Iowa House Bill HF2622

Iowa 2023-2024 Regular Session

• Introduced: 2/21/24
• Refer: 2/21/24

Caption

A bill for an act relating to the powers, duties, and responsibilities of state government entities associated with the budget, financial control, and information technology, making penalties applicable, and making appropriations.(Formerly HSB 695; See HF 2708.)

Impact

One of the notable changes proposed in HF2622 is the merging of the Iowa Economic Emergency Fund into the Cash Reserve Fund, increasing its maximum allowable balance and allowing for larger transfers to the general fund during emergency situations. This aims to provide more flexibility in financial management during fiscal challenges, potentially allowing the state to react more swiftly to financial crises. The bill also impacts budgetary provisions related to the clear delineation of the state's appropriation processes, with new definitions for various types of receipts and funds, including appropriated receipts, custodial funds, and special revenue funds.

Summary

House File 2622 focuses on restructuring various aspects of Iowa's state government, primarily concerning budget management, financial control, and information technology governance. The bill seeks to enhance the powers and responsibilities of the Department of Management (DOM), redefining its role as the head authority for all information technology procurement and policy implementation within the state government. This includes adopting new cybersecurity measures and establishing a centralized approach to IT services, thereby improving efficiency and security within state-managed technology operations.

Contention

Notably, the bill faces contention regarding the extent of authority it grants to the DOM, particularly concerning financial operations, which some legislators fear might centralize too much power at the state level. The elimination of the Office of the Chief Information Officer is a specific point of debate, as it raises concerns about the transparency and checks on the new consolidated department's authority over IT and financial controls. Additionally, discussions are ongoing about how these changes will affect local governments and their financial autonomy, especially in managing budgets tailored to community needs.