79R2315 MXM-D

By:  Isett                                                        H.B. No. 1516


A BILL TO BE ENTITLED
AN ACT
relating to the Department of Information Resources' management of state electronic and telecommunications services. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
ARTICLE 1. STATE ELECTRONIC AND TELECOMMUNICATIONS PROJECTS
SECTION 1.01. Subchapter C, Chapter 2054, Government Code, is amended by adding Section 2054.0565 to read as follows: Sec. 2054.0565. USE OF CONTRACTS BY OTHER GOVERNMENTAL ENTITIES. The department may allow a procurement contract entered into by the department, including a contract entered into under Section 2157.068, to be used by another state agency, a political subdivision of this state, or a governmental entity of another state. SECTION 1.02. Section 2054.071, Government Code, is amended to read as follows: Sec. 2054.071. IDENTITY OF MANAGER; CONSOLIDATION. (a) The individual required to sign a state agency's strategic plan under Subchapter E, or that individual's designated representative, shall serve as the agency's information resources manager. (b) A representative designated under Subsection (a) may be designated to serve as a joint information resources manager by two or more state agencies. The department must approve the joint designation. SECTION 1.03. Section 2054.074, Government Code, is amended to read as follows: Sec. 2054.074. RESPONSIBILITY TO PREPARE OPERATING PLANS. (a) The information resources manager shall prepare the biennial operating plans under Subchapter E. (b) A joint information resources manager may, to the extent appropriate, consolidate the operating plans of each agency for which the manager serves under Section 2054.071. SECTION 1.04. Section 2054.096, Government Code, is amended by adding Subsection (c) to read as follows: (c) Each state agency shall use state commodity hardware configurations as a part of the agency's planning under this section. The department shall specify the state commodity hardware configurations in its instructions for the preparations of agency strategic plans. SECTION 1.05. Subchapter E, Chapter 2054, Government Code, is amended by adding Section 2054.1015 to read as follows: Sec. 2054.1015. PLANNED PROCUREMENT SCHEDULES FOR COMMODITY HARDWARE. (a) A state agency must provide a planned procurement schedule for commodity hardware to the department before the agency's operating plan may be approved under Section 2054.102. (b) The department shall use information contained in the schedules to plan future vendor solicitations of commodity hardware. (c) A state agency shall notify the department and the Legislative Budget Board if the agency makes a substantive change to a planned procurement schedule for commodity hardware. SECTION 1.06. Chapter 2054, Government Code, is amended by adding Subchapter J to read as follows:
SUBCHAPTER J. TEXAS PROJECT DELIVERY FRAMEWORK
Sec. 2054.301. APPLICABILITY. This subchapter applies only to a major information resources project. Sec. 2054.302. GUIDELINES; FORMS. (a) A state agency shall prepare each document required by this subchapter in a manner consistent with department guidelines. (b) The department shall develop and provide guidelines and forms for the documents required by this subchapter. (c) The department shall work with state agencies in developing the guidelines and forms. Sec. 2054.303. BUSINESS CASE AND STATEWIDE IMPACT ANALYSIS. (a) For each proposed major information resources project, a state agency must prepare: (1) a business case providing the initial justification for the project, including the anticipated return on investment in terms of cost savings and efficiency for the project; and (2) a statewide impact analysis of the project's effect on the state's common information resources infrastructure, including the possibility of reusing code or other resources. (b) The agency shall file the documents with the department and the Legislative Budget Board at the same time the agency files its legislative appropriations request. (c) The department shall use the analysis to ensure that the proposed project does not unnecessarily duplicate existing statewide information resources technology. Sec. 2054.304. PROJECT PLANS. (a) A state agency shall develop a project plan for each major information resources project. (b) Except as provided by Subsection (c), the state agency must file the project plan with the quality assurance team before the agency: (1) spends more than 10 percent of allocated funds for the project; or (2) first issues a vendor solicitation for the project. (c) The Texas Building and Procurement Commission may not issue a vendor solicitation for a project unless the project plan has been filed under this section. (d) If a project will involve vendor solicitations, the project plan must include a procurement plan with anticipated service levels and performance standards for each vendor. Sec. 2054.305. INDEPENDENT VALIDATION AND VERIFICATION. (a) A state agency shall budget for and incorporate an independent validation and verification plan with the project plan required under Section 2054.304. (b) The department shall establish standards for: (1) validation services provided by vendors; and (2) validation services provided by state agencies, including standards regarding department approval of agency-provided validation services. (c) If a state agency decides to perform validation services for its own project, the agency's validation