Government efficiency project.

ORIGINAL
Senate
ENGROSSED
File No
.
SF0120

ENROLLED ACT NO. 70,

SENATE

SIXTY-FOURTH LEGISLATURE OF THE STATE OF WYOMING
2018 Budget Session

AN ACT relating to the operation of government; creating a program and account from which to pursue and fund government efficiency initiatives; providing authority to conduct efficiency related activities and to fund those activities; authorizing incentive awards and use of funds from efficiency savings; continuing the Wyoming spending and government efficiency commission; modifying commission membership; requiring reports; authorizing positions; providing appropriations; and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section
1
.

(a)

The purpose of this
act is
to continue
the work
started
by the 2017 Wyoming spending and government efficiency commission, created by 2017 Senate File 156, 2017 Wyoming Session Laws, Ch
apter

183, and to accomplish the purposes stated in this
act
.
Pursuant to
2017 Wyoming Session Laws, Ch
apter
183,
the c
ommission worked with the governor
'
s office
and various executive branch agencies
during the 2017 interim to identify potential
savings and
e
fficiency initiatives that could
be implemented in Wyoming
state government
.
To aid in this effort, t
he law creating the commission provided an appropriation
to the governor
'
s office for the retention of a government efficiency consultant. During the 2017 interim, the governor used the appropriation
to
retain
the services of Alvarez & Marsal Public Sector Service, LLC
.

In August, September and October of 2017,
Alvarez & Marsal studied Wyoming
'
s state government
and,
on November 6, 2017, issued a report containing
preliminary
recommendations for potential savings and efficiency initiatives.

The report is
on file with and available for public inspection from the
Wyoming
legislative service office. The rec
ommendations made by Alvarez &
Marsal in its
November 6, 2017
report should be further studied and implemented pursuant to the terms of this act.

A
dditional efforts should be made to identify new savings and efficiency opportunities that exist in the operation of Wyoming
'
s state government.
The purpose of this act is to accomplish these goals.

State Savings and Efficiency Initiatives

(b
)

T
he state savings and efficiency initiatives
account
is hereby created. Funds in the account
shall be
continuously appropriated
for expenditure in accordance with this act and shall not revert until June 30, 2022
. Funds in the account
shall only be expended
for the purpose of
funding
the projects, entities and initiatives
auth
orized by this act and only with
the direction
and approval
of the governor.

(c)

T
he governor
's office
may accept proposals for the funding of savings and efficiency related projects t
hat, upon the governor
'
s approval
, shall be funded from the state savings and efficiency initiatives account
. Funding from the account shall only be provided
to the extent that existing
biennium
budgets or
current biennium
cost savings

from
the
operation
of the

approved project
are insufficient
to fu
n
d
the project
.
Projects identified as priority items by the Wyoming spending and government efficiency commission, and the following enumerated projects shall be given consideration for funding, based upon the governor's determination of the likelihood for providing savings or increasing efficiencies in government operations:

(
i
)

Integrating t
echnology across state agencies;

(ii)

Developing
regional services centers for school districts;

(
i
ii)

Implement
ing
and
expan
ding
shared services throughout the state
'
s agencies, including human resource

s
ervices
and financial systems;

(
i
v
)

Conducting a statewide organizatio
nal and
line of service review to reveal overlapping responsibilities and assure that appropriate and efficient organizational and man
agerial structures are
being
utilized;

(
v)

Increas
ing
staffing levels for key audit and collections positions;

(v
i
)

Conducting a strategic
sourcing review within the s
tate
'
s procurement system
and implementing strategic sourcing solutions as practical and appropriate
;

(vii)

Identifying and exporting
to other state agencies beneficial
best practices and process improvements already in use
;

(viii)

Establishing a pilot program for performance based budgeting for up to three (3) agencies with the aim of submitting performance based budgets to the legislature as soon as the 2019 general session.

