FISCAL NOTE
Date Requested: February 03, 2015 Time Requested: 02:32 PM |
Agency: |
Technology, Office of |
CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
2822 |
Introduced |
SB404 |
|
CBD Subject: |
Finance and Administration |
---|
|
FUND(S):
2220, 2531
Sources of Revenue:
Special Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
This measure will require an increase in project management staffing of six mid to senior level project managers, as well as an increase of current expenses to cover the cost of an independent third party post audit reviewer.
Fiscal Note Detail
Effect of Proposal |
Fiscal Year |
2015 Increase/Decrease (use"-") |
2016 Increase/Decrease (use"-") |
Fiscal Year (Upon Full Implementation) |
1. Estmated Total Cost |
0 |
600,000 |
900,000 |
Personal Services |
0 |
480,000 |
720,000 |
Current Expenses |
0 |
120,000 |
180,000 |
Repairs and Alterations |
0 |
0 |
0 |
Assets |
0 |
0 |
0 |
Other |
0 |
0 |
0 |
2. Estimated Total Revenues |
0 |
600,000 |
900,000 |
Explanation of above estimates (including long-range effect):
Personal services are estimated to increase by six full time employees to perform audits of all major information technology projects. Currently a major information technology project is defined as any information technology project costing over $100,000. In addition, current expenses are estimated to increase by approximately $180,000 per year based on the cost of post audit reviews. This total is based on an estimated 95 projects per year needing audited with approximately 12 requiring post-audit reviews. The expenses for post-audit review will vary based on the number of post-audit reviews required per year.
Memorandum
The fiscal impact associated with this bill would affect any agencies performing major information technology projects $100,000 +) requiring the Office of Technology to audit the project and have an independent audit review on of any information technology projects over $1,000,000. The Office of Technology operates as a bill for services agency, therefore these costs would be billed back to the agency executing the project.
If the dollar limit for what was considered to be a major information technology project was increased to $500,000 from the current $100,000 the number of major information technology projects requiring audit would decrease from approximately 95 per year to approximately 35 per year, causing the fiscal impact to decrease from the estimated $900,000 to an estimated $420,000.
Person submitting Fiscal Note: Justin T. McAllister
Email Address: justin.t.mcallister@wv.gov