[{"_1":2,"_100":-5,"_101":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6308646,"mediaKeyId","2420848-cda5b23006e8821556782696b7fd97af","parentId",2420848,"title","Legislative committee reviews OTS report on oldest, costliest state IT systems; members press on procurement and modernization costs","audioSeconds",3469,"startMs",210000,"endMs",3679000,"viewUrl","/Search/View?dp=1&key=2420848-cda5b23006e8821556782696b7fd97af&start=210&end=3679","thumbnailUrl","https://assets.pipeline.soar.com/2420848-cda5b23006e8821556782696b7fd97af/thumbnail_210000.jpg","articleUrl","/articles/6308646/Louisiana/Legislative-committee-reviews-OTS-report-on-oldest-costliest-state-IT-systems-members-press-on-procurement-and-modernization-costs","mediaUrl","https://secure.pipeline.soar.com/6308646-83dc5980a2c68ca6e562b7a31d767177/orig.mp4?Expires=1771007515&Signature=eGbz9Y7ZqsMYUUyGvWZjoqOytGReNErsH4LkuP0i-ULs2g9477daZhczBcedDsIP~30zpfswDIcj1kacviVOelFYjs1KjcHs5vIwrR2lnFuSI1KLst-wTYF~Ta4ToNEfXFRGhKDav91mMzfbB5rbTmONtY9FtF9AMhIAXCWicvnyuW1z2vhmdxusmLXJseoLwwqYU-aqvK8KnFvG8YvLiFfXIfM5Xh58ZFjmag-96uIWXTFNhy~vfWsdGAx6xmxfcSudoDe77SBYaq8OsdmhB2~NJrTMZ-t4p-HrTmaziajZ49YQYBwhWsZDwrGkccJHQZcczjnZDYM9as6~J2r5ag__&Key-Pair-Id=KUT5TJCACFTXG","author","Louisiana Legislature","date","2025-02-25T00:00:00Z","article","The Joint Legislative Committee on Technology and Cybersecurity on Feb. 25 heard a report from the Division of Administration’s Office of Technology Services on the state’s three oldest and three most expensive information technology systems, as directed by House Concurrent Resolution 135 of the 2024 regular session.

The report — presented by Matthew Vince, interim chief information officer for the state and OTS, and Chase Heimel, chief information security officer for OTS — described the methodology used to estimate maintenance (M&O) and replacement costs, and flagged cybersecurity risk levels for several legacy and high-cost applications.

Why it matters: committee members said the state spends large sums each year to keep core systems running, and they pressed OTS to explain how procurement and contracting practices, vendor change orders and continuing enhancements drive long-term costs.

OTS’s methodology and findings

Matthew Vince said OTS derived replacement and maintenance figures from existing contracts and market research, and by comparing experiences in other states. For Medicaid-related systems, Vince said federal policy is pushing “modularity” — breaking monolithic Medicaid Management Information Systems into separate modules — and that cost estimates for individual modules range widely. “We’ve seen anywhere between 20 to $40,000,000 per module, and so we use that as our estimate,” Vince said.

Vince and Heimel told the committee that the state’s systems are hosted in a mix of locations — two in-state data centers in Baton Rouge, public-cloud and private-cloud vendor environments — and that roughly 40–50% of applications are managed outside the state’s core data centers (estimate provided by OTS).

Cybersecurity and risk scoring

Chase Heimel said OTS uses an industry-standard risk matrix informed by the impact and likelihood of an incident when scoring systems. Heimel said some legacy systems scored as high risk because of their central business function or data sensitivity, even when the likelihood of an external attack is reduced by controls. “There is heavily monitoring. A lot of our cybersecurity defense in-depth strategies do cover application, but simply because it’s not visible as an attack surface to an attacker unless they're already inside the network,” Heimel said about certain internal systems.

Case examples discussed

- Centralized bank-reconciliation system used by the Department of Children and Family Services: Committee members noted the system is about 25 years old and handles very large monthly payments. OTS characterized the application as having very high application risk in business terms while describing the cybersecurity exposure as reduced because it is internal-only.

- Integrated eligibility application (serving both DCFS SNAP and LDH Medicaid functions): OTS told the committee the M&O costs for this system are large and include both ‘‘keeping the lights on’’ operations and ongoing enhancements. Committee members quoted a figure of $150,000,000 per year split between two agencies; OTS representatives confirmed the contract includes operations and substantial enhancement work done primarily by external contractors.

- DMV / Office of Motor Vehicles (OMV): OTS said an interim mainframe replacement is planned to keep current systems supported while modernization proceeds; OTS estimated a mainframe-over-five-years cost “probably $10,000,000” to maintain support while the agency evaluates cloud or vendor-hosted alternatives.

Procurement, vendor risk and proposed changes

Lawmakers repeatedly asked whether procurement methods allow a vendor to win with a low initial bid and later increase contract value through change orders. Vince and others said scope uncertainty and complex business rules drive some of those costs; OTS supports moving toward an invitation-to-negotiate model authorized by House Bill 845 to improve flexibility and vendor negotiation. “RFPs are very restrictive… this will be a little bit more open to very creative responses,” Vince said.

