IT Budget and Spend Request Cycle
This document was developed by the Office of Enterprise Technology Services (ETS)Information Technology Governance (ITG) group to provide an overview and guidance for the Executive Branch Departments’ information technology (IT) budget and spend request activities.
The five processes discussed here are:
- IT Roadmapping
- IT Budget Requests
- Independent Verification & Validation
- IT Spend Requests
- IT Spend Follow-ups
Each process will be described in three parts:
- Who to contact
- Process: When should a process take place and what should be done
- Resources – documentation and forms
Each of the processes discussed here are related to responsibilities given to the State’s Chief Information Officer (CIO) in HRS section 27-43.
HRS SECTION 27-43
§27-43 Office of enterprise technology services; chief information officer;information technology steering committee; establishment; responsibilities.
(a) There is established within the department of accounting and general services the office of enterprise technology services, which shall be headed by a full-time chief information officer to organize, manage, and oversee statewide information technology governance. The chief information officer shall be appointed by the governor as provided in section 26-34. The chief information officer shall report directly to the governor and, in conjunction with the information technology steering committee, shall:
- Develop, implement, and manage statewide information technology governance;
- Develop, implement, and manage the state information technology strategic plans;
- Develop and implement statewide technology standards;
- Work with each executive branch department and agency to develop and maintain its respective multi-year information technology strategic and tactical plans and road maps that are part of the State’s overall information technology strategic plans, road maps, and directions;
- Coordinate each executive branch department and agency’s information technology budget request, forecast, and procurement purchase to ensure compliance with the department or agency’s strategic plan and road map and with the office of enterprise technology services’ information technology governance processes and enterprise architecture policies and standards, including policies and standards for systems, services, hardware, software, and security management;
- Report annually to the governor and the legislature on the status and implementation of the state information technology strategic plan;
ADMINISTRATIVE DIRECTIVE NO. 18-03 (AD 18-03)
AD 18-03 issued by Governor Ige defines the governance process for IT programs and projects. It also rescinded Administrative Directives 11-02 and 15-02 which were cited in previous versions of this document. Selected sections of the AD 18-03 are reproduced below.
- Pursuant to section 27-43, Hawai‘i Revised Statutes (HRS), the Office of Enterprise Technology Services (ETS) is headed by the Chief Information Officer (CIO) to organize, manage, and oversee statewide IT governance. To implement this requirement, all IT projects that meet any of the following criteria must adhere to the program governance process described in this memorandum, effective immediately:
- IT projects or contracts valued at $1,000,000 or more, inclusive of the value for options to extend and all other provisions of the contract;
- IT projects or contracts which require CIO oversight, as required by an Act of the legislature or the Governor; or
- projects or contracts identified by the CIO, typically those that will leverage business and operational efficiencies and benefits for multiple departments or agencies.
- The program governance process for enterprise IT projects consists of project phase review gates to ensure project execution and associated expenditures are sufficiently evaluated and receive approval by the appropriate governing body as referenced below.
- IT Roadmapping Phase
- Budgeting Phase
- Initiating Phase
- Planning Phase
- Procurement Phase
- Contract and Operations Phase
- Pursuant to section 27-43.6, HRS, the CIO shall have full discretion in identifying the projects of the executive branch, including those of the Department of Education, that will be subject to independent verification and validation (IV&V) where the IT project meets any of the following criteria:
- accomplishes critical state and/or department priorities;
- has statutory, regulatory, or judicial mandates;
- is highly complex, broad in functionality, require significant organizational change management, or support a large stakeholder base;
- has histories of difficult and challenging system implementations; and/or
- is a new implementation, replacement, or complete system redesign.
Departments, except for the University of Hawai‘i System, are responsible for funding IV&V services. ETS is responsible for procuring, administering, managing, and providing governance over the IV&V services. When an IT project has been identified for IV&V, the CIO will contact the sponsoring department or agency and communicate expectations for procurement, management, oversight, and reporting of the IV&V. Once the IV&V commences, all reports, including drafts, must be submitted to the CIO at the same time they are submitted to the sponsoring department or agency to preserve the integrity of the process.