There's no such thing as a free lunch, especially for IT.
Go to the state of Iowa's Web site, and you can see that of the $2.5 billion in federal economic stimulus money earmarked for the state under the American Recovery and Reinvestment Act of 2009 (ARRA), $553 million has already been spent on health, education, infrastructure and other programs designed to create jobs and jump-start the local economy.
Drill a bit deeper into the data and you can pull up the exact amounts spent on weatherization training and technical programs, rental assistance programs and hundreds of other individual projects.
Iowa CIO John Gillespie figures his IT organization has devoted about 800 man-hours so far to making that data available to the state's citizenry. "We actually had to build the application to give [different state agencies and programs] a way to submit data to us," he says.
But the far bigger challenge, Gillespie says, has been building the business rules and defining internal processes to comply with federal reporting requirements, which have changed or been updated several times since the stimulus package was first announced in February. States are required to file quarterly reports that fully account for every tax dollar spent.
Just as the $787 billion ARRA is unprecedented, so are the reporting demands it's making on state CIOs and IT organizations, which are scrambling to whip up new processes and tools to accurately track and account for their states' shares of the stimulus pie. The process has been complicated by a variety of factors, including exceedingly tight deadlines and complex and changing federal reporting guidelines.
The best state Web sites for ARRA tracking
States with the best ARRA-tracking Web sites, as of July:
1. Maryland (see related story)
2. Colorado
3. Washington
5. New York
6. Pennsylvania
-- Mitch Betts
Source: study by Good Jobs First (PDF), Washington, July 2009
Another big problem is the lack of a central accounting system in most states, which have had to first devise ways of extracting and aggregating data from multiple systems across hundreds of agencies before rolling it up to report it to the federal government.
Like so many of the energy and construction projects launched with stimulus dollars, tracking and reporting systems remain works in progress.
In Missouri, one of a handful of states to have a central accounting system used across all state agencies, funding and budgeting data is relatively easy to access. What remains difficult to grasp, however, is precisely what the federal government wants to know, says CIO Bill Bryan.
Two data points the feds want to track are job creation and retention under the economic stimulus program. "But the definition and requirements for how to count jobs is quite a challenge to understand," according to Marilyn Gerard-Hartman, director of enterprise applications for Missouri.
For example, if the state awards a highway infrastructure project to a contractor who in turn hires a subcontractor, who in turn hires other subcontractors, "how far down the chain is the state responsible for tracking? And do you only count it as a job created if the job wouldn't have existed without the ARRA funding?"
Generally, "it hasn't been clear what the requirements are until fairly late in the game," adds Bryan.
Meanwhile, fulfilling the requirements to the letter of the federal law is critical, Bryan notes. "If you don't comply, you could get thrown under the bus and not get any further funding."
"One of the biggest challenges is just the speed at which we had to get things done," says Iowa's Gillespie. "The rules for the most part didn't get finalized literally until weeks -- not months -- ago. Just keeping up has been the biggest challenge."
Rather than licensing commercial stimulus-tracking tools, Gillespie's team internally developed a tracking and reporting system "using tools already familiar to financial folks who
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