Virginia Settles Dispute with Northrop-Grumman

Virginia has reached a multi-year, multi-billion dollar deal with its embattled computer services contractor Northrop-Grumman, designed to set aside past quarrels about pay and performance, and extend the relationship an additional three years.

It is a done deal.  Instead of firing the computer giant…Virginia has gone the other way…extended their contract another three years to 2019, agreed to spend another 140 million…but this time, demanded more accountability and more services.

McDonnell: What we wanted was dramatically improved performance, dramatically better contract terms, and reducing the amount of money that the Commonwealth would have to pay for the additional servers, software, licenses, and storage capacity that had been previously provided. by  Northrop Grumman.

Governor McDonnell said Northrop Grumman would now be directly accountable to him and his newly appointed chief of the Virginia Information Technologies Agency, Delegate Sam Nixon.  The multi-billion dollar contract will provide IT services for 80 state agencies through 2019. 

Charles Fishburne, WCVE News.

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