services providers must operate independently from the agency's project delivery teams. (d) In addition to the plan required under Subsection (a), a state agency shall periodically submit an independent validation and verification report to the agency's executive director and to the department. The department shall determine the frequency and content of the report in its guidelines. Sec. 2054.306. POST-IMPLEMENTATION REVIEW. After implementation of a major information resources project, a state agency shall prepare a post-implementation review. The agency shall provide the review to the agency's executive director and to the department. Sec. 2054.307. APPROVAL BY STATE AGENCIES. A state agency's executive director, its designated project manager, and the agency employee in charge of information security for the agency must approve and sign each document required by this subchapter. SECTION 1.07. Chapter 2054, Government Code, is amended by adding Subchapter L to read as follows:
SUBCHAPTER L. STATEWIDE INFORMATION CENTERS
Sec. 2054.375. DEFINITION. In this subchapter, "statewide information center" means a statewide information center established or operated under this subchapter. Sec. 2054.376. APPLICABILITY. This subchapter applies to all information resources technologies, including consolidated data center services and telecommunications services provided under Chapter 2170, that are: (1) obtained by a state agency using state money; or (2) used by a state agency. Sec. 2054.377. SCOPE OF OPERATION OF CENTERS. (a) The department may operate statewide information centers to provide two or more state agencies, on a cost-sharing basis, services relating to: (1) information resources and information resources technology; and (2) the deployment and development of statewide applications. (b) The department may operate a statewide information center directly or contract with another person to operate the center. Sec. 2054.378. RULES. The department shall adopt rules and guidelines to implement this subchapter and Chapter 2170. Sec. 2054.379. FEES. The department shall set and charge a fee to each state agency that receives a service from a statewide information center in an amount sufficient to cover the direct and indirect cost of providing the service. Sec. 2054.380. STATEWIDE INFORMATION CENTERS FOR DATA OR DISASTER RECOVERY SERVICES; USE REQUIRED. (a) The department shall manage the operations of statewide information centers that provide data center services or disaster recovery services for two or more state agencies, including management of the operations of the center on the campus of Angelo State University. (b) The department by rule shall describe the data services provided by statewide information centers. (c) Each state agency shall use statewide information centers for data center services and for disaster recovery services. (d) A state agency may not spend appropriated money to contract or issue purchase orders for data center services or disaster recovery services unless the executive director approves the expense. The department may establish appropriate thresholds and procedures for securing approval under this subsection. Sec. 2054.381. TELECOMMUNICATIONS SERVICES. The department shall manage a statewide information center to provide a system of telecommunications services for all state agencies in accordance with this chapter and Chapter 2170. Sec. 2054.382. ESTABLISHMENT OF ADDITIONAL CENTERS. (a) The department may establish additional statewide information centers as provided by this section. (b) The department may not establish a center under this section unless the executive director determines in writing that consolidating operations or services of selected state agencies will promote efficiency and effectiveness and provide the best value for the state. (c) The department shall provide at least 30 days' notice to the board of the department's intent to establish a new statewide information center that will require entering into an interagency contract under Section 2054.385(b). (d) Not earlier than the 31st day after the date the board receives the notice under Subsection (c), the board shall approve or disapprove the establishment of the statewide information center. The department may not establish the center unless the board approves of the establishment. Sec. 2054.383. USE OF STATEWIDE INFORMATION CENTERS REQUIRED. (a) If the department becomes aware that a state agency is not using a statewide information center for operations or services in accordance with the interagency contract entered into under Section 2054.385(b) and as directed by the department, the department shall notify the comptroller, the Legislative Budget Board, and the affected state agency of the violation. (b) After notification under Subsection (a), the state agency may not spend appropriated money for operations or services the agency was selected to receive through a statewide information center without the prior approval of the executive director. Sec. 2054.384. NOTICE OF SELECTION. (a) After establishment of a statewide information center has been approved under Section 2054.382(d), the department shall provide notice to each state agency selected to receive services through the center. The notice must include: (1) a copy of the determination of the executive director under Section 2054.382(b); (2) the state agency operations selected for consolidation at a statewide information center; (3) the scope of services