The 2023-24 Funds

Introduction

This put up supplies an outline of the data expertise (IT) tasks within the Governor’s proposed 2023-24 finances. We first present related background info on the California Division of Expertise (CDT) and the phases of an IT challenge. We then establish every of the finances proposals to plan, develop, and implement IT tasks. We offer our evaluation of subjects frequent to a number of IT project-related proposals and provide choices for legislative consideration. (We don’t present in-depth evaluation of any particular person finances request within the put up, however hyperlink to different IT project-related analyses in different publications organized by finances space.)

Background

Function of CDT. CDT is an entity throughout the Authorities Operations Company with broad authority over all facets of expertise in state authorities. This put up focuses on two of the division’s tasks: (1) to evaluation and approve IT tasks proposed by state entities, and (2) to supervise improvement and implementation of accepted tasks till accomplished.

Phases of an IT Mission. A state IT challenge goes by three distinct phases: (1) planning, (2) improvement and implementation (D&I), and (3) upkeep and operations (M&O). Most state IT tasks within the planning section (known as proposed tasks) are required to finish CDT’s Mission Approval Lifecycle (PAL)—the state’s IT challenge approval course of. Some proposed tasks, corresponding to low value and/or low danger tasks, are delegated again to entities to plan, develop, and implement with out direct approval and oversight by CDT. Different proposed tasks are decided to be exempt from PAL, for instance, minor upgrades to current IT techniques. As soon as accepted by PAL (known as accepted tasks), state IT tasks start D&I. As soon as D&I is accomplished, state entities start M&O of the IT system. We describe every section in additional element under:

• Planning (PAL). The PAL course of divides state IT challenge approval into 4 phases: (1) enterprise evaluation, (2) alternate options evaluation, (3) resolution evaluation, and (4) challenge readiness and approval. Every stage within the PAL course of requires entities to submit an related planning doc to CDT for its approval. Collectively, the planning paperwork from the 4 phases present an entire challenge plan together with the fee, schedule, and scope of the challenge. Determine 1 supplies a graphical depiction of the PAL course of.
• D&I. As soon as CDT approves a proposed IT challenge, state entities can begin challenge D&I. Initiatives can strategy D&I in a number of methods: (1) the standard “waterfall” strategy, (2) the “agile strategy,” or (3) some mixture of conventional and agile approaches. Utilizing the standard strategy, entities develop the whole scope of the challenge earlier than it’s applied. Utilizing the agile strategy, against this, entities develop a number of the challenge scope (typically known as modules) and implement it whereas the remainder of the scope is being developed. A mix of the standard and agile approaches may develop challenge scope as modules, however mix the modules into just a few discrete releases for implementation to cut back the frequency of consumer testing and coaching.
• M&O. As soon as IT challenge D&I is accomplished, a challenge turns into an IT system and enters M&O. M&O contains actions and prices related to a state entity’s ongoing repairs and persevering with use of a system.

Related Adjustments to IT Mission Procurement and Oversight. Two latest adjustments to state IT challenge procurement and oversight are related to this put up.

• Problem-Based mostly Procurements. In January 2019, Governor Newsom signed an government order (EO N-04-19) directing CDT and the Division of Basic Providers to develop new procurement approaches that outlined an issue for bidders to resolve and requested them to display their potential to resolve it by demonstrations, proofs of idea, and prototypes. We usually refer to those new approaches as challenge-based procurements within the put up. The purpose of challenge-based procurements is to permit extra bidders to supply options to the state’s advanced issues, moderately than requiring the state to pre-define options with detailed requirements-based solicitations.
• Enterprise Modernization Efforts. Giant state entities such because the Division of Well being Care Providers (DHCS) and the Employment Growth Division (EDD) are utilizing an enterprise challenge administration strategy (that’s, managing a variety of concurrent and sometimes associated IT efforts and tasks) to modernize their packages and/or companies. As particular person IT tasks progress by totally different phases, CDT tries to supply oversight not solely of the person IT challenge but in addition of the whole enterprise portfolio of IT efforts and tasks. Key examples of this strategy are DHCS’ Medi-Cal Enterprise Techniques (MES) Modernization and EDD’s EDDNext modernization effort.

Governor’s 2023-24 Funds

Governor’s IT Mission Proposals Whole $641 Million ($432 Million Basic Fund) and 275.2 Positions. In line with CDT and the Division of Finance (DOF), 40 finances proposals within the Governor’s 2023-24 finances are associated to IT challenge proposals (Determine 2). These proposals request a complete of $641 million ($432 million Basic Fund) and 275.2 positions. A few of these proposals comprise non-IT project-related funding and/or positions, as we’re unable to separate IT project-related and non-IT project-related prices in every proposal.

