
State Auditor Mike Foley believes the state might do a better job and spend less to manage its own Web site rather than retain the private company with the current contract.
the Lincoln Journal Star | Posted: Monday, October 22, 2007 7:00 pm
State Auditor Mike Foley believes the state might do a better job and spend less to manage its own Web site rather than retain the private company with the current contract.
The state might be able to save taxpayers money by providing the service in-house, said Foley as he released a “white paper” outlining his arguments and another report providing the private company’s response.
Foley argues that the state Records Board ought to ask for bids on the service when the contract with NIC USA, a Kansas-based company, ends in 2009, not wait another year.
The State Records Board will look at the issue during its Nov. 14 meeting, said Foley, who serves on that board.
Nebraska Interactive, a NIC USA subsidiary, has been the contract manager for the state’s Web site (Nebraska.Gov) since 1995.
The private company has developed the software that allows people to access many government records online, including driver’s records, title and lien searches, statewide court records, Uniform Commercial Code filings.
The company has made an after-tax profit of about $1.5 million on Nebraska Web sites since 2000, according to Foley’s report.
Allowing a new public bidding process might bring in local companies with innovative and progressive proposals. In addition, the state-run Internet department could compete for the bid, Foley said.
In its defense, NIC pointed out the good job the company has done, working with 115 Nebraska state agencies, cities and counties, developing 109 eGovernment applications, designing nearly 100 Web sites including several that have won national awards.