Legislating Results

Abstract

While most states have had legal requirements in place to conduct performance-based budgeting (PBB) for some time, little research exists that examines the content of these laws. This research examines PBB laws in states that received the highest and lowest scores from the most recent Government Performance Project (GPP) in budgeting for performance. Specifically, we examine the components of state laws that prescribe performance measurement development and protocols for measurement applicability in the budgetary process. Currently, 39 states have code prescribing some sort of performance-based budgeting process. Findings here indicate that all states scored by the GPP as strong users of performance information for budgetary decision making have PBB law, while just over half of states scored as weak in the use of this information to aid decision making have such law. Also, states scored as strong users of performance information for budgetary decision making have PBB laws that are "more comprehensive" than those of states scored as weaker users of such information. That is, state leaders in budgeting for performance have laws more likely to include specifics regarding performance measurement applicability across all budgeting phases—including measurement linkages to strategic plans, measurement reporting requirements, and stipulations regarding measurement and results evaluation and auditing. Perhaps most importantly, findings indicate that state leaders in budgeting for performance have PBB laws that codify shared responsibility among budgeting participants in developing and using performance information.

Keywords:

• budget reform
• budgetary decision-making
• performance information
• performance-based budgeting (PBB) laws
• state government