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Implementation of Performance Budgeting in the States: The Impact of Management and Organizational Capacity
Unformatted Document Text:  IMPLEMENTATION OF PERFORMANCE BUDGETING IN THE STATES: THE IMPACT OF MANAGEMENT AND ORGANIZATIONAL CAPACITY Abstract This study reports on the status of performance budgeting in the fifty states. At present, almost all states have adopted the practice, but implementation levels seem to vary. This study reviews the literature and develops a theoretical model to predict and explain implementation of the practice. The model is operationalized and tested with data drawn from a 2002 National Association of State Budget Officers survey (N=50) and several other sources. The results show that two important but previously untested variables – management and organizational capacity of the state bureaucracy – are important factors in implementation. Several political factors are also important. These factors include traditional political culture and gubernatorial power – specifically, the power to initiate state reorganizations and control the budgetary process. These results are summarized and their implications are discussed.

Authors: Brewer, Gene A.. and Li, Hui.
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IMPLEMENTATION OF PERFORMANCE BUDGETING IN THE STATES:
THE IMPACT OF MANAGEMENT AND ORGANIZATIONAL CAPACITY
Abstract
This study reports on the status of performance budgeting in the fifty states. At
present, almost all states have adopted the practice, but implementation levels seem to
vary. This study reviews the literature and develops a theoretical model to predict and
explain implementation of the practice. The model is operationalized and tested with data
drawn from a 2002 National Association of State Budget Officers survey (N=50) and
several other sources. The results show that two important but previously untested
variables – management and organizational capacity of the state bureaucracy – are
important factors in implementation. Several political factors are also important. These
factors include traditional political culture and gubernatorial power – specifically, the
power to initiate state reorganizations and control the budgetary process. These results
are summarized and their implications are discussed.


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