NEWS RELEASE For Immediate Release
	Contact: Chris Neff 435-645-8898 cneff@nicusa.com

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RICHMOND, Va. – July 26, 2004 – The most digitally advanced state governments have been singled out in the 2004 Digital States Survey, and Virginia is among the nation's best. Virginia was ranked third in the study, which examines best practices, policies, and progress made by state governments to streamline operations and better serve citizens and businesses through the effective use of technology.

"Virginia continues to move up in the eGovernment rankings," said Governor Mark R. Warner. "Our efforts have positioned the Commonwealth to not only achieve significant cost savings, but to also improve the efficiency of vital services and give taxpayer a better return on their investment."

The sixth Digital States Survey assessed state government technology achievement in four broad areas – service delivery, architecture and infrastructure, collaboration, and leadership. In March 2004, all state governors and chief information officers were invited to participate in the survey, and more than 60 unique measurements were used to determine the final rankings. The study is compiled by the Center for Digital Government, a national research and advisory institute on information technology policies and best practices in state and local government.

"Virginia has taken this survey by storm," said Cathilea Robinett, executive director of the Center for Digital Government. "They have done more than any other state in the shortest amount of time. I have the utmost respect for Governor Warner and Secretary of Technology George Newstrom, and their vision and leadership has helped make Virginia one of the top digital states in the country."

The Virginia portal continues to be one of the nation's most honored sites. Virginia.gov won the 2002 Best of the Web competition for state government Web site excellence and was ranked sixth in the 2002 Digital States Survey.

Virginia offers 130 interactive government services through its official state Web site at www.Virginia.gov. Virginia.gov supports more than 34 million visitors per month and processed over $26 million transactions in 2003. To maximize taxpayer return on investment, Virginia uses a self-funded solution to provide eGovernment services at no upfront cost to taxpayers. The Commonwealth's official Web site is managed by Virginia Interactive, a Richmond-based subsidiary of eGovernment firm NIC (Nasdaq: EGOV).

"NIC congratulates Virginia for its achievement in the 2004 Digital States Survey," said Harry Herington, NIC's Chief Operating Officer. "Improving business and citizen services and streamlining government operations are at the heart of the Digital States Survey, and Virginia continues to leverage technology to get results in a cost-effective manner. We are honored to help Virginia deliver essential eGovernment portal services through the self-funded model."

The top ten digital states were honored last week at a ceremony in Seattle in conjunction with the National Governors Association annual meeting.

About Virginia.gov
Virginia.gov is the Commonwealth of Virginia's official homepage (www.Virginia.gov) and a service of the Virginia Information Providers Network. VIPNet is a collaborative effort between the Commonwealth of Virginia and Virginia Interactive, Inc., that helps Virginia government entities Web-enable their information services. Virginia.gov was built and is marketed, operated, and maintained by Virginia Interactive, a wholly owned subsidiary of eGovernment firm NIC.

About NIC
NIC manages more eGovernment services than any provider in the world. The company helps government communicate more effectively with citizens and businesses by putting essential services online. NIC provides eGovernment solutions for 1,500 state and local agencies that serve more than 51 million people in the United States. Additional information is available at www.nicusa.com.

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