TWENTY-SIXTH LEGISLATURE, 2012
STATE OF HAWAII
A BILL FOR AN ACT
RELATING TO THE DEPARTMENT OF ACCOUNTING AND GENERAL SERVICES
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. In March 2011, the State launched an initiative to modernize and transform the State's technology infrastructure, systems, processes, and procedures. The State subsequently hired its first full-time chief information officer in July 2011 to oversee the development and implementation of a statewide information technology strategic plan. In September 2011, the first phase of the State's modernization initiative was completed with the publishing of the "Baseline of Information Management and Technology and Comprehensive View of State Services" report. The findings and recommendations in this report provide the basis for the strategic direction that the State needs to take going forward. The development of the statewide information technology strategic plan, which will include a business transformation strategy, is currently under development and is anticipated to be delivered by the chief information officer in July 2012.
The report explains that the State's budget reductions over the last decade and lack of centralized governance of information technology and information resource management have resulted in minimal integration of business processes between departments, duplication of efforts and redundant processes, and aging legacy systems. Further, the State's current level of investment in information technology and information resource management is inadequate compared to benchmark standards found in other states and existing best practices.
It is recognized that technology alone cannot address the State's needs; simply automating obsolete or stove-piped processes will not lead to better outcomes. What is required is a re-thinking of the existing business processes throughout state government, in every department, in order to take full advantage of the transformation capabilities modern technology offers. It is the chief information officer's and business transformation executive's intention to embark upon a prioritized enterprise-wide re-evaluation of business processes and their enabling technologies in order to advance Hawaii to a more agile, responsive, and transparent future state.
The re-thinking of business processes and the transformation of the State's information technology infrastructure and framework will result in increased efficiencies through greater collaboration and information sharing, improved effectiveness through eliminating redundancies, enhanced levels of information security, future cost savings, and business processes that will more closely align with the business needs of the State. Additionally, the new information technology framework that will be documented in the strategic plan will include an enterprise architecture for the State and will serve as the basis for annual tactical operation plans going forward.
Funding for the defined initiatives resulting from the strategic plan cannot be funded until fiscal year 2013-2014, but there are basic and critical foundational elements that must be implemented in fiscal year 2012-13 in order for the State to realize the greatest benefits of the overall transformation initiative.
The purpose of this part is to appropriate moneys for the business and technology transformation initiative to prepare the State for the larger transformation activities that will be defined in the forthcoming information technology strategic plan.
SECTION 2. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2012-2013 to support the State's business and information technology transformation initiative by:
(1) Developing and implementing business process reengineering and information technology transformation activities that are required as foundational elements of the information technology transformation initiative and are necessary to begin mitigating the critical challenges the State currently faces;
(2) Developing and executing pilot projects that will increase current operational capabilities; and
(3) Developing and implementing a governance structure to ensure alignment of resources to strategic objectives, reduce and simplify complex procedures and processes, and realize future cost savings.
All projects initiated and implemented shall align to the information technology strategic plan.
SECTION 3. The director of finance is authorized to issue general obligation bonds in the sum of $ or so much thereof as may be necessary and the same sum or so much thereof as may be necessary is appropriated for fiscal year 2012-2013 for the purpose of planning, design, development, and implementation of an integrated financial and human resource management system for the State of Hawaii.
SECTION 4. The appropriation made for the capital improvement project authorized by this part shall not lapse at the end of the fiscal biennium for which the appropriation is made; provided that all moneys from the appropriation unencumbered as of June 30, 2014, shall lapse as of that date.
SECTION 5. The sums appropriated in sections 2 and 3 of this Act shall be expended by the office of information management and technology within the department of accounting and general services for the purposes of this part.
SECTION 6. The office of information management and technology shall submit a written report to the legislature no later than twenty days prior to the convening of the regular session of 2013 regarding the use of funds appropriated in sections 2 and 3 of this Act, including business processes, pilot projects, and other projects initiated for the purposes of the information technology strategic plan.
SECTION 7. The legislature finds that used state office equipment with residual value is often discarded in landfills once it is seen as outdated. There, the equipment harms the environment generally and avian species in particular. Simultaneously, many schools and nonprofit organizations need office equipment and will accept or purchase the used equipment from the State.
The legislature finds that amending chapter 103D, Hawaii Revised Statutes, to require state departments and agencies to sell or donate their used equipment with residual value before disposing of it will be beneficial to schools, nonprofit organizations, and the environment.
This part requires that after used state office equipment is placed on the disposal list, as required by current administrative rule, and remains on that list without being accepted or purchased by a school or nonprofit for a designated period of time, it be sold to a company for recycling.
SECTION 8. Chapter 103D, Hawaii Revised Statutes, is amended by adding a new section to part XII to be appropriately designated and to read as follows:
"§103D- Required donation or sale before discarding equipment as solid waste. (a) After June 30, 2013, no state surplus equipment shall be discarded as solid waste unless it has been first:
(1) Offered for sale or donation to a school, school district, or nonprofit organization; and
(2) Offered for sale through competitive sealed bid, public auction, established market, or posted prices to at least one organization or business capable of refurbishing sellable equipment and removing salvageable components.
(b) The department of accounting and general services, on behalf of the state procurement office, shall submit a report to the legislature, no later than twenty days prior to the regular session of 2015, and each regular session thereafter indicating the following:
(1) The quantity and nature of surplus equipment replaced or upgraded;
(2) The quantity and nature of surplus equipment offered for sale or donation to schools, school districts, and nonprofit organizations;
(3) The quantity and nature of surplus equipment purchased or accepted as a donation by schools, school districts, and nonprofit organizations;
(4) The quantity and nature of surplus equipment purchased by organizations or businesses capable of refurbishing sellable equipment and removing salvageable components; and
(5) The amount of proceeds generated from the sale of surplus equipment to schools, school districts, nonprofit organizations, and organizations and businesses capable of refurbishing sellable equipment and removing salvageable components.
(c) Proceeds generated from the sale of surplus equipment shall be deposited pursuant to section 103D-1214.
(d) The department of accounting and general services and the state procurement office may adopt rules, pursuant to chapter 91, necessary to implement this section."
SECTION 9. Section 103D-1201, Hawaii Revised Statutes, is amended by adding three new definitions to be appropriately inserted and to read as follows:
""Nonprofit organization" means a private, nonprofit, tax-exempt corporation, association, or organization listed in section 501(c)(3), of the Internal Revenue Code of 1986, as amended.
"School" means any day care center, child care facility, headstart program, preschool, kindergarten, elementary, or secondary school, public or private, including any special school for children in the State.
"Surplus equipment" means typewriters, copiers, calculators, telephones, cell phones, computers, computer components, printers, and electronic devices typically used in an office environment that are no longer in use by a department and are deemed by the department to have residual market value."
SECTION 10. New statutory material is underscored.
SECTION 11. This Act shall take effect on July 1, 2112.
Information Technology Transformation Initiative; State Equipment; Computers; Office Equipment
Appropriate moneys including by authorizing general obligation bonds, for the information technology transformation initiative in fiscal year 2012-2013. Requires state departments to attempt to sell or donate office equipment to schools, nonprofits, or salvage businesses before disposal. Effective July 1, 2112. (SB2780 HD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.