Contract Procurement Committee Update

April 28, 2010

IT In-Sourcing Continues; What's Next?

Pursuant to Chapter 500 of the Laws of 2009, the State Division of Budget, in consultation with several state agencies, continues to issue guidance on the in-sourcing of IT consultant services. This includes a crosswalk of IT staff augmentation titles with civil service titles; a fact sheet for term appointments; and an FAQ.

The prevailing rationale among legislators and the Executive in support of this public policy is that "public employees are cheaper than consultants." Public sector IT consulting work has been a significant source of business for many small and medium sized employers across New York, including MWBEs. It has allowed state agencies to tap into talent and expertise beyond that which exists within their existing personnel structure, and has permitted the State to benefit from the innovation which comes from private-sector highly skilled IT professionals with cross-cutting experience. For those of you not in the Albany media market, the Albany Times Union has also provided (unintentionally?) a forum to allow myth to become fact through its new "State Worker" blog, among which the earliest posts raised the issue of IT consultants.

Stay tuned for ways you can play a role in ensuring lawmakers and budget makers understand the important role the IT consulting sector can play in ensuring agencies are able to carry out their core functions at optimal efficiency.