FTB Board Meets
On September 8, 2011, the Franchise Tax Board held its previously scheduled board meeting. The agenda included updates on the Enterprise Data to Revenue (EDR) project, security measures, and the Financial Institution Records Match (FIRM) program.
As we reported in our September issue of Tax News, the EDR contract was awarded in June to CGI Technologies and Solutions Inc. Other recent milestones reported at the board meeting included EDR's official start date of July 1, and a successful kickoff event held in August. Some highlights of the project are that it is not a full system replacement, it will address specifically defined business problems, and that payment is made to vendors only when benefits are realized. Revenue benefits are anticipated this fiscal year and $4.7 billion over the entire project reporting period. The first deliverable of the project was slated for implementation in September 2011. Look for more information on EDR in upcoming issues of Tax News.
Our Chief Security Officer, Denise Mellor, gave the Board members an update on just how well our security systems met IRS standards. In a recent IRS safeguard audit, we scored a 92.7 percent. The highest score the IRS ever gave. Denise also explained that we are like an onion; we have several layers that protect our inner core: our data. Just recently we completed a system upgrade of our closed circuit TV system allowing better monitoring of our 2 million square feet of office space housing 5,000-6,000 staff. In addition, our security team came up with a unique award-winning poster campaign to remind staff of the importance of data security.
The Board also received an update on our FIRM project which is scheduled to begin as early as April 2012 but is currently still in the interested party and regulatory process. Once implemented, we will be able to match our debtor files and financial institution customer records. FIRM will enable us to issue levies on accounts held by delinquent debtors in a timely and efficient manner thereby collecting outstanding debts.