Who decides to modernize

OTS officials said modernization is typically driven by agencies based on business needs and funding; OTS contributes risk assessments, technical alignment and procurement assistance. Vince said OTS works with agencies to prioritize projects but that agencies ultimately request and fund many modernizations.

Staffing, scale and standards

Committee members asked why OTS staffing and maintenance costs appear high compared with other states. OTS answered that Louisiana’s IT is 100% consolidated (no agency IT staff remain), that OTS operates statewide networks and 24/7 help desks and runs two data centers, and that many large contracts (especially federally funded Medicaid systems) require specialized vendor teams. OTS reported around 800 staff and roughly 1,200 applications under statewide oversight. Heimel said OTS’s information security policy is based on NIST SP 800-53 and that vendors are contractually required to meet either the full policy or an agreed subset.

Discussion versus formal decisions

Committee members asked for clearer, system-by-system modernizations and for more transparent cost breakdowns. OTS answered that small systems are often rolled into larger modernization projects and that enhancements (new features required as laws and business rules change) drive ongoing M&O costs.

What’s next

Lawmakers asked OTS to provide more detailed, item-level data on hosting locations, exact counts of cloud vs. state-hosted applications, and historical budget growth for OTS. OTS agreed to follow up with more precise figures and to continue working with the legislature on procurement and funding approaches.

Ending

Committee members framed the report as a starting point for further oversight and for statutory or rule changes to procurement and budgeting for major IT programs.","mediaType","Video","parentTitle","House JLCTC - 02/25/2025","oneSentenceSummary","The Joint Legislative Committee on Technology and Cybersecurity on Feb. 25 heard a report from the Division of Administration’s Office of Technology Services on the state’s three oldest and three most expensive information technology systems, as directed by House Concurrent Resolution 135 of the 2024 regular session.","taxTitle","2025 Legislature LA, Louisiana","taxId",78558,"location","Louisiana","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6308638,"Committee ratifies leadership and adopts rules and minutes",5650,93000,5743000,"/Search/View?dp=1&key=2420848-cda5b23006e8821556782696b7fd97af&start=93&end=5743","https://assets.pipeline.soar.com/2420848-cda5b23006e8821556782696b7fd97af/thumbnail_93000.jpg","/articles/6308638/Louisiana/Committee-ratifies-leadership-and-adopts-rules-and-minutes","https://secure.pipeline.soar.com/6308638-c5b83480124405712d7372b5483835c4/orig.mp4?Expires=1771007515&Signature=IUtkGhPaDJOZ4QS9Yrs4ZOW3JTzD5~VweFmlpctWyUaNwYhNCLEEGyNh55gCanNNw3X6w0N5vcLin2EkVus3NS24JkSoNRuqWwHSo~PO0AkpNy0Or33Uh7fKTt-8x8DmbKGOtESxFFHraXFQJMycE~-8hFPdJXQAalt0hS9TdPSJBduSf95T17WWhmXoIWb-ws7sdwj~2TE4zAPXOR8653YpCX8IHMu-DyVr45RO6GjA25jvS7BiwW3El4p2GwiQRGakJIA4IRI24THvSZ1rtu9tHFej~59eVTh9804J8Fom0CJjMTraTycb0m~XtoFnq8urvQR4JnJcnlZYZOh5Bg__&Key-Pair-Id=KUT5TJCACFTXG","The Joint Legislative Committee on Technology and Cybersecurity completed routine organizational business at the Feb. 25 session, ratifying leadership and adopting committee rules and minutes.

The committee ratified the previously held vote electing Darryl Desotel as chair and ratified Senator Reese as vice chair. Members then adopted committee rules; OTS staff noted an amendment to committee rule number 9 to specify that committee rules govern procedure and, in the absence of a committee rule, the chairman may consult the joint rules of the Senate and House of Representatives.

The committee also ratified and adopted minutes from previous committee meetings (dates cited in the record included March 2, Nov. 18, 2020 and Oct. 29, 2024).

