Objective: in a follow-up to a survey ten years earlier, the authors investigated current administrative relationships between academic departments of psycbiatry and state hospitals. Methods: A 20-item questionnaire was sent to the chairs of the 110 medical school departments of psychiatry with accredited psychiatric residencies. Results: Eighty-two departments, or 75 percent, responded. Seventy one percent of the respondents reportedthat their department hada relationship with a state hospital; 79 percent of these relationships intdved the education of psychiatnc residents. Most respondents rated the quality of the relationship favorably (4 or 5 on a 5point scale). Almost all respondents believed that residents can obtain a high-quality education in a state hospital. More than half of the departments responding to a question about the importance of a state hospital rotation rated it of major importance in their residency program. Conclusions: Many medical school departments of psychiatry remain closely involved with state hospitals andrecognize the hospital as an important part of residents' education. Administrators have gained much experience about how to develop and implement mutually beneficial relationships.