Unions are a full partner in this process, which is pretty impressive in a tough-union state. All five of Pennsylvania's grades are above the national average. It resists management fads and has a very long history of solid management practices. Only one state, Utah, did better in that area. Revenue and expenditure estimates are accurate, and the rainy day fund will exceed 5 percent by the end of fiscal 2001.
Financial projections go out five years ahead and the budget is balanced into the out years.
Average grades are calculated by averaging the grades each state received in the five management areas. Utah's planning and integration capabilities are prominent in both its information technology and financial management systems. Washington's information technology activities, such as strategic planning and use of the Internet for citizen transactions with the state, are among the best in the land. Maryland's strong planning process for capital projects is striking, the report shows. Change occurred most noticeably in information technology management, a high-priority target.