BILL NUMBER: AB 2408	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 11, 2010

INTRODUCED BY   Assembly  Member   Smyth
  Members   Smyth   and Huber 

                        FEBRUARY 19, 2010

   An act to amend Sections 8592.1, 8592.5, 8592.7, 11532, 11534,
11535, 11537, 11539, 11540, 11541, 11541.5, 11542, 11543, 11544,
11546.5, 11549, 11549.1, 11549.3, 11549.5, 12804, 14995, 15251,
15253, 15254, 15275, 15277, 53108.5, 53113, 53114, 53114.1, 53114.2,
53115, 53115.1, 53115.2, 53115.3, 53116, 53119, 53120, 53126.5, and
53127 of, to amend the headings of Article 2 (commencing with Section
11534) and Article 3 (commencing with Section 11544) of Chapter 5.5
of Part 1 of Division 3 of Title 2 of, to amend the heading of
Chapter 5.7 (commencing with Section 11549) of Part 1 of Division 3
of Title 2 of, to amend and renumber Section 11549.6 of, to add
Sections 11549.7 and 11549.8 to, to add the headings of Article 1
(commencing with Section 11549) and Article 2 (commencing with
Section 11549.5) to Chapter 5.7 of Part 1 of Division 3 of Title 2
of, and to repeal Sections 11548.5 and 11549.2 of, the Government
Code, to amend Sections 12100.7, 12101, 12103, 12104, 12105, 12120,
and 12121 of the Public Contract Code, to amend Sections 41030,
41031, 41032, 41136.1, 41137, 41137.1, 41138, 41139, 41140, 41141,
and 41142 of the Revenue and Taxation Code, and to amend Section
16501.7 of the Welfare and Institutions Code, relating to state
government information technology.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2408, as amended, Smyth. State government information
technology.
   (1) Existing law, the Governor's Reorganization Plan No. 1 of
2009, transferred all the duties, functions, employees, property, and
related funding of the Division of Telecommunications in the
Department of General Services to the office of the State Chief
Information Officer. The plan also renamed and transferred the
Department of Technology Services in the State and Consumer Services
Agency to the Office of the Department of Technology Services within
the office of the State Chief Information Officer, renamed the
Department of Technology Services Revolving Fund the Technology
Services Revolving Fund, and made conforming changes. The plan
eliminated the Office of Information Security and Privacy Protection,
and instead created the Office of Information Security within the
office of the State Chief Information Officer, and the Office of
Privacy Protection within the State and Consumer Services Agency,
with a division of the duties, personnel, property, and funding of
the Office of Information Security and Privacy Protection between the
2 offices. The plan also transferred duties relating to the state's
procurement of information technology from the Department of Finance,
the Department of General Services, and the Department of
Information Technology to the office of the State Chief Information
Officer.
   Existing law requires the Legislative Counsel to prepare for
introduction not later than the next regular session of the
Legislature occurring more than 90 days after the effective date of
GRP No. 1, a bill effecting these changes in the statutes to reflect
the changes made by the plan.
   This bill would make the statutory codification changes made
necessary by the plan.
   (2) Existing law, until January 1, 2013, creates the office of the
State Chief Information Officer, within the Governor's cabinet, with
a State Chief Information Officer having specified duties in
creating and managing the technology policy of the state.
   This bill would delete the provision repealing the provisions
establishing the office of the State Chief Information Officer, thus
allowing those provisions to continue in effect indefinitely.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 8592.1 of the Government Code is amended to
read:
   8592.1.  For purposes of this article, the following terms have
the following meanings:
   (a) "Backward compatibility" means that the equipment is able to
function with older, existing equipment.
   (b) "Committee" means the Public Safety Radio Strategic Planning
Committee, that was established in December 1994 in recognition of
the need to improve existing public radio systems and to develop
interoperability among public safety departments and between state
public safety departments and local or federal entities, and that
consists of representatives of the following state entities:
   (1) The California Emergency Management Agency, who shall serve as
chairperson.
   (2) The Department of the California Highway Patrol.
   (3) The Department of Transportation.
   (4) The Department of Corrections and Rehabilitation.
   (5) The Department of Parks and Recreation.
   (6) The Department of Fish and Game.
   (7) The Department of Forestry and Fire Protection.
   (8) The Department of Justice.
   (9) The Department of Water Resources.
   (10) The State Department of Public Health.
   (11) The Emergency Medical Services Authority.
   (12) The office of the State Chief Information Officer.
   (13) The Military Department.
   (14) The Department of Finance.
   (c) "First response agencies" means public agencies that, in the
early stages of an incident, are responsible for, among other things,
the protection and preservation of life, property, evidence, and the
environment, including, but not limited to, state fire agencies,
state and local emergency medical services agencies, local sheriffs'
departments, municipal police departments, county and city fire
departments, and police and fire protection districts.
   (d) "Nonproprietary equipment or systems" means equipment or
systems that are able to function with another manufacturer's
equipment or system regardless of type or design.
   (e) "Open architecture" means a system that can accommodate
equipment from various vendors because it is not a proprietary
system.
   (f) "Public safety radio subscriber" means the ultimate end user.
Subscribers include individuals or organizations, including, for
example, local police departments, fire departments, and other
operators of a public safety radio system. Typical subscriber
equipment includes end instruments, including mobile radios,
hand-held radios, mobile repeaters, fixed repeaters, transmitters, or
receivers that are interconnected to utilize assigned public safety
communications frequencies.
   (g) "Public safety spectrum" means the spectrum allocated by the
Federal Communications Commission for operation of interoperable and
general use radio communication systems for public safety purposes
within the state.
  SEC. 2.  Section 8592.5 of the Government Code is amended to read:
   8592.5.  (a) Except as provided in subdivision (c), a state
department that purchases public safety radio communication equipment
shall ensure that the equipment purchased complies with applicable
provisions of the following:
   (1) The common system standards for digital public safety radio
communications commonly referred to as the "Project 25 Standard," as
that standard may be amended, revised, or added to in the future
jointly by the Associated Public-Safety Communications Officials,
Inc., National Association of State Telecommunications Directors, and
agencies of the federal government, commonly referred to as
"APCO/NASTD/FED."
   (2) The operational and functional requirements delineated in the
Statement of Requirements for Public Safety Wireless Communications
and Interoperability developed by the SAFECOM Program under the
United States Department of Homeland Security.
   (b) Except as provided in subdivision (c), a local first response
agency that purchases public safety radio communication equipment, in
whole or in part, with state funds or federal funds administered by
the state, shall ensure that the equipment purchased complies with
paragraphs (1) and (2) of subdivision (a).
   (c) Subdivision (a) or (b) shall not apply to either of the
following:
   (1) Purchases of equipment to operate with existing state or local
communications systems where the latest applicable standard will not
be compatible, as verified by the office of the State Chief
Information Officer.
   (2) Purchases of equipment for existing statewide low-band public
safety communications systems.
   (d) This section may not be construed to require an affected state
or local governmental agency to compromise its immediate mission or
ability to function and carry out its existing responsibilities.
  SEC. 3.  Section 8592.7 of the Government Code is amended to read:
   8592.7.  (a) A budget proposal submitted by a state agency for
support of a new or modified radio system shall be accompanied by a
technical project plan that includes all of the following:
   (1) The scope of the project.
   (2) Alternatives considered.
   (3) Justification for the proposed solution.
   (4) A project implementation plan.
   (5) A proposed timeline.
   (6) Estimated costs by fiscal year.
   (b) The committee shall review the plans submitted pursuant to
subdivision (a) for consistency with the statewide integrated public
safety communication strategic plan included in the annual report
required pursuant to Section 8592.6.
   (c) The office of the State Chief Information Officer shall review
the plans submitted pursuant to subdivision (a) for consistency with
the technical requirements of the statewide integrated public safety
communication strategic plan included in the annual report required
pursuant to Section 8592.6.
  SEC. 4.  Section 11532 of the Government Code is amended to read:
   11532.  For purposes of this chapter, the following terms shall
have the following meanings, unless the context requires otherwise:
   (a) "Board member" means a member of the Technology Services
Board.
   (b) "Board" means the Technology Services Board created pursuant
to Section 11535.
   (c) "Director" means the Director of the Office of Technology
Services.
   (d) "Technology" includes, but is not limited to, all electronic
technology systems and services, automated information handling,
system design and analysis, conversion of data, computer programming,
information storage and retrieval, and business telecommunications
systems and services.
   (e) "Business telecommunications systems and services" includes,
but is not limited to, wireless or wired systems for transport of
voice, video, and data communications, network systems, requisite
facilities, equipment, system controls, simulation, electronic
commerce, and all related interactions between people and machines.
Public safety communications are excluded from this definition.
   (f) "Public agencies" include, but are not limited to, all state
and local governmental agencies in the state, including cities,
counties, other political subdivisions of the state, state
departments, agencies, boards, and commissions, and departments,
agencies, boards, and commissions of other states and federal
agencies.
  SEC. 5.  The heading of Article 2 (commencing with Section 11534)
of Chapter 5.5 of Part 1 of Division 3 of Title 2 of the Government
Code is amended to read:

