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July
2006
West Virginia Governor Joe Manchin recently released an in-depth performance review undertaken by Public Works and recommendations for how state operations can be improved. Public Works found that West Virginia could save more than $318 million during the next five years while improving the efficiency of such agencies as the Division of Highways, Division of Purchasing, Department of Health and Human Resources, and the Division of Motor Vehicles. While meeting with editorial boards around the state to announce the findings with Public Works President Eric Schnurer, Governor Manchin said, "I've been in state government for a long time, and I've seen a lot of studies. This isn't going to be another study on the shelf collecting dust with a pretty title. We're actually implementing these findings as we speak." (Read more below about the WV performance review.) Stories in several West Virginia newspapers highlighted the performance review. If you'd like to see a full copy of any of the stories mentioned below, please contact us today. From "Firm Outlines Plan to Save $318 Million," Charleston (W.V.) Gazette:
From "Study
Finds Ways to Save Taxpayers A Few Dollars," The (Elkins, W.V.)
From "Government Cuts Are Long Overdue," The (Charleston, W.V.) State Journal:
From "Manchin Savings Plan Impressive," The Wheeling (W.V.) News-Register:
From "Hoppy's Commentary for Monday," (W.V.) Metro News:
The West Virginia Performance Review report is the first phase of a two-phase plan to improve the fiscal management of state government operations while providing the most effective and efficient services possible. While Public Works led state employees through the performance review process, the Manchin Administration added its own twist to the performance review to ensure accountability and implementation: the Governor and his agency heads signed contracts requiring implementation of the report's recommendations so that savings are built into the budgets of those agencies in the coming years. "This innovative requirement is a best practice that other states ought to emulate," said Schnurer. By focusing on improvement through a practical rather than ideological lens, a performance review identifies ways to save money and move government in the right direction - the kind of practical results that elected officials and other leaders need. Public Works already has overseen performance reviews in three other states. For example, Public Works undertook a performance review of state government for New Mexico Governor Bill Richardson. Potential savings total approximately $100 million per year when fully implemented - about 5 percent of the non-education general fund budget. The total cost of the Review came to less than 0.1 percent of the annual savings. Examples of West Virginia Savings Recommended by Public Works:
Governor Manchin estimates that $25 million in savings from the implementation of Phase One performance review recommendations already has been realized in the FY 2007 budget.
Think Tank Praises
Performance Reviews, Cites Our Work
New Mexico Performance
Review Saves 5% of State Budget
Progressive Policy
Institute publishes Public Works report
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In this Alert, we explore performance reviews -- a proven way to reduce wasteful government spending and improve services. Many of the ideas and findings generated by our performance reviews are especially relevant as government agencies seek to spend tax dollars wisely, eliminate wasteful spending, and develop programs that will strengthen local economies and contribute to job growth. Public Works' performance reviews have received considerable media attention of late, and we thought the following information would be of interest to you. Saving money, improving services: The West Virginia Performance Review More
about the WV performance review
Visit the Public Works Web site to learn more about how we're helping public agencies and top officials to make good ideas work for the better.
David Osborne Email: dosborne@public-works.org
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| © 2006, Public Works, LLC |
From
properly calibrating road salt spreaders to eliminating top-heavy management
in the Division of Motor Vehicles to cracking down on fraudulent Medicaid
claims, West Virginia state government could save $318 million, a consulting
firm hired last year to ferret out wasteful state spending said.
Soon
after he took office, Gov. Joe Manchin pledged to take an in-depth,
detail-oriented look at every facet of state government operations.
The idea was to find ways to save taxpayers' money.
Authored
by Public Works LLC, the report is long on details and good ideas. It
offers specific ways to cut expenses in a number of state divisions,
including Highways, Motor Vehicles, Purchasing and Health and Human
Resources. 
The
company has many, many other suggestions - most of them common-sense
ideas.
The
just-released performance audit is filled with findings and recommendations
on the operations of state government ranging from the application of
road salt to the number of DMV supervisors to Medicaid fraud and abuse.
Governor Manchin called for the review - the first of two to be released
this year -- and he's traveling the state, preaching the gospel of the
report with the fervor of a preacher at a tent revival.
Public
Works' two performance review reports, Moving New Mexico
Forward and Moving New Mexico Forward: Further Along contained
133 recommendations covering a wide range of ideas for saving money, increasing
efficiency, collecting delinquent taxes, and improving customer service
throughout state government. The savings, implemented by Governor Bill
Richardson in his subsequent state budgets, will save the state over $100
million a year - or more than 5 percent of the state's non-education general
fund budget (New Mexico is unique in including all the state's school
spending in its state budget).
"By
focusing on government through a practical rather than an ideological
lens, many state and local leaders are finding creative ways to identify
performance improvements that save money-or bring in additional non-tax
revenues from the federal government.