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Thursday, September 22, 2005

Who will rebuild Virginia's computer systems?

Only one company's proposal guarantees to put some facilities in Southwest Virginia.

Two companies are competing to build Virginia's new data infrastructure, but whether the southwest part of the state will get a major piece of the pie remains a question.

The Virginia Information Technologies Agency, essentially the IT department for 91 state agencies, is looking to revamp the state's computer system. The plan includes a new data centers, call centers and other facilities -- all in a contract that could be worth more than $3 billion to the company tapped to build it.

The change likely would mean most of VITA's 1,200 state employees would go to work for that company.

Two are in the running: Northrop-Grumman and an IBM-led group called the Commonwealth Partners. Gov. Mark Warner will pick a winner after the Nov. 8 elections but before the end of the year, according to Judith Napier, Virginia's deputy secretary of technology.

The companies' proposals, which were made public earlier this month, discuss in detail the kinds of facilities they'll provide. Neither they nor VITA, however, will disclose where those operations will be located, other than to say that they will be in Virginia, and that the primary data center will be in Richmond.

That means the other facilities, most notably the backup data center and call centers, could go anywhere in the state.

According to Lemuel Stewart, chief information officer of the commonwealth, "It's not that we're concerned about keeping the new location private, it's more in respect for the local government initiatives and how they do business." He explained that revealing the locations under consideration "invites a good deal of participation in the process while negotiations are under way that is disruptive."

If Northrop-Grumman gets the contract, the backup data center and call center -- and the 30 to 100 high-tech jobs they might bring -- would definitely be in Southwest Virginia, said Cheryl Janey, vice president of Northrop-Grumman Information Technology.

If IBM gets the contract, however, that backup center might be anywhere in the state. "All we can tell you right now ... is that it will be in the commonwealth," said IBM spokesman Andy Kendzie. "We don't want to be giving away competitive information."

Not in question is the fate of VITA's approximately 1,200 employees. One of the proposal's requirements is that any private partner offer VITA workers an equivalent position: "Employees who perform work that is in-scope to the agreement will receive an employment offer from the partner" and that offer must include "comparable (or better) employment packages, including salary, benefits, career development, and training."

Employees who want to keep working for the state "will continue to do the same or similar work and receive technical direction from the partner," according to VITA.

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