Governor Cancels $1.4 Billion Contract with IBM for FSSA Services
Governor Daniels announced that he was canceling a controversial 10-year, $1.4 billion contract with IBM to serve Family and Social Services Administration (FSSA) clients through computers rather than human beings.
The Indianapolis Star reported that Daniels thanked those who had raised concerns that the system resulted in too many errors and too many people waiting too long for help they desperately needed: "In many respects, they were right. The system wasn't working, and it wasn't getting better, despite best efforts." The IBM system will be replaced with a hybrid system that will feature personal contact.
Speaker Pat Bauer observed: "This is a rare moment in which I can congratulate the governor for making the right move. It is the right thing to do to recognize when you make a mistake to adjust, regroup, because there were too many people suffering. There were too many people's lives in danger."
Read more from the Star here.