MEETING AGENDA

State of New Mexico Office of the State Engineer - Interstate Stream Commission

Meeting Name: Date:

Start:

OSE-ISC IT Governance Committee Meeting

October 12, 2011

Committee

John D’Antonio,

(Wednesday)

Co-chairs:

Renée Martínez

1:30 PM

End:

3:30 PM

Location:

Concha, Ortiz y Pino Building, 2

nd

Floor Conference Room

ATTENDEES: P (Present), A (Absent), R (Recorder), O (Observer) P, A, R, O

Name

Program

P, A, R, O

Name

Program

John D’Antonio

All

Nabil Shafike

ISC

Renée Martínez

All

Emile Sawyer

ISC

Curtis Eckhart

PS

Rick DeSimone

WRAP

Jim McNees

LAP

John Romero

WRAP

Greg Ridgley

LAP

Charles Kinney

PS

Topic Leader

Est. Time

#

Agenda Item Review & Approve Minutes from August 12, 2011 Committee Meeting

1

Meeting Materials: August 12, 2011 ITGC Meeting Minutes

R. Martínez

5 min.

Project Spotlight – Water Rights System Modernization

2

•

Review Business Case Overview

R. Martínez,

•

Discuss & Recommend Project Advocacy Activities

R. DeSimone,

Meeting Materials: Water Rights Business Process Management System - Business Case (FY13 IT Plan)

45 min.

J. Romero

FY13 IT Plan – Follow-Up 3

• • •

Major IT Issues & Concerns IT Staff Training Priorities IT Service Management Initiatives

R. Martínez

30 min.

R. Martínez

15 min.

15 min.

Meeting Materials: FY13 IT Plan – Sections 3.2, 6.3, 7.1

IT Project Portfolio Management 4

• • •

Completed Projects Active Projects In-Queue Projects

Meeting Materials: FY12 Project Portfolio Gantt Chart

IT Budget and Spending 5

Meeting Materials: FY12 IT Budget and Spending Report (Quarter 1)

R. Martínez

Communications 6

• •

J. D’Antonio,

7

Specify Date, Time and Agenda for Next Committee Meeting

Identify Communication Items from the Meeting Determine What, To Whom and How to Communicate each Item

1

R. Martínez J. D’Antonio

5 min. 5 min.

MEETING AGENDA

State of New Mexico Office of the State Engineer - Interstate Stream Commission

New Action Items

Responsible

1 2

NOTES:

2

Due Date

MEETING MINUTES

State of New Mexico Office of the State Engineer & Interstate Stream Commission OSE-ISC IT Governance Committee Meeting

Date: Start:

August 12, 2011

Committee

John D’Antonio,

(Wednesday)

Co-chairs:

Renée Martínez

10:00 AM

End:

12:00 PM

Location:

Concha, Ortiz y Pino Building, 2nd Floor Conference Room

ATTENDEES: P (Present), A (Absent), R (Recorder), G (Guest) P, A, R, O

Name

Program

Name

Progra m

P

John D’ Antonio

All

A

Nabil Shafike

ISC

P

Renée Martínez

All

P

Emile Sawyer

ISC

P

PS

P

Rick DeSimone

WRAP

P

Curtis Eckhart Claire Bornero proxy for Jim McNees

LAP

P

John Romero

WRAP

P

Greg Ridgley

LAP

A

Charles Kinney

PS

P

Estevan Lopez

ISC

A

Joe Schleicher

LAP

#

Agenda Item Review & Approve Minutes from June 29, 2011 Committee Meeting

1

P, A, R, O

Meeting Materials: June 29, 2011 ITGC Meeting Minutes

Decision and Discussion A motion was made by Greg Ridgley to approve the minutes from the June 29, 2011 committee meeting with the following correction. Change “Honda” to “Hondo” basin in discussion of item 3, Middle Rio Grande Depletion Analysis (second Committee recommendation). Charlie Kinney seconded the motion. The motion carried with unanimous consent. Renée Martínez presented an executive summary of the IT Gaps and Opportunities for the top six (6) agency priorities as developed and documented during the agency planning retreat in July: Adjudications • Strong dependence on existing systems (WRATS, WATERS, eGIS)

Review and Discuss Recommendations for FY13 IT Priorities (FY13 IT Plan)

2

•

Review and Discuss IT Gaps and Investment Opportunities

•

Review and Discuss Recommendations for FY12-FY13 IT Priorities

Meeting Materials: Analysis of IT Gaps and Opportunities Related to Agency Priorities

•

Opportunities to share and exchange data with internal and external stakeholders (courts, counties, defendants)

•

Opportunities to more effectively manage the high volume of paper and electronic documents Colorado River Compacts •

Data collection methods are dated and in need of modernization

•

Opportunities to share and exchange data and documentation with internal and external parties

•

Standard methods for using data in curtailment and overuse decisions are desired Water Rights Application Processing • Opportunities for Hearing Unit process automation (calendars, electronic filing, document management) •

Modernization of WATERS is needed to support staff and processes 3

Page 1 of 3

MEETING MINUTES #

State of New Mexico Office of the State Engineer & Interstate Stream Commission

Agenda Item

Decision and Discussion Interstate Stream Compacts • Heavy dependence on GIS •

Document management and knowledge management needs are significant Indian Water Right Settlements • Financial data management and cost accounting requirements •

Automated calendar functions (alerts, reminders of deadlines, events)

•

Opportunity to use web sites to share settlement data and documents with the public Measurement & Metering • Strong desire to step back and review data management needs for each AWRM basin separately (what we have, what we need, how use) and develop a data management plan Committee members expressed some frustration that the retreat workgroups ran out of time during this exercise and stated a desire to take what was developed to their bureaus for further discussion and development. Mrs. Martínez also presented an analysis of common and unique IT elements related the six agency priorities. The Committee approved the following recommendations: •

Submit the Water Rights System Modernization and Electronic Document and Content Management System projects as FY13 IT Special appropriations requests.

