House File 2708 - Enrolled
House File 2708
AN ACT
RELATING TO THE POWERS, DUTIES, AND RESPONSIBILITIES OF STATE
GOVERNMENT ENTITIES ASSOCIATED WITH THE BUDGET, FINANCIAL
CONTROL, AND INFORMATION TECHNOLOGY, MAKING PENALTIES
APPLICABLE, AND MAKING APPROPRIATIONS.
5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 DIVISION I
2 BUDGET AND FINANCIAL CONTROL —— INFORMATION TECHNOLOGY
3 Section 1. Section 8.2, Code 2024, is amended to read as
4 follows:
5 8.2 Definitions.
6 When used in this chapter:
7 1. “Appropriated receipts” means receipts that have been
8 appropriated by the general assembly.
9 1. 2. “Block grant” means funds from the federal government
10 awarded in broad program areas within which the state is given
11 considerable latitude in determining how funds are used and for
12 which the state develops its own plan for spending according
13 to general federal guidelines. “Block grant” does not include
14 education research grants.
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1 2. 3. “Budget” means the budget document required by this
2 chapter to be transmitted to the legislature general assembly.
3 3. 4. “Categorical grant” means federal funds applied
4 for and received by the state which are in the form of
5 entitlements, formula grants, discretionary grants, open-ended
6 entitlements, or another form that may be used only for
7 specific, narrowly defined activities, except funds for
8 student aid and assistance; grants, contracts, and cooperative
9 agreements for research and training for which no appropriated
10 matching funds are required; and reimbursements for services
11 rendered.
12 4. “Code” or “the Code” means the Code of Iowa.
13 5. “Custodial funds” means those funds from various
14 deposits, taxes, or other means that are properly collected
15 from, held for, and distributed to individuals, private
16 organizations, and other governments as provided by law.
17 5. 6. The terms “department and establishment” and
18 “department” or “establishment”, “department or establishment”
19 mean any executive department, commission, board, institution,
20 bureau, office, or other agency of the state government, by
21 whatever name called, that uses, expends, or receives any
22 state government funds, including the state department of
23 transportation, except for funds which that are required
24 to match federal aid allotted to the state by the federal
25 government for highway special purposes, but excluding the
26 courts and the legislature general assembly.
27 7. “General fund” means the general fund of the state
28 established pursuant to section 444.21.
29 6. 8. “Government” means the government of the state of
30 Iowa.
31 7. “Private trust funds” means any and all endowment
32 funds and any and all moneys received by a department or
33 establishment from private persons to be held in trust and
34 expended as directed by the donor.
35 8. “Repayment receipts” means those moneys collected by a
1 department or establishment that supplement an appropriation
2 made by the legislature.
3 9. “Government funds” means all moneys appropriated by the
4 general assembly, or moneys collected by or for the state, or a
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5 department or establishment of the state, pursuant to authority
6 granted by law.
7 10. “Private purpose trust funds” means trust arrangements
8 under which the principal and income benefit individuals,
9 private organizations, or other governments. “Private purpose
10 trust funds” does not include pension or other employee benefit
11 trust funds or investment trust funds.
12 9. 11. “Special fund” “Special revenue fund” means any
13 and all government fees and other revenue receipts earmarked
14 to finance a governmental agency to which no a general fund
15 appropriation is not made by the state.
16 10. “State funds” means any and all moneys appropriated by
17 the legislature, or money collected by or for the state, or an
18 agency thereof, pursuant to authority granted by any of its
19 laws.
20 11. 12. “Unencumbered balance” means the unobligated
21 balance of an appropriation after charging thereto to the
22 appropriation all unpaid liabilities for goods and services and
23 all contracts or agreements payable from an the appropriation
24 or a special fund.
25 Sec. 2. Section 8.3A, subsection 1, paragraph a, Code 2024,
26 is amended to read as follows:
27 a. “Capital project” means a project that consists
28 of nonroutine repairs and replacements unrelated to new
29 construction for which the cost is two hundred fifty thousand
30 dollars or more, new construction, infrastructure or site
31 development, equipment, or information technology, as defined
32 in section 8B.1. “Capital project” includes land acquisition
33 and projects that extend the useful life of or change the
34 functional use of a facility. “Capital project” does not
35 include highway and right-of-way projects or airport capital
1 projects undertaken by the state department of transportation
2 and financed from dedicated funds or capital projects funded
3 by nonstate grants, gifts, or contracts obtained at or through
4 state universities, if the projects do not require a commitment
5 of additional state resources for maintenance, operations, or
6 staffing.
