1 of 1 SENATE DOCKET, NO. 805 FILED ON: 1/18/2023 SENATE . . . . . . . . . . . . . . No. 26 The Commonwealth of Massachusetts _________________ PRESENTED BY: Brendan P. Crighton _________________ To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General Court assembled: The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: An Act relative to the modernization of state agency information technology systems. _______________ PETITION OF: NAME:DISTRICT/ADDRESS :Brendan P. CrightonThird Essex 1 of 5 SENATE DOCKET, NO. 805 FILED ON: 1/18/2023 SENATE . . . . . . . . . . . . . . No. 26 By Mr. Crighton, a petition (accompanied by bill, Senate, No. 26) of Brendan P. Crighton for legislation to modernize state agency information technology systems. Advanced Information Technology, the Internet and Cybersecurity. The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Third General Court (2023-2024) _______________ An Act relative to the modernization of state agency information technology systems. Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows: 1 SECTION 1. Chapter 7D of the General Laws, as appearing in the Official 2018 Edition, 2is hereby amended by inserting the following section:- 3 “SECTION 11. Massachusetts Innovation Fund and State Agency Technology Upgrades 4Account 5 (a) As used in this section, the following terms shall have the following meanings:- 6 "Account," the state agency technology upgrades account. 7 "Board," the Massachusetts innovation fund board. 8 "Cloud computing service" has the meaning given the term by the National Institute of 9Standards and Technology in NIST Special Publication 800-145 and any amendatory or 10superseding document thereto. 2 of 5 11 "Device-as-a-service," a managed service in which hardware that belongs to a managed 12service provider is installed at a state agency and a service level agreement defines the 13responsibilities of each party to the agreement. 14 "Fund," means the Massachusetts Innovation Fund. 15 "Information technology system," any equipment or interconnected system or subsystem 16of equipment used by a state agency, or a person under a contract with a state agency if the 17contract requires use of the equipment, to acquire, store, analyze, evaluate, manipulate, manage, 18move, control, display, switch, interchange, transmit, print, copy, scan, or receive data or other 19information. “Information technology system” shall include a computer, a device-as-a-service 20solution, ancillary computer equipment such as imaging, printing, scanning, and copying 21peripherals and input, output, and storage devices necessary for security and surveillance, 22peripheral equipment designed to be controlled by the central processing unit of a computer, 23software and firmware and similar procedures, and services, including support services, and 24related resources. “Information technology system” shall not include equipment acquired by a 25contractor incidental to a state contract. 26 "Legacy information technology system," is an information technology system that is 27operated with outdated or obsolete, or inefficient hardware or software system of information 28technology. 29 "Qualifying information technology modernization project," a project by a state agency to 30(i) replace the agency's information technology systems;(ii) transition the agency's legacy 31information technology systems to a cloud computing service or other innovative commercial 32platform or technology; or (iii) develop and implement a method to provide adequate, risk-based, 3 of 5 33and cost-effective information technology responses to threats to the agency's information 34security. 35 (b) The Massachusetts innovation fund board is established to administer the 36Massachusetts innovation fund and the state agency technology upgrades account and to make 37awards of financial assistance to state agencies from the fund or account for qualifying 38information technology modernization projects. The board shall consist of: (i) the comptroller or 39a designee (ii) the secretary of the executive office of technology services and security or a 40designee (iii) the governor or a designee (iv) two members of the senate appointed by the 41president of the senate;(v) two members of the house of representatives appointed by the speaker 42of the house of representatives; (vi) one member of the public with relevant subject matter 43expertise appointed by the governor; and (vii) three state employees primarily having technical 44expertise information technology development, financial management, cybersecurity and 45privacy, and acquisition, appointed by the secretary of the executive office of technology 46services and security. 47 (c) Members of the board shall serve six two-year terms. A board member is not entitled 48to compensation for service on the board but is entitled to reimbursement of expenses incurred 49while performing duties as a board member. 50 (d) The Massachusetts innovation fund and the state agency technology upgrades account 51are special funds outside the state treasury to be used by the board, without further legislative 52appropriation, as provided by this section. 53 (e) The fund consists of: 54 (1) money appropriated, credited, or transferred to the fund by the legislature; 4 of 5 55 (2) money received by the board for the repayment of a loan made from the fund; and 56 (3) interest and other earnings earned on deposits and investments of money in the fund. 57 (f) The account consists of: 58 (1) money deposited to the account by the comptroller in the manner prescribed by 59subsection (h); and 60 (2) interest and other earnings earned on deposits and investments of money in the 61account. 62 (g) The comptroller, in consultation with the executive office of technology services and 63security, shall establish a loan program to authorize the board to use money from the fund to 64provide loans to state agencies for qualifying information technology modernization projects. A 65state agency must apply to the board for a loan from the fund. The application must include a 66description of the qualifying information technology modernization project for which the state 67agency is requesting a loan. A loan agreement entered into under this subsection must require the 68state agency to: 69 (1) repay the loan to the board within seven years of the date the loan is made to the 70agency; and 71 (2) make annual reports to the board identifying cost savings realized by the agency as a 72result of the project for which the agency received the loan. 73 (h) At the end of each state fiscal year, on the written request of a state agency, the 74comptroller shall deposit to the account the unexpended balance of any money appropriated to 75the agency for that state fiscal year that is budgeted by the agency for information technology 5 of 5 76services or cybersecurity purposes. A state agency may request money from the account from the 77board at any time for a qualifying information technology modernization project. 78 (i) The comptroller shall separately account for the amount of money deposited to the 79account at the request of each state agency under Subsection (h). Money deposited to the account 80under subsection (h) and any interest and other earnings on that money may be provided only to 81the state agency for which the comptroller deposited the money to the account and may be used 82by the agency only for a qualifying information technology modernization project. 83 (j) Any money deposited to the account at the request of a state agency under subsection 84(h) that is not requested by the agency within three years from the date the money is deposited 85shall be transferred by the comptroller to the general revenue fund to be used in accordance with 86legislative appropriation. 87 (k) A state agency that receives money from the fund or the account may collaborate with 88one or more other state agencies that also receive money from the fund or the account to 89purchase information technology systems that may be shared between the agencies. 90 (l) The comptroller may adopt rules to implement and administer this section.” 91 SECTION 2. This Act shall take effect upon its passage.