Tax Dept. to cancel computer contract (Santa Fe - glitches, cost overruns...) : LUSENET : TimeBomb 2000 (Y2000) : One Thread


Saturday, October 2, 1999

Tax Dept. To Cancel Computer Contract

By Wren Propp Journal Capitol Bureau SANTA FE -- The state Taxation and Revenue Department plans to sever ties to a private computer development contractor because the two sides could not reach a deal to cut the contract by $7 million. Estimated costs to complete the Taxation and Revenue Information Management System, or TRIMS, computer system by 2002 have escalated from $43 million to $66 million. Jim Burleson, deputy secretary of the tax department, told the Legislative Finance Committee on Friday the department plans to end its contract with Syntel, a Michigan-based company, by Jan. 1. Syntel could not be reached for comment by phone late Friday. Ending the contract won't delay completing the computer system, Burleson said. Burleson said after the hearing that department officials tried to negotiate with Syntel to cut $7 million from the company's work over the next three years but they didn't come to an agreement. "We wanted no $7 million residual bill to leave for the next administration," Burleson said after the meeting. The computer system has been fraught with problems, including cost overruns. Last year, the department rushed to get the system up and running to handle personal income taxes, but glitches blamed on the computer system resulted in late refunds and some taxpayers receiving duplicate refund checks. More types of taxes -- such as gross-receipts taxes and corporate income taxes -- are scheduled to become part of the system before it is complete. Much of the system's expense comes from software that must be developed to handle every line of every type of tax code, Burleson said.

-- Homer Beanfang (, October 05, 1999


Sho gettin familiar, deez reports, ain't dey? WhoooHeeeee, anybody still clueless out there?

-- Ashton & Leska in Cascadia (, October 05, 1999.

Some years back, it was codified as Cheops First Law: "Major projects do not come in on time, nor under budget. Yours will not be the first."

-- Mad Monk (, October 05, 1999.

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