H.B. No. 1789

	AN ACT
	relating to the management and oversight of information resources
	projects.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 2054.055(b), Government Code, is amended
	to read as follows:
	(b)  The report must:
	(1)  assess the progress made toward meeting the goals
	and objectives of the state strategic plan for information
	resources management;
	(2)  describe major accomplishments of the state or a
	specific state agency in information resources management;
	(3)  describe major problems in information resources
	management confronting the state or a specific state agency;
	(4)  provide a summary of the total expenditures for
	information resources and information resources technologies by
	the state; and
	(5)  make recommendations for improving the
	effectiveness and cost-efficiency of the state's use of information
	resources[; and
	[(6)     include a list compiled by the department's
	program management office from the information gathered under
	Sections 2055.152 and 2055.153 of the electronic government
	projects:
	[(A)     that are managed by the office under Chapter
	2055; and
	[(B)     that are not yet managed by the office under
	Chapter 2055, but have been selected for management under Chapter
	2055].
	SECTION 2.  Sections 2054.113(b) and (c), Government Code,
	are amended to read as follows:
	(b)  A state agency may not duplicate an infrastructure
	component of TexasOnline, unless the department [program
	management office] approves the duplication. In this subsection,
	"infrastructure" does not include the development of applications,
	and the supporting platform, for electronic government projects.
	(c)  Before a state agency may contract with a third party
	for Internet application development that duplicates a TexasOnline
	function, the state agency must notify the department of its intent
	to bid for such services at the same time that others have the
	opportunity to bid. The department [program management office] may
	exempt a state agency from this section if it determines the agency
	has fully complied with Section 2054.111.
	SECTION 3.  Section 2054.118(b), Government Code, is amended
	to read as follows:
	(b)  The department shall develop rules or guidelines for its
	review of major information resources projects and project
	management practices for the projects [, including guidelines for
	software development and quality assurance]. The department shall
	also assist the Legislative Budget Board in evaluating the
	determinations about comparative costs and benefits that state
	agencies make under Subsection (c).
	SECTION 4.  Section 2054.1182(a), Government Code, is
	amended to read as follows:
	(a)  After a major information resources project has been
	completed, [the quality assurance team may require] a state agency
	shall [to] evaluate and report to the quality assurance team on
	whether the project met the agency's [its] objectives or other
	expectations.
	SECTION 5.  Section 2054.128(b), Government Code, is amended
	to read as follows:
	(b)  The department shall coordinate the efforts of the
	agencies in developing the information link to ensure that the
	efforts produce a link that is compatible with efforts of the task
	force conducted under Section 2054.062. [If the department has a
	program management office, the department may delegate the
	coordination of efforts under this section to that office.]
	SECTION 6.  The heading to Subchapter G, Chapter 2054,
	Government Code, is amended to read as follows:
	SUBCHAPTER G.  PROJECT MANAGEMENT PRACTICES [QUALITY ASSURANCE]
	SECTION 7.  Section 2054.151(b), Government Code, is amended
	to read as follows:
	(b)  The legislature finds that to ensure the successful
	completion of all information resources [but the smallest or lowest
	risk] projects, all projects must be managed using project
	management practices [each state agency must develop and implement
	its own internal quality assurance procedures].
	SECTION 8.  Section 2054.152, Government Code, is amended to
	read as follows:
	Sec. 2054.152.  DEFINITION.  In this subchapter, "project
	management practices" includes the documented and repeatable
	methods that a state agency uses to apply knowledge, skills, tools,
	and techniques to satisfy project activity requirements ["internal
	quality assurance procedures" includes methods that an agency
	employs to identify and mitigate risks on its projects, to ensure
	that it follows established state technology standards, and to
	provide accountability for the money spent on its projects].
	SECTION 9.  Section 2054.153, Government Code, is amended to
	read as follows:
	Sec. 2054.153.  DEPARTMENT GUIDELINES.  (a)  The department
	by rule shall establish guidelines for project management practices
	that take into account varying levels of project size and
	complexity [model guidelines for state agencies to use in
	developing their own internal quality assurance procedures].
