EMERGENCY RULES An agency may adopt a new or amended section or repeal an existing section on an emergency basis if it determines that such action is necessary for the public health, safety, or welfare of this state. The section may become effective immediately upon filing with the Texas Register, or on a stated date less than 20 days after filing and remaining in effect no more than 120 days. The emergency action is renewable once for no more than 60 additional days. Symbology in amended emergency sections. New language added to an existing section is indicated by the use of bold text. [Brackets] indicate deletion of existing material within a section. TITLE 1. ADMINISTRATION Part X. Department of Information Resources Chapter 201. Planning and Management of Information Resources Technologies 1 TAC sec.201.1, sec.201.5 The Department of Information Resources adopts on an emergency basis revised sec.201.1 and sec.201.5, concerning the planning and management of information resources technologies. The sections describe the procedures for quality assurance review of major information resources projects. The section adopted on an emergency basis is contemporaneously proposed for public comment in this issue of the Texas Register. The section is adopted on an emergency basis to ensure all necessary rules comply with the provisions of Senate Bill 381 and the General Appropriations Act, enacted by the 73rd Legislature, Regular Session and to avoid the interruption of funding for major information resources projects. The section is adopted on an emergency basis under Texas Revised Civil Statutes, Article 4413(32j), sec.9(a), which authorizes the department to adopt rules as necessary to carry out its responsibility under the Information Resources Management Act. sec.201.1. Definitions. The following words and terms, when used in this chapter, shall have the following meanings, unless the context clearly indicates otherwise. Risk-the possibility of an act or event occurring that would have an adverse effect on the state, an organization or an information system. Risk involves both the probability of failure and the possible consequences of a failure. Risk Analysis-Risk analysis is the evaluation of planned project events and deliverables in regards to various factors to consider the possibility or probability of failure and the consequences of such a failure. Risk analysis will yield an identification of the areas of greater and lower risk. sec.201.5. Agency Planning. (a)-(f) (No change.) (g) Quality Assurance Review. (1) Applicability. (A) Major information resources projects shall be construed as any information resources technology project identified in an agency operating plan whose development cost exceeds $1,000,000 and include one or more of the following: (i) require a year or more to reach operational status; (ii) involve more than one state agency or government; or (iii) materially alters work methods of agency personnel and/or the delivery of services to agency clients. (B) Appropriation authority provided for major information resources projects as specified in Subparagraph (A) of this paragraph is contingent upon approval of the project by a Quality Assurance Team comprised of the Legislative Budget Office, Department of Information Resources, and Office of the State Auditor. (2) Waivers. (A) Emergencies. A waiver from the quality assurance review and independent risk analysis shall be granted to any state agency on an emergency basis without first complying with the procedures prescribed by this section for any projects which may become necessary as a result of a fire, natural disaster or other actual emergency. A report explaining the emergency action must be filed with the Quality Assurance Team not later than the 30th calendar day after the action is taken. (B) The Quality Assurance Team may at any time waive in whole or in part, the requirement for the independent risk analysis for any project it deems appropriate. (3) Submittal. (A) Based on the determination of the level of risk by the Quality Assurance Team, it may require the agency to submit a project development plan. The project development plan shall include a description of management and project controls and shall detail system development milestones. (B) The Project Development Plan will be signed by the agency's Information Resources Manager and will be submitted to Quality Assurance Team if it is required to be accomplished. Any subsequent changes to the plan by the agency that are material in scope or affect the cost or schedule of the project will be signed by the Information Resources Manager and provided to the Quality Assurance Team. (C) An independent risk analysis is required unless it has been waived by the Quality Assurance Team. The results of the independent risk analysis must be reviewed by the Quality Assurance Team before appropriation authority is approved for the project. (4) Quality assurance process. (A) Using an agency's Biennial Operating Plan, Biennial Operating Plan amendments and any risk assessment information or recommendations, the Quality Assurance Team will determine the project risk level, whether an independent risk analysis is required, the level of monitoring required and if any other action(s) may be necessary. The level of monitoring shall be proportional to the level of risk identified. (B) Independent Risk Analysis Requirements. (i) If an independent risk analysis is required, it shall be performed without conflict of interest, prepared by parties independent from the management directly responsible for the development, acquisition, or delivery of information resources projects. Any need for subsequent independent risk analyses will be determined by the Quality Assurance Team. (ii) The risk analysis must identify potential risks that may occur throughout the project development life cycle. (iii) The risk analysis shall include, but not be limited to, the following factors: (I) potential impact on statewide goals, objectives, or operations; (II) completeness of planning; (III) appropriateness of the technical solution and/or feasibility; (IV) consideration of alternatives; (V) size, costs, and complexity of project; (VI) use of a standard systems development methodology; (VII) past performance of the agency; and (VIII) any other factors the quality assurance team may prescribe. (C) A post-implementation evaluation report may be required and would be provided to agency executive management and the Quality Assurance Team after the implementation of a major information resources project. The report shall serve as an assessment of the new system in terms of benefits and costs. (5) Approval Process. (A) The agency must demonstrate to the satisfaction of the Quality Assurance Team that the agency has met project milestones as identified in the approved project development plan prior to the expenditure of funds for major information resources projects in subsequent specified intervals. The agency may be required to submit reports regarding significant project delays and cost overruns. (B) The Quality Assurance Team will determine the funding status. A letter will be sent notifying the agency of the project risk status, funding amount approved, conditions, stipulations, monitoring level and actions, and the next scheduled review point in time or by event/milestone. An agency may request the opportunity to provide additional information. (6) Notification of project termination and appeal process. (A) If the Quality Assurance Team disapproves a project, the following information will be provided to the agency: (i) notification of pending action. (ii) reasons for termination of funding; and (iii) procedures for requesting a reconsideration action, (B) The agency may request a hearing within 10 work days of the notification of pending action. (C) After the appeal process is completed, the Quality Assurance Team will notify the agency and the Comptroller of Public Accounts as to expenditure limitations of the project. The Quality Assurance Team will also notify the Legislative Budget Board and the Governor's Office of Budget and Planning regarding the restriction of expenditures and recommended action, if appropriate. The Legislative Budget Board will notify the Comptroller of Public Accounts as to the final disposition of project funds. Issued in Austin, Texas, on January 12, 1994. TRD-9434568 Edward Serna Interim Executive Director Department of Information Resources Effective date: January 12, 1994 Expiration date: May 13, 1994 For further information, please call: (512) 475-4714