to be provided to the agency; and (4) the implementation schedule for that agency. (b) Each state agency shall identify its particular requirements and requested service levels for the department. The department shall fulfill the requirements and service levels of each state agency to the extent possible and to the extent that money is available for those purposes. Sec. 2054.385. INTERAGENCY CONTRACT; PRIOR APPROVAL OF EXPENDITURES. (a) A state agency that is selected under Section 2054.384 to receive services or to have operations performed through a statewide information center may not, except as provided by Subsection (b), spend appropriated money for the identified operations and services without the prior approval of the Legislative Budget Board. (b) Unless the Legislative Budget Board grants prior approval for the selected state agency to spend appropriated money for the identified operations or services in another specified manner, the selected agency shall enter into an interagency contract with the department to receive the identified services and have the identified operations performed through the statewide information center. Amounts charged to the selected agency under the interagency contract shall be based on the fees set by the department under Section 2054.379 but may not exceed the amounts expected to be necessary to cover the direct and indirect costs of performing operations and providing services under the contract. (c) Not later than the 15th business day after the date the selected state agency is notified of its selection under Section 2054.384, the agency may request the Legislative Budget Board to grant its prior approval for the agency to spend appropriated money for the identified operations or services in a manner other than through an interagency contract with the department under Subsection (b). (d) The request to the Legislative Budget Board must: (1) be in writing; (2) include a copy of the selection determination made by the executive director; and (3) demonstrate that the decision of the executive director to select the agency will probably: (A) fail to achieve meaningful cost savings for the state; or (B) result in an unacceptable loss of effectiveness or operational efficiency. (e) If the Legislative Budget Board determines that an interagency contract between the department and the selected state agency under Subsection (b) will fail to achieve meaningful cost savings for the state or result in an unacceptable loss of effectiveness or operational efficiency at the selected agency, the Legislative Budget Board may grant its prior approval for the selected agency to spend appropriated money for the identified operations or services in another specified manner, in which event the selected agency is not required to enter into an interagency contract under Subsection (b). (f) The Legislative Budget Board shall notify the state agency, the executive director, and the comptroller of its decision. Sec. 2054.386. TRANSFER OF OWNERSHIP. (a) The department may require a state agency that enters into an interagency contract under Section 2054.385(b) to transfer to the department ownership, custody, or control of resources that the department determines are necessary to provide the operations or services, through the statewide information center, for which the agency was selected. These resources may include: (1) information resources; (2) information resources technologies; (3) full-time equivalent positions; and (4) any other resources determined necessary by the department. (b) The department shall advise the governor, the lieutenant governor, and the speaker of the house of representatives regarding the expected savings to be received for each state agency from which ownership, custody, or control is transferred under this section. Sec. 2054.387. TRANSITION SCHEDULES. The department shall establish transition schedules for the transfer of state agency operations and services to statewide information centers under this subchapter. SECTION 1.08. Section 2157.068, Government Code, is amended to read as follows: Sec. 2157.068. PURCHASE OF COMMODITY [SOFTWARE] ITEMS. (a) In this section, "commodity[: [(1) "Commodity software] items" means commercial software, hardware, or technology services [for personal computers] that are [is] generally available to businesses or the public and for which the department determines that a reasonable demand exists in state agencies. [(2) "Department" means the Department of Information Resources.] (b) The department shall negotiate with catalog information systems vendors to attempt to obtain a favorable price for all of state government on licenses for commodity [software] items, based on the aggregate volume of purchases expected to be made by the state. The terms and conditions of a license agreement between a vendor and the department under this section may not be less favorable to the state than the terms of similar license agreements between the vendor and retail distributors. (c) The department may charge a reasonable administrative fee to a state agency, [or] political subdivision of this state, or governmental entity of another state that purchases commodity [software] items through the department in an amount that is sufficient to recover costs associated with the administration of this section. (d) The department shall compile and maintain a list of commodity [software] items available for purchase through the department that have a lower