ITAPS - Procurement Reform

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Procurement Reform

ITAPS supports efforts by states seeking to identify unfriendly business regulations and outdated procurement practices that threaten to slow the acquisition of innovative technology solutions by state agencies and local governments. Experience has shown that states benefit from robust competition among the most capable IT solution providers when risk is balanced and shared. Conversely, leading IT vendors may decline to participate in procurements that present excessive risk or put in jeopardy a company’s right to utilize its intellectual property. Companies will respond to greater performance and liability risk with higher prices than otherwise would be bid for a scope of work. Where prices are elevated to address risk contingencies, the state will receive less, not more for its money. On a related matter, ITAPS recommends that new templates be developed for the newest types of service delivery solutions known as cloud services, which require a unique set of IT terms and conditions.

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