•

Evaluate alternative web-based calendar solutions (e.g. Google, Microsoft) in FY12 and implement desired solution in FY13.

•

Evaluate and prioritize projects specific to Agency initiatives via the IT Governance Committee project business case evaluation process.

•

Assign IT resources in FY12 to handle quick fix items:  Redesign web-site for Indian Water Rights Settlement content (OSE web site)  Make AWRM basin work plans available on-line and in oneplace (iDrop)  Make an FTP site available to all programs  Provide access to electronic copies of signed sub-file orders The Committee approved several changes to the statements of agency IT strategic goals, which will be made to the FY13 OSE/ISC IT Plan. Review and Discuss IT Performance Measures 2

•

Review FY11 Performance Results

•

Discuss Changes and Additions to IT Performance Measures

The Committee approved the following changes to the FY12-FY13 IT Performance Measures: •

Track but do not formally report on the % annual increase in Agency web site visits and % annual increase in Water Rights Reporting System requests; as web site activity in influenced by many factors, such as news and events. 4

Page 2 of 3

MEETING MINUTES #

State of New Mexico Office of the State Engineer & Interstate Stream Commission

Agenda Item Meeting Materials: IT Performance Scorecard FY11

IT Project Portfolio Management 3

Meeting Materials: Project Portfolio Gantt Chart

IT Budget and Spending (FY11 and FY12) 4

Meeting Materials:

Decision and Discussion • Add new measure, % Employee Training Goals Met, with a target of 75%. Renée Martínez highlighted the project accomplishments over fiscal year 2011. Twelve (12) projects were completed during the year. The WATERS Change Location of Well project is due to complete in August 2011. Renée Martínez provided a report on fiscal year 2011 IT spending. Actual agency IT expenses are $2,434,100. The budget for IT expenses across all programs for fiscal year 2012 is $2,390,800.

FY2 IT Budget and Expense Report

5

Specify Date, Time and Agenda for Next Committee Meeting

The next Committee meeting was scheduled on Friday, August 12, 2011, from 1:30-3:30 pm.

5

Page 3 of 3

Office of the State Engineer-Interstate Stream Commission

Water Rights System Modernization Project (FY13 Request = $485.0; Total Request = $1,205.0) JOHN ROMERO (WATER RIGHTS PROGRAM DIRECTOR) RICK DESIMONE (WATER RIGHT ABSTRACTING BUREAU CHIEF) RENÉE MARTÍNEZ (CHIEF INFORMATION OFFICER)

6

Project Value Proposition 2  Redesign and modernize water rights administration processes and the

water rights information management system (WRIMS) using business process management software (BPMS). Modernization of the current system is critical to achieve the following Agency objectives: o

Improve business agility, that is, to significantly (by 50%+) reduce the time and effort required to change the system to adapt to evolving business rules, regulations and priorities;

o

Improve staff productivity (by 25-40%);

o

Increase business process transparency and performance management;

o

Reduce system maintenance and future system development costs; and

o

Improve constituent (water rights owners, courts, legislators) satisfaction with Agency services (e.g. improved cycle time).

7

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Business Problem 3  The Water Resources Allocation Program (WRAP) is responsible for

processing water rights applications, conducting the scientific research for making water rights decisions, maintaining water rights records, and enforcing any conditions or restrictions on water use. * 42,000 water rights transaction per year  The Agency is not able to enhance the current system at a pace that is

necessary to support new water right administration requirements, rules and regulations.  Over the past five years, the OSE has overhauled surface, ground and domestic water right, and well driller regulations and introduced a new set of regulations for actively managing the State’s water resources.  System users have been forced to implement many workarounds due to limitations of the current system architecture.  Only two of seven application developers within the agency have the programming skills required to make enhancements to the current system.

8

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Current State 4  The current system In addition, the system is over fifteen years old, is built upon

old technology (Informix 4GL) and its extensive use has created a large backlog of needed enhancements; for example: 

  

Accounting for complex water rights schemes such as “stacking” of rights and multipleuse and diversion accounts. Enhance irrigation meter reading and automated entry. Expand utilization and integration of Geographic Information System (GIS) technology. Increase adaptability to changes mandated by new laws, rules, regulations, court decisions and policy changes.

 The current system architecture presents significant business and technical

changes to the Agency, including: 



Application updates are slow and costly due to tight-coupling of user interface, business logic and database processes; resulting in a proliferation of manual and semi-automated workarounds. An ever-increasing level of user competency is required to deal with these workarounds. Limitations of the text-based Informix 4GL user interface have made it difficult to improve screen layouts and functions. Application users like the key-board-centric data manipulation but complain about the number of screens involved in typical tasks. 9

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Current State (continued) 5  A lack of formal business process management methods has led to an

inability to automate end-to-end transactions and workflows. The WRIMS serves mainly as a water rights data repository and has not been extended to automate complete processes and workflows.  Interfaces with COTS applications, such as document management systems, have been implemented as point-to-point solutions. This makes it difficult to view and manage the entire process state.  Informix 4GL is an outdated technology and finding skilled IT professionals to maintain and develop the application will become increasingly costly and difficult as the technology reaches obsolescence.

