Sources: Virginia’s IT chief ousted

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The head of Virginia's info-tech department is out of a job, apparently a casualty of continuing turmoil at the agency.

State government sources, who asked not to be identified, said Lem Stewart has been ousted as chief information officer. These sources said Stewart was removed Wednesday.

The oversight board of the Virginia Information Technologies Agency wants the new secretary of technology, Leonard Pomata, to serve as acting CIO.

Marcella Williamson, VITA spokeswoman, had no immediate comment this afternoon.

VITA was set up under the governorship of Democrat Mark R. Warner, and operates in tandem with defense giant Northrop Grumman overseeing state government's vast computer and software needs.

The state's contract with Northrop Grumman runs for 10 years and will cost taxpayers $2 billion.

It's Virginia government's biggest privatization contract ever and has been criticized by some legislators and state employees as pricey and inefficient.

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Flag Comment Posted by Bob Smith on June 12, 2009 at 9:42 am

DarnYankee - DHP has issued a letter to all those people whose information was stolen in the hack. The FBI have ok’d the release, which strongly suggests they have enough evidence to know that a breach occurred.

http://www.dailypress.com/news/local/virginia/dp-va—healthrecords-hac0603jun03,0,3836984.story

However, I agree that the breach was only a small factor in all of this - what it really is, is yet another example of poor security, poor IT management, poor planning etc as executed by NG. That data center is the most expensive joke I’ve ever seen. The communication within VITA/NG is so poor that we have NG people literally sitting around for days inside agencies b/c they have NO CLUE wth the H they are supposed to be doing.

Flag Comment Posted by Jer1234 on June 12, 2009 at 7:00 am

Darn Yankee, Nice try for your agency but nobody is believing it.  This contract has been going on for almost 5 years now and nothing has gotten better.  They should have had the bugs worked out years ago if they knew what they were doing.
shj, the problem is the contract will never expire. SName one contract similiar to this that has.  No Northrup Grummun is fully entrenched in the IT infrastructure of the Commonwealth of Virgina and probably can never be removed.  It was bad enough when we just had VITA for a year before this contract came about due to a request by VITA not an out of the blue proposalby Northrup Grumann.

Flag Comment Posted by shj on June 12, 2009 at 6:20 am

I wonder if anyone has even considered the expense the Commonwealth will have to encur when this contract expires and all the IT equipment that was taken over by NG has to be replaced?  It has been bought over and over by COVA and yet we still don’t OWN any of it.

Flag Comment Posted by DarnYankee on June 11, 2009 at 9:20 pm

dogtown, you are misinformed. The incident at DHP had nothing to do with Stewart’s departure. In the first place, I don’t think that the experts have decided whether a compromise actually occurred.
One of the things that the partnership did was expose all of the hidden IT expenditures that state agencies were making. For example, the expenditures for IT staff were hidden in an agency’s personnel budget. Equipment purchases were hidden in the agencyies’ operations budgets. Services were purchased using money originally budgeted in different accounts, e.g., personnel budgets, that were not spent for the purposes originally budgeted. Agencies bought computers and peripheral equipement with so called “end of year funds;“ and so forth. When all of those expenditures are exposed to the light of day and aggregated, they appear to be excessive. There was no consolidated view of how much the Commonwealth was really spending on IT.
Were there errors?  Could the transition and transformation have been done better? Of course, but people need to remember that this is the first time something like this has been attempted on this scale. 
The Partnership is only in its third year.  All of the agencies have not yet been transformed, so the economies of scale and any cost savings that may result have yet to be realised. Remember, too, that the state’s IT infrastructure was woefully out of date, and the executive and legislative branches were not willing to put up the money to update it. Northrop Grumman brought the necessary capital investment to the table to modernise the state’s infrastructure. The monthly fees that the agencies are supposed to pay are intended to allow them to recoup their investment.
The contract with Northrop Grumman resulted from an unsolicited proposal that the company submitted under a law passed in 2002, the Public Private Education Facilities and Infrastructure Act. Contracting the services out was not “the brilliant idea idea of Warner and VITA,“ though Mr. Stewart, Mr. Warner or the ITIB could have put a stop to it at any point in the review process.