7 Sec. 3. Section 8.4, Code 2024, is amended to read as
8 follows:
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9 8.4 Department of management.
10 The department of management is created, which is directly
11 attached to the office of the governor and under the general
12 direction, supervision, and control of the governor. The
13 office is in immediate charge of an officer to be known
14 as “the director”, who shall be appointed by the governor,
15 subject to confirmation by the senate, and shall hold office
16 at the governor’s pleasure and shall receive a salary as set
17 by the governor. The director may establish, abolish, and
18 consolidate divisions within the department of management
19 when necessary for the efficient performance of the various
20 functions and duties of the department of management. Before
21 entering upon the discharge of duties, the director shall
22 take the constitutional oath of office and give a surety bond
23 in the penalty fixed by the governor, payable to the state,
24 which shall not be less than twenty-five thousand dollars,
25 conditioned upon the faithful discharge of the director’s
26 duties. The premium on the bond shall be paid out of the state
27 treasury.
28 Sec. 4. Section 8.5, subsection 1, Code 2024, is amended
29 by striking the subsection and inserting in lieu thereof the
30 following:
31 1. Personnel. Employ personnel as necessary for the
32 performance of the duties and responsibilities assigned to the
33 department of management.
34 Sec. 5. Section 8.5, Code 2024, is amended by adding the
35 following new subsections:
1 NEW SUBSECTION. 5. Investigations. Make such
2 investigations of the organization, activities, and methods of
3 procedure of the several departments and establishments as the
4 director of the department of management may be called upon to
5 make by the governor or general assembly.
6 NEW SUBSECTION. 6. Legislative assistance.
7 a. Furnish to any committee of either house of the general
8 assembly having jurisdiction over revenues or appropriations
9 such assistance and information regarding the financial affairs
10 of the government as the committee may request.
11 b. Develop and recommend legislative proposals deemed
12 necessary for the continued efficiency of the department of
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13 management in performing information technology functions under
14 subchapter XI, and review legislative proposals generated
15 outside of the department which are related to matters within
16 the department’s purview.
17 NEW SUBSECTION. 7. Rules. Make such rules, subject to the
18 approval of the governor, as may be necessary for effectively
19 carrying on the work of the department of management. The
20 director may, with the approval of the executive council,
21 require any state official, agency, department, or commission,
22 to require any applicant, registrant, filer, permit holder,
23 or license holder, whether individual, partnership, trust, or
24 corporation, to submit to said official, agency, department,
25 or commission, the social security number or the tax number or
26 both so assigned to said individual, partnership, trust, or
27 corporation.
28 NEW SUBSECTION. 8. Allotments. Perform the necessary work
29 involved in reviewing requests for allotments as are submitted
30 to the governor for approval.
31 NEW SUBSECTION. 9. Budget document. Prepare the budget
32 document and draft the legislation to make it effective.
33 NEW SUBSECTION. 10. Taxation transparency and
34 disclosure. Exercise the powers and perform the duties
35 and responsibilities of the director and the department as
1 authorized or required under chapter 8G.
2 NEW SUBSECTION. 11. General control. Perform such other
3 duties as may be required to effectively control the financial
4 operations of the government as limited by this chapter.
5 NEW SUBSECTION. 12. Capital project budgeting
6 requests. Compile annually all capital project budgeting
7 requests of all state agencies, as those terms are defined in
8 section 8.3A, and to consolidate the requests, with individual
9 state agency priorities noted, into a report for submission
10 with the budget documents by the governor pursuant to section
11 8.22. Any additional information regarding the capital
12 project budgeting requests or priorities shall be compiled and
13 submitted in the same report.
14 NEW SUBSECTION. 13. Capital project planning and budgeting
15 authority. Call upon any state agency, as defined in section
16 8.3A, for assistance the director may require in performing the
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17 director’s duties under subsection 12. All state agencies,
18 upon the request of the director, shall assist the director and
19 are authorized to make available to the director any existing
20 studies, surveys, plans, data, and other materials in the
21 possession of the state agencies which are relevant to the
22 director’s duties.
23 NEW SUBSECTION. 14. State tort claims —— risk management
24 coordinator. Designate a position within the department of
25 management to serve as the executive branch’s risk management
26 coordinator.
27 a. The risk management coordinator shall have all of the
28 following responsibilities:
29 (1) Coordinating and monitoring risk control policies and
30 programs in the executive branch, including but not limited
31 to coordination with the employees of departments who are
32 responsible for the workers’ compensation for state employees
33 and management of state property.
