Bill Text: MI SB1011 | 2011-2012 | 96th Legislature | Introduced
Bill Title: State financing and management; purchasing; requirement for performance bond for certain services valued at more than $2,000,000.00; provide for. Amends sec. 203 of 1984 PA 431 (MCL 18.1203).
Spectrum: Partisan Bill (Republican 3-0)
Status: (Introduced - Dead) 2012-03-08 - Referred To Committee On Appropriations [SB1011 Detail]
Download: Michigan-2011-SB1011-Introduced.html
SENATE BILL No. 1011
March 8, 2012, Introduced by Senators JONES, ROCCA and MARLEAU and referred to the Committee on Appropriations.
A bill to amend 1984 PA 431, entitled
"The management and budget act,"
by amending section 203 (MCL 18.1203), as amended by 1999 PA 8.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 203. (1) The department shall issue directives, after
consultation with any affected state agency, relative to state
automated information processing installations and
telecommunications projects and services including the planning,
establishment, consolidation, or outsourcing of state information
processing installations and telecommunications projects and
services to assure the design, implementation, and maintenance of
effective and efficient support systems for state agencies.
(2) Within 120 days after the end of each fiscal year, the
department shall report to the appropriations committees and the
fiscal agencies for the immediately past completed fiscal year. The
report shall include all of the following:
(a) A departmental summary of expenditures and source of
funding for all information technology projects undertaken by a
principal department.
(b) Expenditures on information technology hardware,
information technology software, information technology consulting
services entered into with the private sector, and expenditures
related to state employees whose primary work assignment involves
information technology support.
(c) A distinction between information technology expenditures
made directly by state departments and those expenditures made
through contracts with the private sector.
(3) An expenditure shall not be made for automated information
processing unless the expenditure is pursuant to an automated
information processing plan that is approved by the department. A
contract or contract extension for an expenditure for information
technology of $2,000,000.00 or more that is entered into after the
effective date of the 2012 act that added this sentence shall
require the vendor to supply a performance bond. The performance
bond shall secure the faithful performance of the contract or
contract extension in accordance with its plans, specifications,
and terms and shall be payable on terms that protect the interests
of this state. The department shall establish the amount of the
performance bond for each contract or contract extension, which
shall be at least 1/3 but not more than 3 times the value of the
contract or contract extension. The dollar amount of this state's
contracts and contract extensions with a vendor for the same
project or that are interdependent shall be aggregated for purposes
of the performance bond requirement.
(4) The department shall develop and maintain a statewide plan
for the effective and efficient utilization of information
processing and telecommunication projects and services.
(5) The department may arrange for and effect a unified and
integrated statewide information processing and telecommunication
system and provide for the administration of the system.
(6) A state agency shall not purchase or operate a
telecommunications facility or system or an automated data
processing system or installation unless the facility, system, or
installation is approved by the department.
(7) Each state agency shall report to the department and to
the appropriate appropriations committees and fiscal agencies on
each informational system sold or marketed by the state agency or a
contractor hired by the state agency. The report shall include all
costs of development of the system, the income derived from the
marketing or sale, and the disposition of the income.
