SENATE BILL REPORT

                   SB 6009

                    As of February 26, 1997

Title:  An act relating to the information services.

Brief Description:  Changing provisions relating to the information services board and creating a joint legislative committee on information technology.

Sponsors:  Senator Finkbeiner.

Brief History:

Committee Activity:  Energy & Utilities:  3/3/97.

SENATE COMMITTEE ON ENERGY & UTILITIES

Staff:  Diane Smith (786-7410)

Background:  In 1987, the Legislature created the Department of Information Services (DIS) and the Information Services Board (ISB) to provide coordinated planning, management, and delivery of state information services.  In 1992, the Legislature increased DIS= oversight responsibilities through the passage of the Information Technology Act and mandated a strategic planning process.  Prior to the creation of DIS, information services had been provided by several different state agencies.  ISB replaced the Data Processing Authority, which previously had provided an oversight role.  In 1995, the Legislative Budget Committee (now Joint Legislative Audit and Review Committee) conducted a sunset review of DIS and ISB.  In 1996, the Legislature repealed the statute that would have discontinued DIS and ISB.

DIS has two major functions:  (1) It is a service provider:  it provides computing, telecommunications, and bulk purchasing services to other agencies of state and local government on a full-cost recovery basis; and (2) it is a regulator:  as staff to the ISB, it conducts and coordinates strategic planning for information technology, develops statewide information technology policies, assesses funding requests, provides oversight of agency information system development projects, and approves agency acquisitions of information technology equipment.

The ISB consists of a 13-member board (enlarged from nine in 1996).  Eight members are appointed by the Governor, one of whom must be a representative of higher education, one of whom must be a representative of an agency under a statewide elected official other than the Governor, and two of whom must be representatives of the private sector.  One member represents the judicial branch.  One member is, or is appointed by, the Superintendent of Public Instruction.  One member represents the House of Representatives and one member represents the Senate.  One member is the Director of DIS.

Among the duties of ISB are:  to develop standards governing the acquisition and disposition of equipment, software, and purchased services; to acquire equipment or delegate such authority to state agencies; to develop statewide technical policies and standards; and to provide direction concerning statewide strategic planning.

It has been estimated that the 40 largest state agencies will spend approximately $1.5 billion on information technology during the 1997-1999 biennium (ten agencies account for over 80 percent of these expenditures).  This includes salaries and benefits for information technology staff, purchase and depreciation of equipment, the costs of telecommunications, including telephone and data transmission, and purchases and personal services.  Because statewide spending on information will increase substantially during the next decade, it has been suggested that the Legislature should become more aware and knowledgeable of information technology, and play a more proactive role in creating and monitoring information technology for the state.

Summary of Bill:  DIS=s function as service provider is separated from its function as regulator.  The oversight and regulatory functions are transferred to the ISB.  This includes duties related to review of agencies= acquisition, plans and requests; implementation of statewide and interagency policies, standards and guidelines; development of plans for achieving statewide strategic information technology goals and objectives; identification of and response to opportunities for the effective use of information services; assessment of agencies= information processing performance on request; development of agencies= administrative procedures; assisting OFM with budgetary and policy review of agencies= plans for information services; preparing strategic information technology plans and biennial state performance reports; establishment of standards and policies on major information technology projects; acceptance of agencies= unique processes for developing and implementing project plans; advising OFM on the satisfactory completion of phases for incremental funding; and evaluating projects at the three stages of their development.

The advice or recommendation of, or the review by DIS is no longer required for the development of the state strategic information technology plan; the development of training programs; and the approval of agencies= strategic information technology plans.

OFM and ISB must collaborate to evaluate agency budget requests for information technology projects of $1 million or more.  They must use a consistent methodology including a life-cycle cost-benefit analysis which must generate a return on investment; feasibility of the proposal; and its consistency with plans, goals and objectives.  The summary of the evaluation must be  transmitted to the legislative fiscal committees.

The Governor=s eight appointments to the ISB are the five public members, one representative of higher education who is from the discipline of computer technology, the director of OFM, and the director of the Department of Information Services who is a voting member.  The five statutory members are one from the judicial branch and four from the Legislature, one from each caucus of each house.

The department must report on major information technology projects to the policy committees of the Legislature which have direct oversight responsibility for information technology projects.

The Legislature recognizes that information technology, properly used, can be the state=s primary tool both for improving delivery of services and for containing the costs of those services.  In order for the Legislature to develop a more comprehensive view of its information investments, a long-range technology vision and strategies to improve this vision, the Joint Legislative Committee on Information Technology is created to oversee the direction, management, and expenditures of the state=s information technology programs and activities.

The Joint Legislative Committee on Information Technology consists of four Senators and four Representatives.  The Senate members are appointed by the President of the Senate and the House of Representatives members are appointed by the Speaker of the House of Representatives.  Not more than two members from each house are from the same political party.  All members must be appointed before the close of the 1997 session of the Legislature and before the close of each regular session during the odd-numbered year thereafter.  Members are subject to confirmation.  Members of the committee who cease to be members of the Legislature must also cease to be members of the committee.  Vacancies are filled by appointment by the remaining members and the vacancies are filled from the same political party and the same house as the member whose seat was vacated.

The members of the committee serve without additional compensation, but are reimbursed while attending sessions of the committee.  All expenses incurred by the committee are paid upon voucher forms, which may be drawn on funds appropriated for the committee.  However, the Legislature may authorize the committee to draw on funds appropriated for legislative expenses.  The committee appoints its own chair, vice-chair, and other officers.

The Joint Legislative Committee on Information Technology must examine, on a continuing basis, the status of information technology in state government, and recommend to the Legislature ways to improve the management and use of information technology in state government.  The committee may:  conduct oversight hearings and investigations as necessary to inform the Legislature about specific information technology activities or needs; assist legislators and others in developing legislation; present reports to the Legislature; and recommend and introduce legislation to improve the effectiveness and coordination of information technology programs or projects or to terminate these programs or projects.

The Joint Legislative Committee on Information Technology must also, with the Department of Information Services and the Information Services Board, review and examine:  major proposals and recommendations related to information technology; action plans proposed by state agencies to achieve information technology goals contained in the state strategic information technology plan adopted by the Information Services Board; and budget estimates proposed by agencies to implement their action plans and make recommendations thereon to the appropriate legislative committees.

The Joint Legislative Committee on Information Technology may appoint an administrator, who assists in the committee=s duties, and the committee may select and employ temporary and permanent personnel and fix their salaries.  The administrator manages the committee=s operations; assists the standing committees of the Legislature; and maintains a record of all work performed by the committee.  The committee is exempt from the statutory provisions governing the Department of Information Services.

The statutes creating the Joint Legislative Committee on Information Technology are codified under the Legislative Evaluation and Accountability Program Committee chapter.

Appropriation:  None.

Fiscal Note:  Requested on February 26, 1997.

Effective Date:  The bill contains an emergency clause and takes effect immediately except for section 4.