and Technology's Secretariat)
Yasushi Fumi Okabe (Director, Minister's Secretariat for Information Technology, Ministry of Health, Labor and Welfare) * Attended on behalf of

Address by the Chairman

This meeting of related ministries and agencies has been held regularly in order to smoothly advance the efforts of local governments to unify and standardize systems such as core business systems. This is the first meeting since it was held in December last year when the Basic Policy on Standardization was revised.
The national government, local governments, and business operators have been working together toward the transition deadline of the end of the current fiscal year (FY 2025) in principle, and steady progress has been made toward the transition of many systems by the end of the current fiscal year. I would like to once again express my gratitude for the efforts of the ministries and agencies responsible for each system.
Today's agenda includes "Standardization of Local Government Information Systems and Comprehensive Measures for Operating Costs after Migration to Government Cloud," which was announced by Minister Taira at the Digital Administrative and Fiscal Reform Conference held on June 13.
At present, while local governments are in the process of obtaining and confirming estimates of operating expenses for information systems after standardization and the shift to Gabacula, there are concerns about a significant increase. Therefore, based on the instructions of Prime Minister Ishiba at the Digital Administrative and Fiscal Reform Council held on April 22, comprehensive measures were decided in Digital Agency, while listening to the opinions of local governments.
Based on these measures, Digital Agency will take the lead in promoting the measures. We would like to request the cooperation of the ministries and agencies in charge of the respective systems. We strongly request the following two points: thorough implementation of the "Rules for Revision of Standard Specifications in Line with System Revision" established in the Basic Policies for Standardization in December last year; and appropriate financial measures in the event that the local government system needs to be renovated in line with the system revision after the transition to standard compliance system.
In addition, the Government of Japan requests the Ministries and Agencies with jurisdiction over each system to continue their efforts to smoothly advance the transition work of local governments, such as answering questions from local governments in the standardized PMO tool.
Although today's agenda covers a wide range of topics, I believe that the cooperation of the ministries and agencies in charge of each system is indispensable, and I would like to ask them to continue to work together to promote standardization.

Agenda

Standardization of Local Government Information Systems and Comprehensive Measures for Operating Expenses after Migration to Government Cloud
Digital Agency gave the following explanation in accordance with Appendix 1.

