MN Bill (HF4137) to replace Office of MN.IT with a Division of IT is introduced

A bill (similar to SF2966) is introduced

Nash introduced:

  1. F. 4137,A bill for an act relating to state government; abolishing the Office of MN.IT Services; establishing a division of information technology within the Department of Administration; requiring agencies to obtain competitive bids for information technology projects; amending Minnesota Statutes 2016, sections 16E.01, subdivision 1; 16E.015, by adding a subdivision; 16E.016; 16E.02; 16E.055; 16E.14; 16E.18, subdivision 4; Minnesota Statutes 2017 Supplement, section 16E.0466, subdivision 1; proposing coding for new law in Minnesota Statutes, chapter 3; repealing Minnesota Statutes 2016, section 16E.145.

The bill was read for the first time and referred to the Committee on Government Operations and Elections Policy.

Here is the text

A bill for an act
relating to state government; abolishing the Office of MN.IT Services; establishing
a division of information technology within the Department of Administration;
requiring agencies to obtain competitive bids for information technology projects;
amending Minnesota Statutes 2016, sections 16E.01, subdivision 1; 16E.015, by
adding a subdivision; 16E.016; 16E.02; 16E.055; 16E.14; 16E.18, subdivision 4;
Minnesota Statutes 2017 Supplement, section 16E.0466, subdivision 1; proposing
coding for new law in Minnesota Statutes, chapter 3; repealing Minnesota Statutes
2016, section 16E.145.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

[3.9736] EVALUATION OF INFORMATION TECHNOLOGY
PROJECTS.

Subdivision 1.

Definition.

For purposes of this section, “information technology project”
means a project performed by the Division of Information Technology under a service-level
agreement for a state agency.

Subd. 2.

Selection of project for review; schedule for evaluation; report.

Annually,
the legislative auditor shall submit to the Legislative Audit Commission a list of three to
five information technology projects proposed for review. In selecting projects to include
on the list, the legislative auditor may consider the cost of the project to the state, the impact
of the project on state agencies and public users, and the legislature’s interest in ensuring
that state agencies meet the needs of the public. The legislative auditor may include
completed projects and ongoing projects and shall give particular consideration to forensic
review of high-profile problematic projects from which recommendations may be developed
to prevent problems on future projects. Annually, the Legislative Audit Commission shall
select at least one information technology project for the legislative auditor’s evaluation.
The legislative auditor shall evaluate the selected information technology project according
to an evaluation plan established under subdivision 3 and submit a written report to the
Legislative Audit Commission.

Subd. 3.

Evaluation plan.

By November 1, 2018, the Legislative Audit Commission
shall establish an evaluation plan that identifies elements the legislative auditor must include
in an evaluation of an information technology project. The Legislative Audit Commission
may modify the evaluation plan as needed.

Sec. 2.

Minnesota Statutes 2016, section 16E.01, subdivision 1, is amended to read:

Subdivision 1.

Creation; chief information officer.

The Office of MN.IT Services 
Division of Information Technology
, referred to in this chapter as the “office,” “division,”
is an agency in the executive branch headed by a under the supervision of the commissioner
who also is the state chief information officer
 of administration. The appointment of the
commissioner is subject to the advice and consent of the senate under section 15.066.

Sec. 3.

Minnesota Statutes 2016, section 16E.015, is amended by adding a subdivision to
read:

Subd. 2a.

Commissioner.

“Commissioner” means the commissioner of administration.

Sec. 4.

Minnesota Statutes 2016, section 16E.016, is amended to read:

16E.016 RESPONSIBILITY FOR INFORMATION TECHNOLOGY SERVICES
AND EQUIPMENT.

(a) The chief information officer is responsible for providing or entering into managed
services contracts for the provision, improvement, and development of the following
information technology systems and services to state agencies:

(1) state data centers;

(2) mainframes including system software;

(3) servers including system software;

(4) desktops including system software;

(5) laptop computers including system software;

(6) (4) a data network including system software;

(7) database, (5) electronic mail, office systems, reporting, and other standard software 
tools
;

(8) business application software and related technical support services;

(9) (6) help desk for the components listed in clauses (1) to (8) (5);

(10) (7) maintenance, problem resolution, and break-fix for the components listed in
clauses (1) to (8) (5); and

(11) (8) regular upgrades and replacement for the components listed in clauses (1) to
(8); and (5).

