2006 Massachusetts Code - Chapter 7 — Section 4A. Departments and divisions.

Section 4A. The executive office for administration and finance shall include a division of capital asset management and maintenance, which shall be headed by a commissioner as provided in section thirty-nine B, and a department of revenue as provided in chapter fourteen. In addition, the executive office for administration and finance shall include the following divisions: human resources, information technology, fiscal affairs and operational services, which divisions shall develop policy and standards to govern the conduct of commonwealth secretariats, departments, agencies, boards and commissions in each of these areas, and shall provide expertise and centralized processing to said secretariats, departments, agencies, boards, commissions and other entities of state government.

(a) The operational services division shall be headed by a state purchasing agent who shall also serve as assistant secretary for operational services. He shall be appointed by the secretary with the approval of the governor. The state purchasing agent shall give bond to the state treasurer in a sum fixed by the governor for the faithful performance of his duties and for the rendering of a proper account of all money entrusted to him for the use of the commonwealth. The purchasing agent may establish within the division such bureaus and other units as are deemed necessary from time to time by the commissioner of administration for the purpose of carrying out the functions of the division. Such functions shall include, but not be limited to, the management of the acquisition of all goods, supplies, equipment and services, excepting the acquisition of such goods, supplies, equipment and services as otherwise provided for in any general or special law or in any administrative rule or regulation promulgated by the commissioner of administration, the provision of assistance and advice for such acquisitions, the administration of the state and federal surplus property programs, the administration of the collective purchasing program for the political subdivisions of the commonwealth, the administration and management of reproduction facilities, the management of state acquired vehicles including the use and maintenance thereof and such other functions as the purchasing agent, with the approval of the secretary, may from time to time deem necessary for the efficient and economical administration of the work of said division.

(b) The human resources division shall he headed by a personnel administrator who shall also serve as assistant secretary for human resources. He shall be appointed by the secretary with the approval of the governor. Such personnel administrator shall be a person familiar with the principles and experienced in the methods and practices of personnel administration. The personnel administrator shall serve for a term of four years, which term shall end on June thirtieth of the first year of the term of the governor, except that he may be removed by the secretary, with the prior approval of the governor. A person so appointed shall serve until the qualification of his successor; provided, however, that in the case of a person appointed to fill a vacancy occurring during the prescribed term by reason of death, resignation or otherwise, the term of the successor in said office shall end on the next succeeding June thirtieth of the first year of the term of the governor. Within the human resources division shall also be the state office of affirmative action, the office of employee relations, the office of dispute resolution and the office of workers’ compensation administration.

(c) The fiscal affairs division shall be headed by a budget director who shall also serve as assistant secretary for fiscal policy. The budget director shall be appointed by the secretary, with the approval of the governor and may be removed for cause in like manner. He shall be a person of ability and experience and shall devote his entire time to the duties of his office. The budget director may establish, with the approval of the secretary, such administrative units in the fiscal affairs division as he deems appropriate. The budget director, as head of the fiscal affairs division, shall prepare and maintain financial plans and, under the general direction of and on behalf of the governor, shall prepare operating budget recommendations for all departments, offices, commissions and institutions which receive periodic appropriations from the commonwealth. Such plans and recommendations shall be prepared according to the requirements of chapter twenty-nine. Subject to the approval of the secretary, the budget director shall design and install, and may revise from time to time, a financial planning and budgeting system, including the requisite forms, procedures, information, computer software and such other attributes as he may deem necessary.

(d) The information technology division shall be headed by the chief information officer who shall also serve as assistant secretary for information technology. He shall be appointed by the secretary. The chief information officer shall carry out such functions as the commissioner may from time to time deem necessary for the efficient and economical administration of information technology systems within the executive departments including, but not limited to, setting information technology standards, reviewing and approving secretariat and department information technology strategic plans, reviewing and approving the planning, design, acquisition and operation of information technology systems, assessing the performance of information technology systems and operations, managing central information technology systems, and managing the commonwealth’s mailing operations. He may establish such bureaus, offices and other functional units within the division as he may deem appropriate.

Except in the case of agencies named in section four G, the secretary may also from time to time establish within the executive office for administration and finance such other bureaus, sections and other administrative units not otherwise established by law as may be necessary for the efficient and economical administration of the work of said office and, when necessary for such purpose, he may abolish any bureau, section or other unit or he may merge any two or more of them. He shall prepare and keep current a general statement of the organization of said office and of the assignment of functions to its various administrative units, officials and employees. Such statement shall be known as the Description of Organization of said office and shall be kept on file in said office. A copy shall be kept on file in the office of the governor.

In the event a new governmental mandate effective on or after July 1, 2004 is imposed upon a contractor providing a social service program, as defined in section 274 of chapter 110 of the acts of 1993, to a governmental unit, as defined in said section 274 of said chapter 110, and compliance with such governmental mandate has or will have a material adverse financial impact on the contractor, except a contractor for goods or services related to special education as defined in section 1 of chapter 71B, the governmental unit shall negotiate a contract amendment with the contractor to increase the maximum obligation amount or unit price to offset the material adverse financial impact of the new governmental mandate; provided, that the contractor furnishes substantial evidence to the governmental unit of such material adverse financial impact along with a request to renegotiate based on a new governmental mandate.

For the purposes of this section, a “new governmental mandate” shall mean a statutory requirement, administrative rule, regulation, assessment, executive order, judicial order or other governmental requirement that was not in effect when the contract was originally entered into and directly or indirectly imposes an obligation upon the contractor to take any action or to refrain from taking any action in order to fulfill its contractual duties.

For the purposes of this section, a “material adverse financial impact” shall mean: (1) an increase in the reasonable costs to the contractor in performing the contract of the lesser of: (i) 3 per cent of the maximum obligation amount or unit price of the contract; or (ii) $5, 000, in the aggregate as a result of all such mandates in effect during the contract year; or (2) an action that affects the core purpose and primary intent of the contract.

Any contractor aggrieved by a decision of a governmental unit denying or failing to negotiate a contract amendment to remedy a material adverse impact of a new governmental mandate pursuant to this section may appeal such adverse decision to the division of administrative law appeals in accordance with the section 4H for a hearing and decision de novo on all issues. A contractor’s request for contract amendment shall, for purposes of appeal, be deemed to have been denied if a determination is not received within 30 days of the governmental unit’s receipt of the request. A contractor or governmental unit may appeal an adverse decision of the division of administrative law appeals to the superior court, Suffolk division, pursuant to chapter 30A.