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As public funds continue to shrivel, state and local governments are increasingly turning to the Internet to trim technology costs and better manage information services. Cloud computing not only makes it possible to access information from anywhere at any time, but also to shed internal IT infrastructure in favor of renting software applications from remote providers. There are essentially three types of cloud computing services: Software as a Service (SaaS), Platform as a Service (PaaS) and Infrastructure as a Service (IaaS). All three provide computer servers, data storage and communications capabilities at a central location, allowing clients to access software applications remotely. However, each is designed for a specific business need. Which type of service an organization needs comes down to two basic questions: How much internal technical expertise will be supported by the department? Is the department prepared to invest in ongoing maintenance of software? Often, government agencies benefit by freeing up these resources to address greater needs.