	(b)  In developing the guidelines, the department shall:
	(1)  consult with state agencies; and
	(2)  accomodate existing project management practices
	of state agencies [The department's guidelines must address:
	[(1)  planning project development;
	[(2)  determining the projected benefits of a project;
	[(3)     developing and implementing management control
	processes;
	[(4)  projecting the budget for a project;
	[(5)  analyzing the risks of a project;
	[(6)     establishing standards by which the
	effectiveness and efficiency of a project can be evaluated; and
	[(7)     evaluating and reporting on the project after
	implementation].
	SECTION 10.  Section 2054.154, Government Code, is amended
	to read as follows:
	Sec. 2054.154.  DEPARTMENT ASSISTANCE.  The department
	shall establish a comprehensive technical assistance program to aid
	state agencies in developing and implementing their own project
	management practices [internal quality assurance procedures].
	SECTION 11.  Section 2054.156, Government Code, is amended
	to read as follows:
	Sec. 2054.156.  STATE AGENCY DUTIES.  (a)  Each state agency
	shall manage information resources projects [develop its own
	internal quality assurance procedures] based on project management
	practices that are consistent with the department's [model]
	guidelines under Section 2054.153. [Each state agency shall use
	its internal quality assurance procedures to evaluate each of its
	projects that is not exempt under Section 2054.155.]
	(b)  The agency's information resources manager shall
	[develop and] oversee the implementation of the agency's project
	management practices [internal quality assurance procedures except
	to the extent that the agency contracts with another governmental
	entity or with a private entity to develop or implement all or part
	of the procedures].
	(c)  The agency's information resources manager shall
	demonstrate in the agency strategic plan the extent to which the
	agency uses its project management practices [internal quality
	assurance procedures].
	SECTION 12.  Section 2054.157, Government Code, is amended
	to read as follows:
	Sec. 2054.157.  OVERSIGHT BY DEPARTMENT.  (a)  The
	department may make formal recommendations to a state agency
	regarding the agency's need to develop, implement, or improve its
	project management practices [internal quality assurance
	procedures].
	(b)  The department shall report on state agencies' progress
	in developing and implementing project management practices
	[internal quality assurance procedures] as part of the department's
	biennial performance report.
	SECTION 13.  Section 2054.303(b), Government Code, is
	amended to read as follows:
	(b)  The agency shall file the documents with the quality
	assurance team [department, Legislative Budget Board, and state
	auditor's office] when the agency files its legislative
	appropriations request.
	SECTION 14.  Section 2054.306, Government Code, is amended
	to read as follows:
	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[, the
	department,] and the quality assurance team [state auditor's
	office].
	SECTION 15.  The heading to Chapter 2055, Government Code,
	is amended to read as follows:
	CHAPTER 2055.  ELECTRONIC GRANT SYSTEM [GOVERNMENT PROGRAM
	MANAGEMENT]
	SECTION 16.  The following laws are repealed:
	(1)  Section 2054.003(11), Government Code;
	(2)  Section 2054.1185, Government Code;
	(3)  Section 2054.155, Government Code;
	(4)  Sections 2055.001(3) and (5), Government Code;
	(5)  Subchapter B, Chapter 2055, Government Code;
	(6)  Subchapter C, Chapter 2055, Government Code; and
	(7)  Subchapter D, Chapter 2055, Government Code.
	SECTION 17.  The changes in law made by this Act apply only
	to an information resources project implemented on or after
	September 1, 2007. An information resources project implemented
	before that date is governed by the law in effect on the date the
	project was implemented, and the former law is continued in effect
	for that purpose.
	SECTION 18.  Not later than October 1, 2007, the Department
	of Information Resources shall adopt the guidelines and establish
	the program, as required by Sections 2054.153 and 2054.154,
	Government Code, as amended by this Act.
	SECTION 19.  Each state agency shall comply with the
	guidelines adopted by the Department of Information Resources under
	Section 2054.153, Government Code, as amended by this Act, not
	later than November 1, 2007.
	SECTION 20.  This Act takes effect September 1, 2007.
	______________________________	______________________________
	President of the Senate	Speaker of the House
	I certify that H.B. No. 1789 was passed by the House on April
	13, 2007, by the following vote:  Yeas 143, Nays 0, 2 present, not
	voting.
	______________________________
	Chief Clerk of the House
	I certify that H.B. No. 1789 was passed by the Senate on May
	22, 2007, by the following vote:  Yeas 31, Nays 0.
	______________________________
	Secretary of the Senate
	APPROVED:  _____________________
	Date
	_____________________
	Governor