A performance audit of the Arizona Resources Information System

              . STATE OF ARIZONA
OFFICE OF THE
AUDITOR GENERAL
A PERFORMANCE AUDIT
of
THE ARIZONA
RESOURCES INFORMATION SYSTEM
MARCH 1980
A REPORT TO THE
ARIZONA STATE LEGISLATURE
REPORT 80- 1
DOUGLAS R. NORTON. CPA
AUDITOR GENERAL
OFFICE OF THE
AUDITOR GENERAL
March 28, 1980
The Honorable Bruce Babbitt, Governor
Members of the Arizona Legislature
Mr. Joe T. F a l l i n i , S t a t e Land Commissioner
Transmitted herewith is a report of the Auditor General, A Performance
Audit of the Arizona Resources Information System. This report is i n
response to a July 19, 1979, resolution of the J o i n t Legislative Budget
Committee.
A summary of t h i s report is found on the blue pages at the front of the
report. A response to t h i s report by the S t a t e Land Commissioner is found
on the yellow pages preceding the appendices of the report.
My s t a f f and I w i l l be happy to meet with the appropriate l e g i s l a t i v e
committees, individual l e g i s l a t o r s o r o t h e r s t a t e o f f i c i a l s to discuss or
c l a r i f y any items i n the r e p o r t o r t o f a c i l i t a t e the implementation of the
recommendations.
Respectfully submitted,
Douglas R. Norton
Auditor General
S t a f f : Gerald A. Silva
Coni R. Good
Brian C. Dalton
James A. Sexton
I12 NORTH CENTRAL AVENUE SUITE 6 0 0 PHOENIX, ARIZONA 85004 2 5 5 - 4 3 8 5
OFFICE OF THE AUDITOR GENERAL
A PERFORMANCE AUDIT OF
THE ARIZONA RESOURCES INFORMATION SYSTEM
REPORT TO THE
ARIZONA STATE LEGISLATURE
REPORT 80- 1
TABLE OF CONTENTS
SUMMARY
INTRODUCTION AND BACKGROUND
FINDINGS
FINDING I
The h i s t o r y of the Arizona Resources Information
System ( ARIS) is r e p l e t e with improper or nonexistent
planning and unclear purpose. A s a r e s u l t , as of
March 1, 1980, ARIS represents a $ 1.5 million
investment i n a e r i a l photographs and maps and a
r e l a t i v e l y sophisticated computer system which
performs only rudimentary record- keeping tasks.
CONCLUSION
RECOMMENDATION
FINDING I1
Data processing a c q u i s i t i o n s f o r the Arizona
Resources Information System are a chronology of
apparent unauthorized expenditures and improperly
recorded expenses t h a t would represent v i o l a t i o n s of
Arizona s t a t u t e s and the fiduciary r e s p o n s i b i l i t y of
S t a t e o f f i c i a l s .
CONCLUSION
RECOMMEND AT ION
FINDING I11
Legislation is needed t o c l a r i f y the intended purpose
of the Information Resources Division.
CONCLUSION
RECOMMENDATION
OTHER PERTINENT INFORMATION
Production and Use of Orthophotoquads
Definitions of a Geographic or Natural Resources Information
System and Remote Sensing
WRITTEN REPONSE TO THE AUDITOR GENERAL'S REPORT
APPENDICES
APPENDIX I Arizona S t a t u t e s regarding ARIS and the
Information Resources Division of t h e S t a t e Land
Department
APPENDIX I1 Office of the Auditor General survey of
p o t e n t i a l agency users of map, Landsat imagery
and other cartographic products
APPENDIX I11
APPENDIX I V
Report on the survey of requirements of the
Arizona Resources Information System
October 9, 1979, Letter to the S t a t e Automation
Director from IRD ( ARIS) Director
APPENDIX V
APPENDIX V I
October 17, 1979, L e t t e r to IRD ( ARIS) Director
from the S t a t e Automation Director
Resume of the Director of the Natural Resources
Information Systems Project with the National
Conference of S t a t e Legislatures
APPENDIX V I I Final Report of the Director of the Natural
Resources Information Systems Project with the
National Conference of S t a t e Legislatures
APPENDIX V I I I The Applied Remote Sensing Program a t the
University of Arizona
APPENDIX I X
APPENDIX X
APPENDIX X I
APPENDIX X I 1
APPENDIX X I 1 1
March 5, 1980, Legislative Council Memorandum
February 25, 1980, Legislative Council Memorandum
February 29, 1980, Legislative Council Memorandum
February 20, 1980, Legislative Council Memorandum
November 26, 1979, L e t t e r to the S t a t e
Automation Director from the S t a t e Land
Department
APPENDIX XIV March 4, 1980, Legislative Council Memorandum
SUMMARY
The Arizona Resources Information System ( ARIS) was created through the
actions of the Governor i n 1971 and i n i t i a l l y s t a f f was assigned to the
Department of Economic Planning and Development. In early 1972, ARIS was
t r a n s f e r r e d to the Department of Property Valuation which was merged i n t o
the newly formed Department of Revenue on July 1, 1974,
Through a joint agreement with the U. S. Geological Survey and the National
Aeronautics and Space Administration, the S t a t e of Arizona procured
high- altitude photographs and orthophotoquads ( base maps a t a standard
s c a l e ) . ARIS s t a f f supervised the acquisition and s a l e of these maps and
conducted various demonstrations concerning the processing and usage of
natural resources data.
In 1978, the Legislature passed Senate B i l l 1307 ( l a t e r codified as
Arizona Revised S t a t u t e s Sections 37- 171 through 176) t r a n s f e r r i n g ARIS t o
the S t a t e Land Department through the creation of the Information
Resources Division. The s t a t u t o r y duties f o r the Division include, among
others, providing a data bank f o r the S t a t e Land Department, producing
maps and related information for geographic areas and coordinating
a c t i v i t i e s of S t a t e governmental agencies and p o l i t i c a l subdivisions
regarding use of s a t e l l i t e imagery.
ARIS and its a c t i v i t i e s have been funded primarily through the S t a t e
General Fund. Staffing has ranged from three to f i v e full- time equivalent
positions each year.
Our review of the Arizona Resources Information System revealed t h a t the
history of ARIS is replete with improper or nonexistent planning and
unclear purpose. A s a r e s u l t , as of March 1, 1980, ARIS represented a
$ 1.5 million investment i n a e r i a l photographs and maps and a r e l a t i v e l y
sophisticated computer system which performs only rudimentary
record- keeping tasks. ( page 12)
Our review also revealed t h a t data processing a c q u i s i t i o n s for ARIS are a
chronology of apparent unauthorized expenditures and improperly recorded
expenses t h a t would represent violations of Arizona s t a t u t e s and the
fiduciary r e s p o n s i b i l i t y of S t a t e o f f i c i a l s . ( page 30)
In addition, our review disclosed l e g i s l a t i o n is needed t o c l a r i f y the
intended purpose of the Information Resources Division. ( page 46)
The report contains information regarding the value and usage of
orthophotoquads. Definitions of remote sensing and geographic information
systems are included. ( page 51)
It is recommended t h a t consideration be given the following:
- The Legislature appropriate funds for the 1980- 81 f i s c a l year to
allow f o r a 12 month lease/ purchase of the c e n t r a l processing
u n i t requested i n the Information Resources Division 1980- 81
budget request. Expenditure of such an appropriation should be
contingent upon: 1) approval by the Data Processing Division of
the Department of Administration of the lease/ purchase, and 2)
the signing of a formal lease/ purchase agreement between the
S t a t e Land Department and the equipment vendor. ( page 28)
The S t a t e Land Department, Department of Administration's Data
Processing Division and the National Conference of S t a t e
Legislatures' resource team should conduct a detailed user- needs
study and develop a system plan by September 30, 1980.
Additional ARIS data processing equipment a c q u i s i t i o n s should be
contingent upon the preparation of the user- needs study and its
review and acceptance by the appropriate l e g i s l a t i v e committees.
( page 28)
- If it is determined t h a t such an information system is needed,
the Legislature should c l e a r l y define the scope, goals and users
of the system. ( page 29)
- Future S t a t e Land Department requests for ARIS- related data
processing equipment and approval of other expenditures should be
based on user- needs surveys and system plans. ( page 29)
It is also recommended that:
- The S t a t e Land Department throughly review its i n t e r n a l
accounting controls over the use of funds and t h e r e s u l t i n g
c l a s s i f i c a t i o n of expenditures. This review should include a l l
sources of funds used by the Land Department and not be limited
t o State- appropriated funds. ( page 44)
- Following t h i s review, t h e S t a t e Land Department i n s t i t u t e the
necessary changes to prevent future unauthorized and i l l e g a l uses
of funds. ( page 45)
- When questions a r i s e regarding the c l a s s i f i c a t i o n of
expenditures, the accounting s t a f f of the S t a t e Land Department
consult with the accounts and controls section of the Division o f
Finance to ensure proper c l a s s i f i c a t i o n . ( page 45)
- The S t a t e Land Department i n s t i t u t e a procedure f o r t h e periodic
review of insurance coverage provided by the Risk Management
Division o f the Department of Administration and update t h i s
coverage on a timely basis. ( page 45)
- The Legislature amend Arizona Revised S t a t u t e s Section 37- 173 i f
it is determined the development of a computerized data bank
should be continued. The s t a t u t e should expressly s t a t e the
types of additional information which may be c o l l e c t e d , t h e
s p e c i f i c needs of other i d e n t i f i e d S t a t e agencies for which data
may be c o l l e c t e d , if any, and the f i n a n c i a l or other arrangements
which would apply to such a l i a i s o n . ( page 50)
INTRODUCTION AND BACKGROUND
In response to a June 19, 1979, resolution o f the Joint Legislative Budget
Committee, the Office of the Auditor General has conducted a performance
a u d i t , i n accordance with Arizona Revised S t a t u t e s ( A. R. S. ) 41- 1279, of
the Arizona Resources Information System ( ARIS) now located within the
Information Resources Division ( IRD) of the S t a t e Land Department ( SLD).
ARIS began a s a r e s u l t of two independent actions of the Federal and t h e
Arizona S t a t e governments i n 1969 and 1970.
In 1969, the National Aeronautics and Space Administration ( NASA) funded
research projects i n Arizona t h a t resulted i n the establishment of the
Arizona Regional Ecological Testing S i t e ( ARETS) a s a j o i n t venture of the
University of Arizona and the Department of the I n t e r i o r , U. S. Geological
Survey ( USGS). The purpose of the venture was to consolidate research
designed to t e s t and evaluate the uses of subspace ( U- 2 planes) and space
( s a t e l l i t e ) remote sensors*, the products from these sensors ( photographs
and images of e a r t h ) , and t h e i r application t o the management of
environmental and resources problems. The ARETS project photography was
scheduled to encompass the southern t h i r d of Arizona.
In November 1970, the Arizona Game and Fish Department, i n conjunction
with the Arizona Outdoor Recreation Coordinating Commission ( AORCC),
sponsored a seminar f o r i n t e r e s t e d S t a t e , local and Federal o f f i c i a l s
concerning the Land Use Information System developed by Cornell University.
After the seminar, the Governor appointed a steering committee to explore
the p o s s i b i l i t i e s of developing a land- use inventory f o r Arizona. The
b
committee issued a report on July 20, 1971, to the Governor's Office
s t a t i n g :
* For a description of remote sensing and geographical or natural resource
information systems, see page 56.
" Arizona is i n a unique position to develop a f i n e land
use inventory system from the standpoint of combining
high a l t i t u d e photography, common base maps and t o
expand a geodetic coordinate system being established
along roadways i n Arizona by the ALISS* program...
... after being briefed on NASA photography, many s t a t e
agencies expressed a need for having state- wide a e r i a l
coverage a t a scale of 1: 120,000. A s a r e s u l t of t h i s
i n t e r e s t , usages for t h i s coverage were enumerated and
a formal request f o r state- wide coverage have been
forwarded to NASA from the Governor's Office."
( Emphasis added)
The committee also recommended t h a t the Governor's Office, r a t h e r than any
s i n g l e S t a t e agency, be responsible for directing the e f f o r t .
In November 1971, a s t a f f d i r e c t o r for the Land Use Inventory Project, as
ARIS was then called, was assigned to the Governor's Office, Department of
Economic Planning and Development, from the Arizona Highway Department.
Three staff members for t h e p r o j e c t were hired using Emergency Employment
Act funds.
In a March 1, 1972, news r e l e a s e , t h e Governor announced the name, goal
and first objective of the project.
The orderly growth and proper development of Arizona,
based on the most appropriate uses to which the land
and resources can be put, is the goal of a new s t a t e
organization. . ."
" F i r s t objective of the Arizona Resources Information
System, created a t the request of Governor Williams, is
to compile a state- wide land use inventory.
A Policy Committee was established w i t h 12 members, representing various
agencies of S t a t e government, who would formulate policy f o r ARIS and
commit resources a s needed from t h e i r departments. A Working Committee
was also organized to attempt to ensure t h a t the system developed would
meet the needs of the agencies, be compatible with e x i s t i n g data systems
and to c a l l Policy Committee meetings when needed.
* Accident Location Information and Surveillance System ( ALISS) is a
geographically based information system developed by the Arizona
Highway Department.
On March 24, 1972, the Governor t r a n s f e r r e d ARIS to what was then the
Department of Property Valuation when i n h i s estimation the organization
and i n i t i a l d e t a i l s of the program had been established. On May 24, 1972,
the Legislature passed House B i l l 2736 authorizing the Director of the
Department of Property Valuation to acquire NASA orthophoto base maps* for
use by a l l departments of Arizona S t a t e government and others i n need of
such maps. House B i l l 2736 a l s o provided $ 408,700 t o the Governor to fund
ARIS f o r t h e f i s c a l year beginning July 1, 1972, and to enable the S t a t e
to purchase orthophoto base maps.
On July 10, 1972, the Governor signed, as the Arizona representative, a
three- way agreement among the S t a t e of Arizona, USGS and NASA creating the
Arizona Land Use Experiment ( ALUE). Through t h i s agreement: 1) NASA
would photograph the e n t i r e S t a t e using U- 2 planes, 2) USGS would use the
photographs to produce orthophotoquads*, and 3) the S t a t e of Arizona
would t r a i n S t a t e agency personnel i n the use of these maps and acquire
equipment to enhance t h e i r i n t e r p r e t a t i o n .