(d)

Prior to funding a project, the project proponent or the governor's office shall develop

a
means of identifying and quantify
ing
any savings that may be
realized as result of the project
as demonstrated by the following:

(
i
)

Clear goals and defined purposes for the project;

(ii)

Specific metrics by which to measure the progress and success of the project;

(iii)

The project
'
s incorporation of incentives to encourage those affected by the project to implement and support it;

(iv)

A detailed project budget with an explanation of the expenditures required for the project;

(v)

A detailed budget of the savings or revenues expected from the project and a detailed description of
any
process improvements or increased efficiencies expected to b
e realized through the project; and

(vi)

An analysis of the potential for implementing the project
'
s efficiencies, cost sa
vings or process improvements in
other agencies and political subdivisions.

(e)

The governor's office shall adopt procedures to evaluate projects and to identify and quantify savings which are anticipated to result from a project. Prior to funding a project, the methodology which will be applied to identify and quantify savings from the project shall be specified by the governor's office. If it is not feasible to determine a methodology prior to the commencement of a project, the methodology may be developed and implemented as the project progresses.
The governor's office may
implement an award and recognition program under which funds within the state savings and efficiency initiatives account may be used to reward employees of a state agency or other governmental entity for savings generated by the agency or entity under this act. The awards may include both cash and authorized leave awards, but the value of an award shall not exceed five thousand dollars ($5,000.00) to any individual employee. The total value of awards relating to any one (1) project shall not exceed the savings generated by the project and shall be deducted from the savings certified under subsection (f) of this section. Awards provided pursuant to this section shall not be subject to state compensation plan provisions established under W.S. 9-2-1022.

(f) Prior to the end of each fiscal year the department of administration and information shall, by applying the methodology for identifying and quantifying savings for each project, certify to the state auditor and state treasurer the amount of savings realized by the state
as a result of
a project funded under this act. To the extent unobligated and unencumbered funds exist in the account or fund from which monies would have been expended but for the savings resulting from the project, the amount of savings shall be deposited to the state savings and efficiency initiatives account at the end of that fiscal year.
Nothing in this act shall affect the governor's authority under W.S. 9-2-1005 or flex authority in the general appropriations bill, whether that authority is exercised
in regard to
funds identified as savings or in regard to other funds.

(g
)

T
he governor
's office
shall
biannually
provide to the
legislature
'
s
management council
, the
joint
appropriations committee
and the
Wyoming spending and government efficiency commission

a report summarizing all projects
being
funded pursuant to this act. The report shall include a description of each project, the project
'
s purpose or goals, the amount pledged to the project, the amount expended on the project, the status of the project, the revenues, savings or efficiencies
anticipated
from the project, the methods
being used to
recognize
and measure
any savings realize
d from the project and any savi
n
g
s that have been realized
as a result of
the project.

(h)

The governor's office may use monies from the state savings and efficiency initiatives fund to employ one (1) or more persons and to contract with one (1) or more entities having expertise in government efficiency for purposes of this act. Other than individuals retained as employees of the governor's office, every entity contracted with under this subsection shall be selected pursuant to a competitive process and subject to standard procurement procedures. The governor's office may retain the services of employees of other executive department agencies to carry out the duties of the office under this act.

(
j
)

The governor may designate an employee
or employees
to provide
technical and tactical assistance to
governmental entities in identifying,
prioritizing,
qualifying for
, obtaining, tracking
and maintaining
appropriate and
available
federal
funding.

The employee or employees
also may act as a special point of contact for governmental entities and provide information resources and grants training.
The governor and state auditor offices may develop a grants management system as determined beneficial to the state's needs. If a grants management system is developed it shall include functionality allowing for
potential fiscal agent responsibilities for school district grant oversight.

Annual Ideas Festival

(
k
)

Funds in the state savings and efficiency initiatives fund may be used by the governor
's office
to create and fund an annual ideas festival, intended to incentivize state employees to identify and implement initiatives for revenue generation, savings and efficiencies in the operation of state government.
U
p to
twenty
‑
five
thousand dollars ($25,000.00)
per year
may be awarded
to contestant winners
, but not more than
five thousand dollars ($5,000.00) per team member
shall be awarded.

Section 2.

(a)

The Wyoming spending and government efficiency commission, created by 2017 Senate File 156, 2017 Wyoming Session Laws, Ch
apter
183
,
is hereby continued
and shall be staffed by the legislative service office
.

