House File 792 - Introduced HOUSE FILE BY COMMITTEE ON STATE GOVERNMENT (SUCCESSOR TO HSB 246) Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act providing for the establishment of a technology governance 2 board within the department of administrative services, and 3 making an appropriation. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2744HV 81 6 rn/sh/8 PAG LIN 1 1 Section 1. Section 8A.201, subsection 2, Code 2005, is 1 2 amended by striking the subsection. 1 3 Sec. 2. Section 8A.201, Code 2005, is amended by adding 1 4 the following new subsection: 1 5 NEW SUBSECTION. 5A. "Technology governance board" means 1 6 the board established in section 8A.204. 1 7 Sec. 3. Section 8A.204, Code 2005, is amended by striking 1 8 the section and inserting in lieu thereof the following: 1 9 8A.204. TECHNOLOGY GOVERNANCE BOARD == MEMBERS == POWERS 1 10 AND DUTIES. 1 11 1. DEFINITIONS. For purposes of this section, unless the 1 12 context otherwise requires: 1 13 a. "Agency" means a participating agency as defined in 1 14 section 8A.201. 1 15 In addition, the following definitions shall also apply: 1 16 (1) "Large agency" means a state agency with more than 1 17 seven hundred full=time, year=round employees. 1 18 (2) "Medium=sized agency" means a state agency with at 1 19 least seventy or more full=time, year=round employees, but not 1 20 more than seven hundred permanent employees. 1 21 (3) "Small agency" means a state agency with less than 1 22 seventy full=time, year=round employees. 1 23 b. "Board" means the technology governance board. 1 24 c. "Department" means the department of administrative 1 25 services, including the information technology enterprise. 1 26 2. MEMBERSHIP. 1 27 a. The technology governance board is composed of ten 1 28 members as follows: 1 29 (1) The director. 1 30 (2) The director of the department of management, or the 1 31 director's designee. 1 32 (3) Eight members appointed by the governor as follows: 1 33 (a) Three representatives from large agencies. 1 34 (b) Two representatives from medium=sized agencies. 1 35 (c) One representative from a small agency. 2 1 (d) Two public members who are knowledgeable and have 2 2 experience in information technology matters. 2 3 b. (1) Members appointed pursuant to paragraph "a", 2 4 subparagraph (3), shall serve two=year staggered terms. The 2 5 department shall provide, by rule, for the commencement of the 2 6 term of membership for the nonpublic members. The terms of 2 7 the public members shall be staggered at the discretion of the 2 8 governor. 2 9 (2) Sections 69.16, 69.16A, and 69.19 shall apply to the 2 10 public members of the board. 2 11 (3) Public members appointed by the governor are subject 2 12 to senate confirmation. 2 13 (4) Public members appointed by the governor may be 2 14 eligible to receive compensation as provided in section 7E.6. 2 15 (5) Members shall be reimbursed for actual and necessary 2 16 expenses incurred in performance of the members' duties. 2 17 (6) A director, deputy director, or chief financial 2 18 officer of an agency is preferred as an appointed 2 19 representative for each of the agency categories of membership 2 20 pursuant to paragraph "a", subparagraph (3). 2 21 c. The director shall serve as the permanent chair of the 2 22 board. 2 23 d. The technology governance board annually shall elect a 2 24 vice chair from among the members of the board, by majority 2 25 vote, to serve a one=year term. 2 26 e. A majority of the members of the board shall constitute 2 27 a quorum. 2 28 f. Meetings of the board shall be held at the call of the 2 29 chairperson or at the request of three members. 2 30 3. POWERS AND DUTIES OF THE BOARD. The powers and duties 2 31 of the technology governance board as they relate to 2 32 information technology services shall include, but are not 2 33 limited to, all of the following: 2 34 a. On an annual basis, prepare a report to the governor, 2 35 the department of management, and the general assembly 3 1 regarding the total spending on technology for the previous 3 2 fiscal year, the total amount appropriated for the current 3 3 fiscal year, and an estimate of the amount to be requested for 3 4 the succeeding fiscal year for all agencies. This report 3 5 shall be filed as soon as possible after the close of a fiscal 3 6 year, and by no later than the second Monday of January of 3 7 each year. 3 8 b. Work with the department of management and the state 3 9 accounting enterprise of the department, pursuant to section 3 10 8A.502, to maintain the relevancy of the central budget and 3 11 proprietary control accounts of the general fund of the state 3 12 and special funds to information technology, as those terms 3 13 are defined in section 8.2, of state government. 