10

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Future State 6

 Let the System Do The “Heavy Lifting”  System drives the workflow based on business rules (especially for domestic transaction processing)  Eligibility determination based on prior application activity  Fee calculations  Automatically correlate events from other systems with process

steps  Court decisions, county transactions  Document images

 Expose business processes through online internal user interface

with clearly manifested work items  Action Required (e.g. review, approval)  Waiting for Action to Proceed (e.g. supporting documentation)  Normal Tasks  Performance and Operational Reports 11

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

User Interface - Task List Example

12

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

User Interface – Dashboard Example

13

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Project Status 9

 FY11 Accomplishments

The Agency completed a roadmap for modernization; evaluated RFI responses from three leading BPMS vendors, and completed a technology proof of concept using one of the BPMS solutions.  FY12 Planned Activities The Agency will conduct an architecture proof of concept (POC) to address actual system requirements. The architecture POC yields tested, executable code which addresses common functional and non-functional needs and is proven to work in our environment.  FY13 Planned Activities The Agency seeks funding to acquire BPMS software (lease option) and implementation services and start an iterative application redevelopment cycle. 14

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

What is BPMS? 10

 An integrated suite of software technologies that addresses business



 



users' desire to see and manage work as it progresses across organizational boundaries Supports a full view of work by coordinating the interactions among people, systems and information, which are all equally important aspects of work Supports process modeling, design, development and execution in one package Combines several BPM-enabling technologies, such as business process modeling, business activity monitoring, business rule engines, portals, web services-based integration and information management. A suite increases effectiveness tools through interoperability and an explicit approach to coordinating workflow, including human tasks, "systematized" tasks, policies and information flows. 15

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Architecture Diagram 11

16

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

BPMS is Transformative 12

 BPM is Not a Passing Fad: Since 2006, "improving business

processes" has been the No. 1 business priority of CIOs surveyed by Gartner Group.  BPM Delivers Tangible Value: A Gartner Group survey of chief-level executives conducted in December 2009 indicated that more than twothirds see value in using a BPM approach to achieve their business priorities.  BPM is Transformative: According to a 2010 Gartner Group survey, organizations that use a BPM approach spend less of their IT budgets (55%) on running the business and "keeping the lights on," compared with the industry average of 64%.

17

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

BPMS fit to Water Rights Process 13  Current system unable to meet

 Reduce costs in new feature

changing laws and regulations in time development and existing feature maintenance  Quick process and rule reconfiguration with minimal  Shift from programmer to technical downtime Business Analyst resources  Desired improvements in agency  Re-use of existing application personnel utilization assets  Intuitive, easy to learn and use,  Industry-standard I&O procedures Web-based User Interfaces  Possibility of development and I&O partnerships/outsourcing  Improved employee morale  Increased job satisfaction resulting  Increased general public satisfaction from improved productivity with State’s services  Better business process transparency  Self-service options with intuitive, easy to learn and use, Web-based  Real-time workflow state reporting User Interfaces  Up-to-date information availability 18

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

BPMS Market Leaders 14 The Agency evaluated RFI responses from three leading BPMS vendors: • Oracle • Progress Software • IBM * Microsoft did not respond “Microsoft is not represented in this Magic Quadrant because it does not offer a BPMS; rather, Micrsoft relies on partners to use its Windows Workflow Foundation (WF) technology and supplement its application platform with BPM functionality. “ “Gartner's view is that the BPMS market is poised to become a mainstream market. In the past 12 months, some significant acquisitions have occurred. Specifically, Progress acquired Savvion to enter this market, IBM acquired Lombardi to compete effectively in the "sweet spot" for BPMSs. “

Gartner Group - Magic Quadrant for Business Process Management Suites 19

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Alignment with Agency Priorities 15  Agency Goal - Promote the effective administration,

distribution, protection, conservation and development of the State’s surface and groundwater.  Agency Objective: Administer water rights from an electronic platform that includes: a database of existing rights and applications; an application status and tracking system; and a geographic information system (GIS).  Strategies 







Abstract and image existing water files for priority basins including all applications and documents as they are acted upon. Execute management control and reporting systems for tracking and clearing water right actions due. Map existing water rights and transaction history for priority basins into a GIS and link them to the water rights database. Reconcile water right ownership with County information, where electronically available, on a regular basis and take proactive action to have water rights owners update their 20

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

The business process management solution will provide for effective management and analysis of water rights processing and will facilitate process improvements as they are needed. The BPMS will also provide a means for linking the water rights database to GIS and document management systems and allows for management of these systems as one integrated process.

Strategic Alignment 16

Alignment with Governor’s Priorities - Ensuring Transparency and Ethics in our Government It is in the interest of all New Mexicans, for the State of New Mexico to make decisions and account for water right transactions in a fair, impartial and transparent manner. The Agency’s Water Rights Information System is the State’s accounting system for water, a resource that is valued at $16.8 billion. This project will modernize this water rights accounting system so as to improve the accuracy and transparency of water right information and transactions across the State.

