The House Oversight Committee continued to probe the core functions of state agencies on March 13. Information technology, human resources, and other enterprise-wide services took center stage in the morning. State Controller Nels Roseland discussed his agency’s central role in payments to vendors and employees.

DIT: “End of life” technology is a cybersecurity risk

Department of Secretary Teena Piccione said the has security vulnerabilities because “a lot of technology is end of life.”  Co-Chair Jake Johnson (R-Polk) emphasized the importance of cybersecurity, saying, “It is very unlikely that an enemy combatant is going to storm the Outer Banks. I think it is very likely that every day we will see a foreign actor try to compromise North Carolina through a cyberattack.”

Piccione also emphasized DIT’s role in providing universal access to high-speed internet with satellite, cellular coverage, and fiber lines.

OSHR: It takes six months for state government to hire somebody

Committee members were surprised to hear State HR Director Staci Meyer declare, “It takes 182 days to hire an employee in state government.” Meyer pointed to the complicated application for state employment, and committee members pressed her on lapsed salaries from chronic position openings and the time it takes to reclassify newly opened positions.

Meyer said the State Personnel Act needs to be modernized. Until the governor approves them, however, she could not offer specific statutory changes for legislators to consider or rule changes that OSHR might pursue.

DOA: Currently underutilized office space and historically underutilized businesses

Secretary-designee Gabriel Esparza described DOA’s role as the business manager of state operations. He aims for the department to do its work quickly, efficiently, and on-budget.  

In an example of how a single office can be pulled in different directions, Rep. Dean Arp (R-Union) questioned Esparza on the statutory requirement for agencies and local governments to “have a verifiable ten percent (10%) goal for participation by minority businesses in the total value” of building projects (G.S. 143-128.2). In his response, however, Esparza focused on the statewide uniform certification of historically underutilized businesses program (G.S. 143-128.4, G.S. 143-48.4), which he described as an outreach and education effort.

Rep. Mike Schietzelt (R-Wake) and Rep. Zech Hawkins (D-Durham) asked Esparza about under-utilized office space, particularly in the Triangle. Esparza offered selling the property and returning money to the taxpayer or making it available to local governments or nonprofits.

OSC: Responsible for the state’s “checkbook”

State Controller Nels Roseland cited the state’s AAA bond rating as evidence of financial strength. He said North Carolinians can have confidence in part because of his office’s record of paying the state’s bills and employees and its public reporting of the state’s financial condition.

Roseland pointed to Open Budget data available through DIT’s Government Data Analytics Center (GDAC) as an example of transparency, but Rep. Schietzelt asked if the State Controller’s Office could help provide transaction-level information online, like a check register.

Roseland reaffirmed for Rep. Allen Chesser (R-Nash) that his office only approves checks for funds appropriated by the General Assembly.

Up Next

The Oversight Committee will not meet March 20, but will resume its sessions with state agencies on March 27.