BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 834
                                                                  Page  1

          Date of Hearing:   August 9, 2006

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                   Judy Chu, Chair

                   SB 834 (Figueroa) - As Amended:  June 12, 2006 

          Policy Committee:                              Business and  
          Professions  Vote:                            10-0 (Consent)

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               

           SUMMARY  

          This bill:

          1)Makes statutory changes consistent with the Governor's  
            Reorganization Plan (GRP) No. 2, which establishes the  
            Department of Technology Services (DTS).

          2)Establishes the Office of Chief Information Officer (CIO) and  
            the position of CIO, to be appointed by the governor and  
            confirmed by the Senate, and whose duties are to include:

             a)   Verifying that DTS is facilitating further consolidation  
               of the state's data centers.
             b)   Establishing an information technology governing board  
               with specified duties regarding setting information  
               technology (IT) policy and approving IT spending.
             c)   Establishing standards regarding the information and  
               data collection practices of state agencies.
             d)   Exercising leadership and authority over the procurement  
               and use of IT.

           FISCAL EFFECT  

          1)Codifies the existing DTS and the position of CIO in the  
            Governor's Office, all of which are currently funded. 

          2)Potential additional costs for staff to support the CIO's  
            statutory responsibilities, as listed above, could be in the  
            range of $200,000. 

           COMMENTS  








                                                                  SB 834
                                                                  Page  2


           1)DTS  . The Governor's GRP No. 2, which became effective July 9,  
            2005, established the DTS within the State and Consumer  
            Services Agency, as a reorganized entity comprised of the  
            former Stephen P. Teale Data Center, the California Health and  
            Human Services Agency Data Center, and the Telecommunications  
            Division of the Department of General Services. DTS is charged  
            with responsibility for the planning, acquisition, and  
            administration of state technology and telecommunications  
            systems. For 2006-07, the DTS budget totals $237 million and  
            includes about 800 position. Current law requires the  
            Legislative Counsel to prepare the statutory changes necessary  
            to reflect the changes enacted in a GRP.

           2)CIO  . According to the author, though the state has a chief  
            information officer, it is not a statutory position, but a  
            designation given to one of the governor's employees, thus the  
            CIO has no specific authority. The author indicates that  
            experts, both inside and outside of state government, have  
            been calling for the establishment of a statutory CIO.

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081