State panel outlines start of IT agency investigation

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Virginia legislators today roughed out their forthcoming investigation of the state's troubled information technology agency and its $2.3 billion contract with Northrop Grumman.

The Senate Finance Committee is turning over the inquiry to a subcommittee responsible for overseeing the nuts and bolts of government.

That subcommittee is headed by Sen. Yvonne Miller, D-Norfolk. It holds its first meeting on June 29.

The Finance Committee chairman, Sen. Charles Colgan, D-Prince William, said the investigation is necessary because "the integrity of our governmental processes has been questioned in the press and elsewhere."

Last week, the board that oversees the Virginia Information Technologies Agency fired its director, Lemuel C. Stewart Jr., after he challenged a $14.3 million bill from Northrop Grumman.

Stewart, head of the agency for five years, said the state is not getting its money's worth from Northrop Grumman.

The company has been hired for 10 years to supply IT services to the state. That contract is the biggest and priciest privatization effort by Virginia government.

-- Jeff E. Schapiro

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Reader Reactions

Flag Comment Posted by Jer1234 on June 20, 2009 at 9:08 am

And we believe VITA because?  How about an idependent report

Flag Comment Posted by Brian on June 18, 2009 at 8:06 pm

The Bottom Line: Transformed IT, No Additional Cost
Consistent with the intent of PPEA, VITA’s partnership with Northrop Grumman will modernize the
state’s IT infrastructure at no increase in total costs over current annual infrastructure expenses.
Simply continuing with current operations would cost the Commonwealth $234 million in projected
additional expenses over the next 10 years. The partnership will result in cost avoidance of that $234
million.
Once the costs of Transformation are fully paid during the 10-year contract, future annual fees are
projected to decrease to by over $30 million - a 13 percent ongoing savings.

From VITA’s quarterly Reprt 1/1/06

Flag Comment Posted by Jer1234 on June 18, 2009 at 7:29 pm

I wonder how many lower level workers this investigation will talk to?  I bet there is not even one that will get to appear before them.  They should talk to just as many lower leverl employees as they do senior level administrator but that won’t happen.  Then they will not get the full story of what is going on.

Flag Comment Posted by festerDjester on June 18, 2009 at 4:34 pm

We probably would have better off to have bought some of our good technology that has been stolen or given to the Chinese.

Flag Comment Posted by user1962 on June 18, 2009 at 4:30 pm

People need to realize that NG is the problem here, not VITA.  NG is one doing the work, or not doing the work as the case may be.  Lem had the right idea, hold the payment until the work is done right.  Private companys do it all the time to make a vendor live up to what they said they will do.  The state should be investigating NG, not VITA.

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