The Volcker Alliance annually grades the states on their budget practices. Grades are given for budget forecasting, budget maneuvers, legacy costs, reserve funds, and transparency.

This year’s report gives Washington A’s in budget forecasting, budget maneuvers, and reserve funds; a B in transparency; and a C in legacy costs. According to the report, “The only state receiving more top marks was Hawaii, which averaged an A in four of five categories.” (As we wrote last year, Washington does have good budget sustainability requirements, especially when they’re followed. And SSB 6660, which would strengthen the four-year balanced budget requirement and repeal the state expenditure limit, was passed by the Senate on Feb. 14.)

Washington’s C in legacy costs is an improvement over the D given in last year’s report:

The category covers public worker pensions and other postemployment benefits (OPEB), principally health care. Pensions were 94 percent funded in 2018, 24 percentage points above the total for all states. While statutory contributions for fiscal 2017 and 2018 fell short of actuaries’ recommendations, the annual employer contribution rates were updated in fiscal 2019 to provide slightly more than the actuarially determined contribution. But the state still lags in its annual payments for OPEB.

The B in transparency is because Washington doesn’t disclose deferred infrastructure replacement costs. Only five states do so, but the report argues that “this is a liability like underfunded pension costs.”

On the transparency category, the report notes, “States should explain fully to the public how they project, develop, and balance budgets. Without such transparency, citizens are far less able to hold public officials accountable.”

Indeed. But note that the factors considered in the grades do not include the amount of time the public has to digest the budgets before they are voted on. Budget proposals are often made and voted on within a very short time span. This may be especially so this year: According to Rachel La Corte of the AP, both the House and Senate supplemental operating budget proposals will be released on Monday (they don’t typically make their proposals the same day). The House proposal will be available at noon and will be heard in the Appropriations Committee at 3:30 that afternoon. The Ways and Means Committee will hear the Senate proposal Monday at 3:30 as well.