34 (2) Consulting with the attorney general with respect to
35 the risk control policies and programs and trends in claims and
1 liability of the state under chapter 669.
2 (3) Coordinating the state’s central data repository for
3 claims and risk information.
4 b. The costs of salary, benefits, and support for the risk
5 management coordinator shall be authorized by the state appeal
6 board established in chapter 73A and shall be paid as claims
7 for services furnished to the state under section 25.2.
8 NEW SUBSECTION. 15. Salary model administrator. Designate
9 a position within the department of management to serve as the
10 salary model administrator.
11 a. The salary model administrator shall work in conjunction
12 with the legislative services agency to maintain the state’s
13 salary model used for analyzing, comparing, and projecting
14 state employee salary and benefit information, including
15 information relating to employees of the state board of
16 regents.
17 b. The department of revenue, the department of
18 administrative services, the institutions governed by the state
19 board of regents pursuant to section 262.7, each judicial
20 district’s department of correctional services, and the state
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21 department of transportation shall provide salary data to the
22 department of management and the legislative services agency
23 to operate the state’s salary model. The format and frequency
24 of provision of the salary data shall be determined by the
25 department of management and the legislative services agency.
26 c. The information shall be used in collective bargaining
27 processes under chapter 20 and in calculating the funding needs
28 contained within any annual salary adjustment legislation.
29 A state employee organization as defined in section 20.3,
30 subsection 4, may request information produced by the model,
31 but the information provided shall not contain information
32 attributable to individual employees.
33 NEW SUBSECTION. 16. Chief information officer. Designate a
34 position within the department of management to serve as the
35 chief information officer for the department and supported
1 entities, as defined in section 8B.1, who shall be the sole
2 chief information officer for the department and supported
3 entities.
4 NEW SUBSECTION. 17. Gubernatorial advice. Provide advice
5 to the governor, including advice related to information
6 technology, as defined in section 8B.1.
7 NEW SUBSECTION. 18. Information technology
8 consultation. Consult with departments and establishments on
9 issues related to information technology, as defined in section
10 8B.1.
11 NEW SUBSECTION. 19. Cybersecurity. Exercise the sole
12 authority in the executive branch of state government for
13 convening cross-jurisdictional, multi-entity collaborations to
14 address cybersecurity issues for supported entities, as defined
15 in section 8B.1.
16 NEW SUBSECTION. 20. Designation of services —— funding ——
17 customer council.
18 a. Establish a process by which the department of
19 management, in consultation with the department of
20 administrative services, determines which services provided
21 by the department of administrative services shall be funded
22 by an appropriation and which services shall be funded by the
23 governmental entity receiving the service.
24 b. Establish a process for determining whether the
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25 department of administrative services shall be the sole
26 provider of a service for purposes of those services which the
27 department of management determines under paragraph “a” are to
28 be funded by the governmental entities receiving the service.
29 c. (1) Establish, by rule, a customer council responsible
30 for overseeing the services provided solely by the department
31 of administrative services. The rules adopted shall provide
32 for all of the following:
33 (a) The method of appointment of members to the council by
34 the governmental entities required to receive the services.
35 (b) The duties of the customer council which shall be as
1 follows:
2 (i) Annual review and approval of the department of
3 administrative services’ business plan regarding services
4 provided solely by the department of administrative services.
5 (ii) Annual review and approval of the procedure for
6 resolving complaints concerning services provided by the
7 department of administrative services.
8 (iii) Annual review and approval of the procedure
9 for setting rates for the services provided solely by the
10 department of administrative services.
11 (c) A process for receiving input from affected
12 governmental entities as well as for a biennial review by the
13 customer council of the determinations made by the department
14 of management of which services are funded by an appropriation
15 to the department of administrative services and which services
16 are funded by the governmental entities receiving the service,
17 including any recommendations as to whether the department of
18 administrative services shall be the sole provider of a service
19 funded by the governmental entities receiving the service. The
20 department of management, in consultation with the department
21 of administrative services, may change the determination of
22 a service if the change is in the best interests of those
23 governmental entities receiving the service.
24 (2) If a service to be provided may also be provided to the
25 judicial branch or legislative branch, then the rules shall
26 provide that the chief justice of the supreme court may appoint
27 a member to the customer council, and the legislative council
28 may appoint a member from the senate and a member from the
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29 house of representatives to the customer council, respectively,
30 at their discretion.
31 NEW SUBSECTION. 21. Annual report. On an annual basis,
32 the department of management shall prepare a report to the
33 governor and the general assembly regarding the total spending