3 14 c. Develop and approve administrative rules governing the 3 15 activities of the board. The department shall assist in 3 16 development of the rules and shall adopt the rules under the 3 17 department's name. 3 18 d. In conjunction with the department, develop and adopt 3 19 information technology standards pursuant to section 8A.206 3 20 applicable to all agencies. 3 21 e. Make recommendations to the department regarding all of 3 22 the following: 3 23 (1) Technology utility services to be implemented by the 3 24 department or other agencies. 3 25 (2) Improvements to information technology service levels 3 26 and modifications to the business continuity plan for 3 27 information technology operations developed by the department 3 28 pursuant to section 8A.202 for agencies, and to maximize the 3 29 value of information technology investments by the state. 3 30 (3) Technology initiatives for the executive branch. 3 31 f. Review the recommendations of the IowAccess advisory 3 32 council regarding rates to be charged for access to and for 3 33 value=added services performed through IowAccess, pursuant to 3 34 section 8A.221. The board shall report the establishment of a 3 35 new rate of change in the level of an existing rate to the 4 1 department, which shall notify the department of management 4 2 and the legislative services agency regarding the rate 4 3 establishment or change. 4 4 g. Designate advisory groups as appropriate to assist the 4 5 board in all of the following: 4 6 (1) Development and adoption of an executive branch 4 7 strategic technology plan. 4 8 (2) Annual review of technology operating expenses and 4 9 capital investment budgets of agencies by October 1 for the 4 10 following fiscal year. 4 11 (3) Quarterly review of requested modifications to budgets 4 12 of agencies due to funding changes. 4 13 (4) Review and approval of all requests for proposals 4 14 prior to issuance for all information technology devices, 4 15 hardware acquisition, information technology services, 4 16 software development projects, and information technology 4 17 outsourcing for agencies that exceed the greater of a total 4 18 cost of fifty thousand dollars or a total involvement of seven 4 19 hundred fifty agency staff hours. 4 20 (5) Development of a plan and process to improve service 4 21 levels and continuity of business operations, and to maximize 4 22 the value of information technology investments. 4 23 (6) Formation of internal teams to address cost=savings 4 24 initiatives, including consolidation of information technology 4 25 and related functions among agencies, as enacted by the 4 26 technology governance board. 4 27 (7) Development of information technology standards. 4 28 (8) Development of rules, processes, and procedures for 4 29 implementation of aggregate purchasing among agencies. 4 30 4. FUNDING. Activities of the technology governance board 4 31 shall be funded by the information technology enterprise of 4 32 the department, through the IowAccess revolving fund created 4 33 in section 8A.224, notwithstanding contrary provisions of any 4 34 other law. 4 35 5. RULES. The department shall adopt rules as necessary 5 1 to administer this section, which shall at a minimum, 5 2 consistent with section 8A.221, establish a process for the 5 3 submission to the board of proposed fees for value=added 5 4 services by participating agencies and other governmental 5 5 entities, as well as the board's submission of recommendations 5 6 regarding such fees to the department of management. 5 7 Sec. 4. Section 8A.206, subsection 1, Code 2005, is 5 8 amended to read as follows: 5 9 1. The department shall develop, in consultation with the 5 10information technology counciltechnology governance board, 5 11 recommended standards for consideration with respect to the 5 12 procurement of information technology by all participating 5 13 agencies. It is the intent of the general assembly that 5 14 information technology standards be established for the 5 15 purpose of guiding such procurements. Such standards, unless 5 16 waived by the department, shall apply to all information 5 17 technology procurements for participating agencies. 5 18 Sec. 5. Section 8A.221, subsection 2, paragraph a, 5 19 subparagraph (1), Code 2005, is amended to read as follows: 5 20 (1) Recommend to theinformation technology council5 21 technology governance board rates to be charged for access to 5 22 and for value=added services performed through IowAccess. 