BILL ANALYSIS Ó
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THIRD READING
Bill No: AB 2523
Author: Cooley (D)
Amended: 8/4/14 in Senate
Vote: 27 - Urgency
SENATE GOVERNMENTAL ORGANIZATION COMMITTEE : 7-1, 7/1/14
AYES: Correa, Cannella, De León, Galgiani, Hernandez, Lieu,
Padilla
NOES: Vidak
NO VOTE RECORDED: Berryhill, Torres, Vacancy
SENATE APPROPRIATIONS COMMITTEE : 7-0, 8/4/14
AYES: De León, Walters, Gaines, Hill, Lara, Padilla, Steinberg
ASSEMBLY FLOOR : 78-0, 5/28/14 - See last page for vote
SUBJECT : Department of Technology
SOURCE : Author
DIGEST : This bill requires the Director of the Department of
Technology (DOT) to review a specified manual and draft a report
to the Legislature by July 1, 2016.
ANALYSIS : Existing law establishes DOT within the Government
Operations Agency. The Director of DOT is also known as the
State Chief Information Officer (CIO). DOT is responsible for
the approval and oversight of information technology (IT)
projects by, among other things, consulting with agencies during
initial project planning to ensure that project proposals are
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based on well-defined programmatic needs and consider feasible
alternatives to address the identified needs and benefits
consistent with statewide strategies, policies, and procedures.
This bill:
1. Requires DOT, by July 1, 2016, to report to the Legislature
recommending how a team of senior consulting IT experts could
be developed to serve as support for state agencies and
senior project team members in state government to support
their exercise of leadership, monitoring, control, and
direction over IT projects to minimize risks of those
projects being completed improperly and over budget.
2. Directs DOT, in preparing the report, to review the
California Project Management Methodology Reference Manual.
3. Specifies that the report shall be based on the review of
that manual, and shall also consider how a team of senior
consulting advisers can assist senior executives charged with
oversight of major IT projects in terms of the challenges
arising from all of the following:
Governance.
Development and management of contracts.
Testing.
Organizational change management.
Data conversion and migration.
Schedule development and management.
Evaluation and possible pitfalls of seeking value for
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taxpayers by reengineering state systems and procedures.
Risk and issue identification and management.
Interface identification and management.
Quality assurance and quality control.
Requirements definition and management.
Architecture.
Roll-out planning and approach.
4. Requires the report to be submitted to specified legislative
committees.
5. Requires the Director of DOT to establish a unit within DOT
of consulting IT experts to serve as support for state
agencies.
6. Makes legislative findings and declarations regarding the
management of large technology projects.
Background
California Project Methodology Manual . As noted in this bill's
legislative findings and declarations, the CIO issued the manual
in July 2013. "The manual breaks large IT projects into the
phases of initial concept, initiating, planning, executing, and
closing. The manual emphasizes that the critical role
throughout these phases is with the attendant management duties
of monitoring and controlling to ensure the project is advancing
in accordance with budget and outcome expectations. The manual
highlights the critical role of the project management team,
which includes the distinct roles of the executive sponsor,
project steering committees, project Director, and project
manager."
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The report required by this bill must be based on the review of
the manual. The author's office thereby believes that the
manual highlights critical leadership functions that successful
IT project management requires.
Comments
According to the author's office, large state technology
projects often take years, and may span multiple gubernatorial
administrations. There is often costly and disruptive turnover
in staff due to change in senior managers, retirements, and
career changes that occur during development and implementation
of the projects. The author's office believes that the long
time horizon of major projects and staffing turnover destroys
continuity at the project management level and this hinders
active project leadership.
The author's office believes that this bill provides needed
guidance and strengthens state government by developing a strong
class of IT professionals whose career track will allow them to
grow a depth of familiarity with the unique challenges across a
broad array of large and complex IT projects - providing a
source of highly seasoned and experienced IT advisors to support
strengthened management of complex projects.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee:
Minor and absorbable costs to the DOT to review the California
Project Management Methodology Reference Manual and report to
the Legislature. (Technology Services Revolving Fund)
DOT indicates that there will be no new costs to DOT to
establish a unit of consulting IT experts because the
Consulting and Planning Division within DOT already serves the
functions specified in this bill.
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SUPPORT : (Verified 8/6/14)
Little Hoover Commission
ARGUMENTS IN SUPPORT : The Little Hoover Commission writes,
"Though many of the commission's recommendations were
implemented in the Governor's 2009 IT Reorganization Plan, the
state has yet to form a consulting team of information
technology experts, such as the one proposed in Assembly Bill
2523. The Commission believes the creation of a dedicated IT
project management team would ultimately help agencies and
department leaders use state resources most efficiently by
reducing reliance on costly information technology consultants,
while at the same time creating a centralized unit to capture
and share best practices across department silos. Additionally,
the existence of such a team would ensure more consistent
leadership through the inevitable turnover that occurs while
rolling out lengthy technology projects. Assembly Bill 2523
would implement the Commission's recommendation."
ASSEMBLY FLOOR : 78-0, 5/28/14
AYES: Achadjian, Alejo, Allen, Ammiano, Bigelow, Bloom,
Bocanegra, Bonilla, Bonta, Bradford, Brown, Buchanan, Ian
Calderon, Campos, Chau, Chávez, Chesbro, Conway, Cooley,
Dababneh, Dahle, Daly, Dickinson, Donnelly, Eggman, Fong, Fox,
Beth Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon, Gorell,
Gray, Grove, Hagman, Hall, Harkey, Roger Hernández, Holden,
Jones, Jones-Sawyer, Levine, Linder, Logue, Lowenthal,
Maienschein, Mansoor, Medina, Melendez, Mullin, Muratsuchi,
Nazarian, Nestande, Olsen, Pan, Patterson, Perea, John A.
Pérez, V. Manuel Pérez, Quirk, Quirk-Silva, Rendon,
Ridley-Thomas, Rodriguez, Salas, Skinner, Stone, Ting, Wagner,
Waldron, Weber, Wieckowski, Wilk, Williams, Yamada, Atkins
NO VOTE RECORDED: Frazier, Vacancy
MW:d 8/6/14 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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