The estimated completion time for the production of orthophotoquads was
o r i g i n a l l y June 1974. However, the f i n a l s e t of orthophotoquads was not
produced u n t i l 1975.
ARIS s t a f f planned p i l o t projects to demonstrate how remote sensing data
could be used i n conjunction with other data sources. These projects were
intended to demonstrate storage, r e t r i e v a l , analysis and display of
land- related information. In January 1974, a computer committee was
established to review and evaluate available computer software systems.
In October 1974, the committee reported the r e s u l t s of these evaluations
and recommended t h a t a s p e c i f i c computer system be used for the p i l o t
project. In January 1976, the committee reported the completion of the
p i l o t project using Santa Cruz County data on public land: boundaries,
land ownership, transportation, natural vegetation, water, elevation and
land use. The p i l o t project demonstrated various agency applications and
was shown to 52 Federal, S t a t e and local government agencies. The
committee also recommended t h a t ARIS purchase the software system used i n
the p i l o t project. The Legislature, however, did not approve funding for
the recommended software system.
* For a description of orthophoto base maps ( orthophotoquads) see page 51.
During the 1973 l e g i s l a t i v e session, Senate B i l l 1019 was passed and
signed by the Governor, which established the Department of Revenue and
transferred the powers and d u t i e s of the Department of Property Valuation,
including the ARIS program, i n t o the new Department a s o f July 1, 1974.
It should be noted t h a t during f i s c a l years 1973- 74 and 1974- 75, the
Director of ARIS a l s o served as Deputy Director of the Environmental
Planning Office* and t h a t the ARIS s t a f f provided support t o the
Environmental Planning Commission* i n a number of a c t i v i t i e s such a s the
use of maps, meeting with Federal agencies, coordinating and p a r t i c i p a t i n g
a t public hearings, and general consolidation and analysis of information.
Major accomplishments of the A R I S program during its first f o u r y e a r s , as
outlined i n an A R I S report dated January 1976, were:
- Development of the Arizona Land and Resource C l a s s i f i c a t i o n Code,
- Publication o f Information Resources: Land and Natural Resource
Planning ( together with the Office of Economic Planning and
Development),
- Providing services to t h e p r i v a t e s e c t o r , and
- Development of a centralized system of photography, maps and
space imagery together with specialized viewing equipment.
The Policy Committee, which was established i n 1972 but which apparently
had not met since July 1974, was reactivated i n 1976 a t the behest of a
l e g i s l a t i v e appropriation subcommittee to review the ARIS goals and
direction. A t an August 12, 1976, meeting, the Policy Committee
reaffirmed the following ARIS goals as o r i g i n a l l y developed i n 1973:
" ARIS w i l l coordinate information systems r e l a t i n g t o
land and be a central bank for:
a. Land Status Information ( ownership)
b. Land Use Data ( use)
c. Land information such as vegetation, s o i l s ,
topography, surface and sub- surface resources
( c h a r a c t e r i s t i c s )
d. Maps, orthophotoquads, photography.
* In 1973 the Arizona Environmental Planning Commission was created and
charged with the r e s p o n s i b i l i t y of developing a S t a t e land- use
planning program for Arizona ( A. R. S. 37- 161 e t seq.). The a c t also
created an Office of Environmental Planning i n the Office of the
Governor with the r e s p o n s i b i l i t y o f developing a comprehensive and
coordinated land- use planning program.
" By providing these products and s t a t i s t i c s , ARIS w i l l
serve :
a. S t a t e operational information needs
b. S t a t e research p r o j e c t a s s i s t a n c e
c. County and local government assistance
d. The public."
In the 1976, 1977 and 1978 sessions, the Legislature considered s t a t u t o r y
recognition, future d i r e c t i o n and a S t a t e agency location for ARIS, while
funding and s t a f f were maintained a t a base or reduced level. In May
1978, Senate B i l l 1307 ( l a t e r codified a s A. R. S. 37- 171 through 1761%
passed the Legislature and was signed by the Governor, t r a n s f e r r i n g the
ARIS program t o t h e SLD through the creation of the Resources Division,
presently called Information Resources Division ( IRD). The l e g i s l a t i o n
also e s t a b l i s h e s s t a t u t o r y duties for IRD ( ARIS)** including:
- Provide a computerized information data bank for the SLD,
- Provide current information regarding revenue- producing
a c t i v i t i e s and monitor changes over time by remote sensing
techniques,
- Produce maps and inventories a t standard s c a l e f o r any area
defined by its designated geographical, governmental or
j u r i s d i c t i o n a l boundaries t o include combinations of data
elements,
- Provide maps, a e r i a l photographs and other remote sensing
techniques related t o S t a t e t r u s t lands to assist i n the
valuation process.
- Function a s the Arizona a f f i l i a t e o f f i c e f o r the National
Cartographic Information Center ( N C I C ) .
- Coordinate those a c t i v i t i e s of S t a t e governmental agencies and
S t a t e p o l i t i c a l subdivisions with respect to t h e i r u t i l i z a t i o n of
the NASA Earth Resources S a t e l l i t e Program, Landsat,*** i n
discharging t h e i r r e s p o n s i b i l i t i e s in t h e f i e l d s of a g r i c u l t u r e ,
w i l d l i f e , f o r e s t r y , land, mineral, water and other resource
management.
* Appendix I contains a copy of these s t a t u t e s .
** See page 9 for an explanation of the nomenclature used when r e f e r r i n g
to the ARIS program a f t e r t h e c r e a t i o n of IRD. *** For a description of Landsat and other remote sensing techniques, see
page 56.
For purposes of t h i s a u d i t , only those a c t i v i t i e s o r i g i n a l l y associated
with ARIS were examined. Therefore, the Engineering and Survey Section of
the IRD, within the SLD, was not within the scope of t h i s audit. I n the
i n t e r e s t of consistency and ease of reading, the User Service Section and
Technology Application Section services of the IRD are referred t o as IRD
( ARIS) throughout the report.
ARIS a c t u a l expenditures and full- time equivalent employees ( FTEs) f o r
f i s c a l years 1972- 73 through 1978- 79, and the f i r s t seven months of f i s c a l
year 1979- 80, are shown i n Table 1. These expenditures were financed
through the S t a t e General Fund.
TABLE 1
SUMMARY OF STATE- FUNDED ARIS ACTUAL
EXPENDITURES FROM FISCAL YEAR 1972- 73
THROUGH FISCAL YEAR 1978- 79 AND THE FIRST
SEVEN MONTHS OF FISCAL YEAR 1979- 80
F i r s t 7
Months
1976- 77 1977- 78 1978- 79 1979- 80** Total
Number of FTEs
Personal services
Employee- related expenditures
Professional outside services
Travel: In- State
P Out- of- State
0
Other operating expenditures
Capital equipment
Total expenditures
* The expenditures do not include the personal services and employee related costs
f o r positions funded through Federal monies ( 3.0 positions i n f i s c a l year
1972- 73) or f o r t h e Project Director position on loan from what was then the
Arizona Highway Department from November 1971 through July 1976. ** The amounts shown for the f i r s t seven months of f i s c a l year 1979- 80 include a l l
claims paid through 1 / 31/ 80 except those d i r e c t l y related to t h r e e p o s i t i o n s
( FTEs) transferred from the Land Use and Planning Division of t h e S t a t e Land
Department and c o n s t i t u t i n g t h e Engineering and Survey Section of the IRD.
The Office of the Auditor General expresses its g r a t i t u d e t o present and
former employees of the Arizona Resources Information System; the
Department of Revenue; the Department of Transportation; the S t a t e Land
Department; and M r . Paul Tessar, Director, Natural Resource Information
System Project, National Conference of S t a t e Legislatures, Denver,
Colorado, for t h e i r cooperation, assistance and consideration during the
course of our audit.
FINDING I
THE HISTORY OF THE ARIZONA RESOURCES INFORMATION SYSTEM ( ARIS) IS REPLETE
WITH IMPROPER OR NONEXISTENT PLANNING AND UNCLEAR PURPOSE. AS A RESULT,
AS OF MARCH 1, 1980, ARIS REPRESENTS A $ 1.5 MILLION INVESTMENT I N AERIAL
F'HOTOGRAPHS AND MAPS AND A RELATIVELY SOPHISTICATED COMPUTER SYSTEM WHICH
PERFORMS ONLY RUDIMENTARY RECORD- KEEPING TASKS.
From its inception i n 1972 u n t i l May 1978, many of the s t a t e d purposes and
goals of the Arizona Resource Information System ( ARIS) as expressed by
the executive branch of Arizona government never received l e g i s l a t i v e
s a n c t i o n o r approval. In May 1978, the Legislature: 1) t r a n s f e r r e d ARIS
personnel, property, funds and functions to the S t a t e Land Department
within the newly formed Information Resources Division ( IRD), and
2) established as one of the purposes of IRD ( ARIS) the development of a
computer- oriented resource information system. However, ARIS management
( p r i o r to May 1978) and IRD management ( since May 1978) have c o n s i s t e n t l y
f a i l e d to develop necessary information system plans, user- need s t u d i e s o r
c o s t e s t i m a t e s to f a c i l i t a t e the expansion of the IRD ( ARIS) function, i n
s p i t e of repeated advisements and admonishments to do so. A s of March 1,
1980, approximately $ 1.5 million i n S t a t e funds have been spent on a
resource information system t h a t is embryonic a s t o development, has
limited u t i l i t y and to a large degree provides s i m i l a r s e r v i c e s a s other
e n t i t i e s i n Arizona.
Lack of Legislative
Sanction or Approval
Prior to 1978, ARIS was somewhat of an enigma i n Arizona S t a t e government
i n t h a t the only s t a t u t o r y description of ARIS was contained i n the
following 1972 amendment to the d u t i e s o f the Director o f the Department
of Property Valuation:
"... acquires National Aeronautics Space Administration
orthophoto base maps f o r use by a l l departments of
s t a t e government and others i n need of such maps,
charge for duplication and s a l e and deposit i n s t a t e
general fund.
... s e l l contact p r i n t s of National Aeronautics and
Space Administration orthophoto base maps acquired by
the Director and deposit such revenues i n s t a t e general
fund." ( Emphasis added)
To accomplish the purchase of the orthophoto base maps, the 1972
Legislature appropriated $ 408,700 a s follows:
" The sum of four hundred eight thousand seven hundred
d o l l a r s is appropriated to the governor t o fund the
Arizona resources information system for the f i s c a l
year beginning July 1, 1972, and to enable the s t a t e t o
acquire from t h e n a t i o n a l aeronautics and space
administration orthophoto base maps of t h e e n t i r e state
of Arizona for use by a l l departments of Arizona s t a t e
government ." ( Emphasis added)
The above statements c o n s t i t u t e the sum and substance of expressed
l e g i s l a t i v e i n t e n t with regard to ARIS from 1972 to May 1978. This
expression of l e g i s l a t i v e i n t e n t regarding the purpose of ARIS is f a r
narrower than t h a t expressed by the executive branch a s the following
statements exemplify:
November 8, 1971
In a memorandum to the Governor an a s s i s t a n t explained t h a t a coordinated,
multi- agency land- use inventory system was envisioned:
"... The land use inventory system would develop a
coordinated e f f o r t among several agencies i n the use of
one system f o r t h e i r needs. This system w i l l provide a
basis for any information used by any S t a t e Agencies
which can be t i e d to a parcel of land. This system has
a great deal of p o t e n t i a l for use by County and City
governmental u n i t s , and it is being designed with t h a t
prospect i n mind.
By s t a r t i n g out with the Agencies currently using
machines to store information concerning land, we can
add information and Agencies i n a l o g i c a l progressive
manner, and a s it is j u s t i f i e d . We w i l l be s t a r t i n g
with a manageable organization and a manageable
problem, which can be expanded a s the need dictate."
( Emphasis added)
March 1, 1972
A g u b e r n a t o r i a l p r e s s r e l e a s e described the proposed ARIS as follows:
" This information system w i l l be capable of keeping
track of any piece of information which can be r e l a t e d
t o a parcel of land. This would include land
ownership, improvements on the land and census track
information. . . . . . . .
The system... will be able to keep a record of any s i z e
parcel o f land, ranging ... from 50 square feet t o 50,000
acres." ( Emphasis added)
March 10, 1972
A l e t t e r from the Governor to t h e Secretary of I n t e r i o r summarized the
long- range goals of ARIS a s follows:
" The system, known a s the Arizona Resources Information
System, w i l l include such features as high a l t i t u d e
NASA photography, a cartographic q u a l i t y orthophoto
base, thematic overlays, a standard land c l a s s i f i c a t i o n
system compatible with the Federal system under
development, computerized input and output capability
& Public Lands Description or by a geodetic coordinate
system and a provision to accept future information
which may be obtained via s a t e l l i t e .
The above represent goals i n a long- range program ..."
( Emphasis added)
April 25, 1973
A " Statement on the Functions of the Arizona Resources Information Systemw
prepared by ARIS management expressed the purposes and goals of A R I S as
follows :
" ARIS w i l l be t h e p r i n c i p a l organization f o r the
collection and dissemination of s p e c i f i c types of
information concerning some of the physical resources
of t h e S t a t e of Arizona.... ARIS w i l l coordinate
information systems r e l a t i n g t o land and be a c e n t r a l
- bank. ..
( For land ownership, and c h a r a c t e r i s t i c s as well a s maps, orthophotoquads
and photography) .
"... ARIS w i l l serve..."
( S t a t e agencies, research projects , county and local governments and the
public ) .
14
" 1. ARIS w i l l develop a c e n t r a l data bank system...
2. ARIS w i l l serve a s a clearinghouse and l i b r a r y f o r
a l l data f a l l i n g within its area of
r e s p o n s i b i l i t y , and w i l l maintain references on
l o c a t i o n , a c c e s s i b i l i t y , content of data developed
and maintained by others...
3. ARIS w i l l develop and recommend the use of a
standard land- use c l a s s i f i c a t i o n system, standard
geographic location system and standard maps and
map scales.. .
4. ARIS w i l l be the p r i n c i p a l coordinator i n Arizona
with Federal, s t a t e , local and p r i v a t e agencies,
i n s t i t u t i o n s and organizations developing or using
land resource and land use data...