Alignment with State IT Strategic Plan – IT Must Drive Efficient Delivery of High Quality Government Services that will Benefit Constituents and Support Economic Development Higher quality services will be delivered by this project in the form of reduced backlogs for services, improved service cycle times and improved customer accessibility to water rights data. 21

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Project Benefits 17 QUANTIFIABLE BENEFITS (in thousands)

Benefit

Year 1

Year 2

Year 3

Year 4

Year 5

Total

Reduction in staff time to process water rights transactions (25-40%)

$0.0

$100.0

$450.0

$450.0

$450.0

$1,450.0

Reduction in IT labor to implement processsystem enhancement s by 50% Reduction in staff time to develop management reports by 75%

$0.0

$40.0

$95.0

$95.0

$95.0

$325.0

$0.0

$5.0

$15.0

$15.0

$15.0

$50.0

Reduction in current system maintenance costs

$0.0

$0.0

$15.0

$15.0

$15.0

$45.0

Reduction in future application development costs

$0.0

$20.0

$50.0

$50.0

$50.0

$170.0

Annual Total

$0.0

$165.0

$625.0

$625.0

$625.0

$2,040.0

Cumulative Total

$0.0

$165.0

$790.0

$1,425.0

$2,040.0

$1,600.0

$1,600.0

$1,600.0

Water use savings from increased compliance and enforcement activities by 1% (or 43,000 acre-feet)

ROI = 3 years 9 months 22

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

$4,800.0

Project Costs 18 Alternative 2B: Proceed with acquisition and implementation phases of the Water Rights System Business Process Management project. (Software lease option) COSTS (in thousands) Cost Item IT Professional Services

Year 1

Year 2

Year 3

Year 4

Year 5

Total

$60.0

$60.0

$0.0

$0.0

$0.0

$120.0

$300.0

$300.0

$300.0

$0.0

$0.0

$900.0

$0.0

$0.0

$0.0

$100.0

$100.0

$200.0

$50.0

$0.0

$0.0

$0.0

$0.0

$50.0

$0.0

$7.5

$7.5

$7.5

$7.5

$30.0

$75.0

$0.0

$0.0

$0.0

$0.0

$75.0

Annual Total

$485.0

$367.5

$307.5

$107.5

$107.5

$1,375.0

Cumulative Total

$485.0

$852.5

$1,160.0

$1,267.5

$1,375.0

C2 Appropriations Total

$485.0

$360.0

$360.0

$0.0

$0.0

$1,205.0

$7.5

$7.5

$107.5

$107.5

$230.0

Software Licenses (lease) Software Maintenance Hardware Hardware Maintenance Training

Agency Operating Budget Total

23

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Project Schedule & Deliverables 19 Project Phase

Start Date

End Date

Oct. 2010

Jan. 2011

Apr. 2011

Feb. 2012

Oct. 2011

Mar. 2012

Apr. 2012

Sept. 2012

Non-Domestic Water Rights Processes (Release 2)

Current State Analysis *Complete Target-State Analysis *Complete Architecture Roadmap *Complete Prepare RFI *Complete Evaluate RFI Responses *Complete Conduct Technology Proof of Concept *Complete BPM Training *Complete Revise Business Case *Complete Acquire Funding Conduct Architecture POC Select Solution Delivery & Operations Approach Negotiate & Execute Vendor Agreements IT Staff Training Release 1 Build, Test, Training & Deployment, Release 2 Business Process Model & Use Cases Release 2 Build, Test, Training & Deployment, Release 3 Business Process Model & Use Cases

Oct. 2012

Apr. 2013

Non-Domestic Water Rights Processes (Release 3)

Release 3 Build, Test, Training & Deployment, Release 4 Business Process Model & Use Cases

May 2013

Sept. 2013

Non-Domestic Water Rights Processes (Release 4)

Release 4 Build, Test, Training & Deployment,

Oct. 2013

Jan. 2014

Planning & Envisioning

BPMS Technology Evaluation

BPM Architecture Proof of Concept Domestic Water Rights Processes (Release 1)

Deliverables

24

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Alternatives 20

 Do Nothing o

Not a viable option

 Custom Develop New System using Java Platform Implementation Timeframe 3 to 5 times compared to BPMS alternative o Agency Staff Investment also 3 to 5 times compared to BPMS alternative o

 Use BPMS approach to Modernization (traditional COTS software buy

option) o o

Implementation Timeframe 1.5 to 2 years Significant Year 1 Cost of Investment ($550.0)

 Use BPMS approach to Modernization (software lease option) o o

Implementation Timeframe 1.5 to 2 years Spread cost of investment across three years

25

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

Agency is Poised for Success 21

 Strong Business Incentive and Program Buy-In  IT Governance Committee and Project Oversight  Technical and Program Expertise  High Level of Agreement on Functional and Business

Process Priorities

26

OSE-ISC Water Rights Business Process Management System Modernization Project (FY13 C-2)

FY13 OSE/ISC IT Plan – IT Governance Committee Review Key: Red – Already Reviewed by ITGC, Green – To Be Reviewed Today 1. The Agency Context for IT Infrastructure and Operations 1.1 Agency Mission 1.2 Agency Description 1.3 Changes in Federal or State of New Mexico Requirements with IT Impact 1.4 Agency IT Description of Services 1.5 Agency IT Performance Measures 1.6 Agency IT Strategic Goals

2. Agency Compliance with IT Consolidation 2.1 Agency IT Consolidation Accomplishments 2.2 Agency IT Consolidation Planning 2.3 Agency Co-located Servers and Agency Applications on Enterprise Servers 2.4 Hosting Exceptions

3. Agency Accomplishments and Planning 3.1 Agency Major IT Accomplishments of FY11 IT Plan 3.2 Agency Major IT Issues/Concerns within the Agency 3.3 Agency Major IT Initiatives for Current Fiscal Year FY12 3.4 Agency Major IT Initiatives FY13 3.5 Identification of Joint Funding Opportunities

4. Agency Applications, Legacy and New 4.1 Agency IT Business Application Portfolio 4.2 Planned Major Changes for Agency Applications 4.3 Data Ownership and Sharing

5. Management of IT Infrastructure and IT Assets 5.1 Asset Management Process 5.2 Equipment and Software Refreshment Cycles and Policy 5.3 Data Storage 5.4 Network 5.5 Security and Reliability Upgrades 5.6 Cyber Security 5.7 System Monitoring and Management Tools Inventory 5.8 Electronic Records Retention Plans 5.9 Business Continuity

