Report 2014-116 Recommendation 12 Responses

Report 2014-116: California Department of Consumer Affairs' BreEZe System: Inadequate Planning and Oversight Led to Implementation at Far Fewer Regulatory Entities at a Significantly Higher Cost (Release Date: February 2015)

Recommendation #12 To: Technology, California Department of

To ensure that IT projects have the oversight needed to better position them for success, CalTech should ensure that departments obtain IPO and IV&V services as soon as an IT project is approved. Additionally, CalTech should document key discussions with any department in which the IV&V consultant and the IPO specialist raise significant concerns about a project, and ensure that the respective department responds promptly to, and adequately addresses, the concerns that the IPO specialist and the IV&V consultant raise.

Annual Follow-Up Agency Response From November 2017

Written instructions have been completed and incorporated into SIMM 45 on the requirement for obtaining both IPO and IV&V services.

California State Auditor's Assessment of Annual Follow-Up Status: Fully Implemented

Annual Follow-Up Agency Response From October 2016

ITPOD established the new positions approved in the FY 2016-17 State Budget. Efforts to fill these positions are on-going.

Starting in the latter half of 2015, ITPO began assigning staff on a part-time basis to provide assistance and evaluate departments going through PAL. This facilitates the planning process for ITPOD concerning when a project will be approved in Stage 4 and then will require the assignment of a full time oversight resource. Projects approved at stage 4 may have conditions that will be required depending on any specific risks or issues identified during the PAL. The assigned ITPOD staff will monitor compliance as the assigned project progresses.

For more than two years, ITPOD has included significant or unanswered findings from IV&V in the Independent Project Oversight Report (IPOR) on all projects subject to CDT oversight. And, as mentioned above, ITPOD has drafted an escalation process to raise awareness and foster appropriate actions concerning significant risks and issues to increasingly higher levels of CDT leadership. ITPOD has also drafted a Corrective Action Plan framework to notify departments that remediation is required. ITPOD intends to incorporate both of these processes to the IT Project Oversight Framework after state entities are provided with the opportunity to ask questions or provide comments - anticipated to be completed by December 2016.

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented

1-Year Agency Response

The Department submitted a Budget Change Proposal for additional ITPOD staff, which has been included in the Governor's budget for FY 16/17. ITPO staff will be assigned to projects that are determined to be medium or high complexity in Stage 2 of the Project Approval Lifecycle. Projects approved at stage 4 may have conditions that will be required depending on identified risks or issues. The assigned ITPO staff will monitor compliance as the assigned project progresses.

As of June 2015 and reported in the 6th month update, the Department's IT Project Oversight Division (ITPOD) established a procedure for documenting significant concerns and issues that are discussed in Portfolio meetings with Department executives. Updates to the Project Oversight Escalation process are under review, and implementation is expected March 2016.

California State Auditor's Assessment of 1-Year Status: Partially Implemented

6-Month Agency Response

The Department continues to have discussions with the Department of Finance about an appropriate way to augment the ITPOD staffing allocation when new projects are expected to begin.

See the above status report (Attachment 2) for recommendation # 6 regarding discussing significant concerns during meetings with departments. The escalation process is planned for issuance September 2015.

California State Auditor's Assessment of 6-Month Status: Partially Implemented

60-Day Agency Response

60 Day Update:

CalTech will engage the Department of Finance in a discussion about an appropriate way to augment the ITPOC staffing allocation when new projects are expected to begin.

Over the next 30 days, ITPOC will establish a new procedure for documenting significant concerns and agreed upon actions discussed during meetings with departments. This process will include follow-up and escalation procedures.

This new procedure is expected to be in place by June 2015.

California State Auditor's Assessment of 60-Day Status: Pending

All Recommendations in 2014-116

Agency responses received are posted verbatim.