      Article 2.  Office of Technology Services


  SEC. 6.  Section 11534 of the Government Code is amended to read:
   11534.  (a) There is in state government, in the office of the
State Chief Information Officer, the Office of Technology Services.
   (b) The purpose of this article is to establish a general purpose
technology services provider to serve the common technology needs of
executive branch entities with accountability to customers for
providing secure services that are responsive to client needs at a
cost representing best value to the state.
   (c) The purpose of this chapter is to improve and coordinate the
use of technology and to coordinate and cooperate with all public
agencies in the state in order to eliminate duplications and to bring
about economies that could not otherwise be obtained.
   (d) Unless the context clearly requires otherwise, whenever the
term "Department of Technology Services" appears in any statute,
regulation, or contract, it shall be deemed to refer to the Office of
Technology Services, and whenever the term "Director of Technology
Services" appears in statute, regulation, or contract, it shall be
deemed to refer to the State Chief Information Officer.
   (e) Unless the context clearly requires otherwise, the Office of
Technology Services and the State Chief Information Officer succeed
to and are vested with all the duties, powers, purposes,
responsibilities, and jurisdiction vested in the former Department of
Technology Services and the former Director of Technology Services,
respectively.
   (f) All employees serving in state civil service, other than
temporary employees, who are engaged in the performance of functions
transferred to the Office of Technology Services, are transferred to
the Office of Technology Services. The status, positions, and rights
of those persons shall not be affected by their transfer and shall
continue to be retained by them pursuant to the State Civil Service
Act (Part 2 (commencing with Section 18500) of Division 5), except as
to positions the duties of which are vested in a position exempt
from civil service. The personnel records of all transferred
employees shall be transferred to the Office of Technology Services.
   (g) The property of any office, agency, or department related to
functions transferred to the Office of Technology Services is
transferred to the Office of Technology Services. If any doubt arises
as to where that property is transferred, the Department of General
Services shall determine where the property is transferred.
   (h) All unexpended balances of appropriations and other funds
available for use in connection with any function or the
administration of any law transferred to the Office of Technology
Services shall be transferred to the Office of Technology Services
for the use and for the purpose for which the appropriation was
originally made or the funds were originally available. If there is
any doubt as to where those balances and funds are transferred, the
Department of Finance shall determine where the balances and funds
are transferred.
  SEC. 7.  Section 11535 of the Government Code is amended to read:
   11535.  (a) There is, in the Office of Technology Services, the
Technology Services Board.
   (b) The board shall consist of 13 members, as follows:
   (1) The State Chief Information Officer, who shall serve as the
chair of the board.
   (2) The Director of Finance, who shall serve as vice chair of the
board.
   (3) The Controller.
   (4) The Secretary of Food and Agriculture, the Secretary of
Business, Transportation and Housing, the Secretary of the Department
of Corrections and Rehabilitation, the Secretary for Environmental
Protection, the Secretary of California Health and Human Services,
the Secretary of Labor and Workforce Development, the Secretary of
the Natural Resources Agency, the Secretary of State and Consumer
Services, and the Secretary of Veterans Affairs.
   (5) The Secretary of California Emergency Management.
  SEC. 8.  Section 11537 of the Government Code is amended to read:
   11537.  (a) The State Chief Information Officer shall engage an
independent firm of certified public accountants to conduct an annual
financial audit of all accounts and transactions of the Office of
Technology Services. The audit shall be conducted in accordance with
generally accepted government auditing standards. The audited
financial statements shall be presented to the board, the Governor,
and the Legislature not more than 120 days after the close of the
fiscal year.
   (b) The State Chief Information Officer may arrange for other
audits as are necessary or prudent to ensure proper oversight and
management of the Office of Technology Services.
  SEC. 9.  Section 11539 of the Government Code is amended to read:
   11539.  The director shall be responsible for managing the affairs
of the Office of Technology Services and shall perform all duties,
exercise all powers and jurisdiction, and assume and discharge all
responsibilities necessary to carry out the purposes of this chapter.
The Office of Technology Services shall employ professional,
clerical, technical, and administrative personnel as necessary to
carry out this chapter.
  SEC. 10.  Section 11540 of the Government Code is amended to read:
   11540.  (a) The director shall propose for board consideration and
approval an annual budget for the Office of Technology Services'
operations.
   (b) The State Chief Information Officer shall propose for board
consideration rates for Office of Technology Services' services based
on a formal rate methodology approved by the board. At least 60 days
before submitting proposed rates to the board, the State Chief
Information Officer shall submit the proposed rates to the Department
of Finance. Submittal of the rates to the Department of Finance
shall be in a format and timeframe determined by the Department of
Finance. The Department of Finance shall prepare a report for the
board evaluating the reasonableness of the proposed rates and any
significant impact the Office of Technology Services' rates are
likely to have upon the budgets of other departments.
   (c) It is the intent of the Legislature that this section
supersede Section 11540 of the Government Code, as added by Section 1
of the Governor's Reorganization Plan No. 2, effective July 9, 2005.

  SEC. 11.  Section 11541 of the Government Code is amended to read:
   11541.  (a) The Office of Technology Services may acquire,
install, equip, maintain, and operate new or existing business
telecommunications systems and services. Acquisitions for information
technology goods and services shall be made pursuant to Chapter 3
(commencing with Section 12100) of Part 2 of Division 2 of the Public
Contract Code. To accomplish that purpose, the Office of Technology
Services may enter into contracts, obtain licenses, acquire personal
property, install necessary equipment and facilities, and do other
acts that will provide adequate and efficient business
telecommunications systems and services. Any system established shall
be made available to all public agencies in the state on terms that
may be agreed upon by the agency and the Office of Technology
Services.
   (b) With respect to business telecommunications systems and
services, the Office of Technology Services may do all of the
following:
   (1) Provide representation of public agencies before the Federal
Communications Commission in matters affecting the state and other
public agencies regarding business telecommunications systems and
services issues.
   (2) Provide, upon request, advice to public agencies concerning
existing or proposed business telecommunications systems and services
between any and all public agencies.
   (3) Recommend to public agencies rules, regulations, procedures,
and methods of operation that it deems necessary to effectuate the
most efficient and economical use of business telecommunications
systems and services within the state.
   (4) Carry out the policies of this chapter.
   (c) The Office of Technology Services has responsibilities with
respect to business telecommunications systems, services, policy, and
planning, which include, but are not limited to, all of the
following:
   (1) Assessing the overall long-range business telecommunications
needs and requirements of the state considering both routine and
emergency operations for business telecommunications systems and
services, performance, cost, state-of-the-art technology, multiuser
availability, security, reliability, and other factors deemed to be
important to state needs and requirements.
   (2) Developing strategic and tactical policies and plans for
business telecommunications with consideration for the systems and
requirements of public agencies.
   (3) Recommending industry standards, service level agreements, and
solutions regarding business telecommunications systems and services
to ensure multiuser availability and compatibility.
   (4) Providing advice and assistance in the selection of business
telecommunications equipment to ensure all of the following:
   (A) Ensuring that the business telecommunications needs of state
agencies are met.
   (B) Ensuring that procurement is compatible throughout state
agencies and is consistent with the state's strategic and tactical
plans for telecommunications.
   (C) Ensuring that procurement is designed to leverage the buying
power of the state and encourage economies of scale.
   (5) Providing management oversight of statewide business
telecommunications systems and services developments.
   (6) Providing for coordination of, and comment on, plans and
policies and operational requirements from departments that utilize
business telecommunications systems and services as determined by the
Office of Technology Services.
   (7) Monitoring and participating, on behalf of the state, in the
proceedings of federal and state regulatory agencies and in
congressional and state legislative deliberations that have an impact
on state governmental business telecommunications activities.
   (d) The Office of Technology Services shall develop and describe
statewide policy on the use of business telecommunications systems
and services by state agencies. In the development of that policy,
the Office of Technology Services shall ensure that access to state
business information and services is improved, and that the policy is
cost effective for the state and its residents. The Office of
Technology Services shall develop guidelines that do all of the
following:
   (1) Describe what types of state business information and services
may be accessed using business telecommunications systems and
services.
   (2) Characterize the conditions under which a state agency may
utilize business telecommunications systems and services.
   (3) Characterize the conditions under which a state agency may
charge for information and services.
   (4) Specify pricing policies.
   (5) Provide other guidance as may be appropriate at the discretion
of the Office of Technology Services.
   (e) It is the intent of the Legislature that this section
supersede Section 11541 of the Government Code, as added by Section 1
of the Governor's Reorganization Plan No. 2, effective July 9, 2005.

