"My reorganization plan will help us improve services while cutting waste and saving taxpayer dollars. I look forward to collaborating with the Legislature as we work to implement this important proposal." -- California Gov. Arnold Schwarzenegger (pictured)

Governor Arnold Schwarzenegger yesterday issued the following statement on his submission of the Governor's Reorganization Plan (GRP) to the Legislature, which if allowed to take effect, will consolidate statewide information technology (IT) functions under the Office of the Chief Information Officer (OCIO).

"It is critical for California to overhaul our technology systems to ensure that they efficiently serve the needs of the people of our state," Schwarzenegger said. "My reorganization plan will help us improve services while cutting waste and saving taxpayer dollars. I look forward to collaborating with the Legislature as we work to implement this important proposal."

The GRP is based on a recent Little Hoover Commission report that proposed realigning IT resources, including the Department of Technology Services (DTS) under the leadership of the OCIO, to enhance efficiency and bolster performance. The reorganization will create more accountability and provide a framework to enhance the IT workforce that supports computer systems, among other things.

Specifically, the GRP proposes to:

• Integrate four agencies -- the OCIO, Office of Information Security and Privacy Protection (Office of Information Security), DTS and the Department of General Services, Telecommunications Division - into an expanded OCIO.
• Provide the state chief information officer with authority for IT procurement policy and enterprise IT management.
• Achieve consolidation of software contracts, office automation tools, data centers/computer rooms, servers, storage and networks over the course of five years. This is estimated to achieve a cost savings and cost avoidance of $1.5 billion.
• Preserve program-specific IT systems and budgets at the agency level.

The Legislature now has 60 days during which to review the GRP and allow it to take effect or take up a negative resolution in either house to reject it. To more effectively oversee information technology in state government, the governor signed SB 90 in August of 2007 to establish the OCIO as a cabinet-level agency with statutory authority over IT policy. The office establishes and enforces IT strategic plans, policies, standards and enterprise architecture, as well as approves information technology projects for all state departments.