Rep. Mary Whiteford today was part of a five-member bipartisan legislative task force presenting recommendations to help prevent cost overruns and inefficiencies plaguing state of Michigan information technology projects.

The Information Technology Task Force – appointed last summer by Michigan House Appropriations Chair Shane Hernandez – already has sparked an Auditor General review, and future legislation is anticipated. The goal is to implement best practices for managing IT projects across all state departments and improve accountability.

“Michigan residents need state government computer systems to work properly – because when they don’t, it can cause all kinds of problems in our daily lives,” said Whiteford, of Allegan County’s Casco Township. “We need reliable systems so state caseworkers can help at-risk children and families get the help they need, so we can quickly renew a driver’s license, and to provide countless other services Michigan residents rely on every day.  I am hopeful this task force report will help provide solutions to improve service across the state.”

Past problems include systems that cost more than they should while delivering poor service. A Department of Health and Human Services system related to tracking child abuse and neglect cases, for example, has received $231 million in the past several years and still has persistent and significant defects. About 40,000 Michigan residents were victimized and wrongfully accused of fraud between 2013 and 2015 by a faulty computer system used by the Unemployment Insurance Agency. A failed Secretary of State computer system overhaul started in 2005 resulted in service issues, lawsuits and cost overruns.

While examining these cases, Whiteford and the task force helped craft solutions. Among them:

• All state IT contracts should include “clawback” provisions to help hold contractors accountable. These provisions often call for money to be repaid or other penalties if a contractor fails to deliver on contractual obligations related to project completion and performance.
• State departments should provide updates to the Legislature on IT projects that exceed their budgets or aren’t completed on time. This will improve oversight and transparency on behalf of taxpayers.
• Accounting practices and terminology should be standardized across all state departments, and all of the state’s IT projects should by managed by the Enterprise Project Management Office within the Department of Technology, Management and Budget. The task force found some IT projects did not adequately define basic terms and couldn’t determine if a project was on time or within budget because of differing language and interpretations. As part of the process to improve overall management, the state Auditor General completed a report focused on helping ensure true costs for projects are identified from start to finish.

“If we can make computer systems perform better and save money at the same time, that will have a tremendous positive impact across the state,” Whiteford said. “More efficient management of IT systems and ending cost overruns will help free up more money for important services our residents need and deserve.”

The task force was formed in June 2019. It was chaired by Rep. Mark Huizenga of Walker. In addition to Whiteford, task force members include Rep. Annette Glenn of Midland, Rep. Terry Sabo of Muskegon and Rep. Abdullah Hammoud of Dearborn.

###