According to a report from government business research company Input, state governments are increasing their investments in health information technology (IT), and more governors are proposing state-funded health IT projects, Government Health IT reports. Based on Input data, the report found that 27 percent of governors who delivered state of the state speeches in 2008 mentioned the benefits of health IT, up from 14 percent in 2007. In recent years, governors have proposed health IT projects in states including Arizona, Idaho, Minnesota, Missouri, Vermont and Washington. Report authors note that governors may be pushing for health IT projects such as electronic health record, electronic prescribing or interoperable data bank initiatives because their state budgets are faltering. They add that increasing Medicaid costs could prompt more IT spending. Meanwhile, Government Health IT reports that part of this increase could be attributed to Medicaid Transformation grants that the federal Centers for Medicaid and Medicare Services awarded last year (McKinney, Government Health IT, 4/4/08).