  SEC. 12.  Section 11541.5 of the Government Code is amended to
read:
   11541.5.  (a) The Office of Technology Services shall create a
link to state agency Internet Web sites at the State of California
Internet portal specifically for the use of small businesses,
designed to assist entrepreneurs and small business owners in
accessing information regarding startup requirements and regulatory
compliance applicable to the particular business.
   (b) For purposes of this section, "small business" has the same
meaning as set forth in Section 14837.
  SEC. 13.  Section 11542 of the Government Code is amended to read:
   11542.  (a) (1) The Stephen P. Teale Data Center and the
California Health and Human Services Agency Data Center are
consolidated within, and their functions are transferred to, the
Office of Technology Services.
   (2) Except as expressly provided otherwise in this chapter, the
Office of Technology Services is the successor to, and is vested
with, all of the duties, powers, purposes, responsibilities, and
jurisdiction of the Stephen P. Teale Data Center, and the California
Health and Human Services Agency Data Center. Any reference in
statutes, regulations, or contracts to those entities with respect to
the transferred functions shall be construed to refer to the Office
of Technology Services unless the context clearly requires otherwise.

   (3) No contract, lease, license, or any other agreement to which
either the Stephen P. Teale Data Center or the California Health and
Human Services Agency Data Center, is a party shall be void or
voidable by reason of this chapter, but shall continue in full force
and effect, with the Office of Technology Services assuming all of
the rights, obligations, and duties of the Stephen P. Teale Data
Center or the California Health and Human Services Agency Data
Center, respectively.
   (4) Notwithstanding subdivision (e) of Section 11793 and
subdivision (e) of Section 11797, on and after the effective date of
this chapter, the balance of any funds available for expenditure by
the Stephen P. Teale Data Center and the California Health and Human
Services Agency Data Center, with respect to business
telecommunications systems and services functions in carrying out any
functions transferred to the Office of Technology Services by this
chapter, shall be transferred to the Technology Services Revolving
Fund created by Section 11544, and shall be made available for the
support and maintenance of the Office of Technology Services.
   (5) All references in statutes, regulations, or contracts to the
former Stephen P. Teale Data Center Fund or the California Health and
Human Services Data Center Revolving Fund shall be construed to
refer to the Technology Services Revolving Fund unless the context
clearly requires otherwise.
   (6) All books, documents, records, and property of the Stephen P.
Teale Data Center and the California Health and Human Services Agency
Data Center, excluding the Systems Integration Division, shall be
transferred to the Office of Technology Services.
   (7) (A) All officers and employees of the former Stephen P. Teale
Data Center and the California Health and Human Services Agency Data
Center, are transferred to the Office of Technology Services.
   (B) The status, position, and rights of any officer or employee of
the Stephen P. Teale Data Center and the California Health and Human
Services Agency Data Center, shall not be affected by the transfer
and consolidation of the functions of that officer or employee to the
Office of Technology Services.
   (b) (1) All duties and functions of the Telecommunications
Division of the Department of General Services are transferred to the
office of the State Chief Information Officer.
   (2) Unless the context clearly requires otherwise, whenever the
term "Telecommunications Division of the Department of General
Services" appears in any statute, regulation, or contract, it shall
be deemed to refer to the office of the State Chief Information
Officer.
   (3) All employees serving in state civil service, other than
temporary employees, who are engaged in the performance of functions
transferred to the office of the State Chief Information Officer, are
transferred to the office of the State Chief Information Officer.
The status, positions, and rights of those persons shall not be
affected by their transfer and shall continue to be retained by them
pursuant to the State Civil Service Act (Part 2 (commencing with
Section 18500) of Division 5), except as to positions the duties of
which are vested in a position exempt from civil service. The
personnel records of all transferred employees shall be transferred
to the office of the State Chief Information Officer.
   (4) The property of any office, agency, or department related to
functions transferred to the office of the State Chief Information
Officer is transferred to the office of the State Chief Information
Officer. If any doubt arises as to where that property is
transferred, the Department of General Services shall determine where
the property is transferred.
   (5) All unexpended balances of appropriations and other funds
available for use in connection with any function or the
administration of any law transferred to the office of the State
Chief Information Officer shall be transferred to the office of the
State Chief Information Officer for the use and for the purpose for
which the appropriation was originally made or the funds were
originally available. If there is any doubt as to where those
balances and funds are transferred, the Department of Finance shall
determine where the balances and funds are transferred.
  SEC. 14.  Section 11543 of the Government Code is amended to read:
   11543.  (a) The State Chief Information Officer shall confer as
frequently as necessary or desirable, but not less than once every
quarter, with the board, on the operation and administration of the
Office of Technology Services. The State Chief Information Officer
shall make available for inspection by the board or any board member,
upon request, all books, records, files, and other information and
documents of the Office of Technology Services and recommend any
matters as he or she deems necessary and advisable to improve the
operation and administration of the Office of Technology Services.
   (b) The State Chief Information Officer shall make and keep books
and records to permit preparation of financial statements in
conformity with generally accepted accounting principles and any
state policy requirements.
  SEC. 15.  The heading of Article 3 (commencing with Section 11544)
of Chapter 5.5 of Part 1 of Division 3 of Title 2 of the Government
Code is amended to read:

      Article 3.  Technology Services Revolving Fund


  SEC. 16.  Section 11544 of the Government Code, as added by Section
1 of Chapter 533 of the Statutes of 2006, is amended to read:
   11544.  (a) The Technology Services Revolving Fund, hereafter
known as the fund, is hereby created within the State Treasury. The
fund shall be administered by the State Chief Information Officer,
pursuant to the Office of Technology Services' plan of operations, a
plan of service offering as approved by the Technology Services
Board, to receive all revenues from the sale of technology or
technology services provided for in this chapter and all other moneys
properly credited to the board and the Office of Technology Services
from any other source, to pay, upon appropriation by the
Legislature, all costs arising from this chapter, including, but not
limited to, operating and other expenses of the board and the Office
of Technology Services and costs associated with approved information
technology projects, and to establish reserves. At the discretion of
the State Chief Information Officer, segregated, dedicated accounts
within the fund may be established.
   (b) The fund shall consist of all of the following:
   (1) Moneys appropriated and made available by the Legislature for
the purpose of this chapter.
   (2) Any other moneys that may be made available to the Office of
Technology Services for the purpose of this chapter from any other
source, including the return from investments of moneys by
                                  the Treasurer.
   (c) The Office of Technology Services may collect payments from
public agencies for providing services to those agencies that the
agencies have contracted with the Office of Technology Services to
provide. The Office of Technology Services may require monthly
payments by client agencies for the services the agencies have
contracted the Office of Technology Services to provide. Pursuant to
Section 11255, the Controller shall transfer any amounts so
authorized by the Office of Technology Services, consistent with the
annual budget of each department, to the fund. The Office of
Technology Services shall notify each affected state agency upon
requesting the Controller to make the transfer.
   (d) If the balance remaining in the fund at the end of any fiscal
year exceeds 25 percent of the Office of Technology Services' current
fiscal year budget, the excess amount shall be used to reduce the
billing rates for services rendered during the following fiscal year.