6. IT Human Capital Management 6.1 Agency IT Staff Composition 6.2 Staffing & Skill Gaps and Hiring Issues 6.3 Agency IT Staff Training Plans

7. IT Business Management Areas 7.1 IT Service Management Initiatives 7.2 IT Project Management 7.3 System and Solution Development Life Cycles 7.4 Business Partners and Vendors

8. IT Fiscal and Budget Management 8.1 C1Form 8.2 Projected IT Projects: Capital, Special, Supplemental

1 27

FY13 OSE/ISC IT Plan – IT Governance Committee Review 8.3 Requests for Reauthorization of General Appropriations Act

9. Alignment - Agency IT Planning related to State of New Mexico IT Strategic Plan 9.1 Government Services Portal for New Mexico’s Citizens and Businesses 9.3 Participation in Business Domain Teams with other Agencies 9.4 Participation in Common Business Function Collaboration with other Agencies 9.5 Emerging Technology

APPENDIX E: Agency FY13 C2 IT Project Business Cases Priority 1 – Water Rights Business Process Management System Priority 2 - Electronic Document & Content Management System

2 28

FY13 OSE/ISC IT Plan – IT Governance Committee Review

3.2 Agency Major IT Issues/Concerns within the Agency The following table indicates areas of issues and concerns for the Agency on a scale of 1-10. Issues and Concerns

Budget

Agency Rating

Agency Efforts to Address or Mitigate Issue or Concern

10

The Agency has reduced hardware costs and accelerated project cycle time with investments in virtualization technology. [Cost Savings = $200k over 3.5 years] Additional cost reductions have been realized by negotiating flat or discount pricing on annual software and hardware maintenance. [Cost Savings = $10k] The Agency has postponed important investments in system/network management tools, data storage, and system redundancy. [Risk of extended down-time] The Agency has discontinued non-essential hardware and software maintenance (GIS software, GPS hardware and software). [Cost Savings = $95k]

Managing Electronic Records

10

The Agency is submitting a request for C-2 special appropriations to acquire and implement an electronic document and content management system to meet this need. A recent assessment of IT gaps associated with top Agency priorities has surfaced a growing need for an electronic document and content management system to organize, store and share critical Agency documents and information.

Other – Procurement Procedures for Critical Software and Maintenance Renewals

9

Several critical Agency software and hardware maintenance agreements expire on June 30 of each year. Due to delays in new fiscal year budget and procurement processes, it can take up to 30 days, after the new fiscal year starts, to approve purchases. Some vendors will not extend support and maintenance for 30 days. The Agency runs the risk of not being able to recover from significant failures during this period of time. The Agency is currently evaluating alternatives to address this issue.

Replacing – Hiring Skilled IT Professionals

9

The Agency has three (3) critical vacancies. One is the GIS coordinator and the other two are application developers. The Agency is in the process of submitting a request for a hiring exception for one of the application developer positions.

Retaining Skilled IT Professionals

9

Agency IT staff work very hard and are stretched thin to cover for three (3) critical vacancies. The Agency provides challenging work to its IT staff and a work environment that encourages innovation and use of new technology. However, the lack of opportunity to increase compensation has reduced morale. The Agency will add a new IT performance metric, meeting 75% of IT training goals, in FY13. IT training goals will be set and funded for all IT employees. [73% of IT staff indicate that training and education opportunities are effective motivators for performance and retention]

Agency Legacy Application Upgrade or Replacement

9

The agency legacy systems are aging with six (6), or 22%, of total applications over 10+ years old; these include WATERS, Feith, Datacap and WRATS. The Agency has submitted C-2 special appropriations requests, Water Rights Business Process Management System and Electronic

3 29

FY13 OSE/ISC IT Plan – IT Governance Committee Review Issues and Concerns

Agency Rating

Agency Efforts to Address or Mitigate Issue or Concern

Document and Content Management System, to address the need to replace our mission-critical water rights information and document management systems. The current systems are 10-16 years old and operate on outdated technologies. Business Continuity, Disaster Recovery

8

The Agency plans to address the following weaknesses in this area, to the extent that our budget allows: •

Lack of Service Level Agreements with the Department of IT for critical services (network, radio, servers)

•

Lack of written VMware recovery procedures

•

Single points of failure in network

Desktop Support

8

The Agency has 3.5 desktop support technicians on staff to support 486 personal computers, 150 printers-plotters-scanners, and 62 servers. [200 devices per technicians, industry average = 150] The Agency uses an automated service management system for entry and tracking of desktop support requests. An addition of one desktop support staff is highly desired to keep pace with the demand for these services.

Agency Application Maintenance And Support

8

The Agency continues to be challenged with supporting a growing portfolio of business applications without an increase in resources (staff, budget). [9 new applications since 2007, 33% increase] The application development team has two (2) vacancies and is in the process of requesting an exception to hire into one of these positions. To address this issue, the Agency IT Governance Committee has made a decision to dedicate IT staff to maintain mission-critical applications. This means that Agency capacity to upgrade and enhance non mission-critical applications is limited.

Equipment Replacement

8

The Agency personal computer and GPS device portfolio is aging and one critical server does not have a back-up in place. The agency will purchase a back-up server for our real-time measurement raw data server in FY12. PC replacements and memory upgrades are in process to support the move to Microsoft Windows 7 as our new PC operating system.

