Act on the Information Technology Schaffhausen (ITSH Act, ITSHG) (ITSH-Gesetz, ITSHG) - Legal Form (ITSHG)

1. Under the name "Informatik Schaffhausen" (ITSH), there exists a dependent public-law institution of the canton for the provision of services in the field of information technology.

2. ITSH maintains its own accounts and has the capacity to be a party in legal proceedings.

1. Purpose of ITSH: The purpose of ITSH is to provide the necessary IT services for the canton, the cantonal municipalities, and other public law institutions within the canton of Schaffhausen at a market-appropriate price/performance ratio while ensuring security. ITSH is not profit-oriented.

2. ITSH shall operate as a company that is competitive, economically efficient, and customer-oriented in its service provision. Furthermore, it shall tailor IT services in the canton to the needs of the cantonal administration and municipalities, supporting them as a business partner with marketable products and services.

3. ITSH may conduct all legal transactions that serve the fulfillment of its purpose, particularly entering into cooperations and undertaking IT procurements.

1. ITSH provides IT services to third parties at prices that cover at least the costs, provided that the provision of these services does not result in financial disadvantages for the canton and does not impair the services to be provided for the canton.

1. The Cantonal Council exercises supreme supervision. It is specifically vested with the following powers

a) Establishment of political objectives

b) Approval of the budget

c) Approval of the annual financial statement and annual report

d) Acknowledgment of the owner's strategy

1. The Government Council exercises supervision. It has the following tasks and powers

a) Election and dismissal of the President as well as the other members of the Management Commission

b) Election and dismissal of the IT Commission

c) Election of the audit authority

d) Hiring of the Chief Executive Officer

e) Approval of budgets, annual reports, and annual accounts

f) Approval of the owner’s strategy

g) Acknowledgment of the business strategy and management principles

h) Approval of real estate transactions and participations within the framework of the purpose

i) Approval of the compensation regulations for the Management Commission

j) Setting a limit for the fluctuation reserve

1. The bodies of the ITSH are

a) the Management Commission

b) the IT Commission

c) the Executive Board

d) the Audit Department

1. The Administrative Commission is elected for a term of four years and consists of five members: the President and four additional members who are distinguished by special professional qualifications. Re-election is possible.

1. The Management Commission is the supreme governing body of the ITSH. It is responsible for the strategic management of the ITSH and has the following tasks

1. On behalf of the Government Council

a) Adoption of the owner’s strategy

b) Adoption of the budget, annual financial statements, and the annual report

c) Proposal for the appointment of the managing director

2. In its own authority

d) Determination of the corporate strategy and corporate objectives

e) Establishment of management principles

f) Determination of accounting standards

g) Constitution and determination of the organization's own structure

h) Hiring of the management team members

i) Controlling and overseeing corporate management

j) Appointment of the Security Board

k) Approval of the IT service catalog

l) Resolution on new expenditures up to CHF 75,000.00 and recurring expenditures up to CHF 15,000.00

m) Approval of awards when the threshold for open bidding is reached

n) Resolution on new one-time or new recurring expenditures in connection with binding customer orders secured via performance agreements with an order value of more than CHF 500,000.00, when the expenditures are covered by revenues

o) Acknowledgment of performance agreements with customers (SLA)

p) Issuance of business and accounting regulations

1. The Administrative Commission meets regularly and as often as the business requires.

2. The Administrative Commission is quorate when the majority of the members are present. The Managing Director usually attends the meeting in an advisory capacity and generally has the right to submit motions.

3. The Administrative Commission may call upon additional experts as needed.

4. The Administrative Commission may delegate matters of minor importance to individual members or to management.

5. The details are governed by the internal regulations.

1. The Administrative Commission regularly informs the Government Council, particularly about significant occurrences and developments in the business operations.

1. The IT Commission consists of the member of the government council responsible for information technology as President, a representative of the cantonal administration, and representatives of the cantonal municipalities or other significant clients.

2. The Managing Director leads the meetings. They, along with another representative of the ITSH, are members of the IT Commission by virtue of their office.

3. Members are elected for a term of four years, as long as they do not belong to the IT Commission by virtue of their office.

4. The IT Commission can call upon additional experts or customer representatives.

5. The IT Commission meets upon the invitation of the President as often as business requires, but at least twice a year.

6. The IT Commission has a general right to make proposals to the Administrative Commission.

1. The IT Commission strives to promote, procure uniformly, and standardize as much as possible the IT services in the canton and the cantonal municipalities, particularly through the joint determination of IT standard and basic services for the canton and the cantonal municipalities.