(12) network-connected output devices.

(b) The chief information officer is responsible for providing or entering into managed
services contracts for the provision, improvement, and development of the following
information technology systems and services to a state agency, at the request of the agency:

(1) desktops including system software;

(2) laptop computers including system software;

(3) database, office systems, reporting, and other standard software tools;

(4) business application software and related technical support services;

(5) help desk for the components listed in clauses (1) to (4);

(6) maintenance, problem resolution, and break-fix for the components listed in clauses
(1) to (4);

(7) regular upgrades and replacement for the components listed in clauses (1) to (4); and

(8) network-connected output devices.

(b) (c) All state agency employees whose work primarily involves functions specified
in paragraph (a) are employees of the Office of MN.IT Services in the Division of Information
Technology under the Department of Administration
. This includes employees who directly
perform the functions in paragraph (a), as well as employees whose work primarily involves
managing, supervising, or providing administrative services or support services to employees
who directly perform these functions. The chief information officer may assign employees
of the office division to perform work exclusively for another state agency.

(c) (d) Subject to sections 16C.08 and 16C.09, the chief information officer may allow
a state agency to obtain services specified in paragraph (a) through a contract with an outside
vendor when the chief information officer and the agency head agree that a contract would
provide best value, as defined in section 16C.02, under the service-level agreement. The
chief information officer must require that Agency contracts with outside vendors ensure
that systems and services are compatible with standards established by the Office of MN.IT 
Services
 the Division of Information Technology.

(d) (e) The Minnesota State Retirement System, the Public Employees Retirement
Association, the Teachers Retirement Association, the State Board of Investment, the
Campaign Finance and Public Disclosure Board, the State Lottery, and the Statewide Radio
Board are not state agencies for purposes of this section.

Sec. 5.

Minnesota Statutes 2016, section 16E.02, is amended to read:

16E.02 OFFICE OF MN.IT SERVICES DIVISION OF INFORMATION
TECHNOLOGY
; STRUCTURE AND PERSONNEL.

Subdivision 1.

Office management and structure.

(a) The chief information officer is
appointed by the governor commissioner, subject to the advice and consent of the senate
under section 15.066
. The chief information officer serves in the unclassified service at the
pleasure of the governor commissioner. The chief information officer must have experience
leading enterprise-level information technology organizations. The chief information officer
is the state’s chief information officer and information and telecommunications technology
advisor to the governor.

(b) The chief information officer may appoint other employees of the office division.
The staff of the office division must include individuals knowledgeable in information and
telecommunications technology systems and services and individuals with specialized
training in information security and accessibility.

(c) The chief information officer may appoint a Webmaster responsible for the supervision
and development of state Web sites under the control of the office division. The Webmaster,
if appointed, shall ensure that these Web sites are maintained in an easily accessible format
that is consistent throughout state government and are consistent with the accessibility
standards developed under section 16E.03, subdivision 9. The Webmaster, if appointed,
shall provide assistance and guidance consistent with the requirements of this paragraph to
other state agencies for the maintenance of other Web sites not under the direct control of
the office division.

Subd. 1a.

Accountability.

The chief information officer reports to the governor 
commissioner
. The chief information officer must consult regularly with the commissioners
of administration, management and budget, human services, revenue, and other
commissioners as designated by the governor, on technology projects, standards, and services
as well as management of resources and staff utilization.

Sec. 6.

Minnesota Statutes 2017 Supplement, section 16E.0466, subdivision 1, is amended
to read:

Subdivision 1.

Consultation required.

(a) Every state agency with an information or
telecommunications project must consult with the Office of MN.IT Services Division of
Information Technology
 to determine the information technology cost of the project if the
division is selected by an agency to perform the project
. Upon agreement between the
commissioner of a particular agency and the chief information officer, the agency must
transfer the information technology cost portion of the project to the Office of MN.IT 
Services
 commissioner of administration. Service level agreements must document all
project-related transfers under this section. Those agencies specified in section 16E.016,
paragraph (d) (e), are exempt from the requirements of this section.

(b) Notwithstanding section 16A.28, subdivision 3, any unexpended operating balance
appropriated to a state agency may be transferred to the information and telecommunications
technology systems and services account for the information technology cost of a specific
project, subject to the review of the Legislative Advisory Commission, under section 16E.21,
subdivision 3
.

