VITA contract is six months late, says official

» 33 Comments | Post a Comment

Virginia's computer agency is six months behind schedule in putting in place a $2.3 billion contract with Northrop Grumman for info-tech services.

Leonard M. "Len" Pomata, acting head of the Virginia Information Technologies Agency, disclosed the delay yesterday in the opening of House of Delegates and state Senate inquiries into the controversy engulfing the sprawling department.

Pomata, installed when the previous chief information officer, Lemuel C. "Lem" Stewart Jr., was fired as CIO for questioning a monthly, $14.3 million bill from Northrop Grumman, said it now will be Christmas before the state's new, privately run IT management plan is implemented fully.

The venture, complicated by continuing complaints from agencies about poor, expensive service, is emerging as an election-year challenge for departing Democratic Gov. Timothy M. Kaine and legislators in both parties.

Kaine, who has defended the VITA-Northrop Grumman alliance, said through spokesman Gordon Hickey that he is deferring to the board that oversees the agency to set right the contract. That board is made up of gubernatorial and legislative appointees.

Speaking before a House committee that questioned whether Northrop Grumman is failing to fulfill its obligations under the state's richest-ever privatization pact, Pomata said "service levels, in general, are below expectations."

But when asked why the state had not withheld payments to Northrop Grumman to force improvements, Pomata, who also is Kaine's secretary of technology, said he had not determined how using the power of the purse would affect service.

Senators expressed concern about the cost of the program to taxpayers and asked whether the 10-year contract could be junked. Short of that, they wanted to know what steps could be taken to save money.

Sen. Yvonne B. Miller, D-Norfolk, head of the Senate Finance subcommittee investigating the troubled VITA-Northrop Grumman alliance, said "some bumps in the road" were anticipated, but "problems are bigger than expected."

Northrop Grumman, stepping up its response to a growing business and public-relations challenge, acknowledged difficulties.

They include, the Chantilly-based defense company said, delays in completing an inventory of all state-owned computer equipment -- a first step toward determining what needs to be replaced as well as the cost of upkeep. Northrop Grumman promised to assign more employees to the project.

"Transformation does not take place on a straight line," said Jorman Granger, a Northrop Grumman vice president and lobbyist who has been amassing contacts in Virginia government since serving as a top aide to then-Gov. L. Douglas Wilder nearly 20 years ago.

The company had no immediate comment on whether the price of the contract should be adjusted because of delays -- an idea floated by senators and delegates.

The General Assembly's accountant, the auditor of public accounts, reported to the Senate subcommittee that the state has blocked $13.6 million in payments to Northrop Grumman since 2006 for inadequate service. The company since has been paid about $5 million, reducing the withheld amount to $8 million.

Meantime, additional details emerged surrounding Stewart's dismissal.

James W. McGuirk II, chairman of the VITA board, said in a letter Friday to Del. Samuel A. Nixon Jr., R-Chesterfield, an IT expert and head of the House Republican Caucus, that Stewart was removed "to avoid a major rift in the program with Northrop Grumman."

McGuirk also said Stewart had the authority to stop payments, "regardless of the desire of the board."

Stewart, who remains a consultant to VITA, did not return a phone call seeking comment.

Illustrative of discontent with the VITA-Northrop Grumman deal: continuing concern over the recent hacking of drug-prescription records in the Department of Health Professions.

The agency's director, Sandra Whitley Ryals, told the House Science and Technology Committee that some physicians are concerned about prescribing serious pain medications because they don't have access to the drug data base.

Del. Harry R. Purkey, R-Virginia Beach, questioned whether the security failure represented a breach of contract by Northrop Grumman and is grounds to renegotiate.



Contact Olympia Meola at (804) 649-6812 or .

Contact Jeff E. Schapiro at (804) 649-6814 or .

Advertisement

 
View More: virginia information technologies agency,northrop grumman,leonard pomata,general assembly,
Not what you're looking for? Try our quick search:
 

Advertisement

Reader Reactions

Flag Comment Posted by on June 30, 2009 at 1:01 pm

I certainly do not intend to defend Mark Warner, but the reality is that Kaine, the Oversight Board, and General Assembly cannot and should not be allowed to escape blame simply because the contract began during Warner’s administration. It is a continuing contract, and each successive Governor, Technology Secretary, Oversight Board, and General Assembly should be held accountable by Virginia taxpayers until the contract is either (a) satisfactorily concluded or (b) Northrop-Grummann is replaced for cause, assessed financial penalties for their failures, and the project successfully concluded by Northrop-Grumann’s successor.

