Proposition3 tech contract explained

Technology contract signed:



The Governor announced Tuesday at the HP campus in Boise that the state signed a $180 million, 8-year contract with HP, which is equal to less than $300 per student per year. The contract provides not only the laptop devices but also the maintenance, security, tech support, and software for these devices. The contract also includes funding for professional development for Idaho's teachers and deploying wireless infrastructure in every Idaho high school. None of the costs of maintenance of these devices or anything else related to these devices will fall on the local district or a student or their family. It is all included in the contract.
From the YES campaign's perspective the signing of the contract helps to bring more clarity to what was, to this point, more conceptual in nature.
-It answers the question of what type of device will be deployed (a notebook computer)
-It answers the question of price (the contract price is just under $300 per student and teacher)
-It answers the question of who the vendor will be (Hewlett-Packard is a US-based company with a strong Idaho presence)
Some have had questions about the cost of this contract. When totaled, the annual cost will never make up more than 2% of the public schools budget in a given year. Through Students Come First, the funding for this program is built into the funding formula going forward for Idaho's public schools.
How does the $180 million contract break down over 8 years?

The state signed a $180 million contract to be paid over 8 years. The contract is not just paying for a device, but paying for a managed service that includes the device, tech support, maintenance, security, software, professional development for teachers, and wireless infrastructure for every Idaho high school. With all this included, the contract is equivalent to $292.77 per student/teacher per year. Since the devices will be phased in for students and teachers over the next few years, the costs will vary from year to year. Here is the breakdown in costs. (remember: Teachers get them first year, with Professional development, then the first THIRD of high schools get them second year; second third get them fourth year, and all students and teachers will have them by year 5.)
· Year 1: 6,551 units serviced for teachers and school administrators. Amount: $1,917,936. (Please note: The Idaho Legislature already appropriated $2.5 million for this first phase.)
· Year 2: 33,941 units serviced for teachers, school administrators and first one-third of high schools deploying devices to students. Amount: $9,936,907. (Please note: Superintendent Luna has requested $10,981,300 in his FY2014 budget request for this second phase.)
· Year 3: 61,879 units serviced for teachers, school administrators and first two-thirds of high schools deploying devices to students. Amount: $18,116,315.
· Year 4: 90,376 units serviced for fully deployment to teachers, school administrators and all high school students. Amount: $26,459,382
· Year 5: 90,376 units serviced for fully deployment to teachers, school administrators and all high school students. Amount: $26,459,382
· Year 6: 90,376 units serviced for fully deployment to teachers, school administrators and all high school students. Amount: $26,459,382
· Year 7: 90,376 units serviced for fully deployment to teachers, school administrators and all high school students. Amount: $26,459,382
· Year 8: 90,376 units serviced for fully deployment to teachers, school administrators and all high school students. Amount: $26,459,382
The contract also includes $5.5 million in upfront costs that are paid in the first few years for deployment and infrastructure. The contract also includes $14,167,060 buyout clause in case the state decides to sever the contract. This clause would kick in after the state begins incurring costs. The state will not incur costs until after Nov. 6 so this state will not have to pay this buyout if Proposition 3 is overturned.




Ken Burgess

Yes For Idaho Education

P: (208) 385-7070

www.YES4Idaho.com
https://chumly.com/n/17e6eb1