Intergovernmental Advisory Board (IAB) Teleconference    (2TQ5)

American Council for Technology {nid 2TPO} Tuesday, June 21, 2005 {nid 2TPP} 2:00-3:00 PM (Eastern)    (2TON)

Attendees:    (2TPR)

Introduction and Opening Remarks    (2TQ6)

Darlene opened the meeting by introducing to the two new Intergovernmental Solutions associates to the IAB members and invited guests: Betsy Steele and Marc Wine.    (2TOP)

Highlights from Last Meeting, February 10, 2005    (2TQ7)

o Introduced new State members: Teri Takai and Terry Savage o Discussed Federal CIO’s Solution Exchange & Intergovernmental components and possible use by state and local governments o Discussed Enterprise Architecture: specifically the effort to update and expand the Data Reference Model o Intergovernmental Solutions’ Expedition Workshops are now available virtually via an online Collaborative Workspace with an audio teleconference bridge at:    (2TQ8)

NECCC Symposium on Strategic Sourcing    (2TQ9)

Evie Barry, program manager of the National Electronic Commerce Coordinating Council (NECCC) summarized the proceedings of the NECCC 2005 Symposium held March 31 – April 2 on Strategic Sourcing. Case studies and lessons-learned from four states that use strategic sourcing to purchase goods and services were highlighted. Strategic sourcing utilizes a leveraged buying approach where state buyers analyze what goods and services are needed and who can supply them in order to find the best values in the marketplace. Savings are largely acquired through consolidated buying and good contract management. When states are starting out, consolidations are largely found in the areas of vehicles, office supplies, and computers.    (2TOS)

Strategic Sourcing can have the following benefits in addition to saving money: strategic sourcing streamlines and simplifies departmental procurement efforts; provides proven procurement and technology methods; develops new opportunities for small businesses and Disabled Veteran Business Enterprises; and provides an automated purchasing system.    (2TOT)

A summary of the four states highlighted at the conference follows:    (2TOU)

Arizona    (2TOV)

The Governor issued an Executive Order to find practical ways to reduce cost, improve customer service and eliminate duplication in the Arizona state government. Enterprise Procurement Services is the central procurement authority for the State of Arizona. One of its primary roles is the oversight of the Arizona Procurement Code by the development of policies, training and management of procurement delegation. The other role is the development and administration of a wide variety of statewide contracts for commonly used goods and services for use by state agencies. The state has also developed and implemented a certification program for Arizona government cooperative purchasing.    (2TOW)

California    (2TOX)

As part of Gov. Schwarzenegger’s Performance Review, the California Strategic Sourcing Initiative anticipates savings in office supplies, vehicles, cellular phones, IT Hardware and PC goods.    (2TOY)

Oregon    (2TOZ)

The Oregon Smart Buy program engaged a 3rd party auditor to review savings, calculations, methodology and results. The lessons-learned include:    (2TP0)

1) Change must be managed and communication and involvement is the key to a successful program particularly if procurement professionals have ownership. 2) Expect vendor pushback as vendors are not used to contracts being actively managed.    (2TP1)

The State of Oregon anticipates savings of $11 million over 2 years.    (2TP2)

Pennsylvania    (2TP3)

The Governor sponsored and championed the development of the strategic sourcing program in Pennsylvania. They developed a procurement shared services center and prioritized the advancement of true commodity expertise for state buyers. Previously, buyers were jacks-of-all-trades. One day they may buy cars, the next day rock salt and the following day canned goods. In the shared services center, each buyer has a well-defined and fairly narrow sphere of activity. The car buyer today will be the car buyer tomorrow. As a result, the buyer will develop a great deal of expertise about the industry.    (2TP4)

The State of Pennsylvania has saved $121 million annually in less than 2 years.    (2TP5)

Discussion of Recent OMB Memo on Strategic Sourcing    (2TQA)