Flag Comment Posted by Diokan on June 30, 2009 at 12:46 pm

Sounds like someone should subpoena Lemuel C. “Lem” Stewart Jr to testify about what he knows.  Probably wasn’t such a great idea to ‘fire’ him…

Flag Comment Posted by Fred on June 30, 2009 at 12:43 pm

Notice how there is no mention in the article about this program being started under Gov. Mark Warner. Also, notice that the leftist Jeff Schapiro is a co-author of the article and a BIG BIG supporter of Mark Warner, even while Warner was lying to and looting Virginia taxpayers. When are the editors of the TD going to stand up for unbiased journalism, instead of following leftist rags like the NY Times and the Washington Post. If the Editors continue to allow Jeff, and other leftist reporters, to lead the TD it is going to end up in the same garbage pail as the NY Times and Washington Post….Richmond DESERVES better

Flag Comment Posted by salgep on June 30, 2009 at 10:53 am

Richmond Sage is correct. I think it was about 7 or more years ago during the Warner administrations reign that the RTD had an article or interview with Lemmy. He said the state govt’s technology was inefficient and too costly. And, we needed to standardize technology across the board (i.e. email, networks, financial systems etc..). Plus, renegotiate and streamline software contracts. This would in turn save the state money, thus, VITA was formed.

VITA attempted a number of
consolidations (i.e. Financial systems) at which they failed. Knowing they would fail VITA could justify outsourcing state IT. Thus, the contract with NG who won a competitive bid (huh?) for the contract. The contract gave carte blanche to NG to transition the state IT to Chester. Each state agency had to accept NG’s services at outrageous costs. Systems that were purchased with State, Federal funds and private grants are all of sudden owned by VITA/NG. PCs and anything that uses the Network is charged a monthly service fee (PC’s ~$150 month, Servers $1500+ a month..the list goes on) Plus a surcharge of 5 to 10 percent for every technology related purchase an agency makes.

After a time realizing we weren’t saving money the motto was changed to bringing state IT into the 21st century.
Realizing that NG won’t bring us into the 21st century and is too costly lets have some hearings to find out what the heck is going on.

Flag Comment Posted by on June 30, 2009 at 9:37 am

There are a number of disclosures in the report on the basis of which every Virginia taxpayer should be livid! Here are four examples:

1 “Kaine, who has defended the VITA-Northrop Grumman alliance, said through spokesman Gordon Hickey that he is deferring to the board that oversees the agency to set right the contract. That board is made up of gubernatorial and legislative appointees.“

2 “Speaking before a House committee that questioned whether Northrop Grumman is failing to fulfill its obligations under the state’s richest-ever privatization pact, Pomata said “service levels, in general, are below expectations.“

3.“James W. McGuirk II, chairman of the VITA board, said in a letter Friday to Del. Samuel A. Nixon Jr., R-Chesterfield, an IT expert and head of the House Republican Caucus, that Stewart was removed “to avoid a major rift in the program with Northrop Grumman.“

4. Pomata, who also is Kaine’s secretary of technology, said he had not determined how using the power of the purse would affect service.“

On the basis of the four circumstances cited above, a reasonable person can only conclude the following:

A. Despite his earlier remark that the CIO should report directly to the Governor, Kaine is attempting to “wash his hands” of the matter by abdicating his responsibility to the Oversight Board of gubernatorial and General Assembly appointees who have already demonstrated their unwillingness or inability to adequately supervise Northrop-Grumann and enforce specific performance under the contract.

b. By Pomata’s own admission service levels do not meet expectations, yet nothing is being done to force Northrop-Grumman to provide required levels of service - and Pomata doesn’t understand how using the power of the purse can influence NG.  That being true Pomata has no business being the Secretary of Technology. Is Pomata afraid of retaliation or further slow-downs by Northrop-Grumann if payment is withheld?
Exactly what influence over Kaine, Pomata, and the General Assembly was “purchased” by campaign contributions and what threats might Northrop-Grumann have made if their performance is challenged?
c. Steward was fired for doing his job so that there would not be a “rift with Northrop-Grumann”. Clearly, NG is in the drivers seat and dictating what contractual obligations they will meet, when, and how. This suggests that the Attorney General needs to be involved immediately to begin a legal action on behalf of the Commonwealth to enforce specific performance by NG under the contract and extract penalties for their failures to comply.