price than the prices for commodity [software] items otherwise available to state agencies under this chapter. The department shall make the list available on the world wide web or on a suitable successor to the world wide web if the technological developments involving the Internet make it advisable to do so. (e) The department may adopt rules regulating a purchase by a state agency of a commodity [software] item under this section, including a requirement that, notwithstanding other provisions of this chapter, the agency must make the purchase in accordance with a contract developed by the department unless the agency obtains a waiver from the department. (f) The department shall, in cooperation with state agencies, establish guidelines for the classification of commodity items under this section. The department may determine when a statewide vendor solicitation for a commodity item will reduce purchase prices for a state agency. SECTION 1.09. Section 2170.051, Government Code, is amended to read as follows: Sec. 2170.051. MANAGEMENT AND USE OF SYSTEM. (a) The department shall manage the operation of a system of telecommunications services for all state agencies. [Each agency shall identify its particular requirements for telecommunications services and the site at which the services are to be provided.] (b) The consolidated telecommunications system is a statewide information center service provided under this chapter and Subchapter L, Chapter 2054 [department shall fulfill the telecommunications requirements of each state agency to the extent possible and to the extent that money is appropriated or available for that purpose]. (c) A state agency shall use the consolidated telecommunications system to the fullest extent possible. [A state agency may not acquire telecommunications services unless the telecommunications planning and oversight council determines that the agency's requirement for telecommunications services cannot be met at a comparable cost by the consolidated telecommunications system.] (d) A state agency may not spend appropriated money to contract or issue purchase orders for telecommunications services unless the executive director of the department approves the expense. The department may establish appropriate thresholds and procedures for securing approval under this subsection [enter into or renew a contract with a carrier or other provider of telecommunications services without obtaining a waiver from the telecommunications planning and oversight council certifying that the requested telecommunications services cannot be provided at a comparable cost on the consolidated telecommunications system. The telecommunications planning and oversight council shall evaluate requests for waivers based on cost-effectiveness to the state government as a whole. A waiver may be granted only for a specific period and will automatically expire on the stated expiration date unless an extension is approved by the telecommunications planning and oversight council. A contract for telecommunications services obtained under waiver may not extend beyond the expiration date of the waiver. If the telecommunications planning and oversight council becomes aware of any state agency receiving telecommunications services without a waiver, the telecommunications planning and oversight council shall notify the agency and the comptroller. The state agency shall have 60 days after notification by the telecommunications planning and oversight council in which to submit a waiver request to the telecommunications planning and oversight council documenting the agency's reasons for bypassing the consolidated telecommunications system and otherwise providing all information required by the waiver application form].
ARTICLE 2. CONFORMING AMENDMENTS
SECTION 2.01. Section 2157.001, Government Code, is amended to read as follows: Sec. 2157.001. DEFINITIONS. In this chapter: (1) "Automated information system" includes: (A) the computers and computer devices on which an information system is automated, including computers and computer devices that the commission identifies in guidelines developed by the commission in consultation with the department [Department of Information Resources] and in accordance with Chapter 2054 and rules adopted under that chapter; (B) a service related to the automation of an information system, including computer software or computers; (C) a telecommunications apparatus or device that serves as a component of a voice, data, or video communications network for transmitting, switching, routing, multiplexing, modulating, amplifying, or receiving signals on the network, and services related to telecommunications that are not covered under Paragraph (D); and (D) for the department [Department of Information Resources], as telecommunications provider for the state, the term includes any service provided by a telecommunications provider, as that term is defined by Section 51.002, Utilities Code. (2) "Department" means the Department of Information Resources. SECTION 2.02. Section 2157.003, Government Code, is amended to read as follows: Sec. 2157.003. DETERMINING BEST VALUE FOR PURCHASES OF AUTOMATED INFORMATION SYSTEMS. "Best value" for purposes of this chapter means the lowest overall cost of an automated information system. In determining the lowest overall cost for a purchase or lease of an automated information system under this chapter, the commission or a state agency shall consider factors including: (1) the purchase price; (2) the compatibility to facilitate the exchange of existing data; (3) the capacity for expanding and upgrading to more advanced levels of technology; (4) quantitative reliability factors; (5) the level of training required to bring persons using the system to a stated level of proficiency; (6) the technical support requirements for the maintenance of data across a network platform and the management of the network's hardware and software; (7) the compliance with applicable department [Department of Information Resources] statewide standards validated by criteria adopted by the department by rule; and (8) applicable factors listed in Sections 2155.074 and 2155.075. SECTION 2.03. Section 2157.005(a), Government Code, is amended to read as follows: (a) The commission and the department [Department of Information Resources], in consultation with other state agencies and after public comment, shall develop a technology access clause to be included in all contracts entered into by the state or state agencies that involve the acquisition of an automated information system. SECTION 2.04. Section 2157.063(b), Government Code, is amended to read as follows: (b) In determining which goods or services are in the state's best interest, the agency shall consider: (1) the installation and hardware costs; (2) the overall life-cycle cost of the system or equipment; (3) the estimated cost of employee training and estimated increase in employee productivity; (4) the estimated software and maintenance costs; and (5) the rules that prescribe applicable statewide standards adopted by the department [Department of Information Resources]. SECTION 2.05. Sections 2157.121(b) and (c), Government Code, are amended to read as follows: (b) A state agency, other than the department [Department of Information Resources], shall send its proposal specifications and criteria to the commission for approval or request the commission to develop the proposal specifications and criteria. (c) The department [Department of Information Resources] may acquire a telecommunications device, system, or service or an automated information system by using competitive sealed proposals without regard to whether the commission makes the determination required under Subsection (a) for other state agencies. SECTION 2.06. Section 2157.181(a), Government Code, is amended to read as follows: (a) The commission, with the concurrence of the department [Department of Information Resources], may negotiate with vendors preapproved terms and conditions to be included in contracts relating to the purchase or lease of a telecommunication device, system, or service or an automated information system awarded to a vendor by a state agency. SECTION 2.07. Section 2157.182, Government Code, is amended to read as follows: Sec. 2157.182. VALIDITY OF PREAPPROVED TERMS AND CONDITIONS; RENEGOTIATION. (a) Preapproved terms and conditions to which a vendor, the commission, and the department [Department of Information Resources] agree are valid for two years after the date of the agreement and must provide that the terms and conditions are to be renegotiated before the end of the two years. (b) The commission and the department [Department of Information Resources] jointly shall establish procedures to ensure that terms and conditions are renegotiated before they expire in a contract between the vendor and a state agency. SECTION 2.08. Section 2157.184, Government Code, is amended to read as follows: Sec. 2157.184. NOTIFICATION OF STATE AGENCIES AND VENDORS. The commission and the department [Department of Information Resources] jointly shall establish procedures to notify state agencies and potential vendors of the provisions of this subchapter regarding preapproved terms and conditions.
ARTICLE 3. REPEALER; TRANSITION; EFFECTIVE DATE
SECTION 3.01. Sections 2054.201(c) and 2055.061, Government Code, are repealed. SECTION 3.02. (a) The Department of Information Resources shall conduct a statewide assessment of information technology security resources and practices of state agencies. (b) Not later than December 31, 2005, the department shall report the results of its assessment to the governor, the lieutenant governor, and the speaker of the house of representatives. (c) The assessment and report prepared under this section are confidential. Chapter 552, Government Code, does not apply to the assessment or the report. SECTION 3.03. (a) The Department of Information Resources, in coordination with the Legislative Budget Board, the Texas Building and Procurement Commission, and the comptroller, shall analyze current automated information systems of state agencies to determine how the systems may be combined to more effectively synchronize strategic planning, budgeting, and reporting of technology expenditures, assets, and projects. (b) Not later than December 31, 2005, the department shall report the results of its analysis to the governor, the lieutenant governor, and the speaker of the house of representatives. SECTION 3.04. The changes in law made by this Act apply only to a contract for which the initial notice soliciting bids or proposals is given on or after the effective date of this Act. A contract for which the initial notice soliciting bids or proposals is given before that date is governed by the law in effect when the initial notice is given, and the former law is continued in effect for that purpose. SECTION 3.05. This Act takes effect September 1, 2005.