   (e) It is the intent of the Legislature that this section
supersede Section 11544 of the Government Code, as added by Section 1
of the Governor's Reorganization Plan No. 2, effective July 9, 2005.

  SEC. 17.  Section 11546.5 of the Government Code is amended to
read:
   11546.5.  Notwithstanding any other provision of law, all
employees of the office of the State Chief Information Officer shall
be designated as excluded from collective bargaining pursuant to
subdivision (b) of Section 3527, except for employees of the Office
of Technology Services and the employees of the Telecommunications
Division of the Department of General Services transferred to the
office of the State Chief Information Officer.
  SEC. 18.  Section 11548.5 of the Government Code is repealed.
  SEC. 19.  The heading of Chapter 5.7 (commencing with Section
11549) of Part 1 of Division 3 of Title 2 of the Government Code is
amended to read:
      CHAPTER 5.7.  OFFICE OF INFORMATION SECURITY AND OFFICE OF
PRIVACY PROTECTION


  SEC. 20.  The heading of Article 1 (commencing with Section 11549)
is added to Chapter 5.7 of Part 1 of Division 3 of Title 2 of the
Government Code, to read:

      Article 1.  Office of Information Security


  SEC. 21.  Section 11549 of the Government Code is amended to read:
   11549.  (a) There is in state government, in the office of the
State Chief Information Officer, the Office of Information Security.
The purpose of the Office of Information Security is to ensure the
confidentiality, integrity, and availability of state systems and
applications, and to promote and protect privacy as part of the
development and operations of state systems and applications to
ensure the trust of the residents of this state.
   (b) The office shall be under the direction of a director, who
shall be appointed by, and serve at the pleasure of, the Governor.
The director shall report to the State Chief Information Officer, and
shall lead the Office of Information Security in carrying out its
mission.
   (c) The duties of the Office of Information Security, under the
direction of the director, shall be to provide direction for
information security and privacy to state government agencies,
departments, and offices, pursuant to Section 11549.3.
   (d) (1) Unless the context clearly requires otherwise, whenever
the term "Office of Information Security and Privacy Protection"
appears in any statute, regulation, or contract, it shall be deemed
to refer to the Office of Information Security, and whenever the term
"executive director of the Office of Information Security and
Privacy Protection" appears in statute, regulation, or contract, it
shall be deemed to refer to the Director of the Office of Information
Security.
   (2) All employees serving in state civil service, other than
temporary employees, who are engaged in the performance of functions
transferred from the Office of Information Security and Privacy
Protection to the Office of Information Security, are transferred to
the Office of Information Security. The status, positions, and rights
of those persons shall not be affected by their transfer and shall
continue to be retained by them pursuant to the State Civil Service
Act (Part 2 (commencing with Section 18500) of Division 5), except as
to positions the duties of which are vested in a position exempt
from civil service. The personnel records of all transferred
employees shall be transferred to the Office of Information Security.

   (3) The property of any office, agency, or department related to
functions transferred to the Office of Information Security is
transferred to the Office of Information Security. If any doubt
arises as to where that property is transferred, the Department of
General Services shall determine where the property is transferred.
   (4) All unexpended balances of appropriations and other funds
available for use in connection with any function or the
administration of any law transferred to the Office of Information
Security shall be transferred to the Office of Information Security
for the use and for the purpose for which the appropriation was
originally made or the funds were originally available. If there is
any doubt as to where those balances and funds are transferred, the
Department of Finance shall determine where the balances and funds
are transferred.
  SEC. 22.  Section 11549.1 of the Government Code is amended to
read:
   11549.1.  As used in this article, the following terms have the
following meanings:
   (a) "Director" means the Director of the Office of Information
Security.
   (b) "Office" means the Office of Information Security.
   (c) "Program" means an information security program established
pursuant to Section 11549.3.
  SEC. 23.  Section 11549.2 of the Government Code is repealed.
  SEC. 24.  Section 11549.3 of the Government Code is amended to
read:
   11549.3.  (a) The director shall establish an information security
program. The program responsibilities include, but are not limited
to, all of the following:
   (1) The creation, updating, and publishing of information security
and privacy policies, standards, and procedures for state agencies
in the State Administrative Manual.
   (2) The creation, issuance, and maintenance of policies,
standards, and procedures directing state agencies to effectively
manage security and risk for all of the following:
   (A) Information technology, which includes, but is not limited to,
all electronic technology systems and services, automated
information handling, system design and analysis, conversion of data,
computer programming, information storage and retrieval,
telecommunications, requisite system controls, simulation, electronic
commerce, and all related interactions between people and machines.
   (B) Information that is identified as mission critical,
confidential, sensitive, or personal, as defined and published by the
office.
   (3) The creation, issuance, and maintenance of policies,
standards, and procedures directing state agencies for the
collection, tracking, and reporting of information regarding security
and privacy incidents.
   (4) The creation, issuance, and maintenance of policies,
standards, and procedures directing state agencies in the
development, maintenance, testing, and filing of each agency's
disaster recovery plan.
   (5) Coordination of the activities of agency information security
officers, for purposes of integrating statewide security initiatives
and ensuring compliance with information security and privacy
policies and standards.
   (6) Promotion and enhancement of the state agencies' risk
management and privacy programs through education, awareness,
collaboration, and consultation.
   (7) Representing the state before the federal government, other
state agencies, local government entities, and private industry on
issues that have statewide impact on information security and
privacy.
   (b) (1) Every state agency, department, and office shall comply
with the information security and privacy policies, standards, and
procedures issued pursuant to this chapter by the Office of
Information Security.
   (2) Every state agency, department, and office shall comply with
filing requirements and incident notification by providing timely
information and reports as required by policy or directives of the
office.
   (3) The office may conduct, or require to be conducted,
independent security assessments of any state agency, department, or
office, the cost of which shall be funded by the state agency,
department, or office being assessed.
   (4) The office may require an audit of information security to
ensure program compliance, the cost of which shall be funded by the
state agency, department, or office being audited.
   (5) The office shall report to the office of the State Chief
Information Officer any state agency found to be noncompliant with
information security program requirements.
  SEC. 25.  The heading of Article 2 (commencing with Section
11549.5) is added to Chapter 5.7 of Part 1 of Division 3 of Title 2
of the Government Code, to read:

      Article 2.  Office of Privacy Protection


  SEC. 26.  Section 11549.5 of the Government Code is amended to
read:
   11549.5.  (a) There is hereby created, in the State and Consumer
Services Agency, the Office of Privacy Protection. The purpose of the
Office of Privacy Protection shall be to protect the privacy of
individuals' personal information in a manner consistent with the
California Constitution by identifying consumer problems in the
privacy area and facilitating the development of fair information
practices in adherence with the Information Practices Act of 1977
(Chapter 1 (commencing with Section 1798) of Title 1.8 of Part 4 of
Division 3 of the Civil Code) and to promote and protect consumer
privacy to ensure the trust of the residents of this state.
   (b) The Office of Privacy Protection shall inform the public of
potential options for protecting the privacy of, and avoiding the
misuse of, personal information.
   (c) The Office of Privacy Protection shall make recommendations to
organizations for privacy policies and practices that promote and
protect the interests of the consumers of this state.
   (d) The Office of Privacy Protection may promote voluntary and
mutually agreed upon nonbinding arbitration and mediation of
privacy-related disputes where appropriate.
   (e) The Office of Privacy Protection shall do all of the
following:
   (1) Receive complaints from individuals concerning a person
obtaining, compiling, maintaining, using, disclosing, or disposing of
personal information in a manner that may be potentially unlawful or
violate a stated privacy policy relating to that individual, and
provide advice, information, and referral, where available.
   (2) Provide information to consumers on effective ways of handling
complaints that involve violations of privacy-related laws,
including identity theft and identity fraud. If appropriate local,
state, or federal agencies are available to assist consumers with
those complaints, the office shall refer those complaints to those
agencies.
   (3) Develop information and educational programs and materials to
foster public understanding and recognition of the purposes of this
article.
   (4) Investigate and assist in the prosecution of identity theft
and other privacy-related crimes, and, as necessary, coordinate with
local, state, and federal law enforcement agencies in the
investigation of similar crimes.
   (5) Assist and coordinate in the training of local, state, and
federal law enforcement agencies regarding identity theft and other
privacy-related crimes, as appropriate.
   (6) The authority of the Office of Privacy Protection to adopt
regulations under this article shall be limited exclusively to those
regulations necessary and appropriate to implement subdivisions (b),
(c), (d), and (e).
  SEC. 27.  Section 11549.6 of the Government Code is amended and
renumbered to read:
   11549.10.  This chapter shall not apply to the State Compensation
Insurance Fund, the Legislature, or the Legislative Data Center in
the Legislative Counsel Bureau.
  SEC. 28.  Section 11549.7 is added to the Government Code, to read:

