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DEW to go live this year on new benefit system; tax modernization funded from property sales
Summary
Stanton said DEW plans to launch a new unemployment benefits system this summer and to pay for a modernized tax system from proceeds of surplus property sales and a fixed-price vendor contract shared with other states.
Stanton briefed the committee on two IT modernization efforts: a benefit system scheduled to go live this summer and a separate tax system that will follow. She said the projects use fixed-price, deliverable-based contracts and a multi-state collaboration with North Carolina and Georgia to reduce costs and improve subject-matter expertise. "That contract is a fixed contract ... we pay for working product," she said.
To avoid asking the General Assembly for additional general funds, Stanton said DEW is using proceeds from surplus property sales (about $9 million returned so far) and federal funds originally used to buy buildings to invest in the new tax system. The agency is working with the Department of Administration and CBRE to market and sell unneeded properties and intends to reinvest sale proceeds into IT modernization.
