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Five State Agencies Spent $199M With Deloitte Consulting in 2023

The consulting group isn't the only one providing services on a Texas-sized scale; the state also spent $172 million with Rackspace.

Deloitte
The state of Texas spent at least $199 million with Deloitte Consulting in 2023. Deloitte has four contracts with the Department of Information Resources (DIR) and provides a variety of services at scale.

Below are five vendors, including Deloitte, who provide Texas-sized IT and IT-related services, according to Industry Insider’s Texas IT Spending Dashboard. Numbers are sourced from the Texas Comptroller’s (CPA) “Payment to Payee” visualization and haven’t been cleansed by staff:
  • Five state agencies spent $199 million with Deloitte Consulting, which provides audit and assurance, tax, consulting and risk and financial advisory services. Who’s using Deloitte: DIR, Health and Human Services Commission, Department of State Health Services, Texas Department of Public Safety and the Texas Permanent School Fund Corp.
  • Almost all the $172 million paid to Rackspace US Inc. went to the expenditure code titled “DIR Payments to Statewide Technology Center.” Rackspace offers IT services and public cloud management.
  • Twenty-eight agencies sent about $95 million to AT&T Corp. for the statewide telecommunications network. AT&T provides telecommunications, media and technology services. AT&T has multiple vendor IDs due to providing a variety of services.
  • Almost all of $93.6 million of money spent with Atos Governmental IT Outsourcing Services LLC went to DIR Payments to Statewide Technology Center. Atos offers IT services, mainframe services, provides Texas private cloud services and is a reseller of products.
  • The Texas Department of Transportation spent $72 million on purchased contracted services from TTEC Government Solutions, which offers customer experience solutions.

The periodic reports of spending on IT goods and services by agencies and departments in state government are compiled by Industry Insider — Texas as a way of highlighting procurements and trends.
Rae D. DeShong is a Dallas-based staff writer and has written for The Dallas Morning News and worked as a community college administrator.