   11549.7.  The Office of Privacy Protection shall be under the
direction of a director who shall report to the Secretary of State
and Consumer Services and lead the Office of Privacy Protection in
carrying out its mission.
  SEC. 29.  Section 11549.8 is added to the Government Code, to read:

   11549.8.  As used in this article, the following terms have the
following meanings:
   (a) "Director" means the Director of the Office of Privacy
Protection.
   (b) "Office" means the Office of Privacy Protection.
  SEC. 30.  Section 12804 of the Government Code is amended to read:
   12804.  The Agriculture and Services Agency is hereby renamed the
State and Consumer Services Agency.
   The State and Consumer Services Agency consists of the following:
the Department of General Services; the Department of Consumer
Affairs; the Franchise Tax Board; the Public Employees' Retirement
System; the State Teachers' Retirement System; the Department of Fair
Employment and Housing; the Fair Employment and Housing Commission;
the California Science Center; the California Victim Compensation and
Government Claims Board; the California African American Museum; the
California Building and Standards Commission; the Alfred E. Alquist
Seismic Safety Commission; and the Office of Privacy Protection.
  SEC. 31.  Section 14995 of the Government Code is amended to read:
   14995.  (a) The Electronic Funds Transfer Task Force is hereby
established in state government.
   (b) The Electronic Funds Transfer Task Force shall consist of one
representative from each of the following agencies, boards,
departments, and offices, appointed by the corresponding agency,
board, department, or office head, as follows:
   (1) State Board of Equalization.
   (2) Franchise Tax Board.
   (3) Employment Development Department.
   (4) Treasurer.
   (5) Controller.
   (6) Department of Finance.
   (7) Department of General Services.
   (8) Office of Technology Services.
   (c) The Electronic Funds Transfer Task Force shall study and
report to the Legislature, on or before April 1, 2008, a plan for the
development and implementation of a payment disbursal system
utilizing electronic funds transfer technology. The plan shall
include, but not be limited to, all of the following:
   (1) An examination of all payments disbursed by the state and the
methods currently used to transfer these funds.
   (2) A recommendation on which payments should be included in a new
electronic payment disbursal system.
   (3) An examination of the cost of developing and utilizing a
comprehensive electronic payment disbursal system, including, but not
limited to, all of the following:
   (A) Costs and savings related to float time.
   (B) Costs and savings related to transaction process time.
   (C) Costs and savings related to paperless transactions.
   (D) Costs and savings related to system development and
implementation of a new electronic payment disbursal system.
   (E) Costs and savings related to administration of a new
electronic payment disbursal system.
   (4) A recommendation on how a comprehensive electronic payment
disbursal system should be developed, including, but not limited to,
recommendations on whether the state should contract for private
administration of an electronic payment disbursal system, develop a
system within state government, or use any other means available.
   (5) An examination of the costs and benefits of using a
user-friendly, single online portal interface for the disbursal of
funds through an electronic payment disbursal system.
   (6) A recommendation on which state agencies, boards, and
departments should be required to use the electronic payment
disbursal system for payment of funds, and what, if any, exceptions
should be provided for these agencies, boards, and departments.
   (7) An examination of and recommendation on incorporating the
disbursal of funds for localities into the electronic payment system.