Network Performance

8

The Agency needs and plans to address the following weaknesses in this area, to the extent that our budget allows:

Other – Video Conferencing System Expansion to Outside Parties

7

•

More effective communication from the Department of IT regarding network performance activities and problems that impact our Agency

•

More effective internal coordination and communication regarding system maintenance activities that may impact network performance

•

Replacement of aging network equipment to improve network performance

Agency programs regularly meet with federal agencies (e.g. Bureau of Reclamation) and other third parties that own video-conferencing systems. The Agency would like to be able to connect its Tandberg videoconferencing system with external systems by means of a gateway. Funds for this capability are not available at this time. The Agency has approached

4 30

FY13 OSE/ISC IT Plan – IT Governance Committee Review Issues and Concerns

Agency Rating

Agency Efforts to Address or Mitigate Issue or Concern

the Department of IT regarding their interest in investing in one gateway to support all State agencies with video-conferencing systems. Storage Management

7

The Agency has made a significant investment in network attached and managed storage, over the past three years, to meet its growing requirements for data storage and back-up. The Agency is working to address gaps in staff training and system monitoring capabilities related to these investments. The Agency anticipates that data storage needs will continue to double every 2-3 years due to the nature of our programs work activities

IT Training

7

Please see Section 6.3 for a list of Agency IT training priorities. The Agency also has a need to provide GIS training to program staff. Budget reductions and a vacancy in the GIS coordinator position have made this more of a challenge.

Security

7

The Agency is in the process of implementing high-priority information security improvements based on a comprehensive external assessment completed in FY10. The Agency capacity to move from a defensive to a preventative posture on security is currently constrained by human resources (our security officer is also our storage and network architect) and financial resources (inadequate budget to purchase detection and prevention tools).

5 31

FY13 OSE/ISC IT Plan – IT Governance Committee Review

6.3 Agency IT Staff Training Plans Agency IT Goal Alignment

Agency IT Outcome Supported

Goal 1 - Make Water Resource Management Information Easily Accessible to Internal Staff and the Public

Outcome 2 -Design and implement a web site(s) to support Indian Water Rights Settlements.

Goal 2- Enhance Agency Mission-Critical Systems to Keep Pace with Business practices, Rules and Regulations

IT Training Area

# Staff to be Trained

Est. Training Cost/EE

Est. Cost (FY12)

Est. Cost (FY13)

Web Content Management Software (3 day)

2

$1,000

$0

$2,000

Outcome 3 - Redeploy the Agency water rights information management system using business process management software (BPMS)

Business process management (design, development, security, governance)

6

$5,000

$15,000

$15,000

Goal 2- Enhance Agency Mission-Critical Systems to Keep Pace with Business Practices, Rules and Regulations

Outcome 2 - Implement high priority enhancements to the WATERS and WRATS systems

Java EE Hibernate Framework, Java Server Faces interface, Glassfish Administration (NMWRRS Environment)

2

$6,000

$6,000

$6,000

Goal 4 - Improve Customer Satisfaction with IT Services

Outcome 1 - Upgrade Agency PC Operating System from MS Windows XP to MS Window 7

Microsoft Windows 7 (installation, administration)

2

$2,400

$4,800

$0

Goal 4 - Improve Customer Satisfaction with IT Services

Outcome 2 - Implement an automated software patch and upgrade solution as a component of the Agency IT service management system

Numara Asset Management Platform (AMP)

2

$1,800

$3,600

$0

Goal 5 - Improve Agency work products, processes and decisions through use of GIS tools, technologies, and resources.

Outcome 1 - Implement high priority enhancements to the Middle Rio Grande Land & Water Use Analysis System

Adobe Flex

2

$800

$1,600

$0

Outcome 3 - Redesign the Water

6 32

FY13 OSE/ISC IT Plan – IT Governance Committee Review Agency IT Goal Alignment

Agency IT Outcome Supported

IT Training Area

# Staff to be Trained

Est. Training Cost/EE

Est. Cost (FY12)

Est. Cost (FY13)

Rights Locator Tool to improve user value and reduce IT maintenance costs Outcome 4 - Upgrade the Gila and Lower Rio Grande GIS applications to client and database platforms that will have longer-term vendor support Goal 6 - Improve the Agency’s Information Security Posture

Outcome 1 - Address high priority information security vulnerabilities identified in FY10 security audit

SANS Security Essentials Boot Camp (5 days)

1

$3,900

$3,900

$0

Goal 6 - Improve the Agency’s Information Security Posture

Outcome 3 - Upgrade the Agency network management system to Microsoft Active Directory 2008

Microsoft Active Directory (5 days)

2

$2,000

$0

$4,000

$34,900

27,000

Total by Fiscal Year

1

Ongoing Maintenance & Support for Agency Systems

Video Communications Platform

Tandberg Video Conferencing Management

1

Ongoing Maintenance & Support for Agency Systems

Server Platform

Fundamentals of Windows Server 2008

3

$2,475

Ongoing Maintenance & Support for Agency Systems

Server Platform

VMware

2

$5,000

Ongoing Maintenance & Support for Agency Systems

Application Platform - Real-Time Water Measurement

Microsoft SQL Server Integration Services (SSIS)

2

$1,425

Ongoing Maintenance & Support for Agency Systems

Application Platform - WRATS, RealTime Water Measurement

Microsoft SQL Server 2008 Database Development

2

$300

Ongoing Maintenance & Support for

Data Storage Platform

Lefthand Storage Area Network

2

$5,000

7 33

FY13 OSE/ISC IT Plan – IT Governance Committee Review Agency IT Goal Alignment

Agency IT Outcome Supported

IT Training Area

# Staff to be Trained

Est. Training Cost/EE

$3,000

Est. Cost (FY12)

