j_jtc_2017a_2017-12-19t09:04:24z0 Hearing Summary

Date: 12/19/2017

Location: SCR 352

09:04 AM -- HRIS/HRWorks FY 2017-18 Emergency Supplemental Request



Director June Taylor, representing the Department of Personnel and Administration (DPA), Secretary Suma Nallapati, representing the Governor's Office of Information Technology (OIT), and State Controller Bob Jaros, came to the table to give the committee an update on the HRWorks project. Secretary Nallapati stated that the project is 43 percent complete to date. She stated that they are looking for training space and that an independent verification and validation vendor has been engaged.



09:08 AM



Director Taylor stated that OIT and DPA continue to seek an emergency supplement request for the project, along with submitting FY 2018-19 IT capital budget request. She stated that after the committee's October meeting, OIT and DPA entered into discussions with Kronos regarding their testimony and adjusted numbers. After these discussions, OIT and DPA determined that the current contract with CGI Group, Inc. still will save the state millions of dollars in operating costs. Director Taylor continued by discussing the timeline of the various project solutions. She continued by discussing the risks of not recommending the supplemental budget request. She noted that the work done in the last seven months focuses on the CGI time solution and that stopping work on this solution would require the project to accrue further delay costs.



09:22 AM



State Controller Bob Jaros continued by discussion the cost savings to the state through the CGI solution. He stated that even with updated information from Kronos, the state would still have stayed with the CGI solution. He discussed a cost-benefit analysis of the two solutions.



09:29 AM



In response to committee questions, Secretary Nallapati stated that 43 percent complete is a combination of earned value, schedule, and other values. Mr. Jaros continued by stating that the vendor stated in the RFP that they could integrate with Kronos, but that there was a misunderstanding about the level of integration needed. In response to a committee question, Director Taylor summarized the timeline on various audit findings and the department's implementation of audit findings. Secretary Nallapati stated that no additional money was being requested for the FY 2017-18 emergency supplemental request due to the delay. In response to a committee question, Mr. Jaros discussed software procurement and CGI contracts.



10:03 AM



Mr. Patrick Bennet, Ms. Michelle Mackey, Mr. Dan Clark, and Mr. Steve Sizemore, representing Kronos, came to the table to discuss their cost-benefit analysis (Attachment A) and letter to the committee (Attachment B). They answered several committee questions.



171219 AttachA.pdf171219 AttachB.pdf



10:18 AM



Mr. Jaros returned to the table to answer committee questions regarding the costs listed in the FY 2017-18 supplemental request and the FY 2018-19 IT capital budget request. He provided an updated cost-benefit analysis to the committee (Attachment C).



171219 AttachC.pdf



10:25 AM



Committee discussion ensued on the emergency supplemental budget request.



10:30 AM



The committee recessed.



10:40 AM



The committee came back to order.



10:41 AM



Mr. Matt Becker, Legislative Council Staff, came to the table to answer committee questions.