   (8) An examination of and recommendation on the system's
flexibility for future expansion of services.
   (9) An examination of and recommendation on incorporating
electronic payment cards, or similar products, into the electronic
payment disbursal system. This shall include, but not be limited to,
the costs and savings of using electronic payment cards for social
services and unbanked customers.
   (10) An examination of and recommendation on incorporating
electronic check conversion into the electronic disbursal system.
   (11) A recommendation on the timely development of the electronic
payment disbursal system.
  SEC. 32.  Section 15251 of the Government Code is amended to read:
   15251.  As used in this part, "office" means office of the State
Chief Information Officer.
  SEC. 33.  Section 15253 of the Government Code is amended to read:
   15253.  This part shall apply only to those communications
facilities which are owned and operated by public agencies in
connection with official business of law enforcement services, fire
services, natural resources services, agricultural services, and
highway maintenance and control of the state or of cities, counties,
and other political subdivisions in this state. This part shall not
be construed as conferring upon the office control of programs or
broadcasts intended for the general public.
  SEC. 34.  Section 15254 of the Government Code is amended to read:
   15254.  Radio and other communications facilities owned or
operated by the state and subject to the jurisdiction of the office
shall not be used for political, sectarian, or propaganda purposes.
The facilities shall not be used for the purpose of broadcasts
intended for the general public, except for fire, flood, frost,
storm, catastrophe, and other warnings and information for the
protection of the public safety as the office may prescribe.
  SEC. 35.  Section 15275 of the Government Code is amended to read:
   15275.  The office may do all of the following:
   (a) Provide adequate representation of local and state
governmental bodies and agencies before the Federal Communications
Commission in matters affecting the state and its cities, counties,
and other public agencies regarding public safety communications
issues.
   (b) Provide, upon request, adequate advice to state and local
agencies in the state concerning existing or proposed public safety
communications facilities between any and all of the following:
cities, counties, other political subdivisions of the state, state
departments, agencies, boards, and commissions, and departments,
agencies, boards, and commissions of other states and federal
agencies.
   (c) Recommend to the appropriate state and local agencies rules,
regulations, procedures, and methods of operation that it deems
necessary to effectuate the most efficient and economical use of
publicly owned and operated public safety communications facilities
within this state.
   (d) Provide, upon request, information and data concerning the
public safety communications facilities that are owned and operated
by public agencies in connection with official business of public
safety services.
   (e) Carry out the policy of this part.
  SEC. 36.  Section 15277 of the Government Code is amended to read:
   15277.  The duties of the office shall include, but not be limited
to, all of the following:
   (a) Assessing the overall long-range public safety communications
needs and requirements of the state considering emergency operations,
performance, cost, state-of-the-art technology, multiuser
availability, security, reliability, and other factors deemed to be
important to state needs and requirements.
   (b) Developing strategic and tactical policies and plans for
public safety communications with consideration for the systems and
requirements of the state and all public agencies in this state, and
preparing an annual strategic communications plan that includes the
feasibility of interfaces with federal and other state
telecommunications networks and services.
   (c) Recommending industry standards for public safety
communications systems to ensure multiuser availability and
compatibility.
   (d) Providing advice and assistance in the selection of
communications equipment to ensure that the public safety
communications needs of state agencies are met and that procurements
are compatible throughout state agencies and are consistent with the
state's strategic and tactical plans for public safety
communications.
   (e) Providing management oversight of statewide public safety
communications systems developments.
   (f) Providing for coordination of, and comment on, plans,
policies, and operational requirements from departments that utilize
public safety communications in support of their principal function,
such as the California Emergency Management Agency, National Guard,
health and safety agencies, and others with primary public safety
communications programs.
   (g) Monitoring and participating on behalf of the state in the
proceedings of federal and state regulatory agencies and in
congressional and state legislative deliberations that have an impact
on state government public safety communications activities.
   (h) Developing plans regarding teleconferencing as an alternative
to state travel during emergency situations.
  SEC. 37.  Section 53108.5 of the Government Code is amended to
read:
   53108.5.  "Office," as used in this article, means the office of
the State Chief Information Officer.
  SEC. 38.  Section 53113 of the Government Code is amended to read:
   53113.  The Legislature finds that, because of overlapping
jurisdiction of public agencies, public safety agencies, and
telephone service areas, a general overview or plan should be
developed prior to the establishment of any system. In order to
ensure that proper preparation and implementation of those systems is
accomplished by all public agencies by December 31, 1985, the
office, with the advice and assistance of the Attorney General, shall
secure compliance by public agencies as provided in this article.
  SEC. 39.  Section 53114 of the Government Code is amended to read:
   53114.  The office, with the advice and assistance of the Attorney
General, shall coordinate the implementation of systems established
pursuant to the provisions of this article. The office, with the
advice and assistance of the Attorney General, shall assist local
public agencies and local public safety agencies in obtaining
financial help to establish emergency telephone service, and shall
aid agencies in the formulation of concepts, methods, and procedures
that will improve the operation of systems required by this article
and that will increase cooperation between public safety agencies.
  SEC. 40.  Section 53114.1 of the Government Code is amended to
read:
   53114.1.  To accomplish the responsibilities specified in this
article, the office is directed to consult at regular intervals with
the State Fire Marshal, the State Department of Public Health, the
Office of Traffic Safety, the California Emergency Management Agency,
the California Council on Criminal Justice, a local representative
from a city, a local representative from a county, the public
utilities in this state providing telephone service, the Associated
Public Safety Communications Officers, the Emergency Medical Services
Authority, the Department of the California Highway Patrol, and the
Department of Forestry and Fire Protection. These agencies shall
provide all necessary assistance and consultation to the office to
enable it to perform its duties specified in this article.
  SEC. 41.  Section 53114.2 of the Government Code is amended to
read:
   53114.2.  Technical and operational standards for the development
of the public agency systems shall be established and reviewed by the
office on or before December 31, 1973, after consultation with all
agencies specified in Section 53114.1. On or before December 31,
1976, and each even-numbered year thereafter, after consultation with
all agencies specified in Section 53114.1, the office shall review
and update technical and operational standards for public agency
systems.
  SEC. 42.  Section 53115 of the Government Code is amended to read:
   53115.  (a) On or before January 31, 1975, all public agencies
shall submit tentative plans for the establishment of a system
required by this article to the public utility or utilities providing
public telephone service within the respective jurisdiction of each
public agency. A copy of each such plan shall be filed with the
office.
   (b) On or before October 1, 1978, all public agencies shall submit
final plans to the office for approval. The final plan shall
identify all planning, implementation, installation, and operating
costs the local agency feels necessary to implement the system
required by this article. On or before July 1, 1981, all public
agencies shall place a firm order as approved by the office to the
utility or utilities providing telephone service to the public
agency, and shall make arrangements with such utilities for the
implementation of the planned emergency telephone system no later
than December 31, 1985. If the Legislature fails to take action as
specified in Section 41030 of the Revenue and Taxation Code prior to
January 1, 1981, then the dates specified for ordering and
implementation of a system shall be respectively postponed by the
number of years elapsing between 1981 and the year in which the
Legislature acts.
   (c) If any public agency has implemented or is a part of a system
required by this article on a deadline specified in subdivision (a)
or (b), such public agency shall submit in lieu of the tentative or
final plan a report describing the system and stating its operational
date.
   (d) Plans filed pursuant to subdivisions (a) and (b) shall conform
to minimum standards established pursuant to Section 53114.2.
   (e) The office shall monitor all emergency telephone systems to
ensure they comply with minimal operational and technical standards
as established by the division. If any system does not comply the
office shall notify in writing the public agency or agencies
operating the system of its deficiencies. The public agency shall
bring the system into compliance with the operational and technical
standards within 60 days of notice by the division. Failure to comply
within such time shall subject the public agency to action by the
Attorney General pursuant to Section 53116.
  SEC. 43.  Section 53115.1 of the Government Code is amended to
read:
                                         53115.1.  (a) There is in
state government the State 911 Advisory Board.
   (b) The advisory board shall be comprised of the following members
appointed by the Governor who shall serve at the pleasure of the
Governor.
   (1) The Chief of the California 911 Emergency Communications
Office shall serve as the nonvoting chair of the board.
   (2) One representative from the Department of the California
Highway Patrol.
   (3) Two representatives on the recommendation of the California
Police Chiefs Association.
   (4) Two representatives on the recommendation of the California
State Sheriffs' Association.
   (5) Two representatives on the recommendation of the California
Fire Chiefs Association.
   (6) Two representatives on the recommendation of the CalNENA
Executive Board.
   (7) One representative on the joint recommendation of the
executive boards of the state chapters of the Association of
Public-Safety Communications Officials-International, Inc.
   (c) Recommending authorities shall give great weight and
consideration to the knowledge, training, and expertise of the
appointee with respect to their experience within the California 911
system. Board members should have at least two years of experience as
a Public Safety Answering Point (PSAP) manager or county
coordinator, except where a specific person is designated as a
member.
   (d) Members of the advisory board shall serve at the pleasure of
the Governor, but may not serve more than two consecutive two-year
terms, except as follows:
   (1) The presiding Chief of the California 911 Emergency
Communications Office shall serve for the duration of his or her
tenure.
   (2) Four of the members shall serve an initial term of three
years.
   (e) Advisory board members shall not receive compensation for
their service on the board, but may be reimbursed for travel and per
diem for time spent in attending meetings of the board.
   (f) The advisory board shall meet quarterly in public sessions in
accordance with the Bagley-Keene Open Meeting Act (Article 9
(commencing with Section 11120) of Chapter 2 of Part 1 of Division 3
of Title 2). The office shall provide administrative support to the
State 911 Advisory Board. The State 911 Advisory Board, at its first
meeting, shall adopt bylaws and operating procedures consistent with
this article and establish committees as necessary.
   (g) Notwithstanding any other provision of law, any member of the
advisory board may designate a person to act as that member in his or
her place and stead for all purposes, as though the member were
personally present.
  SEC. 44.  Section 53115.2 of the Government Code is amended to
read:
   53115.2.  (a) The State 911 Advisory Board shall advise the office
on all of the following subjects:
   (1) Policies, practices, and procedures for the California 911
Emergency Communications Office.
   (2) Technical and operational standards for the California 911
system consistent with the National Emergency Number Association
(NENA) standards.
   (3) Training standards for county coordinators and Public Safety
Answering Point (PSAP) managers.
   (4) Budget, funding, and reimbursement decisions related to the
State Emergency Number Account.
   (5) Proposed projects and studies conducted or funded by the State
Emergency Number Account.
   (6) Expediting the rollout of Enhanced 911 Phase II technology.
   (b) Upon request of a local public agency, the board shall conduct
a hearing on any conflict between a local public agency and the
office regarding a final plan that has not been approved by the
office pursuant to Section 53114. The board shall meet within 30 days
following the request, and shall make a recommendation to resolve
the conflict to the office within 90 days following the initial
hearing by the board pursuant to the request.
  SEC. 45.  Section 53115.3 of the Government Code is amended to
read:
   53115.3.  When proposed implementation of the 911 system by a
single public agency within its jurisdiction may adversely affect the
implementation of the system by a neighboring public agency or
agencies, such neighboring public agency may request that the office
evaluate the impact of implementation by the proposing public agency
and evaluate and weigh that impact in its decision to approve or
disapprove the proposing public agency's final plan pursuant to
Section 53115. In order to effectuate this process, each city shall
file a notice of filing of its final plan with each adjacent city and
with the county in which the proposing public agency is located at
the same time such final plan is filed with the office and each
county shall file a notice of filing of its final plan with each city
within the county and each adjacent county at the time the final
plan is filed with the office. Any public agency wishing to request
review pursuant to this section shall file its request with the
office within 30 days of filing of the final plan for which review is
sought.
  SEC. 46.  Section 53116 of the Government Code is amended to read:
   53116.  The Attorney General may, on behalf of the office or on
his or her own initiative, commence judicial proceedings to enforce
compliance by any public agency or public utility providing telephone
service with the provisions of this article.
  SEC. 47.  Section 53119 of the Government Code is amended to read:
   53119.  Any telephone corporation serving rural telephone areas
which cannot currently provide enhanced "911" emergency telephone
service capable of selective routing, automatic number
identification, or automatic location identification shall present to
the office a comprehensive plan detailing a schedule by which those
facilities will be converted to be compatible with the enhanced
emergency telephone system.
  SEC. 48.  Section 53120 of the Government Code is amended to read:
   53120.  The office shall not delay implementation of the enhanced
"911" emergency telephone system in those portions of cities or
counties, or both, served by a local telephone corporation that has
equipment compatible with the enhanced "911" emergency telephone
system.
  SEC. 49.  Section 53126.5 of the Government Code is amended to
read:
   53126.5.  For purposes of this article, the following definitions
apply:
   (a) "Local public agency" means a city, county, city and county,
and joint powers authority that provides a public safety answering
point (PSAP).
   (b) "Nonemergency telephone system" means a system structured to
provide access to only public safety agencies such as police and
fire, or a system structured to provide access to public safety
agencies and to all other services provided by a local public agency
such as street maintenance and animal control.
  SEC. 50.  Section 53127 of the Government Code is amended to read:
   53127.  The office of the State Chief Information Officer may aid
local public agencies in the formulation of concepts, methods, and
procedures that will improve the operation of systems authorized by
this article and increase cooperation among public agencies.
  SEC. 51.  Section 12100.7 of the Public Contract Code is amended to
read:
   12100.7.  As used in this chapter:
   (a) "Department" means the Department of General Services.
   (b) "Director" means the Director of General Services.
   (c) "Information technology" shall have the same definition as set
forth in Section 11702 of the Government Code.
   (d) "Multiple award schedule" (MAS) is an agreement established
between the General Services Administration of the United States and
certain suppliers to do business under specific prices, terms, and
conditions for specified goods, information technology, and services.

