STAND. COM. REP. NO. 3162

Honolulu, Hawaii

RE: H.B. No. 2225

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committees on Economic Development, Tourism, and Technology and Government Operations, to which was referred H.B. No. 2225, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO INFORMATION TECHNOLOGY,"

beg leave to report as follows:

The purpose and intent of this measure is to:

(1) Require certain information technology projects to adhere to statewide information technology governance pursuant to section 27-43(a), Hawaii Revised Statutes;

(2) Authorize the Chief Information Officer to establish a review process and review certain information technology projects to ensure that project execution and associated expenditures are sufficiently evaluated; and

(3) Provide the Chief Information Officer full discretion to require independent verification and validation of certain information technology projects.

Your Committees received testimony in support of this measure from the Office of Enterprise Technology Services, O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘i, and Transform Hawai‘i Government. Your Committees received testimony in opposition to this measure from the Department of Education.

Your Committees find that a mandatory governance process is necessary for information technology projects that are currently in place for the Executive Branch to ensure their efficiency and effectiveness. Your Committees further find that a methodical review and monitoring process is imperative to maintaining transparency in information technology projects and will also ensure that the projects achieve their expected objectives and provide a clear return on investment.

Your Committees have amended this measure by:

(1) As suggested by the Office of Enterprise Technology Services:

(A) Establishing that when an information technology project of a sponsoring department or agency requires independent verification and validation, the sponsoring department or agency shall budget and pay for the costs of the independent verification and validation costs; and

(B) Giving the responsibility of procuring, administering, and managing independent verification and validation services to the Chief Information Officer; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

As affirmed by the records of votes of the members of your Committees on Economic Development, Tourism, and Technology and Government Operations that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 2225, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 2225, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Economic Development, Tourism, and Technology and Government Operations,

________________________________ DONNA MERCADO KIM, Chair

________________________________ GLENN WAKAI, Chair