SRC-VRA S.B. 1701 78(R) BILL ANALYSIS Senate Research Center S.B. 1701 78R1391 MXM-DBy: Wentworth Government Organization 3/30/2003 As Filed DIGEST AND PURPOSE The Texas Department of Information Resources (DIR) was created to manage the state's information technology (IT) resources and to ensure that public funds spent on IT are used wisely and effectively. As proposed, S.B. 1701 restructures the administrative responsibilities of DIR to ensure that it continues to provide valuable technology-related services to state agencies. RULEMAKING AUTHORITY Rulemaking authority is expressly granted to the Legislative Budget Board in SECTION 7 (Section 2054.102, Government Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 2054.003, Government Code, as amended by Chapters 1272 and 1422, Acts of the 77th Legislature, Regular Session, 2001, by adding Subdivision 16 to define "quality assurance team." SECTION 2. Amends Section 2054.091(b), Government Code, to require the executive director of the Department of Information Resoures (DIR), in preparing a state strategic plan, to assess and report on any return on investment guidelines established in the strategic plan and used to develop and implement major information resources projects. SECTION 3. Amends Section 2054.092, Government Code, as follows: (a) Requires the strategic plan to be prepared in coordination with the quality assurance team and state agency information resources manager. (b) Requires the plan to meet certain conditions. SECTION 4. Amends Section 2054.096(a), Government Code, to add new information to be consistent with the state strategic plan including information on resources technology projects, quality assurance initiatives, and a description of measures taken to comply with DIR rules and standards. SECTION 5. Amends Section 2054.097, Government Code, as follows: (a) Replaces the "Legislative Budget Board" with the "quality assurance team." (b) Authorizes (DIR), rather than the Legislative Budget Board (LBB), in coordination with the quality assurance team, to report to the agency and authorizes DIR to report to the governor, rather than the state auditor, and the presiding officer of each house of the legislature, that an agency plan or plan amendment is not in compliance with the state strategic plan or best suited to the state agency's execution of its own duty. SECTION 6. Amends Sections 2054.100(a) and (b), Government Code, as follows: (a) Adds DIR and the governor to the list of entities to which each state agency is required to submit an operating plan each biennium. (b) Adds new language relating to project goals for the biennium. SECTION 7. Amends Section 2054.102, Government Code, as follows: Sec. 2054.102. New heading: EVALUATION AND APPROVAL OF OPERATING PLANS. (a) Created from existing text. (b) Prohibits LBB from approving the state strategic plan until DIR certifies that the operating plan complies with DIR standards and provisions contained in the state strategic plan. Requires DIR to adopt rules as necessary to establish DIR standards. SECTION 8. Amends Section 2054.1181, Government Code, by amending Subsection (a) and adding Subsections (d) and (e), as follows: (a) Requires the quality assurance team, in coordination with the governor, rather than DIR, to oversee the implementation of major information resources projects. Requires the team, as part of this oversight, to provide risk management and quality assurance services for the projects. (d) Requires the quality assurance team to evaluate major information resources projects to determine if the projects are operating on time and within budget. (e) Authorizes the quality assurance team, if the quality assurance team determines that a major information resources project is poorly managed or has excessive cost overruns, to subject certain projects to LBB approval. SECTION 9. Amends the heading to Chapter 2054G, Government Code, to read as follows: SUBCHAPTER G. QUALITY ASSURANCE SECTION 10. Amends Chapter 2054 G, Government Code, by adding Section 2054.158, as follows: Sec. 2054.158. QUALITY ASSURANCE TEAM. Requires DIR, in cooperation with LBB and the state auditor, to create a quality assurance team using employees from each agency. SECTION 11. Amends Sections 2054.2051(b) and (c), Government Code, as follows: (b) Adds new language relating to performance measures developed by the telecommunications planning and oversight council. (c) Adds a new condition relating to the required three month review of projects regarding the financial performance of the consolidated telecommunications system and the centralized capitol complex telephone system. SECTION 12. Amends Section 2055.001, Government Code, by amending Subdivision (1) and adding Subdivision (5), as follows: (1) Adds "quality assurance team" to a list of definitions assigned by Section 2054.003. (5) Defines "consortia project." SECTION 13. Amends Section 2055.052, Government Code, to require the Electronic Government Program Management Office (office) to establish, direct, and provide risk management and quality assurance services for consortia, rather than electronic government, projects. SECTION 14. Amends Section 2055.054, Government Code, as follows: (a) Replaces "comptroller" with "governor" in existing text. (b) Requires the office, in coordination with state agency information resources managers, to create state agency coordination teams. SECTION 15. Amends Section 2055.055(c), Government Code, to require the office, in coordination with the quality assurance team, to recommend, rather than establish, standards to DIR for state agencies to follow in implementing certain projects. SECTION 16. Amends Section 2055.057, Government Code, as follows: Sec. 2055.057. New heading: FUNDING FOR PROGRAM MANAGEMENT OFFICE AND CERTAIN PROJECTS. (a) Requires the office, in coordination with the governor and LBB, rather than the comptroller, Governor's Office of Budget and Planning, and the state auditor, including the quality assurance team, to develop a model for funding consortia projects from a portion of the money appropriated for technology components to be consolidated by projects selected under Section 2055.101, including staff necessary for the office to implement the consortia projects. Requires the model to perform certain tasks. (b) Requires DIR, in coordination with the quality assurance team, to recommend to LBB and the governor a proposal for funding projects selected under Section 2055.101. SECTION 17. Amends Chapter 2055B, Government Code, by adding Section 2055.060, as follows: Sec. 2055.060. PERFORMANCE MEASURES. Requires DIR, in coordination with the Legislative Oversight Committee for Electronic Government Projects, to consult with LBB to establish a performance measure for the office that identifies the amount of savings and cost avoidance that the office achieves. SECTION 18. Amends Sections 2055.101(a) and (c), Government Code, as follows: (a) Replaces "state auditor, and Legislative Budget Board" with "the quality assurance team." (c) Authorizes the office, subject to the approval of the governor and the quality assurance team, to select proposed or existing electronic government projects, including consortia projects. Deletes current text referring to certain entities. SECTION 19. Amends Section 2055.153(a), Government Code, to delete a reference to LBB from existing text. SECTION 20. Amends Chapter 2055D, Government Code, by adding Section 2055.154, as follows: Sec. 2055.154. REPORT ON FUNDING MODEL AND PERFORMANCE MEASURES. Requires the office to track its progress against the funding model established under Section 2055.057 and the performance measures established under Section 2055.060. Requires the office to regularly report on the progress to certain individuals. SECTION 21. Repealer: 2054.1181(c), Government Code (Oversight of Major Information Resources Projects). SECTION 22. Requires DIR, to allow state agencies to reduce design and software licensing costs, to coordinate with the governor to move control of the GovernmentDomain.com Internet website to DIR and to expand the website. Requires the website to include telecommunications billing software developed by the Texas Legislative Council. SECTION 23. Effective date: September 1, 2003.