   (e) "Multiple award" means a contract of indefinite quantity for
one or more similar goods, information technology, or services to
more than one supplier.
   (f) "Office" means the office in the department, by whatever name
it may be called, which is responsible for contracting for goods and
information technology, and is headed by the state procurement
officer.
   (g) "Procedures" means the specific methods or courses of action
to implement policies for information technology procurement.
   (h) For purposes of this chapter, "policies" may be defined as
setting general principles and standards for the acquisition of
information technology.
   (i) For purposes of this chapter, "value-effective acquisition"
may be defined to include, but not be limited to, the following:
   (1) The operational cost that the state would incur if the bid or
proposal is accepted.
   (2) Quality of the product or service, or its technical
competency.
   (3) Reliability of delivery and implementation schedules.
   (4) The maximum facilitation of data exchange and systems
integration.
   (5) Warranties, guarantees, and return policy.
   (6) Supplier financial stability.
   (7) Consistency of the proposed solution with the state's planning
documents and announced strategic program direction.
   (8) Quality and effectiveness of business solution and approach.
   (9) Industry and program experience.
   (10) Prior record of supplier performance.
   (11) Supplier expertise with engagements of similar scope and
complexity.
   (12) Extent and quality of the proposed participation and
acceptance by all user groups.
   (13) Proven development methodologies and tools.
   (14) Innovative use of current technologies and quality results.
  SEC. 52.  Section 12101 of the Public Contract Code is amended to
read:
   12101.  It is the intent of the Legislature that policies
developed by the office of the State Chief Information Officer and
procedures developed by the Department of General Services in
accordance with Section 12102 provide for the following:
   (a) The expeditious and value-effective acquisition of information
technology goods and services to satisfy state requirements.
   (b) The acquisition of information technology goods and services
within a competitive framework.
   (c) The delegation of authority by the Department of General
Services to each state agency that has demonstrated to the department'
s satisfaction the ability to conduct value-effective information
technology goods and services acquisitions.
   (d) The exclusion from state bid processes, at the state's option,
of any supplier having failed to meet prior contractual requirements
related to information technology goods and services.
   (e) The review and resolution of protests submitted by any bidders
with respect to any information technology goods and services
acquisitions.
  SEC. 53.  Section 12103 of the Public Contract Code is amended to
read:
   12103.  In addition to the mandatory requirements enumerated in
Section 12102, the acquisition policies developed and maintained by
the office of the State Chief Information Officer and procedures
developed and maintained by the Department of General Services in
accordance with this chapter may provide for the following:
   (a) Price negotiation with respect to contracts entered into in
accordance with this chapter.
   (b) System or equipment component performance, or availability
standards, including an assessment of the added cost to the state to
receive contractual guarantee of a level of performance.
   (c) Requirement of a bond or assessment of a cost penalty with
respect to a contract or consideration of a contract offered by a
supplier whose performance has been determined unsatisfactory in
accordance with established procedures maintained in the State
Administrative Manual as required by Section 12102.
  SEC. 54.  Section 12104 of the Public Contract Code is amended to
read:
   12104.  (a) (1) Commencing on or before January 1, 2007, the State
Contracting Manual shall set forth all policies, procedures, and
methods that shall be used by the department when seeking to obtain
bids for the acquisition of information technology, including any
policies contained in the State Administrative Manual.
   (2) Revisions to the manual must be publicly announced, including,
but not limited to, postings on the department's Internet homepage.
   (b) On or before January 1, 2007, the department shall designate a
single entity within the department that shall be solely responsible
for the development, implementation, and maintenance of standardized
methods for the development of information technology requests for
proposals.
   (c) Commencing on or before January 1, 2007, all information
technology requests for proposals shall be reviewed by the Office of
Legal Services prior to release to the public.
   (d) (1) On or before January 1, 2007, the department, in
consultation with a representative from the Office of Technology
Services, the Department of Finance, the Senate, and the Assembly,
along with representatives from the information technology industry,
shall issue a management memorandum setting forth uniform standards
for information technology procurement. The management memorandum
shall prioritize how the technology will advance the public policy
purpose of the state program that the information technology will
serve over the department's or client's preference for a particular
information product design. Prior to issuing the management
memorandum, the department shall hold at least two public hearings on
the standards that are proposed to be included in the management
memorandum.
   (2) The management memorandum issued pursuant to paragraph (1)
shall not apply to procurements necessary to meet the requirements of
the Department of Justice Hawkins Data Center.
  SEC. 55.  Section 12105 of the Public Contract Code is amended to
read:
   12105.  The Department of General Services and the office of the
State Chief Information Officer shall coordinate in the development
of policies and procedures that implement the intent of this chapter.
The office of the State Chief Information Officer shall have the
final authority in the determination of any general policy and the
Department of General Services shall have the final authority in the
determination of any procedures.
  SEC. 56.  Section 12120 of the Public Contract Code is amended to
read:
   12120.  The Legislature finds and declares that, with the advent
of deregulation in the telecommunications industry, substantial cost
savings can be realized by the state through the specialized
evaluation and acquisition of alternative telecommunications systems.
All contracts for the acquisition of telecommunications services and
all contracts for the acquisition of telecommunications goods,
whether by lease or purchase, shall be made by, or under the
supervision of, the Department of General Services. All acquisitions
shall be accomplished in accordance with Chapter 3 (commencing with
Section 12100), relating to the acquisition of information technology
goods and services, except to the extent any directive or provision
is uniquely applicable to information technology acquisitions. The
office shall have responsibility for the establishment of policy and
procedures for telecommunications. The office shall have
responsibility for the establishment of tactical policy and
procedures for data-processing acquisitions consistent with statewide
strategic policy. The Trustees of the California State University
and the Board of Governors of the California Community Colleges shall
assume the functions of the office with regard to acquisition of
telecommunications goods and services by the California State
University and the California Community Colleges, respectively. The
trustees and the board shall each grant to the office an opportunity
to bid whenever the university or the college system solicits bids
for telecommunications goods and services.
  SEC. 57.  Section 12121 of the Public Contract Code is amended to
read:
   12121.  As used in this chapter:
   (a) "Office" means the office of the State Chief Information
Officer.
   (b) "Tactical policy" means the policies of an organization
necessary to direct operational staff in carrying out their
day-to-day activities.
   (c) "Strategic policy" means policy which defines the goals and
objectives for an organization.
  SEC. 58.  Section 41030 of the Revenue and Taxation Code is amended
to read:
   41030.  The office of the State Chief Information Officer shall
determine annually, on or before October 1, a surcharge rate that it
estimates will produce sufficient revenue to fund the current fiscal
year's 911 costs. The surcharge rate shall be determined by dividing
the costs (including incremental costs) the office of the State Chief
Information Officer estimates for the current fiscal year of 911
plans approved pursuant to Section 53115 of the Government Code, less
the available balance in the State Emergency Telephone Number
Account in the General Fund, by its estimate of the charges for
intrastate telephone communications services and VoIP service to
which the surcharge will apply for the period of January 1 to
December 31, inclusive, of the next succeeding calendar year, but in
no event shall such surcharge rate in any year be greater than
three-quarters of 1 percent nor less than one-half of 1 percent.
  SEC. 59.  Section 41031 of the Revenue and Taxation Code is amended
to read:
   41031.  The office of the State Chief Information Officer shall
make its determination of the surcharge rate each year no later than
October 1 and shall notify the board of the new rate, which shall be
fixed by the board to be effective with respect to charges made for
intrastate telephone communication services and VoIP service on or
after January 1 of the next succeeding calendar year.
  SEC. 60.  Section 41032 of the Revenue and Taxation Code is amended
to read:
   41032.  Immediately upon notification by the office of the State
Chief Information Officer and fixing the surcharge rate, the board
shall each year no later than November 15 publish in its minutes the
new rate, and it shall notify by mail every service supplier
registered with it of the new rate.
  SEC. 61.  Section 41136.1 of the Revenue and Taxation Code is
amended to read:
   41136.1.  For each fiscal year, moneys in the State Emergency
Telephone Number Account not appropriated for a purpose specified in
Section 41136 shall be held in trust for future appropriation for
upcoming, planned "911" emergency telephone number projects that have
been approved by the office of the State Chief Information Officer,
even if the projects have not yet commenced.
  SEC. 62.  Section 41137 of the Revenue and Taxation Code is amended
to read:
   41137.  The office of the State Chief Information Officer shall
pay, from funds appropriated from the State Emergency Telephone
Number Account by the Legislature, as provided in Section 41138,
bills submitted by service suppliers or communications equipment
companies for the installation and ongoing costs of the following
communication services provided local agencies by service suppliers
in connection with the "911" emergency telephone number system:
   (a) A basic system.
   (b) A basic system with telephone central office identification.
   (c) A system employing automatic call routing.
   (d) Approved incremental costs that have been concurred in by the
office of the State Chief Information Officer.
  SEC. 63.  Section 41137.1 of the Revenue and Taxation Code is
amended to read:
   41137.1.  The office of the State Chief Information Officer shall
pay, from funds appropriated from the State Emergency Telephone
Number Account by the Legislature, as provided in Section 41138,
claims submitted by local agencies for approved incremental costs and
for the cost of preparation of final plans submitted to the office
of the State Chief Information Officer for approval on or before
October 1, 1978, as provided in Section 53115 of the Government Code.

