SF 910

2nd Engrossment - 91st Legislature (2019 - 2020) Posted on 03/27/2019 08:53am

A bill for an act
relating to state government; permitting agencies more flexibility in contracting
for information technology services; reforms to MN.IT business practices and
business software implementation; consolidation of information technology services
for the Department of Human Services; creating a legislative commission on
information technology; expanding topics for review by the legislative auditor;
appropriating money; amending Minnesota Statutes 2018, sections 3.97, subdivision
3a; 16E.016; 16E.0466, subdivision 1; 16E.055; 16E.14, subdivision 3; 16E.18,
subdivisions 4, 6; proposing coding for new law in Minnesota Statutes, chapter 3.

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

ARTICLE 1

REFORMS

Section 1.

Minnesota Statutes 2018, 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;

deleted text begin (4) desktops including system software;
deleted text end

deleted text begin (5) laptop computers including system software;
deleted text end

deleted text begin (6) deleted text end new text begin (4) new text end a data network including system software;

deleted text begin (7) database, deleted text end new text begin (5) new text end electronic mail deleted text begin , office systems, reporting, and other standard software
tools deleted text end ;

deleted text begin (8) business application software and related technical support services;
deleted text end

deleted text begin (9) deleted text end new text begin (6) new text end help desk for the components listed in clauses (1) to deleted text begin (8) deleted text end new text begin (5) new text end ;

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

deleted text begin (11) deleted text end new text begin (8) new text end regular upgrades and replacement for the components listed in clauses (1) to
deleted text begin (8); and deleted text end new text begin (5).
new text end

deleted text begin (12) network-connected output devices.
deleted text end

new text begin (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:
new text end

new text begin (1) desktops including system software;
new text end

new text begin (2) laptop computers including system software;
new text end

new text begin (3) database, office systems, reporting, and other standard software tools;
new text end

new text begin (4) business application software and related technical support services;
new text end

new text begin (5) help desk for the components listed in clauses (1) to (4);
new text end

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

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

new text begin (8) network-connected output devices.
new text end

deleted text begin (b) deleted text end new text begin (c) new text end All state agency employees whose work primarily involves functions specified
in paragraph (a) are employees of the Office of MN.IT Services. 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 to perform work exclusively for another state agency.

deleted text begin (c) deleted text end new text begin (d) new text end 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.

deleted text begin (d) deleted text end new text begin (e) new text end 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.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2018, and applies to contracts
entered into on or after that date.
new text end

Sec. 2.

Minnesota Statutes 2018, 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 to determine
the information technology cost of the project new text begin if the Office of MN.IT Services is selected
by an agency to perform the project new text end . 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. Service level
agreements must document all project-related transfers under this section. Those agencies
specified in section 16E.016, paragraph deleted text begin (d) deleted text end new text begin (e) new text end , 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. 3.

Minnesota Statutes 2018, 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 deleted text begin must deleted text end new text begin may new text end use the single entry site created by the chief information officer
for all agencies to use for electronic government services.

Sec. 4.

Minnesota Statutes 2018, section 16E.14, subdivision 3, is amended to read:

Subd. 3.

Reimbursements.

Except as specifically provided otherwise by law, each
agency shall reimburse the MN.IT services revolving fund for the cost of all services,
supplies, materials, labor, and depreciation of equipment, including reasonable overhead
costs, which the chief information officer is authorized and directed to furnish an agency.
The chief information officer shall report the rates to be charged for the revolving fund no
later than deleted text begin July 1 each deleted text end new text begin June 1 each even-numbered calendar new text end 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. new text begin These rates shall apply for the biennium beginning
July 1 of the following calendar year.
new text end

Sec. 5.

Minnesota Statutes 2018, section 16E.18, subdivision 4, is amended to read:

Subd. 4.

Program participation.

The chief information officer may deleted text begin require deleted text end new text begin request new text end the
participation of state agencies deleted text begin and deleted text end new text begin , new text end the commissioner of education, deleted text begin and may request the
participation of deleted text end the Board of Regents of the University of Minnesota new text begin , new text end and the Board of
Trustees of the Minnesota State Colleges and Universities deleted text begin , deleted text end 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. 6.

Minnesota Statutes 2018, section 16E.18, subdivision 6, is amended to read:

Subd. 6.

Rates.

(a) The chief information officer shall establish reimbursement rates in
cooperation with the commissioner of management and budget to be billed to participating
agencies and educational institutions sufficient to cover the operating, maintenance, and
administrative costs of the system.

(b) new text begin An invoice or statement to an agency from the chief information officer must include
clear descriptions of the services the Office of MN.IT Services has provided. The invoice
or statement must categorize or code services in a manner prescribed by the agency, or the
chief information officer must provide supplemental information with an invoice or statement
that categorizes or codes all services reflected on the invoice or statement in a manner
prescribed by the agency.
new text end

new text begin (c) new text end Except as otherwise provided in subdivision 4, a direct appropriation made to an
educational institution for usage costs associated with the state information infrastructure
must only be used by the educational institution for payment of usage costs of the network
as billed by the chief information officer.