Flag Comment Posted by citycynic on June 30, 2009 at 9:27 am

Great post Richmond Sage. When VITA was first floated state agencies cringed. Most of Higher Ed opted out because they saw the writing on the wall.

The chairman of the VITA board actually said that Stewart was removed to “avoid a major rift in the program with NG”? So now whistle blowing is a “major rift”? If so, I hope to God there are more “major rifts” so this cash cow of a contract can be severed. As for our part-time governor - we can only hope this debacle is enough to expose his total lack of credibiity so we, and Washington, are spared any more of him.

Flag Comment Posted by Richmond Sage on June 30, 2009 at 8:49 am

You just can not make this stuff up.  First, it was determined that the state could not effectively manage its own IT resources so it was decided to outsource it.  Then the state expected to be able to manage the contractor with internal resources that they had already acknowledged could not effectively manage its own in-house IT resources.  They now have a lame duck governor, who received political contributions from the contractor, saying that there might be a few bumps in the road but everything is still ok.  Couple all this with Kaine’s appointed IT Secretary saying that he doesn’t see how holding back contract money would get the contractor’s attention just highlights why this position should not be a political appointment in the first place.  And finally, did I mention that Kaine fired the only person who not only knew what was going but also knew how to get the contractor’s attention to fix it?  Like I said, you just can not make this stuff up.  But then again, can you expect much more when you are dealing with a part-time governor who is looking past his present position.

Flag Comment Posted by salgep on June 30, 2009 at 8:47 am

This whole debacle has set IT in Virginia back about 5 years. As an state IT employee who did not transition to VITA/NG I can say that we’ve slowed down advancing our capabilities and technology waiting or should say knowing this was how it was going to turn out. Another fact is that each agency is being strong armed into transitioning to VITA/NG whether it is good for them to do so or not. Every new thing we want to do we’re told to hold off because of VITA/NG or don’t bother because of VITA/NG.

This isn’t a bump in the road, it’s a pot hole.

They’re a little late.
Like the Borg in Star-Trek the assimilation of the state’s IT services has moved and are moving primary infrastructure servers and people to VITA/NG in Chester. And they’re pushing to get this done before 2010 when a new administration takes over and they can negotiate a new contract for big bucks since they’ll have us at their mercy.

The state got into bed with NG, big mistake for the state and NG. NG is use to the bottom-less pockets of the federal gov’t. The state may be able to wrestle a short term deal with NG that makes the uproar go away, but down the road NG will get their money.

Another thing, this all started with idea we’re going to make state run like private industry. When are these politicians going to learn that public and private are two totally different entities with different purposes.

Flag Comment Posted by hlaford on June 30, 2009 at 8:42 am

I was in the IT field almost 30 years as a programmer, analyst and project manager.  I’ve seen things like this and there is no excuse for it.  I ran a big project in Washington and it finished ahead of schedule and under budget.  I’d love to get back into dp and kick some butt in upper management at vita and ng and get this show back on the road.  And get the stress and strain off of the employees where I’m sure it’s being dumped.  Most of my work however was with private enterprise though I did work with government.  But no matter who you work with there is no excuse for shoddy, mismanaged work.  No wonder companies are outsourcing work to other countries.  We need to get our act together!

Flag Comment Posted by Court Watcher on June 30, 2009 at 7:05 am

You think the standpipe NG contract is a mess, I know people over at DOC that have a new program they just hate and are being forced to use.

Post a Comment(Requires free registration)

  • Please avoid offensive, vulgar, or hateful language.
  • Respect others.
  • Use the "Flag Comment" link when necessary.
  • See the Terms and Conditions for details.
Click here to post a comment.

 

Advertisement

Advertisement

Online Features
Blogs
DataCenter
Videos
Weekend
Times-Dispatch Shop
 

Advertisement