5. ARIS w i l l be a service organization and w i l l
maintain equipment for receiving and i n t e r p r e t i n g
photographs, imagery, maps and other v i s u a l
land- use information sources..." ( Emphasis added)
It should be noted t h a t from f i s c a l year 1973- 74 through 1975- 76 numerous
A R I S management budget requests f o r s t a f f , equipment and other items
r e l a t e d to e s t a b l i s h i n g a computer- information system within ARIS were
characterized a s being outside of l e g i s l a t i v e i n t e n t i n budget analysis
prepared for t h e L e g i s l a t u r e by the Joint Legislative Budget Committee
staff.
Failure t o Develop Necessary
Information System Plans, User
Need Studies or Cost Estimates
The management of ARIS ( p r i o r to May 1978) and IRD ( since May 1978) have
c o n s i s t e n t l y f a i l e d to develop necessary information system plans, user
need s t u d i e s or cost estimates.
The need to adequately plan for ARIS and to conduct user s t u d i e s was
recognized and enumerated even before ARIS was i n i t i a t e d i n 1972.
However, i n the eight years of ARIS existence, these preliminary processes
have never been performed a s is i l l u s t r a t e d i n the following synopsis of
advisements and admonishments to ARIS management t o do so.
July 20, 1971
An assessment of the development of a land- use inventory system for
Arizona was prepared upon the request of a S p e c i a l A s s i s t a n t t o the
Governor, In t h i s assessment, elements for system success were i d e n t i f i e d
including the need for system planning.
" In order to l o g i c a l l y develop a land use system for
the s t a t e , the prime elements t o be developed i n i t i a l l y
a r e the uses which such an inventory system would
f u l f i l l . By first l i s t i n g the needed output, the
source of input information can then be developed t o
best meet these needs....
From a technical standpoint it appears t h a t a e r i a l
photography, maps, geodetic coordinates and data
processing can be combined i n t o a functioning system.
The major items to consider a t t h i s time are: Whether
a d e f i n i t e need e x i s t s f o r a land use inventory system,
determination of necessary l e g i s l a t i v e and f i n a n c i a l
support required, which agencies would input
information and which agencies need information from
the data bank." ( Emphasis added)
The assessment also noted the need to: 1) determine p r i o r i t i e s among data
requirements, 2) develop agreements and l e g i s l a t i o n outlining the
r e s p o n s i b i l i t i e s of system p a r t i c i p a n t s , and 3) i d e n t i f y t h e t r a d e o f f
between costs of input data and benefits:
" If Arizona's needs can be itemized and l e g i s l a t i v e and
f i n a n c i a l support developed, a system could be designed
i n Arizona which would be t a i l o r e d t o the p r i o r i t y
needs of the s t a t e . . . . . . . .
Such a system would not r e l y s o l e l y on aerial
photography but would also contain data developed by
f i e l d observations and c e r t a i n recorded data such as
zoning, etc. J o i n t agreement w i l l be required among
s t a t e agencies on type and q u a l i t y of data needed.
I n t e r e s t i n a land use inventory is generally high,
however, detailed development of such a system w i l l
probably bring out l i m i t a t i o n s i n the a v a i l a b i l i t y i n
personnel and funds t o develop a system ... Possibly,
l e g i s l a t i o n would be required i n the area of
r e s p o n s i b i l i t y f o r p a r t i c i p a t i n g i n or operating the
system.
" The cost of a land use inventory system could be
high. It must be c a r e f u l l y planned t o insure t h a t t h e
cost of input data is realized i n benefits ( t i m e and or
money) without creating too detailed a system requiring
high maintenance of information to be current."
( Emphasis added)
January 11, 1973
A memorandum to the Governor from an a s s i s t a n t dated January 11, 1973,
i d e n t i f i e d the absence of ARIS planning a s a problem:
" There is a problem with long term planning, but I
think ( t h e P r o j e c t D i r e c t o r ) w i l l move to c o r r e c t t h a t
i n the near future. ( The Project ~ i r e c t o r ) w i l l
-- organize the S t a t e agency working committee t o develop - ---
a four or five year plan for t h i s project and then help
each agency develop t h e i r own f u n c t i o n a l p l a n s t o f i t
i n t o the overall picture." ( Emphasis added)
April 21, 1978
A t the request of ARIS management, the Data Processing Division ( DPD) of
the Department of Administration conducted a b r i e f survey* of ARIS
automation needs. On April 21, 1978, the completed survey*" was
transmitted to the Department of Revenue, i n which ARIS was then located.
The Department of Administration personnel noted i n the survey the
p o t e n t i a l t r a n s f e r of ARIS t o t h e S t a t e Land Department and attempted to
include information for such an eventuality. In its survey, the Data
Processing Division i d e n t i f i e d again the need for ARIS users to be defined
and a system plan developed.
The survey noted t h a t , although computer- aided mapping and data
manipulation had been proposed repeatedly f o r ARIS, a f u l l y operational
system was never, a s of April 1978, developed:
* The Office of the Auditor General conducted a similar survey of
S t a t e , Federal and local resource agencies to a s c e r t a i n uses of and
need f o r a e r i a l photographs, maps and a resource data information
system. Of the 32 agencies surveyed, 24 s t a t e d t h a t they had used
a t l e a s t one of the following ARIS s e r v i c e s ; maps, Landsat imagery,
or other cartographic products.
Further, o f the 32 agencies surveyed, nine indicated a d e s i r e f o r a
resource data information system, but only seven s t a t e d t h a t they
currently had the a b i l i t i e s t o provide input t o such a system.
Appendix I1 is a summary of the survey r e s u l t s . ** Appendix I11 contains a copy of t h i s survey.
" Budgetary c o n s t r a i n t s were c i t e d a s the primary reason
for t h i s f a i l u r e . A s a r e s u l t , only r e l a t i v e l y
unsophisticated services could be provided. Among the
most important of these has been the c o l l e c t i o n and
dissemination of high a l t i t u d e aerial photographs and
various maps generated f o r the most p a r t by federal
agencies. These have received wide use i n the land
resource- related a c t i v i t i e s of the S t a t e and w i l l
probably continue to be popular i n the future."
Conclusions of the survey were:
" 1) A demand f o r automated mapping and r e l a t e d
services e x i s t s among the users surveyed. ( No
attempt was made t o determine the a c t u a l l e v e l of
services needed to s a t i s f y these users.)
2) ARIS equipment can be upgraded and a complete
system provided.. . .
3) New technology, improved prices and growing demand
f o r s e r v i c e argue for an e n t i r e new system.
Because of the necessity t o do a thorough study of
requirements, i n s t a l l a t i o n of new hardware would
be at l e a s t a year from favorable decision and
budget authorization. The study should consider
other a l t e r n a t i v e sources o f support including
other S t a t e data centers." ( Emphasis added)
The survey recommended both interim and long- range action f o r t h e
development of ARIS, among which was the immediate study of user needs and
a plan t o meet these needs:
" These recommendations are based on the assumption t h a t
those users who presently have need f o r ARIS- type
services w i l l continue t o support the program and
contribute resources a s required.
1. If funds are a v a i l a b l e , ARIS should proceed now
to ( a) acquire the necessary hardware t o complete
t h e i r present system and ( b) h i r e a f u l l y
qualified programmer- analyst t o begin talking t o
users and t r a n s l a t i n g t h e i r requirements i n t o
system c a p a b i l i t i e s . . .. Equipment should be leased
for one year if possible ...."
( A list of equipment was attached.)
" This would be an interim step t o enable users t o
begin t o receive automated output a s quickly a s
possible.. . .
" 2. A committee of ARIS s t a f f and users should
i n i t i a t e ( now) a detailed study of user needs and
objectives and develop a three- year plan f o r
meeting these needs. The plan should make c l e a r
commitments t o achieve objectives if funding is
available. The history of u n f u l f i l l e d objectives
is such t h a t nothing less than t h i s should be
offered. DPD w i l l a s s i s t with the planning i f
requested.
3. A s soon as requirements are defined i n # 2 above
and s p e c i f i c a t i o n can be d r a f t e d , o b t a i n b i d s f o r
and order a new hardware system t a i l o r e d t o the
needs of the users unless s e r v i c e is t o be
obtained from another source....
4. After / I2 is complete, begin d e t a i l e d design of a
geographical data base t o meet users1 needs. This
process w i l l require the a c t i v e p a r t i c i p a t i o n of
a l l users...
After plan is complete, a committee of users and
ARIS staff ( and t h i s o f f i c e , i f requested) should
e s t a b l i s h a formula for charging f o r the use of
ARIS services." ( Emphasis added)
October 1979
On October 9, 1979," the IRD ( ARIS) Director sent a l e t t e r t o the S t a t e
Automation Director*" requesting review and approval of s i x pieces o f
computer hardware a t a purchase price of $ 48,600. This l e t t e r c i t e d the
April 1978 survey a s identifying and approving the equipment purchases.
" I believe these replacement items are i d e n t i f i e d i n
t h e o r i g i n a l system approval p r o j e c t r e p o r t provided by
you and your s t a f f l a s t year."***
In a reply dated October 17, 1979,**** the S t a t e Automation Director noted
t h e r e p o r t did not approve equipment and had assumed system expansion
would be c o s t - j u s t i f i e d and based on users of the system other than the
Land Department.
* Appendix I V contains a copy of t h i s l e t t e r . * The Department of Administration Assistant Director f o r Data
Processing is the S t a t e Automation Director. *** A review of the April 1978 survey r e p o r t r e v e a l s t h a t these pieces
of equipment are not included i n the list for replacement or
addition. **** Appendix V contains a copy of t h i s reply.
" The o r i g i n a l system approval p r o j e c t r e p o r t r e f e r r e d
to i n the next t o t h e last paragraph of your l e t t e r is
i n a c t u a l i t y a report on a survey of requirements of
the Arizona Resources Information System which was
prepared by DPD and issued April 21, 1978. The report
contained recommendations but no approvals. The
recommendations were based upon the system being u a
by agencies other than j u s t t h e Land Department, and it
was expected t h a t expansion of the system beyond
acquiring the necessary hardware t o complete the
present system ( Recommendation 1- a) would be based upon
cost j u s t i f y i n g the need f o r expansion.
We have not seen any evidence t h a t the value or
benefits derived from or expected t o be derived from
the system have been i d e n t i f i e d and quantified...."
( Emphasis added)
S t a t e Land Department Attempt
t o Document the Need f o r Data
Processing Equipment Purchases
On February 7, 1980, the S t a t e Land Department sent an EDP Acquisition
Report t o the Data Processing Division i n an attempt to meet the
Division's requirement t h a t the need f o r data processing equipment
acquisitions be documented. This 30- page narrative report prepared by the
Land Department consisted of former t r a n s m i t t a l s to the Data Processing
Division, unacknowledged d i r e c t quotes from n a t i o n a l p u b l i c a t i o n s and
generalized statements regarding the need f o r c e r t a i n natural resources
information as is detailed below:
7 pages d i r e c t unacknowledged quotes from a
n a t i o n a l p u b l i c a t i o n
10 pages p r i o r t r a n s m i t t a l s t o Data Processing
Division
11 pages generalized statements of need f o r
information
- 2 pages S t a t e Land Department goals and objectives
-- 30 pages
An example of a generalized statement of need for water information a s
s t a t e d i n the Implementation Plan portion of the report, is:
" Water Supply - Surface water demands from users exceed
the present supply p o t e n t i a l p a r t i c u l a r l y i n Arizona.
In Arizona, water demands are approximately 8 million
acre- feet and the present renewable supply is about 5
to 6 million acre- feet. The water d e f i c i t is being
s a t i s f i e d through ground water depletion. When surface
water supplies are abundant during wet years, storage
f a c i l i t i e s cannot r e t a i n a l l the production for use i n
dry years.
Water A v a i l a b i l i t y - Because demand f o r water exceeds
the supply, r i g h t s to e x i s t i n g water are
over- appropriated i n many areas. Management practices
require the use and consumption of water t h a t may not
be available."
It should be noted t h a t the report did not i d e n t i f y amount of data,
s p e c i f i c descriptions o f data needed, data presently a v a i l a b l e , source of
future data, time frames for implementation o r s p e c i f i c d o l l a r c o s t s and
returns for accumulation of the data.
The report prspared by the Land Department is p a r t i c u l a r l y d e f i c i e n t when
compared to user needs s t u d i e s for natural resource information systems
prepared i n I l l i n o i s , Washington and Colorado. Studies prepared i n these
states t y p i c a l l y considered the following:
1. d a t a c o l l e c t e d and/ or needed,
2. local and s t a t e uses of data,
3. p r i v a t e s e c t o r uses,
4. data collection procedures,
5. coverage needed,
6. frequency updates needed
7. s c a l e needed,
8. s t a t i s t i c a l reports or other products,
9. storage a t the agency, and
10. personnel and funds devoted to data accumulation.
Compared to these s t u d i e s , the ARIS report to the Data Processing Division
represents only generalized statements of need without s u f f i c i e n t
documentation.
ARIS is Embryonic i n Development,
Has Limited U t i l i t y and Provides Similar
Services as Other E n t i t i e s i n Arizona
Since f i s c a l year 1972- 73, approximately $ 1.5 million i n S t a t e funds have
been dedicated to the creation and development of ARIS. The s t a t u s of the
ARIS system as of March 1, 1980, is:
1. A depository and/ or index t o orthophotoquads, a e r i a l photographs
and maps of Arizona and the United S t a t e s primarily produced by
the Federal government and other S t a t e agencies,
2. Sale of these maps and photographs to the public and other
agencies,
3. S t a f f a s s i s t a n c e i n t h e i n t e r p r e t a t i o n and use of such maps and
photographs, and
4. Rudimentary computer applications on sophisticated equipment
performing record- keeping tasks related to a c t i v i t i e s within the
Land Department. ( See Appendix VII- 4 through VII- 8.)
Embryonic Development
and Limited U t i l i t y
A t the request of the o f f i c e o f the Auditor General, the Director* of the
Natural Resources Information Systems Project with the National Conference
of S t a t e Legislaturesn* ( NCSL) provided technical assistance and assessed
the operational computer s t a t u s of IRD ( ARIS).
* The P r o j e c t D i r e c t o r ' s s e r v i c e s were provided a t no cost t o Arizona.
Appendix V I contains a copy of the Project Director's resume.
