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NEW: RI Gets D+ Grade For Government Spending Transparency

Tuesday, April 08, 2014

 

Rhode Island received a grade of D+ for government spending transparency, according to “ Following the Money 2014: How the 50 States Rate in Providing Online Access to Government Spending Data ,” the fifth annual report of its kind by the RIPIRG Education Fund.

“State governments across the country have become more transparent about where public money goes, providing citizens with the information they need to hold elected officials and recipients of public subsidies accountable,” said Phineas Baxandall, Senior Analyst with the RIPIRG Education Fund. "But Rhode Island has a long way to go."

Officials from Rhode Island and 44 other states provided the researchers with feedback on their initial evaluation of state transparency websites. The leading states with the most comprehensive transparency websites are Indiana, Florida, Oregon, Florida, Texas, Massachusetts, Iowa, Vermont, and Wisconsin.

Based on an inventory of the content and ease-of-use of states' transparency websites, the “Following the Money 2014” report assigns each state a grade of “A” to “F.” Described in the report as a "Lagging state," checkbook-level spending in Rhode Island's website is less accessible to users than checkbook-level spending in other states. For example, citizens cannot download and analyze the entire dataset to uncover trends over time.

RI results increased from last year

Rhode Island’s score of 62 was an increase from last year’s 54. Grading standards rise each year, so states need to improve transparency each year.

While many states continue to improve, the states that most distinguished themselves as leaders in spending transparency are those that provide access to types of expenditures that otherwise receive little public scrutiny. For example, six states provide public access to checkbook-level data on the subsidy recipients for each of the state’s most important economic development programs, allowing citizens and public officials to hold subsidy recipients accountable by listing the public benefits that specific companies were expected to provide and showing the benefits they actually delivered. The most transparent states similarly provide detailed information on subsidies spent through the tax code and “off-budget” quasi-public agencies.

Transparency making progress

“Rising public expectations about government transparency are clearly making progress,” said Greg LeRoy, executive director of Good Jobs First, an organization that tracks state and local subsidies. “US PIRG’s findings about overall state spending transparency are consistent with our own specific findings about economic development subsidies: there is more data and its quality is improving. Now our collective challenge is to use the data to win more accountability and equity.”

“Open information about the public purse is crucial for democratic and effective government,” said Baxandall. “It is not possible to ensure that government spending decisions are fair and efficient unless information is publicly accessible.”

At least eight states have launched brand new transparency websites since last year’s report, and most made improvements that are documented in the report.

 

Little upfront cost for transparency

States that have created or improved their online transparency have typically done so with little upfront cost. In fact, top-flight transparency websites can save money for taxpayers, while also restoring public confidence in government and preventing misspending and pay-to-play contracts.

State spending transparency is a non-partisan issue. The report compared transparency scores with a variety of measures of which party rules the state legislative, or sits in the Governor’s office, or how public opinion tilts in the states. Neither Republican nor Democratic states tended to have higher levels of spending disclosure.

 

Related Slideshow: Best and Worst Run States in New England

How well do the New England states stack up against each other in terms of how they're currently run?

According to Wall Street 24/7, looking at a state's debt per capita, budget deficit, unemployment, median household income, and percentage below the poverty line are all indicators of a state's level operational success - or lack thereof.  

Below are how the New England states were ranked compared to each other, based on data from 2012 -- as well as the "best run" and "worst run" states in the country. 

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#6

Rhode Island

National Rank, #47

> Debt per capita: $8,721 (3rd highest)
> Budget deficit: 6.9% (35th largest)
> Unemployment: 10.4% (3rd highest)
> Median household income: $54,554 (18th highest)
> Percent below poverty line: 13.7% (tied-20th lowest)

 

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#5

Connecticut

National Rank, #41

> Debt per capita: $8,531 (4th highest)
> Budget deficit: 17.1% (12th largest)
> Unemployment: 8.4% (tied-14th highest)
> Median household income: $67,276 (4th highest)
> Percent below poverty line: 10.7% (4th lowest)

 

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#4

Maine

National Rank, #30

> Debt per capita: $4,447 (12th highest)
> Budget deficit: 16.6% (14th largest)
> Unemployment: 7.3% (tied-22nd highest)
> Median household income: $46,709 (16th lowest)
> Percent below poverty line: 14.7% (tied-24th lowest)

 

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#3

New Hampshire

National Rank, #25

> Debt per capita: $6,414 (8th highest)
> Budget deficit: 20.0% (8th largest)
> Unemployment: 5.5% (8th lowest)
> Median household income: $63,280 (7th highest)
> Percent below poverty line: 10.0% (the lowest)

 

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#2

Massachusetts

National Rank, #18

> Debt per capita: $6,414 (8th highest)
> Budget deficit: 20.0% (8th largest)
> Unemployment: 5.5% (8th lowest)
> Median household income: $63,280 (7th highest)
> Percent below poverty line: 10.0% (the lowest)

 

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#1

Vermont

National Rank, #6

> Debt per capita: $6,414 (8th highest)
> Budget deficit: 20.0% (8th largest)
> Unemployment: 5.5% (8th lowest)
> Median household income: $63,280 (7th highest)
> Percent below poverty line: 10.0% (the lowest)

 

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Worst Run State in US

50. California

> Debt per capita: $3,990 (20th highest)
> Budget deficit: 27.8% (3rd largest)
> Unemployment: 10.5% (2nd highest)
> Median household income: $58,328 (11th highest)
> Pct. below poverty line: 17.0% (18th highest)

 

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Best Run State in US

1. North Dakota

> Debt per capita: $3,033 (20th lowest)
> Budget deficit: None
> Unemployment: 3.1% (the lowest)
> Median household income: $53,585 (19th highest)
> Pct. below poverty line: 11.2% (6th lowest)

 

 
 

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