Determine 2

Governor’s 2023‑24 Funds IT Mission Proposalsa

(In Hundreds of thousands)

Entity

Funds Change Proposal Identify

2023‑24b

TF

GF

OF

Positions

EDD

EDDNext Modernization

$198.0

$99.0

$99.0

—

FTB

Enterprise Information to Income Mission 2

135.0

135.0

—

$72.0

CDCR

Statewide Correctional Video Surveillance Continuation

87.7

87.7

—

19.0

SWRCB

Water Rights Modernization Continuation

31.5

31.5

—

—

DSH

Digital Well being Information Planning

21.5

21.5

—

40.2

DIR

Digital Adjudication Administration System Modernization

21.1

—

21.1

—

CARB

Heavy‑Obligation Car Inspection and Upkeep Program Per SB 210

14.1

—

14.1

19.0

DDS

Uniform Fiscal System Modernization and the Client Digital Information Administration System Mission Planning

12.7

12.7

—

—

DIR

Cal/OSHA Information Modernization Mission

12.6

—

12.6

—

CDCR

eDiscovery Ongoing Wants

10.0

10.0

—

11.0

CHP

Wi-fi Cell Video/Audio Recording System and Physique‑Worn Digital camera Statewide Implementation

9.8

—

9.8

11.0

CDCR

BIS Migration to S/4 HANA

8.1

8.1

—

—

DHCS

Medi‑Cal Enterprise Techniques Modernization

7.8

1.4

6.4

7.0

CDFA

Rising Threats Data Administration System

6.7

4.2

2.5

3.0

DCA

Enterprise Modernization Cohort 1 and a couple of

6.0

—

6.0

—

Caltrans

Transportation System Community Substitute

5.8

—

5.8

11.0

CARB

Embodied Carbon Emissions: Development Supplies (AB 2446)

5.7

—

5.7

15.0

GovOps

Workplace of the Cradle‑to‑Profession Information System Proper‑Sizing

4.9

4.9

—

10.0

CalEPA

California Environmental Reporting System Mission

4.3

—

4.3

—

SOS

Notary Automation Program Substitute Mission (NAP 2.0)

3.6

—

3.6

2.0

CDPH

California New child Screening Program Growth

3.5

—

3.5

4.0

DPR

California Pesticide Digital Submission Monitoring (CalPEST) Mission

3.3

—

3.3

2.0

SOS

Disqualification from Voting (AB 2841)

3.1

3.1

—

11.0

CHHS

Digital Go to Verification Part II

2.9

0.7

2.2

3.0

CalVet

CalVet Digital Well being Report Mission: Extra Actions and Scope Enhance

2.5

2.5

—

—

DGS

Procurement Division E‑Market Implementation

2.4

—

2.4

2.0

CalRecycle

CalRecycle Built-in Data System

2.3

—

2.3

4.0

CARB

SB 1137 Implementation: Well being Safety Zones

2.2

—

2.2

9.0

OEHHA

Creating a Statewide Excessive Warmth Rating System (AB 2238)

2.2

2.2

—

4.0

CDFA

Stage Gate 2 Planning—CDFA Licensing and Fee Portal

1.5

1.5

—

—

SOS

Public Entity Workers and Contractors Entry to Secure at Dwelling (SB 1131)

1.5

1.5

—

6.0

CalHR

Communications Workplace and Content material Administration System Substitute

1.4

1.0

0.4

2.0

CHHS

California Emergency Medical Providers Information Useful resource System

1.1

—

1.1

6.0

CalVet

Web site Growth to Improve Digital Communications

1.0

1.0

—

—

DSS

Reinforce the Caregiver Background Examine System and the Background Examine Assets

0.9

0.9

—

—

DIR

Employees’ Compensation Data System Improve

0.8

0.8

—

—

CDFA

IT Enterprise Transition Help

0.5

0.5

—

—

Caltrans

Enterprise Information Governance Expertise Resolution Stage 4

0.4

—

0.4

—

OPR

Programmer Place to Preserve and Redesign the CEQA System

0.3

0.3

—

1.0

CalEPA

CalEPA Geographic Data Officer

0.3

—

0.3

1.0

Totals

$641.0

$432.0

$208.9

$275.2

IT Mission-Particular Work Merchandise

We don’t present in-depth evaluation of any particular person finances request on this put up, however we have now coated the California Division of Corrections and Rehabilitation (CDCR) BIS Migration to S/4 HANA challenge in a earlier publication The 2023-24 Funds: The California Division of Corrections and Rehabilitation—Migration of Enterprise Data System to Up to date Software program Platform (2/16/2023).