(b)

The c
ommission shall be composed of
twelve
(1
2
)
members.
Five
(
5
) members

shall be appointed by the management council of the legislature of whom one (1) shall be from the private sector and
two
(
2
) each from the senate and house of representatives. Four (4) members shall be appointed by the governor, of whom two (2) shall be from the private sector
and one (1) shall be a member of the governor
'
s staff
.

The state auditor, or the auditor
'
s designee,
shall be a member of the commission. T
he chief information officer of enterprise technology services, or an appropriate
designee, and the director of the department of administration and information, or an appropriate
designee,
shall also serve as members of the
c
ommission.
All members of the commission shall be voting members except the chief information officer or his appointee and
the
director of the department of administration and information or his designee.

The commission shall elect a chairman from among its legislative members.

(c)

The members of the commission shall be appointed not less than thirty (30) days after the effective date of this act.

(
d
)

Members who are not legislators shall receive per diem and travel expenses in the same manner an
d amount provided under W.S. 28
‑
5
‑
101.

(
e
)

The commission shall meet at the call of the chairman or the governor as necessary to complete the
following
duties:

(
i
)

The commission shall monitor and
, where appropriate,
provide recommendations

with regard to
all

savings and efficiency activities initiated under this act or as a result of the commission
'
s work during the 2017 interim;

(ii)

The commission shall work with the
governor's office and

any efficiency consultants retained by the governor
'
s office to keep apprised of new or continuing savings and efficiency opportunities that are or might be pursued by the
state and, where appropriate, make recommendations on the opportunities;

(i
i
i)

The commission shall monitor expenditures from the
state savings and efficiency initiatives account

and shall keep apprised of
any progress made on
projects funded
from the account
;

(iv)

The commission shall act
as a condu
it between the executive branch and the l
egislature
to assure a coordinated effort in accomplishing all savings and efficiency initiatives pursued under this act. The commission shall accept for consideration any legislative changes
identified
by the governor
'
s office or any other entity assigned duties under this act
as necessary to accomplish any initiatives pursued under this act.

(f
)

On or before
November 30, 2018
and again
on or
before November 30, 2019, t
he commission shall
provide a report
to the governor, the management council of the legislature and the joint appropriations committee

summarizing its
activities. The report
may provide recommendations regarding any activity undertaken under this act and shall include an outline of any legislative changes recommended to the commission
during the course of
its work or which are independently identified by the commission. In the report due on or before November 30, 2019, the commission shall recommend whether the commission should
be continued beyond June 30, 2020
.

(g)

The commission sha
ll exist until June 30, 2020
.

Section 3.

(a)

There is appropriated ten million dollars ($10,000,000.00) from the
legislative stabilization reserve account
to the state auditor
'
s office to be deposited into the state savings and efficiency initiatives account which is created by this act. This appropriation shall only be
expended and shall revert as provided in
s
ection 1(b) of this act.

(b
)

There is
appropriated

thirty
thousand dollars ($
30
,000.00)
from the
general fund
to the legislative service office. This appropriation shall be for the period beginning with the effective date of this act and ending June 30
, 2020
. This appropriation shall only be expended
for the purpose of
providing reimbursement for members of the Wyoming spending and government efficiency commission appointed by the management council. Notwithstanding any other provision of law, this appropriation shall not be transferred or expended for any other purpose and any unexpended, unobligated funds remaining from this appropriation shall revert as
provided by law on June 30, 2020
.

(c
)

There is appropriated
four thousand
dollars

(
$
4
,0
00.00) from the
general fund
to the governor
'
s office. This appropriation shall be for the period beginning with the effective date of t
his act and ending June 30, 2020
. This appropriation shall only be expended
for the purpose of
providing reimbursement for members of the Wyoming spending and government efficiency commission appointed by the governor. Notwithstanding any other provision of law, this appropriation shall not be transferred or expended for any other purpose and any unexpended, unobligated funds remaining from this appropriation shall revert as
provided by law on June 30, 2020
.

Section 4
.

This act is effective immediately upon completion of all acts necessary for a bill to become law as provided by Article 4, Section 8 of the Wyoming Constitution.

(END)

Speaker of the House

President of the Senate

Governor

TIME APPROVED: _________

DATE APPROVED: _________

I hereby certify that this act originated in the
Senate
.

Chief Clerk

1