INDIANAPOLIS (August 19, 2005) – Governor Mitch Daniels issued a six-month performance report for state government today that establishes goals for accountability for 30 of the largest state agencies and identifies savings of more than $150 million achieved or under way. The report, the first of its kind to provide detailed information to Hoosiers about how state government is performing, also summarizes discoveries, successes and shortcomings by agency.

This is the first time Indiana state government has created a mechanism to measure and report on agency performance and results.

Among report highlights:

• The Department of Administration has launched an aggressive program to identify and sell surplus vehicles from the state’s fleet, and so far, has identified 1,179 vehicles to sell. Of those, 498 have been sold at a net of $808,207.
• The Bureau of Motor Vehicles renegotiated a contract for the implementation of new computer software, for an annual savings of $2.5 million.
• The Indiana Finance Authority has consolidated 13 different authorities with debt issuing powers, which will result in annual savings of $700,000.
• The Indiana State Police returned all personnel who have the rank of lieutenant, first sergeant, sergeant and corporal to marked cars and requires headquarters personnel to wear police uniform and perform road duty two days a month to increase police presence on highways.
• The Department of Correction brought 650 Indiana offenders back to Indiana facilities and ceased housing them in a private facility in Kentucky, saving $6.6 million.
• The Office of Technology is consolidating programs that will save the state about $10 million annually.

“Government is not a business, but it can be run in a more businesslike fashion,” said Daniels. “Being clear about objectives, measuring concrete progress toward them, and insisting upon results and performance is essential to using taxpayer dollars well.”

Metrics have been set for 30 agencies, with measurements for core mission areas categorized as red, yellow or green, with green representing superior performance, yellow for needs improvement, and red for unsatisfactory performance. In the first report, more than 85 percent of the measures fall into the red or yellow areas. All executive branch agencies will have performance goals by June 2006.

“There may be some areas where it will take years and years to turn the corner. True reform takes years, and we will continue to provide these reports periodically pursuant to our commitment to better government and greater accountability,” said the governor.

The report captures activity from January 10 to July 10. The more than $150 million in savings is a combination of one-time savings, such as a gradual opening of the Isaac Ray facility for secure forensics patients in Logansport, which will result in savings of $1.5 million; annual savings, such as the Department of Correction discontinuing operations at the Bloomington and Fort Wayne Juvenile Correctional facilities and utilizing other facilities at a more efficient level, for annual savings of $4.3 million; and redirecting funds, such as the Indiana Department of Transportation, which has redirected $70,000 more to highway construction from the sale of four surplus parcels of land.

The complete report may be found online at www.in.gov/gov/. The first section of the report includes an overview and highlights, followed by the measurements section, and then individual agency narratives. Metrics will be updated quarterly.

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