OKLAHOMA CITY - Recent reforms in government purchasing have already resulted in more than $1.2 million in savings and additional reforms could result in state government being more cost efficient and effective, state legislators were told today.

  Members of the House Government Modernization Committee met today to study how better tools and the use of new technology can result in more efficient purchasing practices and enable the public to keep better tabs on how taxpayer dollars are spent.

  "The presentations at this study document that recent modernization legislation is already allowing state government to save taxpayer dollars," said state Rep. Jason Murphey, a Guthrie Republican who chairs the committee. "The concepts presented provide new ideas for another round of cost-saving and transparency enhancing legislation.

 "In another down revenue year it will be more important than ever for the Legislature to take action and incorporate some of these cost saving suggestions into new legislation."

 Officials with the Department of Central Services updated lawmakers on the impact of House Bill 1032, the Oklahoma State Government Modernization Act of 2009, which they said is already generating savings. DCS Deputy Director Randy Ross said that the provisions of HB 1032 have allowed DCS to make better use of state spending patterns to negotiate the best possible terms and prices for the state. The result has been "a better skill set, better personnel, and we’re able to do better things," said Ross.

 DCS officials said those reforms have already allowed them to save an estimated $1 million on a food services contract and another $229,000 on a contract involving work on culverts.

 The agency is stretching state dollars by installing more energy efficient fixtures and reducing usage, using new technology to monitor the condition and use of the state’s fleet of vehicles, expanding online auctions of state surplus equipment, and negotiating cost-saving vehicle lease agreements for state agencies. Ross said a recent lease agreement is projected to save one state agency more than $1 million for this fiscal year.

 Lawmakers also heard from several other presenters.

  Tom Daxon discussed two recent Oklahoma Council of Public Affairs reports on enhanced financial reporting for state government and encouraged officials to shift the focus of governmental accounting from budget compliance to comparing the cost of providing services to the value of the services provided.

 In the July 2009 paper, Enhanced Financial Reporting for State Government: Comparing Cost to Performance, Daxon wrote that "improved accounting and financial reporting practices can make current transparency initiatives more potent. A citizen seeking to hold government to account for its performance will have far better information with which to do so, and find what is currently available on transparency websites more relevant and understandable."

  The research paper contends that for a government financial reporting system to be truly accountable to the citizens it serves, it must report what it does, what it costs to do it, and what it provides.

  Brian Downs, executive director of Oklahomans for Responsible Government, discussed his organization’s recent report, Blueprint for Transparency: A Review of Oklahoma School District Websites, which examined the web presence and level of transparency of information available for the state’s more than 530 public school districts.

  Among OFRG’s findings was that 79 districts had no website at all or simply a domain name registered with a site still under construction, and that no district fully met all criteria for transparency of information. Downs said the agency would eventually like to examine higher education and other state agencies in a similar manner.

 Logan County Commissioner Mark Sharpton urged legislators to alter state and local mandates that require the use of newspapers for the purpose of legal postings by allowing officials to post those items on the ok.gov portal in order to drive down costs and increase visibility.

 Sharpton said local county and city governments spend thousands of taxpayer dollars each year on required legal postings in the newspaper, and that the notices run for a limited amount of time, are usually in small print, and are not readily accessible to those outside of the community. He said that centralized posting of notices could generate more interest and result in better prices.

 Legislators also heard from representatives from two private companies who discussed tools available to help governments manage information technology staff and resources, and a product that allows for electronically-sealed bidding on contracts, which the company reported as increasing competition and driving down contract costs.

 OKLAHOMA CITY (May 20, 2009) – Governor Brad Henry has signed House Bill 1032, the Oklahoma State Government Modernization Act of 2009, a keystone in the House Republican effort to streamline government.

 The bill was authored by Representative Jason Murphey, R-Guthrie and Senator Randy Brogdon, R-Owasso.

 Murphey said the bill continues efforts to increase transparency of state government spending, puts a stop to certain inappropriate fee increases, requires agencies to provide online access to licensing and permitting processes, eliminates an unnecessary state board, and is expected to save millions of taxpayer dollars by providing a new focus on leveraging state purchasing processes through a dramatic redesign of the state’s centralized purchasing processes.

 The bill increases spending transparency by requiring that all purchases made by state employees with state purchasing cards (P-cards) to be posted online through the ok.gov internet portal for the public to review.

 HB 1032 tightened up statutory language so that state agencies are no longer allowed to backdoor certain IT costs into online convenience fee increases.

 The bill also seeks to make government more accessible by requiring state entities to provide the public with the option of renewing or applying for permits and licenses online. Murphey asserts that online permitting should save many man hours and greatly lessen the cost to taxpayers.

 The changes in HB 1032 should also allow for major savings by shifting the focus of the Department of Central Services from an agency that primarily processes purchases to one that applies more strategy in managing the state’s purchasing.

 A report conducted by IBM in 2007 showed that Oklahoma could realize as much as $70 million in savings if best purchasing practices were put in place. A second report conducted recently by a company on contract with DCS found similar savings potential. HB 1032 aggressively codifies some of the report findings and should provide central purchasing officials with the tools they need to incorporate the reports’ recommendations.

 HB 1032 also eliminated a state board function in conjunction with the Department of Labor. Murphey said that a past modernization study showed that Oklahoma had nearly twice as many agencies, boards and commissions as similar states and he believes it is important to consolidate and streamline government.

 HB 1032 contained additional cleanup languague that supportes the reforms in last year’s House Bill 3325 which allows state purchasing processes to be conducted online. Murphey explained that this reform standardizes formatting and prevents human calculation errors that may have proven costly in the past. The bill potentially could free up many tedious hours spent by state employees with mundane data entry duties that will be no longer required.