** The National Conference of S t a t e Legislatures ( NCSL) is an
organization funded by the s t a t e s and governed by a 43- member
Executive Committee to: 1) improve the q u a l i t y and effectiveness of
s t a t e l e g i s l a t u r e s , 2) assure s t a t e s a strong, cohesive voice i n the
Federal decision- making process, and 3) f o s t e r i n t e r s t a t e
communication and coordination.
According to the NCSL Project Director, an o v e r a l l ARIS computer system
assessment as of March 12, 1980, can be summarized* a s rudimentary,
developmental programs t h a t do not j u s t i f y the use of s o p h i s t i c a t e d
computer equipment. In a report the Director s t a t e d :
" ARIS, through a v a r i e t y of circumstances, has
developed a f a i r l y sophisticated computer hardware
configuration. System software, however, is i n a
rudimentary, developmental stage. Current software
can, f o r t h e most p a r t , be characterized a s simple
record- keeping routines.
Based on demonstrations observed, there currently
appears to be l i t t l e software operational on the
system.. . . I1
( Five applications currently are operational).
" These applications do not j u s t i f y t h e current
sophisticated configuration. They could be very e a s i l y
supported on a time- share administrative computer,
although conversion to another computer system might be
expensive and t i m e consuming ...."
The five current applications include:
1. A water r i g h t s claimants master record system t h a t answers
i n q u i r i e s and summarizes reports of the 2,800 claims on f i l e ,
2. A fire management system t h a t contains lists of f i r e - f i g h t i n g
equipment by r u r a l f i r e s t a t i o n s i n the S t a t e , but whose
incomplete f i l e s prevent f u l l y operational use,
3. An urban f o r e s t r y data f i l e t h a t lists individual t r e e s i n the
f i v e p a r t i c i p a t i n g municipalities; however, l a c k o f funds and
s t a f f have rendered t h i s application nonoperable,
4. A f o r e s t r y tree seedling management system t h a t lists trees
available by species and t r e e o r d e r s s i n c e 1976 f o r t r e e
inventory usage, d i s t r i b u t i o n of trees to orderers and management
r e p o r t s , and
5. An automated d r a f t i n g system t h a t a s s i s t s engineers i n the S t a t e
Land Department by automating the d r a f t i n g of some S t a t e Trust
Land maps.
* Appendix V I I contains a complete copy of the P r o j e c t D i r e c t o r ' s report.
Other applications i n varying stages of conceptualization and development
include software for manipulation of geographic information ( only the
automated mapping portion cited above is implemented), Landsat analysis
( software being developed by NASA), f o r e s t management ( software being
developed by U. S. Forest Service), water use simulation ( not currently
used), range management model ( software under development), and minerals
system ( projected to be developed i n 1981 1.
A s to whether the present data f i l e s represent a natural resource data
bank or information system, the NCSL Project Director commented:
" The general a p p l i c a b i l i t y of any geographic resource
information system must rest upon a s o l i d foundation of
s p a t i a l data files. While there are s p a t i a l a t t r i b u t e s
i n some of the previously discussed f i l e s , ... they a r e
not geographically based f i l e s .
Although there are many plans to develop a s p a t i a l data
base, and many promising applications of such data,
there are currently no systematic, automated f i l e s on
land cover, range resources and conditions, forested
areas, w i l d l i f e h a b i t a t areas, mineral resources, water
resources or any other topics of i n t e r e s t . . . .
A g r e a t deal of work remains before Arizona w i l l have a
f u l l y operational statewide geographic information
system. If t h i s were Creation, A R I S would be about a t
10: 30 Monday morning ...." ( Emphasis added)
Thus, although the concept of a computerized resource information system
has been discussed since 1971 and s t a t u t o r i l y mandated for I R D ( ARIS)
since 1978, IRD ( ARIS) still has " a long row to hoen* before Arizona w i l l
have a computer data bank on natural resources.
* It should also be noted t h a t as of March 21, 1980, the programmer I1
position assigned to IRD ( ARIS) computer system development was
vacant. This absence of a Programmer I1 w i l l i n a l l probability
further impede the development of IRD ( ARIS).
It should be noted also t h a t , according to the NCSL Project Director f o r
the National Resource Information System p r o j e c t , up t o two weeks of NCSL
s t a f f time could be provided a t no charge t o t h e S t a t e to: 1) f u r t h e r
a s s i s t and present t h i s a u d i t , and 2) conduct a detailed review of IRD
( ARIS) for recommendations on system- plan and us er- needs surveys.
Further, i n cooperation with the Council of S t a t e Planning Agencies
( CSPA), NCSL staff has proposed to coordinate the formation of a resource
team of persons with backgrounds i n S t a t e geographic information systems
to redesign and r e d i r e c t ARIS, a s requested, a t no charge t o the State.
The NCSL Project Director suggested a team of nine persons a f f i l i a t e d with
various Western s t a t e ' s governments, NASA and S t a t e u n i v e r s i t i e s .
Provides Similar Service a s
Other E n t i t i e s i n Arizona
ARIS provides s i m i l a r s e r v i c e s as at l e a s t two other e n t i t i e s i n Arizona -
the University of Arizona and the Arizona Department of Transportation.
University of Arizona
The University of Arizona was the r e c i p i e n t of a grant i n 1970 t o manage
the Arizona Regional Ecological Test S i t e ( ARETS) to test the f e a s i b i l i t y
of remote sensing applications. A s an outgrowth, the National Aeronautics
and Space Administration provided a continuing grant to the University i n
1971 e n t i t l e d " Applications of Remote Sensing t o S t a t e and Local
Government." The grant is now p a r t of the University1 s Applied Remote
Sensing Program, which e x i s t s for the i n t e r p r e t a t i o n o f high- altitude
photography and Landsat imagery.*
* Appendix V I I I contains a description of the equipment, procedures and
projects of the University o f Arizona program.
According t o the University, the objective of t h i s program is
service- oriented and its i n t e n t is to work j o i n t l y with l o c a l , s t a t e and
federal agencies responsible f o r planning, zoning and environmental
monitoring and assessment. Thus, remote sensing techniques are applied t o
specified agency problems and provide data upon which policy decisions are
based.
Since January 1972, the University o f Arizona program has i n i t i a t e d 34 and
completed 26 projects. Five of t h e s e p r o j e c t s were i n i t i a t e d i n f i s c a l
year 1978- 79 -- two for Arizona S t a t e governmental agencies, one f o r an
Arizona c i t y , one for an Arizona county and Council of Government and one
for a p r i v a t e s e c t o r organization. Funding for the 1978- 79 year is
included i n Table 2.
TABLE 2
FUNDING FOR APPLIED REMOTE SENSING PROGRAM
AT THE UNIVERSITY OF ARIZONA, FISCAL YEAR 1978- 79
Percent of
Funds Total
NASA Grant $ 100,000 57%
Other sources ( S t a t e ,
regional, private
through contracts) 76,305 - 43
A t the request of a l e g i s l a t i v e appropriations subcommittee i n 1976, the
Assistant Director of the Office of Arid Land Studies prepared a statement
regarding the University's operations i n remote sensing as compared t o
ARIS s t a t e d goals. The Assistant Director concluded t h a t the Program a t
the University appeared to overlap ARIS objectives i n c e r t a i n areas
including: 1) coordinating remote sensing technology such a s the use of
s a t e l l i t e and a e r i a l imagery and photography, 2) acting a s a service
agency to maintain equipment f o r receiving and i n t e r p r e t i n g photographs,
maps, imagery and other visual land use information sources, 3) preparing
thematic overlays of land use and natural resources f o r S t a t e agency
programs, and 4) t r a n s f e r r i n g technology to county and c i t y governments.
Department of Transportation
The Arizona Department of Transportation ( ADOT) maintains a e r i a l
photography, remote sensing and computer mapping c a p a b i l i t i e s for its own
use and t h a t of other agencies.
ADOT has the c a p a b i l i t y , through a e r i a l cameras and agency a i r c r a f t , t o
shoot low- to- medium a l t i t u d e photographs of Arizona. A photographic
laboratory, d i g i t i z e r , p l o t t e r s and other equipment are used to develop,
i n t e r p r e t and reproduce photographs, maps and d i g i t a l data. In addition,
f i e l d survey instrumentation and support are a v a i l a b l e , and data
processing remote linkage is maintained between the photogrametry section
and the ADOT data processing center.
Aerial photography services and production of topographic and planimetric*
maps have been provided to other agencies upon request to the ADOT
Director. Agencies receiving such services include the S t a t e Land
Department, Federal Highway Administration, Game and Fish Department and
Department of Corrections.
ADOT o f f e r s a e r i a l photographs for s a l e from its extensive l i b r a r y . It
should be noted t h a t the equipment used t o develop and p r i n t these
photographs is also used t o produce some a e r i a l photographs and a l l
orthophotoquads t h a t IRD ( ARIS) s e l l s to the public.
* Topographic maps d i s p l a y p o s i t i o n and elevation of natural and
man- made features while planimetric maps display only position.
CONCLUSION
Both h i s t o r i c a l l y and c u r r e n t l y t h e scope and goals of the Arizona
Resources Information System have been i n c o n s i s t e n t l y s t a t e d , accepted and
applied. Although i d e n t i f i e d a s e s s e n t i a l nine years ago and again i n
1978, ARIS has not documented j u s t i f i a b l e user- need for the system and
currently has no plan to guide and coordinate system development, t o
define data needs and uses, to j u s t i f y equipment needs or to determine
p r i o r i t y of system applications. The combination of unclear goals,
unidentified user needs and the absence of a system plan has resulted i n
confusion i n the l e g i s l a t i v e and equipment- acquisition processes with
r e s u l t i n g lack of l e g i s l a t i v e support, i n d e f i n i t e system d i r e c t i o n and the
u n j u s t i f i a b l e use of sophisticated computer equipment t o perform
rudimentary record- keeping tasks.
RECOMMENDATION
It is recommended t h a t consideration be given to the following:
- The L e g i s l a t u r e appropriate funds f o r t h e 1980- 81 f i s c a l year t o
allow for a 12 month lease/ purchase of the c e n t r a l processing
u n i t requested i n the Information Resources Division 1980- 81
budget request. Expenditure of such an appropriation should be
contingent upon: 1) approval by the Data Processing Division o f
the Department of Administration of the lease/ purchase, and
2) the signing of a formal lease/ purchase agreement between the
S t a t e Land Department and the equipment vendor.
- The S t a t e Land Department, Department of Administration's Data
Processing Division and the National Conference of S t a t e
Legislatures1 resource team conduct a detailed user- needs study
and develop a system plan by September 30, 1980. Additional ARIS
data processing equipment a c q u i s i t i o n s should be contingent upon
the preparation of the user- needs study and its review and
acceptance by the appropriate l e g i s l a t i v e committeee.
- I f it is determined t h a t such an information system is
needed, the Legislature should c l e a r l y d e f i n e t h e scope,
goals and users of such a system. ( See Finding 111, page
46
- Future S t a t e Land Department requests for ARIS- related data
processing equipment and approval of other expenditures be
based on user- needs surveys and system plans.
FINDING I1
DATA PROCESSING ACQUISITIONS FOR THE ARIZONA RESOURCES INFORMATION SYSTEM
ARE A CHRONOLOGY OF APPARENT UNAUTHORIZED EXPENDITURES AND IMPROPERLY
RECORDED EXPENSES THAT WOULD REPRESENT VIOLATIONS OF ARIZONA STATUTES AND
THE FIDUCIARY RESPONSIBILITY OF STATE OFFICIALS.
Since its inception i n 1972, the ARIS program has been fraught with
apparent unauthorized expenditures and improperly recorded expenses
regarding data processing acquisitions. I n obtaining data processing
equipment, programs and s e r v i c e s , Department of Administration standard
data processing acquisition procedures have been circumvented and
documents supporting proposed equipment a c q u i s i t i o n s have been
inaccurate. These practices would c o n s t i t u t e violations of the fiduciary
r e s p o n s i b i l i t y , which is incumbent upon S t a t e o f f i c i a l s , t o ensure that:
1) expenditures are properly authorized, 2) costs are c o r r e c t l y
c l a s s i f i e d t o r e v e a l t h e t r u e and a c t u a l nature of expenditures, and 3)
standard acquisition procedures are not circumvented.
Fiduciary R e s p o n s i b i l i t i e s
According to Black's Law Dictionary, a fiduciary is defined a s " a person
holding the character of a trustee... in respect t o the t r u s t and
confidence involved i n it and the scrupulous good f a i t h and candor which
it requires. "
The fiduciary r e s p o n s i b i l i t i e s of S t a t e agency o f f i c i a l s are defined i n
various sections of the Arizona Revised S t a t u t e s ( A. R. S.) and i n the S t a t e
accounting manual. These r e s p o n s i b i l i t i e s , among others, include:
approving expenditures, ensuring t h a t expenses are properly recorded and
adhering to required acquisition procedures.
When reviewing proposed expenditures for approval, a responsible S t a t e
o f f i c i a l must determine t h a t expenditures are properly authorized as
described i n A. R. S. Section 35- 154:
" A. No person s h a l l incur, order or vote f o r the
incurrence of any obligation against the s t a t e o r
f o r any expenditure not authorized by an
appropriation and an allotment. Any obligation
incurred i n contravention of t h i s chapter s h a l l
not be binding upon the state and s h a l l be n u l l
and void and incapable of r a t i f i c a t i o n by any
executive authority to give e f f e c t t h e r e t o against
the state.
B. Every person incurring, or ordering or voting for
the incurrence of such obligations, and h i s
bondsmen, s h a l l be j o i n t l y and severally l i a b l e
therefor. Every payment made i n v i o l a t i o n of the
provisions of t h i s chapter s h a l l be deemed
i l l e g a l , and every o f f i c i a l authorizing or
approving such payment, or taking p a r t t h e r e i n ,
and every person receiving such payment, or any
part thereof, s h a l l be j o i n t l y and severally
l i a b l e t o t h e s t a t e f o r the f u l l amount so paid or
received." ( Emphasis added)
Once an expense has been incurred, an agency o f f i c i a l must ensure t h a t the
costs are properly c l a s s i f i e d . A c l a s s i f i c a t i o n system is included i n the
S t a t e accounting manual issued by the DOA Division of Finance under the
authority of A. R. S. Section 35- 131, which s t a t e s :
" A. In accordance with generally accepted governmental
accounting p r i n c i p l e s , t h e a s s i s t a n t d i r e c t o r f o r
finance o f the department of administration s h a l l
develop and prescribe f o r the use of a l l budget
u n i t s a uniform accounting system so designed a s
t o insure compliance with a l l legal and
c o n s t i t u t i o n a l requirements including respecting,
the r e c e i p t and expenditure of and the
accountability for public funds.
