HUD drawing up IT overhaul

HUD Information Technology Services would be a 10-year contract worth at least $500 million

HITS solicitation home page

The Department of Housing and Urban Development is looking for a few good contractors for a 10-year contract worth at least $500 million to overhaul and run the agency's information technology systems.

HUD issued an initial draft of its request for proposals in May and a second draft June 25. A third draft will be issued this month.

The project—HUD Information Technology Services (HITS)—would include data processing and management, data recovery, printing and distribution, local-area network communications and maintenance, and Web site administration as well as the entire spectrum of IT support.

Lockheed Martin Corp. was awarded a $526 million contract in 1990 for the HUD Integrated Information Processing Service, which included data processing and telecommunications. It integrates the services of more than 200 subcontractors and has provided users information on subjects ranging from housing to mortgage specifications. It also processes 350,000 transactions a day dealing with federal housing issues.

The contract expires in 2003, and HUD plans to make a new contract award early next year.

In April, HUD managers called together some of the leading vendors to talk about innovations in the IT marketplace and ideas for the project. Among those attending the meeting were officials from Electronic Data Systems Corp., IBM Corp., Science Applications International Corp., ACS Government Solutions Group Inc., Unisys Corp., Lockheed Martin and Computer Sciences Corp.

"A performance-based contract is envisioned in which the contractor will serve as a partner in achieving the department's goals and objectives," HUD officials told contractors.

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