Sec. 7. new text begin CONSOLIDATION OF INFORMATION TECHNOLOGY FOR HUMAN
SERVICES UNDER MN.IT.
new text end

new text begin By January 1, 2020, the Office of MN.IT Services shall be responsible for information
technology services for the Department of Human Services, consistent with Minnesota
Statutes, chapter 16E. The commissioner of human services and the chief information officer
shall begin immediately to transfer duties, employees, and information technology assets
to complete the transfer by January 1, 2020. By January 15, the commissioner of human
services and the chief information officer shall report to the chairs and ranking minority
members of the committees in the house of representatives and the senate with jurisdiction
over human services policy and finance and state government on the status of the completed
transfer.
new text end

Sec. 8. new text begin DRAFT LEGISLATION FROM MN.IT.
new text end

new text begin By January 15, 2020, the chief information officer shall submit to the chairs and ranking
minority members of the committees in the house of representatives and the senate with
jurisdiction over state government policy and finance, draft legislation developed with
assistance by the revisor of statutes, to address the recommendation of the legislative auditor
on page 82, as described on pages 79 to 82, of the 2019 evaluation report on the "Office of
Minnesota Information Technology Services (MNIT)" to clarify MN.IT's authorizing statutes.
new text end

ARTICLE 2

LEGISLATIVE COMMISSION ON INFORMATION TECHNOLOGY

Section 1.

new text begin [3.889] LEGISLATIVE COMMISSION ON INFORMATION
TECHNOLOGY.
new text end

new text begin Subdivision 1. new text end

new text begin Membership. new text end

new text begin (a) The Legislative Commission on Information Technology
consists of the following eight members:
new text end

new text begin (1) four senators, including two senators appointed by the senate majority leader and
two senators appointed by the senate minority leader; and
new text end

new text begin (2) four members of the house of representatives, including two members appointed by
the speaker of the house and two members appointed by the minority leader of the house.
new text end

new text begin (b) To the extent possible, the appointing authorities must appoint members with
knowledge of technical aspects or management of information technology.
new text end

new text begin Subd. 2. new text end

new text begin Terms; vacancies. new text end

new text begin Members of the commission serve for a two-year term
beginning upon appointment and expiring on appointment of a successor after the opening
of the next regular session of the legislature in the odd-numbered year. A vacancy in the
membership of the commission must be filled for the unexpired term in a manner that will
preserve the representation established by this section.
new text end

new text begin Subd. 3. new text end

new text begin Duties. new text end

new text begin The commission must consider the issues raised in the 2019 evaluation
report of the Office of the Legislative Auditor titled "Office of Minnesota Information
Technology Services (MNIT)." The commission must prepare draft legislation, as appropriate,
and develop plans or advice to implement the recommendations of the legislative auditor.
new text end

new text begin Subd. 4. new text end

new text begin Chair. new text end

new text begin The commission shall elect a chair by a majority vote of members
present. The officers shall alternate between a member of the senate and a member of the
house of representatives. A chair shall serve a two-year term expiring upon election of a
new chair after the opening of the next regular session of the legislature in the odd-numbered
year.
new text end

new text begin Subd. 5. new text end

new text begin Meetings. new text end

new text begin The commission must meet at least three times per calendar year.
The meetings of the commission are subject to section 3.055, except that the commission
may close a meeting when necessary to safeguard the state's information technology. The
minutes, recordings, and documents from a closed meeting under this subdivision shall be
maintained by the Legislative Coordinating Commission and shall not be made available
to the public until eight years after the date of the meeting.
new text end

new text begin Subd. 6. new text end

new text begin Administration. new text end

new text begin The Legislative Coordinating Commission shall provide
administrative services for the commission.
new text end

new text begin Subd. 7. new text end

new text begin Sunset. new text end

new text begin The commission sunsets January 30, 2028.
new text end

Sec. 2. new text begin FIRST APPOINTMENTS AND FIRST MEETING OF LEGISLATIVE
COMMISSION ON INFORMATION TECHNOLOGY.
new text end

new text begin Subdivision 1. new text end

new text begin First appointments. new text end

new text begin Appointing authorities must make initial
appointments to the Legislative Commission on Information Technology by July 1, 2019.
new text end

new text begin Subd. 2. new text end

new text begin First meeting. new text end

new text begin The majority leader of the senate shall designate one senate
member of the Legislative Commission on Information Technology under Minnesota
Statutes, section 3.888, to convene the first meeting by August 15, 2019. The commission
must select a chair from among the senate members at the first meeting.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

ARTICLE 3

LEGISLATIVE AUDITOR

Section 1.

Minnesota Statutes 2018, section 3.97, subdivision 3a, is amended to read:

Subd. 3a.

Evaluation topics.

(a) The commission shall periodically select topics for the
legislative auditor to evaluate. Topics may include any agency, program, or activity
established by law to achieve a state purpose, or any topic that affects the operation of state
government, but the commission shall give primary consideration to topics that are likely,
upon examination, to produce recommendations for cost savings, increased productivity,
or the elimination of duplication among public agencies. new text begin The commission shall also give
consideration to information technology projects and to the delivery of information
technology services from the Office of MN.IT Services to state agencies. new text end Legislators and
legislative committees may suggest topics for evaluation, but the legislative auditor shall
only conduct evaluations approved by the commission.

(b) The commission is requested to direct the auditor, in response to a suggestion from
an individual legislator of an evaluation topic, to estimate the scope of the proposed
evaluation and the time required to complete it. The estimate must be reported to the legislator
who submitted the suggestion and to the commission. The commission must determine
within 60 days of receiving the estimate whether to proceed with the suggested evaluation
and must convey its decision to the legislator along with the reasons for its decision.

Sec. 2. new text begin APPROPRIATION.
new text end

new text begin $....... is appropriated to the Legislative Coordinating Commission for the Office of the
Legislative Auditor to be used for increasing the capabilities of the legislative auditor to
evaluate information technology projects and the delivery of information technology services
from the Office of MN.IT Services to state agencies.
new text end