Sec. 7.

Minnesota Statutes 2016, section 16E.055, is amended to read:

16E.055 ELECTRONIC GOVERNMENT SERVICES.

A state agency that implements electronic government services for fees, licenses, sales,
or other purposes must may use the single entry site created by the chief information officer
for all agencies to use for electronic government services.

Sec. 8.

Minnesota Statutes 2016, section 16E.14, is amended to read:

16E.14 MN.IT SERVICES INFORMATION TECHNOLOGY REVOLVING
FUND.

Subdivision 1.

Creation.

The MN.IT services information technology revolving fund
is created in the state treasury.

Subd. 2.

Appropriation and uses of fund.

Money in the MN.IT services information
technology 
revolving fund is appropriated annually to the chief information officer 
commissioner
 to operate information and telecommunications services, including
management, consultation, and design services.

Subd. 3.

Reimbursements.

Except as specifically provided otherwise by law, each
agency shall reimburse the MN.IT services information technology revolving fund for the
cost of all services, supplies, materials, labor, and depreciation of equipment, including
reasonable overhead costs, which the chief information officer commissioner is authorized
and directed to furnish an agency. The chief information officer commissioner shall report
the rates to be charged for the revolving fund no later than July 1 each year to the chair of
the committee or division in the senate and house of representatives with primary jurisdiction
over the budget of the Office of MN.IT Services Division of Information Technology.

Subd. 4.

Cash flow.

The commissioner of management and budget shall make appropriate
transfers to the revolving fund when requested by the chief information officer. The chief
information officer may make allotments and encumbrances in anticipation of such transfers.
In addition, the chief information officer commissioner, with the approval of the
commissioner of management and budget, may require an agency to make advance payments
to the revolving fund sufficient to cover the office’s division’s estimated obligation for a
period of at least 60 days. All reimbursements and other money received by the chief 
information officer
 commissioner under this section must be deposited in the MN.IT services
information technology revolving fund.

Subd. 5.

Liquidation.

If the MN.IT services information technology revolving fund is
abolished or liquidated, the total net profit from the operation of the fund must be distributed
to the various funds from which purchases were made. The amount to be distributed to each
fund must bear to the net profit the same ratio as the total purchases from each fund bears
to the total purchases from all the funds during the same period of time.

Sec. 9.

Minnesota Statutes 2016, section 16E.18, subdivision 4, is amended to read:

Subd. 4.

Program participation.

The chief information officer may require request the
participation of state agencies and , the commissioner of education, and may request the 
participation of
 the Board of Regents of the University of Minnesota, and the Board of
Trustees of the Minnesota State Colleges and Universities, in the planning and
implementation of the network to provide interconnective technologies. The Board of
Trustees of the Minnesota State Colleges and Universities may opt out of participation as
a subscriber on the network, in whole or in part, if the board is able to secure
telecommunications services from another source that ensures it will achieve the policy
objectives set forth in subdivision 1.

Sec. 10. OFFICE OF MN.IT SERVICES; TRANSFER.

Minnesota Statutes, sections 15.039 and 43A.045, apply to the transfer from the Office
of MN.IT Services to the commissioner of administration.

Sec. 11. REVISOR’S INSTRUCTION.

(a) The revisor of statutes shall change “Office of MN.IT Services” to “Division of
Information Technology” and change “commissioner of MN.IT Services” to “commissioner
of administration” wherever these terms occur in Minnesota Statutes. The revisor of statutes
shall change “the office” to “the division” throughout Minnesota Statutes, chapter 16E.

(b) The revisor of statutes shall recodify Minnesota Statutes, chapter 16E, in Minnesota
Statutes, chapter 16B.

Sec. 12. REPEALER.

Minnesota Statutes 2016, section 16E.145, is repealed.

Sec. 13. EFFECTIVE DATE.

Sections 1 to 12 are effective July 1, 2018, and apply to contracts entered into on or after
that date.

This entry was posted in Government, MN, Policy by Ann Treacy. Bookmark the permalink.

About Ann Treacy

I have a Master’s Degree in Library and Information Science. I have been interested or involved in providing access to information through the Internet since 1994, when I worked for Minnesota’s first Internet service provider. I am pleased to be a part of the Blandin on Broadband Team. I also work with MN Coalition on Government Information, Minnesota Rural Partners, and the American Society for Information Science and Technology.

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