Est. Cost (FY13)

Agency Systems Ongoing Maintenance & Support for Agency Systems

Data Network Platform

Cisco (5 days)

1

Research & Development

Application Development Platform

Cloud based computing

6

Research & Development

Data Reporting Platorm

Microsoft SQL Server Reporting Services

3

$1,795

8 34

FY13 OSE/ISC IT Plan – IT Governance Committee Review

7.1 IT Service Management Initiatives The Agency’s IT service support and delivery improvement initiatives include the following: Initiative

Specific Agency Activity

Service Support (Service Request, Incident Management, Problem Management, Change Management)

The Agency has successfully completed the implementation and roll-out of an automated IT service management system across the entire Agency. Standard operating procedures and service levels are in place to support our goal to continuously improve IT service delivery. As an improvement, the agency seeks to mine the data in the system to identify service improvement opportunities. Another goal is to improve documentation on incident resolutions.

Service Support (Release Management)

The Agency plans to deploy an automated software patch and upgrade system, with supporting procedures, to improve the implementation of security patches and software updates on personal computers and servers. The Agency seeks to improve quality assurance processes for application changes through peer reviews. The Agency seeks to improve communication with users throughout the application development lifecycle so that all users impacted by a change are involved in the requirements, training and testing.

Service Delivery (Capacity Management)

The Agency IT Governance Committee manages the IT Project Portfolio for the Agency as a whole. The Committee approves and prioritizes new IT projects based on business case justifications. As new projects are approved and prioritized, the project portfolio is updated based on resource and schedule impacts. As an improvement, the agency seeks to improve the process and cycle time for specifying requirements for application enhancements.

Service Delivery (Performance Management)

The Agency continues to establish new and monitor existing IT performance measures. As an improvement, the agency seeks to identify comparative benchmarks for all IT performance measures.

Service Delivery (Service Continuity Management)

As an improvement, the Agency IT organization seeks to advocate business managers to set business continuity planning as a priority. The Agency does not have a business continuity plan in place at this time.

Infrastructure Management (Operations Management)

As an improvement, the Agency seeks to improve day-to-day monitoring and supervision of the IT infrastructure (network, storage, servers). This is a challenge due to IT staffing levels and lack of automated methods.

9 35

FY13 OSE/ISC IT Plan – IT Governance Committee Review Information Technology Infrastructure Model The ITIL is a set of best practices that guides IT operations and the management of IT services.

11 36

ID

Task Name

1

IT Project and Resource Portfolio

2 3 4 12 29 33 46 50 51 52 53 54 55 56 57 58 59 65 66 67 68 69 70 77 78 79 80 81 82 83 84 85 86

Start

Discretionary Activities Projects - Approved/Active MRG Depletion Study - GIS Application Enhancem WRATS-WATERS Data Analysis System (Implem Information Security Improvements Windows 7 PC OS Migration Water Rights System Modernization

Projects - Approved/In Queue Move Locator Tool from Desktop to Web LAP File Check-Out System Upgrade LAP Lower Rio Grande HydroSurvey Applic Upgrade ISC Gila ArcInfo Application Enhance Indian Water Rights Settlement Web Site

Projects - On-Hold Agency Reporting Environment

Finish

Actual To Date Cost

Est To Complete Cost

% Complete

2008 2009 2010 2011 2012 2013 FTE Budget Q3 Q4Q1Q2 Q3 Q4Q1Q2Q3 Q4Q1Q2 Q3 Q4Q1Q2 Q3 Q4Q1Q2 Q3 Q4Q1Q2Q3 Q4

Thu 7/2/09

Tue 12/31/13

$194,839.25

$55,517.00

55%

Thu 7/2/09 Mon 1/25/10

Tue 12/31/13 Tue 12/31/13

$194,839.25 $183,930.72

$55,517.00 $55,517.00

54% 45%

2.1 2.1

13

Wed 4/6/11 Mon 1/25/10 Tue 6/1/10 Tue 6/1/10 Thu 9/1/11

Wed 10/19/11 Wed 12/21/11 Fri 6/29/12 Tue 12/31/13 Tue 1/31/12

$35,000.00 $70,507.72 $323.00 $78,100.00 $0.00

$15,000.00 $0.00 $5,000.00 $35,517.00 $0.00

94% 67% 34% 37% 0%

0.2 0.5 0.2 1 0.2

Mon 1/2/12

Mon 1/2/12

$100.00

$0.00

0%

0

Mon 1/2/12 Mon 1/2/12 Mon 1/2/12 Mon 1/2/12 Mon 1/2/12

Mon 1/2/12 Mon 1/2/12 Mon 1/2/12 Mon 1/2/12 Mon 1/2/12

$0.00 $100.00 $0.00 $0.00 $0.00

$0.00 $0.00 $0.00 $0.00 $0.00

0% 0% 0% 0% 0%

0 0 0 0 0

Mon 5/2/11

Mon 5/2/11

$10,808.53

$0.00

0%

0

94% 67% 34%

0% 0%

0% 0% 0%

Mon 5/2/11

Mon 5/2/11

$10,808.53

$0.00

25%

0

Thu 7/2/09

Fri 9/23/11

$0.00

$0.00

100%

0

100%

Thu 7/2/09

Fri 9/23/11

$0.00

$0.00

100%

0

100%

Non-Discretionary Activities Business Application Enhancement and Suppor WATERS WATERS - Active