Evaluation

Elevated Use of Problem-Based mostly Procurements With out Analysis. Plenty of the IT challenge proposals within the Governor’s 2023-24 finances used challenge-based procurements (such because the State Water Assets Management Board’s Water Rights Modernization Continuation proposal) or are planning to make use of stated procurements. Some procurements could require upfront funding from the state for demonstrations, proofs of idea, and prototypes (such because the Division of Meals and Agriculture’s Rising Threats Data Administration System proposal). Nevertheless, we have now seen no analysis carried out by the administration of challenge-based procurements to find out whether or not, for instance, extra planning prices for these demonstrations, proofs of idea, and prototypes led to improved challenge D&I outcomes.

Giant Enterprise Modernization Efforts Make Legislative Oversight Extra Difficult. Two IT challenge proposals within the Governor’s 2023-24 finances—DHCS’s MES Modernization proposal and EDD’s EDDNext Modernization proposal—are enterprise modernization efforts that comprise a variety of IT tasks in several phases of PAL, D&I, and M&O. For each of the efforts, the Legislature accepted quarterly reporting necessities and, for MES Modernization, CDT began portfolio-level impartial challenge oversight stories to trace IT efforts and tasks which are a part of the bigger modernization effort. In each instances, we discover these oversight instruments to be inadequate to observe advanced and dear modernization efforts with important programmatic results. For instance, whereas particular person efforts and tasks are tracked throughout the portfolio, what efforts or tasks are most crucial to the success of the modernization effort and/or pose probably the most danger if they don’t seem to be profitable typically is unclear. Additionally, programmatic results should not at all times evident, as particular person efforts and tasks is perhaps targeted on modernization of technical features inside IT techniques (corresponding to claims processing or drawing down federal funds) moderately than sure packages and/or companies. Figuring out how a lot a posh, massive modernization effort will value and over what timeframe is also troublesome for the Legislature to supervise because the scope of the trouble is just not at all times identified on the outset.

Initiatives More and more Use Mixed Agile and Conventional D&I Approaches With Blended Outcomes. We discover that extra IT challenge administration workers are conversant in the agile strategy to challenge D&I. We additionally discover that extra tasks acknowledge the realities each of the annual legislative finances course of and of state entities’ continued programmatic tasks that necessitate some parts of the standard strategy to challenge D&I. Mixtures of agile and conventional approaches to challenge D&I, due to this fact, have gotten extra frequent. For instance, for the Division of Social Providers’ Little one Welfare Providers – California Automated Response and Engagement System challenge, the challenge D&I strategy modified to a mixture of agile and conventional approaches as a result of county eligibility staff wanted to restrict the quantity of consumer testing and coaching required. Discrete releases of recent functionalities, moderately than steady implementation of recent functionalities, permits staff to proceed to deal with their main workload. Nevertheless, we discover that new oversight instruments from CDT for agile or mixed agile and conventional tasks are inadequate. For instance, CDT launched an annual iterative challenge report (IPR) for accepted IT tasks utilizing an agile or mixed agile and conventional strategy to permit, for instance, reprioritization of modules and not using a Particular Mission Report (SPR). (An SPR is a report required for tasks that deviate from their baseline value, schedule, and scope by roughly 10 %.) Nevertheless, the IPR as launched could compromise legislative oversight if the challenge value, schedule, and scope change on an annual foundation with out clear measures of success.

Choices for Legislative Consideration

Direct CDT and DOF to Lead Analysis of Problem-Based mostly Procurement Adjustments. We suggest the Legislature undertake supplemental report language (SRL) that directs each CDT and DOF to judge, at a minimal, whether or not extra planning prices requested by state entities for challenge-based procurements have led to improved challenge D&I outcomes. DOF might use quarterly challenge planning expenditure stories for proposed IT tasks to tell their evaluation. We additionally suggest the Legislature request this report no later than April 1, 2024 to tell the 2024-25 finances course of.

Direct CDT and DOF to Work With Legislature on Oversight of Enterprise Modernization Efforts and Initiatives Utilizing Agile Method. We suggest the Legislature undertake SRL that directs CDT and DOF to work with legislative workers on choices to enhance oversight of enterprise modernization efforts and tasks utilizing an agile strategy or mixed agile and conventional approaches to challenge D&I. The report might contemplate, for instance, whether or not new standardized stories for these efforts and tasks, each to CDT and the Legislature, are warranted. The report additionally might contemplate whether or not adjustments in CDT’s PAL course of are wanted to persistently plan these efforts and tasks. We additionally suggest the Legislature request this report no later than April 1, 2024 to tell the 2024-25 finances course of.