E. The a s s i s t a n t d i r e c t o r f o r finance s h a l l prescribe
uniform c l a s s i f i c a t i o n s f o r r e c e i p t s and
expenditures and forms f o r the p e r i o d i c r e p o r t i n g
of f i n a n c i a l accounts, t r a n s a c t i o n s and other
matters by budget u n i t s compatible with the
reports required o f the a s s i s t a n t d i r e c t o r for
finance under t h i s section. Additional records or
accounts may be maintained by budget units when
required for reporting to the f e d e r a l government
or other funding source." ( Emphasis added)
Further, A. R. S. Section 35- 172 requires the Finance Division to subdivide
the general expenditure c l a s s e s provided i n appropriations R... in such a
manner t h a t t h e t r u e and a c t u a l c o s t of each object w i l l be r e f l e c t e d
perpetually on t h e ( f i n a n c e ) d i v i s i o n ' s books."
Finally, A. R. S. Section 41- 712 requires the Department of Administration,
Data Processing Division to develop, implement and maintain a coordinated
statewide plan for data processing and data communication systems.
Proposed data processing a c q u i s i t i o n s of S t a t e agencies must be reviewed
and approved by the Data Processing Division t o ensure t h a t the new
a c q u i s i t i o n s w i l l conform with t h e S t a t e plan'for data processing. Such
review and approval is also prescribed by t h e S t a t e accounting manual.
Any acquisition of data processing equipment or services without the
required Data Processing Division approval c o n s t i t u t e s an unauthorized
expenditure by d e f i n i t i o n .
Apparent Unauthorized Expenditures
A s previously noted, one of the primary fiduciary r e s p o n s i b i l i t i e s of
S t a t e o f f i c i a l s is to ensure t h a t funds appropriated for a s p e c i f i c use
are not expended f o r other purposes. Our review revealed several ARIS
expenditures for data processing a c q u i s i t i o n s t h a t were apparently not
properly appropriated and as such would c o n s t i t u t e unauthorized
expenditures. Such apparent violations of fiduciary r e s p o n s i b i l i t y began
with the i n i t i a l ARIS budget i n f i s c a l year 1972- 73 and continued through
the current f i s c a l year, 1979- 80. These expenditures are chronicled below.
Use of ARIS Funds t o Purchase
Computer Equipment Used by the
Department of Property Valuation
House B i l l 2376, passed during the 1972 session, appropriated funds to the
Governor's o f f i c e f o r t h e ARIS program. According to t h i s b i l l :
" Sec. 2. Appropriation; purpose
A. The sum o f four hundred eight thousand seven
hundred d o l l a r s is appropriated to the governor to fund
the Arizona resources information system f o r the f i s c a l
year beginning July 1, 1972, and to enable the s t a t e t o
acquire from the n a t i o n a l aeronautics and space
administration orthophoto base maps of the e n t i r e s t a t e
of Arizona for use by a l l departments of Arizona s t a t e
government.
" B. The funds appropriated i n subsection A are t o be
available i n the amounts and f o r the purposes following:
Personal services
Office space
Equipment -
Furniture
Viewing
Travel- in and out- of- state
Supplies and photo reproduction
Contingency
Orthophoto base sheets
Equipment
Outside services
Total
Sec. 3. Exemption
The appropriation made by t h i s act is exempt from the
provisions of section 35- 190, Arizona Revised S t a t u t e s ,
r e l a t i n g to lapsing of appropriations."
ARIS reported expending $ 185,900 during f i s c a l year 1972- 73 - $ 9,300 of
which was spent on o f f i c e and viewing equipment. In the following year,
since t h i s was a nonlapsing appropriation, the fund balance of $ 222,800
was t r a n s f e r r e d , with ARIS, t o the Department of Property Valuation. ARIS
carryover was not commingled with other departmental funds but was
maintained as a separate account. Thus, expenditures from the 1972- 73
carryover funds are distinguishable from expenditures of the f i s c a l year
1973- 74 and subsequent budget appropriations.
During f i s c a l year 1973- 74, the Department of Property Valuation purchased
a Data General minicomputer system. The following system components were
purchased with the 1972- 73 carryover funds from the o r i g i n a l ARIS
appropriation :
Tape drive
Central processing unit
CRT display u n i t
Disc memory u n i t
Magnetic tape c o n t r o l l e r
Total
Other system components were purchased f o r $ 35,610 using other Department
of Property Valuation funds. According t o the former Director of the ARIS
program, he neither authorized nor was aware of the use of ARIS funds for
the above purchases.
In addition, the former Director s t a t e d t h a t the system components were
never the property of nor used by the ARIS program during h i s term as
program director ( January 1972 through August 1976). Finally, the former
Director s t a t e d t h a t it was the Director of the Department of Property
Valuation who had f i n a l control over the use of ARIS funds.
According to a Legislative Council memorandum dated March 5, 1980*, the
use of ARIS funds to purchase equipment was "... unauthorized because
monies were taken from funds appropriated t o one budget u n i t f o r a
specific purpose and used by another budget u n i t for a d i f f e r e n t purpose."
Computer Equipment Purchases
Not Authorized by the Legislature
On June 30, 1975, ARIS funds were used t o purchase additional memory and
c i r c u i t r y boards for the same Data General minicomputer. However, the
ARIS f i s c a l year 1974- 75 budget request did not include a provision f o r
data processing equipment. Further, the JLBC s t a f f recommendation f o r t h e
ARIS f i s c a l year 1974- 75 budget made no mention of funds for data
processing equipment. Finally, no authorization was received from the
Assistant Director for Finance t o t r a n s f e r funds from the ARIS program.
In the March 5, 1980, memorandum," t h e Legislative Council noted t h a t
these purchases appeared t o be unauthorized . The Legislative Council
s t a t e d :
" The 1974- 75 f i s c a l year purchases appear t o be
unauthorized under the f a c t s given since the a s s i s t a n t
d i r e c t o r for finance did not approve t h e t r a n s f e r as
required by Arizona Revised S t a t u t e s section 35- 173.
That s e c t i o n p r e s c r i b e s t h a t i f monies are appropriated
to a budget u n i t by programs, as was the case i n the
Laws 1974, chapter 203 appropriation, funds may be
transferred between and within programs only with the
approval of the a s s i s t a n t d i r e c t o r for finance . I9
* Appendix I X contains the f u l l t e x t of t h i s memorandum.
3 4
Computer Equipment Purchases In
Excess of Budget Authorization and
Questionable Expenditure of
Groundwater Transfer Program Funds
I n February 1977, the Data General minicomputer system was transferred t o
the ARIS program. During the period from January 1977 through June 1978,
the ARIS program expended approximately $ 9,800 on data processing
a c q u i s i t i o n s of which $ 6,000 was spent on the overhauling and upgrading of
the Data General computer.
In 1978, the Legislature t r a n s f e r r e d t h e ARIS program t o the S t a t e Land
Department and appropriated $ 46,100 f o r equipment. According to the
Appropriations Report, 1978- 79, prepared by the JLBC, t h i s amount included:
" Equipment - The appropriation provides $ 5,600 f o r one
hard copier and $ 40,500 f o r missing components of a
d i g i t a l computer system a s itemized below:
8K Memory Board
E l e c t r i c a l Cabinet
10 Megabyte Disc with Software
Line P r i n t e r
Digitizer
TOTAL
However, during f i s c a l year 1978- 79, IRD ( ARIS) expended $ 82,398.7 1 * on
data processing equipment as follows:
8~ memory
300LPM p r i n t e r
10MB disc drive
6085- A console
Mu1 tiplexor
192MB disc drive
Digitizing system
Eclipse S/ 130 CPU ( 3- month r e n t a l )
Total equipment a c q u i s i t i o n s
* An additional $ 42,074.49 was expended by ARIS f o r o t h e r d a t a
processing items such a s supplies and maintenance during f i s c a l year
1978- 79 ** In August 1978, ARIS s t a f f requested and received the required
authorization from the Data Processing Division of the Department of
Administration for the acquisition of t h i s item.
IRD ( ARIS) funds were used to pay f o r $ 49,246.25 of the above t o t a l . The
remaining $ 33,152.46 was funded with Groundwater Transfer Program monies
which were also under the authority of t h e S t a t e Land Department. The
$ 33,152.46 was used t o purchase the 192MB disc drive shown i n the previous
list.
The f i s c a l year 1978- 79 appropriation for the Groundwater Transfer Program
does not provide expenditure c l a s s e s ; thus, it is d i f f i c u l t to determine
l e g i s l a t i v e i n t e n t with regard t o the Groundwater Transfer Program.
However, the Appropriations Report, 1978- 79, which was prepared by the
JLBC, shows t h a t the o r i g i n a l b a s i s for the Groundwater Transfer Program
appropriation did not include any equipment purchases. Further, i n a
February 25, 1980, memorandum, the Legislative Council s t a t e d :
"... we were unable to determine whether p a r t of the
groundwater t r a n s f e r appropriation authorized by Laws
1977, chapter 29 was intended to acquire the data
processing equipment which was purchased.
Assuming t h a t groundwater t r a n s f e r funds were
authorized and properly expended t o purchase the data
processing equipment, the retention by the IRD of the
equipment and data is i n v i o l a t i o n of Laws 1979,
chapter 139, section 80, which required i n relevent
t e x t t h a t :
A. A l l personnel, equipment, records,
furnishings and other property, and all funds remaining
unexpended and unencumbered, and funds appropriated for
f i s c a l year 1979- 80, of the water division of the state
land department are t r a n s f e r r e d to the Arizona water
commission on the e f f e c t i v e date of t h i s act.
C. A l l data and i n v e s t i g a t i o n a l findings of the
water division of the s t a t e land department are
transferred t o the Arizona water commission on the
e f f e c t i v e date of t h i s act....
" If the groundwater t r a n s f e r funds were not authorized
t o purchase the described data processing equipment,
use of the funds to purchase the equipment would be an
unauthorized expenditure of s t a t e monies and would
subject a person t o l i a b i l i t y under Arizona Revised
S t a t u t e s , section 35- 196 and the s t a t e could pursue
appropriate remedies under Arizona Revised S t a t u t e s
t i t l e 35, chapter 1, a r t i c l e 6 to recover state monies
i l l e g a l l y paid." ( Emphasis added) *
Thus, it appears t h a t : 1) purchasing data processing equipment may not be
an authorized use of Groundwater Transfer Program funds, and 2) the
retention of the 192 MB disc drive by the Information Resource Division
was a s t a t u t o r y violation.**
In August 1978, IRD ( ARIS) included a request f o r $ 28,000 i n the
Replacement Equipment portion of its 1979- 80 budget request. The funds
were to be used to replace the c e n t r a l processing u n i t ( CPU) of the IRD
( ARIS) minicomputer system. The Legislature did not appropriate funds t o
IRD ( ARIS) for equipment purchases for f i s c a l year 1979- 80.
In June 1979, IRD ( ARIS) began renting the requested equipment, a Data
General Eclipse S/ 130 CPU. The i n s t a l l a t i o n charges and first three
quarterly r e n t a l payments have been paid out of various funds a s is shown
i n the following table:
* Appendix X contains the f u l l t e x t of t h i s memorandum.
** A s of March 1, 1980, the d i s c d r i v e u n i t was located a t the S t a t e Land
Department and was included i n the S t a t e Land Department's inventory.
In addition, it should be noted t h a t the disc u n i t is not used i n the
Groundwater Transfer Program.
TABLE 3
SUMMARY OF FUNDS USED TO PAY FOR CENTRAL
PROCESSING UNIT RENTAL EXPENSES
Funds Used to Pay For Equipment
I n s t a l l a t i o n Charges and Rentals
Information Cooperative* Timbers*
Object Resources Division F i r e Control Suspense
6/ 04/ 79 I n s t a l l a t i o n $ 3,600
6/ 04/ 79 Three months r e n t a l $ 4,650
9/ 18/ 79 Three months r e n t a l
12/ 18/ 79 Three months r e n t a l
It should be noted t h a t no approval was received from the Department of
Administration A s s i s t a n t D i r e c t o r f o r Finance f o r t h e t r a n s f e r of monies
from the f i r e control or timber suspense funds a s required.
In addition, according t o the IRD ( ARIS) administrator and a
representative of the equipment supplier, no written agreement regarding
the terms or length o f the equipment r e n t a l e x i s t s .
Further, the Department of Administration, Data Processing Division, did
not approve t h i s EDP acquisition and t h e r e n t a l agreement was not
processed through the S t a t e Purchasing Office.
* The Cooperative F i r e Control Fund is a nonreverting fund i n which U. S.
Forest Service reimbursements are deposited. ** The Timber Suspense Fund is a nonreverting fund i n which the revenues
generated by the s a l e of timber from S t a t e t r u s t lands are deposited.
In a February 29, 1980, Legislative Council memorandum, * the s t a t u s of the
IRD ( ARIS) CPU r e n t a l is explained:
" Arizona Revised S t a t u t e s section 41- 712 requires the
Department of Administration Data Processing Division
t o develop, implement and maintain a coordinated
statewide plan f o r data processing and data
communications systems. Review and approval by the
data processing division of data processinq
a c q u i s i t i o n s by state budget u n i t s is necessary t o
insure t h a t the proposed new equipment conforms with
the state plan f o r data processing. This approval is
also prescribed by the state accounting manual issued
by the Department of Administration Division of Finance
under the authority of Arizona Revised S t a t u t e s
sections 35- 131 and 41- 722. The s t a t e accounting
manual also requires equipment leases entered i n t o for
the f i r s t time t o have the approval of t h e a t t o r n e y
general. Use of funds without the specified approval
would be an unauthorized expenditure of s t a t e monies
and would subject a person t o l i a b i l i t y under Arizona
Revised S t a t u e s s e c t i o n 35- 196 and would c a l l i n t o play
the provisions o f Arizona Revised S t a t u t e s section
t i t l e 35, chapter 1, article 6, concerning the recoverx
of the s t a t e monies i l l e g a l l y paid." ( Emphasis added)
It should be noted t h a t s e v e r a l o t h e r f i s c a l year 1978- 79 data processing
a c q u i s i t i o n s also appear to be unauthorized expenditures because specified
DPD approval was not received.
