ORA DATA REQUEST NUMBER ORA-DR-SCG- 164 A SOCALGAS RESPONSE

Transcription

1 ORA DATA REQUEST NUMBER ORADRSCG 164 A Request: SCG 9 Information Technology Testimony of Chris Baker 1. Please provide additional supporting information that the SCG Windows 2000 ADS Phase II (Reference: SCG ORA75, Question 1 and verbal data request response issued on July 24, 2003) would be completed in 2003 under Phase I of the Windows 2000 ADS project without the estimated $1,100,000 requested in TY Please provide any scope change and quantify any dollar amount incrementally above what was budgeted for the Phase I costs or in any contingency budget amount (in constant 2001 dollars and classified by FERC account and labor, nonlabor and other dollars) due to the completion of the Phase II project in 2003 rather than in Please provide all supporting documents, data, calculations, and assumptions used by the witness to generate his response. Please crossreference your response and supporting information to the previously submitted data request responses, GRC testimony and work papers. SoCalGas Response: Please see attached revised Capital Project Summary (CPS) for Windows 2000 ADS Phase 1, which shifted the project scope from Phase 2 into Phase 1. Also shifted from Phase 2 to Phase 1 is approximately $1,022K of project budget. Scope planned under Phase 2 (JCBCAPSCG54) that will be completed under the revised Phase 1 (JCBCAPSDG&E42) includes the following: o Migration of 35 resource domains o Migration of 450 member servers with corresponding Service Accounts o Migration of 1,500 user accounts o Migration of 1,500 workstations Plan dollars incrementally above the original Phase 1 budget/plan: Original COS Submittal Revised Business Case Phase 1 Incremental Costs $6,243K $7,265K $1,022K "ADS CPS Revision 3.32.doc"

2 ORA DATA REQUEST NUMBER ORADRSCG 164 A As stated in your response to Data Request ORA114, question 10, Actual costs and benefits are measured by postimplementation review. For all the O&M costs and capital projects requested in your cost of service request, please show where the: (1) benefits and (2) cost savings were quantified and subtracted from your respective O&M cost request and capital project cost request for Test Year Please quantify the cost savings and benefits amounts (in constant 2001 dollars and classified by FERC account and labor, nonlabor and other dollars). Please provide all supporting documents, data, calculations, and assumptions used by the witness to generate his response. Please crossreference your response and supporting information to the previously submitted data request responses, GRC testimony and work papers. SoCalGas Response: The projects included in our cost of service request had not commenced or completed their post implementation reviews at the time of the filing of Information Technology s cost of service testimony. As a result, there were not any actual costs and benefits measured by postimplementation review for consideration in developing our Test Year 2004 request. However, in developing our Test Year 2004 request, potential cost savings, benefits and incremental funding requirements as a result of forecasted capital project implementations were considered in developing our Test Year 2004 request. The Business Planning and Budgets Group of the Information Technology division tracks identified future estimated cost savings and incremental funding requirements as a result of project implementations. Periodically and during each annual budgeting planning cycle, this listing is distributed to the IT management team and cost center managers for consideration in developing their annual budgets. IT cost center managers in developing their Test year 2004 forecast consider these potential cost savings and additional funding requirements. The following schedule lists all the projects included in our Test Year 2004 cost of service request. It shows the associated costs savings (savings column) and costs increases (costs column) identified in each project s Capital Project Summary (CPS) included in the filed Cost of Service application as capital project work papers. As this schedule illustrates, the estimated incremental costs requirements of implementing these projects over the period of 2002 through 2004 ($6.089 million) is greater than the estimated cost savings for the same period ($3.409 million) for an incremental funding requirement of $2.68 million. As a result, there is not an overall reduction from our O&M cost request and capital project cost request for Test Year 2004 as a result of these projects. The savings and costs identified are representative of the project team s estimate of the outcome of the project implementation. In some instances, there are either no significant direct savings or incremental costs anticipated or identified. Cost savings or incremental cost increases are one of many factors in considering a project for approval by management. Projects are approved for many different reasons. These reasons include, regulatory mandated, capacity needs, system refresh or fix, and reliability and availability improvements.