2. In defining the IT standard services, a use that is as widespread as possible among all ordering parties in line with the IT architecture and IT security should be pursued. The IT standard services are incorporated into the IT service catalog.

3. The IT Commission determines joint projects, particularly innovation, digitization, and e-government projects, and their financing within the framework of the credits approved by the ordering parties.

4. The IT Commission represents the interests of the customers vis-à-vis ITSH, reviews the calculation principle of the standard services and the hourly rates, and ensures an exchange between the ordering parties and ITSH.

1. The management consists of the Managing Director as Chairperson and at least two additional members.

2. The details of the management are governed by the rules of procedure.

1. The management is responsible for the operational management of ITSH and prepares the budget and annual accounts. It possesses all the powers not expressly assigned to another body by law. The administrative commission is regularly informed.

2. The management ensures, in particular, the proper processing of service agreements and the economical use of financial resources.

3. The management decides on new expenditures up to CHF 50,000.00 and recurring expenditures up to CHF 10,000.00, as well as on budget credits.

4. The management undertakes procurements as long as the threshold for an open tender is not reached.

5. The management decides on new one-time or new recurring expenditures related to binding customer orders secured through service agreements with an order value of up to CHF 500,000.00, when the expenditures are covered by revenues.

6. The management hires the personnel of ITSH.

7. Further tasks, powers, and delegations are regulated in the corporate rules.

1. The government council commissions an audit firm approved as an audit expert or a public financial control entity to examine the annual financial statements.

2. The audit authority is elected for four financial years. Its term ends with the acceptance of the last annual financial statement. Re-election is possible. Dismissal is possible at any time and without notice.

3. The audit authority examines whether the accounting and the annual financial statements comply with legal requirements and reports to the management commission as well as to the cantonal authorities.

4. The responsible bodies of the ITSH are obliged to provide the audit authority with all necessary information and to make all necessary documents available.

5. The responsible department has the right to inspect the accounting, minutes, and other documents at any time.

1. The personnel are subject to the cantonal personnel law. Personnel administration is carried out by the cantonal personnel office.

2. Exempted from this are the members of the administrative commission. Their compensation is determined by the government council in a separate regulation.

3. The personnel are insured with the Schaffhausen pension fund.

1. The ITSH is a non-independent public-law institution under cantonal law whose accounting is carried out according to general, accepted standards. The corresponding standard is determined by the Administrative Commission in the accounting regulation.

2. The ITSH is listed under special administrations in the state accounting. It is exempt from the consolidation obligation pursuant to Article 32, paragraph 1 of the Financial Budget Act.

3. The ITSH maintains its own transparent accounting with its own accounts, including asset accounting and cost/performance accounting according to industry-standard commercial principles.

4. The annual accounts, consisting of the income statement, balance sheet, and notes, must be prepared in accordance with the regulations of the prescribed accounting standards.

5. The details are specified in the accounting regulation.

1. The ITSH is financed through loans from the canton.

2. The ITSH charges its services to clients and thereby finances its operations, including the amortization of investments.

1. Any possible profits shall be allocated to a fluctuation reserve to avoid deficit compensations by the canton as the owner.

2. The executive council shall set a limit at which a price adjustment must be mandatorily implemented.

1. The services of the cantonal administration provided to the ITSH, particularly those of the personnel office, the financial administration, and the building department, are generally charged either at full cost or by means of lump-sum payments.

1. Revenue generated from taxable services provided to non-public entities must not exceed the threshold amount for the establishment of tax liability in accordance with the Swiss Federal Act on Value Added Tax of June 12, 2009, per year.

1. The cantonal departments, institutions, and businesses are obligated to procure the IT standard services they require, as well as the acquisition of such services, primarily through the ITSH. The government council decides on any exceptions.

1. The legal relations of ITSH with third parties are generally governed by private law. Reserved are sovereign activities that have been assigned to ITSH by legislation.

1. Liability of ITSH and Responsibility of Its Bodies and Personnel

The liability of ITSH and the responsibility of its bodies and personnel are governed by the provisions of the Law on the Liability of the State and Municipalities as well as Their Authorities' Members and Employees dated September 23, 1985.

1. Directives of the management may be contested before the Administrative Commission. Decisions of the Administrative Commission may be contested before the Government Council.

2. The provisions of the Law on Legal Protection in Administrative Matters of September 20, 1971, are applicable to the proceedings.

1. The acquisition of the municipal share constitutes a universal succession. The existing contract and customer relationships will continue. The service agreements with the municipalities will be maintained.

1. This Act is subject to a referendum.

2. The Council of Government determines the commencement.

3. The Act is to be published in the Official Gazette and included in the cantonal collection of laws.