Ask Joe: What's next for DMV after computer upgrade contractor was fired?

Nevada's Department of Motor Vehicles (Christy Wilcox | KSNV)

From the Ask Joe file, a question Friday about a story that's been in the news this week involving the DMV.

Vanessa wrote in asking what's going to happen now that the DMV has ended its contract with the company doing the computer upgrade.

She wants to know if the state going to try to get any of that money back.

Here's what I found out:

The DMV made the decision this week to cut ties with Tech Mahindra, the company hired to do a major computer overhaul. It was the DMV that discovered problems with the work being done, and that led to the decision to terminate the contract.

So how much work got done and how much is left to do? I checked with a DMV spokesperson, who says at this point they don't have those answers. This is something they will be taking a close look at over the next 60 days.

There is also no word yet on whether the company plans to hire a new contractor to finish the job. Lots of questions.

But I did speak with Nevada Assemblywoman Teresa Benitez-Thompson. She pointed out that lawmakers only allotted half of the $75 million contract to the DMV. The rest was going to have to be doled out later.

This is a safeguard in case a project does go south, the state is not out the full amount of the contract.

Benitez-Thompson says they have learned some painful lessons in the past through deals that fell through, so now they do take extra safeguards to protect your taxpayer dollars.

Whether the state still owes Tech Mahindra money or whether it's the state that should be able to recoup some of that contract remains to be seen. This issue will get a close look when the Interim Finance Committee meets in April.

But the good news is only half of that contract had been paid out.

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