Flag Comment Posted by Jer1234 on June 11, 2009 at 7:38 pm

mmsaunde, you are only partially correect Mr. Gilmore dreamed up the consolidation of IT serviceds under one state agency but the GA told him NO.  Mr. Warner then tried a second time and the GA said the state did not have the funds to stat new agency.  Mr Warner then created VITA as a self supporting agency that would charge each agency for its services.  When this got out of hand in a year Mr Warner and VITA came up with the brilliant idea of contracting it out and Northrup Grumman won the contract.  They have been ripping agencies off ever since.  The do not charge $35.00 per computer but $170.00.  My agency was told that thier services shouldn’t exceed over 150,000.00 per year and the first year was billed over 445,000.00.  When asked they were told the first wa just an estimete.
VITA and NG havve their hands in every single item of IT or telecommunications busines throughout the state and it is in worse. shape than before they took ov er.  I am an 18 year state employee in a technology job not controlled by VITA and I see and hear what they do and I wonder why no one has been put in jail or this sytem has not been exposed by the media.  If anyone really wants the true story just interview any state employee and they will show you the horror stories of the fraud and abuse that goes on.  Unfortunately no one wants to investigate VITA/NG because it will create an investigationthat should people as high as the governor’s office to jail for waste, fraud and abuse. Anyone care to prove me wrong or actually investigate this further. Mr Stewart should be the first to be charged.

Flag Comment Posted by rtdild on June 11, 2009 at 7:37 pm

I see a lot of people are very misinformed about what has happened with this consolidation.  I think that is intentional on Lem Stewart’s part - he is a consummate snake oil salesman.

I agree that the consolidation was a good idea.  It should have increased efficiency, taken advantage of economies of scale, and eventually led to cost savings.  Unfortunately, the implementation by the VITA/NG Partnership was poorly run, whether intentionally by profit-seekers or simply incompetence in the planning or information gathering I don’t know.

Yes, state agencies have been resistant.  But the primary reason for that is because they are being asked to lower expectations of service and pay more for it.  Rather than looking at agency business needs and trying to meet them, the Partnership came up with a monolithic set of systems without a thorough understanding of requirements, then tried to shoe-horn every system into it.  The Partnership could have leveraged some of the best practices and talent that the larger agencies already had.  Instead agencies were forced to re-hire for positions that the Partnership absorbed in order to maintain support for systems that were abandoned or left “out-of-scope”.

And, yes, it was Warner that started this, not Gilmore.

Flag Comment Posted by Court Watcher on June 11, 2009 at 7:09 pm

John and Suzy Public needs to read the contract.  They will be amazed at the money being wasted.  Each computer, printer, pone, fax, copier and any other defined electronic devise is paid for many times over.

Flag Comment Posted by Question Govt on June 11, 2009 at 4:39 pm

One wonders whether the unauthorized access by hackers to the prescription drug tracking database might have been a contributing factor. As Chief IT Officer, Lem Steward clearly had senior level responsibility for seeing that the Commonwealth’s computer systems are maintained in a secure a state as possible. As I and many others commented when the unauthorized access was first reported, otherwise secure systems often are rendered insecure when short-cuts are taken to implement application or system changes when projects are dramatically behind-schedule and over-budget. There are credible reports being circulated that such may well have been the case.

Flag Comment Posted by DarnYankee on June 11, 2009 at 3:18 pm

GoodShepherd: That fee includes not only the computer, but the standard suite of software, help desk support and on-site maintenance. You’ll pay extra for the software, maintenance and on-site from Best Buy, and I don’t think you can get that level of help desk support.  You need to compare apples to apples.
As to the surcharge, it applies to processing the procurement.  Bought a car lately?  You’ll pay a processing fee for that purchase…same logic.

Flag Comment Posted by mmsaunde on June 11, 2009 at 2:47 pm

Hey Good Shepard, just a little correction….Mr. Gilmore was governor that dreamed up the fabulous VITA… Mr. Warner inherited it as it was starting up….  Can’t even keep the phone book updated…come on guys!  We can do better than this!

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