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A Look at DMV’s IT Services Spend Since 2019

The California Department of Motor Vehicles’ costliest purchases of IT services since 2019 show its ongoing IT modernization — and, arguably, the more typical large-scale purchases of such a state entity.

The entrance to the California DMV headquarters building.
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The California Department of Motor Vehicles is in the early stages of a comprehensive technology modernization of its large-scale systems — and its five most expensive IT services purchases in 2019, 2020 and 2021 reflect that.

DMV made 98 purchases of IT services during 2021, 92 such purchases in 2020, and 137 in 2019. Its five costliest such buys each year cost it $18,035,900 in 2021, $31,611,046 in 2020, and $29,900,506 in 2019 — clearly costing less last year. During 2019 and 2020, however, DMV’s most expensive IT services purchases were likely related to business as usual for a large, fast-moving state department. Here, with rounding, is more on those purchases, based on information from the State Contract and Procurement Registration System:

  • In 2021, DMV spent $7.1 million with Deloitte on “Modernization of the DMV (Occupational Licensing) OL System,” its most expensive such purchase all year. DMV has hired Deloitte to be the system integrator on the first phase of its Digital eXperience Platform (DXP) contract, which is based on the underlying Salesforce platform. When the project is done, in three to five years, it’s expected to update and replace software, hardware and programming languages in legacy core systems. The contract is from Sept. 10, 2021, through Sept. 13, 2023.
  • $3.5 million to CGI Technologies & Solutions for “IT MSA consulting for DMV’s legacy systems support,” a two-year contract from May 20, 2021, through May 19, 2023. This is likely a reference to master services agreement consulting, one in a series of initiatives to bolster its systems that DMV has undertaken since the arrival of Director Steve Gordon in 2019.
  • $3 million to AgreeYa Solutions for “IT MSA Consulting,” a one-year contract from June 28, 2021, through June 27.
  • $2.5 million to Business Advantage Consulting for IT consulting services, a two-year contract, from June 1, 2021, through May 31, 2023.
  • $2 million to Joltfed for “UiPath software implementation,” a two-year contract, from June 29-June 28, 2023.
  • In 2020, DMV spent $22.1 million with the American Association of Motor Vehicle Administrators for AAMVA Access, a five-year contract that began June 15 of that year. AAMVA is a private nonprofit that provides DMVs with services including technology, investigation and information sharing.
  • $3 million to Cambria Solutions Inc., for “consulting services for the virtual field office and robotic process automation,” a two-year contract that began June 26.
  • $2.8 million to Providence Technology Group for “Front End Sustainability Data Stabilization Consulting Services,” a one-year contract that began June 29.
  • $2 million to Slalom LLC, to “enhance the Virtual Field Office (VFO) to allow customers to complete transactions online, without requiring an in-person visit to a field office.” The two-year contract began June 22.
  • $1.8 million to Business Advantage Consulting, for “test strategist and application testers for the DMV front-end sustainability project.” The two-year contract began Jan. 21.
  • In 2019, DMV spent $14 million with Lexmark International Inc. for “managed print services,” a five-year contract that was its most expensive IT services purchase that year and began June 15.
  • $5.4 million with Qmatic for “warranty and maintenance for centralized customer flow management and appointment system,” a three-year contract that began Jan. 11.
  • $4.1 million with IBM for “IT consulting services (for) DMV automation mid-tier stabilization,” a two-year contract that began June 24.
  • $3.3 million with CGI Technologies & Solutions Inc. for “IT consulting services (for) DMV automation mid-tier stabilization and modernization service,” a two-year contract that began June 25.
  • $3.1 million with RELX Inc. for “identity verification services” for the department website, a two-year contract that began Aug. 15.
Theo Douglas is Assistant Managing Editor of Industry Insider — California.