Monday, March 05, 2007

Budget flap at state IT agency

Because of changes in the way VITA charges its government customers for information services, heavily federally funded agencies could be out as much as $4.7 million this year. Virginia's chief information officer, however, said the additional costs -- which those agencies may not be able to get the federal government to cover -- will probably be less.

VITA chief Lemuel C. Stewart Jr. said he expects the actual cost to be no more than $2.5 million.

"Some of the [federally funded] agencies will need to go back to their federal counterparts and say, 'We need more dollars,'" Stewart said.

Virginia officials "can balance the budget between agencies . . . for state funds," said one state information systems manager, "but they can't balance budgets between federally funded agencies."

U.S. grants, the manager said, will not change to match the billing just because VITA raised prices.


Well, I feel better already. ONLY $2.5 million, when properly spun. That's chump change.

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