Legislative Council a l s o noted problems regarding: 1) the use o f funds
f o r t h e IRD ( ARIS) program other than those funds appropriated f o r IRD
( ARIS) , and 2) the lack of a written r e n t a l agreement, s t a t i n g : *
" A more serious question a r i s e s regarding the use of
monies from the cooperative f i r e control fund and the
timber suspense fund. Arizona Revised S t a t u t e s s e c t i o n
35- 173, subsection C requires a budget u n i t to receive
the approval of the a s s i s t a n t d i r e c t o r f o r finance t o
" t r a n s f e r funds from one c l a s s o r subclass to anothert1
or to " t r a n s f e r funds between and within programs i f
funds are appropriated t o the budget u n i t by
programs1I. Since no approval was received from the
a s s i s t a n t d i r e c t o r f o r finance, the use of monies from
the two previously named funds for the September and
December equipment r e n t a l payments would appear t o
v i o l a t e Arizona Revised S t a t u t e s section 35- 173 and
c o n s t i t u t e a c l a s s 1 misdemeanor under Arizona Revised
S t a t u t e s section 35- 197. While monies are not
appropriated to these two funds, funds are appropriated
to the land department by program and so we believe
t h a t Arizona Revised S t a t u t e s section 35- 173 is
applicable.
* Appendix X I contains the f u l l t e x t of t h i s memorandum.
" The s t a t e accounting manual s p e c i f i c a l l y requires data
processing equipment lease agreements to be approved by
the data processing division and the attorney general.
This procedure appears to contemplate the existence of
a written agreement evidencing the l e a s e . Additionally
Arizona Revised S t a t u t e s section 35- 151 requires
encumbrance documents to be issued by budget units to
cover a l l s t a t e obligations. The division o f finance
is required to examine such documents to determine i f
the proposed expenditure is for a valid public
purpose. Failure to have a written r e n t a l agreement
would severely handicap the finance d i v i s i o n ' s a b i l i t y
t o determine the v a l i d i t y of an expenditure.
Additionally, the lack of a w r i t t e n agreement,
considering the amount of monies involved, is an
example of extremely poor business practice. Public
a u t h o r i t i e s have a duty t o a c t i n good f a i t h and i n the
best i n t e r e s t s of the governmental agency involved.
Hertz Drive- Ur- Self System v. Tucson Airport Authority,
81 Ariz. 80, 85, 299 P. 2d 1071, 1074 ( 1956). In t h i s
instance, t h a t duty would seem t o require a written
r e n t a l agreement f o r the computer equipment."
( Emphasis added)"
It should be noted t h a t the c i v i l l i a b i l i t y and criminal provisions
mentioned i n the Legislative Council memorandum are a s follows:
A. R. S. section 35- 154
" B. Every person incurring, or ordering or voting f o r
the incurrence of such o b l i g a t i o n s , and h i s bondsmen,
s h a l l be j o i n t l y and severally l i a b l e therefor. Every
payment made i n v i o l a t i o n of the provisions o f t h i s
chapter s h a l l be deemed i l l e g a l , and every o f f i c i a l
authorizing or approving such payment, or taking p a r t
t h e r e i n , and every person receiving such payment, or
any p a r t thereof, s h a l l be j o i n t l y and severally l i a b l e
t o the s t a t e for the f u l l amount so paid or received."
( Emphasis added)
A. R. S. Section 35- 196
" Any s t a t e o f f i c e r or employee who i l l e g a l l y withholds,
expends or otherwise converts any s t a t e money t o an
unauthorized purpose s h a l l be l i a b l e , e i t h e r
individually or on h i s bond, f o r the amount of such
money, plus a penal sum of twenty per cent thereof, and
an action may be i n s t i t u t e d by the a s s i s t a n t d i r e c t o r
f o r the division of finance or t h e a t t o r n e y general
immediately upon the discovery thereof." ( Emphasis
added)
* Appendix X I contains the f u l l t e x t of t h i s memorandum.
A. R. S. Section 35- 197
" Any o f f i c e r , agent or employee of the s t a t e who
knowingly f a i l s or refuses t o comply with any of the
provisions of t h i s chapter is g u i l t y of a class 1
misdemeanor." ( Emphasis added)
Improper C l a s s i f i c a t i o n
of Expenditures
I n addition t o the apparent unauthorized use of funds and the
circumvention of standard data processing acquisition procedures, the
r e n t a l charges of the CPU were improperly c l a s s i f i e d . The June 4, 1979,
claim s t a t e d :
"... 3 months r e n t a l on special custom equipment t o
support ECOSYM.*"
However, it should be noted t h a t the claim does not s t a t e the r e n t a l is
for data processing equipment.
Further, the $ 4,650 expenditure was c l a s s i f i e d a s data processing
equipment - maintenance contracts. On the invoice f o r the r e n t a l ,
immediately a f t e r the vendor's description, is a handwritten i n s t r u c t i o n
to record the expense a s " EDP Maint. 080- 70, 72836."
In the February 29, 1980, memorandum,** Legislative Council addressed the
problem of improperly recorded expenses, s t a t i n g :
" An i n t e n t i o n a l improper c l a s s i f i c a t i o n of an
expenditure on an encumbrance document would appear t o
subject a person to the c i v i l l i a b i l i t y provisions of
Arizona Revised S t a t u t e s sections 35- 154 and 35- 196 and
the criminal provisions of section 35- 197."
To determine the extent of improper recording of IRD ( ARIS) data
processing a c q u i s i t i o n s , a review was made of a l l such expenditures for
f i s c a l year 1978- 79. Of 32 data processing- related claims reviewed, 14
were improperly c l a s s i f i e d . The 14 claims t o t a l e d more than $ 25,730 and
included:
- Equipment i n s t a l l a t i o n recorded a s Maintenance contract
- Equipment overhaul recorded a s Maintenance contract
- Software purchases recorded as Data processing supplies, no
object code.
* ECOSYM is a group of f o r e s t r y modeling programs being developed
j o i n t l y by t h e S t a t e Land Department and the U. S. Forest Service.
** Appendix X I contains the f u l l t e x t of t h i s memorandum.
These claims were reviewed with the Chief Accountant f o r the Land
Department, who agreed t h a t the expenses were improperly c l a s s i f i e d . I n
h i s defense of the improper c l a s s i f i c a t i o n s , the Chief Accountant pointed
out t h a t the ARIS program ( IRD) was a new addition t o the S t a t e Land
Department i n f i s c a l year 1978- 79 and t h a t t h e Land Department accounting
s t a f f was not familiar with ARIS expenses. A s a r e s u l t , the accounting
s t a f f r e l i e d on IRD ( ARIS) s t a f f t o provide help on expense
c l a s s i f i c a t i o n s .
The Auditor General's staff contacted the Director of the Accounts and
Controls Section of the Division of Finance regarding t h e c l a s s i f i c a t i o n
of data processing expenditures. The Director not only provided the
proper c l a s s i f i c a t i o n code but he a l s o explained the reasons for use of
s p e c i f i c object codes.
Misleading Statements
Documents supporting proposed data processing a c q u i s i t i o n s have contained
inaccurate statements. In two instances, including the f i s c a l year
1979- 80 budget request, IRD ( ARIS) documents have s t a t e d t h a t l e g i s l a t i o n
had authorized s p e c i f i c amounts for c a p i t a l expenditures, while i n f a c t it
had not.
The f i r s t instance occurred on August 3, 1978, when IRD ( ARIS) sent a
document e n t i t l e d " Arizona Land Department - Information Resources
Division - Arizona EDP Acquisition Reportw t o t h e A s s i s t a n t Director f o r
Data Processing Division ( S t a t e Automation ~ i r e c t o r.) The document
s t a t e s , " This documentation is intended to complete the formal functions
and authority of the Arizona EDP acquisition Process of t h e S t a t e Land
Department, Information Resources Division, Map- oriented Directory System
( MODS) . ''
The following statement was made on page seven of the document:
" The following RFQ* for hardware, software,
publications and services are appropriate t o complete
t h e S t a t e Land Department, Information Resources
Division, MODS i n t e r a c t i v e mapping/ graphics and
geographic data management system."
* Request for Quotation ( RFQ) is a part of the bidding process of the
S t a t e Purchasing Office.
Further, the following statement was made on the l a s t page of the document:
" ECONOMIC PROFILE
Authorized c a p i t a l expenditures were provided by
t h e l e g i s l a t u r e ( S. B. 1307) & ( S. B. 1391) July 1,
1978
Based on t h i s document, the DPD approved the requested acquisition. In
the approval letter, the Assistant Director for Data Processing Division
s t a t e d :
" This recommendation is limited to t h i s s p e c i f i c
request and the use o f existing funds already
allocated." ( Emphasis added)
The second instance occurred i n August 1979 when IRD ( ARIS) requested
$ 48,000 for the "... replacement and i n s t a l l a t i o n of a Data General S/ 130
c e n t r a l processing unitt1 i n its f i s c a l year 1980- 81 budget request. The
expenditure j u s t i f i c a t i o n was t h a t " This is the second part of a two
phase, two year request authorized by S. B. 1307 of the 1978 l e g i s l a t i v e
session."
However, it should be noted t h a t neither of these b i l l s s p e c i f i c a l l y
authorized funds for data processing acquisitions. In a memorandum dated
February 25, 1980*, Legislative Council s t a t e d :
111977 Senate B i l l 1391 and 1978 Senate B i l l 1307, a s
enacted, did not s p e c i f i c a l l y authorize the purchase of
data processing equipment as s t a t e d i n the IRD
communication."
Inadequate Insurance Coverage
Our audit of the ARIS Program included a review of the insurance coverage
provided by the Department of Administration, Division of Risk Management
for the ARIS data processing equipment. This review revealed t h a t the
Data General Eclipse S/ 130 CPU currently is not insured. Further
investigation revealed that because DOA data processing acquisition
procedures were circumvented when the Data General Eclipse S/ 130 CPU was
acquired, Risk Management was not properly n o t i f i e d of its existence,
precluding proper insurance coverage.
* See Appendix X for the f u l l text of t h i s memorandum.
CONCLUSION
Data processing a c q u i s i t i o n s of the ARIS program have resulted i n apparent
violations of S t a t e laws and fiduciary r e s p o n s i b i l i t i e s . Such apparent
violations include: 1) unauthorized expenditures, 2) circumvention of
standard acquisition procedures, 3) i l l e g a l t r a n s f e r of funds, 4)
f a i l u r e t o a c t i n the best i n t e r e s t of the governmental agency, 5)
improper c l a s s i f i c a t i o n of expenditures, and 6) inadequate insurance
coverage for data processing equipment.
RECOMMENDATIONS
It is recommended that:
- The S t a t e Land Department thoroughly review its i n t e r n a l
accounting controls over the use of funds and the r e s u l t i n g
c l a s s i f i c a t i o n of expenditures. This review should include a l l
sources of funds used by the Land Department and not be limited
t o State- appropriated funds.
- Following t h i s review, the S t a t e Land Department i n s t i t u t e the
necessary changes to prevent future unauthorized and i l l e g a l uses
of funds.
- When questions a r i s e regarding the c l a s s i f i c a t i o n of
expenditures, the accounting s t a f f of the S t a t e Land Department
consult with the Accounts and Controls Section o f the Division of
Finance to ensure proper c l a s s i f i c a t i o n .
- The S t a t e Land Department i n s t i t u t e a procedure f o r the periodic
review of insurance coverage provided by the Risk Management
Division of the Department of Administration and update t h i s
coverage on a timely basis.
FINDING I11
LEGISLATION IS NEEDED TO CLARIFY THE INTENDED PURPOSE OF THE INFORMATION
RESOURCES DIVISION.
When the Legislature t r a n s f e r r e d ARIS personnel, property and funds to the
newly- formed Information Resources Division ( IRD) within the S t a t e Land
Department i n May 1978, it s t i p u l a t e d t h a t the duties of IRD would include
providing the Land Department with an information data bank. Whether the
Legislature intended t h a t IRD perform t h i s function f o r other S t a t e
agencies is not c l e a r . A s a r e s u l t , l e g i s l a t i o n is needed to c l a r i f y
l e g i s l a t i v e i n t e n t regarding the purpose of Information Resources Division.
In the 1978 l e g i s l a t i v e session, Senate B i l l 1307 was passed to c r e a t e , by
the t r a n s f e r of ARIS, the Information Resources Division ( IRD) within the
S t a t e Land Department. The r e s u l t i n g Arizona Revised S t a t u t e s ( A. R. S.)
37- 173, s e f f e c t i v e May 18, 1978, defined the d u t i e s of the IRD t o include:
" 1. Provide an information data bank for the s t a t e
land department by computer compositing the data
from remote sensing technology with other
technical information and the geographical base
r e s u l t i n g from the Arizona orthophotoquad program.
6. Coordinate these a c t i v i t i e s of s t a t e government
agencies and s t a t e p o l i t i c a l subdivisions with
respect to any u t i l i z a t i o n by them of the ( NASA)
earth resources s a t e l l i t e program, Landsat, i n
discharging t h e i r r e s p o n s i b i l i t i e s i n the f i e l d s
of... resource managementn ( Emphasis added)
Further, A. R. S. 37- 174 describes the powers of the IRD to include:
" The resources division may:
1. Establish a l i a i s o n r e l a t i o n s h i p with p o l i t i c a l
subdivisions o f t h i s s t a t e f o r purposes of
c o l l e c t i n g , compiling, processing and making
available resource information." ( Emphasis added)
* Appendix I contains the f u l l t e x t of the s t a t u t e s regarding ARIS and
the Resources Division.
It should be noted t h a t these s t a t u t e s s t a t e t h a t the IRD may allow
p o l i t i c a l subdivisions to use the S t a t e Land Department information data
bank but does not require IRD t o do so.
In a letter to the S t a t e Automation Director, and i n its 1980- 81 budget
request, the S t a t e Land Department s t a t e d t h a t t h e IRD computer
information data bank was to be used by other S t a t e agencies a s w e l l as
the S t a t e Land Department.
A November 26, 1979, letter* t o the S t a t e Automation Director from the
S t a t e Land Department:
" The Arizona S t a t e Land Department Information
Resources Division is required t o provide a computer
information data bank o f n a t u r a l resources which can be
used by various divisions within the Department,
including the f i e l d o f f i c e s .
