STATEMENT OF PURPOSE
RS29132C1 / H0729
Modernizing the State's business information infrastructure will require a modern support structure to sustain
the continuous information security and standards of the new systems. The intent of this bill is to provide a
funding structure that properly incentivizes state agencies to manage their use of support through a direct bill
cost versus the current two-year lag of the statewide cost allocation plan (SWCAP).
This bill extends the deposit of money from the indirect cost recovery fund into the business information
infrastructure fund (BIIF) for one additional year, until June 30, 2023. Additionally, this bill removes the
sunset provision of the BIIF. The removal of the sunset provision provides the structure for the State Controller's
Office (SCO) to move from a general fund support organization to a dedicated fund, direct bill organization.
The additional one year of funds will allow for the transition to a dedicated fund, fee-for-service model.
This bill is part of a multi-year plan to work with the Legislature and Governor to transition central services of
the SCO to a shared-services, dedicated fund, fee-for-service model. During the transition, the SCO's on-going
need for general funding will decrease as the fee for services dedicated fund recovers the cost for centralized
services of SCO. Full transition to the new billing structure is expected to begin FY 2026. After full transition
it is estimated to decrease SCO's on-going need for general funds by approximately $85 million.
FISCAL NOTE
The amount of funds for one additional year to be transferred from the indirect cost recovery fund is
approximately $23 million. A reduction of general fund appropriation to the SCO over several years will
be replaced by a dedicated, fee-for-service funding model. There is no fiscal impact to the local units of
government of the state.
Contact:
Joshua C. Whitworth
State Controller's Office
(208) 334-3100
DISCLAIMER: This statement of purpose and fiscal note are a mere attachment to this bill and prepared by a proponent
of the bill. It is neither intended as an expression of legislative intent nor intended for any use outside of the legislative
process, including judicial review (Joint Rule 18).
Statement of Purpose / Fiscal Note Bill SOP/FN INTRODUCED: 03/03/2022, 8:34 AM

Statutes affected:
Bill Text: 67-1021A, 67-1021C