3 ORA DATA REQUEST NUMBER ORADRSCG 164 A Response to Question (Continued) Line # COS Testimony Pages JCB 3940 Project Description Savings Costs Total Savings Costs Total Savings Costs Total SCG Projects: 16 SoCal Gas Data Radio Infrastructure 17 Microsoft Licensing 18 Disaster Recovery Initial Implementation Wintel Server Refresh 215 (215) 20 Windows 2000 ADS (ongoing phases) 21 Exchange 2000 Phase 1 22 ACF2/RACF 23 Unix Infrastructure Phase 2 24 Enterprise Access Manager 25 File and Print Consolidation 26 Internal Network Security 27 Security Manager SANS 28 Server Backup Solutions Phase 3 29 LA Prime Server Room 30 Blanket IT Hardware 31 Blanket IT Software 32 Blanket IT HardwareSoftware 241 (241) 634 (634) 667 (667)

4 ORA DATA REQUEST NUMBER ORADRSCG 164 A Response to Question (Continued) Line # COS Testimony Pages JCB 3940 Project Description Savings Costs Total Savings Costs Total Savings Costs Total 30 (30) Ethernet Project SCG Telecom Field Capital Purchase (SCG) 35 Blanket IT Telecom SDGE Projects: SCG Total (173) (264) Utility Desktop Technology Refresh 66 EDIX Environment for Sempra Energy (30) Enterprise EJB Environment Enterprise System Management Projects 57 Ethernet Project SDG&E MPK Server Room Double Density (2002) 68 Network Security Project "Perimeter" 59 SDGE DB2 Connect Upgrade 51 SDG&E VOICE SYSTEMS Phase I 47 Telecom Field Capital Purchase (SDGE) 62 Unix Infrastructure Phase Windows W2000/Active Directory Server Phase 351 (351) 342 (342) 48 Outside Copper Cable Plant Improvement

5 ORA DATA REQUEST NUMBER ORADRSCG 164 A Response to Question (Continued) Line # COS Testimony Pages JCB 3940 Project Description Savings Costs Total Savings Costs Total Savings Costs Total 49 SDGE RADIO SITE UPGRADES 52 SMALL VOICE/DATA PROJECTS 53 SDG&E 900MHz Voice Radio System SDGE Southern Microwave System 56 SDG&E 900 MHz DATA RADIO 64 Network Application Performance Management Internet Program 63 Tape Hardware & Media Replacement Project 415 (415) 75 (75) 58 Database Oracle Software Purchase 72 CITRIX Server Farm ESSUP 185 (185) 76 Intrusion Detection System Vulnerability Access Server Backup Solutions Phase Wireless Messaging RB Server Room Standardization 61 Server Documentation and Certification 16 DSEP Scheduling Software 73 Utility Integration for SDGE Total

6 ORA DATA REQUEST NUMBER ORADRSCG 164 A Response to Question (Continued) Line # COS Testimony Pages JCB 3940 Project Description Savings Costs Total Savings Costs Total Savings Costs Total 1,135 1, ,002 1,962 Grand Total 1,621 1, ,081 1, ,771 2,064

7 ORA DATA REQUEST NUMBER ORADRSCG 164 A As stated in your response to Data Request ORA114, question 10, Actual costs and benefits are measured by postimplementation review. If in your response to question 2, which states that no or insufficient dollar amounts were removed from your cost of service request for Test Year 2004, due to the: (1) benefits or (2) cost savings resulting from the implementation of all the O&M costs and capital projects requested in your TY 2004 cost of service request, please explain why the dollar amounts that could be associated with these (1) benefits or (2) cost savings were not accounted for to reduce your cost of service TY 2004 Application request. a) In addition, please explain why the ratepayers would not be providing more funding than needed over the threeyear cost of service period given that the benefits and cost savings were not subtracted from your TY 2004 O&M expenses and capital costs requests. SoCalGas Response: As discussed in our response to question 2 above, there is a forecasted overall increase in the funding requirements as a result of forecasted project implementations included in our Test Year 2004 request. Postimplementation reviews had not been commenced or completed on the projects included in our Test Year 2004 request, therefore no actual costs and benefits measured by postimplementation review were determined at the time of filing our Cost of Service testimony.

8 ORA DATA REQUEST NUMBER ORADRSCG 164 A If your response to question 2 states that it is not possible to estimate (1) benefits or (2) cost savings from your respective O&M cost request and capital project cost request for Test Year 2004, please explain why a: (1) benefit or (2) cost savings estimate was not provided on a historic basis or that the savings from projects or costs that have been already completed (as of August 2003) are not at this moment accounted for and quantified and now can be subtracted from your cost of service request for TY Please quantify the cost savings and benefits amounts (in constant 2001 dollars and classified by FERC account and labor, nonlabor and other dollars). Please provide all supporting documents, data, calculations, and assumptions used by the witness to generate his response. Please crossreference your response and supporting information to the previously submitted data request responses, GRC testimony and work papers. a) In addition, please explain why the ratepayers would not be providing more funding than needed over the threeyear cost of service period given that the benefits and cost savings were not subtracted from your TY 2004 O&M expenses and capital costs requests. SoCalGas Response: Identified potential cost savings and additional funding requirements are tracked by IT s Business Planning and Budget group. As discussed in response to question 2 of this data request, this listing is distributed and considered by cost center managers in developing their annual budgets and in developing the forecasted Test Year 2004 request.