More legislative oversight could be on the way for large state technology projects, if a bill updated Wednesday is signed into law by tech-conscious Gov. Gavin Newsom.
Assembly Bill 1055, introduced by Assemblymember Marc Levine, D-Marin County, would mandate that large tech projects come with watchdogs and risk management to safeguard tax dollars and clamp down on cost overruns.
The bill, Levin’s office said in a news release, would require any state tech initiative over $100 million get its own oversight committee to watch over it, formed by the agency undertaking the project; and develop and use risk management plans during its development.
“This oversight committee would be required to comply with open meeting laws, allow for public participation in the oversight process and ensure that large technology projects are being delivered on time and on budget,” Levine’s office said in the release. Three recent initiatives have proven particularly costly, the release noted:
• The Department of Consumer Affairs’ new professional licensing system, known as BreEZe, has “struggled” during the past six years to manage licensing for thousands of employees in occupations ranging from nursing to vehicle repair. Levine’s office put the cost to date at nearly $100 million, noting the Board of Registered Nursing is seeking another $17 million for the system in the proposed 2019-2020 budget.
• The California Department of Tax and Fee Administration’s new Centralized Revenue Opportunity System, aimed at urging businesses to file their taxes electronically, has cost $290 million since 2010, the office said – to mixed results.
• The state’s Fi$Cal accounting software system, launched in 2005, has cost $900 million, the news release said; and in March, state Controller Betty Yee said she was “gravely concerned,” warning lawmakers that ongoing problems with the system could affect the state’s credit worthiness.
The state needs “much more than a fresh coat of paint” on the management of these projects, Levine said in a statement.
“There is no reason that large scale technology projects continue to be delayed, fail to meet the needs of consumers or businesses and cost taxpayers millions of dollars over their initial budget. AB 1055 will deploy best practices to ensure that large scale technology projects are delivered on time and on budget,” he added.
AB 1055 is expected to be in print Thursday; and referred to either the Assembly's Committee on Accountability and Administrative Review; or its Privacy and Consumer Protection Committee, a representative of Levine's office told Techwire.
