LANSING – To replace aging computer systems across state government, Governor Rick Snyder recommended the Department of Technology, Management and Budget receive $50 million to begin the process.

The fiscal year 2012-13 budget recommendation totals $1.1 billion ($384 million in general fund). That represents an 8 percent increase from the current year’s appropriation overall and a 22.6 percent increase in general fund.

This percent change reflects the difference in what the administration considers ongoing funding from the 2011-12 fiscal year to ongoing funding for the 2012-13 fiscal year. Some funding items in both years were considered one-time. The administration did not provide sufficient data in its budget book to make an accurate comparison of total funding from 2011-12 to 2012-13.

For 2014, Snyder’s proposed budget is $1.1 billion ($387.5 million general fund).

“We need to upgrade our IT infrastructure,” said Kurt Weiss, spokesperson for the Department of Technology, Management and Budget.

Weiss said there are a number of state computer systems in desperate need of replacement.

The Department of Treasury’s computer system is 29 years old, he said, and the state’s accounting system is 18 years old.

A report will likely be made available next month on which departments are in the most need, he said, which will be used to help determine where the $50 million will be spent.

“That’s a significant investment,” he said.

The 2014 budget would include another $50 million, he said.

Also included in the governor’s proposed budget is $7 million to consolidate office space the state owns and bring some state employees back into its facilities, rather than lease space in other buildings.

Some leases that are not cost effective will be terminated. Weiss said the state should see a return on this investment within four years.

Some leases could be cancelled sooner than others and employees would remain in buildings that have leases that include a financial penalty for breaking. Once the lease is up, those employees would then move back into state facilities, he said.

The money will be used to upgrade the state facilities so they could accommodate more staff. One of the first to see construction would be the Mason Building, he said. Those employees would be moved to Constitution Hall while renovations are completed and then moved back, along with employees coming from buildings the state had leased.

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