The benefits of t h i s system f o r t h e Department and
others are a s follows : . . .
5) Other agencies are preparing to access the system
for information such as the Game and Fish
Department, graphical analysis of the Kaibab
National Forest for data overlays o f animal
locations i n a form of UTM coordinates, deer
d e n s i t i e s , elevation zones, vegetation types.
Parks and Recreation want a geographical data base
of the parks, vegetation types, t r a i l s . Water
Commission has proposed a geographical mappina;
data base f o r the flood early warning system which
w i l l a l s o be used by Emergency Services. A recent
request by the Governor t o support the inventory
and mapping needs of the Arizona Natural Heritage
Program." ( Emphasis added)
* Appendix X I 1 1 contains the f u l l t e x t of t h i s letter.
The S t a t e Land Department 1980- 81 budget request:
"... to continue development of a centralized management
information system f o r c o l l e c t i n g and disseminating
information concerning the land, water and n a t u r a l
resources o f Arizona. Key components are the
development and use o f standards i n terminology and
format, t h e r e l a t i o n s h i p of land and resource data t o
accurate geographical l o c a t i o n , e f f i c i e n t u t i l i z a t i o n
of the l a t e s t applicable technologies and the timely
a v a i l a b i l i t y of information t o the public and the S t a t e
of Arizona and its agencies. ( Emphasis added)
The c e n t r a l processing u n i t is required to run a l l
computer operations. The resource information system
produces data files for the benefit of land, water, and
natural resources programs of the Arizona S t a t e Land
Department and other state agencies." ( Emphasis added)
In addition, the goals adopted by the Arizona S t a t e Land Department a s of
January 1980 include, within the IRD, a goal t o :
"... develop n a t u r a l resource information system for the
Arizona S t a t e Land Department and other physical
resource oriented state agencies." ( Emphasis added)
In a memorandum dated February 20, 1980," the Legislative Council reviewed
and i n t e r p r e t e d the ARIS system parameters as expressed i n S t a t e l a w :
" 1. T i t l e 37, chapter 1.2, Arizona Revised S t a t u t e s ,
requires that the resources division develop an
information data bank f o r t h e s t a t e land
department that other p o l i t i c a l subdivisions of
t h i s s t a t e may use.
2. Arizona Revised S t a t u t e s section 37- 173 requires
t h a t the e n t i r e information data bank be
computerized. "
* Appendix X I 1 contains the complete t e x t of t h i s memorandum.
48
In a related memorandum from the Legislative Council dated March 4, 1980, *
the d e f i n i t i o n of a p o l i t i c a l subdivision was provided and the exclusion
of State agencies from those named as possible l i a i s o n users was discussed:
" l ( a ) . ' P o l i t i c a l subdivision' means a subdivision of
the s t a t e which is defined by geographical
boundaries s e t by p o l i t i c a l authority and having
a separate p o l i t i c a l organization.
l ( b ) . It is not clear whether the l e g i s l a t u r e did not
include s t a t e agencies i n section 37- 174,
Arizona Revised S t a t u t e s , because it intended t o
e x p l i c i t l y exclude s t a t e agencies or because it
deemed t h a t there already was an inherent
implied power to form l i a i s o n relationships with
other s t a t e agencies.
2. The information resources division does not have
authority t o develop a computer composited
information data bank which includes data for - - - - - the use of other s t a t e agencies or which is
designed t o meet t h e i r needs, except if such
data overlaps with d a t a r e l e v a n t to the needs of
the s t a t e land department." ( Emphasis added)
Therefore, according to the Legislative Council, the development of data
bank f i l e s s p e c i f i c a l l y f o r the needs of agencies other than t h e S t a t e
Land Department would not be within the parameters of S t a t e law unless
such data f i l e s a r e a l s o relevant to the Land Department.
Further, the Legislative Council suggested c l a r i f i c a t i o n of the law, i f it
is intended t h a t the data bank include information useful t o S t a t e
agencies other than the S t a t e Land Department:
* Appendix XIV contains the complete t e x t of t h i s memorandum.
4 9
" Since an administrator ( who) may otherwise be
subjected to an i n f i n i t e v a r i e t y of issues is seeking
t o draw a l i n e between unauthorized r e l a t i o n s h i p s on
one hand and merely inappropriately directed ones on
the other, if the l e g i s l a t u r e i n t e n d s t h e d a t a bank t o
include information useful to s t a t e agencies other than
the s t a t e land department, Arizona Revised S t a t u t e s
section 37- 173 should be amended. The s t a t u t e should
expressly s t a t e the types of additional information
which may be c o l l e c t e d , the s p e c i f i c needs of other
i d e n t i f i e d s t a t e agencies for which data may be
collected and the f i n a n c i a l or other arrangements which
would apply to such a l i a i s o n .
The s t a t u t e should a l s o be amended t o s t a t e the
p r i o r i t i e s for information to be collected by the
resources division. The e x i s t i n g s t a t u t e provides no
guideline for t h e r e s o l u t i o n of competing information
demands nor method f o r a l l o c a t i n g services among
competing c l i e n t s . "
CONCLUSION
Legislative i n t e n t with regard t o the scope of IRD services is not c l e a r .
Legislation is needed to c l a r i f y whether or not IRD should provide an
information data bank t o other S t a t e agencies a s well a s the S t a t e Land
Department.
RECOMMENDATION
It is recommended t h a t consideration be given t o the following:
The Legislature amend A. R. S. 37- 173 i f it is determined the
development of a computerized data bank should be continued. The
s t a t u t e should expressly s t a t e the types of additional information
which may be collected, t h e s p e c i f i c needs of other i d e n t i f i e d S t a t e
agencies for which data may be c o l l e c t e d , and t h e f i n a n c i a l o r o t h e r
arrangements which would apply t o such a l i a i s o n .
OTHER PERTINENT INFORMATION
PRODUCTION AND USE OF ORTHOPHOTOQUADS
An orthophotoquad is a high- altitude photograph t h a t is geographically
accurate and consistent with the U. S. Geological Survey ( USGS) 1: 24,000*
scale topographic** map. The production of orthophotoquads i n Arizona is
the r e s u l t of a Federal- State cooperative agreement t o apply remote
sensing technology. Orthophotoquads have been used extensively by
Federal, S t a t e , l o c a l and p r i v a t e land- use management e n t i t i e s within
Arizona.
Production of Orthophotoquads
During the late 1960s and early 1970s, several f a c t o r s influenced the
production of orthophotoquads i n Arizona. These f a c t o r s included the: 1)
need for a Statewide cartographics** base document, 2) willingness of
Federal and S t a t e o f f i c i a l s within Arizona to experiment with
high- altitude photography a s a data source, and 3) National Aeronautics
@ and Space Administration's ( NASA) goal to apply remote sensing techniques
t o operational uses i n S t a t e agencies.
In the early 1970s USGS had not completed topographic maps f o r
Arizona.**** This type of base map is commonly used f o r land management.
USGS production of orthophotoquads would r e s u l t i n a cartographic base at
a fraction of the time and cost of field- surveyed and hand- drawn maps.
Therefore, USGS was amenable to orthophotoquad production.
* Scale is one inch equaling 24,000 feet of land measurement. ** According t o Websterts New Collegiate Dictionary, 1975, topographic
is defined as " of, r e l a t i n g t o or concerned with the a r t or p r a c t i c e
o f graphic d e l i n e a t i o n , u s u a l l y on maps or charts of natural and
man- made f e a t u r e s , of a place or region especially i n a way t o show
t h e i r r e l a t i v e positions and elevation." *** According t o Websterts New Collegiate Dictionary, 1975, cartographic
is defined a s r e l a t i n g to " the science or a r t of making maps."
**** USGS at the time was l e s s than h a l f f i n i s h e d with the Statewide
topographic series of maps, and estimated f i n a l completion would
take ten years or more. A s of February 20, 1980, USGS had not
completed t h i s s e r i e s .
Several S t a t e agencies, p a r t i c u l a r l y w h a t was then the Arizona Highway
Department, were i n t e r e s t e d i n p o s s i b l e a p p l i c a t i o n s of remote sensing
technology to t h e i r operations. NASA also was i n t e r e s t e d i n demonstrating
the use of high- altitude remote sensing technology a s a forerunner t o
applications of space s a t e l l i t e data.
These i n t e r e s t s culminated i n 1972 i n the establishment of the Arizona
Land- Use Experiment ( ALUE) which was a three- party agreement among the
U. S. Department of I n t e r i o r , NASA and the S t a t e of Arizona.
Objectives of the agreement were :
1. Acquire high- altitude photography for a cartographic and thematic
data base of t h e S t a t e of Arizona for experimental analyses by
S t a t e agencies,
2. Reduce, analyze and annotate t h e s e d a t a for comprehensive land
use analyses t h a t a r e d i r e c t l y r e l a t e d to management
r e s p o n s i b i l i t i e s of the S t a t e of Arizona and of the Department of
I n t e r i o r within Arizona,
3. Incorporate the land use information i n t o ongoing and new S t a t e
agency programs,
4. Document s o c i a l and economic benefits obtained through use of
these data sources,
5. Prepare a manual that can be used by other s t a t e s i n applying
remote sensing methods i n the solution of management problems, and
6. Provide a plan for future requirements for updating land- use
information using data acquired from s p a c e c r a f t , h i g h - a l t i t u d e
a i r c r a f t , low- altitude a i r c r a f t and ground surveys.
The agreement included provisions f o r the production and use of
orthophotoquads and other remote sensor data, and also required t h a t plans
be established for future use of the data i n Arizona and other s t a t e s .
Under the agreement, the U. S. Department of I n t e r i o r would produce 50
orthophotoquads for experimental purposes at no cost t o the State. In May
1972, the S t a t e Legislature approved $ 200,000 for purchase of half the
orthophotoquads necessary t o record the topography of Arizona. This sum
plus an additional $ 200,000 included i n the f i s c a l year 1974- 75 A R I S
appropriation were used to purchase a complete set of orthophotoquad
negatives* and to produce positive p r i n t s f o r s a l e by ARIS, now the
Information Resource Division o f the S t a t e Land Department. Cost of
reproduction as of February 1980 was $ 9.50 per p r i n t ; the Information
Resources Division charges $ 12.50 per p r i n t provided t o all users,
including other S t a t e agencies. Sales of orthophotoquads are summarized
i n Table 4.
TABLE 4
SALES OF ORTHOPHOTOQUADS
FISCAL YEARS 1974- 75 THROUGH 1978- 79
F i s c a l Year
1974- 75 1975- 76 1976- 77 1977- 78 1978- 79
Dollar s a l e s during the
f i s c a l year $ 23,725 $ 29,096 $ 15,062 $ 21,150 $ 45,925
Sale price per orthophotoquad $ 6.50 $ 8.50 $ 8.50 $ 12.50 $ 12.50
Number of orthophotoquads
sold 3,650 3,423 1,772 1,692 3,674**
Use of Orthophotoquads
@ In 1977, a private consultant to NASA Ames Research Center published a
report e n t i t l e d Benefit and Impact o f t h e Arizona Land- Use Experiment. In
Table 5 the primary users of orthophotoquads are l i s t e d a s w e l l as the
applications of these photographs.
* The topography of the Grand Canyon is so severe t h a t accurate
t e c h n i c a l c o r r e c t i o n s of the orthophotoquads cannot be accomplished.
Therefore, the Grand Canyon is not included i n the complete s e t .
** The University of Arizona purchased a complete set ( 1,474
orthophotoquads) i n June 1979.
TABLE 5
Users
Private Sector
Federal Government
S t a t e Government
Local Government
Universities
Individuals
Total
PRIMARY USERS AND THEIR APPLICATIONS
OF ARIZONA ORTHOPHOTOQUADS
Percent*
0 f
Orders Applications
Base Map
Development Planning
Ground Features
Vegetation/ Geology
Land Development
S i t e Locations
Mining
Survey
Total
Percent
0 f
Usage
Also l i s t e d i n the consultant's report were applications by Arizona S t a t e
governmental agencies. Table 6 summarizes t h e s e a p p l i c a t i o n s .
* The percentages were based on a l l purchases of orthophotoquads during
a limited period of t i m e .
TABLE 6
APPLICATIONS OF ORTHOPHOTOQUADS BY
ARIZONA STATE AGENCIES AS OF JANUARY 1977
Agency Applications
Arizona Department of Transportation Used i n a project to accurately
i d e n t i f y roads i n Arizona. Also
used i n the planning of new roads
and highways.
Arizona S t a t e Land Department
Arizona Department of Revenue
Arizona Office o f Economic
Planning and Development
Arizona Water Commission
Arizona O i l & Gas Conservation
Commission/ Arizona Solar Energy
Research Commission
Generally used t o i d e n t i f y land
use; also used i n one project done
with the Univerisity of Arizona t o
produce a map of geothermal
reservoirs i n southern Arizona.
Generally used t o identify land
use for assessment purposes. This
use diminishes as the
orthophotoquads become older.
Used i n review of the p o t e n t i a l
environmental impact of land- use
changes or i n d u s t r i a l development.
Used t o generate information
regarding flood assessment and
control, and water a v a i l a b i l i t y .
Used t o l o c a t e areas of p o t e n t i a l
energy production.
Through interviews with users of the orthophotoquads and r e l a t e d imagery,
the consultant i d e n t i f i e d the following shortcomings:
1. The user did not have enough trained people to f u l l y u t i l i z e the
information, or the user did not have s u f f i c i e n t time t o convert
operations to use the new technology,
2. The time required to obtain the imagery from the Earth Resources
Observation System ( EROS) Data Center was too slow for
operational use,
3. Some of the photographic images were of poor q u a l i t y , and
4. The information was becoming outdated because of land- use changes
s i n c e t h e photographs were taken. Additionally, the consultant
surveyed several e n t i t i e s t h a t seemingly could use
orthophotoquads, but had not done s o , discovering t h a t lack of
knowledge about the orthophotoquads was the most frequent reason
for nonuse.
DEFINITIONS OF A GEOGRAPHIC OR
NATURAL RESOURCES INFORMATION
SYSTEM AND REMOTE SENSING
A geographic or natural resources information system is an information
system* which c o n t a i n s d a t a about the physical environment and its natural
resources.