The background and purpose of the compilation of comprehensive measures related to the operation costs after the standardization of local government information systems and the transition to the government cloud are that, in principle, the transition work of local governments is steadily progressing toward the deadline for the transition to the standardization at the end of FY 2025, but on the other hand, there are concerns from local governments that the system operation costs after the standardization and the transition to the government cloud will increase significantly based on the current estimates. Therefore, based on the instructions of Prime Minister Ishiba at the Digital Administrative and Fiscal Reform Council (held on April 22, 2025), a working team including representatives of three local governments considered comprehensive measures, and Minister Taira reported these measures to Prime Minister Ishiba at the Digital Administrative and Fiscal Reform Council on June 13.
With regard to the significance of standardization and the use of government cloud, it aims to reduce the human and financial burden on local governments, enable them to focus on improved services for residents in line with local circumstances, and enable the rapid deployment of new services. With the rapid population decline, local governments and businesses have reached the limit of individually maintaining and managing information systems, ensuring and improving security, and implementing measures in preparation for large-scale disasters from the perspective of human resources and financial resources, and are proceeding with the common recognition that these efforts are essential.
On the other hand, in light of the current estimates, there are voices that operational costs will increase after the transition. Therefore, we conducted hearings with local governments and operators on the factors behind this increase. Although there are differences between local governments and operators, the factors are classified into three categories: structural factors, functional enhancement factors, and external factors.
Specific structural factors include the fact that standard compliance system packages are not cloud optimized, the increase in development costs for operators due to repeated revisions of standard specifications, and the generation of double infrastructure and network management costs. Other structural factors include the possibility of additional buffers and insufficient competition. Functional enhancement factors include the improvement of service levels. External factors include inflation, increase in labor costs due to wage increases, and changes in the macroeconomic environment such as foreign exchange rates.
In light of these factors, we will first take immediate measures such as close examination of estimates, and then take measures against structural factors, etc. For example, as one of the immediate measures, we have just established a specialized team in Digital Agency to support cost optimizations centered on support for close examination of estimates so that we can respond to consultations from local governments not only on government cloud usage fees but also on the entire operation costs. In addition, we would like to ask for the cooperation of the ministries and agencies in charge of the various systems for negotiations on further discounts on cloud usage fees, as well as for thorough implementation of the rules for revising standard specifications in accordance with the system revisions.
As measures against structural factors, we are working to promote labor-saving and automation of system operation management. We are also taking measures for functional requirements as a transitional measure for some functions. We would like the ministries and agencies in charge of each system to consider handling them in the standard specifications by the end of FY 2027. In addition, we would like to promote competition by visualizing and analyzing system operation expenses.
While these measures are intended to reduce operating expenses, they also include the consideration of financial measures based on the opinions of local governments that system operating expenses will increase after the transition and the analysis of the cost structure of local government systems. In the future, we hope to accelerate the consideration in cooperation with related ministries and agencies. In addition, we hope to upgrade the overall measures while verifying the achievement status and effects so far.
As expected initiatives in the future, the national government is expected to steadily implement immediate measures and measures against structural factors. Business operators are expected to carefully explain to local governments the details of their estimates, including the grounds for the estimates. Municipalities are expected to confirm the details of their estimates and actual results, improve their procurement methods, and implement business process reengineering (BPR). As municipal support, prefectural governments are expected to provide support for the detailed examination of municipal operational cost estimates in cooperation with Digital Agency, and promote joint use and joint procurement of government cloud operation management assistants.
With regard to issues and prospects such as operational expenses for local government information systems, since operational expenses have increased due to external factors, functional enhancements, and structural factors, the Government of Japan intends to reduce operational expenses by taking immediate measures and measures against structural factors. If the operational expenses do not decrease immediately, the Government of Japan plans to consider measures including financial measures. After the Specified Migration Support System is transferred to standard compliance system, the Government of Japan intends to develop environments for long-term continuous use of superior systems, migration to cloud-optimized systems, and utilization of public SaaS.

Financial Measures for the Cost of Renovation of Local Government Systems in Accordance with the Institutional Revision after the Transition to standard compliance system
Digital Agency gave the following explanation in accordance with Appendix 3.

The financial measures for local government system improvement expenses in accordance with the institutional revision after the transition to standard compliance system were presented at the "Executive Meeting of the Conference of Relevant Ministries and Agencies on Unification and Standardization of Systems for Core Businesses of Local Governments" held on January 29, 2025. However, since they are related to the operational expenses explained in Agenda 1, I would like to explain them again.
In principle, when the information system of a local public entity is modified as a result of a revision of the system by the ministries and agencies having jurisdiction over the system, the ministries and agencies having jurisdiction over the system should request national funds or local financial measures as necessary.
If, after the transition to the standard compliance system, it is necessary to renovate the standard compliance system due to institutional revision, etc., the Government requests the Ministries and Agencies in charge of each institution to consider the necessity of national expenditure or local financial measures and take appropriate measures as before.
In addition, given that the operating costs of the standard compliance system are equivalent to the current system costs borne by local governments, it is basic that each local government bears the costs. However, if the operating costs increase due to revisions to the systems, it is necessary for the ministries and agencies with jurisdiction over the systems to take appropriate measures. Therefore, the Government of Japan requests the Government of the United States to also bear the costs.

Other
The following communication was received from Digital Agency, and then each ministry and agency explained the status of their efforts.

Respond as quickly as possible to the challenges faced by local governments, etc. in the standardized PMO tool.
Regarding transitional measures for some functions, confirm the content of the application from the operator by the end of June at the latest.
We would like you to prepare for the establishment of functional standardization standards by the end of fiscal 2025.

Closing

Greater than or