[M]embers of the administration testified Thursday on Gov. Phil Scottโ€™s proposal to create an agency that handles all information technology across state government.

At a joint hearing of the Senate Institutions Committee and the Senate Government Operations Committee, some lawmakers were skeptical of whether they needed to create a new agency, but most said they want to improve how the state manages IT projects.

Chris Pearson
Sen. Chris Pearson, P/D-Burlington, is a member of the Senate Government Operations Committee. File photo by Erin Mansfield/VTDigger
Scott suggested via executive order on Jan. 15 to create a freestanding Agency of Digital Services to replace the Department of Information and Innovation, which currently answers to the Agency of Administration.

While the existing department is considered the IT desk for state government, it handles only about 25 percent of IT issues, according to its commissioner, Darwin Thompson.

Additionally, Thompson said, the department has dealt with heavy turnover. Since the department was created in 2003, it has had 11 different commissioners, Thompson said.

John Quinn, the chief innovation officer for Scott, said the proposal is budget-neutral and that no one would lose their job as a result. However, about a half-dozen IT leads working in different agencies would be converted from union positions to exempt positions.

โ€œEach agency has their own initiatives, has their own strategic plans. Weโ€™re trying to align those things,โ€ Quinn said. He said the new agency would be โ€œmore nimble, modern and efficient.โ€

Thompson added: โ€œThe commissioner (of the Department of Information and Innovation) reports to the secretary of administration, who reports to the governor. The change initially would be changing that reporting line.โ€

The state employees union questioned the change in job classifications. โ€œItโ€™s unclear to us at the moment why making someone an exempt position as opposed to a classified position would benefit the discussion around improving our IT infrastructure,โ€ said Steve Howard, executive director of the Vermont State Employeesโ€™ Association.

Howard said exempt workers, on average, cost the state $20,000 more a year, while classified workers are more likely to tell management โ€œwhat they need to hearโ€ because they are protected by the union.

Sen. Chris Pearson, P/D-Chittenden, called the proposal a lot of โ€œinternal reorganizationโ€ that can be done in the existing department without creating a new agency.

โ€œSo are you really after the idea of making it a Cabinet level?โ€ Pearson asked. โ€œIs that really why youโ€™re shifting?โ€

Quinn pointed to a 2015 report from the Legislatureโ€™s Special IT Committee that recommended the state elevate the commissioner of the Department of Information and Innovation to a Cabinet-level position.

Mike Schirling, the new secretary of the Agency of Commerce and Community Development, was the chair of that IT committee.

Sen. Brian Collamore, R-Rutland, asked: โ€œIs there likely to be any savings when everybody gets lumped together and youโ€™re purchasing in a larger volume?โ€

Quinn said he expects some savings but did not want to make that promise, so he is calling the proposal โ€œbudget neutral.โ€

Sen. Peg Flory, R-Rutland, said the Legislature has been struggling to find out how much the state spends on IT projects โ€œbecause theyโ€™re buried in all of the different departments or agencies.โ€

Quinn replied: โ€œIโ€™m not going to say itโ€™s going to be fixed overnight, but this would help.โ€

The executive order will go into effect unless the House or Senate votes down the proposal within 90 days.

Twitter: @erin_vt. Erin Mansfield covers health care and business for VTDigger. From 2013 to 2015, she wrote for the Rutland Herald and Times Argus. Erin holds a B.A. in Economics and Spanish from the...

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