A s defined i n Geographic Information Systems, Methods and Equipment for
Land Use, 1977, published by the I n t e r n a t i o n a l Geographic Union, natural
resources data includes a means to i d e n t i f y the exact location of a
s p e c i f i c natural resource, such as a f o r e s t or lake:
* An information system is a closed loop of steps t h a t includes: 1) the
observation or gathering of data, 2) data handling to convert data so
it can be analyzed i n 3) d a t a a n a l y s i s models and the r e s u l t s used
i n 4) a decision- making process.
" Data descriptive of the various natural and c u l t u r a l
aspects of the e a r t h ' s surface frequently have a
s p a t i a l component. That is t o say, data describing
objects, e n t i t i e s or conditions incorporate some
i d e n t i f i e r t h a t prescribes where they are... They are
linked to ( a ) place by a location i d e n t i f i e r such as
the coordinates of l a t i t u d e and longitude, the
i d e n t i f i e r of a grid c a l l , or the name of an
administrative area." ( Emphasis added)
The t r a d i t i o n a l method, explained i n t h i s publication, of linking a
natural resource to its geographic location is through the use of a map:
" Many ( such) s p a t i a l data have t h e i r location
i d e n t i f i e d simply by being plotted on a map. The map
i t s e l f is a framework of l a t i t u d e and longitude
coordinates, and t h e p o s i t i o n of the items i n space is
defined by t h e i r positions on the map within t h a t
coordinate framework."
A geographic or natural resource information system can be e i t h e r manual
or computer- aided. If such data is t r a n s f e r r e d from a map t o a magnetic
tape or disk on a computer, it is eventually converted t o a location
i d e n t i f i e r code t o f a c i l i t a t e computer analysis. Products from such a
system should be documents ( e i t h e r tabular or graphic) t h a t are usable f o r
decision- making, e i t h e r i n land- use planning or other r e s p o n s i b i l i t i e s
concerned with natural resource management. For example, an information
system supporting urban growth management would include, among other
items, the following data:
1) land currently i n urban use,
2 ) land capable of supporting urban development, and
3) land with a high capability f o r a g r i c u l t u r e .
I f data for several years were available i n these categories concerning a
p a r t i c u l a r region, changes i n land use and the s u i t a b i l i t y f o r f u t u r e
urbanization or prime a g r i c u l t u r a l development could be analyzed.
I) Products of such a system could include:
1) tabulations of the amount of land and its use,
2) maps of a c t u a l use over the years, and
3) maps of urban and a g r i c u l t u r a l lands best s u i t e d f o r future
development.
Data for such systems can be acquired through two sources:
1 ) independent i d e n t i f i c a t i o n and collection of data, or
2) acquisition and combination of data collected by other agencies.
Considerations i n choosing which data source t o use include:
1) a c c e s s i b i l i t y of data,
2) funds available f o r data gathering,
3) r e l i a b i l i t y and accuracy of data,
4 l e v e l of d e t a i l and s p e c i f i c i t y ,
5) completeness and extent of geographic coverage,
6 ) timeliness of the data being acquired, and
7 ) frequency f o r updating the data.
The sources of data independently i d e n t i f i e d and collected include: 1)
ground surveys of resources through f i e l d inspections or observations,
and 2) a e r i a l photography or remote sensing.
The purpose of ground surveys is to record data about the location of
resources on the e a r t h ' s surface. These locations are established by
t a k i n g m u l t i p l e random or regular measurements and samples of the resource
being recorded. F l a t geographic representations of the curved surface of
the earth ( maps) which portray the location of the resource are produced
through mathematics.
The major difference between the use of ground surveys and a e r i a l
photography or remote sensing is t h a t , unlike ground surveys,
r e l a t i o n s h i p s are observed through photographs and only a few ground
observations are needed f o r v e r i f i c a t i o n .
Three sources e x i s t f o r a e r i a l photographs or remote sensing:
1) commercial contractors, 2) various governmental agencies, and
3) s a t e l l i t e imagery.
When acquiring a e r i a l photography by c o n t r a c t , c o s t s of the data vary
according to type of aircraft and photographic equipment used, while
accuracy of the data v a r i e s according to equipment, f i l m and the a l t i t u d e
from which the photographs are taken.
When acquiring e x i s t i n g a e r i a l photographs from governmental agencies
( primarily USGS, NASA and the U. S. Department of Agriculture), t h e c o s t s
of the data are limited to reproduction and handling c o s t s , while the
accuracy is determined by a i r c r a f t a l t i t u d e , cameras and type of film used.
The major source of s a t e l l i t e photographs ( or images) is Landsat e a r t h
orbiting s a t e l l i t e s which transmit a constant stream of information about
the earth to ground- based receiving s t a t i o n s .
According to A L e g i s l a t o r ' s Guide t o Landsat, published by the National
Conference of S t a t e Legislatures, Landsat operates through the use of
remote sensor systems:
" Landsat o r b i t s the earth 14 times each day at an
a l t i t u d e of about 560 miles. Each s a t e l l i t e returns t o
the same o r b i t every 18 days recording the same series
of images. There are two sensor systems on
board. ..( one) which is basically a t e l e v i s i o n sensor,
and ( another) which records differences i n sun
reflectance from earth- surface features." a
After recording the images through sensors the Landsat s a t e l l i t e transmits
them to earth. According t o the guide published by the National
Conference of S t a t e Legislatures:
"... intensity l e v e l s are converted i n t o d i g i t a l form
and are transmitted back t o ground receiving s t a t i o n s
on earth. Data for any part of the United S t a t e s are
transmitted to one of three U. S. receiving s t a t i o n s .
There are seven others a t present throughout the world,
with several more being planned.
" From t h e r e c e i v i n g s t a t i o n s the data is relayed to the
Master Data Processing F a c i l i t y at Goddard Space F l i g h t
Center i n Greenbelt, Maryland, where it is stored on
computer- compatible tapes ( CCTs). The data can be
converted from the tape format i n t o photograph- like
images i n black and white or color. Reproducible
negatives and computer tapes are then sent to the Earth
Resources Observation System ( EROS) Data Center i n
Sioux F a l l s , South Dakota, f o r storage and
distribution."
Landsat now consists of three s a t e l l i t e s launched during the 1970s as
described i n A L e g i s l a t o r ' s Guide t o Landsat:
" The f i r s t Landsat ( then called ERTS- 1) was launched by
the National Aeronautics and Space Administration
( NASA) i n July 1972. Its purpose was to demonstrate
the value of continuous, worldwide d a t a gathering from
an o r b i t a l platform. Landsat- 2 was launched i n
January, 1975, and its o r b i t was synchronized with t h a t
of Landsat- 1 so t h a t together, cloud cover permitting,
they could provide almost complete global coverage
every nine days. Landsat- 1 , with an expected
' life- span1 of one year, functioned u n t i l January,
1978. A t h i r d s a t e l l i t e , Landsat- 3, was put i n t o o r b i t
March 5, 1978, s o t h a t once again nine- day i n t e r v a l
coverage was achieved."
Additional Landsat satellites are expected t o be operational f o r remote
sensing i n early 1982.
Products of the Landsat images a r e e i t h e r a e r i a l photographs or computer
tapes of the images i n d i g i t a l form. Procedures for i n t e r p r e t a t i o n of the
photographs are almost i d e n t i c a l to those used i n i n t e r p r e t i n g photographs
from conventional a i r c r a f t . I n t e r p r e t a t i o n of Landsat computer tapes is
more complex, but can yield more detailed information.
Whether to obtain photographs from subspace a i r c r a f t or s a t e l l i t e s is
dependent upon the use for the data and the r e s u l t i n g l e v e l of accuracy
( or ground resolution) needed.
Table 7 contains examples of sources for a e r i a l photographs and remotely
sensed images, the ground resolution produced, the c a p a b i l i t i e s of
i d e n t i f i c a t i o n with each source and applications f o r natural resource
management.
TABLE 7
EXAMPLES* OF SOURCES FOR AERIAL PHOTOGRAPHS AND
REMOTELY SENSED IMAGES, GROUND RESOLUTION PRODUCED,
IDENTIFICATION CAPABILITIES AND APPLICATIONS
Sample and
I d e n t i f i c a t i o n Sample
Source Resolution C a p a b i l i t i e s Applications
Low- altitude D i r t roads, Urban land use
a e r i a l photography 1 - 10 f e e t individual trees,
very small objects
Medium- altitude 10 - 20 f e e t Paved roads, Regional land cover
a e r i a l photography stands of trees,
s t r u c t u r e s
High- altitude 20 - 50 f e e t Major roads, Regional land cover
a e r i a l photography vegetation associa-t
i o n s , l a r g e stands
of t r e e s , l a r g e
s t r u c t u r e s
Future Landsat 100 f e e t S t a t e highways, Regional land cover
s a t e l l i t e vegetation associa-t
i o n s , l a r g e stands
of trees, very large
s t r u c t u r e s
Current Landsat 260 f e e t I n t e r s t a t e highways, Regional land cover
s a t e l l i t e s vegetation zones,
f o r e s t e d a r e a , crop
types, urbanized Resource inventory &
areas planning
* Source: Paul Tessar, Project Director, Remote Sensing Project, NCSL.
6 1
Bruce Babbitt
Governor
1624 WEST ADAMS
PHOENIX. ARIZONA 85007
Joe T. Pallini
Comissioner
March 27, 1980
Mr. Douglas R. Norton
Auditor General
112 North Central, Suite 600
Phoenix, Arizona 85004
Dear Mr. Norton:
Enclosed is our written comments on the draft report of
the performance audit of the Arizona Resources Information
System which was received in this office on March 21, 1980.
Some revisions of the draft report were made as a result
of our discussion on March 25, 1980. In the short time
available to respond, we are not able to submit detailed
comments. We have however made the attached comments in
the time frame available.
Sincerely,
1' Commissioner
i
JTF: lr
Enclosure
March 27, 1980
STATE LAND DEPARTMENT COMMENTS ON DRAFT REPORT
OF THE AUDITOR GENERAL, ENTITLED:
" A PERFORMANCE AUDIT OF THE ARIZONA RESOURCES INFORMATION SYSTEM"
We have had inadequate time to respond in detail to the Auditor General's
report on the Performance Audit of the Arizona Resources Information System.
In the limited time available, the following are our comments:
1. Comments on " introduction and Background"
Page 4 - The report appears to adequately summarize the history of
the ARIS program from 1971 to the present.
2. Comments on Finding I
Page 12 - The State Land Department agrees with this finding which states
that prior to 1978, the ARIS program had an unclear purpose, both from a
legislative and administrative standpoint, and planning appears to have
been inadequate. Since 1978, we believe progress has been made in clarifying
the statutory role of ARIS. The law enacted in 1978 ( A. R. S. 37- 173, May 18, 1978)
defined, for the f i r s t time, the duties of ARIS which were, in short, ( 1) to
" Provide an information data bank for the State Land Department" and ( 2) to
" coordinate the activities of state government agencies and state political sub-divisions"
in the use of the earth resources s a t e l l i t e program. This l a t t e r role
includes the authority to act as " liaison" with political subdivisions for the
purpose of collecting, compiling, processing and making available resources
information.
We are aware of the varying interpretations of the meaning of this statute.
The Land Department is of the opinion that the legislation establishes a primary
role for ARIS in supporting land use decision making ( from both a mapping and
data standpoint within the Department and to other users to the extent the
capabi 1 i ty and need exists. To this end, i t has been, and wi 11 continue
to be, a very useful management tool, albeit i t has not
< Page 2.
been used to i t s ful lest capabi 1 i ty. The Audi tor General apparently be1 i eves
the broader natural resource data coordinating role should be the predominant
role for the ARIS program. We believe this is the issue that needs clarifi-cation
in the statute and that a users needs study and more detailed planning
are necessary prior to such a legislative change.
We do not agree with the statement made in the finding and in the body
of the chapter that the sophisticated ARIS equipment acquired over the years
" performs only rudimentary record- keeping tasks. The ARIS system provides
an extensive photographic mapping capability that has been used extensively
in decisions regarding the leasing, sale and exchange of state lands and in the
management and surveillance of the 9.6 million acres of trust land under the
jurisdiction of the State Land Department. In recent months several
important uses of the computer capability of ARIS have been developed and
are in varying stages of completion. These include a computerized fire
management system, agriculture lease auditing system, an innovative forest
management system, and a capability to computerize information produced from
the range surveys, - establishing for the f i r s t time a current data base
on carrying capacity , range condi tions , vegetation and other range resource
information. A more detailed discussion of these and other proposed uses of
the system is contained in Appendix VII of the report.
Considering the small field staff of the Department, i t is essential
that modern computer and mapping techniques be employed to assist in
management. On the ground survey capability is severely limited and the
" eyes" of the ARIS program, i f properly used, can be useful i n offsetting
the shortage in f i e l d s t a f f . We believe that the report's description of
the tasks of ARIS as " rudimentary record keeping" i s misleading and incorrect
and demonstrates a lack of understanding of the importance of the ARIS in
managing the trust land resources.
Page 3.
3. Comments on Finding 11:
Page 30 - The accounting section of the Land Department has re-viewed
many of the IRD data processing claims and does agree that some
errors have unintentionally been made in the classification of the claims.
However, because of the technical terminology used, in some cases i t i s
d i f f i c u l t to ascertain exactly what the data processing charge was for,
as evidenced by the fact that Accounts and Controls did not return any
encumbranceses or claims to the Department for clarification or correc-tion
of the object code. I t also has been the practice of the Accounting
Section to contact Accounts and Controls in the Department of Administra-tion
in the past for assistance, a1 though i t was not done in these
i ns tances .
Past reviews of the Land Department's accounting procedures by the
D
Auditor General have stated, as appears in the one completed in December 1978,
that " In our opinion, the financial statements referred to above, other than
the financial statement of the General Fixed Assets group of accounts, present
f a i r l y the financial position of the various funds and account groups of the State
of Arizona Land Department a t December 31, 1978 and the results of operation of such
funds for the 18 months then ended, in conformity w i t h generally accepted account-ing
principles applied on a basis consistent w i t h that of the preceding year."
We believe i t would be inappropriate to comment on the accuracy of the re-port
as i t pertains to expenditures of funds prior to May, 1979. However, we are
of the opinion t h a t l e g i s l a t i v e appropriations for ARIS since May 1979 have
been expended in accordance with legislative direction. Furthermore, we do not
agree that such expenditures have resulted in violations of s t a t e laws and
fiduciary responsibilities.
The errors made in t