Cisco Looking To Make Things Right With West Virginia

alphadogg writes "Cisco has offered to 'take back' routers it sold to West Virginia if the state finds they are inappropriate for its needs, according to a post on wvgazette.com. The offer is in response to a state auditor's finding (PDF) that West Virginia wasted $8 million — and perhaps as much as $15 million — in acquiring 1,164 ISR model 3945 branch routers from Cisco in 2010 for $24 million in federal stimulus funds, or over $20,000 per router. The auditor found that hundreds of sites around the state — libraries, schools and State Police facilities — could have been just as suitably served with lower-end, less expensive routers."

Comments

Re:Should Virginia settle with a "take back" offer

[amorsen]

The requirements were that the sites had legacy T1's and similar and were being upgraded to fiber. Therefore the router had to have both legacy interfaces and high performance. That combination is awfully expensive and the 3945 is not an unreasonable choice.

It would have been much cheaper If the requirements had allowed for temporarily having two routers on the sites until the legacy T1's were taken down or alternatively allowed for an extra visit to the site to replace the router.

Trying to avoid an extra trip to each site is not stupid. Requiring both legacy and high speed interfaces is not stupid. Going for a unified platform is not stupid. However, a joint meeting with the pre-qualified bidders would likely have revealed the potential cost savings of making a compromise on the requirements. Alternatively, an independent consultant with just a little experience in the area should have spotted it.

The same thing happens in many of bids, not just in the IT sector. Seemingly reasonable requirements together mean that only very few vendors can bid and that they need their most expensive solutions to handle it.

Re:Should Virginia settle with a "take back" offer

[penix1]

What happened to the WV's bid process?

I work in government too and more specifically in WV in the office where this occurred. I'll tell you what happened to the bid process. The incompetence of the state purchasing division is what happened. Their process is so painful and long that state agencies do everything they can to avoid using them. Even the former governor Joe Manchin got caught stringing contracts to avoid them when he was in office. I've had contracts languish over there for over a year.

In this case, an existing contract the state has to purchase minor items with Cisco was used for these big ticket items. So technically it was bid out. It just wasn't bid out for these routers. The agency got dinged for this misuse of the system and the spirit of the law.

Having said that, the whole process here in WV needs to be overhauled. It is too complex and way too lengthy to be useful especially when the funding is on a tight timeline like the stimulus funding was. That complexity and duration is what makes purchasing something to be avoided. It is only human nature to try to avoid the pain. I don't have a choice but to use them and dread it every time I do.