5 23 Sec. 6. Section 8A.224, Code 2005, is amended to read as 5 24 follows: 5 25 8A.224 IOWACCESS REVOLVING FUND. 5 26 1. An IowAccess revolving fund is created in the state 5 27 treasury. The revolving fund shall be administered by the 5 28 department and shall consist of moneys collected by the 5 29 department as fees, moneys appropriated by the general 5 30 assembly, and any other moneys obtained or accepted by the 5 31 department for deposit in the revolving fund. The proceeds of 5 32 the revolving fund are appropriated to and shall be used by 5 33 the department to maintain, develop, operate, and expand 5 34 IowAccess consistent with this subchapter, and for the support 5 35 of activities of the technology governance board pursuant to 6 1 section 8A.204. 6 2 2. The department shall submit an annual report not later 6 3 than January 31 to the members of the general assembly and the 6 4 legislative services agency of the activities funded by and 6 5 expenditures made from the revolving fund during the preceding 6 6 fiscal year. Section 8.33 does not apply to any moneys in the 6 7 revolving fund and, notwithstanding section 12C.7, subsection 6 8 2, earnings or interest on moneys deposited in the revolving 6 9 fund shall be credited to the revolving fund. 6 10 Sec. 7. TECHNOLOGY GOVERNANCE BOARD FUNDING. Of the funds 6 11 appropriated pursuant to section 8A.224, an amount not to 6 12 exceed two hundred fifty thousand dollars may be used by the 6 13 department of administrative services during the fiscal year 6 14 beginning July 1, 2005, and ending June 30, 2006, for the 6 15 support of activities of the technology governance board 6 16 pursuant to section 8A.204. 6 17 Sec. 8. TECHNOLOGY GOVERNANCE BOARD == TRANSITION == 6 18 INITIAL TERMS OF MEMBERSHIP. 6 19 1. The information technology council established by 6 20 section 8A.204, Code 2005, is dissolved. 6 21 2. The former public members of the information technology 6 22 council appointed by the governor may be appointed to the 6 23 technology governance board created by section 8A.204 to fill 6 24 the public member positions on that board. The governor may 6 25 designate the initial length of terms of such members to 6 26 provide for staggering of terms of representation, pursuant to 6 27 section 8A.204. 6 28 3. Notwithstanding section 8A.204, one=half of the initial 6 29 terms of membership for agency representatives to the 6 30 technology governance board shall be two years, and one=half 6 31 shall be one year, as designated by the governor, to initiate 6 32 the staggering of member terms under section 8A.204. 6 33 4. Notwithstanding section 8A.204, subsection 2, paragraph 6 34 "f", the technology governance board shall meet no less than 6 35 monthly for the one=year period following the appointment of 7 1 all members. 7 2 EXPLANATION 7 3 This bill establishes a new technology governance board 7 4 within the department of administrative services. 7 5 The bill provides that the technology governance board 7 6 shall be comprised of 10 members, including eight 7 7 representatives from state agencies of designated sizes and 7 8 two public members. Six agency representatives and the two 7 9 public members are appointed by the governor for two=year 7 10 terms. The director of the department of administrative 7 11 services is designated as the permanent chairperson of the 7 12 board. 7 13 The bill specifies the duties of the board to include 7 14 preparing an annual report for the governor and the general 7 15 assembly regarding the total amount spent on technology for 7 16 the previous fiscal year, the total amount appropriated for 7 17 technology for the current fiscal year, and an estimate of the 7 18 amount to be requested for technology for the succeeding 7 19 fiscal year for all agencies. The board is authorized to 7 20 develop and approve administrative rules governing the board 7 21 to be adopted under the name of the department of 7 22 administrative services. The board is also authorized to 7 23 develop and adopt information technology standards applicable 7 24 to all participating agencies, and to designate advisory 7 25 groups as necessary and appropriate to assist the board. 7 26 The bill provides that the activities of the board are to 7 27 be funded out of the IowAccess revolving fund. The bill 7 28 provides that for FY 2005=2006, of the funds appropriated for 7 29 IowAccess, an amount not to exceed $250,000 may be used by the 7 30 department of administrative services to support the 7 31 activities of the technology governance board. 7 32 The bill also eliminates the current information technology 7 33 council and transfers most of its duties to the new technology 7 34 governance board. The bill provides for transitional 7 35 provisions relating to formation of the board. These include 8 1 making the current public members of the information 8 2 technology council appointed by the governor eligible to be 8 3 appointed to the new technology governance board to fill the 8 4 public member positions, initial terms of membership, and 8 5 frequency of meetings during the one=year period following the 8 6 appointment of all members. 8 7 LSB 2744HV 81 8 8 rn:rj/sh/8