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ISD2 Replacement Project (ISD2R)

PCC Update 07/23/10

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ISD2R Agenda

Objective Background Executive Review Including Health Care

Reform Sub-projects Reviews: Budgets Going Forward

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Objective

Replace the Income Support Division (ISD), Integration Services Delivery (ISD2) System which manages benefits for over 700,000 clients who receive Food Stamps (SNAP), Energy Assistance , Medicaid, and Cash Assistance.

Meet Requirements of Health Care Reform Act of 2010

Partner with the following Federal Agencies: Food and Nutrition Services (FNS) Centers for Medicare and Medicaid (CMS) Administration of Children and Families (ACF)

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Background The Replacement Project was submitted in Sept. 2006

and included three phases: Planning Web Access Replacement System

By 2009 the Replacement Project focused on multiple Sub-Projects: Yes-NM Encounter Tracking Data Conversion Business Intelligence Imaging

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Executive Review In Jan-Apr 2010 an Executive Review took place. Key Questions on Project Scope:

What is the core functionality? The Replacement System

What do you need for “no wrong door” and access the core functionality? Web Access

What do you need for key performance indicators? Reporting

Executive Review Outcome: Planning for the Replacement System taking into Consideration

Health Care Reform Action: Review off existing and potential replacement systems.

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Health Care Reform

Systems Reviewed: Visited Michigan (Five member HSD team)

Technology: A good fit Project Management Office (PMO) key to Michigan's success

Demo from California on C-IV C-IV (Old): Technology is old; good graphical interface ASPS (New): Technology a good fit; good graphical interface

Demo from Tennessee and Maine Acceptable fit for HSD and Health Care Reform

Other Demonstrations/Conversations Deloitte, Microsoft, Northrop Grumman

Determination: Send out an open RFP for an Integrator using a contracted Procurement Specialist.

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Sub-Projects

The Scope of the Replacement Project is the Replacement System.

What should be done with the Sub-Projects: Executive Review Outcome:

Cancel or suspend all projects not associated with the Replacement System (ISD2R) Web Access (Public: Yes-NM, Staff: Encounter Tracking)

Suspended Reporting (Data Conversion & Business Intelligence)

Cancelled Imaging (Electronic Documents)

Cancelled Funding sub-projects puts ISD2R at risk Resource contention implementing sub-projects puts ISD2R at risk

Sub-Projects Web Public Access: Yes-NM “Am I Eligible”

In production and M&O contract with vendor expires on 6/30/10 Production and UAT environment must be maintained by DoIT and HSD-ITD

staff

HSD must develop business processes to handle the inevitable increase in applications during a time of record high vacancies in field offices

Reporting (Replaced by “System Integrator”) Encounter Tracking: Stopped at Proof-of-Concept

May be added to Integrator RFP

Business Intelligence: Supported with Internal Staff May be added to Integrator RFP

Imaging: May be added to Integrator RFP

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Funding & Budgets Analysis:

Our State Laws funding the project have been interpreted for two parts of the project: Replacement System Yes-NM

Our Federal Partners divided the Replacement Project into two phases: Planning Implementation

Share represents the tracing of our laws: Z80727 - Replacement System Z80726 - Yes-NM

Budgets Fed-Planning Fed-Implementation

NM-Yes NM (Z80726) Never determined Never determined

NM-Replacement (Z80727) Never determined Never determined

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Funding & Budgets

Federal Partners Budget Approval

Planning Budget Approvals 2006 $ 653,600 2009 $ 1,346,400 Total $ 2,000,000

Pre-Implementation Budget Approvals email dated Sept. 26, 2008 Imaging $ 2,500,000 Yes NM (limited) $ 1,163,190 Business Intelligence $ 618,000 Total $ 4,281,190

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Funding and Budgets Tie Fed Phases with Sub-Projects

Fed Partners Planning and Implementation Phases Fed Partners 2006 APDU Phases 2009 Sub Projects State Laws with Share Z codes

Fed Partners Fed-Planning

Fed-Implementation

2006 P-APDU Planning Web Access Replacement System (Z80726)

2009 P-APDU Planning Web Access Reporting Imaging

2009 P-APDU Planning Yes-NM (Z80727)

Encounter Tracking

Data Conversion

Business Intelligence

Imaging

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Fed Partners - Funding and Budgets Federal Budget Status

For this calculation, each expense from the start of the project to the end of SFY10 was assigned to either Planning or Implementation.

Fed-Planning Fed-Implementation Total

Fed-Budget $ 2,000,000 $ 4,281,190 $ 6,281,190

NM-Expenses $ 528,668 $ 2,579,395 $ 3,108,063

NM-Remaining $ 1,471,332 $ 1,701,795 $ 3,173,127

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NM - Funding and Budgets Sub-Project Budget Status

For this calculation, each expense from the start of the project to the end of SFY10 was assigned to a category. The categories consist of the sub-project or to the Replacement Project.

The expenses for the Replacement Project are $784,238 Examples: contracts for PMP, APDU, IAPD,

NMWeb Access(ET & Yes)

Reporting(DC & BI)

Imaging Total

Fed-Budget $ 1,163,190 $ 618,000 $ 2,500,000 $ 4,281,190

NM-Expenses $ (1,797,583) $ (526,812) $ 0 $ (2,324,395)

NM-Remaining $ (634,393) $ 91,188 $ 2,500,000 $ 1,956,795

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Funding & Budgets

Expense balancing

Federal Partners Expenses Planning $ ( 528,668) Implementation $ (2,579,965) Total $ (3,108,633)

Sub-Project Expenses (Planning & Implementation) Replacement Project $ ( 784,238) Imaging $ ( 0) Reporting (DC & BI) $ ( 526,812) Web (ET & Yes) $ (1,797,583) Total $ (3,108,633)

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Going Forward Sub-Project Financial Tracking

State Laws: Share = Z codes

Fed Phases Planning and Implementation Phases Share = Operating Units

Sub-Projects for Replacement System Share = Reporting Categories

Budget(SHARE)

Fed-Planning(Op Unit)

Fed-Implementation(Op Unit)

Yes NM (Z code)Reporting Categories

Reporting Categories

Replacement (Z code)Reporting Categories

Reporting Categories

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Planning Budget

Expenditure Category

Jul-Sep2010

Oct-Dec2010

Jan-Mar2011

Apr-Jun2011

Jul-Sep2011

Total

State Personnel

$103,974 $103,974

Contract Personnel

$25,000 $219,118 $291,176 $291,176 $291,176 $1,117,647

Hardware and Software

$19,487 $23,570 $3,750 $100,000 $146,807

Total $44,487 $219,118 $314,746 $294,926 $495,150 $1,368,428

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Going Forward

Actions: Project Management Office (PMO) RFP

Responses due 7/23/10

Deliver to the Federal Partners an updated Planning-APDU Delivered on 7/7/10

Procurement Specialist Contract In HSD review

Re-submit to PCC a Change Cert at the Planning Phase July 2010

Issue open RFP for Replacement System including Integration

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Schedule

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Questions