Colorado IT office lays off 170 staff, names new CIO

The Colorado Governor’s Office of Information Technology on Wednesday announced an organizational restructuring that included the elimination of 173 employees, the installation of a new chief information officer and a transition to a new operating model.

In a news release, OIT said it was responsible for the technology Coloradans depend on to access government services, “and for several years has not delivered well enough on that responsibility.” David Edinger, the state’s CIO and executive director of OIT, will step down and be replaced by Sarah Tuneberg, the technology bureau’s deputy executive director for digital and delivery. Tuneberg officially begins as CIO on June 1, and Edinger will reportedly stay on to support the transition, with his last day slated for June 11.

A statement posted on the office’s website explains that despite “the hard work of our people, OIT has struggled to deliver modern, responsive technology services state agencies and Coloradans need. As the state’s statutorily-designated technology authority, OIT is responsible for the technology Coloradans depend on to access government services, and has not been structured to deliver well enough against that responsibility. Rather than continuing to ask employees to succeed in an overly-complex and burdensome operating structure, OIT leadership made the decision to fundamentally change how we operate.”

The technology office published a 16-page document outlining the causes for the reset and the expected outcomes of the sweeping changes. Some of OIT’s issues included relying on manual processes instead of modern automation, the accumulation of technical debt and governance processes that were so cumbersome that state agencies were apparently bypassing OIT when attempting to solve their own issues.

The agency cited deeper structural and cultural problems, including over-engineered controls, unclear accountability, outdated funding and procurement models and a “risk averse” culture focused more on compliance and project management than delivering effective digital services for Coloradans.

The office’s news release said these changes will also include a shift to a “human-centered” product delivery model that pairs OIT’s technology teams with state agencies, emulating models like those found at Amazon, Google, Microsoft and the U.S. Digital Service.

Edinger has served as state CIO since 2023. (He also previously served as the CIO of the City and County of Denver.) He told StateScoop after joining the state that he would place people and processes over technology. While OIT has reported that the restructuring has been ongoing since February, Edinger this week said that he couldn’t achieve its objectives without a fundamental reorganization.

“I reached the difficult but necessary conclusion that the way OIT has been operating will not get us to where we need to be,” Edinger said in a news release Wednesday. “We are fundamentally changing how we operate, and that shift requires a restructure of our workforce. This is a reflection of our new strategic direction, not the talent or commitment of those affected by the layoff.”

In announcing Edinger’s departure, Colorado Gov. Jared Polis praised his work, including his efforts to expand the state’s broadband infrastructure, advance technology accessibility standards for public entities across Colorado and kick off OIT’s large-scale realignment.

Polis said he was excited to see what Tuneberg will accomplish in the role. Last year, the governor released a two-year operational agenda detailing how resources will be directed toward state departments to provide better digital service delivery for residents, among other priorities.

When she was named as digital services director in September 2024, Tuneberg told this publication how issues like like slow processing times for benefits applications represent an opportunity for the state. The month prior, the Colorado Sun had reported on the state having some of the slowest processing times for benefits applications in the country, in some cases leading to families missing months of benefits from the federal Supplemental Nutrition Assistance Program.

“This is a heavy day at OIT as we say goodbye to many of our colleagues,” Tuneberg said in Wednesday’s news release. “It’s bittersweet because, at the same time, OIT is taking an important step forward. This next chapter is about genuine transformation, not just a refresh. We’re rebuilding how OIT works from the ground up, around delivery, around outcomes, in service to Coloradans. Our focus will be on ensuring the services Coloradans rely on — SNAP benefits, unemployment insurance, driver license renewals — are not only available online but also simple and easy to access. It is an honor to have the opportunity to lead this work.”