 "HB 1032 is an important second step along the path of government modernization," Murphey said. "The bill will set the stage for a new round of modernization and money-saving initiatives next year."

 HB 1032 will go into law later this year.

 House Bill 1032, the Oklahoma State Government Modernization Act of 2009, is a keystone in the House Republican effort to streamline government.

 The bill continues efforts to increase transparency of state government and improve efficiency by providing more oversight of state purchasing.

 All purchases made with state purchasing cards, or P-cards, will have to be reported to the Office of State Finance under the bill, which will then post those transaction details online.

 The legislation also amends the state Central Purchasing Act to allow DCS personnel to make better use of state spending patterns to negotiate the best possible terms and prices for the state. The change will also give state buyers more time for ongoing vendor performance monitoring to ensure quality.

 "If the Department of Central Services is given the freedom to focus on larger state contracts where the most money is spent, they will be able to fight for efficiencies to ensure the taxpayer dollars are going as far as possible," said Rep. Jason Murphey, R-Guthrie and author of the bill.

 The bill also authorizes DCS’s state purchasing director to renegotiate existing contrasts in an attempt to get better rates for the state. An annual report documenting savings realized by each agency will also be required by the legislation.

 The changes in HB 1032 will shift the focus of DCS from an agency that primarily processes purchases to one that applies more strategy in managing the state’s purchasing.

 "As legislators, the taxpayers expect us to be good stewards of their hard-earned dollars, especially in a down revenue year," said House Speaker Chris Benge, R-Tulsa. "This bill will go a long way toward making sure every tax dollar is spent as efficiently as possible while maintaining the quality services Oklahomans expect."

 A report conducted by IBM in 2007 showed Oklahoma could realize as much as $70 million in savings if purchasing best practices were put in place. A second report conducted recently by a company on contract with DCS found similar savings potential.

 The bill also seeks to make government more accessible by requiring state entities to provide the public with the option of renewing or applying for permits and licenses online.

 Each entity is required by the bill to provide an annual report detailing the number of applications processed online and any savings realized as a result.

 The legislation passed the House with a vote of 85-13 and will now return to the Senate for final consideration.

 For accompanying video, go to http://www.okhouse.tv/ViewVideo.aspx?VideoID=156.

 Jason Murphey is as a third generation, life-time resident of Logan County. He is married to wife, Raleah, and they have two children, Jarod and Jarel.

 Jason Murphey is as a third generation, life-time resident of Logan County. He is married to wife, Raleah, and they have two children, Jarod and Jarel.

Background - Bio

 Murphey graduated with his Bachelor of Arts degree from Charter Oak State College in May of 2006 with National Honors, is a member of the National Rifle Association, attends church at Church of God Outreach in rural Logan County and has achieved Toastmasters International's highest award for communication and leadership (DTM).

 Murphey was first elected to the State House in 2006 and was re-elected in 2008. He serves as the Chairman of the House Government Modernization Committee.

- End of Bio -

Communication

On The Issues

Taking Another Stand for States’ Rights

 In May, 2009, Oklahoma State Representative Jason Murphey wrote about advocating the states’ rights agenda.

 Representative Jason Murphey wrote that this week, the Oklahoma House of Representatives once again voted to support a House Resolution authored by State Representative Charles Key which sends a message to the federal government regarding states’ rights. Murphey said this is Key’s second proposal which has been necessitated by a previous version approved in the House and Senate, but vetoed by the Governor.

 The resolution seeks to reassert Oklahoma’s sovereignty under the Tenth Amendment of the U.S. Constitution, and according to the resolution’s language, serves as "Notice and Demand to the federal government, to cease and desist, effective immediately, mandates that are beyond the scope of these constitutionally delegated powers."

 The resolution makes a firm statement on behalf of local control.

 Jason Murphey continues to firmly support local control because the ability of the people to make a difference is greatly enhanced when the power to change the law is close to the people.

 For instance, people have very little opportunity to make a difference in federal policy. They can call their Congressmen or US Senators, but in the big scheme of things, it is hard for even a federal official to change policy because he/she is only one out of several hundred. This means that people have very limited ability to change unfair federal mandates.

 On the other hand, people have a little more ability to change policy at the state level. They can call Murphey as your State Representative and he can have some voice in changing egregious policy, because he is 1 out of 149 legislators. In addition, Murphey can sponsor up to eight bills each year in order to reflect the desires of the people he represents.

 However, if the power is concentrated at the local level of government, then people have a tremendous voice, because they can easily contact their city councilman, county commissioner or school board member. Rarely do these boards have more than 10 members, so it is quite possible and relatively simple for the affected individual to contact every member of the board to make sure their side of the story is heard. If local officials are not responsive to the values presented, the way for people to change policy at that point is simply by voting for a new local official.

 Murphey believes that as much power as possible should be placed in the entities that are closest to the people and I believe this was also an important principle to our founding fathers which is why they attempted to make this concept clear in the Tenth Amendment to our country’s Constitution.

 Another reason the people have a much greater voice at the local level is because powerful special interests and lobbyists have a tremendous investment in federal and state level politicians. At the local level there is very little influence welded by these groups as they can not afford to invest in every local official.

 Unfortunately, years of aggressive federal government expansion has eroded these principles and it is Murphey's belief that as more states adopt states’ right resolutions and laws, we will see the start of a reversal of this trend.

 Federal mandates are affecting our lives in a number of ways and in the future Murphey plans to write about some of the examples of how the federal bureaucracy’s unfortunate regulations are negatively affecting local residents.

Should you have additional questions please call 405.563.0034.