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

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 is an updated fiscal note based upon the modifications made by a committee substitute. This measure will require an increase in project management oversight, utilizing a mid-level to senior project manager, to produce quarterly performance reports on all technology projects over $500,000.



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 0 160,000 160,000
Personal Services 0 160,000 160,000
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 160,000 160,000


Explanation of above estimates (including long-range effect):


    It is estimated that the quarterly project performance reports will take 1200 hours per year to complete at a cost of $85 per hour, with the cost being approximately $100,000. The total number of hours is based on an estimated 35 projects per year requiring these reports. In addition, it we require approximately 600 hours per year for post audit reviews at a rate of $95 per hour with an approximate cost of $60,000 per year. The total fiscal impact of this bill would be approximately $160,000. This assumes that the vendor contract obligate the vendor to maintain proper documentation and project artifacts to a consistent standard such as Project Management Body of Knowledge “PMBOK” or standards deemed appropriate by the steering committee.



Memorandum


    The fiscal impact associated with this bill would affect any agency performing major information technology projects over $500,000, requiring the Office of Technology to provide the legislative auditors quarterly project performance reports. The Office of Technology operates as a bill for services agency, therefore these costs would be billed back to the agency executing the project at the appropriate rate.



    Person submitting Fiscal Note: Justin McAllister
    Email Address: justin.t.mcallister@wv.gov