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Private contracts too cozy

Source: Diane Carman, The Denver Post (CO), 10/16/2007


...... Here in Colorado, private firms supply everything, even bus drivers and prisons. Former Gov. Bill Owens was a believer in the 11th commandment, so contracts for public services during his terms exploded.

Unfortunately, oversight of those contracts didn't keep pace.

The most glaring example of the mess created by overconfidence in private contractors was the Owens administration's bumbling attempt to modernize state government through random, uncoordinated - and very expensive - information-technology systems.

Eight years and nearly $300 million later, Owens moved on, leaving his successor with a bunch of pricey computer systems that couldn't compute.

Among them:

  • The $223 million EDS Computer Benefits Management System that was delayed for years and then nearly shut down the food-stamp system when it finally lurched into action;

  • The $38 million SAP payroll system that couldn't figure out how to issue overtime to employees in the Department of Transportation during last winter's snowstorms;

  • Avanade's $10 million Colorado State Title and Registration System that sent state police incorrect information, making arrests around the state just that much more exciting;

  • And two systems by Accenture - the dysfunctional $24.2 million unemployment-insurance system and the computerized voting-records system that never happened because the company missed so many contract deadlines the state simply gave up on it.