2023S0189-1 02/22/23 By: Paxton S.B. No. 1205 A BILL TO BE ENTITLED AN ACT relating to the modernization of information technology of state agencies and certain local governments. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 325, Government Code, is amended by adding Section 325.0124 to read as follows: Sec. 325.0124. REVIEW OF AGENCY'S IMPLEMENTATION OF INFORMATION TECHNOLOGY MODERNIZATION PLAN. As part of its review of a state agency, the commission shall consider and make recommendations regarding the extent to which the agency has updated, upgraded, or procured technology based on the agency's information technology modernization plan included in the agency's strategic plan required by Section 2056.002. SECTION 2. Section 2054.003, Government Code, is amended by adding Subdivisions (11) and (11-a) to read as follows: (11) "Peer-to-peer payment" means a transfer of funds using a peer-to-peer payment system. (11-a) "Peer-to-peer payment system" means a digital non-credit card system used for transferring funds from one party to another. SECTION 3. Section 2054.060, Government Code, is amended by adding Subsection (a-1) to read as follows: (a-1) Unless expressly prohibited by other law or a rule adopted by the state agency, a state agency shall accept a digital signature included in any communication or payment electronically delivered to the state agency. SECTION 4. Subchapter C, Chapter 2054, Government Code, is amended by adding Section 2054.0692 to read as follows: Sec. 2054.0692. GUIDANCE ON USE OF DISTRIBUTED LEDGER TECHNOLOGY. (a) The department shall develop and disseminate guidance for the use of distributed ledger technology, including blockchain, among state agencies. (b) The guidance must include a framework or model for deciding if distributed ledger technology is appropriate for meeting a state agency's needs. The guidance may include: (1) examples of potential uses of distributed ledger technology by an agency; (2) sample procurement and contractual language; and (3) information on educational resources for agencies on distributed ledger technology. SECTION 5. Section 2054.095(b), Government Code, is amended to read as follows: (b) Except as otherwise modified by the Legislative Budget Board or the governor, instructions under Subsection (a) must require each state agency's strategic plan to include: (1) a description of the agency's information resources management organizations, policies, and practices, including the extent to which the agency uses its project management practices, as defined by Section 2054.152; (2) a description of how the agency's information resources programs support and promote its mission, goals, and objectives and the goals and policies of the state strategic plan for information resources; (3) a description of customer service technology, including telephone systems and websites, that improves customer service performance; and (4) other planning components that the department may prescribe. SECTION 6. Section 2054.1115, Government Code, is amended by amending Subsection (a) and adding Subsection (c) to read as follows: (a) A state agency or local government that uses the state electronic Internet portal may use electronic payment methods, including the acceptance of peer-to-peer payments, credit cards, and debit cards, for: (1) point-of-sale transactions, including: (A) person-to-person transactions; (B) transactions that use an automated process to facilitate a person-to-person transaction; and (C) transactions completed by a person at an unattended self-standing computer station using an automated process; (2) telephone transactions; or (3) mail transactions. (c) The department shall identify the three most commonly used peer-to-peer payment systems and post a list containing those systems in a conspicuous location on the department's Internet website. The department shall biennially review and, if necessary, update the list required under this subsection. SECTION 7. Subchapter L, Chapter 2054, Government Code, is amended by adding Section 2054.393 to read as follows: Sec. 2054.393. MARKETING OF SERVICES. (a) Notwithstanding Section 2113.011 and subject to Subsection (b), the department may use appropriated money to market to state agencies and local governments shared information resources technology services offered by the department under this subchapter, including data center, disaster recovery, and cybersecurity services. (b) An expenditure of money under this section must be approved by the executive director. SECTION 8. Subchapter R, Chapter 2054, Government Code, is amended by adding Section 2054.603 to read as follows: Sec. 2054.603. INTERNET WEBSITE DOMAIN REQUIREMENTS. (a) This section does not apply to a university system or institution of higher education as defined by Section 61.003, Education Code. (b) Unless granted an exemption by the department, a state agency or local government shall use the top-level domain ".gov" or ".texas.gov" for the entity's official Internet website. (c) The department shall assist state agencies and local governments in obtaining a ".gov" or ".texas.gov" domain for the entity's official Internet website. Using money appropriated to the department for this purpose, the department may establish a grant program to assist state agencies' and local governments' transition to the ".gov" or ".texas.gov" domain. If the department establishes a grant program, the department must enter into a contract that includes performance requirements with each grant recipient. The department shall monitor and enforce the terms of each contract. SECTION 9. Chapter 2056, Government Code, is amended by adding Section 2056.0023 to read as follows: Sec. 2056.0023. INFORMATION TECHNOLOGY MODERNIZATION PLAN. (a) As part of the strategic plan required under Section 2056.002, a state agency shall include an information technology modernization plan that outlines the manner in which the agency intends to transition its information technology and data-related services and capabilities into a more modern, integrated, secure, and effective technological environment. (b) The Department of Information Resources may provide a template for the information technology modernization plan required by this section. SECTION 10. The Department of Information Resources shall develop and disseminate the guidance and decision model required by Section 2054.0692, Government Code, as added by this Act, not later than December 1, 2023. SECTION 11. (a) Except as provided by Subsection (b) of this section, each state agency and local government shall comply with the requirements of Section 2054.603(b), Government Code, as added by this Act, as soon as practicable after the effective date of this Act but not later than September 1, 2028. (b) A state agency or local government shall comply with the requirements of Section 2054.603(b), Government Code, as added by this Act, as soon as practicable after the effective date of this Act but not later than September 1, 2024, if the state agency or local government uses its official Internet website to: (1) collect or maintain information pertaining to the identity or finances of a person; or (2) provide election results, services, or information. SECTION 12. This Act takes effect September 1, 2023.