1 BEFORE THE CALIFORNIA STATE BOARD OF EQUALIZATION 2 450 N STREET 3 SACRAMENTO, CALIFORNIA 4 5 6 7 8 REPORTER'S TRANSCRIPT 9 MAY 22, 2013 10 11 12 13 14 ITEM P 15 OTHER ADMINISTRATIVE MATTERS 16 ITEM P1 17 EXECUTIVE DIRECTOR'S REPORT 18 3. CROS PROJECT UPDATE AND ACTIONS 19 20 21 22 23 24 25 26 27 REPORTED BY: Kathleen Skidgel 28 CSR NO. 9039 1 1 P R E S E N T 2 3 For the Board Jerome E. Horton of Equalization: Chairman 4 5 Michelle Steel Vice-Chairwoman 6 7 Betty T. Yee Member 8 9 George Runner Member 10 11 Marcy Jo Mandel Appearing for John 12 Chiang, State Controller (per Government Code 13 Section 7.9) 14 Joann Richmond 15 Chief, Board Proceedings Division 16 17 For Staff: Eric Steen Director, CROS Project 18 19 ---oOo--- 20 21 22 23 24 25 26 27 28 2 1 450 N STREET 2 SACRAMENTO, CALIFORNIA 3 MAY 22, 2013 4 ---oOo--- 5 MR. HORTON: Okay. Ms. Richmond. 6 MS. RICHMOND: Our next item is P1.3, CROS 7 Project Update and Actions. 8 MR. HORTON: Mr. Eric Steen, welcome to the 9 Board of Equalization. 10 MR. STEEN: Thank you. 11 MR. HORTON: State Board of Equalization. 12 MR. STEEN: State Board of Equalization. 13 MR. HORTON: BOE. 14 MR. STEEN: BOE. 15 MR. HORTON: SBE. 16 MR. STEEN: That, too. 17 MR. HORTON: How are you? 18 MR. STEEN: I'm doing very well, thank you. 19 Honorable Members, Mr. Chairman, Eric 20 Steen, CROS Project Director. 21 It's a privilege to give you a brief update 22 on the CROS Project and answer any questions that 23 you may have. 24 We're moving forward with the RFP, refining 25 it. In fact, we've had General Services on site the 26 last couple weeks, helping us to refine the RFP, and 27 we're hopeful to get it out to the vendor community 28 soon. 3 1 Um, at the last hearing Senator Runner 2 asked a question about our resource -- resource 3 request to support the parallel initiatives. I'm 4 pleased to report that our Executive Director, 5 Cynthia, is behind that -- those requests. And the 6 team is not only growing, but the quality of the 7 team composition is -- is improving and I feel we're 8 heading in the right direction. 9 Um, just a couple of benefits I'd like to 10 highlight regarding the project. Um, we continue to 11 meet our -- our revenue goals as part of the CROS 12 Project and one brief example is we've received an 13 additional million dollars related to cigarette 14 Internet tax and associate use tax as a result of 15 our group's cooperation with PSTD. 16 And another benefit I'd like to highlight 17 is that the data that we are cleansing, um, as part 18 of one of the parallel initiatives has been given to 19 SUTD and they've used that to improve the way we go 20 about selecting audits, performing audit selections. 21 So we're making some great strides. 22 If you -- thus ends my report. If you have 23 any other questions, I would be happy to -- to 24 answer them. 25 MR. HORTON: Discussion? 26 Member Steel? 27 MS. STEEL: I just want to know what 28 percentage has been done? 4 1 MR. STEEN: What percentage. You get me on 2 that every time. 3 MS. STEEL: Just -- just kidding. 4 MR. STEEN: Okay. 5 MR. HORTON: Thank you, Mr. Steen. We 6 will -- we will receive and file. Appreciate it. 7 MR. STEEN: Thank you very much. 8 MS. STEEL: Thank you. 9 ---oOo--- 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 5 1 REPORTER'S CERTIFICATE 2 3 State of California ) 4 ) ss 5 County of Sacramento ) 6 7 I, KATHLEEN SKIDGEL, Hearing Reporter for 8 the California State Board of Equalization certify 9 that on May 22, 2013 I recorded verbatim, in 10 shorthand, to the best of my ability, the 11 proceedings in the above-entitled hearing; that I 12 transcribed the shorthand writing into typewriting; 13 and that the preceding pages 1 through 5 constitute 14 a complete and accurate transcription of the 15 shorthand writing. 16 17 Dated: July 15, 2013 18 19 20 ____________________________ 21 KATHLEEN SKIDGEL, CSR #9039 22 Hearing Reporter 23 24 25 26 27 28 6