Darlene Meskell discussed the memorandum dated May 20, 2005 from the Office of Management and Budget (OMB) on “Implementing Strategic Sourcing”. The OMB memo specifically requires the Chief Acquisition Officer to identify three commodities that could be purchased more effectively through the application of strategic sourcing by no later than October 1, 2005. Software purchased through the SmartBUY program is specifically excluded from the agencies list of planned strategic sourcing buys. The CAO is also required to lead the collaborative development of an agency-wide strategic sourcing plan in coordination with the agency Chief Financial Officer, and Chief Information Officer, representatives from the agency’s Office of Small and Disadvantaged Business Utilization, and other key stakeholders, as appropriate. At a minimum, the plan will include the following elements:    (2TP7)

• Establishment of a Strategic Sourcing Council    (2TP8)

• Set annual Strategic Sourcing goals and objectives    (2TP9)

• Establishment of Performance Measures    (2TPA)

• Establish a Communications Strategy to implement strategic sourcing plan agency-wide.    (2TPB)

The Communications plan should identify the actions necessary to educate the agency’s acquisition workforce to support the effective and efficient strategic sourcing implementation and management.    (2TPC)

Additional information is available at:    (2TPD)

The Real ID Act of 2005    (2TQB)

Darlene Meskell led a discussion about the Real ID Act of 2005, part of the DoD Appropriations Bill for FY 2006. Section 201, “Title II – IMPROVED SECURITY FOR DRIVERS’ LICENSES AND PERSONAL IDENTIFICATION CARDS”, requires states to incorporate nine minimum document standards in the issuance of driver’s licenses and ID Cards.    (2TPF)

1. The person’s full legal name. 2. The person’s date of birth. 3. The person’s gender. 4. The person’s driver’s license or identification card number. 5. A digital photograph of the person. 6. The person’s address of principle residence. 7. The person’s signature. 8. Physical security features designed to prevent tampering, counterfeiting, or duplication of the document for fraudulent purposes. 9. A common machine-readable technology, with defined minimum data elements.    (2TPG)

The Act also sets minimum issuance standards for a driver license. A person will be required to present four documents to a State for the proper issuance of a driver license:    (2TPH)

1. A photo identify document, except that a non-photo identify document is acceptable if it includes both the person’s full legal name and date of birth. 2. Documentation showing the person’s date of birth. 3. Proof of the person’s social security account number or verification that the person is not eligible for a social security account number. 4. Documentation showing the person’s name and address pf principal residence.    (2TPI)

Doug Robinson, executive director of the National Association of Chief Information Officers (NASCIO), articulated the States’ strong opposition to this legislation. NASCIO, the National Governors Association and other state associations oppose the law as a huge unfunded mandate that could cost state governments as much as $750 million dollars to implement. Most oppose the Act because it is primarily anti-immigration legislation aimed at denying illegal immigrants driver licenses, which disregards the States’ ongoing efforts to develop tamper proof driver licenses and identification cards. One governor had stated that “the Federal government has turned an eight dollar per hour motor vehicle department employee into an immigration officer”. The unintended consequences are likely to be millions of illegal aliens that are untested, unlicensed, and uninsured drivers on our nation’s highways? This is a serious public safety issue. On the other hand, national uniform-standards would allow states and federal agencies to share drivers’ information..    (2TPJ)

Wrap-up and Closing    (2TQC)

Darlene wrapped up the teleconference by asking each member their suggestions for emerging issues that will be important within the next 12 to 18 months. Doug Robinson led the discussion by listing NASCIO’s issues; health IT, data sharing and integration, governance models for intergovernmental efforts, voice over the Internet, and privacy. Dave Molchany, Fairfax County CIO, mentioned data sharing and their work with the Department of Homeland Security on XML data element standards. John Williams from Los Angeles County mentioned security implications of sharing citizen information across governments. Kim Nelson, EPA CIO, suggested a study of governance models for cross boundary projects. Barry West, FEMA’s CIO mentioned interoperatability standards and metadata standards. Evie Barry, NECCC suggested a paper on “What is RFID”.    (2TPL)

Darlene Meskell concluded the meeting with an announcement that the next IAB meeting tentatively will be in September 2005    (2TPM)