Office for Technology
The enacted budget makes the following changes to the Executive Budget (analysis as of April 3, 2007):
- Reduces the office’s All Funds appropriation by $3 million, reflecting a reduction of funding for contractual services in the Office for Technology program.
- Eliminates the language proposed by the Senate that would have required the new consolidated data center to be located in Utica. PEF obtained a letter of clarification from the Division of Budget that stated that $5.1 million for interim data center capacity will not be used to relocate current data centers.
The Senate and Assembly recommend (analysis as of March 16, 2007):
Senate:
- Cuts $1 million from the Office’s State Operations budget; the entire cut is in the contractual services appropriation for the Office of Technology program. This appropriation had been increased by $477,000 over last year’s appropriation. The Senate claims this reflects their rejection of funding for the purchase of interim data center space.
- Adds language to the reappropriation for construction of a new consolidated data center that states that the new data center must be in Utica New York.
Assembly: Cuts $3 million from the office’s State Operations budget; the entire cut is in the appropriation for contractual services in the Office for Technology program. It is the same appropriation that is cut by the Senate and probably reflects their rejection of funding for the purchase of interim data center space.
The Executive Budget recommends (analysis as of February 1, 2007):
A FY 2007-08 workforce of 726. This is an increase of 47 FTEs from the adjusted FTE level for FY 2006-07. The following chart identifies adjustments in the current fiscal year’s FTEs along with the recommended differences in FY 2007-08 FTEs by program (if the FTE’s are the same the program is not listed):
Program
FY 2006-07 Adjustment
FY 2007-08 Difference
Statewide Technology Program
0
+47
- The total appropriation for Personal Service is $45.4 million, with an All Funds increase of $44.6 million, (+16.1%) from SFY 2006-07.
- The Wireless Network was consolidated into the Office for Technology adding 47 positions to the Office. Two new positions are included in the appropriation in this program. It is called the Statewide Technology Program in the budget and has a $31.5 million appropriation for SFY2007-08, $3.2 million of which is for personal services. There is also a $5.8 million increase in the $28.27 million non-personal services appropriation for this program. According to the Assembly and Senate this is to cover MA/Com contract costs and consultant services costs for network development. The purpose of this appropriation, its increase and whether the work can be done by state employees should be discussed at statewide labor management.
- An increase of $5.9 million (+5.2%) in the State Data Center Account – Internal Service Fund. According to the Senate and Assembly $5.1 million of this increase is for the rental of interim data center space and capacity expansion at the North Pearl Street facility. Whether the rental of this data center space contemplates approval of the proposed contract with IBM and its Rochester data center or the movement of state servers to other private entities or outside the proximity of the current data centers should be clarified at statewide labor management.
- An increase of $6.7 million (+18.4%) in the Human Services Telecommunications Account – Internal Services Fund. According to the Senate and Assembly $5.4 million of this funding is to update Human Services Network equipment which will serve the Department of Health, Department of Labor, Office of Children and Family Services, and the Office of Temporary and Disability Assistance.
- The Executive Budget re-appropriates $99.3 million for the consolidated data center at a “single, efficient primary site.” It provides no specifics on where that site is located. It also mentions, “continuing design and beginning construction” of the center.
- The Executive Budget shows that the Office of Technology employed an estimated 222 employees under consultant contracts in SFY 2006-07 at an estimated cost of $45.4 million or an average cost of $204,540 per consultant contract employee. It is estimated that the number of employees employed under consultant contracts will remain the same in SFY 2007-08. Interestingly consultant contract employees will be paid $51.6 million in SFY 2007-08 or an average cost of $232,346 per consultant contract employee, a 13.6% increase over the average cost in SFY 2006-07. The purpose and use of these contract employees and whether they can be replaced by state employees should be clarified at statewide labor management.
Office for Technology Program Details-State Operations Enacted Proposed Enacted Change in Percent Program 2006-07 Budget 2007-08 Budget 2007-08 Budget Appropriation Change All Funds $276,595,000 $321,363,000 $318,363,000 $41,768,000 15.1% General Fund $23,095,000 $23,614,000 $20,614,000 ($2,481,000) -10.7% Special Revenue-Other $0 $31,549,000 $31,549,000 $31,549,000 100.0% Internal Service Fund $253,500,000 $266,200,000 $266,200,000 $12,700,000 5.0% Personal Services $45,515,000 $45,515,000 Contractual Services $204,858,000 $201,858,000 Office for Technology $276,595,000 $299,303,000 $296,303,000 $19,708,000 7.1% Personal Service $7,986,000 $9,489,000 $9,489,000 $1,503,000 18.8% Regular $9,229,000 $9,229,000 Temporary service $200,000 $200,000 Holiday/overtime compensation $60,000 $60,000 Nonpersonal Service $15,109,000 $14,125,000 $11,125,000 ($3,984,000) -26.4% Supplies and materials $260,000 $260,000 Travel $45,000 $45,000 Contractual Services $11,920,000 $8,920,000 Equipment $1,900,000 $1,900,000 Internal Service Fund $253,500,000 $266,200,000 $266,200,000 $12,700,000 5.0% OFT NYT Acct - (ISF) $105,000,000 $105,000,000 $105,000,000 $0 0.0% Personal Service $6,444,000 $6,444,000 Regular $6,409,000 $6,409,000 Holiday/overtime compensation $35,000 $35,000 Nonpersonal Service $98,556,000 $98,556,000 Supplies and materials $90,000 $90,000 Travel $60,000 $60,000 Contractual Services $79,581,000 $79,581,000 Equipment $15,620,000 $15,620,000 Fringe benefits $3,100,000 $3,100,000 Indirect costs $105,000 $105,000 State Data Center Acct - (ISF) $112,000,000 $118,000,000 $118,000,000 $6,000,000 5.4% Personal Service $17,904,000 $17,904,000 Regular $17,719,000 $17,719,000 Temporary service $35,000 $35,000 Holiday/overtime compensation $150,000 $150,000 Nonpersonal Service $100,096,000 $100,096,000 Supplies and materials $1,533,000 $1,533,000 Travel $21,000 $21,000 Contractual Services $63,797,000 $63,797,000 Equipment $25,945,000 $25,945,000