Iowa's use of pandemic aid for 2nd IT project draws scrutiny

IOWA CITY, Iowa (AP) — Iowa is planning to use millions of dollars in federal pandemic relief funds on a long-term plan to improve data management across state agencies, a second information technology project that may not fit the intended purpose of the aid.

State and federal auditors this week told Iowa’s executive branch to return millions of dollars to the state’s $1.25 billion coronavirus relief fund that have been spent on a new accounting and human resources computer system. They determined the project championed by Gov. Kim Reynolds was not an appropriate expense, noting that a $20 million contract with the vendor was signed before the coronavirus emerged.

A state report shows that the same agency responsible for that project, the Office of the Chief Information Officer, has been given $16.9 million in federal pandemic relief funds for a second technology initiative that was under discussion before COVID-19.

In its strategic plan drafted last year, the office said it would adopt a master data management strategy to standardize how agencies collect information about their customers so data sets can be more easily compared and analyzed.

“By bringing the state’s various data sources together, constituent agencies can gain a more holistic understanding of the needs of Iowans today and in the future," the office said of the plan.

So far, it has spent about $40,000 on the project out of $16.9 million in coronavirus relief funds set aside to date by the Iowa Department of Management.

As part of the project, the state last month selected Sense Corp. for a 5-year, multimillion dollar contract to create and install a new cloud-based data management platform. The state will have the option of extending the deal with St. Louis-based Sense for up to five more...