86R23152 CJC-F
By: Capriglione, Frank, Krause, et al. H.B. No. 1096
Substitute the following for H.B. No. 1096:
By: Raymond C.S.H.B. No. 1096
A BILL TO BE ENTITLED
AN ACT
relating to the modernization of state agency information
technology systems.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter G, Chapter 403, Government Code, is
amended by adding Section 403.1105 to read as follows:
Sec. 403.1105. TEXAS INNOVATION FUND AND STATE AGENCY
TECHNOLOGY UPGRADES ACCOUNT. (a) In this section:
(1) "Account" means the state agency technology
upgrades account.
(2) "Board" means the Texas innovation fund board.
(3) "Cloud computing service" has the meaning assigned
by Section 2157.007.
(4) "Device-as-a-service" means a managed service in
which hardware that belongs to a managed service provider is
installed at a state agency and a service level agreement defines
the responsibilities of each party to the agreement.
(5) "Fund" means the Texas innovation fund.
(6) "Information technology system" means any
equipment or interconnected system or subsystem of equipment used
by a state agency, or a person under a contract with a state agency
if the contract requires use of the equipment, to acquire, store,
analyze, evaluate, manipulate, manage, move, control, display,
switch, interchange, transmit, print, copy, scan, or receive data
or other information. The term:
(A) includes a computer, a device-as-a-service
solution, ancillary computer equipment such as imaging, printing,
scanning, and copying peripherals and input, output, and storage
devices necessary for security and surveillance, peripheral
equipment designed to be controlled by the central processing unit
of a computer, software and firmware and similar procedures, and
services, including support services, and related resources; and
(B) does not include equipment acquired by a
contractor incidental to a state contract.
(7) "Legacy information technology system" means an
information technology system that is operated with obsolete or
inefficient hardware or software technology.
(8) "Qualifying information technology modernization
project" means a project by a state agency to:
(A) replace the agency's information technology
systems;
(B) transition the agency's legacy information
technology systems to a cloud computing service or other innovative
commercial platform or technology; or
(C) develop and implement a method to provide
adequate, risk-based, and cost-effective information technology
responses to threats to the agency's information security.
(9) "State agency" has the meaning assigned by Section
2254.151.
(b) The Texas innovation fund board is established to
administer the Texas innovation fund and the state agency
technology upgrades account and to make awards of financial
assistance to state agencies from the fund or account for
qualifying information technology modernization projects. The
board is composed of:
(1) one member who is a representative of the
comptroller, appointed by the comptroller;
(2) one member who is a representative of the
Department of Information Resources, appointed by the presiding
officer of the governing board of the Department of Information
Resources;
(3) one member who is a representative of the office of
the governor, appointed by the governor;
(4) two members of the senate, appointed by the
lieutenant governor;
(5) two members of the house of representatives,
appointed by the comptroller from a list provided by the speaker of
the house of representatives; and
(6) one public member, appointed by the governor.
(c) Members of the board serve six-year terms. A board
member is not entitled to compensation for service on the board but
is entitled to reimbursement of expenses incurred while performing
duties as a board member.
(d) The Texas innovation fund and the state agency
technology upgrades account are special funds outside the state
treasury to be used by the board, without further legislative
appropriation, as provided by this section.
(e) The fund consists of:
(1) money appropriated, credited, or transferred to
the fund by the legislature;
(2) money received by the board for the repayment of a
loan made from the fund; and
(3) interest and other earnings earned on deposits and
investments of money in the fund.
(f) The account consists of:
(1) money deposited to the account by the comptroller
in the manner prescribed by Subsection (h); and
(2) interest and other earnings earned on deposits and
investments of money in the account.
(g) The comptroller, in consultation with the Department of
Information Resources, shall establish a loan program to authorize
the board to use money from the fund to provide loans to state
agencies for qualifying information technology modernization
projects. A state agency must apply to the board for a loan from the
fund. The application must include a description of the qualifying
information technology modernization project for which the state
agency is requesting a loan. A loan agreement entered into under
this subsection must require the state agency to:
(1) repay the loan to the board within seven years of
the date the loan is made to the agency; and
(2) make annual reports to the board identifying cost
savings realized by the agency as a result of the project for which
the agency received the loan.
(h) At the end of each state fiscal year, on the written
request of a state agency, the comptroller shall deposit to the
account the unexpended balance of any money appropriated to the
agency for that state fiscal year that is budgeted by the agency for
information technology services or cybersecurity purposes. A state
agency may request money from the account from the board at any time
for a qualifying information technology modernization project.
(i) The comptroller shall separately account for the amount
of money deposited to the account at the request of each state
agency under Subsection (h). Money deposited to the account under
Subsection (h) and any interest and other earnings on that money may
be provided only to the state agency for which the comptroller
deposited the money to the account and may be used by the agency
only for a qualifying information technology modernization
project.
(j) Any money deposited to the account at the request of a
state agency under Subsection (h) that is not requested by the
agency within three years from the date the money is deposited shall
be transferred by the comptroller to the general revenue fund to be
used in accordance with legislative appropriation.
(k) A state agency that receives money from the fund or the
account may collaborate with one or more other state agencies that
also receive money from the fund or the account to purchase
information technology systems that may be shared between the
agencies.
(l) The comptroller may adopt rules to implement and
administer this section.
SECTION 2. This Act takes effect September 1, 2019.