The Digital Identity Ecosystem of the States: Securing the Enterprise

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1 The Digital Identity Ecosystem of the States: Securing the Enterprise Security Industry Alliance September 28, 2011 Doug Robinson, Executive Director National Association of State Chief Information Officers

2 About NASCIO National association representing state chief information officers and information technology executives from the states, territories and D.C. NASCIO's mission is to foster government excellence through quality business practices, information management, and technology policy. Founded in 1969 we re a legacy system

3 State IT Landscape Today Tough Times: dealing with slow fiscal recovery, forced budget reductions, personnel actions CIOs seeking IT operational cost savings Continued consolidation - IT infrastructure, services and more Living with the past - modernizing the legacy IT security and risk! Game has changed IT workforce: retirement wave, skills, recruiting Issues with federal program funding and regulations: cost allocation, inflexibility, security audits, lack of harmonization State CIO transitions

4 WA OR NV CA ID UT State CIO Transitions MT ND MN SD WI WY MI IA NE OH IL IN CO WV KS MO KY NH VT NY PA VA ME MA RI NJ CT DE MD GU AZ NM TX OK AR LA MS TN AL GA NC SC DC HI FL AS AK KEY: New CIO Acting/Interim CIO PR As of October 1, 2011

5 Mid-Year Budget Cuts Decline $40,000 $35,000 $30,000 Recession ends 35 Budget Cuts Made After the Budget Passed ($ millions) Recession ends $25, Recession ends 30 $20,000 $15,000 $10,000 $5,000 $ Number of states Amount of reduction *FY 2011 mid-year budget cuts are ongoing Source: NASBO Spring 2011 Fiscal Survey

6 FY 2012 Proposed Spending is $18 Billion Less than FY 2008 $700 General Fund Spending: FY 2007-FY 2012 (in billions) $687 ($ in BILLIONS) $680 $660 $640 $620 $655 $661 $619 $652 $669 $600 $580 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012* * FY 2007, 2008, 2009 and 2010 are actual. FY 2011 is estimated and FY 2012 is proposed..

7 Distribution of Federal Grants 8% States 7% Locals 4% 1% Universities Non-Profits 80% Tribes, For-Profit, Others 2011 US BUDGET - $3.8 TRILLION GRANTS- $586 BILLION

8 CIOs' view on IT budgets for Remain the same, 23% Increase, 13% Decrease, 64% As state budgets go down, so does funding for IT A few exceptions: ARRA & mandates Many CIOs see budget decreases as an opportunity to improve by breaking down barriers, strengthening IT governance, developing creative solutions Source: NASCIO-TechAmerica 2010 State CIO Survey, August 2010

9 Do you expect your IT budget to be 58% Cut 16% 13% 13% Increased Stay the same Still deliberating Source: NASCIO Midyear Conference, May 2011

10 5. What percentage of your department s overall IT budget is allocated to information security? 0% 11% 1-3% 50% 4-6% 15% Greater than 11% 7% Not applicable/do not know 17% 50 percent of the respondents indicated that 1-3 percent of their department s overall IT budget is allocated to information security. Source: 2010 Deloitte and NASCIO Survey: State Governments at Risk

11 State CIO Priorities for Consolidation / Optimization: centralizing, consolidating services, operations, resources, infrastructure, data centers 2. Budget and Cost Control: managing budget reduction, strategies for savings, reducing or avoiding costs, activity based costing 3. Health Care: the Affordable Care Act, health enterprise architecture, assessment, partnering, implementation, health information exchange, technology solutions, MMIS 4. Cloud Computing: as a service delivery strategy; models, governance, service management, provisioning, security, privacy, data ownership 5. Shared Services: business models, sharing resources, services, infrastructure, independent of organizational structure 6. Governance: improving IT governance, data governance, partnering 7. Security: risk assessment, governance, authority and executive support; budget and resource requirements; insider threats; third party security practices; frameworks 8. Broadband and Connectivity: strengthening statewide connectivity, public safety wireless network, telehealth 9. Legacy modernization: enhancing, renovating, replacing, legacy platforms and applications, business process improvement 10. Data and Information Management: enhancing the role of data, information/intelligence, knowledge management Italics: New to list for 2011 Source: NASCIO State CIO Survey, October 2010

12 Cybersecurity Risks Critical infrastructure protection Spam, phishing, hacking, and network probes up Data breaches More aggressive threats organized crime Protecting legacy systems Insider threats, third party Securing mobile solutions Inadequate funding