Thu 7/1/10 Thu 7/1/10 Tue 3/1/11 Tue 3/1/11

Fri 6/29/12 Fri 6/29/12 Fri 6/29/12 Fri 6/29/12

$0.00 $0.00 $0.00 $0.00

$0.00 $0.00 $0.00 $0.00

59% 43% 34% 37%

10.9 4.4 0.2 0.2

WATERS POD Geolocate Tracking (Require WATERS Platform Enhancements

Mon 9/26/11 Tue 3/1/11

Fri 10/21/11 Fri 6/29/12

$0.00 $0.00

$0.00 $0.00

0% 38%

0 0.2

Tue 5/1/12 Tue 11/1/11 Tue 11/1/11

Fri 6/29/12 Fri 6/29/12 Tue 11/1/11

$0.00 $0.00 $0.00

$0.00 $0.00 $0.00

0% 0% 0%

0 0 0

Projects Completed in FY12 Change Location of Well

WATERS - In-Queue WRATS WRATS - Active TBD

WRATS - In-Queue Develop WRATS Disaster Recovery Plan

Other Application Support PC, Voice, Printer, Network, Server Support Daily Support

Administrative Tasks

59% 43% 34% 37% 0% 38% 0% 0% 0%

Tue 11/1/11

Tue 11/1/11

$0.00

$0.00

0%

0

Mon 1/2/12

Fri 6/29/12

$0.00

$0.00

0%

0

Mon 1/2/12

Fri 6/29/12

$0.00

$0.00

0%

0

Thu 7/1/10 Thu 7/1/10

Thu 6/30/11 Thu 6/30/11

$0.00 $0.00

$0.00 $0.00

85% 85%

4.2 3

85%

Thu 7/1/10

Thu 6/30/11

$0.00

$0.00

85%

3

85%

Thu 7/1/10

Fri 7/1/11

$0.00

$0.00

86%

3.5

86%

37 1 Page

0% 0% 0%

85%

FY12 OSE/ISC IT Budget and Spending Report (September 2011)

All Category/ Subcategory Personnel (200s) Contractual (300s) Professional Services Software Maintenance Other (400s) Equipment Lease (1) Equipment Maint. (2) IT Supplies Capital Outlay Operating Costs (3) Travel Other

IT Services Bureau (ITSB)

Non ITSB

FY11 Budget

FY11 Actual

FY12 Budget

FY12 Budget

FY12 Actual

FY12 Enc.

FY12 Est.

$1,351.6

$1,180.4

$1,140.5

$1,140.5

$244.0

$0.0

$176.2

$228.8

$184.1

$127.4

$42.1

$1,095.2

$1,024.8

$1,066.2

$183.3

All

FY12 Avail.

FY12 % Avail.

FY12 Budget

FY12 Actual

$896.5

$0.0

0%

$0.0

$0.0

$16.6

$20.0

$48.8

38%

$56.7

$0.1

$8.5

$42.0

FY12 Est.

FY11 Avail.

FY12 Act+Enc+Est

$0.0

$0.0

$0.0

$1,140.5

$38.1

$11.3

$19.5

-$12.2

$147.5

$20.0

$0.0

$0.0

$0.0

$28.6

$8.0

$0.0

$38.1

$11.3

$19.5

$118.9

$30.5

$11.4

$79.2

$172.1

$499.7

$0.1

$0.2

$0.1

$0.0

$30.8

$142.2

$0.0

$173.3

$2.6 $2.3 $0.0

$4.2 $0.2 $0.0

$0.0 $0.0 $50.0

$2.5 $6.3 $0.0

$8.2 $3.4 $0.0

$0.0 $0.1 $0.0

$17.5 $12.2 $50.0

$25.5 $0.0 $0.0

$6.9 $0.0 $0.0

$28.5 $0.7 $0.0

$132.6 $0.0 $0.0

$346.0 $0.0 $0.0

$0.0 $0.0 $0.0

$539.4 $0.7 $0.0

$62.1

34%

$882.9

FY12 Enc.

Total $2,623.0 $2,434.1 $2,390.8 $1,451.2 $316.6 $28.0 $995.7 $110.9 8% $939.6 $210.3 $511.0 $19.6 (1) Includes Hardware, Copier and Mail Machine Leases (2) Includes Computer Hardware and Printer Maintenance (3) Includes Education, Subscriptions, Rent, Voice Services, Data Network Services, Data Center Services, Advertising, Email, Internet, SHARE

$210.9

$709.7

$793.2

$2,081.2

1 38

FY12 OSE/ISC IT Budget and Spending Report (September 2011) Software Maintenance 6%

Equipment Maintenance Capital Outlay 1% 2% IT Supplies 1% Equipment Lease 8% Professional Services 1%

Communications (Cell Phone) 1%

Communications (Phone Systems) 2%

IT Staff Travel 0%

Communications (Voice & Data Network) 12% SHARE Fees 4% Other 10%

IT Subscriptions 1% IT Education 1%

Salaries & Benefits 55%

IT Recruiting 0%

Shared IT Services (Email, Web, Data Center) 4%

FY12 IT Cost Allocation by Expense Type

2 39

FY12 OSE/ISC IT Budget and Spending Report (September 2011) Capital Outlay, $50.0 IT Supplies, $17.5 Software Maintenance, $118.9 Professional Services, $28.6

Communications Equipment Maintenance, (Cell Phone), $30.2 $17.5 Communications (Phone Systems), $39.9 Equipment Communications (Voice & Lease, Data Network), $246.9 $173.3

IT Staff Travel, $0.7 IT Subscriptions, $26.4

SHARE Fees, $86.1 Salaries & Benefits, $1,140.5

IT Education, $18.7

Other, $215.3

Shared IT Services (Email, Web, Data Center), $81.4

IT Recruiting, $2.0

3 40