04/04/2024 03:30 PM Senate STATE AFFAIRS

            SB 201-OFFICE OF INFORMATION TECHNOLOGY                                                                           
                                                                                                                                
3:51:16 PM                                                                                                                    
CHAIR  KAWASAKI   reconvened  the   meeting  and   announced  the                                                               
consideration of  SENATE BILL  NO. 201  "An Act  establishing the                                                               
office  of   information  technology;  relating   to  information                                                               
technology projects  undertaken by state agencies;  and providing                                                               
for an effective date."                                                                                                         
                                                                                                                                
3:51:48 PM                                                                                                                    
CHAIR KAWASAKI solicited a motion.                                                                                              
                                                                                                                                
3:51:53 PM                                                                                                                    
SENATOR MERRICK move  to adopt the committee  substitute (CS) for                                                               
SB 201, work draft 33-LS1014\S, as the working document.                                                                        
                                                                                                                                
3:52:29 PM                                                                                                                    
CHAIR KAWASAKI objected for purposes of discussion.                                                                             
                                                                                                                                
3:52:37 PM                                                                                                                    
MATTHEW  HARVEY,  Staff,  Senator  James  Kaufman,  Alaska  State                                                               
Legislature,  Juneau, Alaska,  presented the  summary of  changes                                                               
for SB 201:                                                                                                                     
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
       Summary of Changes for SB 201  Bill Version B to S                                                                     
                                                                                                                                
     Page  1, Lines  10-14 and  Page 2,  Lines 1-16:  Adding                                                                    
     duties of  the office  and director that  were included                                                                    
     in  the initial  Administrative Order  284 relating  to                                                                    
     operational  duties.  These   duties  include  language                                                                    
     related to  policy and procedure  adherence, enterprise                                                                    
     architecture,  IT  security,   employment  of  a  Chief                                                                    
     Information Security  Officer (CISO), and  inventory of                                                                    
     all computer equipment.                                                                                                    
                                                                                                                                
     Page   3,  Line   11:  Adds   reference   to  the   new                                                                    
     "exemptions" section.                                                                                                      
                                                                                                                                
     Page  3,  Lines  30-31:  Adds   reference  to  the  new                                                                    
     "exemptions" section.                                                                                                      
                                                                                                                                
     Page 6, Lines 12-31 and Page  7, Lines 1-19: Adds a new                                                                    
     section allowing  OIT and state agencies  to enter into                                                                    
     exemption agreements.                                                                                                      
                                                                                                                                
     Section (a) allows for  broad exemption agreements. The                                                                    
     agreements must:                                                                                                           
        • Require the state agency to abide by either OIT's                                                                     
          project management and IT processes, those                                                                            
          processes with  a defined  list of  variations, or                                                                    
          state agency processes defined in the agreement.                                                                      
        • Include a plan for the state agency to fulfill                                                                        
          obligations with contractors.                                                                                         
        • Allow the state agency to designate a project                                                                         
          manager.                                                                                                              
        • Require the state agency to submit periodic                                                                           
          reports to the director including updates to the                                                                      
          state agency's biennial information technology                                                                        
          plan.                                                                                                                 
                                                                                                                                
     Section  (b)  allows   for  project-specific  exemption                                                                    
     agreements  detailing  the  "what,  why,  and  how"  of                                                                    
     specific requirements agreed to be waived.                                                                                 
                                                                                                                                
     Section  (c)  provides a  process  in  the case  of  an                                                                    
     unwillingness  to sign  exemption agreements  including                                                                    
     justification and an appeal process.                                                                                       
                                                                                                                                
     Section (d) requires copies of these agreements to be                                                                      
     included in biennial information technology plans and                                                                      
     delivered to the legislature.                                                                                              
                                                                                                                                
           Page 7, Line 20: Adds reference to the new                                                                           
     "exemptions" section.                                                                                                      
                                                                                                                                
     Page  8, Line  9: Redefines  "State Agency"  to exclude                                                                    
     the  Alaska  Railroad  Corporation, the  University  of                                                                    
     Alaska,  and agencies  of the  judicial or  legislative                                                                    
     branches of government.                                                                                                    
                                                                                                                                
3:55:04 PM                                                                                                                    
CHAIR KAWASAKI  inquired about the  $5 million  exemption, asking                                                               
for  clarification on  why that  specific amount  was chosen.  He                                                               
questioned  whether it  reflects  typical costs  or  if there  is                                                               
another rationale behind selecting that figure.                                                                                 
                                                                                                                                
3:55:17 PM                                                                                                                    
MR. HARVEY  referred to SB  201, version B,  page 5, line  19 and                                                               
explained  that the  $5 million  exemption distinguishes  between                                                               
major and  minor information technology  projects. He  noted that                                                               
major  IT  projects fall  under  the  purview  of the  Office  of                                                               
Information    Technology,   which    has   slightly    different                                                               
requirements,  while  minor  IT  projects  can  be  managed  more                                                               
closely and independently by the state agency undertaking them.                                                                 
                                                                                                                                
3:56:04 PM                                                                                                                    
CHAIR KAWASAKI removed his objection.                                                                                           
                                                                                                                                
3:56:35 PM                                                                                                                    
SENATOR  JAMES KAUFMAN,  District  F,  Alaska State  Legislature,                                                               
Juneau, Alaska,  expressed gratitude to everyone  who contributed                                                               
to the various changes for  SB 201 that provide flexibility while                                                               
still promoting standardization, which will benefit the state.                                                                  
                                                                                                                                
CHAIR KAWASAKI solicited the will of the committee.                                                                             
                                                                                                                                
3:57:21 PM                                                                                                                    
SENATOR  MERRICK  moved  to  report  CSSB  201,  work  order  33-                                                               
LS1014\S,  from  committee  with individual  recommendations  and                                                               
attached fiscal note(s).                                                                                                        
                                                                                                                                
3:57:43 PM                                                                                                                    
CHAIR KAWASAKI found no objection  and CSSB 201 was reported from                                                               
the Senate State Affairs Standing Committee.