13 What is your top network security threat? (select one) 10% 10% 25% 25% 30% Mobile devices (smart phones, tablets, etc.) End-user downloads of non-approved applications Malicious attacks (hackers) Insiders Source: NASCIO Midyear Conference, May 2011

14 Priority Technologies, Applications and Tools 1. Virtualization (servers, storage, computing, data center) 2. Cloud computing (software as a service, infrastructure, applications, storage) 3. Networking (voice and data communications, unified communications) 4. Legacy application modernization / renovation 5. Identity and access management 6. Document/Content/Records/ management (active, repository, archiving, digital preservation) 7. Security enhancement tools 8. Business Intelligence (BI) and analytics applications 9. Enterprise Resource Planning (ERP) 10. Social media and networking (Web 2.0 services, wikis, blogs, collaboration technologies, and social networking) Source: NASCIO State CIO Survey, October 2010

15 Information security strategy Information security governance (e.g., roles, reporting 27% 29% Aligning information security initiatives with those of the 21% Information security risk assessments 58% Data protection Identity and access Operationalizing information security Information management security measurement and 19% reporting Information security talent management 4% 15% 42% 60% Information security training and awareness 54% Information security regulatory and legislative 21% Security infrastructure improvement 33% Application security 42% Identity and access management Security related to technology advancements (e.g., 19% 19% Information security compliance (e.g., internal / external 29% Managing insider threats Managing or outsourcing of security services Disaster recovery Business continuity Other (please specify below) Not applicable/do not know (please describe below) 4% 10% 8% 6% 4% 0% What are your State s top five IT security initiatives?

16

17 State CIOs Recognize the Challenge Every aspect of our work across the states and with NASCIO has a dependency directly related to identity and credential management. - Stephen Fletcher NASCIO Immediate Past President and Chief Information Officer, State of Utah

18 Why Identity Management is a Top Priority Supports national framework for interoperability providing interoperability and trust across multiple jurisdictions. Promotes state enterprise approach: avoids silos, avoids proprietary solutions. Adoption of the standards will reduce redundant credentialing efforts and expenditures. Follows the great work the states have led in improving drivers license issuance. FIPS 201 has a standardized identity proofing process and standardized issuance procedures. Provides strong proof of cardholder identity. Supports multiple applications & legacy infrastructure: issue once, use many times. Enables standards-based provisioning of access management and auditing

19 Digital Identity and the States States - nucleus of identity for individuals Identity - basis for providing services and sharing data across agencies Issue identity credentials - too many! Create identity silos Lots of technical, operational, policy and legal questions to resolve States need a national framework for interoperability: a trusted federated identity model

20 Targets of Opportunities Standardization: IT and identity management costs driven by complexity and diversity seek commodity solutions, encourage reuse. Need to align with Federal initiatives like NSTIC. Rationalization: Adoption of standards will reduce redundant credentialing efforts and expenditures Collaboration: Federal, multi-state and local communication to enhance interoperability Innovation: alternate operational models; enterprise services, not systems more citizen centric (states conduct millions of transactions a year)

21 The Existing PIV-I Framework States use best practices and guidelines for issuing standards-based, high assurance, privacy enhancing, multiuse, interoperable, identities and other credentials Provides basis for enterprise and federated identity, credentials and access management (ICAM) or (SICAM) Addresses establishing identities and the issuing of credentials as well as the handling of the information and the work streams associated with identity and credentialing PIV & PIV-I have over 5 million issued identities Leverage and accept State transactions for entitlement programs, state services, occupational verification, voter registration, licensure and more.

22 NASCIO Efforts & Advocacy PIV-I Whitepaper and Webinars hosted in conjunction with the SCA Submitted Comments to NIST on FIPS-201(2) Draft Document Continuing Education and Awareness Continue to Revise Architecture Seeking State Examples and Pilot Examples Continue to seek stakeholder input Workshop at NASCIO Annual Conference Discovery Session at NASCIO Midyear Conference Expert Speakers on State Digital Identity Working Group Calls Digital Identity Working Group Rechartered June 2011 Continue to Explore the States Role in NSTIC

23 Looking Ahead Collaborate on building an identity ecosystem 2016? Support the emphasis on Chain of Trust Leverage Federal initiatives: more steering, less rowing? Identity implications of healthcare reform? Demand for secure identities by citizens Extending the enterprise: Federal, state and local?

24 Available Now Coming Soon

25 Questions and Discussion Connect with NASCIO

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