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<br /> <br />Maybe everything really isbigger inTexas. <br /> <br />Under HB 1516, the Texas Department of Information Resources (DIR) possesses some important new powers: it can now require <br />agencies to buy hardware, software and IT services from DIR-negotiated statewide contracts; it now oversees the state's consoli- <br />dated data center equipment and operations; and it will create and operate "state technology centers" to consolidate agencies' <br />IT infrastructure in such areas as network security, electronic grants and telecommunications. <br /> <br />All of this will unfold over the next few <br />months. Agencies and the DIR have until <br />March 31. 2006 to sign contracts setting <br />the terms and conditions under which <br />the DIR will deliver services to agencies. <br />The DIR isn't waiting around for people <br />to come knocking on its door. Its Strate- <br />gic Initiatives Division already created an <br />interagency working group to plan for cre- <br />ation of the state technology centers. <br />DIR Executive Director Larry Olson <br />tapped familiar faces in state government <br />to oversee two divisions key to the consoli- <br />dation's success. <br />Brian Rawson - former CIO of the <br />Texas Education Agency - directs the <br />DIR's Service Delivery Division; and Kim <br />Weatherford - former director of IT for <br />the departments of Aging and Disability <br />Services and Assistive and Rehabilitative <br />Services - is heading the DIR's Statewide <br />Technology Operations Division. <br /> <br />Betting on Consolidation <br />Support for a radical overhaul of the <br />DIR's power - and a sharp curtailing of <br />state agencies' power to create their own <br />IT environments - built slowly in the Leg- <br />islature. In Texas' case, it all started with <br />something as innocuous as data centers. <br />"Several years ago, the Legislature <br />started down the path of data centers," <br />said Rep. Carl Isett, R-Lubbock, a <br /> <br />fifth-year legislator and author ofHB 1516. <br />"But there was never any motivation for <br />the agencies to use them. We didn't man- <br />date that agencies use the data centers. As <br />technologies emerged and opportunities <br />continued to come forward, we were al. <br />ways still stymied by the institutional re- <br />sistance of the agencies." <br />After examining agencies' use of tech- <br />nology and how IT relates to their core <br />missions, Isett recalled, legislators began <br />separating out business functions that had <br />little to do with those core missions, soon <br />identifying IT as such a business function. <br />As part of this change in perception, the <br />Legislature kept after the DIR to expand <br />the data centers, and to work with agen- <br />cies on overall procurement and major <br />purchases in particular, even though the <br />agencies were still autonomous and didn't <br />have to follow the DIR's lead, said Isett. <br />"We kept telling DIR to effect cost sav- <br />ings through the data centers or disaster <br />recovery centers, and they had no power, <br />really, to do that," he said. "So all they did <br />was ask the agencies louder every year <br />- after we screamed at them, they would <br />scream at the agencies." <br />After a series of meetings with the <br />DIR during 2004, legislators <br />grew comfortable with the idea <br />of IT consolida- tion, and with <br />drafting legisla- tion to make it <br /> <br />happen, Isett said. This is a politically dan- <br />gerous area for legislators to venture into. <br />Observers of California's political <br />climate say the potential for collateral <br />damage from a highly publicized IT fi. <br />asco is a big reason legislators got scared <br />of introducing a centralization bill in <br />that state. <br />Statewide IT consolidation may be risky, <br />but Isett saw the alternative as even worse. <br />"It was at least, if not more politically dan- <br />gerous to do nothing," he said. "To not maxi. <br />mize taxpayer resources is, I think, always a <br />politically dangerous place to be in." <br />In Texas, the sheer number of agencies <br />able to buy IT goods and services with next <br />to no oversight created a significant sink- <br />hole in the state's budget. <br />"We appropriate them 'x' amount of <br />money for IT, and every year they come <br />back and ask for billions of more dollars," <br />Isett said. "It became more damaging, po- <br />litically, to us to not control this process. <br />We had one agency of 12 people - one of <br />our smallest agencies - come ask for half <br />a million dollars for IT." <br /> <br />Looking In <br />It's no secret that <br />state agencies value <br />running their own <br />IT shops, and Texas <br />agencies aren't any <br /> <br />www.govtech.net/texastechnology _19 <br />