All motions were adopted by voice vote with no objections recorded in the transcript.","At the Feb. 25 meeting the Joint Legislative Committee on Technology and Cybersecurity ratified election of its chair and vice chair, adopted committee rules (including an amended rule 9) and approved minutes from prior meetings by unanimous voice votes.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6308643,"Entergy briefs committee on power mix, grid upgrades and Meta deal protections as state prepares for large data centers",2034,3681000,5715000,"/Search/View?dp=1&key=2420848-cda5b23006e8821556782696b7fd97af&start=3681&end=5715","https://assets.pipeline.soar.com/2420848-cda5b23006e8821556782696b7fd97af/thumbnail_3681000.jpg","/articles/6308643/Louisiana/Entergy-briefs-committee-on-power-mix-grid-upgrades-and-Meta-deal-protections-as-state-prepares-for-large-data-centers","https://secure.pipeline.soar.com/6308643-ad59d58bc9c5d27d7642d682ac9bd427/orig.mp4?Expires=1771007515&Signature=V1gObmfdAkywZz9r-aikt1IZo5TscjNEU2i~DcC9QJIe5A6B4Xjwuke-lq0r13I5d5gT~N5fltgPKeKT~pjF3nkxf3D5Si-~Mfyuapbexz~HQm4LS0OmGJ2ZmNxHuTLq4Rk-3LQhenOegJSnMCc4-N10r-foZQRhaZX1xkvUlxbdZQOoH8hcTLWtyYmqD3bQnfE~pdcP7TI2bUjVbdGxPcavAXEvUsaganeMI471akEMqVZUWE-bxQN-m80gMoeljzklU-lKCyOhMDMbuTZHKnVZhi60pZvCF2SW9sX3IraDRCVc2Gt7NdSnTOoy18wqNhl7vuLbEJnjkYbhmbo9hw__&Key-Pair-Id=KUT5TJCACFTXG","Entergy representatives told the Joint Legislative Committee on Technology and Cybersecurity on Feb. 25 that the company can meet large data-center power demands and outlined the utility’s generation mix, possible nuclear and small modular reactor (SMR) options, and contractual protections tied to a proposed large data-center customer announced in the state.

Why it matters: lawmakers raised questions about the scale of new electricity demand, the land footprint for solar projects, who would pay for new generation and transmission, and whether residents would face higher rates.

Entergy’s current system and planned investments

Jody Montelier (presenting for Entergy) said Entergy serves about 1,100,000 customers and that the company has roughly 12 gigawatts of generation capacity. She gave the utility’s generation mix as about 65% natural gas, 20% nuclear, 11% MISO purchases, 2% renewables and 2% coal.

Montelier said Entergy plans significant investments should the large data-center project proceed: three new combined-cycle gas turbines (about 2.3 gigawatts total) and substantial transmission upgrades, with Entergy estimating roughly $6 billion in generation and transmission investment tied to the project. She also said Entergy is exploring nuclear up-rates at existing plants and evaluating small modular reactor technology under a memorandum of understanding with Holtec.

Meta project, customer protections and rate impacts

Entergy summarized the structure surrounding the large-data-center announcement (the company and other witnesses referred to the prospective customer as Meta): the customer has committed significant private capital to its campus, Entergy will invest to serve the load, and protections are written into agreements to prevent ratepayers from being left responsible if the customer withdraws. Montelier said termination provisions and required deposits are designed “such that the customers are not gonna be left holding the bag for these new particular assets.” She added that the customer will contribute toward fixed costs and the deal includes a voluntary contribution (up to $1,000,000 per year) to Entergy’s Power to Care assistance program.

On whether rates will rise, Entergy told the committee the company expects the deal to protect or stabilize rates and may lower them by increasing contributions to fixed costs from a major industrial customer; Entergy said the structure differs from cases in other states where new-load projects ultimately raised rates for existing customers.

Solar footprint and planning

Montelier pushed back on broad claims that solar development would consume hundreds of thousands of acres in Louisiana. Using a planning multiplier of about seven acres per megawatt, Entergy calculated that the company’s in-service, approved and planned solar projects sum to well under 40,000 acres (she said the realistic figure was likely below 35,000 acres after adjusting for projects not proceeding). Montelier cautioned that many publicly visible projects in queue are speculative and do not represent completed builds.

Economic impacts and timeline

Entergy provided conservative economic-impact figures tied to the announced project: company representatives cited 300–500 direct jobs, thousands of construction jobs, and billions in construction-related output; Montelier gave a projected annual economic benefit figure and an average wage number for direct jobs, but those totals were presented as company projections rather than contractually guaranteed amounts.

Discussion versus formal decisions

Lawmakers asked technical questions about acreage, minimum contiguous land requirements for projects, the role of the Louisiana Economic Development agency in site selection, and whether portions of future generation would be clean-energy or carbon-captured. Entergy said the 1,500 megawatts of incremental solar and the carbon-capture elements discussed were driven in part by the prospective customer’s requests and also align with Entergy’s planning for supply diversity.

What’s next

Entergy committed to follow up with additional detail on minimum parcel sizes for solar projects, site-option progress and other community-level concerns. Committee members asked Entergy to work with the legislature and state agencies to explain how the deal will affect local communities and to make more granular economic and rate-impact analyses available.

Ending

Entergy concluded its presentation and the committee moved to the next agenda item.","Entergy told the Joint Legislative Committee on Technology and Cybersecurity it can support large data-center demand, outlined generation mix and potential generation/transmission investments tied to the Meta project, and described customer protections the utility says will shield ratepayers from project costs.","actionData","errors"]

Article not found

Legislative committee reviews OTS report on oldest, costliest state IT systems; members press on procurement and modernization costs

Committee ratifies leadership and adopts rules and minutes

Entergy briefs committee on power mix, grid upgrades and Meta deal protections as state prepares for large data centers