The state of Alabama is in the middle of its biggest financial crisis since the Great Depression of the 1930s, and there are many proposals for reform. Unfortunately it often takes a crisis to spur changes in government. Alabamians would be better served if the state were organized to prevent crises by managing performance in an ongoing way.
Soon after taking office in January, Gov. Bentley appointed a study commission to find ways to improve efficiency. While there is great value in an objective assessment of the state’s operations, study commissions are temporary. Many recommendations aren’t implemented; some adopted reforms won’t succeed, and others will become ineffective over time. What then?
Successful organizations have a self-improvement process. The state ought to investigate its performance regularly and make improvements as they are needed. The study commission’s first focus should be to evaluate this performance management process within state government.
In Alabama, the legal authority for such a process has been in place for many years but little has been done. The two most recent study commission reports have called for creating an internal performance management process. The current commission (on which I sit) should make it three in a row. Maybe we can head off the next crisis.
The governor and finance director have broad authority to require reports on key indicators of agency success, investigate performance and exercise fiscal control over agencies receiving state appropriations. Few, if any, top executives in other states enjoy similar powers. Using this authority, our leaders can create a first-class system of performance management within Alabama’s state government, as they are accountable to the voters for doing.
How?
Here’s how they might do it:
First create a division in the finance department to review performance within state agencies. The power has been there since 1939.
Second ensure that agencies report meaningful performance data that indicate their success or lack of it. This authority was given to the governor by the 1901 Alabama Constitution.
Third conduct performance reviews to detect problems, recognize successes and recommend improvements where required. The finance director has had the legal power to do this since 1939.
Fourth connect performance reviews to the budget. The Budget Management Act called for this in 1976.
We’ve waited long enough: Now is the time to make it happen.
EDITOR’S NOTE — Jim Williams is executive director for the nonprofit, nonpartisan Public Affairs Research Council of Alabama. Jim may be contacted at jwwillia@samford.edu.
Share with others: