EDS Nails Potential $860M HUD Deal

EDS has won a contract worth potentially $860 million to develop a nation-wide IT infrastructure and telecommunications service called HUD Information Technology Services (HITS). The contract includes a one-year base period and as many as ten additional option years.

Under the terms of the contract, EDS will provide IT services to 18,000 HUD users in more than 80 locations throughout the U.S. and its territories. The services will include enterprise-wide data processing and management from mainframe down to the desktop, information security, help desk, user support, disaster recovery, printing and distribution, local and wide area networking services, wireless, TV/video conferencing, Web administration, and other IT services.

“The EDS HITS solution strategy was to build a simple, flexible, scalable solution that will allow HUD to maximize the value of its previous IT investments, and also establish a modernized enterprise-wide system that will improve performance, increase customer satisfaction, reduce costs and provide extensive opportunities to small businesses to support the HITS program,” said Al Edmonds, president of EDS U.S. Government Solutions.

Vickers Meadows, HUD’s assistant secretary for administration and CIO, added, “HUD has awarded EDS a contract to provide a wide range of information technology support. This is a performance-based contract that will increase vendor accountability, which is part of President Bush’s management agenda for federal agencies.”

Meadows also said that under such contracts, HUD sets measurable performance standards and pays the contractor according to how well those standards are met.

In addition, Meadows said EDS will leverage its vendor alliance relationships to provide “immediate and sustained modernization to support the HUD mission objectives.” EDS has teamed with a variety of small business partners who will provide support in key areas of the program.

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