Network and security modernization underway; state uses leasing approach to spread costs
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Summary
JFO briefed JITOC that the state’s network and security modernization project began after an FY24 appropriation of $10 million, the RFP awarded to Presidio and subcontractors, and the state chose a leasing model to lower initial capital outlay while increasing operating costs over the lease term.
Joint Fiscal Office staff told the Joint Information Technology Oversight Committee on Aug. 26 that the state has started a network and security modernization project after an FY24 appropriation and that the program uses a leasing model to avoid a large one‑time capital purchase.
Lisa Gobin summarized the project: it received a $10 million appropriation for FY24, went through an RFP and independent CIO review, and the contract was awarded to Presidio with subcontractors. Gobin said the state chose a leasing approach so equipment is upgraded periodically under lease terms and the initial implementation cost appears smaller; however, she noted that operating costs over the contract term are higher and estimated total contract exposure through the lease term is larger (the briefing materials referenced a longer‑term total of roughly $22 million through the contract period listed in materials).
Gobin said the project was under way in summer 2025 and that departments typically pay for their share of network usage through ADS billback arrangements. She did not provide a single completion date at the briefing and said more project planning material would be needed for a date certain.
The committee did not vote on funding or contracts; staff said JITOC can invite the Chief Information Officer and agency project managers to future meetings for more detailed project oversight.