  SEC. 64.  Section 41138 of the Revenue and Taxation Code is amended
to read:
   41138.  (a) It is the intent of the Legislature that the
reimbursement rates for "911" emergency telephone number equipment
shall not exceed specified amounts negotiated with each interested
supplier and approved by the office of the State Chief Information
Officer. The office of the State Chief Information Officer shall
negotiate supplier pricing to ensure cost effectiveness and the best
value for the "911" emergency telephone number system. The office of
the State Chief Information Officer shall pay those bills as provided
in Section 41137 only under the following conditions:
   (1) The office of the State Chief Information Officer shall have
received the local agency's "911" emergency telephone number system
plan by July 1 of the prior fiscal year and approved the plan by
October 1 of the prior fiscal year.
   (2) The Legislature has appropriated in the Budget Bill an amount
sufficient to pay those bills.
   (3) The office of the State Chief Information Officer has reviewed
and approved each line item of a request for funding to ensure the
necessity of the proposed equipment or services and the eligibility
for reimbursement.
   (4) The amounts to be paid do not exceed the pricing submitted by
the supplier and approved by the office of the State Chief
Information Officer. Extraordinary circumstances may warrant spending
in excess of the established rate, but shall be preapproved by the
office of the State Chief Information Officer. In determining the
reimbursement rate, the office of the State Chief Information Officer
shall utilize the approved pricing submitted by the supplier
providing the equipment or service.
   (b) Nothing in this section shall be construed to limit an agency'
s ability to select a supplier or procure telecommunications
equipment as long as the supplier's pricing is preapproved by the
office of the State Chief Information Officer. Agencies shall be
encouraged to procure equipment on a competitive basis. Any amount in
excess of the pricing approved by the office of the State Chief
Information Officer shall not be reimbursed.
  SEC. 65.  Section 41139 of the Revenue and Taxation Code is amended
to read:
   41139.  From funds appropriated by the Legislature from the
Emergency Telephone Number Account, the office of the State Chief
Information Officer shall begin paying bills as provided in Sections
41137, 41137.1, and 41138 in the 1977-78 fiscal year for plans
submitted by local agencies by July 1, 1976, to the office of the
State Chief Information Officer which the office of the State Chief
Information Officer has approved.
  SEC. 66.  Section 41140 of the Revenue and Taxation Code is amended
to read:
   41140.  The office of the State Chief Information Officer shall
reimburse local agencies, from funds appropriated from the Emergency
Telephone Number Account by the Legislature, for amounts not
previously compensated for by another governmental agency, which have
been paid by agencies for approved incremental costs or to service
suppliers or communication equipment companies for the following
communications services supplied in connection with the "911"
emergency phone number, provided local agency plans had been approved
by the office of the State Chief Information Officer:
   (a) A basic system.
   (b) A basic system with telephone central office identification.
   (c) A system employing automatic call routing.
   (d) Approved incremental costs.
  SEC. 67.  Section 41141 of the Revenue and Taxation Code is amended
to read:
   41141.  Claims for reimbursement shall be submitted by local
agencies to the office of the State Chief Information Officer, which
shall determine payment eligibility and shall reduce the claim for
charges that exceed the approved incremental costs, approved contract
amounts, or the established tariff rates for costs. No claim shall
be paid until funds are appropriated by the Legislature.
  SEC. 68.  Section 41142 of the Revenue and Taxation Code is amended
to read:
   41142.  Notwithstanding any other provision of this article, if
the Legislature fails to appropriate an amount sufficient to pay
bills submitted to the office of the State Chief Information Officer
by service suppliers or communications equipment companies for the
installation and ongoing communications services supplied local
agencies in connection with the "911" emergency telephone number
system, and to pay claims of local agencies which, prior to the
effective date of this part, paid amounts to service suppliers or
communications equipment companies for the installation and ongoing
expenses in connection with the "911" emergency telephone number
system, the obligation of service suppliers and local agencies to
provide "911" emergency telephone service shall terminate and service
shall not again be required until the Legislature has appropriated
an amount sufficient to pay those bills or claims. Nothing in this
part shall preclude local agencies from purchasing or acquiring any
communication equipment from companies other than the telephone
service suppliers.
  SEC. 69.  Section 16501.7 of the Welfare and Institutions Code is
amended to read:
   16501.7.  (a) On or before December 1, 2005, the State Department
of Social Services shall develop, and provide to the Chairperson of
the Joint Legislative Budget Committee, a Child Welfare Services/Case
Management System  system  performance commitments plan.
The plan shall be developed in conjunction with the Office of System
Integration, the Office of Technology Services, and the County
Welfare Directors Association.
   (b) (1) The plan developed as required by subdivision (a) shall
include, but not be limited to, performance standards for system
availability, application transaction time, batch processing windows,
data downloads, a process for the identification, tracking, and
response of repair service requests, data backup and recovery, help
desk responsiveness, and a process for security incidents.
   (2) The plan may include print time.
   (3) The plan shall describe all of the following:
   (A) The mechanism for tracking system performance.
   (B) Corrective action protocols.
   (C) The steps that will be taken should performance fall below
standards for a specified period of time.
   (c) It is the intent of the Legislature that the plan developed
pursuant to this section shall do all of the following:
   (1) Appropriately assign responsibility for ensuring service
levels to the entity accountable.
   (2) Prioritize implementation of components of the plan.
   (3) Address implementation feasibility of the plan's components,
including any issues regarding plan implementation that need to be
addressed.