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Lawmakers press agencies for itemized breakdown of Office of Technology Services charges
Summary
Multiple departments reported sizable OTS line items in their FY26 budgets. Senators asked agencies and fiscal staff for a summarized, agency‑level breakdown of OTS charges (lines of service, direct billing and acquisitions) to determine whether costs and service levels can be streamlined.
During the department‑by‑department presentations senators repeatedly flagged the Office of Technology Services as an area of concern, questioning whether statewide technology spending is achieving good value and whether there is sufficient transparency in OTS billing.
Senator John Presley told multiple agency presenters he was “absolutely floored by the Office of Technology Services” and asked for detailed, agency‑level summaries of OTS costs. Agencies reported OTS line items that included recurring “lines of service” charges for network, email and help‑desk support plus direct‑billing for large software projects and acquisitions such as phone‑system upgrades and specialized equipment.
Multiple agencies — including the Division of Administration, the Department of Culture, Recreation & Tourism, the Coastal authority and the Office of Elderly Affairs — reflected OTS charges in their FY26 executive budgets. Presentation materials and questions showed a pattern: (1) recurring OTS rates, (2) variable direct billing for special projects and (3) agency purchases of specialized field equipment or enterprise software that may be charged through OTS or procured separately.
Chaz Nichols of Senate Fiscal Services and agency budget directors agreed to provide a summarized report to the committee: by agency, the report will separate (a) base OTS lines of service (help desk, email, hosting), (b) recurring direct billing (agency‑specific software and licenses billed by OTS) and (c) capital or acquisition purchases (laptops, network equipment, specialized field devices). Deputies and budget staff said they will work with OTS to produce a compact summary rather than raw transactional exports.
Why it matters: Nearly every agency pays OTS charges, and legislators said a clearer, standardized presentation of those charges will help determine whether costs can be reduced, whether services are consistent across regions, and whether capital purchases could be consolidated for savings.
